good friday morning. i'm carl quintanilla with julia boorstin this morning an earnings triple play draftking soars as it hikes its outlook. microchip down warning of international headwinds and striker gaining double digits. all three ceos with us. today is all about a & a, apple and amazon on the back of earnings we'll have a breakdown. nonfarm payrolls revised lower for the sixth straight month suggesting the slowdown may finally be here. is the fed finally getting what

it wants >> first a check on the market the bulls with strong earnings from amazon. the dow near session highs, up nearly 200 points and a release in yields as they pull back from recent highs. >> interesting here. ten-year, we were talking about 24 hours ago at 4.2, today closer to 4.1, which is good news the wage growth in there was a touch hot, but you take into account the work week actually shrunk and the total payout was lower than expected. >> and our bob pisani was talking about this as a g goldilocks number. >> looking for inflation data in the coming days. meantime with payrolls missing expectations, the u.s. economy did add about 187,000 jobs in the past month only 2,000 more than the revised june number. and the smallest increase since december of 2020 our next guest says to focus on the long run keep a close eye on dividends this earnings season and also look to fixed income given the

bond yields. joining us schwab asset manager omarin omar. >> we saw a little normal sensation of the labor market. i don't necessarily think we are at that point where we're seeing exactly the slowdown the fed is looking for bull but we clearly see the job of what the fed is trying to put into place when you put all these pieces together, the overall result is that the xhus economy is in solid position >> when you couple it with what amazon is saying about their quarter, i just wonder whether or not the pitfalls of august may be lessened here. >> what drives a lot of the economy and what drives a lot of the earnings activity, as you pointed out, it's basically the

consumer one of the components of today's report ended up be, the real wages continue to be pretty solid and pretty good, which gives the consumer a lot of confidence consumer confidence translates into continued spending. if you actually think a lot of what has driven the stability of the u.s. economy, so far this year, despite all of the talk about recession is the fact that consumer spending continues to be strong, continues to grow in certain parts of the market, particularly in theservice sector a lot of that is related to the fact that employees with there, employers don't want to give anything related to affecting their employees, and therefore, it's pretty solid consumer spending reflected in the earnings results so far. >> omar, i think it's notable that about four-fifths of companies have reported. about four-fifths of them have beaten expectations, in light of the consumer spending you just mentioned that continues to be strong and the tight labor market, what is your outlook on

a recession, especially in light of the fact that fitch was pricing in -- or the expectation of a recession in the fourth quarter. >> yeah, you know, this has been probably the most talk recession we have had in any history i think we've been talking about recession probably for the last 18 months. and i think the consensus that we have all come together is we have been in this rally recession probably started in the middle of last year. with earnings recession, different parts of the economy and different parts of the market going into that recessionary environment where we actually now go to the other side and i think what we may seek now is that we're in the rally recovery where we have seen the housing market been back on its feet we've seen now these may be the second quarter earnings, maybe the bottom of what everybody expects for earnings to recover in the next couple of quarters

i think when we're looking at this and probably the biggest risk in this particular outlook is liquidity and lending still needs to be realized in the economy. i think what we need to consider the fact there's risk with less liquidity in the market and that has transpired into equity or even bond market. >> we're also still seeing mixed signals among the global economies, especially the weakness in europe and concern about what's going on in china in terms of that potential recovery there, how does that impact your investing outlook and your advice for clients? >> well, this is actually the most interesting part where i think it's a lot -- there's a lot of mixed signals globally from central banks to just the different phases of where economies are. as you pointed out, the u.s. economy is still growing, solid gdp report

we still see these very healthy, you know, growth even in the face of a tightening by the fed europe is in recession where the ecb is trying to aggressively control that inflation and emerging markets, starting with china, they're worried more about deflation and trying to stimulate the economy. if you recall, a lot of the emerging markets like brazil and latin american companies started that more easing phase on their monetary policy earlier and now they're in that process of trying to stimulate the economy. that makes things a little more interesting for investing because it provides a lot of opportunities, you know, globally in terms of looking at where valuations are, looking at what opportunities might be. not just in the face of everything else, but also what we observe in july in the u.s. with, you know, cyclical rotations going into taking leadership away from technology and also on areas like small cap, you know, doing much better than large cap, at least for the

