♪ welcome to "power lunch. alongside kelly evans, i'm jon fortt. coming up, another downgrade for alphabet is the ai hike leading the market reality we'll discuss that and other tech topics. plus, first and secretary of states, now the treasury secretary, janet yellen reportedly heading to china next month. we'll talk about what she'll try to accomplish. but first, thank you, jon. let's get a check on these markets. and stocks are right around session highs pretty much the dow is up 227 points and it's the laggard today s&p up 50, 4378 and nasdaq leading the charge up 1.7%

russells are strong today as well keep an eye on walgreen's why the dow is underperforming somewhat the stock is the worst performer in the dow with 9% decline today. not just the worst performer today, the worst in the dow over the past three months, over the past six months and over the past 12. we'll have more on the earnings missed sending the stock lower coming up. on the other hand, we have shares of generac up 28% in june we spoke to the ceo last week about their role in helping texas stabilize its power grid during this heat wave. 30% run capped off with 8% pop today, jon. >> all right now for our slew of tech news for today google gets another downgrade from bernstein today following downgrade from ubs yesterday as competition in the ai race heats up here to break it down for us is our very own tech correspondent steve kovach and cnbc contributor and founder of big technology, alex alex, start with you here. as we talk about this downgrade

of egoogle parent, alphabet, i don't know it used to be we were used to google being the overlord and microsoft the underdog valuation wise, microsoft is looking a lot stronger. >> absolutely. and i think, you know, the downgrade wasn't this massive downgrade. they're still expecting 11% growth with the new price target from ubs not like they're killing the stock. but what they are saying is microsoft is pushing this company to be defensive and those defensive moves could lead to revenue slowdown for google for instance, you take generative search, so you now have the first 75% of the window that's all content that google shows you and the ads below. and that could ding the revenue. remember, search revenue for google was up only 2% in the first quarter. this is already a business where the growth is slowing a little bit. you add these ai elements, long-term it could be trouble for the business. >> i don't know, steve microsoft has $2.5 trillion can market cap

alphabet $1.5 trillion market cap. pe on microsoft is 35 plus alphabet is only 26 plus isn't this microsoft search versus google cloud if you think they can grow about the same, why bet against alphabet. >> yeah, exactly you look at what microsoft is doing. go back to the ai thing for a second less about search and adds, which of these two companies have a clear monetization for products microsoft. they laid it out up charge customers for ai co-pilot tools we have ideas about google it will be integrated in search, how that benefits the ad business, we don't know. macro level, what google is seeing with advertising, they slow down but also this note points out competition we have tiktok, we have all these streamers going avad, advertising supported including our own peacock. there's more competition than ever just for youtube, just for those ad dollars

mentioned tiktok as well not sure that's a perfect comparison, when it comes to the big tv streamers, youtube is right up there we don't talk about youtube in the same conversation often as netflix and so forth it's up there. just as much viewers as netflix. >> still wonder if a microsoft win is priced in here. >> the analyst behind the alphabet downgrade will join closing bell overtime. great show if you haven't seen it. >> i heard of it. >> that's today. mark shmulik on at 4:00 p.m. eastern. >> looking forward to that. here is a fun angle on this google microsoft thing but also reddit is having a huge impact on google. google executives are admitting that users aren't happy with its new search function after red dhs dit protested new changes to the platform let's back up and explain what we're talking about. when i'm googling something es sew tearic in my house and i get a reddit result and it's very helpful. because reddit has gone dark, that's messing with google's

results? >> exactly basically the top search executives including the top search executive at google admitting what we all know which is a lot of people were penned reddit to their search queries because they know they'll get a better answer and this reddit rebellion, meltdown, shutting down the pages has exposed that weakness in google search results showing, hey, they're not actually that useful and when reddit goes away, we don't have an answer. >> you're left with nonsponsored ads, no reddit thing you can rely and nothing else to turn to. >> it's not just a problem with google by the way, this is a problem with amazon as well. these companies are incentivized by the market to grow their advertising business and therefore that means stuffing more ads when you search for something. i don't know again it happens on google all the time. especially if you're searching for a product or a movie or service. but on amazon, increasingly as well, it's hard to find those good organic results and you know, google is -- they had that -- i think perspectives

