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we're back to "worldwide exchange." a wild ride for bitcoin. now trading alt 28,000 at its highest level since june. crypto stocks have ridden high. check out coinbase, marathon digital, and ryan all doubled up between 130% and nearly 170% this year. so why the sunday change in sentiment? our arjun kharpal joins us live from blockchain paris week. bonjour, arjun. >> bonjour, frank. there is a market rally taking place. let me just explain that a bit. it all comes down to what we're seeing in terms of banking turmoil. firstly you have a lot of bitcoin fragility showing bitcoin as a great alternative. that's one reason we're seeing

that. secondly it could force the fed to rethink its rate hiking path and potentially slow down the. the big question is is the crypto over? of course, there's optimism. perhaps there is a slightly more upbeat outlook for the crypto world, but certainly there are so many issues. key crypto banks and lenders of the industry who picked up the slack there as well, those are very key questions and also, you know, given sort of the broader macro environmental, does blockchain, which is being talked about a lot here, going to be adopted when perhaps companies aren't invefgt as much technology and some of the future thinking areas at the moment? certainly a lot of uncertainty

remains. is the crypto world over? i think it's a bit too early to tell, frank. >> give us a sense of what you're hearing on the ground. also when it comes to the rise in cryptocurrency, how big of an impact has the finance been converting the bitcoin into other crypto? >> yeah. i mean that's certainly been a huge boost. we know it backs off the issue of that. it's been told to stop doing that. it's adding to some of that buying upside in bitcoin. i want to hone in in particular on crypto, getting up around 18% in the last 24 hours. there's optimism growing here. they might be coming to an end. a quick recap here. if it goes the side of the

s.e.c. and says this is a security issue, you have the broader crypto space as well. ripple is saying that they're very optimistic. i caught up with the president a few moments ago, monica long saying she's very optimistic of the sentiment and it would go the side of ripple and that's adding to it. that's, again, another issue. >> arjun, great to see you always. great reporting as always. ahead on "worldwide exchange," new jordans and a promising pipeline, not enough to have our next guest say just do it when it comes to buying nike stock. plus, an all-expense-paid trip to the happiest place on earth around we're not talking disney world. "worldwide exchange" continues. stay with us.

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numbers. it's about three buck bess low where the trading is at. any changes to your view on the stock? >> i raised the price target from 111. i think that -- i think that they've improved a number of thinks especially the international market including china where the only market where the ebit margin percentage increased. the excess percentage is still in north america, and while the sales in north america beat significantly, the operating margin was still down from last year as a percentage. and i think they are promoting. i think they possibly are getting consumers used to discounting product, and i'm not talking about marquee products such as jordan retros, air

force, or a few others. i'm talking about a large swath of product both in apparel added footwear. >> i don't see those jordans on sale one bitting sam. obviously the inventories weighing in on it. up 15% year over year. nike seems confident they're going to work that down as the year goes on. do you see that as a possibility would deep, deep discounting? >> if you look at the inventory levels, which we estimate are still about $800 million where they should be on an optimum basis, again, in north america, it looks feasible they could get their inventory into line by the end of q4. again, they've got to do everything almost perfectly to do so. the inventory levels that came in at the end of the third

quarter were i thought the best they could have done, and i wrote about that in my preview note. >> they thought if they ever were going to work it down, the holiday inventory would have been the time to do it. i want to talk about nike's growth when it comes to direct sales and digital sales, both up strong double digits. long term, where do you see the channel when it comes to the flagship stores and also their outlet stores. >> well, i think it's still very important to them, but i also think they're learning that to get to everybody, they need to have a better balance than they probably thought they would have, you know, a couple of years ago during the pandemic. >> sam poser, we've got to leave it there. thanks for your price target.

123. thank you very much. hecht's get a check on this morning's other headlines. pc's frances rivera is here with the latest. good morning. >> frank, good morning. rather than waiting more than a year to build and ship new abrams tanks, the pentagon has decided to send ukraine older refurbished abrams tanks with the hopes of getting all 31 delivered by the fall. the pentagon also says the stayedside training of ukrainian personnel on patriot missile systems has gone faster than expected. dozens have been training in oklahoma on the advance surface to air missile system. they might also be on an expedited time line. more wild weather is thrashing k. more than 100,000 are without power and millions are on wind alerts. it was hit with its 12th atmospheric river in just a few months, the system dumping 10

