pitch at citi field before the me mets game this afternoon he tweeted out -- what did he say? i did not bring the heat >> we're proud of david faber. >> you're bringing the heat every time we turn around. cl "closing bell" starts right now. kelly, thanks so much. i'm scott wapner live from post nine, the make or break hour begins with a.i. arms race and the stocks tied to the transformational technology can continue to climb as they are today. your score card. dow has been in the red all day, take a look at the nasdaq, not in the red by any stretch. alphabet, microsoft, nvidia, apple continuing to rise the fed is unable to derail the tech with their speak. leading to way too much a.i.

hype let's ask stephanie link, joe tear nova and alex cantowitz alex, what do you make of the ios announcement we got today from open a.i. >> i think it puts open a.i. in position to almost sub plant the operating system on ios. it's long been the pipe dream of the tech companies to say using apps on a phone is inefficient what if we put it in a chat bot that understands what we are, what our credit card information is, if we get people accustomed it, you have power on the apps on the store and you don't need them to go through apple's ios that's the dream for open a.i. when it builds the app today instead of being one, being the app that goes through everything. >> joe, it sounds potentially

transformational in so many different ways as this technology has just taken everything, seemingly by storm, but six months ago at the most too much hype? totally justified? how do you answer that >> in terms of time and price, it is incredibly early we're only months into this being the thesis in the market thank heavens for generative a.i., otherwise we're talking about monetary reserve, recession, china weakening it's real think about what generative a.i. is able to do in terms of elevating productivity for companies. it's creating content which is different from what artificial intelligence was doing, which was creating outcomes. and the companies that are the leading contributors in that effort are all the companies that are growth at a reasonable price. >> so they're reasonable price i'm glad you went there. because that remains a debate. that's where you get the growth

in a.i., whether it's actually at a reasonable price is the central discussion right now whether the valuations of -- and i don't care if it's apple or microsoft, are you going to tell me nvidia is growth at a reasonable price right now that stock is up 5% as we have this conversation. >> there's a premium paid for the price of nvidia because it will be the leader when it comes to data center in contributing to this a.i. movement. >> it's double this year. >> it is the leader. >> if you want to tell me at some point you're going to experience a pullback in nvidia how is that different than the way nvidia has traded in the last five to seven years if you are an owner of nvidia you accept extreme volatility, ride the up, the down, but ultimately it's going to be integral in the a.i. story. >> it's at 316 it's been remarkable, steph, yet

you're underweight technology. one of the great conversations to have with people under weight tech, as you look at this moment in time, as to whether you're rethinking your own investment strategy >> i've been adding to tech for the last couple of months. so last year all yearlong i was 10% underweight tech now this year i'm about 4% under weight tech. >> still under weight. >> one of my biggest positions is meta. the stock has been up remarkably, so i've been trimming -- >> another one up 100%, along with nvidia year-to-date. >> yes so meta is a big position. broad com is a big position it's not just a.i. we talk about total addressable market in a.i. it's going to be a 2 or $3 trillion market by 2030 we know 25% of the companies in the u.s. are implementing a.i. so there's a long runway

and then we focus on is it just technology that's going to benefit? no of course social is benefitting. they spend 250 billion between now and 2030 like the metas of the world, alphabets of the world. what about robotics, the agriculture industry a $9 billion market by 2025, growing at 35% compounding annually talk about growth at a reasonable price, i think of john deere, which i used to own, don't anymore. they'll benefit not only from the growth but the margins because it's a productive enhancement. and smart health care we don't talk about smart health care think about j&j or yunited healt those companies are going to benefit substantially. there's a lot of ways to play a.i. not just technology i'm under weight tech but i have exposure else where capitalizing on the theme. >> how do you answer the question if there's too much hype around the hope, alex >> i think there is too much

the reason is, the a.i. stephanie is talking about is stuff in the works for a long time we've seen the inflection point come when generative a.i. comes in the picture when we can start creating images and pictures and start talking to computers as if they're people the core innovation underneath the surface has been the opt my indi -- opt my sags of tech. yes, this is going to change the interaction layer on computing if you can speak to computers but for investors to pick up on this now while this stuff has been going on in the past does seem to indicate it is what many guests have been saying recently which is there's a bubble forming right now. >> give me an idea how the specific ios, for example, by the way open a.i. suggests that android is next, it's coming to an android device or anything near you soon.