they call it is a new product they launched to kind of make up for this miss of reddit. it's very interesting to hear google's top search executives admit to this. >> alex, so on monday google introduced perspectives serve as discussion from social media platforms like tiktok, youtube, reddit and cora. how quickly can they roll it out? >> it will be a side tab that will give you access to some of the discussions that are happening on the internet and you can get through -- get to through google by the way, this whole discussion just highlights the paradox of google. at the end of the day, it's a search engine. it's your way to get to the open web and to find information. and we're now starting to ask these questions, can't google tell us everything that's the beginning we want google itself to tell us everything but without the web and without the people creating content on places like reddit, the other ones we listed here, what is google it's a shell it's just a place with

advertising. and so, you know, it's all these users on the web that have been providing the value to the actual search engine itself. now we see what happens when they go away now, they're not really able to bond together and negotiate against google, but we're right now seeing how important these sites are. >> alex, isn't this also exposing a problem in the ai era, which is that the myth of free data is going away. if you let your data out there for free, people just going to scrape it, use it to train their ai models and then replace you "the new york times" is now making more money off of scriptions versus advertising. and doesn't that sort of pave the way that a lot of these different platforms are going to go, either putting up pay walls or erecting other like building walls to keep ai scrapers out so they can maintain the value of the content of their data? >> absholutely it does. the challenge search engine will

have moving forward because ultimately companies played ball with search engines because they could drive traffic to people and drive eyeballs i think part of the reason why this generative ai boom is happening because search engines just let people down and didn't provide them the information they want. they much rather have a conversation with the computer than type key words into goog chle now you have reddit, others telling google not to crawl or ai bots not to crawl, you have the reinvention of the web one that might not be as useful as it has been or not as useful has it could have been. >> last topic, a court filing shows microsoft ceo provided a new goal of $500 billion in revenue by 2030. steve, that's a lot of revenue apple will do about 390 billion this year. amazon crossed half a trillion last year, but of course it's a retailer. >> right. >> so it's model is different. that's kind of a high target

from microsoft a lot of growth. >> microsoft just to put in context, their fiscal year is not ending for another couple years. fiscal year '22 just shy of 200 billion. they want to go from 200 billion in '22 to half a trillion in 2030, where does this come from? the same filing that we were talking about here says ai, ai, ai, cloud, cloud, cloud and those two are intensically linked that's a lot of it. >> you can't get there without ai and cloud. >> there's another piece here, too. act vision they're trying to buy they believe this came out the court filing came out. so they believe that is going to be helpful to grow. >> you can't get there without activision >> you got to buy a lot of stuff. they bought linkedin they bought what's the -- >> gethub, tons of huge deals. >> they have to keep buying stuff to grow top line.

>> or they think cloud will continue this hypergrowth. now, we have seen cloud especially the last couple years lose that hypergrowth, lose that momentum, but every time sat ya talks about this, he talks about extremely long winded way for cloud growth so maybe that's part of what they're factoring in here. but this is an aggressive target to say the least and coming out a court filing like this is interesting. >> alex, i know satya nadella is superman but you have to buy a lot of stuff and execute flawlessly to hit that target, right >> absolutely. and to do this they have to really take share from amazon, right? so i think mie koe soft internally believes that aws got to this head start because they were there with the technology earlier. but what they really did is took microsoft's customers. now micro ssoft has a way to wi them back. you have companies with on prem servers. slow rolling move to cloud microsoft sees all that opportunity ahead of itself. now they have this message of security and message of ai and

got sights set directly on amazon it believes it can both push its customers that haven't moved to the cloud to cloud and also take those aws customers. and i have to say, you know, the way that the opportunity let lies in the enterprise and the way this company has been pushing ai and the way that amazon there's no consumer product there. maybe they do have a chance. and i think that it's good to be ambitious inside your company with nadella's plan 2020, he wants to grow profit and revenue and operating margin by 20% year over year. be ambitious, right? what's the point of being in business if you're not ambitious. stretch to hit it, but there is a chance to do it. >> $500 billion is doable. look at the fortune 500 list walmart shy of 600 billion amazon next to 500 billion cvs, you have to touch a big part of retail micro soft -- >> those margins are terrible.