inches of rain which has faced a drought for nearly a decade. the final baseball game was a classic u.s. versus japan. trea turner had a second inning home run which allowed the u.s. to take the lead right back. it would come down to the ninth inning. mike trout faced captain o'shea ohtani. >> he struck him out. ohtani strikes him out and puts japan on top of the baseball world. >> shay ohtani strikes out his teammate. japan wins 3rks-2. it's japan's third world baseball classic title. those are your headlines >> i was rooting for usa. i couldn't imagine ohtani and

mike trout. up next, why others have joined the likes of goldman sachs and why wells fargo is causing for a pause. and eyebrows raising about insider actions and the lead-off to the collapse at silicon valley bank. valley bank. nd if you a power e*trade's easy-to-use tools make complex trading less complicated custom scans help you find new trading opportunities while an earnings tool helps you plan your trades and stay on top of the market

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welcome back to "worldwide exchange." with interest rates so much higher than last year, cash has been king, especially for investors. with the growing number sitting on the sidelines when it comes to buying up properties. cnbc's real estate correspondent diana olick with more on how it's set to reset. good morning, diana. >> in the first years of the pandemic, investors were a stiff competition in the housing market as they took advantage of

the strong housing demand. now the math isn't working out for them anymore especially in previously hot markets like las vegas. las vegas has long been a favorite among housing investors. the market sees a lot of new construction and saw an influx of residents in the first years of the pandemic, but at a new listing recentlying nothing. >> i definitely have seen a huge increase in investor offers. it was rare i would list a home and not have three or four hedge fund offers. they ended up purchasing a third of inventory at that time. >> reporter: home sales were down 37%. but sales to large-scale investors owned more than 1,000 properties were down 79%. it's a combination of higher property costs and a higher cot of capital thanks to higher rising interest rates. >> now if they make an offer,

it's typically below market because they don't know the derek it's going either and theern sunty of where it's going and the cost of capital. they don't have the free money to turn around and buy these homes cash. >> that is good news for regular buyers who are mortgage dependent. but home prices are still stubbornly high, especially for new construction. a lot of that has to do with builder cost for land, law bore, and materials. frank? >> die a narks great reporter as always. stay with us. speaking of materials, we continue to watch the price of lumber. it's well off during the peak. we're going to get insight from kyle little, chief operating officer of sherwood lumber, a wholesaler nationwide. great to have you. >> great to be here. >> lumber prices are very low

right now. how do you see that impacting demand for your lumber? >> during covid we saw a tremendous amount of demand pulled forward. so the last 18 months or so, we've been seeing what we've called this great reset in lumber prices. we're now sitting at what we believe is the bottom third of the new price range that we'll move forward with. what we're finding is any time we see a surge, we see a demand and an uptick in prices. >> i was actually thinking, you know, we saw a huge jump, huge jump yesterday in existing home sales, and tomorrow we get the read on new home sales. do you expect -- the builders have really not responded to that yet. the housing starts have been very low. do you expect in the coming

months we're going to see a surge in housing starts? >> i think it's really dependent on what really happens in regard to interest rates in general. any time there's a sign of flattening out or a pullout, you start to see that shell demand that comes back in the marketplace. if you look at the current case of sales today, we have pulled back to roughly 2019, just before precovid levels, so they're not like doom and gloom. i think what the majority of the industry or marketplace feels or sees in the media, we're steady as she goes. supply side is adjusting accordingly. that's why we're starting to see a stabilization in lumber prices, and any uptick is going to create another supply side rally. >> i wanted to ask you about the refi market. diana, where are you seeing the refi market right now? a lot of people refinance their

homes and with some of the savings, they put it back into their homes during renovation. diana, what are you seeing? >> homeowners right now are sitting on just a ton equity, and they're beginning to pull it out more. the market is very depressed because mortgage rates are so much higher than a year ago and so many people took advantage of lower rates years ago that very few people would have a rate that would help them refinance. it's the cashout or maybe the equity line of credit. we're seeng uptick in that as people do want to put more money into their homes. they have been doing it more in the last two years wharngd i'm seeing in the new reports going forward, home prices are expected to drop because of higher costs for everything else. >> kyle, same question. what are you seeing when it comes to refis or renovations? are you seeing more of an uptick when you see the do-it-yourself

renovator? >> during covid, what you would see is the perfect storm in the dyi or apparent remodel segment. i don't think we'll ever go back to that amaing surge we saw because of the shelter-in-place. it was a formula for everybody and their brother go out and get the job done because they had the time to do it. that being say t most recent phenomena of the interest rate gap, sitting at sub3% mortgages, they're not going to move any time soon. they're going to be looking to build better places to entertain, better chances to have that feel-good feeling around the home. right now we're seeing that adjustment in demand as we move

