less than $50,000. >> absolutely. that's why policy makers and experts alike agree that inflation is one of the biggest taxes you can put on people. >> falling gas prices is the most immediately recognizable way to indicate that prices are getting better. >> billboards on the street. >> we've got to leave it there thanks for watching "power lunch. >> "closing bell" starts now. stocks staging an impressive rally off the lows with the dow and s&p clawing back from a 1% drop the most important hour of trading starts now welcome, everyone, to "closing bell." i'm sara eisen we've got three sectors green helping the s&p 500 which is only now down a little more than 0.1 of 1% we've got on the bottom of the market technology, health care, financials and communication services that's whythe nasdaq is underperforming. it's down half a percent

this all looked a lot worse earlier in the day at the low of the session the dow was down 310 points. nasdaq was down 160. so we've really come back off the lows take a look at the dow stocks leading the intraday comeback right now. it's a mix of energy, chevron up there, walmart, boeing, verizon, ibm, salesforce, 3m and microsoft are the biggest drags. coming up on the show today, joshua friedman is here to talk about the bond market as the yield on the 2-year treasury note hits the highest level since 2007 he'll give us his playbook amid the renewed volatility mike santoli is here with a look at how much damage has been done by this most recent pullback i go away for a week and what happens to the market? >> it didn't take it well, sara. we're glad you're back today's lows of the s&p 500, we were about 7% off of the highs

that we got to mid-august so that's a couple of weeks we did have a pretty stiff pullback we didn't give up as much as half of the whole rally. we actually got up to about 19% intraday low to intraday high. so that is a significant rally a lot of folks looking for something in this 3900 area. even if we break below 4000, that gets you down to where we were in late july. that's a mental marker of what would still be a routine pullback the market is still feeling the aftershocks. you mentioned it's an energy versus defensive and value leadership as opposed to the risky stuff. take a look at the u.s. relative to stocks in the rest of the world. this has become a pretty consistent story it's a three-year chart of this dynamic and you can see really rolled over, back to well below pre-financed levels.

we've got our growth stocks that do kind of give us a premium valuation as well as, of course, the u.s. dollar very strong right now. not to mention the fact that we do have those -- a little bit better growth profile and slightly less of an immediate recession concern at least relative to europe. >> oh, you know i'm going to be hitting the dollar later in the show because you have seen some crazy moves overnight. as we speak, the s&p 500 just turned positive, the dow just turned positive and there's a number of sectors in the green joining that defensive energy leaders that you just mentioned. consumer discretionary, communication services and materials just went green. what is the current thinking when we started the day, it looked like a continuation of the selling from friday off the powell comment that the market has been offsides when it comes to the fed pivot. >> i think arguably a 3.4% drop in one day kind of brought stocks more into line with where the rest of the financial

markets have been. i'm not saying that's all the damage that has to be done but there was a sense coming out of the couple of days of review of powell's action, how much actually has changed the bond market is still saying rates will get up to 3.75 or 4% and probably stay there a while. that's not too different off what we were thinking before we're waiting for the jobs number to see whether you do have any slackening of the lane labor picture. i don't think there's an all clear been sounded but we did have a pretty high wall of worry and maybe we've scaled it since this morning. >> s&p 500 unchanged mi mike, thank you. we'll see you later on the market zone. for more, ben emmons and charlie bobrinsquay. charlie, did fed chair jay powell reignite the bear market and now we're seeing a nice

turn-around today but what do you think about those comments and the direction? >> well, as we discussed, the federal reserve was embarrassed for having messed up the inflation situation, having denied there was inflation and that it was transitory and it obviously wasn't transitory so they are trying to catch up. they are worried that the market is not taking him seriously. so he went out of his way to say don't look for a pivot, we still have raising rates to do as we've also discussed, higher interest rates have different effects on different parts of the market they are much tougher on growth stocks than they are on value stocks, whose cash flows are much closer in so we're seeing that disparate impact on the market with value doing much better than growth. >> today. >> this year. >> but if we stop worrying about inflation and go into recession as a result of what the fed is doing, that's not good for value. >> no, you're absolutely right that's why i am not so

enthusiastic about what the fed is doing we are not having the inflation that we're having because of an overheated economy that's just wrong. the economy is bumping along here with no growth for the last two years where as you and i have talked, we're having all this inflation because the money supply went up by 42%, we had massive deficit spending, the federal reserve monetized those deficits and that's what caused this recession so the fed has one hammer. every problem looks like a nail to them. so they're trying to increase interest rates unfortunately, that wasn't the cause of this, an overheated economy. >> ben, how are you balancing all of these risk factors now, inflation, higher rates, potential recession and a market that today is proving somewhat resilient after a big sell-off last week. >> i think i echo the other guest's comments you can take the powell speech and extrapolate fed policy into next year.