>> yes. >> you want microsoft groceries. >> you want the cloud margins. >> amazon has the high revenue can microsoft achieve that size and the margins to your point? that would be a feat perhaps never before achieved. >> yeah. which satya nadella has done it's possible. >> he has been talking about this since he took over as ceo and making it happen over the last several years. >> steve, alex, thank you. and let's stick with the tech theme for another moment. it's been a hot sector this year, still we have winners and losers within the group. dominic chu breaking it down in sector nomics. >> the single biggest sector in the s&p is the single best performer. the rocket fuel come from so far this year, it's technology 28% of the s&p it's up 37% over the course of this year to date period more than doubling what the s&p 500 has done so far. so, if you take a look at what's been driving the upside, a lot

of conversations that you guys just had about artificial intelligence, look where some of these things land. nvidia, up 184%, very much that ai story there amd, another chip company, 70% very much ai-oriented. then kind of cloud security, if you will, rolled up into one paloalto up 81%. on the downside, we have some services firm also generally linked towards retail cybersecurity and protection, you have gen digital down 13%, think norton life lock, reputation defender, that sort of thing epam systems a platform for digital product development, down 31% and n phase on the solar side down 40%. the real losers on a year to date basis remember, this is kelly, jon, very much a momentum story for technology 65 stocks in the sector. 4 out of 5 of them are trading at or above their 200 day average price on a rolling basis.

this is very much about a momentum trade so far. we'll see if it sticks with tech i'll send things back over to you. >> dom, thank you. coming up, treasury secretary janet yellen reportedly planning a trip to china. along with a plan to curb u.s. investment there we'll talk about it with the former treasury official. plus, starbucks ceo celebrating 100 days on the job with a complaint over the labor unit over the pride decor controversy. details when "power lunch" returns.

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welcome back to "power lunch. treasury secretary janet yellen expected to visit china for high-level talks next month. this would follow visit by secretary of state antony blinken who met with china's president xi earlier this month and comes amid tense relations between the economic super powers here to weigh in on that is anthony coley. welcome. >> thank you >> obama administration? >> obama administration, yeah. >> going back maybe ten years or so. >> about that, yes. >> i would say -- how do we describe the u.s./china tone back then, certainly not what it is now >> certainly not so my last foreign trip as obama administration treasury official was to apec minister's meeting in beijing and a lot has changed since then right? i mean, you got spy balloons you have the theft or alleged

theft of technology and innovation from american companies. you have china's continued intimidation of its citizens in the u.s. and around the world. but it is so important for secretary yellen to have this dialogue it must be constructive and got to be honest i've got, you know, three things that i hope she talks about when she's there. the first is she's got to continue to put national security and the national security of the interest of the united states first. she also has to talk about the need for china to have a level playing field for american companies. and then thirdly, there's got to be a sense of what are the areas of common ground that she and her chinese counterpart can have is that issues related to climate change is it issues related to forgiving debt for some of the emerging countries all of that type of stuff.

>> so she probably shouldn't call them a dictator right off the bat, probably, right >> she should not do that. let me weigh in on this if i can, jon she should not call him a dictator i will say this about the president's use of that word he shouldn't have said it. but, actions matter more than words. and the administration would say here is that the actions that the people's republic of china has taken against u.s. companies are far more damaging than some off the cuff ad libs that president biden has done. >> there's an advantage to appearing tough on china, right? >> right. >> and as we get closer and closer to next year, that sort of need grows. so what can yellen really accomplish here when china feels like we're trying to contain them and we're inching ever closer to a cold war typesetup like we had with the ussr a

generation or two ago. >> so dialogue is important, but what's also important here is the economies. these two -- china and america are the world's two largest economies. our futures are intertwined with each other and so, constructive conversation matters she's got to be direct she's got to be clear. she's got to continue to put the national security of the interest first and she cannot, she cannot, waiver on that i don't expect her to. >> should we almost say the stakes for the trip aren't that high i think the feeling with blinken and his 35-minute meeting or what have you is that it was a lot of effort, a lot of hoopla but not much happened. what do you think are the most significant actions that could not take place between the u.s. and china? are we trying to warm things up, get the militaries talking, look for a thaw are we trying to take a tough -- i'm not sure what the goal is. >> right

so i think the most important step to come out of our on going relationship between prc and the united states are going to be these reverse sifs you rules. >> if we impose that. >> right, right, right i talked to a lot of people in washington what we do know is that the treasury department has spent a lot of time talking to private industry, talking to private funds who have investments in prc and trying to figure out -- this is the treasury department trying to figure out what are the narrowly tailored rules that are appropriate in specific sectors that can safeguard u.s. national security. semiconductor and ai related efforts in that space are where i think these rules are going to land. >> but it's a clearer decoupling it's a clearer sort of there will be less, you know, cross