forward because they're not going to move into a new home at 6% or 7% interest rate. they're going to provide a tremendous amount. >> a lot ofí'q twists and turns the housing side. kyle little, thanks so much for your insight. diana olick, thank you so much as well. we're celebraing women's heritage, sharing stories of women and businesses. as we head to break here's heineken ceo maggie. >> i think allyship is really important. as women we need to step allnd do that more for the people we know and care about that works together with us, be it male or female. female. so i think alleyship

what if you were a global bank who wanted to supercharge your audit system? so you tap ibm to un-silo your data. and start crunching a year's worth of transactions against thousands of compliance controls with the help of ai. now you're making smarter decisions faster. operating costs are lower. and everyone from your auditors to your bankers feels like a million bucks. let's create smarter ways of putting your data to work. ibm. let's create

back to "worldwide exchange." we wrap up with w.e.x. wrap-up. the bank is reportedly hiring advisers including lazard and mckinsey to look at chip prices. chipmakers are making cuts in the industry. total cuts will come in at 320 positions. greg abel, the man warren cease as his successful. he bought $24.6 million of berkshire shares friday bringing the steaks to $24.5 million

. allan shaw says norfolk southern ceo heads back to capitol hill today. amazon has reported a net loss of $48.5 and shares of nike under praern despite reporting higher than reported revenue. gearing up for the trading day ahead, we get weekly mortgage applications, also watching for earnings from ollie's bargain bin. chewie and kd homes today. that's out at 2:00 p.m. eastern followed by comments from jerome powell around 2:30 p.m. eastern. cnbc will have complete coverage of both. your next guest is asking what's wrong with the central bank hitting pause on its rate hikes at least for now. malcolm etheridge is the

executive. glad to have you here. what are you expecting later from the fed? what do you think they actually should do? >> what i think should happen is not necessarily what i think will happen at 2:00 p.m. thinkty fed should hit the pause button and see how things wash out in the a couple of months. their mandate is to tighten all till enough things break and have fadden in line. not enough has broken because a few banks have tall tered. that said the reason i think we should see a pause, a 25-points basis hike isn't going to cure inflation at the moment. i don't know what's wrong with hitting the pause button until may. you look at other sectors like

real estate and autos, for zpam pl. >> any concerns that a pause would send a mixed message to the markets and actually confuse people about where the country is and where we are when it comes to the whole banking crisis? >> frankly i think the whole banking crisis has auw7sç bunch mixed signals everywhere. you have the deposits sured and on the other hand, up to $260,000. the fed has found ways to use the mechanisms at its disposal by backstopping deposits without coming out and fully saying your deposits are 100% fdic insured. there are so many things that could be seen as a sign of one thing versus the other. but there's just a lot of -- you could parse any idea out of any of the moves the fed manks.

we won't use the word pause outright. they'll say we're going to come back and revisit this in may. >> data dependent replacing transitory in 2023. before i let you go, i want to talk about what seems to be the two hot topics when it comes to the market, investing in the banks and also big tech. where do you stand on both? >> i don't think it's time to invest in bank stocks just yet. i think there will be better opportunities down the line. we don't know how many banks hold papers of their fellow banks, what we would call a zombie company. i don't think it's the time to go dumpster diving and buying banks. just because they're down 50% doesn't mean they're necessarily a bargain. i do think the rotation into tech is kind of obvious when you consider companies like a

microsoft or apple don't necessarily need to borrow for their operations to continue. nor do they need a balance to grow. they have enough funding on their sheet to grow. i think the rotation into tech is happening. i think it's the only positive s&p sector right now. >> malcolm etheridge, we appreciate the insights. thing you for being here. we see the future lows i think i'm ready for this. heck ya! with e*trade you're ready for anything. marriage. kids. college. kids moving back in after college. ♪ here's to getting financially ready for anything! and here's to being single and ready to mingle. who's ready to cha-cha?!

good morning and welcome to fed decision day. we're going to find out if the fed banking turmoil is enough to cause a pause in the rate hikes

or not. predictions straight ahead. meanwhile inflation in the uk rose unexpectedly in february, and ecb president christine lagarde warned in a speech this morning that inflation is still high in europe. and we'll show you the shares of gamestop soaring in early trading after the retailer reported its first quarterly profit in two years. it's wednesday, march 22nd, 2023, and "squawk box" begins right now. ♪♪ good morning, everybody. welcome to "squawk box" on cnbc. we're line at the market site in times square. i'm becky quick along with andrew ross