how do you see this playing out in a fundamental literal way for the user >> first of all, if you're google hearing this is coming to android devices isn't going to make your day. right now it's a search opportunity. so if it's on android, people go to chatgbt instead of using the built in app, that's rough but everyone has to consider the power this chat bot may have if you're going to book a flight through kayak are you going to kayak or using the kayak plug in through chatgpt that knows you like the window seat, knows the deals you want something something that every company has been trying to do for years and none has pulled off. looking at where this could go in the most optimistic way, it's most of the computing on the

phone goes through the chat apps. >> are you suggesting that this puts more pressure on alphabet than already seems to exist? whether that's a false narrative or not >> definitely. if it's on the phone alphabet has transformed from a website on a browser, to the browser itself with chrome and now android is an important property now you're taking effectively what could be google's worst enemy and entering it as an app, which makes it more user friendly and putting it on the phone, telling users use the old search or the new chat capabilities or use chatgpt. if you're google you want the real estates to yourself so it's unfortunate to have open a.i. there, but it is there. so there's a magnitude of pressure, it increases right now. >> you sold alphabet to get into meta, i'm wondering honestly,

when you did that a.i. wasn't part of the conversation but now that it is, why can't you own both >> i think you can i would prefer microsoft to be honest with you. >> why can't you own all three >> you probably could. 7% of my portfolio is meta i think microsoft has a lot of ways to win. i know we're talking about a.i. but not even talking about the -- say the pc market is troughing and you see upside then numbers from the old line businesses that we know about microsoft can actually contribute so kind of what i want to do is have diversification have a.i. exposure but have other stuff. you can say that about alphabet for sure i feel like microsoft is probably the better of the two. >> what do you make of joe's suggestion that these stocks are trading at what he said was growth at a reasonable price >> some are, some aren't nvidia is not growth at a reasonable price but they're a pure play. broad com, as you know i own, is trading at 14 times.

gives you a yield, buying back $12 million of stock they have a.i. exposure, cloud, data center et cetera also. >> wouldn't you want the pure play >> not 75 times earnings. >> you can look out and find a number of stocks and industries impacted by a.i., will take advantage of a.i., but the pure play is right now, that's where the action is, where the money is going >> but i own meta and it's up 100% it's up just as much as nvidia is the a.i. content for instagram is accounting for 40%. 40% of the content is being used in a.i. and 20% for facebook that's not a pure play but it certainly is a play that has a lot of exposure to it. >> this is the trade, joe, that arguably saved the market. the rest of the market has been, you know, an underperformer. i know that people say that these stocks have made everything so top heavy but you have to be -- if you're bullish the market you have to be happy

that happened. don't look at that as a negative if this trade didn't happen we wouldn't be anywhere we are right now. >> without a doubt we have graphic that shows communication services up 27% year to date thank you meta, alphabet, technology up 25% year to date, thank you nvidia, apple, microsoft. consumer discretionary up 16% year-to-date, thank you amazon, tesla. now look at the other sectors it's muted and you're seeing negative performances in the case of financials, energy and health care. it has saved the market, i believe that we are at the early stages of what, analysts beginning to understand how they should model future growth in revenue from the contribution from the productivity boost that these companies are going to see. nvidia probably a little rich in its valuation but it's a pure play are there second derivative trades without question data dog which monitor the apps,

amd are going to participate those are names you can be in, names i bought recently. but you look at microsoft, apple, and meta and alphabet, do we really know how much productive boost is going to be to revenue >> it was not even ten days ago doing a virtual presentation, stan miller, one of the best investors ever is talking about all the caution that exists and the things that happen at the banks and we had free money forever and all the reasons to be cautious. and then he talked about where he was putting his money and it was -- i think it was meta, nvidia, he's playing that, steve cohen in the last few days, speaking at an event talking about he's bullish the market why? a.i. goes to the point we're talking about now. even in an uneven and uncertain environment, there seems to be certainty around this, whether it's justified or too hyped that's for you to decide not me.

