>> mimi, thank you wish you had a slightly different message, but we appreciate your time great to see you have a great weekend. >> thank you that does it for us. make sure you have a wonderful weekend. joins us next week right now it's time for "squawk on the street. good friday morning. welcome to "squawk on the street." i'm david faber along with jim cramer carl has an assignment today as we look at futures to wrap up the trading week, we start 30 minutes from now that's a bit of a different picture. >> yes we'll see -- >> that ten-year let's start with our road map. it starts with amazon, and aws

and a.i. strategy. ceo andy jassy saying surprise from the generative a.i. business. inflation seems to be cooling. the pace of inflation came in a 3.7% for the month of september. we're keeping an eye on the auto industry, mean white the uaw reportedly delivering a new offer to gm. amazon is up nicely after reporting quarterly results. ceo andy jassy saying he's been surprised by the company's growth in a.i. >> you look at the very substantial, gigantic, new generative a.i. opportunity, which i believe will be tens of billions of revenue for aws in the next several years, i think

we have a unique and brought approach that's really resonating with customers. you can see it, you know, with the customers i mentioned that are using us, starting with the workloads for generative a.i i can see it also, the growth rate for us is very fast >> of course, if they can get ahold of the chips they need, give me your take on the quarter. >> okay. so you go through what went wrong with alphabet which was disorganized, incoherent. >> you've been a bit more critical of that call a few days later. >> no, that was kind then you look at what meta did wrong, which is kind of like -- >> did meta really do something wrong? >> i happen to think -- i went out and said meta -- people

misinterpreted what he was saying take the best of microsoft, which was not apples to apples, in terms of azure. then you 10x it, and the other guys -- listen tens of billions how do you get better than tens of billions? this was one of those calls where you came away and said, what the hell are we thinking? this is a company that's revolutionized retail, revolutionized web service, advertising. david, even if you go back to the incredibly worst part of the google call, they're talking directly i'm on whiching it the bills not dismant sol tampa bay, but they're even doing great on that david, this was a testament to how to do a call versus the

predecessors >> by the way, you've been critical, but he's gotten a lot better i've had a couple people refer to hem remember the disastrous call when he first started? >> he had a kind of -- >> is it just because he's got better news to share, or he's also better at communicating >> he's also -- slightly -- >> all right i don't care if he's delightful. >> he has a coherent view of generative that was so powerful, you understood why people who were optimizing last year have now gone gangbusters david, listen to me, you know how big mcdermott yesterday was

talking about generative a.i.? and you asked the question, what the heck is he talking about we got the answer from jassy i was surprised we didn't start talking about "minority report" or something jim cramer ordered this really horrible coffee? we're going to send him amazon's best, which is their own private label, which happens to be very good it's that good what they're doing t. >> it's real okay to the specifics that the street was focused on -- >> it mocked the street. >> revenue growth of 12.3% remember, during the course of the quarter, that expectations had come down. we got any number of sources from data providers, saying things may be slowing. you go to as low as an expectation that it might be from the 11% range, really 12,

but 12.3 may be a bit better they're talking about the optimization. >> no, attenuated -- >> first of all, we need to stop using their words they come up with the slowdown is attenuating, meaning things are looking a little better. >> you're doing the amazon to faber dictionary >> i hate it when we use their words. let's use our words. >> people have dover how powerful this is as we learn what's more on prem -- >> yes, they beat the guidance when it came to ebit and everything else. operating leverage is there. forward numbers are moving up. they do sometimes get a gap

versus a non-gaap question. >> how about 11.2 billion. >> are happy days here again >> regionalization was something he talked about right at the top. >> what does that mean instead of you ordering shaving cream from dallas, they have identified most used by people and put them in warehouses very near you what's happened is they are attacking front and center cvs and walgreens with everybody they have. david, i'm going to make you a promise one of those two is not going to make it. >> because you can get it almost as quickly as if you walked down to the walgreens and got to get the person to unlock whatever you said. >> that's what they're gunning for. if you order it, it will be at your doorstep when you get home.