month of july. >> brazil's cut this week was interesting. we'll see whether or not that is a sign of things to come, at least internationally or in latin america. omar, have a great weekend good to see you. omar aguilar. >> let's get today's big tech earnings starting with apple the company beating on top and bottom lines and the stock moving lower as the cfo predicts another quarter of declining revenue. our steve kovach joins us now. steve, so many interesting facets of this earnings report i'm so curious what you're expecting now in terms of the new iphone cycle and that expected launch in september >> yeah, julia, i think that new iphone cycle, iphone 15 probably going to come next month and get a few weeks of sales out of this quarter for apple, i think that's largely behind that bullish commentary around the iphone segment that we heard from apple last night, saying they expect to see a re-acceleration of growth there. along with that important services business. so, look, there are a few

reports hanging out there that there might actually be a price increase on these new iphones. if that is the case, that's going to help keep revenue growth on the iphone segment even if unit sales remain flat that's something that i know investors like to take a look at one of the key things in a few weeks when we learn about the new iphones is whether or not there's a price increase again, apple overall showing that hardware demand just isn't strong tim cook telling me just yesterday that even in the united states, it's just a tough market for smartphones, julia. >> tough market for smartphones. obviously people are waiting, anticipating this new phone to launch in september, but my question is if they raise prices, will that diminish potential for this new iphone cycle? i know we've been talking a lot about the persistent health of the american consumer, but as these prices inch up, we're talking $1,000 what is that going to do to this market here, especially if we

maybe see that consumer spending not stay so robust >> yeah, that's so interesting especially as we're talking about this potential recession, like our last guests were saying the last 18 months, we see apple has been so resistant to a lot of these headwinds what they learned last year, julia, is people want to spend more for iphones it's the more expensive pro models that cost a couple hundred bucks less than the base models that people were going after last year and because of the production issues they had in china, they literally couldn't buy them and some of that demand had to carry over into this year maybe the calculation there is if they do end up raising prices on the iphone, that people will still pay up for those pro features, the better cameras that end up on the pros, the better screens and more powerful processors so, i think that is the calculation there, if they do it and if they don't do it, then they risk keeping sales flat to flattish over the rest of the year >> steve, all this talk about

unit sales and asps reminds me how we used to talk about apple in the days of yore. in the new era of services and when you think about the installed vape, i wonder how much that matters in september. >> they're trying to make it matter, that's for sure. we are hearing from them a reacceleration of growth some of those reversals of trends that cook and his executive team have been talking about the last few quarters saying advertising slumping, that's turning around. spending on the app store particularly gaining that's where all the money is. that's turning around. they threw out other stats carl, they reached 1 billion subscriptions through the app store. that doesn't mean 1 billion people signing up for apple services necessarily that includes third-party services that they take a cut of for example, if you're a disney plus subscriber through apple, apple is getting a slice of that really counting that subscription thing that's something they really push developers to do is go to a subscription model versus paying

one off for an app. >> certainly they have a little more predictability if they have all those consumers locked into subscriptions. i have to ask you a quick final question about a.i. because cook took an unusual tone when it came to talking about a.i., not the a.i. hype we've heard from other ceos >> that's something i asked him because apple's piece in this puzzle has been quite different. they don't have a chatgpt comp competitor siri is the same we've been using the last few years i asked tim cook, where does a.i. fit in at apple he said, basically, it's under the hood its a.i. and machine learning are powering a lot of the products they use, they'll continue to power a lot of the products a lot is happening on ios, they'll have a new keyboard feature that can predict your text a little better that relies on artificial intelligence and machine learning i asked, where does vision pro fit in there tim cook lit up when i asked him that he told me vision pro wouldn't

be possible without artificial intelligence or machine learning different commentary than we're hearing from his peers in big tech, from meta and amazon yesterday. but they really think that a.i. just really improves incrementally all the products that they already make, julia. >> evolution not revolution. thanks so much, steve. really appreciate it now let's get over to amazon moving in the opposite direction this morning the company reporting its biggest earnings beat since the fourth quarter of 2020 amazon web services and advertising revenue also beating estimates in the quarter and the street likes what it sees, a bunch of price target hikes this morning. jpmorgan and goldman sachs go to 180. a number of these analysts saying that this is the quarter that everyone was waiting for, carl so interesting to see the impact of jaffe's cost cutting. >> i was looking at the bernstein desk note. they point out aws finally stabilizing. they call it a coiled spring retail hanging in there despite concerns for the consumer.