>> did you down load the app today? i did on my iphone i think a lot of people are going to down load to alex's point i think that's going to put eyeballs on generative a.i it's going to put scrutiny on generative a.i., you're going to have negative reviews on what the responses are going to be. but you're going to have awareness but i think there's the type of awareness that generative a.i. has not had until this moment. >> what risks do you see in terms of the pure players, if you want to call them that, on what kind of regulation may come down the pike. you had sam altman on the hill this week discussing that with a committee of lawmakers and it's going to happen we know it is. we don't know what form it's going to take is all >> very difficult to regulate this type of technology. it's evolving so fast. i just sat watching senators and members of congress talk about regulating social media

companies for about four years after spending all this time in and out of the hearings having them dress down mark zuckerberg about what's going on at meta they haven't done anything we'll see if they can keep up. they're more serious about this. we'll see if they can keep up. it's important to note who they're inviting to speak with them sam altman willi the guy with the $10 billion microsoft investment and leading it there were critics but sam was the headline there if you o're one of the big companies here, i don't think it's top five on the list of worries you may have >> we'll ask our twitter question in a moment i'll front run it because i want your votes on it of the pure players, nvidias, alphabets, microsofts, metas, which of those stocks has the best upside, do you think, from here and taking into consideration, steph, your meta up 100% year-to-date nvidia is up 100% year to date

all you guys at home watching you can think about the answer to the question and listen to what steph and joe have to say. >> i'm a little bit biassed and valuation centric, you know that about me, that's me as an investor i look at meta, it's up a lot, a lot, it trades at 18 times forward estimates, and i think it's not what we -- we initially talked about it being a cost cutting story all of last year and they've gotten religion on that, now you have a growth story on the revenue side. so 18 times earnings for 30% earnings growth and double digit revenue in the second half of the year i don't know if that's reflected into the stock because it was down so much last year in the past year the stock is up 27%, that's nothing compared to the other stocks i'm not saying nvidia is going to lead the charge i just can't get comfortable with the valuation on these levels like i can with meta.

>> joe >> risk adjusted returns you always think about that when i think about risk adjusted returns, the clear, the clear choice is microsoft. >> microsoft why over alphabet? >> i believe that as we've detailed in length and we did last week, there's the management premium that microsoft has over alphabet. we had that conversation last week with dan ives and mark mahaney. i believe it's one of the reasons alphabet has suffered in the last couple years. >> alex you're not a stock picker but i'm sure you have an opinion. >> let me go with the one that hasn't been mentioned with alphabet i think there are investors that overlooked the opportunity for alphabet while thinking about the risk sending the stock down when the demo doesn't work properly they're doing okay right now but the reason you think about alphabet, they're the encouple

b -- incumbent, they tend to figure these things out. with the attention to microsoft and meta and i think people are sleeping on alphabet, the search product they revealed last week is impressive. if i had to pick one, it would be alphabet. >> i think alphabet's year-to-date gains, joe and alex, are better than microsoft. >> i'm sure they will be at some point. >> all of the hating on the goog, you've done all right. >> a lot of money has to be spent going forward on generative a.i and i think microsoft will spend the money much more efficiently than alphabet. >> thanks very much, guys. joe and steph, and alex, we appreciate it. insurance against inflation. st. louis fed president shedding light on where he stands on

rates headed into the june meeting. we break down his comments ahead. you're watching "closing bell" on cnbc. your record label is taking off. but so is your sound engineer. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire

trading day, get a check on the biggest movers in the close. kristina partsinevelos is here with that. >> starting with sony, trading higher after announcing a partial spin off of the financial arm, sony would still have a 20% stake and use it for back into the business they were pushing sony to simplify and focus on core

