good afternoon, everybody, welcome to power lunch alongside contessa brewer, gla you could join us. 295,000 jobs is that number just right to calm the market's fear about inflation and potentially more and more aggressive rate hikes and plus janet yelle complains about china' mistreatment of u.s. companies definitively pointing out recent punitive actions american firm

operating there have bee experiencing we'll discuss that and specifically what china's export rules could mean for chi companies. contessa >> let's get a check on th markets here stocks higher after yesterday' losses, but this is a shor trading week likely it will end in the re for the major averages here you see the dow industria is up, hanging in the green here up .15 of a percent. how is that wonky way to say that and nasdaq up .75 of a percent moving higher. energy materials and industria energy up 2.5. the streamers have rebounded into positive territory here warner brothers discovery up a tenth of a percent, an paramount global up .4 of percent. that is the analyst saying these companies could be hurt by the weak ad market but still in positiv territory. so the question is with today'

job report prevent the spread of getting more aggressive with rate hikes, but not be so weak to worry about the markets and the recession, tyler >> thank you very much let's move on. the question today is the jobs report, are they weak enough t prevent the fed from potentially moving forward with more rat hikes? austin goulsby described today's number earlier on cnbc >> you can take a step back, it's clear, the job market i still very strong, but i cooling. if you look at the ratios of vacancies to the number of unemployed workers, for example, it's definitely coming down. we're getting to a mor sustainable pace, which is wha we need to do for inflation. >> all right, joining us to talk all things market, economy jobs, fed, the chief economy federal strategist, cnbc senio

analyst and commentator. ron, welcome the fed is held bent on ruinin a good economy >> yeah. >> what is wrong with thes numbers? >> and we believe they're goin to raise rates two more times. if you look first at the wag data about which they're suppose to be so concerned 4.4% with inflation coming down so wages are going up faster than inflation in normal times we would say that is a goo thing. the new york federal reserve put out an interesting and new and relatively new indicator calle the multi-variet trend >> that just rolls off the tongue >> it took me a couple of time to get that one right. what it does, it breaks down the inflation rate and shows which inputs are sticky and which ar transitory if you will for lac of a better description. and the rate came out at 3.5%. that's 1.1 percentage points below where core pc is right now. actually inflation is falling. there's good news for the fed.

employment growth is moderating we are getting very close in m estimation to goldilocks scenario? >> yes, i would have said that but i think they have done enough i don't know what they're trying to do. >> how about that, keep on pausing or do they need to sho their resolve, let me put it that way by raising rates on more time, two more time maybe? >> reporter: we're sort of i that one more, two more time hike camp. ron makes an excellent point with the incline of inflation. but one of the things the market seems to be struggling with is the decline in the pace of headline inflation verse quarter inflation. the inflation is comin down, but at a much more gradual pace the market seems to be headlined

on the inflation and the federal reserve keep coming out telling us we'r focused on inflation we are forecasting a 2.2% core pc number at the end of calendar '25, that's two and a half years from now so therefore we're going t remain vigilant and hawkis until we think we've got thi thing under control. you look a today's jobs report, you know, the payroll part of it was soft the revisions from april and may were soft. but there are other elements o this report, which were pretty robust the household survey, the wage numbers, the hours worked. so there is something in thi report for everyone. i think if the fed is held ben on tightening on july 26, they found something in this report to justify that. >> let me just make sure i'm clear here my question wa really not so much what do you expect the fed to do, and it

sounds like you expect them to raise one or two more times. but ron's point was well maybe they had do that, but not th right move is it your opinion that raisin rates one or two more times is called for and the smart move to wrestle the inflation to the ground without damaging what ron calls ruining a pretty goo economy? >> look, the reality is th federal reserve is there looking at the phillips curve trade-of and saying look, we've got a inflation problem. we don't want to have to kee hiking interest rates to increase the rate of unemployment slow the rate of growth in the economy and push the economy into a recession because we want to we're doing this because we feel we have to and the reality is they feel that elevated levels o inflation above that 2% target that they have established is worse result of the economy.

