really necessarily responsive to what is happening. >> there are serves inflation which neel kashkari is certained about and a lot of that is not great. it is just not. >> not a lot is great right now. i think the question is what have we already sorted out and put into the market. >> good stuff. mike santoli, we'll see you tomorrow "fast money" is now. right now on "fast," the bank of england he telling pension funds they have threes day to get their you know what is order and they will end on friday that headline flipping markets upside down. we'll break down where the pension problems are ripping you through our shores plus gig shop. by a proposal by the biden administration to change status for workers. we'll look why going from contractor to employee is such a big deal and later chips get whacked again. down another 3% and more misery in meta. and a stock dropping almost 7%

this week. i'm melissa lee, this is "fast money" live at the nasdaq market site a full house tonight tim seymour, karen finerman and dan nathan here on set and we start off with a big shock courtesy of the blank of england. the s&p giving up a gain of a full percent as the bank of england set a hard deadline to end the intervention this friday the nasdaq set a new two-year low and the dow lost a 400 point plus gain to end flat. the move comes after governor andrew bailey urged pension funds to rebalance quickly saying, quote, my message is you've got three days left now you've got to get this done. he added, quote, the essence of financial stability at intervention is temporary. it is not lo prolonged so, what is your take on this deadline and the markets reaction to these very dire words, tim >> look, the minute you start talking about bailing out u.k. pension funds and there is a

central bank intervention that wasn't about losing resolve or central banks running back in. and a lot of people thought that this is a case how could they be buying bonds while cranking up their budget and making things look more difficult for the currency but that is a function of those things they referred to the fire sale dynamics so what seems like last week was just the central bank trying to put some order offer the prime minister went there there when in fact there is really the culmination of months after volatility in guilts an the ux k. and in sovereign debt around the world we talk on this show about the liquid asset classes but those are the most levered so you want to talk about too big to fail. u.k. pension funds are that to the u.k. nothing like your central bank governor calling out to the world that your scrambling and trying to sell positions that you have margin calls on not so good. and it doesn't get better from here and again, we're talking about

using those acronyms again clo's and a obligation market. and on some level a new leg with this journey over the last 15 months. >> part of the key to understanding this whole pension story in the u.k. is understanding that what they have there, a popular investigating strategy the part of pensions is a liability driven investment strategy which is basically defined benefits so they guarantee payouts. what has happened here with this turmoil going on in the u.k. they have a huge hole to fill when it comes to the value of the bonds and this strategy, they're levered strategy is because they used derivatives here as an over lay. >> they've got to. that is the only way that you could guarantee that you don't fall below a certain threshold or go above a certain threshold. and what has been holding markets up somewhat and kept people from running for the doors is this notion that there is not financial contagion

this time is different and everyone has said, this is what is different. well, i'll tell you, if you see volatility in sovereigns, that is the underlying pricing mechanism for every other financial assets whether it be mortgages or credit or whatever else. or even if you're looking at equities you look at equities vis-a-vis what you could get in risk free. and so the next point is who is the next buyer aside from pensions aside from the central bank, that is one of the largest buyers of index type of security so i will understand the b of e saying this has to be a temporary intervention because you don't want the -- it to appear that markets are being manipulated but i would argue that fiscal policy -- rather monetary policy for last decade has been kind of put where we want it to be. so it is a fine balance between short-term solution and just understanding what the medicine truly is going to be and what it

will take to provide stability. >> again, history if not repeating, tim just used clo, in the summer of 2007 when the first one blew up in europe, no nobody, i mean nobody had them on their bingo card. and so think about all of the things we are trying to figure out afterwards as it relates to the plumbing of the system and here we are now. i haven't heard about it until peter started righting about it a few things good. and investors will shoot first and ask questions later. in a market like this. the last thing i will say, i don't like deadlines for big fund organizations that have these kind of levered sort of situations that they need, people need to -- >> kind of harder to sell. if neeverybody knows. >> but people shoot against it and they look and see what is in there and it has the potential