you can also build out a bit of a portfolio that is quite balanced i find it striking that the equal weighted s&p continues to outperform the s&p for the year whereas anything that you try to with down side does not. so clearly the market wants to be defensive as you get this tightening on the way. that's what's showing today too. in the aftermath of powell, technology, that is not so sensitive to interest rates, i think this is the way to play this environment as the fed continues to ramp up and we still deal with high inflation that is still quite sticky. >> so you're out of the reopening trades i know for a long time you liked airlines, ben, and some of the other areas of the economy that were benefitting despite what was happening with rates and inflation? >> yeah, to an extent i am i've always stayed in the reopening trade in terms of the global reopening we have to keep in mind that

eventually china will reopen and that will be a major boost to that sector again. i think it's more of a defense/offense play that we've talked about for a while domestically airfares are being cut so it's not a domestic play. if you think about the reopening itself, high inflation is starting to impact leisure activities too so i think you want to be defense, more balanced that way. sounds boring, but that's the environment that we're in at the moment. >> i'm chaurious finally, charl, energy stocks are up and i know you've liked some of these names as value plays i don't know if it's cyclical value or what's happening in europe or what's happening in the supply how much exposure should you have to energy right now and if you missed a lot of it, what should you be doing with that group

>> so my number one larged name is apache, trading at four times earnings the futures are saying that oil will be down in the low 80s next year even though we're at 95 or so today i think the supply/demand die name ix for oil and natural gas in particular are very good for several years going out. we've had very little money spent on exploration and development. so i think the supply/demand situation will be good the market is negative on the outlook for oil, which is always a good place to be, and the stocks are very cheap. apache is trading for about four times forward earnings it's a value play with a very good supply/demand dynamic. >> amazing to see a move like that charlie, ben, good to talk to you both thank you very much for kicking off the week. up next, we will talk to bill smith he's the man that tech crunch dubbed the anti-adam newman. he just secured a major funding round for his rental concept

that's looking to compete with the wework's latest venture. the dow is down about 47 points. we did gopositive at the start of the hour. it was the second attempt of the day. we were down more than 300 at the lows you're watching "closing bell" on cnbc. this is not just laundry. this is laundry that's smarter than the dial, with ge profile smarter wash technology. more care for your cashmere. more power for your workout gear. this is smarter sensing and dispensing. fully optimized cleaning, no more guessing. getting the best out of everything that goes in. ♪♪

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pandemic but what about flexible living rental firm landing which launched back in 2019 recently landed $125 million in a series c round from investoring, including gray croft and foundry. to date it has raised $237 million. it offers fully finished apartments with month-to-month leases they are available in 375 cities across the u.s the new round coming after there was a $350 million invested in adam neumann's new flexible living concept flow. joining us is landing founder and ceo bill smith bill, explain how this works and what people do >> it's great to be with you, sara, thanks for having me landing is the first membership for flexible living. our members can live anywhere across the u.s. in over 375 cities we have tens of thousands of apartments for them to choose from with landing they never have to

worry about being locked in a lease. they can live anywhere they want any time they want. >> so are people actually doing this you launched this before the pandemic i was thinking it was sort of a pandemic phenomenon but apparently you saw this trend coming before? >> yes so i launched landing shortly after i sold my prior company, shipt to target. i saw an opportunity then where i believed consumers were going to fund mentally change the way that they live if you look at many of the other areas of our lives, whether it's transportation, buying cars, many of the things that we do, it's all happening online today. but for living, it's still a pretty old-school offline process so we saw an opportunity to recreate the way people live in apartments. >> do you own the buildings or do you buy the leases? how does it work economically for you? >> yeah. so we partner with existing owners and management companies that manage large class a apartment buildings across the

