right now, it is up 3.75. the two year at 4.7. oil, they have pushed it above $71 a barrel. seven $1.18. folks, that does it for today. have a great weekend, everyone. monday is juneteenth, the market is closed. ♪ ♪ ♪ >> good friday morning and welcome to trenton on the street. it has been a great week, right? it looks like that may continue, but who knows. that is why he had to taste -- stay tuned. it can all change. let's start with the stocks

right here. both it and the nasdaq oming off for 6 straight positive sessions. that's right. six straight. plus adobes ai boost. joining jim last night. and there is a shakeup at disney. unexpectedly, she stepped down. she has been in that role for 8 years. we will start with the markets. of course, this was a long holiday weekend. i don't know, where's your head at, what do you think? >> i think there is a choice that is going on that is rather remarkable. we are seeing these top flight strategists one by one recognizing -- as long as we at

the inverted curve, these people felt that we had to be going down. that turned out to be a false tail. and now they are eating what i call grow. you know what kind of girl. >> it didn't take you long to get there. >> yesterday, as i was being belittled, i was watching a double bill that is now open. >> are you insinuating that i was amongst those? i just wanted to make sure. >> to be fair, you were very excited and enthusiastic. that said, nobody could really buy it yesterday. >> the question really does become, do you still buy today at $43.78? or whatever. >> would people had to

understand is that it is a very big account. they will get a lot of stock on the actual outer. then they will average up. get 500,000 on the deal, than 500,000 when it opens. their bases it's a -- i don't know. now you are coming on top of that. those people do not need to buy anymore. historically, today can be an update. >> is this based on the fundamentals? >> no. it doesn't really >> what did he say? >> line of sight, but he wouldn't tell me how far out. >> the restaurant margin, remember, they don't want to be prepared to -- i would say because of their average, the

actual stores are little more than 2.5. up here, you are now in a turf where you typically lose money. >> it is not like it is quite risky, we know some of these restaurant chains do not fare as well as to poland. it is not comparable in the thought of it went public and became what it became. it was an earlier stage company, but it has been incubated. >> and went up and went down with the market. i think the people had to recognize, if you come in on this day, like on a shake shack,

it has not been rewarding. i don't want people to buy it today. >> is it reflect give of the broader market? >> yes. >> i figured we discussed it for a moment. i talked to several companies that now say come you know what, now they are saying, wow, that deal really worked. >> regardless of industry, because there are some other restaurant related companies. we were told they would never commit to the public markets. will it bring technology companies? >> so many have limited the profitability, the answer is yes. remember, there are two big deals. those are gigantic.

>> in very good profitability there. but yeah, david. there is no doubt about it. if you come in today and you buy it, the history says you will not make money. >> it is in your face right now. oddly, it is going higher. it is supposed to the lower. that is not what it should be doing. i will point out, david, we've had such a street. a lot of it is based on the fact that a lot of people are in the wrong direction. there is a very interesting piece today.

a bear -- by the name of mark. he says, me, i'm never wrong. you should explore that. my experience of you is you are always wrong. this is a man having the debate in his head about how wrong he is. >> it still feels like more of a combo of 2000 and 2008. big rally before big collapse. >> you know what i say? i agree with his wife. >> i am not all bold up. >> you want it both ways. >> yes.

historically, this is not been a good place to buy. we're actually selling today. >> you are? >> we are selling some stuff. we are selling because we like the market. we have guys coming in, or at least this gentleman's wife. >> i don't know, this could be grounds for divorce. >> he hasn't done anything on you in at least a few weeks. more recently? >> yeah, but it was very complementary. >> she was embarrassed by that. >> she figures that way is safe. >> i'm sure they're looking get this right now. they love the show. >> by the way, can i just tell

you, i'm going to race a car with jim filing. we are going to talk about -- before i leave, i need your advice. do i ask him -- do we have any footage about it? and do you think he would give you a 12 second quiet moment? he's never stopped talking ever. there was a show he had done not too long ago. he seems to say they are not there with the software. >> he thought he was misinterpreted. what he really was saying, don't worry, we would do this. he was not saying he will lose money, right? >> i felt like he was almost back in golf. it is hard to complete compete

with tesla. >> let's run the tape of you, and then get him to narrate it. >> during the 12 second pause? >> i'm actually going to show him. this is the interview heard around the world. you are going to see him next week, what are you going to talk to him about? >> do you want to practice here, what is the question? >> there is a moment in your musk interview. there is a reference to the fact that it is very hard to compete with a fully ev company when you also have an ice business. that is the fundamentals of what i want to talk about. how do you have both an internal combustion engine and an ev company? the ev company is putting the other guys out of business.

how do companies deal with the new world when all of their business is in the old one? is very eager to talk about the charging station issues. and he recognizes what needs to be done. we will go over it. >> i appreciate that. i'm happy to role-play with you later. >> he wants to be robin ryder. >> that was when he walked off criminal minds, because he thought it was criminal -- did he disappear for years. all right. >> the stock did back off. >> he loves you, even after the interview. >> i have never even spoken to

him. you are making that up. totally making it up. >> what are you doing this? >> i'm doing it tuesday. >> taping or live? >> you are in a race car, too? >> yeah. he wants me to drive, but that's not going to happen. >> i don't think i can drive to the supermarket. >> i don't see you behind the wheel. speaking of interviews, can we talk a little adobe? >> yes, that is in my wheelhouse! >> yes, i know. >> let me bring out my glasses. look at these. >> oh, i love those. they are my favorite. >> okay, so. the most important thing was clarity.

1 billion assets that have already been generated on firefly. it was introduced march 21. think about that. this is the best one. generations from photoshop or 80 times higher than originally projected. by the way, we would do $4 billion more than you thought. >> take a listen to him talking about more productivity coming through. >> yes, you got to hear this. >> everybody has associated with this, would this replace human ingenuity? or will it augment it? i think it will make people so much more productive. it will bring so many more marketing folks, small and medium businesses into the fold in terms of saying, we have this creative idea, and that we

can use the tools even more easily to created. >> that is the thing people forget. when you use it, your stuff looks just like -- usually have to do things by hand. now you can design a pattern, you can do anything you want with this. a pattern, a house, close. this is in times where it might be an hour, it would be two weeks. that is what he was talking about. he was blown away by how many people opened account. with the account opening to use new products. >> everyone is on it. because you can make a dress that would have taken weeks.