that's a lot better to trying to find a clerk, a person, as associate at a walgreens david, that's exactly who they're gunning for. not only that, but also with drugs. those guys have to become -- this is an existential attack on them they better become better , otherwise the buildings will become museum pieces timely, before we move on, advertising as well. jassy is saying -- this is another quote -- i think we barely scraped the surface with respect to figuring out how to intelligently integrate. >> they know i watched the bills game they probably heard me through

alexa that i think the eagles better, so they'll flash me eagles cuff links tomorrow, and i'll buy hundreds of them. >> of course you will. you'll buy anything. >> well, i do buy better clothes than you. >> you buy more homes thatn i do >> people think you hate -- >> whatever that producer at john oliver, if she's watching right now. >> fay irhates z -- faber hates cramer before it -- just wait until people take -- wait until it's required in middle school. we have a lot of other

stocks or companies -- >> do you think we should move on >> i think we should move to the markets, and the core pce. for september, it came in at a rate of 3.7% that did match street forecast, also showed that personal spending was up more than expected income was shy of consensus at 0.3% increase. what do you think? >> wake me up when the fed is done in tightening >> even though they're all in line >> we want rollback. the guys that own football teams, they spent a lot of money and didn't make playoffs. >> steve cohen he's a very smart guy, too

he said five years, we're not there. >> a guy like tepper, they've got to win this game this weekend. one of the things that he's been saying over and over again is, look, you get these auctions, they don't go well, rates go higher until there are sizable buyers -- we have sizable sellers. we need real buyers, and we don't. this number shows it's in line interest rates tick up it's a real threat, david. six percent yield -- verizon -- >> started this week at 8.75 yield earnings. >> but not enough. bonds are the enemy. we can constituent here and talk about all the stocks we want, but -- >> that's where you think a lot

of the market is keying -- >> next week we get the supply number, where the treasury tells you the expectation for the next quarter. >> i don't care about that mid '90s, we used to say that seven-aye, let's buy intel >> right. >> i think people have to recognize that the five-year didn't go well, and that's what we want -- these things are more important. we're back to the '90s. >> i would tn't say i feel good about the market action after the earnings yesterday did not feel good. >> but i do think that amazon -- when amazon was down to 118, and they're like, are you kidding

me i can't believe it myself. people -- at 118, what that said is it doesn't matter what we do, this was our best quarter. what do we do? we admitted that during war people don't place advertisements about funny movies. >> meta then turned around and didn't gain any ground at all. we put a multiple at mid teens. >> thank you i think that's the bonds talking. shrinkage at the malls is just incredible >> i'm looking for better than expected all right. let's move on to more serious topics, like the latest on the israel-hamas war jay gray is live from tel aviv for us jay? >> reporter: hey there, david.

after multiple voyles throughout the day, at least one of the strike did make it through the iron dome today, striking an apartment complex here we know that three people were injured. the extent of the injuries are yet unknown. one of those making through the iron dome into tel aviv. overnight the idea continued for the second night in a row, but they are calling a significant targeted raid on the ground. we saw tanks rolling in along with troops clear out operational headquarters, they say, taking out some of the tank installations. we also floe that the navy carried out a mission last night, all we're told in preparation of the next phase. you would think since they're clearing out an area of gaza,

though they won't say when that will happen. the u.n. is discuss a humanitarian pause, expect a vote at some point, but israel has said that that won't do anything to stop what they're doing and simply will, and i'm quoting here, tie their hands from protecting the people of israel finally, the humanitarian aid issue continues to be at a very critical stage we know fuel still has not made its way into gaza. many of the hospitals have been forced to close down, and now, you would assume just hours left, according to what the u.n. is saying. david? >> jay, the north of the country, we know that the u.s. has actually conducted some raids on syrian positions that have been firing on u.s. bases

what are we hearing from up there? and hezbollah obviously in lebanon. >> reporter: u.s. fighters taking out a couple syrian stronghold points after they were infringing on u.s. bases there. it's been a growing volley between the two sides. as far as lebanon and the hezbollah fighters and israeli soldiers along the border, it continue to say increase every day. we see israel moving in more troops, more equipment to that area that's a real concern with the possibility of a second front. so a lot of people are watching that very closely as well. >> jay gray in tel aviv. coming up, we'll have more on the movers in the stock market we'll talk about ford's results weighing on the stocks let's look at the futures.