was this is a sneak peek of a jassy led growth era or was q2 the peak a lot of discussion about whether rotation into amazon takes attention away from names like apple. >> these are the tech giants you have to wonder who will take the lead especially when it comes to the likes of the cloud services here. i just have to point out what he said about cost cutting. he said we'll get back to margins like what we had pre-covid and we don't think that's the end of what's possible so, really teasing more margin expansion ahead. >> not every day you get an 11% move in amzn and leading the s&p. still to come this hour, a trio of earnings interviews. first up, draftkings with an upbeat forecast. jason robbins will join us next. two more exclusives. the chief execs from striker and microchip are with us. those stocks movg inin opposite

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obviously the total addressable market is growing rapidly. new states are coming on, new customers. even in our oldest states, which even our oldest states are four,

five years old we're seeing robust acquisition. i think it's a combination of both still a lot of tam to be developed and i think doing that in the right way, getting more states opened up, all very important. also we feel like we've been able to compete for share by improving our product and honing our customer experience over the past year. we have a lot more exciting things the team is laser focused now because q2 was great but this was the most important time of year coming up for us. everybody is locked in and ready to go this fall. >> of course, we have the nfl season starting around the corner one of the things i've been watching as i cover the streaming space is how the rise of streaming and now we're hearing more about espn going direct to consumer we just heard from warner bros. ceo talking about his interest in potentially doing more streaming of sports. that means mor're at all worried about fragmentation

making it harder for him to find the sports they want to watch and, therefore, want to bet on it and making it sort of another challenge to get people to bet on sports. >> you know, i don't think so. i think people who are avid sports fans will find where the sports go. fragmentation will have some effect on the sports market. >> i definitely think customers who are engaged and into sports, they'll find ways to watch the sports they want i also think this stuff naturally takes care of itself the most important thing to the leads and players long term is they have an audience and that audience has access to their content. i know from my experience talking to these various sports leagues that's a key factor they consider and they're careful to make sure that the partners they're working with are not only able to pay the money but also able to generate and

maintain the audience. i think they understand that very well. i'm confident audience will be able to be there and find the sports they want to watch. >> what's the potential upside from all of this streaming will we have a day where i'll be able to turn on my apple tv, watch a game and bet through my apple tv will there be integration into streaming? >> that's certainly a possibility with mobile devices. it's so easy for you to do it in your handheld. so, it's almost like for a lot of customers, is it that much different? but i absolutely think the integration and the ability to have betting experience that tailored to the streaming customer, it's just much more significant. unlike a linear channel, you can create all sorts of different streams. you can create streams specifically tailored for betters, streams in different languages. there's a lot of things you can do that open up the audience more, make it a more engaging experience for the people who are playing fantasy sports or betting on those games

really customize and tailor and personalize what the audience is looking for. >> well, certainly will be interesting to see how your business evolves as streaming takes over sports. i know you have a big investor day coming up. we hope to get an update from you there as well. jason robins, draftkings, thank you. a 40% pay raise and a 32-hour work week? those are some of the demands united autoworkers say they need to get a contract done. we're watching booking holdings better than expected results send that stock higher it's benefitting from expedia struggles as well. glenn fogel joined "squawk" and talked about the continued travel recovery. >> i'm just thrilled with where we are right now we're not completely recovered by -- asia is still coming back. still has a long way to go there. there is still a lot of pent-up demand for travel.

people did not travel for three years and they saved a lot of money and eyth want to spend it. i'm looking forward to a lot more travel. urns quickly. at creative planning, your portfolio is managed in a tax-efficient manner. it's what you keep that really matters. book your free meeting today at creativeplanning.com. all-day energy starts with clean hydration. lmnt. more electrolytes. zero sugar. you feel the difference when you get it right. stay salty.