>> 80 times? >> he was the first one that he went to in the march 21st launch. and by the way, lucrative. those things do not come up. coming up right here >> i hope you do. >> we got magic kingdom on the brain here, as well. we'll talk a little bit about that. take a look ase ge wt ready to open ear. a little less than 15 minutes from here. squawk on the street straight

ahead. man: i'm not slowing down anytime soon. that's why i take osteo bi-flex every day. it's clinically shown to improve joint comfort in 7 days, and continues to improve over time. kinda like us. osteo bi-flex. because i'm made to move.

i got it. i'm back. do you want to do a mad dash quick >> i'm going with the situations there is a company where there were three beers -- bears when they reported. the three little bears were all about how this is the last good quarter. it turns out that he is going around and telling the story that actually, business is quite good. it is not falling off.

today, bank of america goes from 250 to 283. in the interim, a lot of people get worried about tax dividend. the company with three bears says the cycle indicates that we will have a recession. this is versus the amazing infrastructure of money coming in from the government, as well as -- for buildings and homes because of the shortage of apartments and homes. what they didn't realize, data centers. right? if you have ai, you have so many more data dinners.

that is the kind of move this market is putting on. we could put up any number of investors right now. they all look exactly like that. that is because there will not be a recession is what these people say. >> there is a lot of building going on. >> it is an enormous amount of energy. >> we've got to cor thveat. we got an opening bell seven minutes away. we have a lot more to get to. don't go anywhere. ♪ ♪

hings that go better... together. hey! like your workplace benefits... and retirement savings. with voya, considering all your financial choices together... can help you be better prepared

for unexpected events. for a brighter financial future. thanks. ahh, pretzel and mustard... another great combo. voya. well planned. well invested. well protected.

right there in the corner, she would no longer be the cfo of disney company. there talking about family medical leave of absence. of course, she will be stepping down.

she will be taking over on an interim basis. >> a lot of people know she has had medical leave. i discussed this when i had my back problem, i went to her. she had back surgery and was just a trooper. i think she is a person that has strong views. like david pointed out, there is a new -- >> about a year and a half from now? >> yeah. >> she will always be thought of as someone who was really about core responsibility. >> initially no. that's got to

get people's attention sometimes. you know, i think some of these reports, not sure they are that accurate is what i would say based on what i've heard. it is not clear to me that that is the case. >> when you realize that your ceo is spending more money than you thought, are losing more money than you thought, it can come to you is revelation. i think you got to take a long term view. there will be others in that position. it is in the journal if you want to read it. >> understood.

>> we will see what has developed of anything from here. >> the reason i say that, the company is in transition. >> and he is on the same path she is. >> the larger issue for all of these companies comes back to what kind of a business will it be to consume -- to a certain extent. mainly one being that your customers can turn off like that. he was at lunch. and the most exciting application, he obviously has a leg up. if he can do espn, then you are going to say --

>> right now, you can hear the applause on a friday. long weekend, everybody. get ready. it will rain a lot here. >> there it is! opening bell. again, given what we saw, -- over at the nasdaq financial. that is based in delaware. >> i can talk. i felt like you doing gave me. now i realize. >> you've got to do it. will you not give me a hard time?

>> i find it annoying when you are texting your family. all right, david. >> await. i walked the dog! i did walk the dog. >> >> yeah, let's talk about her comments. i mean, the common things we are going to see, more stringent lending. higher rates, deposits flowing out. >> it might produce the need for some policy. >> and that was on friday. not our fault about the actual

bank failures. then went on to talk about the banking sector. there was a mini crisis. right? it was not really brought up much. >> let's take a listen to what he had to say. do we have that, guys? >> let me state unequivocally. we are using policy to achieve the mandate. right now, that means raising rates to fight inflation. it is the job of bank leaders to deal with the risk. nearly all bank leaders have done exactly that. i do not support altering the stance of monetary policy over worries of an effect of management. >> all right. look, i saw them saying that the fed is not really telling the truth. not speaking correctly. i have my view on what they

should be doing. by the way, yes, i thought he was a good pickup by the giants. here are my thoughts. it is apartment buildings and housing. if you look at the numbers of houses that are being built now versus when we had 100 million fewer people, it is ridiculous. we are building a fraction of what we use to build. that is the real problem. i would just be much more comfortable in that squares game that he does than if he just said -- the real problem, everyone has a right to his home. we are searching for ways to make the housing crisis roll back. everything is being rolled back. everything. if you listen to the call, if

you talk to carmax, the used cars, they have gone dramatically down much more than they were up. what you will hear from any of them is, we are building as fast as we can. why isn't enough, jim? this seems to be a demand for many consumers who are trading down at supermarkets. he talked about it yesterday, the kroger ceo. >> why is it not enough? >> because housing is up so much. you can have one part of the economy, 70% of inflation not coming down.

this is down 70 from last year. why don't they just come and say, look, we are having a hard time getting housing. we will fight for time until we do. that is 70% of the inflation cost. you can't calculated any different. you do not want to make everybody lose their job in order for housing to come down. that is one way to get housing down. some of them will realize, wait a second, let's do more than we thought. >> the fact that he won't come out and say that, natural gas

was down. every line item is down. >> all right. if anything is down, then it is not -- >> unless you rent. >> yes. that is why say that. just admit that the principal reason we have inflation is housing. both rental and new homes. those are starting to go down in price. the stuff that goes into a home is coming down in price. that is winning, but not winning enough. >> i can get darren from the giants to say. i can photoshop it using firefly. >> let's move on to other names here. >> you are doing what i do. >> i know. i'm moving you on.

>> now they make it a topic? >> i know why. >> they raise their target on ai names. they are very -- >> we know that. you know that the man is incredible. the only thing,, it is a look. he says that can be avoided if you have more conversations. that is what is happening. >> how about bill gates sitting down?

>> person-to-person. >> meanwhile, the chinese economy. >> they've got a story, we haven't heard the announcement yet, but pointed to a number of significant announcement all about lowering rates, making the cost of borrowing cheaper >> their banks remind me of the loan crisis. he would say, every one of you. you will all raise equity. he probably wouldn't say that. we talked about it, as well. they have raised 24%. >> they expected a bigger rebound. it was very short lived. that plays into it, as well.

>> they get banned in china? >> that was rather odd. he was incredible. that is when you had to pull the trigger. he is a great guy. historically, if you go back to 1993, he brought him when they said there was no hope. that is how the cycle works. look at how it is done. it is either top or the bottom. look at this. >> they will be investing additional in china. >> yeah, a lot of money.

i love seeing those longer-term ones. >> remember back in the day? remember? >> yeah, that wasn't him, but what was his name? >> oh yeah, for making the mcdonald's and tries. >> i remember when you saw that spike up. >> i remember all these things. >> somehow, your remember all the useless information. >> no more bacon eaters. she likes the cheeseburgers.

amazon has gotten clearance from the cma. the regulator you know well. to buy irobot. it is up 20%. by the way, just to be clear, they don't have a purple yet -- approval yet. >> i believe it would be more that any people would anticipate. maybe they see it as a time that the fec will also say, no problem. >> they use the robots and show you what it is like. he is talking about one of the key uses, one of the absolute key uses. it is to create robots

>> humana, another name we mentioned. they want about it being higher perhaps than anticipated in parts because another of people, -- the pandemic. i said that to the company this morning. >> there was actually the low end. >> 86.3 to 87.3. they now expect to be the top end of that. it is driven by the higher than anticipated non-inpatient utilization. >> that is why they were down 11% the other day. i found it as a reassuring

statement. they will be speaking with investors next week. i think he would tell a very, very good story. i will send you an invitation to your funeral. >> really? >> yes. >> they are doing very well, and then some doing not so well. and david, a stock that we don't talk much about. j&j. they are about the biggest. they are separating the tylenol from the real stuff, right? i think this does not go his way. even though he has a good defense. >> they have been dead money for a long time. we went forward there. we can see it has a nice month.