border border investment going forward? >> to an extent. the devil is absolutely in the details in this. the recognition of an importance of a robust, economic exchange with china but understanding the importance that we do have important american values that we are going to stand up for and there is no backing down from that. >> all right anthony coley, appreciate your time and welcome thank you for your time. nice to have you along. >> thank you. coming up, 500 million pickle ubs estimates pickle ball injuries thought it was supposed to be safe, add up to half a billion dollars in extra medical costs across america this year and that could be a huge burden for already beaten down health insurance area united health and human that

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welcome back to "power lunch. stocks moving to session highs led by the nasdaq. let's get a check on the bond market from rick santelli in

chicago. rick >> yes, jon fortt. rates are moving up just like equities are moving up and for some pretty good reasons. if you look at a two-year and ten-year intraday on the same chart, you can see that at 10:00 a.m. eastern they popped and they popped for good reason. when we saw the june conference board consumer confidence, the headline number was basically the best in 17 months. if you look at the present situation, that was the best in nearly two years and what lies ahead, the best of the year, these are all solid numbers. and if you look at year to date of five-year, which happened to have been five-year was the second leg of a three-leg auction, two is yesterday, five today, seven year is tomorrow. it didn't go as well as yesterday's two-year but it was still above average. but the point is that we auctioned off 43 billion fives as almost the identical place they were last year right around 4% think about that

and think about how the fed and everything that's passed under the bridge since the beginning of the year i find that amazing. if you look at tens, look at the consolidation that we had basically for the entire month of june. traders are paying very close attention to that because it certainly looks like any type of a yield close above 385 will be break-out material but they're still selling against it finally f you look at the difference between u.s. ten year and european boons, it's not the widest it's been in four months. 140 bases points we want to continue to watch that as their two-year yields close today at 15-year high. kelly, back to you >> wow, rick thank you. we appreciate it rick santelli. now, as more solar generation comes online in california the state's grid operator is facing a challenge the steepening of the so-called duck curve, pippa stevens here to finally explain. >> yes, after that tease yesterday. it's called the duck curve because it looks like a duck so we have a chart here if we want to pull that up, which

really illustrates how the net load -- net demand load varies during the day and so there you go. there is the duck. so you can see that during 12:00 p.m., demand is pretty low and that's right as solar is at its peak then later on it ramps up as people go home, the sunsets. they turn on their washing machine, they turn on their laundry machine, that kind of thing. so as you can see from the chart, between 2015 and the top line up there, and now, which is the white line at the bottom, that curve has gotten a lot more steep as more and more solar has come online. and that poses a challenge for the grid operator because it's that ramp up in the afternoon that's really, really hard and peak power plants like gas fired plants they can't just ramp up at a dime. it takes a while for it to come online now, converging energy told me that this is very much a unique to a certain period of time per year in the spring when demand isn't as high during the day because things like acs aren't

on, but it does show the opportunity for energy storage since batteries can be deployed much faster than a fossil fuel plant. that's what everyone is saying in order to transition to this greener grid, we need a lot more storage to come online. >> the key is to watch that duck curve before you get the bill. >> yeah. >> oh, i was like the bill, very well done, jon very well done >> it does look like a duck. >> yes, it does. let's get to seema mody for the cnbc news update. >> good afternoon, jon donald trump's legal team will square off with new york prosecutors this afternoon over the venue for his hush money trial. the former president's lawyers argued in a court filing today that the case should be moved to federal court because their client was in the oval office when trump allegedly sent hush money to stormy daniels. manhattan district attorney says trump was charged in state court because he broke state law canadian wild fires which delivered dangerous levels of

smoke to the eastern united states earlier this month have reached a record high for carbon admissions a canadian monitoring service reported today the fires have released 160 million tons of carbon into the air. that is the highest level since monitoring even began in 2003. the smog -- the smoke excuse me is now reaching europe and the highly-anticipated barley movie comes out next month. airbnb is reopening malibu ocean front mansion to promote its release. the dream house equipped with massive pool, barbie and ken ready wardrobes will be free to rent for some lucky fans for two nights only injuly booking requests begin, guys, write it down on the 17th. >> that's my birthday. >> i couldn't stay there. >> just saying i'll get it for jon. thank you, seema. earlier we mentioned walgreen's boots alliance sinking after missing third quarter estimates and slashing full year guidance the shares are now at the lowest

levels since september of 2010 we'll trade it and other moves in three-stock lunch ahead "power lunch" is back in just moment