we've got to take that medicine >> you actually, you and i wer talking before the show, you'r really hyperfocussed on wage and jobs and what they should be reading into that. >> it's a healthy economy. growing faster the united states is growing faster than the rest of th world and inflation is comin down faster than the rest of the world. you know, if i have any hair less to tear out, i'll be doin that right now, but they are s misplaced. some of the own research fro the new york fed is showing th core inflation and that type o inflation that jay powell ha identified as being central to their argument and it's fallin faster than any other measure, of course. there's almost no reason to take down this economy. my good friend is right that you don't have to get a recession to get inflation down it's falling it will continue to fall there is no other aspect out there. but certainly it will surge to

make inflation go back prior t what it was before the fed's rate hike. >> the tech stocks have been overbought we've seen that big run up the first half of the year but do you think there is stil room for more growth >> i think there should be a reversion of the mean over the course of the next couple of quarters the stocks in the first half o the year, the eight bi technology stocks have rallied collectively by almost 60% they account for about 28% of the s&p 500 you strip those names out, and the rest of the s&p, the other 492 names are up about 3% i think there's been a significant diversion here, lot of stocks like nvidia have gotten ahead of themselves i terms of evaluation. i would love to see a coolin off period where some of these underloved value stocks, international stocks, small ca stocks catch a little bit of a bid here and allow the

technology stocks an opportunity to come back >> so thank you. we appreciate that so the stock, bond marke showing a split division showing the ten-year yield i slightly higher. two year following a 16-year high rick santelli following th traders. hi, rick >> hi, contessa. absolutely what a split decision it is. the market always has an opinion. i call it a so-so report $209,000, not too bad in what is considered a pretty good recovery after covid but do remember, it is still the weakest job growth month ove month since east of 2020 and the two years, what is i telling us look at the two-year chart the twos is going up but the two-year yield are stagnant going down. that's the market telling us all the investors that were shor two years because they were in tune with the feds are startin

to question that and if you open the char up towards the middle of february, that you can see the high yield in march. but the only thing tha will count when you get on and off, it is what matters and they have not closed above 507 an that's key look at the two-year chart starting to look at and see what they think paul here is what i want to know an the traders, what do you think of today's job report? >> the number is lower than what it has been, but not below expectations so we took it in stride and th markets definitely take it i stride as well >> do you think they would get out of phase because of the long direction and the strength o the report >> yesterday, people wer optimistic that they might get some action with this number

today based on that. and it doesn't really matter >> reporter: you know how yo spell optimism on this trading floor? premium, volatility. what did premium and volatilit do yesterday >> yesterday was our first day in a while where we saw a bi riff in the vix. people were coming for the sku and alread that's pretty much all gone. >> reporter: so they loaded up and now it's pretty much all gone but there is something you wer talking to me off camera hopefully we're looking at the chart. but what are we starting t see? >> well, it bottomed last week towards the end of the week an then earlier this week, we saw some buyers that culminate yesterday morning. and with tha number today, things are calm. until we would get something that will thro the market for a loop with these reports, they might stay on th lower end. >> and as the old technician, we will always think of the choppiness as you would get that top to bottom and they will si there. real quickly, do you think tha

the one hikes, two hikes, what do you think the floor thinks? >> the floor is probably one and a half to two and july seems pretty locked in right now outside of something crazy nex week, the cpi. >> reporter: that is all about crazy as we have them next week paul, we will have to run. thank you for taking the time on the holiday short week contessa, back to you. >> rick sant it elli, than you. coming up, janet yelle breaking out the tough talks with china it's not just american businesses, china slapping a group with an $859 million fin for violating governance consumer protection, and money laundering violations. power lunch back right after this