>> it is only right. >> i will say this, david, it's a lose this case, it will make it so it is very unlikely to forget the big settlement. but you know what? lurking in the back of everything, will they face the -- corporate? and the big multi-district litigation patriots. will that game end because of the supreme court being so packed to pro business people?

>> the stock is down about 1.2 percent. week yesterday, week again today. there are some broad concerns about the upsell advertisement being lower than anticipated. it is not clear that is the case. >> that is the last flag. >> i don't know if that will have an impact if it is not well reviewed. that said, remember they pay down some debt. i think there is an anticipation that there will be desk coming for the company given that. you do have all of the issues involving cnn. >> it is continuing to cut off, get to breakeven. >> you try to fix it, maybe you sell it if you can.

>> can i just say that the paid out is really remarkable? >> yes, it is a concern to me that they will lose -- >> you watched the who? what is your review of the revision pro? >> i felt like crying when they told me i had to go. >> you enjoyed it? >> i will watch everything, including sports. >> espn will be a gold mine when vision pro comes out. by the way? do they not know that?

not the y kind, the i kind. >> all right, we've really got to go. we go to bob and what he is watching this morning. >> good morning. 4-1 advancing at the open. 44, 48 or so. we have been essentially moving straight down from there. good open, not so much in the last 10 minutes or so. i like what i'm seeing this week. the broadening of the market is very, very heartening. okay tech is still up, what? 6%. transports have had a great week. some of these other big names have been working very nicely. they've been really good.

in fact, the transports are only 2% from a new high. that is very, very encouraging. retail has been having a great week. carbonic has had a great week. big lots, even target and kohl's. they had done very well on top of that. and industrials. it is heartening to see amongst the new highs consistent, so otis is another new and that has been added. we have talked a lot about what is going on with ge and rockwell. that is all very heartening in general. the market is debating what is the catalyst for a pullback? not for the market to go up, that's already happening. everyone keeps dreaming -- screaming at me. well, yes. if you are atching earnings, they are creeping up again. not down.

if they are creeping up, they will be fine was saying the evaluations are higher, but earnings are going up. when earnings are going down, they are a problem. tech earnings are moving up faster than the overall market. it is hard to make big arguments about what is the catalyst for a downturn at this point. there was almost no reaction to the possibility of higher rates on the fringe. my heavens, if that doesn't move things down, what is? it is not quite clear for us. we have today to get through. this happens four times a year, that is the court of the expiration of the index options, index futures. the expiration date is not as big as it used to be. weekly options and monthly options have become extremely dominant in the derivatives market over some of these quarterly options that used to be really, really big events.

however, we do have some rebalancing going on today. for example, they are going into the s&p 500 at the close. dish network is going out. this is been well telegraphed. they made the announcement. predictably, we have what we call the palo alto has been up since the announcement was made and dish network has been down again very well studied. as it goes in, it tends not to outperform there is data, a buyback announcement here, so companies have been buying back stocks, the usual group heavy buyback companies, apple, alphabet, chevron, berkshire, exxon and meta and at the close the index companies, the companies that have s&p 500 are going to rebalance and reduce their share count and increase for nvidia. david, back to you. >> bob, thank you. bob pisani the story of this market. >> yes nvidia is the story of the market all right. there's another market we like to watch a little bit, it's called the bond market

the bond report. and check out how treasuries are faring it is only the largest market in the world. dollar wise. fixed income there it is. that 2-year note 4.738 that's still tempting. i'm sorry. >> inverted yield curve kept all of these strategists - >> they didn't - >> they didn't bother to think there could be anything else happeng. wreooafr this how's the chicken? the prawns are delicious. oh, i have a shellfish allergy. one prawn. very good. did i say chicken wrong? tired of people not listening to what you want? it's truffle season! ah that's okay... never enough truffles. how much are they? it's a lot. oh okay - i'm good, that - it's like a priceless piece of art. enjoy. or when they sell you what they want? yeah. the more we understand you, the better we can help you. that's what u.s. bank is for. huge relief.

yeah... ♪ ♪ ♪ yeah... every day, businesses everywhere are asking. is it possible? with comcast business...it is. is it possible to use predictive monitoring to address operations issues? we can help with that. can we provide health care virtually anywhere? we can help with that, too. is it possible to survey foot traffic across all of our locations? yeah! absolutely. with global secure networking from comcast business. it's not just possible. it's happening. every shot is an opportunity. and success requires drive, resilience, - wow. - get it there. and sometimes luck. but what if luck had less to do with it? what if we had the tools to help us practice smarter, the insights to gain an edge, and the data to inform our strategy? taking our games from that... to this. yes sir. kpmg performance insights are transforming the game

for the entire lpga tour.

. top performance on the s&p led by carnival. >> oh, my into that's for the weekend. >> next week i have stuff that will blow your mind up. >> see the rest as well. ac aerarngs a few days ago. we're back right after this. could be the food i'm eating. no artificials. or these toys that get my mind right. ♪ or maybe it's petco, keeping me healthy for less money. wait, what's money? better quality pet care for less human money. [tweet] oh, a bird.

it's what we'd want if we were pets. get $10 off $50 at petco, the health and wellness company. this thing, it's making me get an ice bath again. what do you mean? these straps are mind-blowing! they collect hundreds of data points like hrv and rem sleep, so you know all you need for recovery. and you are? i'm an investor...in invesco qqq, a fund that gives me access to... nasdaq 100 innovations like... wearable training optimization tech. uh, how long are you... i'm done. i'm okay. (sirens) [due at target in 5!] copy that. make a hard left down the alley. network's got you covered. [please confirm requesting back-up.] -changing route. -go. roadblock ahead. ...back up, back up... reverse! reverse! next level moments, we're 30 seconds out. need the next level network. [north corridor, hurry!]

-coming through! -or 3, let's go. the network more businesses choose. transplant received. at&t business.

what we're going to look at is united health and humana. not from the point of view of they have problems but whether humana is a buy which the travel trust owns at a certain point given the fact that the stock is down 100 points and it's a pretty good company. so the question is not are they going to be hurt by this, but how do you value a company that you know is going to be hurt by this. >> got it. >> we have a quick break, of course got the s&p and the nasdaq - >> is that it for me >> you're done, man.