u.s. our goal is to help them to supply this new market that's out there. so we did that through a number of ways. we worked through leasing. we also have brand partnerships where we'll partner with an owner to bring landing to their building and they leverage all of our technology systems and customer acquisition >> so you make money -- so people pay higher rents basically than what you're paying the building because of your partnership >> yeah, so first we're built on a membership so all of our members pay a $199 annual membership to be part of our network and then pay a different rent associated with each unit. we generate revenue on the rent either through just a little bit more rent over what it would cost if you leased it for a year and didn't furnish it or through a revenue share with the property owner >> how do you feel about competing with adam neumann whose flow has yet to launch but it sounds like it's going to do

something very similar. >> yeah, i'm actually really excited about other companies coming to the space. i think what we're seeing now is investors are recognizing that flexible living is going to be a massive category i think it's going to grow for the next couple of decades or more and so it just validates that this is going to be a major space an we're really excited about having other entrants. i expect to see three, four, five other players come into this industry in the next few years, similar to what you saw play out in maybe online food delivery and other categories like that. >> it does kind of reminding me of wework. the leases and its shared work spaces and you can be very flexible in the locations. do you hate that comparison? >> well, you know, the office -- the office space industry is very different from residential. and one of the primary differences, if you think about office, is every wework had to be custom built out so there was

a significant amount of custom tenant improvement dollars invested in those buildings. in the residential space, we go into existing apartments we don't invest any money in renovations or any changes to the building itself. we go in and furnish it with landings custom line of furniture that we actually design in house and partner with manufacturers to deliver into our apartments, so it's a very different concept. you know, zero long-term lease liabilities in our model. >> well, that's the key, i think, that we learned from wework that you don't want to be on the hook for the lease liabilities. is that a question you're getting from investors i know you're raising a lot of money, although adam neumann raised even more without launching from horowitz. >> i'm not sure how their business model works yet from the landing perspective, we started in 2019 after wework kind of had their challenges so we were able to take some of the learnings from that.

but one of the keys was figuring out the unit economics of the business early you know, i did the same thing when i built shipt we had positive economics early on in the business and we've replicated that same model at landing. i think that's what's given our investors confidence investing in lanning for the long term. >> you sold shipt for a little more than half a billion dollars to target. is that something that could fit with an airbnb what are the long-term plans here >> so shipt was my second company that i built and exited. for landing, i wanted to get into a category that i could see growing for the next few decades and build a massive, independent, enduring company. so really i think you'll see landing for the long term be an independent company. >> well, certainly interesting we'll followit thank you for joining me to discuss. bill smith of landing. >> thank you it's great to be with you. >> you too. we've got the dow down about 45 or so points. the s&p 500 down about a tenth

of a percent you've seen a lot of groups go green. all powering this market on the plus side on the downside, it's health care and financials. still to come, we'll talk to canyon partners co-founder josh friedman about opportunities in the bond market as the 2-year treasury yield hits its highest level since before the financial crisis. but first, it's taylor swift's world and we're just living in it we'll tell you about the big money buzz surrounding the pop icon nt.ex 39 minutes left of trading the dow is down 39 points.

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speak with your doctor about cibinqo today. an innovation from pfizer. what is wall street buzzing about? what everybody is buzzing about today, taylor swift. she nabbed music video at the mtv awards last night. my favorite all-time taylor swift song

maybe bigger news than that, she teased a new album to be released october 21st. it's her tenth album and the first of new songs in almost two years. remember, she's had almost 30 songs on the billboard 200 in the last years for old albums that have been re-recorded she's been putting out new albums of previously recorded albums which she did in defiance of a sale of her music by her previous label to scooter braun back in 2019 now the charts, awards and social buzz prove that swift is successfully ripping up the muz cal playbook again, taking control commercially and creatively of the music. the new version of "red" sold 1.5 million equivalent albums compared to the original album which sold 350,000 over the same period potentially devaluing the original album under her new deal with universal music, she owns it all, they license and distribute

it taylor re2invents the model again. it's unclear whether any other artist can pull off this re-recording success like taylor. when we come back, canyon partners co-founder josh friedman on where he's finding opportunities in this market amid the renewed volatility. you've got the dow down about 49 points or so again, off the lows. s&p 500 down less than 0.2 of 1%