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pending the agreement with the union there. what do you make of all of this? >> i wasn't thrilled with it i wanted to be thrilled, but i wasn't the warranty issue, jim farley said this would simplify how we makes things, a million different versions, now there will be a handful. i was hoping for more cars actually being sold, but i think, david, i'm reluctant to criticize jim, because he had to go through a trying time, but at the same time -- i have two for forwards >> we have farley from the call talking about in terms of trying to com peel the ev business, what it will take. take a listen. >> a great product is not enough in the ev business anymore we have to be totally competitive on cost.

tesla actually gave us a huge gift with the laser focus on costs and scaling the model y. they set the standard. we are now making real progress on our second and third cycle evs in the midst of being developed today. >> all right what do you make of that >> first, i think adam jonas has better points, which is how ford deploys the flows to determine where the stock price goes he's talking about how you have to talk about the cash flow generation before you talk about the evs. steven schorr was a guest on "mad money" last night should we listen to what he said >> do we have the time >> as a result of having so been teslas in the fleet. take a listen. >> depreciation went up on they cars, in part, because tesla

took price down about a third earlier in the year. the price differential is expressed through differentiation, and that's how it plays so the opportunity to dump the car, so to speak, is not one that's available, and frankly speaking, now one i would take there's positive margin to be had in the existing fleet of cars, and we will buy the price down over time. >> do you want to explain what it means >> yeah, first, the repair bills were huge for tesla. >> for hertz. >> yes they haven't made the increase in rideshare they were hope for uber or people who use them. that's the incredible story that they're going down in value very quickly. >> because he's been cutting price. >> so it's a company that can be as rapacious as musk

we have the ftc -- she's done -- you're worried about small suppliers being wiped out. musk can wipe that out >> he's done it better >> isn't that what you want? >> you know who else did it, rockefeller. >> he doesn't have a monopoly. rockefeller did. coming up, he's going to get ready for his mad dash i think it probably will be seated ayitus st wh people are excited about what ai will do for them.

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all right. you can see enfacephase solar continuing to get hit. charter we definitely will hit that's ugly on broadband we're going to hit all of these and get a sense as to why they're all down jim's got the story. the opening bell is coming up.

we're really not seeing anything bad to big. the more we understand it, frankly i think this is a place where we're positioned well. if you do decide to go on the drugs, you can get exactly what you want to eat. >> all right that takes us to a mad dash. brian niccol, that's a name, chipotle >> they have a problem

too many people going. they're working on ways to get people out quickly if you see a line, you think i don't want to go there they have such demand. look, people on take these, and i want fried food, it was a tour deforce kind of call >> i think you should buy it >> of course, the real-time exchange, more green on the bo board. the government of india did

the honors where do you want to start >> capital one the consumers are really hurt, capital one is the lender for typically a lender t and their numbers were spectacular now, richard fairbanks is a genius, but newspaper of looking -- capital one, look at brian moynihan, you look at capital one these are real hard-fact numbers, consumer's okay maybe that's the problem, the consumer is okay, right? >> higher for longer s. baby

>> think -- we all, like, we rely on these inflation, and i don't trust any of them. >> actually, i take that back. you keep using genius all the time, as much as you said to. >> genius failed let's talk big oil

over the last couple of weeks, through the largest deals we have seen? >> maybe someone needed to replenish oil. different performance this morning, though, after profits are reported for both companies. chevron shares are down 4% >> mike is a genius. >> sitting here two days ago on monday when we got words of the deal with hess. >> he had to rebuild reserves. i remember the period when i was questioning mike hasn't done it in a level that i -- now, he did go to where -- not the permian. >> went to guyana, and when the heismt ss deal is completed, they will be exxon's partner exxon operates everything there.

they will take that over that said, not the greatest week to announce a deal with another company if you're hess it's an all stock de >> kind of picked the wrong week. >> well, i think for a long weekend -- >> thank you, that was my refe reference. >> right now, david, i will say, david, these guys are -- here's a new word that people are using.

hess was basically at a new high it's a nice time to go a tax-free deal, wrap it up, move on? >> you know, that's where it stands, but not the greatest weeks. >> these are companies that could use more slb, as far as i'm concerned. it means at schlumberger. >> i want to go back to pioneer.

there are some questioning the technical advances that they're going to be bringing to pioneer. >> knows more about -- >> yes. >> thank you scott sheffield is the greatest finder of low-cost oil to our country. >> i mean -- so we had some even better than ma homes listen to this. >> we are now drilling much longer laterals, more productive wells, lower costs, bess efficiency and more recovery that's a huge opportunity to grow competitive advantage, grow our capabilities, and our development approach, and i'll apply that to premier tier 1-a acreage that pioneer has developed. they have a great organization

with great people who understand the resource base. >> that's what he has to say >> i thought to some degree he sold a too low of a price. yesterday comcast reporting disappointing guidance on broadband, and not to mention a number that came in a bit below.