on this jobs friday a labor battle is escalating as union workers set forth new demands for a contract but they are meeting some resistance from the big three. phil lebeau is breaking that down for us. >> hey, carl, these are demands that when you first hear about them you go, whoa, they're asking for what? this is what the big -- the uaw presented to ford, gm and sta lan tis this week as they kicked off negotiations remember, this contract goes through mid-september. they are calling for a 20% signing bonus. now, typically there is a signing bonus of $10,000 or $11,000. they're asking for a 20% signing bonus and 20% cumulatively in terms of raises over four years, 5% a year, as well as a 32-hour work week. no doubt that is the kind of contract that gets people saying, well, where do they

believe they can justify that? the uaw says the ceos of the big three saw their pay raise 40% on average over the last four years. we believe uaw members deserve the same if not more haven't seen much in shares of gm, ford and stelanti stchlt most believe we'll see a strike at one or three of the big automakers come september 15th ist not a guarantee. i have been covering this since the late '90s. i can tell you, i have never seen this type of rhetoric this early between the union and the automakers >> phil, it's so interesting to look at those demands. my question is, where is this going to end up? are those demands in the realm of what's reasonable do you think they're a negotiating tactic >> it's a first offer. a first offer is always going to be a very rich one they're not going to get 40% overall. now, is it possible that they're

going to get some type of a big signing bonus? i don't know if it will be 20% and then a raise they will get raises in there. the last two contracts have 3% and 4% baked into the annual raises they're not going to get 40% overall. >> yeah, that's a nice hike over four years we'll see how the negotiations, at least the rhetoric continues, phil important times. phil lebeau, thanks. let's get a news update. >> carl, good morning. the task force investigating the so-called gilgo beach killings on long island, new york, identifying another victim today. 11 sets of remains have been found along the ocean parkway area since 2010. police today identified a woman who's remains were found as far back as 1996 in different spots along the long island coast, including the gilgo beach area where police say bodies were left by a serial killer. police have charged a new york architect with three of those murders already.

19 more years in year for alexei navalny he was charged with six more navalny, an outspoken critic of vladimir putin, is already serving a nine-year sentence. a new shipment of supplies has successfully reached the international space station. docked at the iss this morning carrying 8200 pounds of cargo. that includes a new dispenser that will provide sanitized and hot water to the astronauts and scientific gear for research projects julia? >> thanks so much. 8200 pounds, wow meanwhile, the ceo of stryker is next. the stock higher after a beat and raise rebounding after a month of losses leading up to earnings. check out block. raising the outlook the full year, flagging growth for payment volume slowing paypal in the red as well. stay with us

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take a look at shares of stryker. shares higher after delivering a beat across the board into and raising earnings guidance for the fiscal year. procedures have largely returned to pre-covid normal as patients undergo surgeries they postponed during the pandemic. joining us in a post 9 cnbc

exclusive, stryker ceo kevin lobo >> thank you for having me. >> you saw growth across all of your geographies tell us the key factors in driving growth and how much comes down to a build up of surgeries that people didn't get during the pandemic? >> yeah, thank you, julia. we had a fantastic quarter we're firing on all cylinders. growth in the u.s., growth in international, growth in procedures you talked about, but also growth in capital equipment and hospitals because we have such a diverse set of services the return of procedures following the pandemic is about 150 to 200 basis points of growth we grew double digit growth. before the pandemic we were growing around 8%. so, high-growth company. now we guided for the full year at midpoint to 10% organic growth. >> how long does that backlog of procedures that would have happened during the pandemic last for >> i think it's certainly all of this year and most of next year, potentially longer as we're seeing aging

demographics. >> the street seems interested how that gets back -- how we normalize that trend as well coming out of the pandemic, right? >> right last year we were hit hard by supply chain crisis, electronics. costs spiked much more than normal inflation we had a big step forward this quarter with our margin expansion and we're laser focused on returning back to that 23.3%. >> hips and knees, right you probably know someone at this point who has either considered or gone through that procedure. is the product innovation sweetest in those categories or elsewhere? >> we have innovation across all of our portfolio we're in the midst of what i call a super cycle of innovation, new power tools, new cameras, new defibrillators. with hips and knees, the biggest innovation is not on the implants it's on robotics enables technology 3d printed products that allow you to do any procedure without bone cement. that's been the catalyst without