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welcome back, day two of janet yellen's trip to china making her case on behalf of the businesses, criticizing he visit during the auction against u.s. companies and new expert controls on the two critical minerals used i technologies like th semiconductors but she also emphasized th importance of healthy economic competition between the tw countries. for more insight on this, let' bring in longview global managing director an contributor mcneil

and nice to talk to you today. there you are over my shoulder do you think thi issue of protecting american businesses from government punitive actions in china is realistic? do you think there is anything the treasury secretary can do to make a difference? >> well, i think it's important, contessa, that she did make this a very big upfront feature o her trip look, i don't think there is much that she could do to stop china from putting in place what they may see are the necessary tools to protect their own national security. certainly we see a lot of that happening here in washington i think through treasury secretary to go ove there to make this point i kudos to yellen for making i clear to china that this is problem for u.s. businesses, and that she, who is considered to be more dubbish on some of these issues, is prepared to speak u on this. so kudos to yellen for makin

those statements >> it seems she is on a very high wire act here on one hand, trying to enforce what is clearly a priority for the biden administration i terms of getting tough wit china on a lot of different ways that china's actions hav threatened national security and on the otherhand encouraging china to communicate and cooperate and keep movin forward for the global economy how important is it that we ar starting to see a thaw in thes relationships? >> well, i want to take this i stride because i think you'r absolutely right, contessa this is a tough job. she actually has an audience with the chinese government in trying to move the ball there. but to your point, her colleagues in the bide administration, many are not where she is with respect to china. and in some ways, this i definitely a tight rope wher she is balancing views and on this issue of thaw, i

think it's important to push back a little bit on the prevailing narrative i think the business community certainly wants this to be a thaw but if you talk to many in the biden administration, contessa they will see this as continuation of an attempt t put in place the guardrails, which they think is necessary as we would move deeper int competition. and so it is not a thaw in days and and as w will try to compete. >> and as i read some of the commentary that's coming out from this visit. i sense there is a lot of nice talk the idea of resetting the more normal economic relations with china and the united states. but the talk a they say and talking is on thing and action is another. and i can well imagine that th

chinese will see a lot of u.s. action and go how sincere ar you with all this talk about resetting our relationship whe you are putting in the semiconductor control and you're putting the tariffs on our goods? and how, what do you mean? you're being aggressive with us >> i think you hit the nail in the head in terms of china challenging the sincerity of the notion and these are janet yellen's words and the economic relationship but look, i think it's important for us to realize that both of these governments are putting in place what they believe to b protections for national security, but in some ways o rural and they will continue t trump development and economic growth so i think that is the reality of where we are, tyler but i do think it is important that the chinese will take yellen at her word and this is wimbledon's week, so meet her at the net and show after thi

meeting is over that they ar prepared to do some things t find common ground and to find ways to cooperate. but to your point, tyler the proof happens after th meeting with the action and at the moment i see on both sides a lot of national security related, competition related policy action still in the pipeline so i don't think we are out of the woods yet. >> do you think the u.s. companies would be wise to approach business in china wit a healthy dose of skepticism >> yes you know, this is one of those situations where we saw it happen after covid and where there is a real exuberance t see them return to china as we would see that with some of th misplaced views of where the markets are going and we'r seeing the same thing with respect to these trips b blinken and yellen and where they might be next that we have to take the slope this relationship is not going to be repaired overnight and i will not return to what it was

during the obama administratio and areas earlier, where we ar in a totally different world i think businesses are going t have to acceptthat and reall start to adjust how they vie china going forward. >> let me try to squeeze in on quick final question and one quick answer often these meetings are seen as win or loss and win for yellen and loss for yellen, but maybe in this case that the win is when things just don't get worse that things will get stabilize and they don't run off the rails. what is your reaction to tha quickly? >> i'm very happy with the floor underneath the relationship, tyler. that's how we should look at this and it is unfair to put them on yellen to try to com back withthat when if she could help to establish that floor and under thi relationship, if she could hav someone in china meet her at that net and also to do that same that is a pretty good outcom for this visit >> all right, thanks i appreciate it. always your time and further ahea on the program

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time now for the weekly et tracker this week. we are going to focus on technology funds, which saw th net outflows of $635 million i the latest week. this is according to our partners at track insight. two big factors of the fears o rising interest rates and th possibility of the second half and this is after the ho first half nasdaq up 30% so far this year and today's gains are cuttin into the weekly losses for som of the broader tech et including the qqqs let's take a look at a few o them on my left and your right and you're seeing the big gain and the specialized areas of tech and self-driving, an amplified data, data sharing etf of up more than 7% this week more information available o the etf hub. contessa >> thank you let's get to eamon javers. hello, eamon