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welcome back, everybody. time for three-stock lunch it's a deluxe edition because we're hungry today or thirsty i should say three key stocks and stories on our radar. team of reporters will give us all the news and moves, and then our trader, cnbc contributor michael far will give us our trades huge day for delta, monster run the stock has been on. >> and it's three data points we'll point out here that are behind the move today. raising guidance for the second quarter, both in terms of earnings and revenue and then when you look at the full cash flow guidance for the rest of the this year, up nearly a billion dollars or actually a billion dollars. 3 billion versus 2 billion there's the new guidance from delta. here is ceo ed bastien talking about how strong demand is right now and how long he expects it to last. >> it doesn't matter whether it's in the u.s., whether it's in europe, whether it's in asia, people are wanting to travel and they're prioritizing travel. and as a result, the demand that

we're seeing today is even stronger and the value is even greater than we're seeing. we're raising not only the full year we're raising the second quarter. i think the second quarter is going to be our highest q2 earnings in our history. >> and when you take a look at shares of delta, not surprise it's at 52-week high this is a company that has raised guidance on a pretty steady basis over the last several quarters and the bullish outlook that we heard during the investor day here in atlanta today, i haven't heard that from ed bastien in a long time. he believes, guys, this is an extended run in terms of surge in demand. that people will continue to want to travel beyond this year, well into '24 if not '25. >> before i let you go, i might be harsh on united later, defend what's been going on with all the cancellations. i have friends stuck in new jersey, they can't get out for the fifth day. >> this is what happens when you have cancellations that hit one of your hubs it's hitting newark. and look, we're going to see

this from time to time this summer with different airlines some will come back from these cancellations better than other airlines and united right now because they dealt with this and we saw the letter that scott kirby put out to the employees saying a lot of this is because in his opinion the cancellations at the faa control center that handles traffic into new york, regardless of that, you will see this with other airlines this summer right now it's united dealing with it in newark, but there's ripple effects across the country. >> no, absolutely. hear about it everywhere phil, thank you. phil lebeau reporting. michael farr, we'll focus on delta. incredible run lately. what would you do with the stock here >> wow you know, kelly, delta has been killing it and they've been playing that sort of travel revenge and reopening trade and they've done a great job it looks like it's going to continue think think it will continue talking about that today on the show it's very cyclical it's not my kind of stock. so i'm going to give it a hold,

but the chair price probably goes higher, kelly. >> goes higher from here >> yeah. >> now, walgreen's boots sinking after results this morning bertha coombs has more on that >> jon, wall green's earnings missed estimates pharmacy is slashing its outlook. driven by a big drop in covid sales after low respiratory infections this spring and consumers growing more cautious. loco vid-related demand hit city md executives are pledging they'll make bigger cost cuts as they integrate recent health acquisitions while still expanding. it's a lot of moving parts the pharmacy side meantime saw 83% drop in covid vaccines and slide in test sales along with consumers cutting discretionary purchases. they're holding back for bigger promotions which will continue to hurt margins.

walgreen's cutting its full year 2023 earnings guidance to $4 and $4.05 a share. that's more than 10% below the consensus. >> all right thank you. so michael, what do you do here do you buy low or stay away? >> no. you know, it's funny today we're going to talk about two stocks at all times high and one at all-time lows. walgreen's at all time low and this stock's been in free fall since 2018. it was $85 a share it's down another 9 or 10% today. classic value trap i much prefer cvs, much more diversified. wall greens is a sell. >> would you kick wall green's out of the dow, michael? >> yes at this point i think i would. you know, if you're going to have some retailer in this space, i think there are better managed companies with much better balanced sheets than walgreen's. >> fighting wards. stay for one more, it will be

housing. new home sales surging 20% in may from a year ago. diane has more wild, diana. >> i know, kelly much bigger than expected may, sales of new homes up 12% month to month and 20% from may of last year. this despite mortgage rates which were kind of rough in may when these contracts were signed and counted. started the month around 6.5% and shot sharply higher over 7% in the second half of the month. we did see a drop in the median home price, down 7.6% year of year part is just a shift in what's selling which is skewing slightly lower due to higher mortgage costs now one really interesting number a bit deeper in this report is that the number of homes sold but not yet started has nearly doubled since last may. so a big backlog that should keep builders busy for a while one issue there is will they find enough labor and have enough access to enough building materials to get it all done kelly.