7.2 million mobile lines, that's growing quickly. 3.9 billion compared to 3.8 the prior year, higher cap ex, but really not a lot of growth in broadband. there seems to be some concern over that. and our parent company comcast actually now positive. after some initial selling in the first few minutes. >> yeah, look, i look growth >> there's not a lot of growth in this business right now comcast -- i got this zumo little box, creates cable for you, it's great, great replaced my actual cable box >> look, i have not cut the

cord my kids don't know what that is -- >> i'm paying, just less >>. >> i think it's great that jamie dimon is going to sell shares. he hasn't done that before i want to see honesty, candor, putting it out, i don't know >> jamie dimon has been ceo since 2005 he's amassed an enormous position it's over a billion worth of stock. you might expect for purposes of simply planning, estate planning, whatever else he's got going on at that age, given the fact we expect at some point he may step down as ceo

he wants to sell a bit. >> another 2 million shares under the current contract he's selling some, and obviously owns a lot >> meanwhile, what do you think of the stock >> i don't like any of the bank stocks morgan stanley, you know t. no one cares. everyone doesn't care, then go buy nvidia don't buy it ahead of the impart i'm just saying i want growth, i'll go with first national bank of jassy >> meta is seeing a bit of a bounce. >> thank heavens. >> and microsoft off the back of its earnings, which it did respond positively in the stock market, up another 1-plus. >> i think some people are kind of, you know, they're

competitors, and sometimes i feel like azure is like a bobby bonds thing going there. which one? dad or -- >> oj, juice -- i didn't mean that their numbers may be a little. >> not apples to apples. i come back and say, because azure is really good, buddies. te tenth. >> i'm just saying that azure is really good, and that's what i'm saying you know who want good >> yes, alphabet was not good.

so what's happening is, let's say you thought you would get a subsidy, and the companies changed the rules, that's been a problem. in you want -- let's say you want some energy, called le nova that's a winner. that's a winner. larry culp put that together

>> it's a an opportunity here. >> what doivity to hit here? sa sanofi. >> why are these companies doing these consumers spins? >> because they want to bury you alive? >> j&j actually sold it all, and now look at that. >> how about the timing that fda comes out saying the stuff you've been taking all your life doesn't work >> look, sanofi shares are down, marking the first spin. >> you put all those companies together, and you can't still not do well. listen to this.

>> the truth is, you know, we didn't create more value for shareholders, even more importantly for patients, by doubling down on our science, which has set up well. we didn't want to make a trade-off. >> go buy regeneron. i think they're hoping the fact is these are businesses, terrible you know what? it's cutthroat the markets are bad, really no differentiation. now people will start questioning their value, because they have gains, saying, listen, something you have taken all your life doesn't work, and then the companies say, listen, we're going to do pure science good if the science doesn't work, you have a stock that's just awful they've got great signs.

probably the greatest drug of all time, though, i think the people didn't like the numbers, but they were good the clock is ticking on that. >> because of the patent expiration >> yeah. we never hit merck at all yesterday. >> good numbers. they're doing a pretty good job. bristol-myers was really just bad. meta is something. it looks like the refs being the analysts and traders, the referredees this year has been so horrible, as much as i love the eagles, we had no penalties last week. i think the refs are looking at meta and saying, why did we sell it something involving advertising? the ray-bans that allow me to