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today's big picture, the u.s. dollar's move, getting super strong again, soaring to a 20-year high today against a basket of currencies overnight briefly above 1.09 for the dollar index the euro at 99 good for all those american vacationers in italy and france this summer. the pound is 1.17 and china's yuan plunged to a two-year low even with china trying to steer or fix it to a stronger level. so why is this happening fed chair jay powell talking higher interest rates for longer to fight inflation, that boosts

u.s. treasury yields, makes the dollar more appealing. so what? well, it's a big headache for the u.s. stock market because it cuts into sales and profits of any american company that does business overseas. we've seen that wreak havoc on earnings from pharma to tech to consumer staples there are also bigger concerns about emerging markets who have debt payments coming due the stronger dollar makes it costlier and more difficult, raising the risk of default. it also means other central banks like europe and the uk may have to raise their own interest rates more than expected or more than comfortable to keep their currencies from freefalling, which also raises recession risks even more. it's a domino effect powell's words carry a lot of power for the global economy keep an eye on that stronger dollar for more on that and global markets, let's bring in josh friedman, co-founder and co-ceo of canyon founders josh, definitely wanting to get to credit. but just on this strong dollar issue and the amount of

attention and weight that powell carries off a speech like this, are you concerned systemically or globally about the fallout? >> i think we've been worried about a slowdown in the economy but i'm not surprised what's happened in the last few days. i was pretty out of consensus when i was last on this show because powell had made some very dovish kinds of comments. i think those were overinterpreted. the cost to the fed of underestimating the impact of inflation, backing off and having to go back on to hit the brakes again would be enormous, both in credibility and in effectiveness. and i think part of the fed chair's job is to lower people's expectations so they reduce their own consumption so job openings start to reduce a bit so there's a bit of a slowdown that takes place not just because of interest rates actually going up but because of the anticipation of the effects of that. so i'm not terribly surprised that this is the trajectory of the market at this point

>> so you were right that the relief, i guess, was misplaced so do you see a lot more pain for the equity and bond market now that it's starting to reverse? >> sometimes i think the markets tend to overreact in both directions i think the fed oversteered a lot when they were easing up and it produced the opposite effect, where it accelerated inflation i think at this point it's more likely the fed oversteers by maybe increasing a little bit too long and a little too hard and maybe selling down its balance sheet a little too hard to show how serious it is in the fight against inflation. but i think we have to be a little bit humble and recognize that the fed is really only part of the equation. the treasury has a role in this as well. federal spending and the state of the deficit, these are also ingredients in inflation and if you spend well beyond your means, you also stimulate inflation. so we tend to give a lot of

effect to the words of the fed chair, but we have to recognize that's really only onin e ingr ingredient. >> but to your latter point they're going to overdo it on tightening and trying to control inflation, what sort of stress in the system do you see or fallout for the economy do you see as a result? >> i see it as more of a sustained malaise as opposed to a really deep spiky recession. and i guess the reason for that is we're coming from a position of great strength in the sense that the bank's balance sheets are incredibly strong right now. the consumer has a nice amount of savings relative to income flow we're starting with a lot of open job positions we're starting with a relatively strong stock market. so the economy is in a position to be able to take it in a way that it would not if it were in a more fragile state so i think that at some point this gets reversed it could last a little longer, it could be a little more

painful. we'll certainly see the effects on it. many, many companies have borrowed heavily and relied on low interest rates and not fixed their rates. the effect of increased rates will have low earnings and a feedback on the stock market as well it affects the government's ability to spend money when its own cost of money is quite a bit higher and its debt balances are higher so it won't be able to spend quite as much money as easily so this will reverberate but i see it to getting to a certain point and persisting as opposed to getting spiky and throwing the economy into a terrible position. >> yeah. you're not -- you have drawn the distinction before that you don't see any kind of financial crisis or any risk like that i think of -- we really haven't seen any opportunities in distress i think sometimes your firm and others with distressed debt, we haven't seen it since the financial crisis i'm wondering if this time is going to be different and we'll start to see that creep back in as the bear market could get

deeper. >> we've actually started to see a bit more certainly than when we last spoke. there are a number of names that have started to trade at the stress levels. the number of bonds trading below 70 cents on the dollar has exploded it's up something like a factor of six or seven this year. the number of bonds trading below 90 is at a record level. there are many, many, many bonds of credit worthy solid entities where the bonds are relatively high in the capital structure but where mutual fund selling has produced 15, 20-point declines in price. this is not pervasive. it's not like you can run into the market every day and buy what you want. these were readily available a few weeks ago and then backed off and now we're seeing more of those show up again. so i think we will see distressed opportunities some will be distressed pricing and some will be distressed issuers. we are starting to see a little bit of that creep into the