>> that's the question diana, thank you how would you play the housing market lows it looks like? >> well, this one is the other one today that's trading right near 12-month high there's been a housing shortage. we have continuing home building there's been consumers still have jobs. and they're repairing their homes. they're contractor sales at lowe's have been doing very well this is a stock i owned for a long time. i would buy it even at these 12-month highs i think it's got higher to go. but for me, it's a core holding. i think it has been a really well managed company with a really good balance sheet, too >> all right there's your play, everybody lowe's up 12% year to date michael farr, good to see you today. thank you so much. >> thank you now as we head to break, june is pride month. cnbc is sharing stories of corporate leaders. here is michael shackner, boston consulting managing director ♪ i truly believe corporate

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welcome back to "power lunch. the fight over starbucks workers wanting to hang up pride decor taking a new turn as the company files a complaint against the union. kate rogers joins us now with more kate >> jon, starbucks filing charges with the nrlb stores unable to decorate for pride the union claims that starbucks failed to bar going over what it alens is a change in policy. starbucks said, quote the union violations ignited inflamed workplace tension and division and provoked strikes and other business disruptions in starbucks stores adding the union's unlawful campaign includes without limitation making deliberate misrepresentations that includes

maliciously and recklessly false statements about starbucks' long standing support of pride month and decorations in its stores. the union is calling this a public relations stunt meant to distract from starbucks own actions adding in their rebuttal every single charge that starbucks filed against our union has been dishissed by the nrlb by lacking merit. watch what starbucks does not what it says while attacking its union that represents its workers. starbucks changed its policies starbucks truly wants to be an ally to the lgbtqia plus company they will come to the bargaining table to negotiate in good faith. strikes now are continuing at cafes across the country the union says this week with more than 150 stores representing nearly 3,500 workers pledge to take part in those strikes in olidarity guys, back over to you. >> kate, now starbucks is going to clarify the guidelines for store decorations here >> that's right, jon last night the company sent out

this partner communication maintaining once again they say there's been no change to company policy but said they do understand there's a need for more clarity and consistency on current guidelines for decor in stores for things like pride month and adding they issued clearer centralized guidelines representing inclusivity in the brand. reminder to viewers that starbucks says managers can make decorating decisions currently based on their safety guidelines in stores and company is folding based on the strikes that have taken place and called this a major victory for them a lot of back and forth here the nrlb will decide but could take time for these claims to make their way through >> kate, thank you our kate rogers reporting. starbucks shares up .5%. still ahead, a pickle for the broader health care industry estimates showing hundreds of millions in dollars of medical costs expected from pickle ball injuries alone we'll reveal under the radar sector our expert thinks could cash in from this when "power lunch" returns ♪

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flex alerts notify us of preventable power outages. that way we always know when to help stop one. ok flex, just drop some knowledge on me again. oh, ok i will - i'll turn our thermostat to 78... i'll unplug the blender. the hair dryer. - my blankie? - yep! - let's talk about it! - nope. ooo, we can save the laundry til' the morning! oh, yes please! oh! little things like this help save our power and help save us from outages. with flex alerts, the power is ours. welcome back to "power lunch," everybody. check out shares of humana, not today's move, but look in the corner at the 11% drop in june the mid-month slide when the company warned of higher insurance costs and part people who put off surgeries during the

pandemic are getting their knees and hips replaced. united health same story earlier that week. the likes of zimmer have got anisoboost up about the same amount this month, up 13%. now to this mystery, throw pickle ball into the mix this analyst at into the mix. this analyst writing, quote, we estimate $250 to $500 million of medical costs are directly attributable to pickleball joining us to talk about the surprisingly dangerous trend, dr. patel. are you buying this? >> we are seeing a lot more pickleball injuries. it's part tennis, part bad badminton, part chess. >> i am in the minority, but i have played pickleball, so that not minority