to snow ball. >> i was really surprised by this where did this three days come from what was the assuming it was a rational thing, let's say that we don't know for sure because we have had some missteps recently why? why do that? why telegraph? we're giant buyer for three days an then not. or do they think the problem has been addressed adequately and they just want to wrap it up i don't know so not knowing isn't a great feeling. >> or something really bad happens on the fourth day. >> yes there is that. >> the other part of any of these deals is that there were banks involved that sliced those up and put them in different securities i'm not saying that the banks have the same exposure they have 14 or 15 year ago, but if nothing else you could be sure that this was great business for the banks and it is not business they're doing any time soon. and but i do think that the credit implications from this market and we talk about well high yield hasn't blown out yet. well high yield is at 5% today

it was at 3.25 in march and that is spread. that is interest rates that have gone up 300 basis points too so when you think about a levered borrower in an environment where there is significantly slower growth and we've only started to get it meanwhile labor costs stay high and this is the credit side. we haven't had any credit exposure we priced in recession and lower multiples but we haven't seen this yet. >> let's get more on the impact and bring in peter bookbar with leekly financial group and a cnbc contributor great to you have us with on a day like today in your view is there a transmission mechanism from all of this chaos and volatility in the u.k. to the united states that we should be worried about? >> well i think it is an example of a central bank that is having difficult extricating themselves from the policies over last couple of years. we know there is pressure on

corroda, tremendous pressure on le guard and on the fed to regain credibility at the same time not losing control of the bond market and disrupt the economy. so all of the central bank hes are trying to do the same thing all at once. now the bank of england got run over from this overlevered situation as you just discussed with the pension funds but just because it happened there, doesn't mean that there are other sort of accidents waiting to happen. as cost to capital goes up and leverage players get exposed. >> so i guess let me reask the question in two sort of parts, peter, and that is when it comes to these pensions, having to right think ship in three days and all of this happening in a very compressed amount of time, should we be worried about bank exposure, u.s. bank exposure to any of this? i mean, are there ways in which this is transmitted not just on

to bond market and our yields and secondly in terms of accidents happening around the world, is the worry that it is not just one accident that could happen, but it is a cumulative effect of several accidents almost at once >> right well in the first question, i think that the u.k. pension situation was sort of enabled by u.k. banks and one of the things that the bank of england did was set up a temporary facility to deal with the lvi clients. the question with the u.s. banks is do pension funds here have similar type structures in order for them to meet their liabilities. and i think that they do but we'll have to see how banks are now managing that relationship but it is not clear yet whether it will be a direct spillover as opposed to something indirect. the second question, sort of the broader big picture spillover, yeah it is just this global

unwind of a sovereign bond bubble that was the biggest financial bubble ever. where you go from negative interest rates and zero interest rates to positive interest rates of substance in a very short period of time and there is no question that people get off sides that is the purpose of monetary policy on the easing side. to encourage you to borrow and there are some entities that borrow a lot more than others. and then when you see a very sharp reversal in a very compressed period of time, those that borrowed too much, then run into trouble so that is example is a global situation. so then you have the rise in the cost of capital and it filters into economic activity who gets financing and who does not who has a better balance sheet and would does not that all slows growth at the same time inflation itself is slowing economic growth, particularly in europe with the energy situation and so on and so on. >> peter, it is karen thanks for being on

so you could explain to me the magnitude of the u.k. problem here and this strategy to address it in three days >> well, the strategy, with the bank of england purposely did a few weeks ago when they stepped in was to buy time, that started two weeks ago. so the clock is not just three days two weeks ago they said we are going to make this temporary, we are going to stop in the middle of october and then we were reminded again this morning when they said they're adding the -- when they started this facility yesterday, they told people this morning, we're ending this on friday. so then what bailey said this afternoon was just a reminder of something that we've already known. and bailey is saying we hope that the time we bought you over the past couple of weeks was widely utilized and that you've delevered. you've come up with more collateral the banks will now work with you. so in the following three days hopefully the situation has been dealt with and there are no major accidents to come by

friday afternoon >> so what is your take on the market sell-off on these comments, which i mean theoretically the deadline was known and so is there a thinking that the boe would extend and they didn't and you know like you know what, we're out of here and we are done an the market wasn't expecting it. >> and i think it was -- yeah, i think it was more of a late day thing. the market is on edge anyway because of high rates. but the markets also on edge because of the potential earnings land mine we are about to enter so, that combined with what is going on with rates, i think, is what that sort of dangerous situation that we're now seeing that culminated in that late-day sell-off. >> peter, thank you so much: turning now to the big interview of this afternoon. before the boe headlines hit, sara eisen sat down with janet yellen to discuss her thoughts on the u.k. policy the secretary has plans to sit