>> i will see you -- >> you're going to be racing with farley next week. >> and also talk about musk. >> all right. >> people have to watch it. >> great long weekend. >> you too. >> thanks, buddy

somebody would ask her something and she would just walk right past them. she didn't know they were talking to her. i just could not hear. i was hesitant to get the hearing aids because of my short hair. but nobody even sees them. our nearly invisible hearing aids are just one reason we've been the brand leader for over 75 years. when i finally could hear for the first time, i started crying. i could hear everything. call 1-800-miracle and schedule your free hearing evaluation today. this is dr. arnold t. petsworth, he's the owner of petsworth vetworld.

business was steady, but then an influx of new four-legged friends changed everything. dr. petsworth welcomed these new patients. the only problem? more appointments meant he needed more space. that's when dr. petsworth turned to his american express business card, which offers flexible spending limits that adapt with his business. he used his card to furnish a new exam room, and everyone was happy. built for dr. petsworth business. built for your business. amex business.

welcome back to "squawk on the street." rick santelli live at cme hq with the last brand new of a wild week in the form of preliminary june look at michigan sentiment we're expecting a headline number of 60 we bested it at 63.9 that's the best number since february current conditions, 68.0 that's the best, well, since april when it was at 68.2. and if we look at expectation what lies ahead, significant beat here as well. 61.3 we were looking for a number around 55. 61.3 is also the best since february let's get to the heart of it, shall we inflation expectations 3.3% 3.3% for one-year inflation this was expected to be over 4%. our last look was 4.2% the last time we had a number this low, 3.3%, you have to go

back to march of '21 finally the five to ten-year, this has been a bit stubborn, we were expecting 3%, we get 3% in the rearview was 3.1. we've had several 3.1% we haven't been under 3% since the first three months of the year when at 2.9%. we could see that that one-year inflation drop really has pushed yields down a bit. we're currently hovering just below 3.75 on 10-year note yields and at 3.75 only up one basis points on the week, up 3 on the day david, back to you and happy father's day. >> thank you, and same to you, rick thanks for that information as well the market still digesting it. good friday morning. welcome to another hour of "squawk on the street. i'm david faber with melissa lee. we're live from post nine at the new york stock exchange. carl and sara have the morning off. let's give you a look at the markets. kind of a mixed bag.

the nasdaq down a bit, but we do have the s&p up a little more than 0.1%. >> we're just about 30 minutes into the trading session here are three movers we're watching this morning. virgin galactic share skyrocketing after the company is targeting a commercial launch window june 27th, after which a second flight will follow in august with monthly flights after that the stock up 31%. adobe is the top gainer in the s&p 500. the company reporting record revenues beating estimates for top and bottom lines, shares up 35% in two months up 2.6% today. finally we are watching micron, shares on the move after announcing plans to invest more than $600 million in the chinese production lines, despite a partial ban by regulators in the country. for more on all of this the markets and the it can rally, let's bring in advisors capital management chuck lieberman and tom forte. chuck, start with you, we are

witnessing a market rally on the back of the fed opening the door to two rate hikes, opening the door to a 6% terminal rate does this make sense to you? >> not really, not entirely, but it does reflect the strength of the economy. the fed is acknowledging that economy is doing a lot better than they anticipated and inflation isn't coming down so quickly. so really, the fed statements and powell's comments at his press conference are a little bit incoherent in suggesting a majority of them expect two rate hikes or more and yet, the fed pause. so that's a bit strange. >> you know, tom, when you take a look at today's session, we have some remarkable moves under the surface of almost unchanged on the indices you havep an intraday all-time high for apple, meta, as well as for nvidia why do you think the stocks are advancing? is it thenoegs these are defensive sectors in a time of slow down? a notion things won't be as bad

and we're off to the races >> i think they're advancing because we're much closer to the end of rate hikes and when you think about the technology sector, you mentioned apple and microsoft. the fastest rate increase for the fed funds over the shortest period of time had a material negative impact on technology stocks and slowed apple, slowed microsoft as well. i think that it looks like we're at the end of a tightening cycle from raising rates standpoint and that's why you're seeing the rally. i also think there's a greater likelihood of a less hard landing than a true hard landing and i think that's contributing to the strong performance of apple as an example. >> well, speaking of apple, tom, it is, you know, sort of seems to be on a march to a $3 trillion market value. although now off some 41 cents today. but you have a price target of 185, right where we are and a neutral rating do you regret that and why are you neutral?

>> yeah. so i think that shares have had an amazing run and i think that the vision probe, whiz the most significant new product launched by apple since the 2000 iphone, is already priced into the stock. so i think that there's a lot of good news in the shares of apple. they're trading at a premium multiple on a p/e basis and other valuation metrics, so i think that in near term basis i don't expect apple to outperform and have a neutral rating. >> the return, i mean, i think if you do the back of the envelope math on apple with your price target, including dividends in terms of total shareholder return would be less than 5% at this point. i mean, why would you want to invest in apple at all you've got a neutral rating on it. >> yeah. so i think right now, amazon is more attractive. some of the other mega cap tech names are more attractive than apple. apple had an amazing run, but i think there's a lot of good news priced in the stock already. i also think there's structural

challenges for apple when it comes to the augmented, virtual reality head seth, the first price. you haven't seen massive adoption of oculus at $500 i don't think you're going to see mass adoption with the vision pro at $3500. so i think yeah, for now i think there's a lot of good news priced in apple shares and we would be more interested in the stock and a pullback. >> let's come back to the broader market and the macro economic picture as well chuck, given your view of that fed press conference and meeting, i'm just curious, what do you think in terms of fed policy and what it means for the likelihood of a recession or not, and/or the equity markets overall which have been rallying very strongly? >> well, it's really questionable whether or not the fed needs a recession to get inflation under control. it's clear that inflation has come down, but a lot of that is transitory it's the stuff that ran up because of the pandemic and the shortages all over the place

on the service side, we still see plenty of inflation inertia. it's not clear to me that fed is done tightening policy sure, the ion's share of that is behind us. no one expects the fed to hike by another 500 basis points any time in the visible future, but a couple more hikes are now built in according to the fed. and the market doesn't really quite see that when you look at the economy, there's no evidence of a recession any time in the immediate future there's just too much support for various parts of the economy. boeing is ramping up production. the auto sector is ramping up production the housing market, which is the most sensitive to interest rates got hammered last year, but this year we're seeing a rebound in housing. it's clear that consumers have adapted to the prospect of higher mortgage rates and ready to pay those and there's a shortage in housing. we need a lot of construction.