market so there are a number of bonds trading down of companies facing pretty interesting financial challenges. >> which i know is an opportunity for you. would you tell people to stay away from high yield at the moment >> no, i wouldn't. i think it's actually run-of-the-mill high yield if you will we had sort of been avoiding anything that was in the index because the index was trading tight, the treasuries were trading tight. that has all changed certainly since june and in part since march. so i think cautious periodic buying we have a long shopping list today. longer than we've had really in years. i think there are a lot of opportunities in secondary high yield. there are other opportunities as well a lot of banks in their desire to be competitive in the shadow banking system with private lenders got very aggressive. while they're supposed to be in the moving business, in other words, structure a loan and then sell it to people, they found

themselves in a storage business they promised someone a certain rate, founding that the market moved and they're stuck with it. so those are opportunities for banks to relieve themselves of that inventory and the structured products market has gotten a bit chaotic, especially in the origination side so there are many more opportunities today than there have been in years in the broad category of noninvestment grade debt. >> car loans i imagine what's the rate right now on a used car loan? >> well, the car loan business is interesting because there are a number of entities that securitize car loans those businesses that do that are really pretty robust even if you assume car loans drop not only back to more normal levels which is where they have been the last year, which is crazy high.

but even if you assume they drop back to levels that look like 2008, there are certain car zone levels that are extremely attractive i think the same is true with consumer loans, nonqualifying mortgage, the same is true of home improvement loans and we're talking 10 to 50 point drops in the prices of certain layers of securitizations. now, whether that persists, we'll see. for the moment there's quite a lot of disruption in the structured products business. >> josh friedman, thanks for joining us giving us a taste of what's interesting to you right now from canyon partners. if you're looking for more market insight and advice from some of the world's most influential investors, you have to be at the delivering alpha summit scan the qr code on the screen to register now. take a look at where we standing in the markets. the dow is down about 48 points or so. we've been hovering at this level the last half hour

energy is a big outperformer today. the energy sector up 2.25% nasdaq is down half a percent. uranium stocks have been one of the hottest investments in this market over the last two months. etr oss p we will discus whhethe gains are sustainable. we'll be right back. td ameri e is more than a trading platform. it's an entire trading experience. with innovation that lets you customize interfaces, charts and orders to your style of trading. personalized education to expand your perspective. and a dedicated trade desk of expert-level support. that will push you to be even better. and just might change how you trade—forever. because once you experience thinkorswim® by td ameritrade ♪♪♪ there's no going back. power e*trade's award-winning trading app makes trading easier. with its customizable options chain, easy-to-use tools, and paper trading to help sharpen your skills, you can stay on top of the market from wherever you are.

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check out today's stealth mover. it is catalent it is the worst performer in the s&p 500. it's a contract pharmaceutical development and manufacturing company that came out with earnings, missed wall street estimates, issued weak sales guidance it currently has 1400 products in development, has assisted in nearly 50% of the fda approvals in the last decade

the stockes down almost 7% today. up next, bespoke's paul hickey on whether today's comeback is a head fake for investors. that story plus a red flag for airline stocks and uranium stocks remaining red hot, when we take you inside the market zone, next your shipping manager left to “find themself.” leaving you lost. 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

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dynamic charting and risk-reward analysis help make trading feel effortless and its customizable scans with social sentiment help you find and unlock opportunities in the market with powerful, easy-to-use tools power e*trade makes complex trading easier react to fast-moving markets with dynamic charting and a futures ladder that lets you place, flatten, or reverse orders so you won't miss an opportunity we are now in the "closing bell" market zone. mike santoli is here to break down these crucial moments of the trading day, plus we've got phil lebeau on the airlines and deirdre bosa on chinese internet stocks stocks are rebounding off the worst levels of the day when the

s&p and the dow were both down more than 1% energy and utilities are leading the way, mike. it is quite an impressive rebound. the dollar, which was also super strong overnight, is now unchanged on the day treasury yields are off the highs of the day what is causing this intraday rethink, or end of day, i guess i should say. >> the simplest explanation is all those things started to occur after the european markets closed it seemed like there was an extra measure of pressure on u.s. stocks early after the ecb had some hawkish comments. you started to see some pressure on the euro. that all did slightly ease back after the late morning in the u.s. so that's the part of it that i think you can point to intraday as well as the s&p 500 more or less bouncing off the 50-day moving average after obviously having a mini washout day on friday tactically all those things are there. bigger picture, investors are asking despite the very determined and hawkish message