stryker growth we're that clear leader in robotic assisted surgery. >> if robotics had been the catalyst for this growth, what's the next catalyst for growth does it continue to be robotics or something like a.i. >> the penetration of robotics for sure, we're in the early innings, especially outside of the united states. that will continue to be a tailwind a.i. will come on top of that, whether it's a.i. with virtual reality or mixed reality goggles to help see things directly. a.i. to assist the surgeon as they're doing their procedure, giving them cues certainly we're investing a lot in a.i we have a.i. today for shoulder replacement that actually does the plan for the surgeon, based on scanning of the -- and suggests the procedure and actually has the surgical plan the surgeon can change it if they like but it's already driving tremendous growth in our shoulder business. >> in terms of the competition, how focused are you on innovation elsewhere and share >> share gain has been part of our story. market in tech grows around 5%

we're up to 10%. the market has moved up but we're 300 basis points faster. we're always focused on growing faster than our competition, largely driven by innovation innovating faster than our competition and differently. robotics was a big bet i did the mako acquisition ten years ago. wasn't popular i came on this show. people didn't like it. but it's taken off. >> in the end, is your view that these are elective procedures that can be postponed if the consumer gets pressured to a large degree in the year or two ahead? >> knee replacement you can delay, but osteoarthritis doesn't repair itself. you can only delay it for so long before it has to get done. >> powerful motivator. >> but patients were afraid during the pandemic to go to hospitals. now they're not. the procedures are really growing. they are moving into surgery centers, which are close to their homes and strip malls, easy parking, delightful experience and there aren't six people in those surgery centers.

that was a big shift accelerated by the pandemic. >> kevin, thanks for joining us here. >> thank you. today despite a double digit move lower, residential real estate buyer open door has more than tripled for the year. we'll hear from the ceo next with a look at what home buyers need to know now. >> watching coinbase trading revenues drop 50%. the company also reiterating it will win its battle with the s.e.c. which charged it with operating at an unregistered securities exchange broker and clearing agency in june. shares are now down about 2% stay with us lls 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

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shares of open door cratering after reporting a deep second quarter revenue decline and a pretty weak outlook. our deirdre bosa sat down with carrie wheeler for a "techcheck." >> this was carrie wheeler's first broadcast interview since taking over open door late last year it comes on the back drop of that 20% drop today. i asked her what the street got wrong about the outlook. >> i don't think they necessarily got it to the volume levels we would be at for the back half of this year i think we have to zoom out. what is the problem we are trying to solve and remember, let's not lose the plot here there's still a fundamental disconnect for what is going on for consumers in real estate it is a t$2 trillion market

we have enormous demand for our products customers come to us, we help them sell their home with speed and expolicety in a way they can't get anywhere else. >> opendoor was a huge pandemic winner the stock once traded at nearly 40 bucks a share but even with that more than 300% gain this year, it is well off those highs and trading under 4 bucks a share this morning at the heart of that longer-term decline, our questions about the i buy model itself it's one that lets homeowners sell online avoiding a lot of paperwork and costs that traditionally characterize the industry over the last year or so, it has become less online and less direct opendoor is increasingly relying on partnerships with agents, and sites like zillow. i asked if that defeats the original proposition. >> for some agents managing a book of business, multiple clients, sometimes it makes a whole lot of sense for a client to skip showings, skip doing

repairs, skip the time and the delay and actually figuring out where your home will sell. we can give that to them if the agent decides that's the best thing for the client, they can focus on getting them their next home, we're ready to partner on that. >> do you ultimately want to eliminate the agent, right, because that seems like the most simplicity, the most certainty for the seller if you can do that what happens to the agent in the longer term? >> for us we want to leave the customer where they are. the job to be done for the customers helped me sell my home in a way that is most effective for me if that means they come to us directly, delighted to do that that's obviously our core value proposition to consumers if they happen to come to us at some point via an agent, an agent decides, listen, this is a better route for my client, for whatever reason, we can facilitate that, too we're really not meant to -- we're happy to partner with agents we're not anti-agent >> finally, wheeler and open