>> reporter: there is growin cluster munitions in a militar package to ukraine the u.n. chief saying he stand with the more than 100 countries who banned them over concern about the widespread damage they can cause. the biden administration i expected to announce the package later today in an effort to help ukraine's counter offenses against russia jack smith spent more than $ million in the first four and half months since he took over two criminal probes, focusing on former president donald trump. the spending was revealed toda in the justice departmen report the bulk went towards paying for personnel. smith's office already charged trump for allegedly mishandlin classified documents smith is also investigatin trump's role in the january insurrection and about 190,000 portable chargers are facing a recall because they could start a fire they were sold exclusively o amazon over the past two years one of the chargers blamed for the fire on the commercial

flight, which sent four flight attendants to the hospital back over to you >> eamon, thank you so much. ahead on power lunch, th second half play that chip stocks racking in huge gains during the first half of the year thanktos the a.i boom mainly in nvidia up 200% some analysts think these stocks could climb higher we'll take a deeper dive next. gold bond. champion your skin.

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well, the a.i. boom was great for chip makers in the first half of the year, but will the hype remain as the continue and kristina partsinevelos has all the answers. >> and the crystal ball. let's talk about it. up 200% year to date all of these tickers, vastly outpacing the s&p tech index and like they asked, can thi pace continue in the second half of this year well wall street thinks pretty good about it. expecting a 10% to 15% drop in ai stocks. and positivity priced in to lot of these names and a new june deutsche bank thinks nvidia will more than half double. and the name is still popular as they assigned the top pick a

they bumped the price target from 300 to 225 and the list continues. but it's not all about ai here i don't want to talk about that but there are signs of stabilization in the pc market with intel raising the midpoin of its second quarter outlook. micron also expects customer inventory levels to be a "normal" levels at year end. but sometimes you've got to hi rock bot ton first competitor samsung expects the lowest quarterly profits in 14 years. they just announced this raising questions about th speed of the memory recovery and where micron stock goes from here and then concerns around aut and analog chip makers, give the slow recovery from china and that is a reason why they show the speeds and analog maker, wolfspeed and texa instruments. so overall 10, ai is hot, bu might be priced in pc stabilizing memory and auto industrial chips

could take a while to recovery especially if tensions continu to sway between the united states and china and sales get cut off. end of my prediction >> thank you so much our next guest says not al chip makers will take a direct hit from the rare metals used in semiconductors joining us now, managing director good to have you with us and how big of a deal is this >> you know, this could be a pretty big deal. the ban is expected to go if it goes on august 1 like i said, most of the chip makers don't use geranium or gallium chips the three areas that stand out for gallium use. and in product, the gallium ba if it were to go to could be

quite troublesome. china's 86% of the globa production capacity, and i'm going to say this slowly 98% of the commercial production of gallium happens from china. and so gallium is critical for radio frequency. any phone with any chip in it is gallium based. >> i heard you say twice there if this ban goes through, does that had suggest you think there's a possibility, maybe even a probability that it won't, that's number one, an number two, what companies wil be most adversely affected i this ban does go through >> yeah, so if this had ban goes through, let me take the secon pass first it would be the makers, core row would be a direct hit. and now we have some senio officials that are visit, trying to sort out the situation. it is a chines response to some of the curbs.

i suspect they are hopeful tha we'll get this figured out i see no way out of this i terms of gallium, should the ban happen it would be devastating to the phone industry >> so you say direct impact on qorvo and skyworks and broadcom, and macom an wolfspeed would have partial impact if china produces 98% of the world's gallium, is there a wa for the united states to come in and produce any galliu domestically >> so it is a very difficult metal to procure it comes as a by-product o zinc, which u.s. is not very good at, hasn't done it in a long time. so it would take us some time. and now with the test that we've had with china, companies have learned to keep some supply on hand, typically between three to six months of supply on hand

we could lean on the last 2% o production and we could deal with the rise in prices. we could get by if the ban wer to go through. but the best and most normal outcome not to go with that ba because it would be very difficult to replace and particularly for our efforts >> and you might have people predicting that, but volkswage said its monitoring th situation on raw materials ready to take measures and they say that these tw materials, they are importan for the future of autonomous driving? >> and so it is not so much fo autonomous driving, but electric cars that's the power piece that mentioned. you might have heard the term. and gan is the key component that has derived from gallium, which is responsible for all the power handling that the electric