competencies like entertainment and technology adding to this, sony said they would buy back shares earlier this week. alibaba plans to spin off the cloud division as a separately traded company the news is not enough to offset the missing quarterly revenue, shares trading 5% lower. the s&p 500 trading near the highs of the session after hawkish commentary from st. louis fed president, james bullard, intraday. joining us now liz young, sofi's head of investment strategy. good to have you back. >> good to be here. >> he wasn't the only one hawkish today, lori logan as well and others. do you think we're under estimating how resolute the fed is going to be and how sticky the inflation is going to be >> i think they opened up the flexibility to do a pause if

they saw fit i think what's going to happen -- to be fair, i expect a pause in june -- but i think what's going to happen is we enter this high and hold portion of the cycle but votes are no longer unanimous we had unanimous votes up until now. >> we haven't had decents. >> right i think we'll have them. and they may not be ones that push it in the other direction i think jerome powell still rules the roost in that regard and what he wants to do is what happens. but if you get closer to 50/50 or real debates on the fed, it could get interesting. i think i mentioned on the show before, the big gap between what the market thinks and the fed is saying is going to happen leaves us open for big movements either way depending on what the narrative is. >> the major cautious view i heard recently, the worst is still yet to come in terms of regional banks because of problems with commercial real estate, those haven't manifested

yet as relates to cre. the economy is going to slow further. job losses are going to accelerate, which is going to hit the consumer finally inflation is going to be much more sticky at this moment getting 5% down to the target of 2. and that's going to cause the fed to be a lot more hawkish and continue to do whatever they have to do and that's going to be a problem for earnings and stocks. how do you respond to that >> i mean, i think it's all fair i don't know that the fed needs to necessarily be that much more hawkish in their movements they can be hawkish in their tone. >> if they hike in june -- >> yeah. >> -- that takes it more hawkish. and then they lead us to believe the meeting after that is live too, that's hawkish. >> to be fair, they haven't admitted they're considering cuts this year. >> they're not going to. >> i think hawkish is a fair way for them to act. but if we're looking at a

scenario where they've said all along we need to get to sufficiently restrictive and then hold rates at sufficiently restrictive. we have a fed funds rate above inflation, we have a fed fund rate above the ten year so we're at a restrictive level i don't think another 25 basis points is going to be the thing that says that's restrictive enough i think we are in the window -- not i think. i know we are in the window of when long and variable legs of monetary policy have an effect on the economy 12 to 18 months is about that window they started hiking rates in march of last year here we sit in the 12 to 18 month window stuff has started to break i don't know that the regional bank thing is going to be the next headline that's going to occur again. commercial real estate yes, i think is another symptom but it's a symptom of credit tightening and i think that is going to take a few different

tones. you're looking at not enough money available to small and mid size businesses to invest in their rates. looking on default rates on credit cards picking up. that's all in the same bucket to me and we're going to continue to see credit tightening and continue to see a deterioration in consumer credit and i think that's the next big headline. >> you have to believe at some point write downs are going to happen as it relates to the value of commercial real estate where it is today versus where it was. >> yeah. >> that's something to watch >> yeah. >> now i would say, okay, for those of you who put forth the cautious checklist that i just read and say with what could make you wrong, it's okay, consumer hangs in many longer than we think. >> yep >> and the fed caves >> yeah. >> and the fed caves in part because it's an election year and it's hard to stimulate accelerating jobs losses in an

election year. and that's something to keep your eyes on too. >> i think that's there a couple things that could turn a bear bullish. i have been on the cautious side of the equation. if the consumer hangs it in, it has to be the labor market the housing market, people are still willing to buy homes, there's still demand out there and the industry is still supporting employment in that sector so that could help as well the other thing is, if you look at what consumers are spending on, they're still willing to travel these are good things. the last cpi reported showed services inflation coming down that's big for me if that comes down and softens that makes me more optimistic. >> do you have an opinion on what role this movement towards a.i. and buying a.i. stocks in this market has meant? >> i'll do a quick take because