door are going to lean into growth in the back half of the year and aiming to increase inventory where mortgages are largely locked in and supply is tight. that could be an uphill battle which may be reflected in the stock price today. back over to you. >> that's my question here is this a company that can really grow in a market where inventory is really constrained? are they inherently tied to the health of the housing market >> yeah, that's what i requested her on she says 99% of home sales are still offline so she doesn't need a huge piece of that. if you look at a financial history and inventory beth being reduced over the last four quarters, that's at the crux of this model and questions about it, how high can it really go? at a $3 billion company, it's not pricing in a whole lot of that recovery. >> meantime, dee, i mean, the

moves in real estate are pretty intense today. you have zillow group at a new 52-week high but redfin down 20%. there's definitely some dislocations as these new models try to come to this market >> yeah. and it's so interesting because, remember, zillow's slide to adopt the i-buying model and it did not work out very well what you can say about opendoor is they survived last year it was incredibly tough. zillow decided to get out all together maybe it's sort of not -- the promise isn't as big as it once thought. you could say that a lot about pandemic -- you can say that about a lot of pandemic darlings it will be an uphill battle to get that inventory people still aren't totally comfortable with buying houses online they hope to change that >> yeah, dee, such a big decision sometimes you want a person there to walk you through it thanks for that fascinating conversation coming up after the break, an under the radar semiconductor play m microchip had been an

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that provides semis for everything from medical to auto to mars rover. revenue and eps both in line but the company did issue some cautious commentary around headwinds in china and europe. joining us today in a cnbc exclusive is microchips ceo. great to have you back eventful week, obviously, for the industry at large. we've heard commentary that's been pretty much all over the map. can you sort of distill it and tell us where we're going right now? >> sure. good morning, carl thank you for having me on again. you know, we try to provide insight into where the next six months are going we do see weakness in three different areas. first in china, not recovered and unclear, so much recovery in the back half of the year. second in automotive and industrial endmarkets which historically have been very strong starting to show some signs of weakness as well third, seeing europe with some impending signs of, perhaps, a

slowdown coming from there parts of europe is a large export economy and i think it's linked to a weak china and some of europe. >> i have a question about your outlook here they are asking about your ability to navigate a soft landing given these pressures and weakness overseas. what are you expecting >> we're expecting there will be some revenue headwinds we have given guidance to the december quarter where we said there will be ample seasonality in the december quarter on the downside that said, we have a business model that is extremely resilient, which puts us back to our gross margins, you think of the soft landing, that's the levers we have are to work on the things to preserve gross operating margin and cash flow if you look at 15 years of history, which are posted on our website, you'll see what they've done through all the different

recessions, the most deep recessions from 2008 and '09 to some of the more shallower ones and everything in between. those are the three things we want to hold resiliency for in a soft landing >> and you mentioned china, are you seeing any signs of improvement there? >> not yet through the mont >> not yet but through the month of jug, there are expectations that the chinese government may make moves in august and september. we don't see that yet, but there's certainly optimism as we speak from some of our partners and customers there. >> interesting "ft" has a story on the tape right now, ganesh, that the lines of communication between china and the u.s. are improving. after blinken's visit. i just wonder whether or not you think we'll be talking more or less about things like export controls in the quarters to come >> yeah, i think that's been an issue for our industry, and we have been quite vocal about it through the semiconductor industry association we do hope that the increased

dialogue at various levels between the u.s. government and the chinese government can get to a place that is more constructive between the two companies. but we also recognize that it is happening out of the context of national security and other discussions, which really are not in the field that the businesses are as close to we are doing our part to inform our policymakers on what the impact both intended and unintended can be from export control regulations. >> one thing i want to make sure to get your thoughts on is how you're managing inventories and also the decline in lead times the times have come down so dramatically how does that impact the way you're thinking about inventory management for the second half of the year. >> so, we have been driving inventory down in what is on our balance sheet. we are over where we would like to be, but not by a whole lot. but we began to reverse that process in the june quarter. we went from 169 down to 167 days we expect to have stronger

reduction in inventory in absolute dollars and in days in the september quarter and we're going to continue to work on it going into december. so, that inventory is something that is important for us to make sure stays within a reasonable range for where we're at >> finally, ganesh, can you put the company in some sort of framework so how we should be thinking about not just reshoring but manufacturing construction, the chips act, a lot of the incentives that are getting thrown around these days >> yeah, so, we are a u.s. manufacturer, about 40% of our fab is done here in the u.s. the rest of it, we sub contract out. we do some of our assembly and test manufacturing too we have been aggressive in implementing expansions to our factories. we've not done any green field announcements, but in our existing footprint in three locations, oregon, colorado, and arizona, we have had significant expansions, and still more to come in the next four, five years. the investment tax credit has been a great help to get us started on that process.