the economy is not close to a recession yet, and inflation hasn't come down close to the fed's target so i think it's still hard to anticipate any reduction in rates in the visible future. >> so this margin in technology, is that misguided and is that a bubble we're witnessing? it sounds based on what your outlook for the fed, it might be right now? >> i think in the case of the technology stocks, you have to look at them one at a time some of them are priced at nose bleed levels like nvidia but nvidia has an incredibly attractive runway ahead. so i think that's a debatable situation. the same with apple. apple's product side is clearly slowing down they're doing well on the service side, but at 30 times earnings in a market cap of $3 trillion, you know, i'm not enthusiastic about it. i find great values in the value part of the market there are a lot of companies out

there trading at ten times earnings or even lower that are good, solid companies, continue to grow, pay good dividends and are likely to hike their dividends and buying back shares. >> right chuck and tom, appreciate your time. >> thank you. >> thank you well, cava is in the red ever so slightly you see right there following that very strong public debut yesterday where the stock closed up let's call it over 100% or roughly from what was a $22 a share ipo price. leslie picker has been following the action and, of course, even more importantly, perhaps, what it means for the likelihood of future ipos, given how few we've seen so far this year. >> yeah, david i think that is the big question today, whether cava's successful debut was idiosyncratic specific to cava or if you can extrapolate that to many companies that are still waiting in the wings to answer that question, we need to look at both the buy side,

that's investor demand for new issuance, and the sell side, companies that would be pursuing these listings the buy side clearly back. i'm told mutual funds were clamoring for a piece of cava. those who got allocations including the three anchor investors doubled their stakes in a day the renaissance ipo etf is up 33% year to date outperforming the s&p. that's another indication that investigators are in the black on these types of holdings and will have appetite for more of them the sell ide, though, maybe a little bit more trepidacious a few contenders like stripe and instacart have slashed their internal valuations in recent months companies like go public when they can get the biggest bang for their buck for multiples with the potential for rate hikes, the banking turmoil that may not be over and uncertainty if there is a recession that could stem some issuer interest. still goldman said in a note the

backdrop is more conducive for ipos thanks to improvement in ceo confidence, peak of front hp end rates and multiples. the firm said the second half should foster in more ipos speaking with sources behind the scenes there's interest rate, new and renewed, but don't necessarily expect the floodgates to be open in the near term thanks to the gang busters debut by cava, guys. >> you know, leslie, on that note, though, any big names we are focused on we expect arm perhaps to come, you know, towards the end of the summer let's call it. owned by softbank now. a mature company, an enormous company by ipo standards, certainly. anything else that could be a barometer if, in fact, we hear it's going to be coming soon >> well, reddit has been on file for quite some time now. that's one people have been watching instacart as i mentioned before. stripe seems like it's going to take time before really heading

to the public markets. you have to look at the comps and the restaurant space has done well. panera is a contender as well as some other restaurants so maybe that's more of the near term ipo contender, in that more consumer space we saw a decent debut by kenview, a consumer company, operates in the consumer space used to be part of johnson & johnson. i think in the near term it's really going to be sector specific, but in terms of those big, kind of high growth ipos, we may be waiting a few quarters for those to really come out. >> leslie, thank you appreciate it. leslie picker. as we head to break, our road map for the hour. travel names from airlines to cruise lines, leaving the s&p this week. we're going to have cowan's top picks. >> youth record levels on what is driving this trend this hour. >> ryan cowen, blasting corporate culture at gamestop's

meeting. the highlights a big show still ahead. >> big >> don't go anywhere [office sounds] ♪upbeat music♪ ♪♪ ♪when the day that lies ahead of me♪ ♪♪ ♪seems impossible to face♪ ♪a lovely day (lovely day)♪ ♪(lovely day) (lovely day)♪ ♪(lovely day)♪ a bank that knows your business grows your business. bmo.

as a business owner, your bottom line a bank that knows your business grows your business. is always top of mind. so start saving by switching to the mobile service designed for small business: comcast business mobile. flexible data plans mean you can get unlimited data or pay by the gig. all on the most reliable 5g network, with no line activation fees or term contracts... saving you up to 75% a year. and it's only available to comcast business internet customers. so boost your bottom line by switching today.

comcast business. powering possibilities™. delta airlines has posted a record stock run that's 15 straight days of gains the stock hovering around the flat line this morning our next guest says despite strong travel demand the long weekend and july 4th are going to be two big tests of the airline industry joining us now, cowen transportation analyst elaine

becker, has a buy on delta great to see you what is going on here with 15 days straight? what has gotten the attention of investors? >> hi, david so i think there are a few things that are going on first of all, we're having a pretty amazing summer just in terms of revenue i was looking at the numbers as, you know, we're getting to the end of the quarter, thinking about what these guys are going to say for the summer. i think three things are happening. one, they are certain doing well and revenues are very strong two, i think the message delta's board and management team sent out rerl this week with the resumption of the dividend sends another message that we feel comfortable with the business that we can resume over $100 million annual commitment, and then third, i think the other thing -- and i don't want to say anything that jinx the industry -- i think we've had pretty good weather the last maybe month or so and i think even with the crowds at the

airports and the full flights, we're seeing the industry handling it fairly well. >> two big tests you say coming up this weekend and july 4th. why and how important are they >> yes so this weekend probably a little less than july 4th. this holiday on monday that's kind of a new holiday, just in the last couple years, people will be traveling this weekend, right. we -- schools are ending or have ended. this was another three-day weekend and we've been seeing people travel when there are holidays, and they extend that right. instead of maybe today to monday, maybe yesterday to tuesday or wednesday i think that's one thing we're seeing july 4th we're seeing the same thing. i don't always pay attention to the dates, but i see it's on a tuesday this year so i think you've got a couple of weeks coming up where, again, you have

people heading out on a thursday or friday at the end of june and then spending four days or six days through the 4th or 5th and then july 4th week is always the big holiday week anyway. so again, we're expecting very strong travel demand during that period of time >> so elaine, i'm wondering what we learned from the fed this week is that three members of the committee say 6% is a possibility. i'm wondering when you think ability a world of 6% and your sector has debt, are there more airlines at risk in that scenario >> that's great question and thanks for it. so when you think about the airlines, yes, what i call se serial capital raise ers always in the market. united with a cap x plan over the next eight or ten years.

american is the next big -- [ inaudible ] is may 25. so they're probably in a better position even though they have more debt than any of the other airlines delta is kind of in the middle where they're buying aircraft, but they also have a pretty good balance sheet and making progress towards paying down debt, getting to the $15 billion they want to get to by the end of '24 or '25. i think that the industry is in a better position, but to your point, melissa, 6% is not 3%, and when you think about the longevity of the industry, they raised capital at higher rates in the past. i've been doing this a long time, and in the past they've raised debt as high as 12 and 14%. we don't see that happening right now. but we think they should be able to handle it. >> elaine, thank you.