cars handle. and so it is in your power station on the wall to charg your car it is your two to three bi components that will use i within the car it will be a tough situation for the ev makers. that's more silicon based. >> what's the phrase you used moment ago the ban would have on the phone industry you said? >> it would be devastating i what i said. because if the ban was to go through, you wouldn't be able to get radiofrequency chips the chips that actually send the signal from your phone to th base station, and the chips that sit inside the base station that actually receive that signal they would be very difficult t procure. >> what does that do what does that do then to th sales of hand sets does it freeze them? >> it would be -- it would b bad. we would have to find th workaround the workaround would be hard we could go back to silico chips, which would not be cost effective. we could go up the stack

and which would be ver expensive, and almost two to five times more expensive than gallium chips. >> and i mean this is what happens though we put the guardrails on our technology for securit purposes, we saw, and they'r putting the guardrails on th materials, and then the impact is clear and this would be global impact. >> absolutely. >> hey, obviously action has reactions and consequences >> absolutely. coming up, china's crackdown, not just for american companies anymore. beijing, central bank, fdiinng alibaba's bank group for nearl a billion dollars for multiple violations we'll explain why that's actually good news for alibaba investors. power lunch, we'll be righ back

oppenheimer was the father of the atomic bomb. we were intervening in the course of human history. detonator's charged. 3... 2... 1... we're going to look at som companies making headlines as we close out this first week of the second half of the year. first off is meta platforms. been in the news just a bit this week it's already got 70 millio signups with threads and a new twitter competitor it launched on wednesday here with the trade on that on

and several more, gina sanchez chief market strategist fo lido what do you think of meta, gina >> well look, i think meta i smelling blood in the water. we have seen a lot of wreckage in damage at twitter we've seen a defamation of the work force, and a huge fall in ad sales if i were meta and my ad machine has been doing okay, the experienced weakness, bu defended pretty well in thei backup of positive growth. i would step in too. it's a great move by the company. you can see they are showing and flexing their muscles. now the question is can they get the additional ad revenue? if so, i would bet they could. >> well, they may need to make improvements because i've trie it with some advice for them i they care to call me and ask me in the meantime, let's tal about trading lower despit gaining approval from the fd

for its alzheimer's drug and so what do you think o biogen >> this is a tough one we don't really like it that much a part of it is they are fighting a battle on the top line, which is revenue growt has been going down. you know, they've had a multiple sclerosis drug with a lot of competition. and those are both, you know not doing as well as they coul be they had a previous alzheimer relief that got very limited coverage fo medicare and they've gotten bette coverage for medicare, but cam out with a black box warning it wasn't quite the home run they were hoping for i think a lot of hope was bein put on the fact this drug coul get over the warnings, along with, you know, the depression drug that they are there in th last stages of the fda approva for. and that is a lot of hop right now to sort of stem th growth problem i think you have to wait and

see. >> the biogen shares were up b two, after cutting their forecast because of inventor issues would you get into those genes >> well, you know, after covid i would have to get into a different size of those jeans. but i think what you've seen with levi strauss reflects a lot of what happened with spending they got hit, then they ha supply chain issues coming out of covid and they had a lot of demand and the stock was coming back up and down is that demand starting to fade, and starting to go into a growth slow down at the very least. it's hard to get behind a lot of consumer discretionary names inflation, although it has com down a lot, it is stil lingering at higher levels tha we're usedto people are paying more at th grocery stores, paying more to go out for food. so things like jeans and tops, you're wearing them out a little bit more that's what levis is realizing and seeing in their numbers.