down with the finance minister to discuss the strategy. that should be an interesting meeting, sara. >> absolutely. thank you. my big takeaway from the meeting and from the conversation with yellen is she's characterizing the u.s. economy as strong despite the concerns right now that you have been talking about. higher interest rates, higher inflation and a slowing global economy. of course, we tupped on what is happening oversees fiscal policy decisions in the u.k. that have hit bonds and the pound. the intervention by the bank of england to try to calm things down here is what secretary yellen said about it. >> i have been watching u.k. developments quite closely i will -- i have met with the chancellor courting and i expect to meet with him again i don't want to comment on u.k. policy, but i am going to try too understand what the impact

of those policies and their rational is. >> i pushed her on point to try to get her to talk more and she did add that her general view is that central banks pay the lead and fiscal policy should be complimentary which is a shot at the new growth policy which sparked all of this. and i also asked secretary yellen if she was concerned about the volatility in the bond market and whether there was reason to worry about liquidity and financial stability. listen to what she said. >> there have been a lot of underlying shocks, decisions for example opec's unfortunate, very unfortunate and i think unwise decision to reduce oil production so have been shocks and shocks relating to russia, russia's war against ukraine, and other, you know, policy shocks. while you know, there is some

concern about liquidity in the markets, i don't think we've seen anything that rises to the level of a serious concern >> another big line from secretary yellen, she said it is in the best interest of the united states to have a market value exchange rate. ie, don't expect us to intervene any time soon. it was in response to a question i asked about emerging markets have toing step in japan having to step in because the dollar is so strong. she said it reflects the market fun fundmentals. my biggest takeaway for investors and i love to hear what the gang thinks, there is a bis of a disconnect. if you were expecting the treasury or the fed to step in here like we're seeing in u.k. and japan and other countries, she's not flashing the alarm bells about the economy, about the market functioning, about the strength of the dollar and even the u.k. when it comes to spillover effects to the u.s. >> yeah. it is amazing, and i don't know

it is amazing, but the monolithic front that treasury and the fed is presenting to the american people when it comes to fighting inflation so sara, thank you so much for bringing us that interview fascinating stuff. i don't know so so the dollar will remain high we're going to keep going at it and there is no problems. >> and as the dollar goes high, i bet the vix goes higher. and dan brought this up but it is great for small caps. but i'll get back to yellen. she's been around forever. and i mean this in a positive way. it is complimentary. she's seen so many crisis in administrations but her discussion about fiscal policy, she's part of the administration now. and what we're seeing around the world are administrations that are going through political cycles that do not like what is happening with monetary policy and i think we're given ground in this country too and our central banks independent, but the administration is not independent. they have some goals out there i'm say one more thing about

where this reminds me of when i look at european sovereign debt yields and we heard the ecb point out today that they can issue debt and they can issue debt to aid higher yielding economies and those that are hit more by energy issues. but again it is the acb looking to monetize. so italian yields are not terribly far off where they were in the worse of the sovereign crisis so this went from a private market crisis in the great financial crisis where it was all shifted on the public balance sheets and we've just been kicking it down the road and central banks have forced u.k. pension funds into this by the way all pension funds have to fund liabilities and they're pushed out the risk curve they have no choice. and that is what every sophisticated investor that we rely on in this world has been forced to do. >> we were just talking the other day about hedges and now they have not worked through about pension funds that use bonds as the ballast in

their -- >> think about the bond. >> this really feels like tlar they're going stick their finger in this hole to fix this and i just think that again, i don't think we're on the precipice of anything like '07, that sort of magnitude. but the fed is going to have to stop q.t. very soon. it is very simple. because financial conditions are going to get to a point where it really does run the risk of pushing some of the situations over the edge. and if we're waiting for some sort ever credit event, that is the thing. so that is what they'll do after the november 2nd meeting, i suspect at some point later in the year. >> doesn't that set us up for a rally of a vicious cycle after rally and things are harder for the fed. >> here are the good news about the fed. they're trading poorly into it and the outlooks will not be great. we spent half of the show talking about what jamie dimon had to say yesterday so the lower we go into that is the likelihood that we rally out of