that has already been in effect since january 1. the chips act grant are in the process of being applied for it's a little more of an involved process to get the applications done, but we're very close with the chief procurement office and the chips act on the part of the commerce department i do expect that will help bring back more volume, more shipment of product that is manufactured here in the u.s. it is a longer term strategy, and over that time, i think that will help the domestic competitiveness but also the national security for the u.s. and in all terms, not just defense, but even for many of the other critical industries for which semiconductor manufacturing can be done in the u.s. >> ganesh, appreciate the color and the guidance it's always a tough read to get a handle on chips. it's so complex. good to see you again. ganesh moorthy coming up next, the

highlights from my conversation with kevin hart on how he's mixing humor and advertising that's part a sneak peek at e bcpeal"chi in.

amazon and apple both seeing

a rebound in their advertising business after meta delivered better than expected growth and the media giants are working to navigate a broader ad pullback i did a deep dive into the advertising industry, the challenges of a global pullback, and the opportunity around new technology such as a.i. at the cannes advertising festival, which we're debuting as a documentary this weekend on cnbc, featuring conversations with the ceos of snap and pinterest, as well as as kichb hart and his company's ceo here's a tease of my conversation with hart about the future of content, marketing, and more >> you're incorporating humor in the space of advertising, right? it's not that it's something that is new, but i think it's been forgotten to some degree. brought to you by body wash. what we found is that a laugh goes a long way. it also provides a great foundation for understanding, a throughline to the thing that you're marketing on behalf of. where i find a lot of success,

personally, it's integrating things seamlessly to my lifestyle, being authentic, being transparent. why do i use it? why do i love it why is it part of my everyday? >> you say, i love taking ice baths? >> i use them. i'm in that space of cold. i may not like it, but i've worked on this body consistently a nice cold tub feels on >> the show "cashing in at cannes" airs tomorrow, sunday. set your dvr >> that's fascinating. and i think about it because, you know, the certainly, the strike has proven that models are changing everywhere, but even actors and producers, who basically run their own individual brands, are trying to tailor their models differently too. >> look, a brand like kevin hart, he's not just an actor he's a brand and he has a business empire that he's building, whether it's his vegan fast food change or the endorsements and investments he makes in various start-ups but he sees himself as having

the business portfolio right now. >> that's fabulous good color through an individual lens as for markets today, we're close to session highs, back to 4,530. continued relief in yields as the ten-year gets back to 4 4.0% goldman is out with further reaction to the jobs number. they think the fed is going to skip in september and probably skip in november as they believe that the decline in core inflation is going to offset some of the gains we're seeing in prices and other areas. that's pretty interesting. >> pretty interesting. a bold call there. just interesting to see the whiplash we've heard this week and the jobs number today really strong and remember that fitch call was just a couple days ago. >> bracing for disney next week? >> bracing for disney after the bell on wednesday. it's going to be fascinating to see what other color we get from iger in terms of his vision for transforming that company yet again. >> i did notice citi reiterated their buy, a higher tax rate, probably a weaker box office, writedown of galactic star cruiser. it will be a bunch of

components >> and advertising challenges. >> which the tone today from, certainly, amazon, was pretty good >> i think that the tone of the digital ad giants might be a little bit rosier than the tone of the traditional media companies. >> it's been so good having you here >> it's been so great to be here, carl always a pleasure. >> safe travels back home. melissa lee in for the judge on this friday. welcome to "the halftime report" in for scott wapner. front and center, the state of the tech trade as bond yields retreat and investors digest the latest batch of mega cap earnings joining us for the hour, shannon, jim, brandon and steve. our chart of the day amazon just amazes. the stock having its best day of the year and blowout results, sales growing double digits as the company posts its biggest profit beat since 2020 it's up 11% today. steve weiss, you're in this one. what are you inclined to d