that was delivered by fed chair powell on friday, how much is different versus what we've already been contending with for months >> yeah. well, i think if you're expecting a pivot, a pause or rate cut, it was a little bit different. but i guess in terms of the bond pricing maybe not so much. >> so in other words, in terms of the message as delivered, they clearly are not happy with the idea that the stock market was trying to look around the corner to a potential pivot. but it doesn't seem to me that they haveto target financial conditions if inflation is coming down. financial conditions are the tools, they're not the job itself. >> all right well, it's not a good day for tech either way with the yields higher apple, microsoft, tesla, all lower. airline stocks are also under pressure today bank of america raising a red flag about softening bookings, which were down nearly 24% for the week ending august 21st. analysts there warning there could be an underlying demand

problem if that softening is not reversed in the next one to two weeks. this comes as the airline industry gets set for the busy labor day holiday weekend. phil, bank of america knows it is hard to extrapolate long-term bookings from one week so how are the airlines looking for september and october? >> well, they expect it to be a slower period of travel. there's few people traveling after labor day. but they're not saying, whoa, people are pulling back on booking. keep in mind with that bank of america note, they're comparing the bookings for one week with the same week in 2019. there was some choppiness that week back in 2019 because of a hurricane approaching the east coast of the united states so you put it all together, yes, it will be slower after labor day, but it's a little too soon to say people have decided they're not going to travel as much. >> what's happening on pricing is it still coming down? i know in the cpi report we saw airfares a little bit down

>> a little lower, but that's traditionally what we see this time of year we see them come down a little bit end of september, early october, and then they start to ramp back up as they head into the holiday season. >> phil, thank you. shares of pinduoduo soaring today after beating wall street's estimates after a recovering consumer. sepgt sentiment is looking better in china. our deirdre bosa joins us. chinese tech stocks as a whole have been called uninvestable in recent months. people have been burned before is the worst behind them >> it doesn't mean they're not going to be burned again yes, there is this notion that at least some of the worst stuff is behind them you've got the reopening and that indication of consumer se sentiment is good for other stocks they're coming off a pretty bad quarter. some of these numbers we've never seen before in terms of

how low the growth is historically so there's the opening up. there's also the u.s./china auto deal that is a positive catalyst and that's the reason why you did see the kwebb up this week regulatory overhang. we've seen it with didi especially no one actually ever knows if that has gone away >> yeah, thank you mike, is it a play on china and the reopening? is it a play on just sentiment changing or valuations? how do you look at these stocks? >> it's a play on all of it. what's interesting to me is they operate on a bit of a separate rhythm versus the nasdaq 100 where a lot of them are members of that index. they're not swept up in or driving the general tech move. the regulatory and geopolitical concerns seem to drive them day to day i think they're somewhere between uninvestable and

bellwethers because the chinese government has said they don't really want these global champions coming out of their market so the old bull case on the alibabas of the world seems like it's hard to regain given all that. >> when they snap back, boy, do they snap back hard. pinduoduo up 16.4%. the global x uranium etf is up almost 20% in the last week pippa stevens joins us pippa, we know russia's war in ukraine has reignited interest in nuclear power how much higher could these stocks run >> yeah, it's up another 10% today on the heels of several positive catalysts if we look at a one-week chart you can see the moment when this latest leg higher began and that was last wednesday when japan said it was restarting its nuclear operations and that marks a big pivot for the country.

the fukushima disaster back in 2011 all but shut down the nation's nuclear capacity but there is a global energy crunch with more and more countries reconsidering nuclear. here in the u.s., guggenheim pointing to the inflation reduction act which provides longer term clarity for the industry if we take a step back, these stocks are up a lot in the last few weeks, but they're still well below last fall's high. that is despite what a lot of people say is a growing fun fundamental case for the industry they are composed of companies in different stages of production there's u.s. focused names like uranium energy and uranium fuels but they said the fundamental case is very strong with producers keeping production under restraint while demand continues to grow in the coming years, sara. >> clearly there's a