i know you did the first part of the show on this there's a lot of enthusiasm in a.i. and i think there should be i think it's going to be a game changer for the industry i think it's a game changer for the economy. but over the next five to ten years. and if you're entering stocks at this these high valuations based on a.i. and expecting some kind of gratification in the next 6 to 12 months on those valuation levels you might be disappointed. >> are you talking about the megacap stocks do you think those valuations -- joe suggested growth at a reasonable price you don't think they are >> some may be but say at the end of this year you bought something at a valuation, i'm going to use an arbitrary number say you used 30 times pechlt by the end of the year are you feeling it was a good entry point i don't know i'm getting not. in five years will you feel like it was a good entry point? probably but can you stomach the ebbs and flows happening in the meantime.

the enthusiasm m around it as an idea and innovation is rightly placed but not every company is getting it right so it's not easy to buy it as a broad theme today. choose a company and hope they do it well >> liz young, thank you. up next bracing for a big breakout ddto newton said yesterday's break out could be a move higher he'll join us next to make his case

stocks a butt of a mixed picture. the s&p holding on the higher end of the range our next guest said yesterday's breakout could serve as the next catalyst for stocks to push higher joining me is mark newton, good to see you welcome back. >> thank you, scott. >> i teased this earlier as one area of the market that you think is poised for a wrally. let's do that first it's crude

oil, right >> yes we've seen stabilization of crude in the last couple days. everyone thought it was a demand problem but it was supply. crude broke a one month down trend. for me, as a pessimist everyone thinks crude has to go lower so my thinking we are a ripe for a rally. >> >> a lot of these have gotten down to support levels, the main energy etf, so those are at important levels i think we're set for at least a pounce in those. we've seen a lot of deterioration in the month of april. i think crude gets up to the high 70s >> so speaking of levels we need to watch the nasdaq 100 >> yeah. >> we start the show with a.i. and everything sort of resolves around a.i and the move in these stocks has led to a good move in the nasdaq 100. top? >> certainly overbought. you haven't seen evidence of

toppy. very constructive but it's served to lift optimism in high growth tech stocks for a lot of the right reasons being a.i. and thought of being safe stocks that people with use to weather any downturn so i love the group. i think it's probably a bit extended i wrote in my note yet close to a time we stall out in large cap tech and we need to see that in other groups to really help to buoy this market >> there's really no time limit on how long something can remain quote/unquote overbought either, right? >> 100% correct. so for me it's dangerous to say the group is topping we have seen no evidence of that still a lot of enthusiasm m. i like a lot of these stocks but many are pressing up against important levels, apple near 176 is going to prove to be important. nvidia, microsoft, alphabet, all

these names have showed tremendous strength and have helped to help the market along when other sectors haven't worked so well. >> i suggested earlier in the b program if you're bullish in the program send everything you have to these stocks because they've, in essence, saved the market at a time it was rather fragile, don't you think? >> i don't disagree. the downturn in february caused damage in sectors that are finally starting to claw back. it's important for the market these come back. but three things happened earl erwhy in the week. one was technology started to start snap back. consumer discretionary has broken out versus staples. >> so you have say there stands a chance these other lagging sectors, be it financials,

health care, discretionary a good year too, in its own right they can pick up the slack do you think it's going to happen if it does why would it? >> they have in regards to discretionary. look at the home building sector, the highest close this week in 16 months. so companies like t.h. horton breaking out the new al time high territory very impressive. homes remain resilient people do not want to sell their existing homes at 3% mortgages to move elsewhere. that's an area that very well could support the supply shortage and reasons why the user could remain resilient. >> but discretionary could be the third best of the year but financials and health care have lagged. those are the ones i want to know why you think those have some sort of picking up the slack at this particular moment? >> financials is more of a technical call, a lot of the

sector had gotten watshed out sentiment wise i made a note last week about kre bottoming out. the biggest move in over two years. health care has a positive seasonal tailwind right now headed into may, june, july, the best time of year for health care it is a defensive trade but medical devices are showing good strength, biotech on a come back i like the group, some of it is defensive, which could be good for people looking for that. >> that's mark newton. >> thanks. >> up next tracking the biggest movers, kristina partsinevelos is back with that. >> grand theft auto six might be in the works take two anticipates a surge in gaming demand. all the details and more after this short break