it because many some of the estimates have come down enough. that is what we saw in july with the q2 earnings where they weren't so bad we rallied out into it. >> yeah, i mean, i just think it is tough to trade the market setting up for a pivot of either q.t. or monetary policy. i think that adds fuel to the fire and emboldens the fed on the path they are currently on and we to talk about perhaps i'm with you, dan, that in terms of the p.e. multiples have come down but think there is a whole lot of a hair on the e. part and that is where the investors are focused and unless that finds a floor, q.t. and the other headwinds will point down to the fact that we still to head lower. >> coming up, bank beatdown. jp morgan hitting a new milestone. it is not one you want to celebrate. we have the details ahead. but first is the jig up for the gig economy. a new proposal pressuring stocks like uber and lyft and door dash will the names still work in

your portfolio the traders have their takes when "fast money" returns.

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welcome back to "fast money. gig stocks tumble on news the labor department is weighing a change that could turn gig workers from contractors to employees meaning the companies would provide some benefits to freelance workers. lyft and door dash dropping to all-time lows. uber dropping by as much as 17% before pairing this of the losses tim, you sell fast fire because you highlighted the fact that you picked lyft as your five year stock, long-term stock. whatever it was. >> we played another yet fun game which doesn't feel so fun right now. but i gave myself five years and what i pointed out about lyft and i'm going to say and we've said this recently, there are some news headlines that seem to punish stocks over and over again. punish them again. to me, with lyft, we've punished them on the driver issues already. we've puch punished them on lack of drivers and see that start to normalize and to me i understand that this is pressure.

this is also feeling like another administration kind of statements at a time of midterm elections that is going to be particularly popular so i'm not sure they could do this so i look at this kind of weakness and i think this is an ideosyncratic way to get long. i like it in this kind of weakness i'm not running from that pick. >> this had a bat until california and we already know the weapons in tow so i was a bit surprised to see the exacerbated move here. i will say that i wonder what the implications are in terms of the unemployment rate. because you have all of the people that are working from home or working multiple jobs or able to have support themselves, if these are brought in house how this is constructive to unemployment maybe they want the unmoemploymt rate to tick up but will this

slow spending. i don't see the correlation between someone driving uber and lyft and taking out of the housing and the market and consumer spending i. >> i think the big issue is having gig workers, is that a core part of the business model. is that so important to the business model that if you took a-t away it deserves a discount towards trading right now. >> i don't think it deserved a -- if you look at lyft, they are not expected to make money for a couple of years but this is an industry here to stay. they're focused on north america. and do the unit economics make any sense in these businesses and some have been asking this question for a very long time. and if you look at a stock like this at all time lows, you say they don't but here is the deal they have half of the $3.9 billion market cap and they have a billion in debt and expected to grow sales so if he

continue to lose money there has to be light at the end of the tunnel but this looks like a cheap asset. i said that in september, i bought it when time said his five-year thing. i had to sell it i took a loss. but if i haven't sold it would have been a bigger loss. again, this is goes back to my final trade. when i said -- >> i don't know how you suggest buying anything in this market right now other than puts. >> so just so people know, a hat size is something south of ten right. >> presumably. >> we're talking about how -- >> big heads on wall street. >> right so i think that clearly these stocks were penalized today a lot. i don't know if this bad news is fully prices in but it is not a certainty that it will happen. and i like yourido sank crattic. so this is an opportunity i

think. >> coming up, streaming lower. shares of netflix getting kill chiled but if the binging beat down hearing an end. details next and talk about semi slum the lowest level in nearly two years. so how low could they go is there value out there the traders are plugging in that one next you're watching "fast money. we'll be right back. personalized financial advice from ameriprise can do more than help you reach your goals. i can make this work. it can help you reach them with confidence.