figure out what i'm thinking. >> you don't like to figure out what you're thinking. >> thank you very much there's been like a billion avatars. whatsapp, we forget that it may worth the price of admission, especially in lesser developed countries. >> you don't like that >> i got to get to kate. sam bankman-fried's trial, remember that? that's resuming today. kate is in manhattan, and can bring us up to date on what we expect kate >> reporter: david, good morning. the jury is back in the courthouse this morning after a pretty unusual detour yesterday. sam bankman-fried did get up on the stand, but no jury in the room, so the judge could decide if certain topics are admissible we expect the judge to rule on that

the defense kicked things off yesterday. he had noticeably shorter hair, an oversized gray suit, trying to -- saying they signed off on things like bank accounts, as well as legal loans. at that point, he sounded calm, giving concise answers not the case when the prosecution started grilling him. he stalled, asked for a lot of clarifications, took sips of his water bottle many times, and would evade, saying i would not classify that as particularly what happened, instead of a no the judge seemed frustrated the diversions he repeatedly told sam bankman-fried listen to the questions and answer it directly he also sarcastically floated that the defendant has an interesting way of answering questions. if he is found guilty, and the

judge suspects he lied at in point, it could add years to his sentence guys, back to you. >> people don't understand the differences between judges this judge is one of the most distinguished, also known as one of the toughest. he's not overturned. i would say this guy is -- sam bankman-fried is the panthers, and the judge is the chiefs. he's the chiefs. >> thanks to kate, by the way. >> i'm sorry. >> all you need is one juror to believe him and hang in there. >> good luck >> that's all it takes for a mistrial >> i think does sam bankman-fried think this is a series on cable about -- >> i don't know what he thinking >> there's some real serious mistakes this man has made. let's get into the bond market

we were talking about the ten-year, you can see we're at 4.852, certainly down from the level five days ago. it's an early in the session. >> we are early in the session, and in the show. we'll be right back.

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there has been a flood of earnings this morning and we certainly didn't mean to overlook intel, shares of which are up 11% after better than expected numbers and perhaps a better forecast. jim is gngo veoronoi tha me that after the break

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the feeling that he got such a bad hand this was a good, clean quarter if the cycle is back, as he says, and i believe there's no reason to believe not, there's a lot of stock that will work. this was a very positive, very, very strong quarter. >> it was a strong quarter what else works if, in fact, he's right that the cycle is back >> amd will work, arm will work. i think you can go buy micron which hung in there very well, and i think that, you know, those are the true takeaways i happen to think micron is really expensive but nobody likes micron i do david, next week we're going to have to hear from broadcom. >> arm is not trading well. >> it's not. we have to hear from broadcom. >> by the way on monday, i can't tell you how many arms call about vm ware, i don't know. do you know? are they going to close this thing? are the chinese not going to let them close it? >> what do we know on vm ware, jim? >> i have to tell you -- was as adamant as any time i've ever

heard. if this deal closes next week, he's not backing down. >> monday it could be. a lot of surprise investors if, in fact, that thing closes >> look at that, will you. vm ware such a quality company too. >> what do you have on mad tonight? >> i like weyerhauser. we have to see these are the kinds of things that fed chief powell wants to see. you know, i'm still -- i'm still committed to powell, to jassy, right, i'm committed to zuckerberg. >> yes. >> i'm committed to amy hood from microsoft. >> of course. >> and those are some of the people who came out ahead for me this week. >> i'm glad to hear that, jim. >> came out ahead. >> have a good weekend. >> you too. >> i will try. coming up more reaction to the amazon quarter the stock is up quite nicely as you see ov 6%. ept reer.5

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good friday morning. welcome to another hour of "squawk on the street. i'm sara eisen with david faber and mike santoli today live from president biden at the new york stock exchange carl is on assignment. take a look at stocks hanging on

to gains in the early action thanks to the rise in consumer discretionary, amazon is a big part of that story, technology is working today, materials and communication services the nasdaq is doing better, which has not been the pattern all week long thanks to strength today in tech stocks as i mentioned. intel is helping out that cause up more than 10% amazon is up almost 7% meta is bouncing back 3% so those are the sectors on the move we're looking at a 2% down week for the s&p, more than that for the nasdaq as for treasuries got to be checking those first as well we're still off that 5% level on the 10-year note yield but they're elevated today, below 4.9. we'll talk about the data we got but keep an eye on it. 30 minutes into the trading session. starting with big oil, exxon and chevron missing estimates from weak performances by their oil refining and chemical businesses both lower today herve ron getting hit harder