>> and let's check up on where you stand with the stock draft you and your partner, diamon deshields. you're in sixth place. the wwe super star, charlott flair leading on the back of nvidia i guess it is paypal and alphabet were your two picks >> it's gina sanchez -- i don' know when the conversation wil continue >> it looks like we had a little hiccup there >> yeah. >> and show the screen can we show the screen ove there? yeah let's do that. >> and so right now there is a smackdown from charlotte flair coming in because she picked nvidia it would be hard to pick anyon with nvidia because of the shear amount of stock. >> we lost gina. we're sorry, you're in sixth place. a lot of time left there you see. i don't know whether those are in order or not.

t aiiseangbuflr ldi what an amazin little outfit she has there, right? >> yes it almost looks like ai. stick around, tech check i next 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

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welcome back to powe lunch. shares of alibaba jumping today, even though ant group has to pay nearly $1 billion in fines deirdre bosa joins us with today's tech check. why are investors reacting s optimistically to this fine? >> well, on one hand a billion dollar fine is a lot of money. one of the biggest fines on chinese company. but the bigger point, which investors are reacting to is this perhap signals the end of all the regular la e tour pressure o ant group that started way bac in 2020 ahead of its ipo but when you think about how much value it is, it's bee destroyed over the last fe years because of the regulator pressure and because of change that chinese authorities wante the company to make to its business model and its profitability. it's much bigger than a billio dollars. take a look at this screen right

now. at its peak, valued over $20 billion. it is now valued somewhere around $64 billion and so that is just an enormous gap that has also hurt alibaba about a 33% stake in ant group even if this does free up ant to go public eventually to have a ipo in hong kong where the group in hong kong and so much damage has been done to the company and alibaba which is a subsidiary of >> and we've also seen some news on, i guess alibaba' competitor, amazon we had the ceo on yesterday. what did you make of tha interview? >> there is sort of an interview here and maybe that's so reason why it's doing well in the market as well maybe it's not just ant group. you're right, it's rival amazon it's a major player in china competing with alibaba in that

market, we had andy jassy last night say you know, the chines cloud provider, they're actually really good. he says their ai capabilitie are sort of on par with th american ones. take a listen to what he had t say. >> there are some verycompanies companies, or chinese companies. >> so, contessa and tyler, that's a big vote of confidence from the largest cloud player in the world. he's directly referencing alibaba because that's the biggest chinese player globally. some optimism there, but could be calculated on andy jassy's part we had reports that the biden administration is looking at restricting chinese companies' access to american cloud players like amazon and microsoft. i don't think he wants this to happen so he's essentially saying, it wouldn't make that much of a difference because alibaba and some of the other players have the same capabilities >> so it would require amazon and microsoft to ask permission before assisting chinese

customers. is the converse also true? in other words, would american companies have to potentially seek permission to use the services of chinese cloud providers? i can't imagine many american companies, or for that matter, american consumers, would be comfortable storing, transmitting data through chinese clouds >> there's not a lot of reason for them to, for that exact reason bilateral tensions are on the rise there could be privacy concerns, security concerns. >> for sure. >> plus they have a lot of players here that they can use however, it is kind of interesting that even chinese players don't necessarily want to use the chinese cloud providers. bytedance used to use alibaba cloud. it switched over to an american player because of those security concerns, and it wants to be seen as separate >> well, it was also facing a lot of backlash from u.s. lawmakers in different states and at the federal level as well about its ties to china, so

limiting those ties would seem to make a good business case for growth here. deirdre, thank you a cold reality for folks who love hot sauce severe weather and supply chain issues are leading to a sriracha shortage woe is me. more on that when "power lunch" returns. power e*trade's easy-to-use tools, like dynamic charting and risk-reward analysis help make trading feel effortless. and its customizable scans with social sentiment help you find and unlock opportunities in the market. e*trade from morgan stanley. with powerful, easy-to-use tools, power e*trade makes complex trading easier. react to fast-moving markets with dynamic charting and a futures ladder that lets you place, flatten, or reverse orders so you won't miss an opportunity. e*trade from morgan stanley (man) what if my type 2 diabetes takes over? (woman) what if all i do isn't enough?