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welcome back to "fast money. another check on how stocks closed out the day the dow breaking a four-day losing streak and the s&p and nasdaq not so lucky. notching a fifth day of losses s&p dropping more than half a percent and the nasdaq fell more

than 1% hitting the lowest level since july of 2020 a couple of names to highlight jp morgan falling 3% today 101.96 and closing in on the $100 share mark. the stock is down 10% in the last week. and netflix one of the worst performers, shares dropping 7% today. it is down 11% in the last week. karen. >> the last week, just the last two days or five days worth, because if there is another three days let me go with jp morgan so jp morgan now just over a hundred, is at slightly less than 1.5 tangible book value, not book value but tangible book value which is a lower number but that is sort of a really interesting benchmark that it hasn't passed the low in a very long time. i think this -- any kind of banking crisis, of course, makes banks trade poorly

but i'm long staying long for earnings i still love jamie, that is true. >> clearly, but i just think the valuation represents a lost lot of bad things that aren't happening. >> dan. >> we're at a traufr in the financial crisis >> i would say it is closer to one-ish or something like that. >> yes >> this thing is in a-f free-fal it is led to the s&p down 35% anda any 52-week low nearly a year and a half low and so again, i mean, i have nno idea what they're going to say, i can't imagine the outlook is good but quickly on netflix, it feels binary stock has traded in this tight range for two months massively outperforming the no nasdaq that is filling in the gap it is going up $50 in a straight line but if they were to guide

down -- >> and we're not focused on subs this commentary is not about subs they've changed the conversation to pass word shares and things like that. >> semis hitting the low elevels in two years an no magic in meta big hardware reveals. shares heading south despite the headset launch and how are options players trading this name. "fast money" is back right after this and buying your starter home. or whatever this is. but the things that last a lifetime like happiness, love and confidence... you can't buy those. but you can invest in them. we believe that your investments should work harder for the future you imagine. and that's where our strategic investing approach can help. t. rowe price. invest with confidence. thanks to avalara we can calculate sales tax on almost anything, anywhere, automatically. avalarahhhhh.

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welcome back to "fast money. chip socks failing again some names should bottom soon. ruben roy is a semiconductor analyst at stifle. great to have you with us. and we want to be clear that right now you could talk about nvidia and we'll limit to that and intel and broader industry trends as we see what feels like the same news again and again, one company warns, another company warns and the whole group trades down, we get the initial restrictions released by the biden administration and it gets codified and traded down twice on this. how do you view how much has

been derisked from this sector at this point. >> yeah, hi, melissa it is about uncertainty. so we did have some of the bigger companies, samsung and amd and micron and a few others talk about lower numbers for q3 and going into the back end of year but the broader group really hasn't cut numbers yet so i think from an investor perspective, the question is how bad are the cuts going to be and how prolonged are the cut going to be. we have a couple of years of strong growth well above trend lines we've had a couple of years of strong pricing in the group and so i think there is uncertain as supply improvements start to hit, you know, hit the space. >> we're talking about cuts to estimates and just the macro environment into the united states at this point, right. it is supply chain issues, it is demand issues. orders and things like that. but you're not even factoring necessarily the potential impact

from the enforcement of these export restrictions, is that correct? that is a whole other basket or bucket of estimate cuts to come? >> absolutely. so we really don't know the extent of the export restrictions we had some more news on friday and we have a call coming this week where we'll get more color and detail around what the thought is around restrictions our sense is that the restrictions are likely to end up being something that is a near term event rather than a long-term event. we've seen the semiconductor companies end providers of high-tech work through these restrictions by licensing that could be exported to these countries but again we have uncertainty here and that is an overhang to the space as well. >> so when you think about the worst case scenario concerning where estimates may have to be cut, has that been reflected in the valuations of amd, of intel

and nvidia, the three stocks you currently cover? >> we think so for amd. so amd, we had a pretty massive realignment of our estimates for q3 and in fact our earningsest pat for next year is down 20% and the stock is down 60% year-to-date so we think a lot of bad news is reflected and the way shares are trading, we take a look at valuation and it is trading at trough relative to the trough valuations over the last five years and to that one, amd, we think we've seen a lot of bad news and it is reflected in the way that the shares have traded. we think we have a little more to go potentially and then nvidia, the valuation hasn't coming in as much. we have an estimate cut through but uncertainty around that one. so it is a wait and see. from our perspective, amd we've had a clearing event and we think the stock is setting up well as we get into earnings