sanofi missing the company expects heightened r&d spending to weigh on profit in 2024. check out chipotle another earnings mover a boost after topping q3 expectations helped by higher menu prices for burritos and bowls the operating margin also rising from last year something that investors like. >> yeah. speaking of the consumer, we got some data crossing the tape. final october consumer sentiment coming in at 63.8. that compares to the 63.0 estimate and that itself compares with 63 from the preliminary data earlier in the month and 68.1 in september. still down month over month on michigan sentiment just slightly better than anticipated. >> adds to the string of better data releases. first of all let's talk about personal spending which comes out in that number which was strong we knew that, right, because that factors into the gdp we saw yesterday on the third quarter, but 0.7 month over month growth

in september versus 0.4% in august is a notable jump and better than consensus. then headline inflation comes at a little bit firmer, 0.4% versus 0.3% expected. core, strip out food and energy which we know the fed likes to look at for the underlying trend, 0.3% versus 0.1% higher little bit hotter. if you look and zoom out the down trend is still in place on inflation, so it shouldn't really change the macro narrative or the fed's trajectory next week when it's going to pause at its meeting. those are the expectations but it does keep them on high alert, mike, that this stronger data may make it harder to bring inflation all the way back down to trend and that's going to be the story. today's data didn't do anything to change that. >> for sure. the good news is these numbers on inflation for months now have been coming rather close to consensus. there's not been this kind of wild swings around the surprises in everything else

that sort of gives people a sense we have a fix on the general trend, but it is a little bit uneven and it's not that quick in terms of disinflation and then the spending numbers, we knew it was the summer of spending, right. we knew it was kind of people were out and doing a lot more and you saw spending out strip personal income in the data so you had a little bit of drop in the savings rate the question is, is now a payback phase? because if you look at the way the market has traded it's been implying all along this is not a 4 plus percent gdp run rate economy. it's been saying we think that maybe consumers are emptying the tank and it's going to be weaker down the road. if you think that's wrong, if you think that the consumer could be resilient and the economy can pick up and stay at above trend levels for a little while, then cyclical stocks are in the wrong spot, right they've been depressed too much. >> there's the assumption growth will slow. >> for sure. >> substantially from the 4.9% growth 8% more than -- which is

nominal. >> nominal, exactly. >> take out inflation. that's what we're getting from the companies because they're all reporting this week and i've been digging through with our producers and our team to find out what they're saying about the consumer how about amazon, it has a good read on consumer spending. comments from the cfo on amazon. everybody mentions the caution when you pull that up and the sort of macro economic environment being challenging from a customer behavior standpoint we see customers remaining cautious about price, trading down where they can, seeking out deals with lower spending on discretionary items. that's not a 4% economy necessarily. we know there's been pressure at the low end. chipotle, however, not seeing a ton of weakness. they have the pricing power still. they've got good traffic the cfo of chipotle commenting on the strength, continuing to do well not just across our income levels but with lower income they're holding up really well they're really hanging in there about the same level as our

medium and high income level it depends where you spend in this economy. >> its does. i would add in capital one, shares of which are actually up nicely but their commentary on the consumer to share that from the conference call, the ceo richard fairbanks said average spending per consumer flat over the last several months as well. it was new card accounts that sort of helped with spending there's been a moderation basically, especially most dramatic among lower income customers. >> within the data there's one sign of caution and you went through it, mike, but it's worth zeroing in, the savings rate continues to come down so debt fueled spending goes up. we've seen the auto delinquency rates rises. there's points of caution in the data not all pointing to a boom time economy. today we did get the savings rate, and it went down to 3.4%, lowest level of the year the savings are draining we have strong employment and people are getting paid and going to help fuel spending, but

also, it is coming out of savings. >> look, you're at a 4% wage growth economy with under 4% unemployment saving 1 out of $30 off that it's not like you're building savings quickly or as quickly as we were. it's not plunging into desperate times just in the aggregate, of course it really is a lot of stress on lower income households because of the cost of things and also if they're net debtors credit card stuff i think that's the upbeat case you can have the steady state economy if the labor market happenings -- hngs in there eve if you have a hangover effect. >> even the ceo of deckers, which owns -- which is a trendy running brand, you have the sneakers. >> i do. >> even david has them. >> i think half the floor is wearing them. >> i squeak i told people. >> even they say we see a lot of reasons to be excited but we're