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on. 20 to go before the closing bell kristina partsinevelos is back with the stocks she's watching. >> palantir makes the list c cathie wood adds it to arc the ceo said it expects profitability through the end of

year that's why shares are up almost 15%. shares of take two interactive hit a new 52 week high today after a surge following the company's earnings announcement yesterday. the video game maker beat revenue, and while guidance is short, they're saying big name releases could increase microsofts profits last chance to weigh in on the twitter question which stock has the most upside from here. nvidia, meta, alphabet, microsoft? head to@cnbcclosingbell on twitter.

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let's get the results of our twitter question which a.i. related stock has the most upside from here, nvidia, alphabet, microsoft, or meta nvidia wins the vote wow, 40% that is interesting. which means i need to discuss with santo lli coming up rodinetflix, worries surunng the writer's strike. we'll tell you what's driving that leg higher, we're right back

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bell market zone mike santoli is here to break down the crucial moments of the trading day. plus julie fox on how to platek. that sector hitting 52 week highs. alex sherman on how netflix's ad strategy is paying off and seema modi with a closer look at the world of corporate spinoffs mr. santoli i begin with you all of a sudden we have a lot of green on the board. >> a little bit of a burst made a run at 4,200 on the s&p earlier. this would be a closing high for the year at this point above 4180 basically an intraday high too yep it's gotten there with an uneven leadership profile. we've been talking about that for a while. ordinarily the orientation is the market doesn't work when you buy the five most obvious stocks but there is more than that going on which is the market not quite breaking down and get a little

bit oversold, this is the way the market has protected itself from the growth scare in the economy. the yields are up. the nasdaq 100 is getting stretched in the short term, you think you have to resort to anything extraordinary to explain it what we did is, the nasdaq 100 went from a peak of 40 times earnings in late 2021. down to 20, rebuilt to 25. if you want to say this is bubbly, some new a.i. manufactured story line, that might be the narrative thread that's working right now, but it's earning estimate stabilized people taking shelter in the growth names and the last couple days, the growth market is carried along. you have small caps marginally green. >> which is perfect segue to you julie, how to play tech after the nasdaq 100 has been up for four days in a row

what do i do now >> coming into the year we felt that tech stocks were overvalued, still think that way and more so because tech has had the huge run this year remember this is a sector that struggled last year. the tech sector is the least preferred sector right now largely because of the val valuations because of 20 times forward earnings it makes sense to rebalance into more defensive sectors like consumer staples which haven't been as highly valued. while we're cautious on tech we think there are opportunities in the sector. >> why do you think valuations are so stretched relative to tech maybe we could have said that before this a.i. stuff started to happen. but now if you see growth road ahead for, you know, sales and earnings, doesn't that change the conversation a little bit? >> well, i think technology has been getting a lot of attention

lately because there's been so much growth. but i think there's an ip nvestg case here and i think it's mentioned on corporate earnings and calls and many companies are moving into the space, whether it's directly or incorporating the technology into the existing business model so a.i. is what we view as the high growth theme and that's what's attractive to us. that's what we're calling the abcs of technology, artificial intelligence, but also big data, cyber security those are the three areas of tech we think have the long term staying power. they should see the fast adoption over the coming years from businesses and governments. again while it's our least favorite sector due to those valuations, we're not saying get out completely and take your tech exposure to zero but those with the long term view i think you can find some opportunity in