season if a couple of weeks time. >> on the gardner data, down 19.5% for q3 that follows a 13% decline in q2. i think it was the steepest decline in the history since gardner has been tracking this data from your experience, do you usually see, like what do we expect after a down 20% year-over-year quarter in pc's because to me it doesn't feel like we're near a bottom at this point. >> that is a good point. and pc's sort of had a little bit of a abnormal growth spurt as we all went to work from home and learn from home, et cetera so and we're formalizing and what is the bottom and what is the right numbers in terms of shipment we saw 350 million units of pc's being shipped and so we're trying to figure out what the run rise of units is and it is too early to tell. so, probably some more downside but here again when you think

about amd, it is a company taking market share. they're underrepresented in our view there both consumer and commercial pc's and as they continue to gain some share in those markets, even with a lower overall unit, we think it is a good setup for that company specifically. >> thanks for joining us. >> thank you for having me. >> ruben roy of steifel. and amd is one that you have, karen. >> do you still have it. >> yeah, i still have it. >> i meant the toe >> but i have big feet so i have -- there is margin for errors there so i think that the valuation in amd and i look at nvidia, that valuation still seems to be lofty. i know it is not exactly the same but these things are trading generally together now and that sort of seems like an interesting pairs trade to me. long amd and short nvidia. >> the idea that it has not come

down is an interesting one to me it seems like more pain is in the cards at this point. >> it seem to support the thesis this is a supply and inventory situation versus a demand situation. and people have yet to wrap their mind around that even if we are through the worst of the supply side issues and that we'll promote our way out of the inventory issues, what is the next leg for demand and until that question is answered, i don't understand how you don't bring down expectations. >> every day we're going more from supply shortage to supply oversupply and lack of demand. look at the smh to where it was pre-covid, it was 150. so put that if context. >> all right coming up, meta debuts a new vr headset and the stock drops. does zuckerberg have his head stuck in the clouds. and we're celebrating our

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dollars pose significant calgarys to meta's growth. so they have these issues. they have a vr headset that is expensive and the stock is not doing well what do you make of it. >> and it doesn't want to be known as a hardware company either guy back to the core business and i look at the ad business and the cpms down 20% and the numbers that we've gotten since then they're down another four points or so in august. so expectations are not great here that is the good news for the stock. because the multiple clearly has it and i think that is really what it comes down to. at what point, and i've said this, that these media companies have priced in recessionary headwinds and first one to go. facebook has its own existential issues but i think you could oeb facebook here. >> meantime, action on facebook's options betting that the stock is headed for even more losses. mike khouw has the action. >> yep so meta was fifth busiest single stop option today.

traded over 4,000 contracts an the busiest among those was the weekly 130 puts. we saw over 14 to you of those trading for for 3.44 to tim's point, i think what is going on buyers who are pressing their bearish bets trying to limit their risk because the stock is looking mighty cheap at this point the last time we saw valuations in meta like this was the fourth quarter of 2018 and the company has nearly doubled the revenues in and 50% more eps now than it did then. >> mike khouw, thank you for more "options action" tune in friday. coming up, should you role the dice on the casino stocks. we'll be joined by bill hornbuckle "fast money" is back in two.

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the digital age is waiting. welcome back to "fast money. shares of mgm falling 3% today, down more than 30% this year contessa brewer is life in las vegas with ceo bill hornbuckle contessa. >> thank you very much and great to you have here right out the gate what we've been talking about on cnbc is the spector of rising

interest rates, inflation, consumer sentiment, because you have so much exposure across demo graphics and regions, in las vegas strip, in sports betting and interactive and in mccowen, would you seeing cracks in the domestic and global economy. >> let me focus first on las vegas because it is our home it is where 60% of our revenue comes from 65%. las vegas remains exceptionally in a great shape our avr's are up and our occupancy remains strong it is programming and it is weekends the momentum in the first and second quarter has continued so i could tell you that so this market, while we're not foolish to what may be coming we have not seen it but so the notion of people traveling and the las vegas is a value destination and our presence here combined with -- i'll give you a great example, denver broncos were in two sundays ago, i'll give you a dollar for everyone that wasn't

there for denver cheering on their team and so it is booming but mgm continues to do all of the things it was intended to do and we're very exciting where the business is going and obviously you know the story of macau. there is a story to tell there. >> and part of thetory is about this surprise 7th bid for six concessions by denton which owns resorts word here in new york and in las vegas as well give me a sense of how your positions now to have real competition for that concession. >> i think it is not only our company, i think it is concessionaires. we have been highly supportive through all of the covid in taking care of our employees, taking care of our sme's that we deal with. so i think we're all in good shape. obviously an entry is an entry and we have to treat it very seriously. we're focused on it. we think we have a great proposition going forward.