>> thanks, david, thanks, melissa. bitcoin hitting its lowest level since march this week but that said, blackrock is jumping in more on what investors need to know, next don't go away.

ah, these bills are crazy. she has no idea she's sitting on a goldmine. well she doesn't know that if she owns a life insurance policy of $100,000 or more she can sell all or part of it to coventry for cash. even a term policy. even a term policy? even a term policy! find out if you're sitting on a goldmine. call coventry direct today at the number on your screen, or visit coventrydirect.com.

asset management giant blackrock took steps to launch a bitcoin etf filing an application with the sec to launch the ishares bitcoin plus. this would allow easy access for investors to get exposure to crypto in a product from one of wall street's largest companies. while bulls remain optimistic the sec has resisted allowing a bitcoin etf in the u.s it's in a legal battle over whether the firm will be allowed to convert its fund into an etf. a decision in that case is expected later on this year. >> check out shares of micron down about 1.5% after the company did warn a hit to its

revenue after china warned about ban on its sales of memory chips. they said, you know, remember on may 21st we heard from the cyber security administration of china which said, you know, micron we're going to prevent you from selling to certain customers, including mobile oems who seem to be contacted by certain critical information, operators or representatives of the government of china concerning the future use of micron products so while they say this continues to remain uncertain and fluid, micron does say they believe now that approximately half of the china headquarter customer revenue, which equates to a low double digit percentage of their worldwide revenue is now at risk of being impacted. >> they anticipate increased quarter-to-quarter revenue variability. read between the lines for investors. forecasts, there's going to be

an asterisk there. we'll see more volatility. it's going to be difficult to see what's there. >> it does underline the importance of the chinese market to micron. interestingly today, a story about micron in which it is actually spending about $600 million over the next few years in a chip packaging facility in a chinese city in the country, despite being targeted by that cyber space regulator. we'll keep an eye on shares down 1.7% speaking of china, and its youth unemployment, well the country's youth unemployment record highs. in fact let's get to eunice yoon more on what's driving that trend and a slowing economy in terms of its growth. eunice >> reporter: absolutely, david youth unemployment, you mentioned the record, now stance at 20.8% perhaps even more troubling is how challenging it is for recent

college grads to find work fresh university graduate trained as an accountant, but at this job fair in beijing, she's already talking about taking a job outside her field. i thought of strend vendor or manicurist, she says chen is representative of china's best educated young people struggling to find work this job fair was set up by beijing authorities. 100 companies were to spoesed to show only about half here mea is empty handed too. anti an i.t. grad, she took an extra course in computing. >> i feel it's not a good year for i.t. companies fellow job seeker wu got her degree from beijing's top academy in the creative arts >> i never pictured myself working for anursing home or waitress, but i'm open wage expectations are coming

down, too. studied app development cut his salary by 33% hoping to get by in the chinese capital on $571 a month. when i was in university, i never thought it would be this hard to find a job he says. so for investors, the trend really tells us two things one, that the post-zero covid recovery is extremely fragile, and also that some of the industries that you would normally think would be at the forefront of the economy, such as technology, for example, are suffering. guys >> reluctance to higher, eunice, i guess based on what they see as potential demand. i mean, bring us a little wider here in terms of what, you know, you've been reporting on of late and i know the "journal" today here talking about new stimulus plans perhaps as well that china may put in place >> reporter: yeah. i think what's really interesting about this trend is that the youth unemployment

problem has been around for over a year, at least, and back a year ago people were wondering oh, is this because of the zero covid controls now we don't have those zero covid controls anymore so it doesn't look as though that's the issue. what is the issue, and it really is just what, david, you had talked about the overall gloominess in the economy, concerns about what looks ahead. a lot of that because of the crackdowns thatwe've seen in some of these sectors that have been much more advanced, such as i.t. or education, where a lot of people start to look for jobs and traditionally that have been pumping out these white collar jobs in addition to that, there's still this lingering feeling, despite the fact that government here is now saying that they're open for business, for foreign companies and also that they support the private sector, there's this lingering concern that at the end of the day, the

authorities here are hostile towards private business and because those sectors have been the ones that have been hiring most traditionally, there's just a lot of uncertainty now about the direction of the economy here. >> eunice, thank you eunice yoon in beijing the s&p is on pace for its longest consecutive winning streak since 2021. can the gains continue "the new york times" jim stewart willoin jus with his take next. stay with us back in two.

welcome back to "squawk on the street." i'm sylvan na with your cnbc news update. at least three people are dead and more than 50 others injured after a tornado tore through the city of perryton in the texas pan handle yesterday

meteorologists warned severe storms packing winds up to 60 miles per hour are possible in the same area this afternoon and evening. but tornados aren't likely the tornado in perryton was one of ten twisters to be reported across the south. the fda is expected to make a decision soon on an advisory panel's recommendation to change the covid-19 booster to target the currently circulating virus variant and drop the original strain from the formulation. the panel did not, however, make a recommendation on who should get the shots and when. pope francis was discharged from a rome hospital this morning nine days after abdominal surg are you it is the same hospital where he received treatment earlier this year for bronchitis. the surgeon said the 86-year-old pontiff is leaving better than he was before. back to you. thank you. we are just past an hour into the trading day let's goat bob pisani with more on what is moving today.

bob? >> melissa, good to see you. the most important thing about this week is a modest broadening out of the market which is what we need to keep things going here just look at today, for example. sectors that are moving. utilities, consumer staples, energy, and health care. every single one of these have lagged this month and a good part of this week, frankly so there's a lot of catch up to do it's heartening to see that. i'm not on the verge of saying there's some massive breakout of expansion here even the new highs are not massive, but it's encouraging to see this. it's happening slowly, though. i just want to point out how remarkable it is, the s&p's advance, mostly on tech, but we are up 3% this week. put up the s&p, up 6% for the quarter, 15% year to date. 14 month high. we have a long way for a historic high. remember that, january 3rd, 2022, 4796 more than 300 points for a

historic high and we need a broadening out of the market to do that. that's really the next big question but there's some stuff that, you know, has had a tough time it's got some momentum this week so, you know, corning has been a great performer. it got an upgrade at citigroup yesterday. morgan stanley upgraded it eight or nine days ago, up 7% this week domino's pizza an upgrade from stifel up 12%. it's been not a very good performer at all and i mentioned the transports are 2% from a new high that would be very significant if we could get a new high in the dow and s&p and transports at the same time old dominion, another old transport name it's up 9% this week the truckers have done generally very well. the company general electric used to own nbc, is sitting at a five high here here's the problem i have, david. you and i and many of us have a

long relationship with general electric the chart only goes back i think to 2000. on a split adjusted basis, david, this stock, it is a five-year high but it is trading where it was in 2008 and where it was in 1997 david, back to you. >> yeah. i'm glad you did that. i think it's educational to put the longer charts up sometimes stocks do not create value over a longer period of time you and i remember when this was one of the largest market cap companies in a world at half a trillion dollars. >> it was number one. >> yeah. >> number one. not anymore. thank you. you're my number one. >> okay. >> all right >> one of the -- one of the reasons the market, of course, has been going higher is the enthusiasm around a.i., and joining us now to sort of talk about that and weight been going on in the overall market is jim