and my mom, she's 79, isn't this what the health community has been telling people to do, get out and get active yes, some educations of injuries, but aren't people getting a cardiovascular injury in >> we want them to be prepared when they do it. before some of the recent pickleball craze, 90% of pickleball injuries, and there were a lot of them before covid were in ages 50 and above. we know if you are older, you are just more prone to injuries pause of all the reasons we're prone to injuries as we age. most of the injuries fall into a catchy, you flip, you trip, you fall or you dive, one of those four categories. people think pickleball seems easier than tennis or might seem it is easier for people to do, to your point about recommending it to your mother. but you are moving in 360 directions it is not easy we see an achilles tendon tear,

which can be hard to recover from add all of this up, you need to prepare your body to do this, but you're right, getting outdoors, that's exactly what we want people to do. but we're also seeing the consequences that's why we're seeing all the injuries we're seeing. and we're seeing this boom to a lot of the stock especially tailored to this sector. >> i didn't recommend it she took us to her pickleball set. >> we have been warned for the costs, some of those paying out because of medicare costs. >> ortho clinical diagnostics, let's talk about the public stock. u.s. physical therapy inc which is a huge conglomerate even if you have a minor injuries, almost always they recommend physical therapy to strengthen, rehab and get back out there on the pickleball

court or the court of your desire let's talk about images. envision and some other publicly traded imaging-focused intensive services will benefit from this because if you go into any emergency room and we're seeing an increase, possibly 67,000 emergency department trips alone, usually you need some imaging to go along with that. mris so we're talking about pretty broad sector tail winds that i think could apply now to the services sector. and think about the supply chain. a lot of us are recommending some of those wrap-around devices to support the knee, the ankle, the elbow not a tennis elbow anymore, pickleball elbow think about the ger bill medical equipment we need to prescribe to those patients. >> we had no idea you were such a stock picker now that we know this, dr. patel, there is a lot more potential here. >> i'm looking just like you

are. when i prescribe something, i think, hey, who makes this. >> concurrent contributor, but also to your point maybe this spurs more weight loss demands to get people in shape so they can play. >> it does i will say this. like even to my own parents i said, look, 5 to 10 off the pressure on your knees and joints can make a big difference this coincides with the conversation we've had about obesity. it all comes together. you can benefit a to z. >> eli lilly always wins thank you for your time today. >> thank you bye-bye. >> you know who is coming off of this shaq with the icy hot. seacrest is taking the wheel he has yet another job, named the head host of "wheel of fortune. we will talk about that and much, much more when "power lunch" returns

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visit coventrydirect.com. welcome back there is only three minutes left and a lot more stories to get through. let's start right away with united airlines blaming thousands of flight canc cancellations on the faa claiming it created a domino effect once bad weather arrived on sunday. reporting united is still dealing with the issues today after canceling 18% of flights on monday. >> i'm not sure that the customer cares whose fault it

is it is just to take care of it. >> yeah. i have friends trying to get back to seattle since saturday. >> yeah. you said they were stuck in new jersey they just get bonus days new jersey is wonderful. adobe making a bold move to support fire fly saying it will pay for property claims arising for art generated out of firefly. they have adobe stock. to contrast with the other ones out there crawling the web, they have watermarks on them. adobe is like, we have the rights to this stuff. >> oh. so they don't think there is going to be any liability issues. >> failing to resolve a dispute with taiwan's company. they failed to honor an agreement to invest up to $750 million and accusing them of fraudulent content it ends with a whimper for this start-up that had big hopes, big

ambitions. >> yeah. at the same time as lucid is doing this deal withes a ton martin where aston is getting access to their technology and lucid is getting some aston martin stock, they may be able to stay alive selling technology versus cars. ford motor confirming it's cutting engineering jobs in the u.s. and canada, while robin hood is cutting 7% of full-time employees as it struggles with declining customer engagement. >> want to keep mentioning this. and a new perk this is my favorite story of the day. companies are offering time off to do grandparents cisco offering it right now. this is helpful, everybody this is helpful for your younger workers, middle-aged workers, whatever it is let the grandparents come help

we need it. ryan seacrest has been tapped to take over as host of "wheel of fortune" when pat sajak retires next year. they only tape for two or four days a month. >> vanna white is keeping her job. >> that's amazing. thanks for watching "power lunch." "closing bell" starts right now. >> welcome to "closing bell. we begin with the rally in stocks and whether the setup for the second half is now in your favor. vantage rocks avery sheffield here is with that answer in just a moment a nice, broad move today industrials, discretionary materials in tech all contributing all good news on key parts of the city new home sales rising at the fastest pace in a year an