not naive to the fact that sector is having challenges in q3 that people are talking about it might be tough. we haven't seen that yet they sell howkas. >> on goods in deflation for the last three months annualized core goods are in deflation. amazon is talking about selling stuff more than services and sneakers would count in that direction, too that's where the pressure is but you have chipotle saying -- >> services. >> for now. >> yeah. that's the whole thing next week is going to be absolutely definitive because we get an fomc meeting, fed meeting, bank of england, bank of japan, we get non-farm payrolls, the treasury funding. >> the supply data which i've now become focused on thanks to you. >> yes. >> 163 more earnings so -- on the s&p there's going to be a lot there. the last point i'll leave you with in that university of michigan number, the one-year inflation level expectations moved up to 4.2%

that was a little bit more than expected the 5 to 10-year inflation stayed the same. that's good. the fed wants to see those long term anchored. it doesn't rule out a rate hike in december. >> okay. let's get to other big movers. chart of amazon shares up nicely deirdre bosa has that story covered for us deirdre. >> yeah, david, good morning there was so much focus on the cause this quarter because it's how amazon pays for everything else and where they're putting a lot of generative ai efforts it was key ceo andy jassy did provide hopes that there was more deals being signed in the quarter, but i do go back to what cfo told me when i asked him if he could say that growth had bottomed out. he said that he couldn't next to microsoft's number as well they didn't look great. it does help, however, that there are other business units helping to prop up some of that profitability with higher margin businesses one of them is advertising that grew 25%.

another is third-party services that grew 18%. that helped that overall operating income of more than $11 billion, a record, and that is going top help amazon compete with microsoft and google going forward in ai. that's key because as we know, this race is extremely costly microsoft and google, by the way, they have more lucrative core businesses to underwrite their efforts. amazon's core business, of course, still e-commerce finally i want to point out the revenue outlook that isn't getting a lot of attention or maybe investors are just looking past it this quarter soft are than the street expected and it could raise some questions about the competitive landscape as we head into the all-important holiday quarter. jassy i think, sara, you mentioned it he said customers are cautious on price and trading down we know that part of the market is most vulnerable to competition, ie, the temu effect the chinese commerce players taking market share from the dollar stores, but could be a

threat to amazon in the future. >> that is a wide gap in terms of guidance on operating income. clearly investors think they may come in towards the higher end at this point with aws' margin back to 30% again and some re-acceleration. any sense or are they really -- do they always give us that wide a range? >> they often do one quarter it was 0 to $4 billion. you could drive a truck through it they give us wide ranges because amazon is a different kind of mega cap it has always sort of spent and not been afraid to spend what comes in the door to build up new businesses, whether that be advertising or streaming or groceries. that gives them that flexibility. >> deirdre, thank you. deirdre bosa watching amazon big gainer today we monitor the israel-hamas war in the 21st day.

jay gray live as always from tel aviv with the very latest. >> reporter: hey there, sara start with the skies over tel aviv today after several numerous attempts at launches toward tel aviv from gaza, blocked by the iron dome, one of the rockets did make it through this afternoon striking an apartment complex here. with know that at least four people were injured and their injuries described as light to moderate no one seriously injured in that attack, but we did see one of the rockets and there have been so many, and so many air warnings in this area, one did make it through today. let's talk a little bit about the idf. overnight they launched what was the second night in a row, a raid that included targeted movement by tanks into gaza along with troops striking operational structures, they say, as well as anti-tank installments there we know that navy was a part of

that strike, making significant strikes just off the coast, taking out self structures all of this, the idf continues to say, is in preparation for the next phase of the war here they continue to clear out that area near the border for ground troops to move in. finally the u.s. launched f-16ness response to drone and rocket attacks on u.s. forces in the region they took out two installations tied to iranian-based militants in syria again, that a response to attacks on u.s. troops things are really starting to ramp up a bit outside of gaza. we know that the lebanon border continues to be a flash point as well. >> jay gray, thank you very much from tel aviv this morning. as we head to break, here's our road map for the rest of the hour intel shares are surging after