we're answering government's calls about diversification and entertainment and tourism and the kinds of things that we think that will drive the market in the future and if the government has its own choice to plaque when this process is over. >> macau is not your only international business you've completed urovegas in europe >> as we have stated before on your show, we think digital is a mace to diversify our business we have a great partnership with mgm. again it is doing all of the things that it wants to do but we want and need to go global. we think vegas has a great team and i platform that sits on cloud so it is expandable and scaleable to almost any level. we like what they do and the markets that they're in so we see it as -- it is not going to change the profile of the company but it is going to change the trajectory of the business over time and we like that. >> one place that you would like to be there california most populous state in the nation right now doesn't have sports

gambling and you some of your competitors have tried to debt on the ballot. but the polling looks like prop 27, which would allow commercial operators to operate mobile, the polling doesn't look good for you. there is atory in the journal about the coalition pulling back on ad spend. are you just giving up the fight there. >> no, look, we're going to continue to monitor it we've made an investment at this point. at one point we were is a bove 50%. we're not there. >> what happened >> i think people just didn't want to go for the initiative. this is a shame. because sports betting is very popular in 26 other states the initiative and all of the tax money would have gone toward the homeless and it would have helped tribal gaming and think people are not focused on that issue. it is not what they care about and i think we wore them out we'll continue to watch it but time will tell. >> bill hornbuckle, great to have you here. thank you for making time for

us and melissa, you have ceo's talking about the looming clouds, but gaming tracking 15% above gaming revenue for first six months of the year >> thank you, contessa tim, why do you go in the space. >> i like casinos but i think casinos are just living under a covid head wind that has taken their ebidta multiple down by in many cases two-thirds. if you look at mgm, they have 12 bucks in cash and they're the number one in bet mgm in terms of online and that business has shown nor rationality and vegas is strong. i think you're going to be rewarded long-term here. >> there is no arguing it is a valuation. they're pretty compelling at these levels i question whether you want the exposure to the consumer do we have capacity to spend of the casinos, i prefer mgm and

they don't have the tail winds and headwinds coming out of macau and i think they're doing a good job in the domestic united states and in vegas but do i rell really want the consumer exposure at this time i don't. i think they are a compelling valuation. >> up next, final trades what's going on? where's regina? hi, i'm ladonna. i invest in invesco qqq, a fund that gives me access to the nasdaq-100 innovations, like real time cgi. okay... yeah... oh. don't worry i got it! become an agent of innovation with invesco qqq

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it is time for the final trade. around the horn. tim. >> we talked about it. think you've downgraded the ad space and think they could moderate that spending and i think at the valuation is long. >> i like the one year treasury. i think it is an excellent risk reward. >> bonawyn. >> chinese drinking notwithstanding i think this is one that you could look into diversify and cheap and with growth prospects as well. >> that was a story we did not get to the proposal to make civil servants not drink at all even after hours in china it seems nuts. >> it makes it tough to -- makes a long day nothing to look forward to. >> a long day longer >> dan. >> another story we gnt didn't get to this is a real story

the twitter elon musk and he's tweeting stuff about russia and ukraine, he talked to putin or not or whatever. i still think, you have four up on in twitter and 5420 that is how i'm playing it. >> thanks fo my mission is simple to make you money, i'm here to level the playing field for all investors. there's always a bull market somewhere and i promise to help you final it "mad money" starts now. hey, i'm cramer, welcome to "mad money." welcome to cramerica other people want to make friends, i'm trying to make you money. my job is not just to entertain but teach. call me at 1-800-743-cnbc or tweet me don't be nice, @jimcramer. we