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six minutes left for our "power lunch," and a bunch more stories you need to know let's get right to it. we're wrapping up a week that saw three of the hottest days on record for planet earth, and we're also getting a glimpse of the health and financial impact of these extreme temperatures. the center for american progress estimates record heat will prompt 235,000 emergency room visits in the u.s. this summer alone and an extra billion dollars in health care costs that is a very tangible result that we're seeing of temperature extremes >> climate change and temperature extremes and not to mention rougher storms that are coming i saw it was 110 in tucson yesterday or the day before. >> i mean, you know, like, everything -- every year, we talk about these temperatures going up it's true that in the desert, they've seen 110 before. it's not abnormal to see those kinds of temperatures, but it's the extended periods of time that they're seeing them >> and the ice melt, i was reading yesterday, the ice melt on the greenland ice pack is

like it's never been before, and this is -- june is not usually their prime month for ice melt it's august, early august, late july for years now, a near sure fire way for workers to secure a higher salary was job hopping, but new data show that while the grass may be greener on the other side of the fence, there won't be much green for your pocket even as employers keep up the hiring spree, pay increases for new hires do not appear to be keeping pace, according to adp so, maybe, i guess, workers don't have quite the pay leverage that they did a couple of years ago >> it's a classic case of, should i stay or should i go they say that job changers this month saw an 11% annual increase in median annual pay last june, they were pulling down a 16% increase. >> you still get a bump but not as much. >> just less of a bump if you stay, they say that you would get a 6% increase in the median annual pay in june, down from 7.7% the same time last

year >> and the job market's still very, very healthy incomes, rising. the world series of poker main event smashing its record for entrants, topping the mark set in 2006. 9,300 participants so far. registration still open. organizers think they're going to break the 10,000 mark each of them have to shell out $10,000, potentially creating a prize pool of more than $100 million the event is being held this year at the horseshoe and the paris casinos owned by caesar's and a lot of times, what you'll see on the world series of poker, caesar's mentions it when they're talking about their earnings for the quarter because it can be significant for what they do in business. >> really? what do they get out of it >> they own it they own the tournament, and then it's held there and the people come and spend money, and they've got lots of spectators who also come in and spend a llo of money >> and the whole thing is televised. >> absolutely. >> more details surfacing about

the ftx scandal and who lost and how much according to "the new york times," tom brady, the former quarterback, was paid $30 million in stock for pitching the company, and of course, that stock now completely worthless, and his then-wife gisele got and lost her own $18 million worth of stock, and those two were not the only celebrities who went down with the ship >> you can't always follow the movie stars and the athletes for where they put their money >> absolutely not. supply chain and weather-related issues could make it hard to find sriracha hot sauce this summer. emily wilkins is in our d.c. newsroom with more on that hot story. emily? >> very spicy story, tyler sriracha hot sauce has been increasingly to find, and they're blaming a drought in northern mexico for a limited supply of chiles and sauce

shortages. their sauce will be in short supply for the foreseeable future alvin jimenez from soul spice told me it was a struggle to find enough sriracha to make its most popular sauce >> we noticed the impact for us in april of this year. the prices started to go up, as well as the supply became really scarce, and it was hard to find. >> so, soul spice decided to make its own creamy sriracha sauce from scratch tyler, contessa, i have here some, and i'm going to hold on to this and i just checked amazon and a single 17-ounce bottle of sriracha is going for 50 bucks >> in that case, it seems like a good -- talk about a way to invest stop thinking what i'm thinking at the same time i'm thinking it >> i'm thinking the words right out of your mouth. >> there we go >> emily, thank you. hold on to that. that bottle may be worth $300 in a couple of months you never know >> there's going to be sriracha hoarding >> sriracha hoarding busy week, interesting week.

market sort of taking some lumps this week for a change >> yeah, here and there and everywhere, but you can see the due dow right now just barely in the red, flat for the day. s&p 500 is up 0.75% -- a third of a percent >> everybody, thanks for watching "power lunch. have a good weekend. ♪ welcome to "closing bell," i'm mike santoli in for scott wapner this make or break hour begins with a sigh of relief for stocks here's your scorecard with 16 minutes left to go in the session. see the s&p 500 up about 0.33%, the dow is being dragged down by more economically defensive areas. all the indexes well up off their session lows still, all in jeopardy of posting modest weekly declines after a jobs report that came in a bit softer than the street was expecting, and chicago fed president austan goolsbe