geopolitical reason for the resurgence how does that square with the esg interest and the fact we are trying to have nuclear emissions. >> people say this is the only green form of base load power. others say we should absolutely not be using nuclear because of the radioactive waste as well as safety concerns. but at this point it seems that the esg concerns have moved a little bit to the sideline with more and more politicians and government officials focused on the question of energy security. we've seen prices in europe skyrocket. nuclear in france hasn't held up near as well as some thought it would because of the water levels because of the record drought. i think in the short term everyone is just trying to think about keeping the heat and lights on this coming winter. >> pippa stevens, thank you. let's get to the broader market right now we're sliding a bit as we head into the close paul hickey from bespoke

investment group joins us by phone. paul, heading into a seasonally tricky period, is this the end of the summer rally in your view >> i think it's too early to call an end to the summer rally, sara, and welcome back thank god you're back. but i think we had a sharp rally, hit the 200-day moving average, ran into resistance there. today we pulled back and tested the 50-day moving average right now. so we're in the middle of this range at this point. i think that you -- just as disappointing that it was that we missed the 200-day a week and a half ago, it's encouraging we've seen a bounce here i think what we have going forward is an environment where sentiment is very negative still. you have positioning in the futures markets that is extremely net short. in this environment we're constantly focused on what does the fed think is going to happen the fed's guess is as good as

anybody's. everybody has been wrong about coming out of covid about what's going to happen. so rather that listen to any individual group, we're just continuing to listen to what the market is telling us and the breadth coming off of this rally from the june lows has been exceptionally strong historically those kind of breadth moves as you've discussed several times over the past week and we've highlighted it has been positive for the markets going forward. so at this point i think it's still to early to call an end to the rally. but it is september, so things could get tricky at this point you just have to respect the trend lines and the moving averages at this point. >> you know, i feel like when it comes to the posture toward the fed with the market, the market still sort of grapples with the resolve of jay powell to fight inflation. what i mean by that is keep

those rates higher for longer and get the qt going i feel like, paul, the real resolve will be tested when we see unemployment go up, we see people losing their jobs an we see economic pain. it doesn't feel like we've seen that yet so how can you determine the path >> well, i think it's very hard to determine the path, like you said we're going -- we've already started to see some weakness in the numbers and we're going to see probably more weakness going ahead. but if we start to see a continuation in the inflation trending easing, that will be a positive and the fed will jawbone the market until they are confident that these trends have really eased. what jay powell said on friday was hawkish, but the market expectations haven't changed a whole lot since that speech.

so i think, you know, they can say whatever they want but when you see the data come in, investors will be focused on that the dallas fed manufacturing report, prices paid was down month over month that's the second month in a row all five have showed slower momentum the last time that was was in mid-2008 we saw that but there's definitely slowing in the momentum price pressures and we see a few more months of this and i think the fed will become more willing to take that wait-and-see approach. so it's just a matter of you have to get the data in. >> got it. paul hickey, thank you for joining us we've got two minutes left to go in the trading day, down half a percent on the s&p 500 mike, what do you see on the internals? >> it's a little soft but pretty mixed relativeto friday. you see 1.1 billion shares advancing against 1.8 declining. it was a 90% downside day on

friday so a little bit more balanced but certainly skewed lower. take a look at the 2-year note yield. just below the highs of the morning which was also likewise just around where we peaked in june so that shows you that we're getting toward 4% on the fed funds. maybe with a cut that's how you get to 3 or 4% the volatility index has perked up, still in the mid-20s you've got a higher low but it's not in panic mode yet. we were well above 30 back at the june low. >> as we head into the close, we've seen a bit of deterioration, markets headed south. we were down 310 points at the low of the day on the dow. right now we're down half a percent or 157 points. the biggest drag on the dow is salesforce along with american express, 3m and microsoft. you've got unh, united health, chevron outperforming. energy and utilities are the

best performing sectors. very noisy here on the floor of the new york stock exchange. looks like we're going out with declines the nasdaq the biggest of the bunch. that's it for me on "closing bell." see you tomorrow now into "overtime" with scott wapner [ bell ringing ] sara, thanks very much welcome, everybody, to "overtime. you just heard the bells we're just getting started in just a little bit i'll speak with eric johnston who has gotten even more bearish in recent weeks is that caution warranted or just too negative? we will ask him and debate his conservative call. the talk of the tape, the road now that jackson hole is history and whether the lows will be revisited or avoided let's ask adam parker who's with me on set. thanks for coming in. >> thanks for having me. >> the