the abc's of technology. >> dint mean to cut you off, my audio dropped off. we'll see you soon, thank you. alex sherman look at the netflix move better than 9%. what's going on? >> it wasn't obvious to me that netflix would jump 9% after last night they unveiled the first ever upfront presentation because remember netflix never had an advertising product before now they have an ad supported tier so they trotted out the executives to explain the future of the business and i think investors liked the narrative of the service. they kept stressing this is a forever business in its early days but they announced several different things that i think investors liked the idea that advertisers can buy ads against the top ten list, that is new, allows advertisers to be part of the culture. and i think netflix's ad

business was thought to be originally a defensive business for everyone in the coming months and years who were going to lop off from a password s sharing crackdown and now can buy the $6.99 service now they're looking at it as more of an offensive play which is going to bring in profit for the company. >> not talking about the writer's strike when it comes to netflix, that's been part of the story. >> no question i think netflix is the prime enemy when it comes to the writer's strike because they ushered in the business of streaming first and not paying writers enough given the amount of work they have to put into it netflix has a lot of shows already in the can, so they can survive for a little while if the content isn't coming in many and they also branched out into different areas like sports, which was heavily touted yesterday, think about the drive to survive series, and the

series they've done recently on tennis and golf. they're not in the live sports business but they could get into that eventually so another potential avenue of revenue growth for the company. >> alex thank you. seema modi looking at the world of corporate spins what do you see? >> it's becoming a big trend this morning alibaba saying they're pushing with a $12 million cloud spin off, the ceo saying it's part of his plan to simplify the structure of the business and it's easier to raise external financing as a stand alone company and it's what david dovener told us along with the yearn to simplify the business the drop in private equity deals that's pushing companies to raise capital by spinning off a specific business here's where it gets interesting. data from morgan stanley that shows spinoffs tend to

outperform not only the s&p 500 but their parent company as well two years after the listing. the idea that big eger is bette, for industrials and health care where we saw aggressive m a.m f m&a for years that's starting to slow down a little bit >> thank you seema we look at a market adding dow jones up 120 points, mike santoli, the three best sectors, come services, technology, and consumer discretionary despite fair to say lumpy retail reports lately. >> that is true. consumer discretionary, spotty, tesla, amazon, huge roles, and also the home builders and anything service and travel related has worked getting jammed higher here it's a monthly expiration you have these culminating moves some choppiness to after

but i think the market has answered the question of whether it can hold itself together as we get through the period where yields have inched up, maybe that's going to be a test at some point we're starting to rewrite the fed narrative to not be necessarily as dovish. and while i know everyone wants to jump on the idea that it's kind of this frothy a.i. driven move, i don't want to deny that some of the talk has gotten overheated but i don't need that as an explanation as to why, alphabet, microsoft, nvidia, meta, has rebuilt to the valuations a year before chatgpt was unveiled publicly. my point is the estimates have bottomed at this point, all above their pre-pandemic valuation. nvidia is at a peak valuation. that's the one you want to point to to say things are getting out of hand. the rest of them are acting as havens and growers in a scarce

growth market. i think that's where we stand. and again, the big question is, are people going to feel forced to participate more you have people generally under exposed to the market. no one thought tech could leave. >> is some other tech names having good days. >> the semis. >> yes salesforce, honeywell, nike, amex all up as the dow is up 128 as we get closer to the end game here. >> an indexing move. i don't want to say that everyone is discovering there's a refreshed fundamental case for all those stocks but it does tell you that sometimes, you know, the market cap construction of the s&p 500 works to its favor right here. again watch yields, have the vix below 17 because you have good

dispersion in the market and the market has been rotating as opposed to pulling back. this is what everyone thinks is the top end of the range for the s&p. we'll see if that gets down. >> the bell. we'll go out let's call it the hives. s&p 500, we'll take that right at 4,200 watch that closely. morgan and john will continue that conversation in o.t.. the score card on wall street, winners stay late here you are i'm jon fortt with morgan brennan and coming up on today's show we get a read on chips and the consumer when mplied materials and raw stores report earnings we'll bring you the numbers and analysis. >> we'll speak to the ceo of betterment, with more than $45 million under management about her read on the stability of the baking system and impact on betterment's business. let's get straight to