stewart. good to see you. been a long time. >> glad to see you too. >> what do you make given it all, in particular, the fuel that seems to be provided to this market by excitement around generative a.i. in particular and what that has meant for the likes of a.i. and microsoft or alphabet or nvidia >> well traes no question that big tech stocks and a.i. beneficiaries have been getting all the excitement and leading this rally one of the things i found so interesting about it, occasionally turn to people and say what do you think of the stock market rally and they all say what rally are you talking about? it's been really strange in my experience at how little impression this has made on the general investing public i think partly because it's been very narrowly focused on the beaten down tech stocks and the broad market has not really participated also, because the bond market did so badly last year at the

same time that people's asset allocations didn't really change that much because it all went down and they just kind of stopped looking. this to me is actually a sort of ideal setting for a rally because it's the old, you know, stocks climb on the wall of worry cliche >> so i hear mr. stewart getting kind of bullish, am i right? >> well, i was bullish when stocks were really down, but the s&p 500 is now up almost 25% from its lows and when it goes up 25% i start thinking about whoa, it's time to pull back a little bit, not because i'm not optimistic at all, but just simply to keep things in a normal balance i would encourage everyone, if they haven't looked lately at their asset allocation, take a look and might be surprised, especially if they have big index funds in the s&p 500, at how the equity portion has gained a lot bonds have not gained nearly as much they're doing a lot better this

year, but if you have the fixed income thing, you may find you're under weighted in equities, in which case i would encourage rebalancing even at this standpoint. turning to a.i. i am bullish about a.i. i read these apocalyptic redixes a.i. is going to mark the extension of the human race. i'm not ready to go there. i do feel it can produce huge, huge productivity gains, including in our own field of journalism, and i think that's what investors have gotten excited about in the near term they're putting the apocalypse on some future generations >> it's either going to help us or make us extinct, right. >> it could help us and then kill us. >> eventually, yeah. but so you're a believer in this but are you a believer in the run we've seen in the stocks that reflect the optimism surrounding a.i. or is that a bubble right now people who are skeptics will make comparisons to the internet bubble i'm just wondering what your take is?

>> i'm not calling it a bubble, but as an investor what i'm interested in right now are the value stocks as bob was saying, we've had very narrow segment of exciting driving the market higher and that doesn't really persuade anyone if we had a significant sea change in the market look, the big issues are, are we going to have a recession? has the fed stopped raising? is this the pivot and the end? the fact of the matter is, we don't really have any certainty about either of those questions. the values are in to me and the value stocks, you look at some of the p/e ratios, the forward p/e ratios and they have not participated much in this rally. a lot of stocks paying nice dividends to which also, you know, tends to go with the value position so the under valued portion of the market right now is not the a.i. it has that. that story is out there and reflected at the moment. i think it's going to, you know, long term, it's going to be very

good, but i'm interested in the value portfolio right now. >> you mentioned a.i. in terms of productivity gains and that has become a real focus of late as companies grapple with how to use it and how it can help them. what are your expectations in the nearer term in terms of how many jobs it may replace, for example, jim >> well, a lot as a rule of thumb i have been saying, productivity gains have basically been coming out of the manufacturing sector, but what a.i. does in the broader sense it brings that productivity to what i call the thinking sector. so you have a lot of pro fegsz that are very thought based. let's take economists, for example. i know there are companies heading to ipos that are ready to replace a lot of the accounting profession with a.i., and by the way, they can do things that humans cannot. i mean, what can a.i. really do? they have perfect memories they can store immense amount of data they can instantly incorporate any changes to the tax law into

programs that will spew out their returns. they are better than humans in some ways. the reason i don't think think they are going to replace us, they don't have emotions they don't have willpower. they don't have ambitions at least yet, as i know they can't synthesize. i'm not worried about the high levels of the economy. they're safe there are a lot of people doing relatively routine jobs i think a.i. is going to step in and do better, faster and cheaper. >> i know as a columnist you don't do a routine job, jim, but have you asked chatgpt to generate a jim stewart column? >> no. >> absolutely not. no one at "the new york times" has let xaths write -- i did go and ask them questions and sometimes, you know, it's good and sometimes it's kind of nonsense this thing is not -- has not been perfected

we by the way, the way it can help journalists, say many things a journalist do is try to find people who are experiencing, you know, a phenomenon that we want to bring down to human level so you can ask the chat, can you tell me, you know, ten farmers who are complaining about the drought or something like that they can actually, you know, scrape the internet much more efficiently than i can do and come up with stuff it's very helpful and enhances productivity i said well, i'm an amateur musician, should i play this piece on the harp or the piano i got nonsense i got a whole history of the performance of the piano and harp but didn't get help in answering the question. >> oh. sorry to hear that, jim. maybe you can do both. you can decide harp or piano. jim stewart v a great weekend. >> you too. >> gamestop the day after the company held its shareholder meeting where executive chairman

ryan cowen spoke out against corporate america. >> my responsibility is making sure gamestop is run by managers who treat company money like their own. in corporate america, the people in charge, the professional directors and management teams, are not aligned with shareholders they are always the recipient of stock runs, however rarely purchase company shares with their own savings. there's a difference between risk free compensation for showing up and putting your own money at risk. as a result, money is wasted, work is delegated, and a lot of time is spent managing to short-term expectations and pandering to wall street i like people who roll up their sleeves and do real work >> a documentary on gamestop "making of the meme king" available on peacock and youtube right now. of course this comes days after a filing revealed he bought $10

million of stock bringing his stake in the company to 12%. he does have a stake in this company, very large one. >> first time i've heard his voice. you spend a lot of time on him given the documentary. what do you make of these comments >> totally in character. >> totally in character. >> he's always been one to criticize corporate culture, always -- he doesn't respect people who, you know, sit at disks and push papers. he wants today things. think of his background. he created chewy he's an entrepreneur he has that sort of we're going to do it, do the work ourselves kind of attitude he doesn't respect people in board rooms and just sit there and make decisions and collect stock compensation >> do you have a sense of what the plan is for gamestop >> no. >> you don't >> not at all. >> so they're not going to sit at their desks - >> there's no -- the ceo that was, you know, who had been in there who was a long-time amazon executive, there was hope there that he would inject that sort

of, you know, digital commerce sensibility into this largely still bricks and mortar company. he's gone now. he's got a deputy there who used to be the general counsel who we interview in the documentary he's going to run the show, and i think that was sort of his, you know, think all along. he is an entrepreneur who is used to acting like the sole proprietor and i think he's going to effectively act like the sole proprietor of gamestop. what he's going to do is still tbd. as we head to break the biggest gainers on the s&p 500 this week. more on the markets next when - quzone returns -"sawk on the street" returns. this is ge aerospace, advancing flight for future generations. ♪

welcome to a new era of flight. what do you see on the horizon? uncertainty? or opportunity. whatever you see, at pgim we can help you rise to the challenges of today, when active investing and disciplined risk management are needed most. drawing on deep expertise across the world's public and private markets in pursuit of long-term returns... pgim. our investments shape tomorrow today. (sirens) [due at target in 5!] copy that. make a hard left down the alley. network's got you covered. [please confirm requesting back-up.] -changing route. -go. roadblock ahead. ...back up, back up... reverse! reverse! next level moments, we're 30 seconds out. need the next level network. [north corridor, hurry!]

-coming through! -or 3, let's go. the network more businesses choose. transplant received. at&t business. this is cynthia suarez, cfo of go-go foodco., an online food delivery service. business was steady, until... gogo-foodco. go check it out. whaatt?! overnight, users tripled. which meant hiring 20 new employees — and buying 20 new laptops. so she used her american express business card, which gives her more membership rewards points on her business purchases. somebody ordered some laptops? cynthia suarez. cfo. mvp. built for cynthia's business. built for your business. amex business. - i got the cabin for three days. it's gonna be sweet! built for your business. what? i'm 12 hours short. - have a fun weekend. - ♪ unnecessary action hero! unnecessary. ♪ - was that necessary? - no. neither is a blown weekend. with paycom, employees do their own payroll so you can fix problems before they become problems. - hmm! get paycom and make the unnecessary, unnecessary.

- see you down the line. as corporate america continues to address racial equity in the workplace, some companies are focusing in on one key metric, employee pay brandon gomez joins us now and has more on the sfloor good morning. yes, we are headed into a three-day weekend and markets are closed on monday and this

will be the second time juneteenth is celebrated as a federal holiday. now it commemorates the day that presidentlincoln freed enslave african-americans. companies have spent the last several years really focused on advanc advancing racial equity. just c believe one way corporations can do this is through pay equity. p based on the public data they found just 4% of america's largest companies have closed the racial pay gap companies like apple, intel, starbucks, intel, you can see them in the center column, reporting a one for one ratio. amazon, bank of america, pepsi, jpmorgan shy of pay parity by a few cents. how do we know that? what does it take for companies to reach parity? it starts with an internal audit of pay in 2022, 24% of companies in

russell 2000 conducted a pay equity any analysis by race and ethnicity. only 9% disclosed their results. it's a small percentage but it shows signs of improvement 34% of companies conducting internal audits. up 4% from last year to 9% this year david, room for growth, of course, but steps in the right direction. >> the 4% number seems extremely low. i noted many of those companies that are actually at parity are very large companies i'd be curious to know revenues or, you know, see it differently in terms of are the biggest companies better it would seem they have more employees than smaller companies. >> they do you also have to look at what industries those companies are in a lot of the names on that list were companies in the tech sector, in financials. these are also industries where they tend to have a higher average hourly pay these are companies that have the resources that may be able to compensate their employees

better for the value they're bringing to their positions as well >> all right brandon, thank you brandon gomez. much more "squawk on the street" right after this before they're on medicare. come on in. you're turning 65 soon? yep. and you're retiring at 67? that's the plan! now's the time to plan ahead. learn about an aarp medicare supplement insurance plan from unitedhealthcare. here's why... medicare alone doesn't pay for everything. a medicare supplement plan helps pay some of what medicare doesn't. and that could mean fewer surprise out-of-pocket costs for you. call unitedhealthcare... and ask for your free decision guide. or talk with a licensed insurance agent or producer about plan benefits, options, and rates. this type of plan lets you choose any doctor, any specialist, anywhere in the us who accepts medicare patients. so call unitedhealthcare for your free decision guide... and get help protecting yourself from those out-of-pocket costs medicare doesn't pay.

oh, and happy birthday... or retirement... in advance. ah, these bills are crazy. she has no idea she's sitting on a goldmine. well she doesn't know that if she owns a life insurance policy of $100,000 or more she can sell all or part of it to coventry for cash. even a term policy. even a term policy? even a term policy! find out if you're sitting on a goldmine. call coventry direct today at the number on your screen, or visit coventrydirect.com. we moved out of the city so our little sophie could appreciate nature. but then he got us t-mobile home internet. i was just trying to improve our signal,

so some of the trees had to go. i might've taken it a step too far. (chainsaw revs) (tree crashes) (chainsaw continues) (daughter screams) let's pretend for a second that you didn't let down your entire family. what would that reality look like? well i guess i would've gotten us xfinity... and we'd have a better view. do you need mulch? what, we have a ton of mulch.

i just want to say, i think we should pause. i don't think that's -- that the -- >> why do you want to pause? >> well, i think there's a real danger for digital super intelligence having negative consequences so, if we are not careful with creating artificial general intelligence, we could have potentially a catastrophic outcome. >> that was elon musk, of course, at a french technology conference just moments ago. he and i spoke it was may 16th. we had a similar conversation, and then i remember saying, well, they're not going to pause, are they? he said, no, i don't expect them to pause i'll keep saying it but i have no expectation i signed that letter that said they should pause on the development, but i did it as a favor. basically, he doesn't expect it even though he keeps asking for it >> there's, you know, kind of a

push/pull here because you see the effects of letting technology go as fast as it can be developed i mean, in terms it of the unintended consequences. we used to see that across social media and the attempts to sort of pull that back if we pull back or put the brakes on the development of ai, it could mean that adversary, like a china, could take the lead in artificial intelligence, and we don't want that to happen either. >> yeah. again, few people believe it, despite the fact that we do have leaders in the industry, whether it be sam altman or elon musk, and a number of others who are at least sort of saying, cautious -- proceed cautiously, or asking for more regulation or guardrails again, very much unclear whether -- what we're going to get. to your point, when you have adversaries who are advancing similarly -- >> as fast as they can. >> i can't imagine it's going to -- the brakes are going to be put on any time soon but he does seem to share my

concerns >> about - >> or i share his? >> about human destruction >> yeah. >> jim stewart clearly isn't on that. >> he's asking about farmers and such he's not worried >> it's going to be really good until it's really bad. >> until it turns. >> speaking of turning, we're going to turn the page on this hour, but we've got a lot more "squawk on the street" for you after this hour.

ah, these bills are crazy. she has no idea she's sitting on a goldmine. well she doesn't know that if she owns a life insurance policy of $100,000 or more she can sell all or part of it to coventry for cash. even a term policy. even a term policy? even a term policy! find out if you're sitting on a goldmine. call coventry direct today at the number on your screen, or

visit coventrydirect.com. good friday morning. i'm melissa lee along with david faber post 9 of the stock exchange setting the future of this rally. bank of america warns a collapse is ahead but paul hickey says, not so fast. has the ipo window reopened? what cava's strong debut means for spacex and arm cleo capital sarah joins us. chinese evs are making a big move into europe former ford ceo will weigh in. let's give you a check on the markets. a mixed bag.

nasdaq is down