topping q3 estimates what's ahead for thechipmaker from here? >> jamie dimon set to sell jpmorgan stock for the first time since taking over as ceo. we'll tell you why now. >> we will take you live to federal court in manhattan where ftx founder sam bankman-fried is going to be testifying at his fraud trial. we have a lot ahead for you. don't go anywhere. power e*trade's award-winning trading app makes trading easier. with its customizable options chain, easy-to-use tools and paper trading to help sharpen your skills, you can stay on top of the market from wherever you are. e*trade from morgan stanley. power e*trade's easy-to-use tools make complex trading less complicated. custom scans help you find new trading opportunities, while an earnings tool helps you plan your trades

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smh, dipping below its 200-day moving average the key technical level. shares of intel on the move higher helping lift the group on its earnings beat and strong revenue guidance kristina partsinevelos joins us on set with what investors need to know about what we learned from intel. >> i'm going through the good and bad. intel's results were better than expected we have to keep in mind that expected bar was quite low and why so many analysts right now are not jumping to recommend this stock as a buy. let's go through the good. after declining since 2021, gross margins are showing signs of life and you're seeing it on your screen. check out the right-hand side of the screen might be signaling a bottom might be in by improved pc sales, cost cutting on track they signed two more foundry customers for a total of 3 sounds great but still a small portion of the business. their mobile auto division improved and something that texas instrument talkeded about, auto resilience, bode well for on semi.

i think you have the ceo booked on the show. gelsinger on the call promised they're on track with building five manufacturing processes in four years and their ai ramp is under way. the big issue, data center sales are still weak and that's because we're seeing a shift from the graphic processing units over -- i should say a shift in the pc sales to the graphic chips used in ai units jon fortt caught up with pat gelsinger last night and spoke about the weakness from data center sales listen in. >> we did a bit better than we thought so our market share is a bit better importantly, is the road map and our next generation the gen 4 and ai attach rate there is ahead of schedule. >> done with the bad though. you have the data center sales, sales that fell for seven straight quarters. gross margins are 60% from two years ago and they have to deal with the china export band the ai chip launching has a

lower performance than amd and nvidia's chips the value is predicated on its ability to execute its road map within ai chips but manufacturing as well. aka the foundry business wall street analysts need more convincing. >> what about at pc chip threat from amd and nvidia we were talking about last week? >> the stock is up 10% this week and dropped dramatically last week when reuters reported that nvidia and amd will be launching their cpu chips that are based on arm technology which is a direct competition to intel's technology that is still about two years away, but it is no doubt a threat to the market share for intel. qualcomm also announcing, too, it's launching its own arm based cpu chip three players encroaching on intel's turf, gelsinger did address it on the call and said that he welcomes competition, but he's not worried given their history. >> interesting. >> that's what ceos always say. >> exactly. >> to your point stock up 10%,

back where it was ten days ago. >> exactly. >> low bar indeed. thank you. all right. tech stocks seeing some turbulence throughout the week amazon shares higher on the heels of reporting better than expected third quarter results amazon's profit tripled to $10 billion citing strength from sales from cloud computing, ads and retail the boost helping the company to rebound from post-pandemic lows. john maintains an out performance rating on amazon, price target to 180 from 165 john, good morning you know this is another situation where pretty excited reaction or at least some relief in the reaction to the numbers last night and amazon stock but it takes it back to where it was a couple days ago before meta and alphabet reported. what was the main thing that you think we should be drawing out of the results last night? >> yeah. there are a couple things. there was a lot to like here, right.

3q revenue was above the guide the operating income was huge, beat consensus by 47%. we were street high going into it above our number and the 4 q guide was strong revenue growth bracketed the street and the income guide was 7 to $11 billion we were at $10.2 billion consensus $8.5 billion you have to look at the high end of the guide because they've beaten the high end of the income guide by 30% on average the last three quarters. we kept revenue intact forecast. we raised on income and earnings estimates mid teens annually next five years and took our price target to 180 from 165 so a lot to like there obviously, aws was the big kind of debate going into it, and what was the revenue growth going to be and they reported 12% revenue growth, us and the street consensus and investors were looking at 12 to 13%

growth so they did just enough, but i thought ceo jassy on the call was really big and why the stock is up so much today and what he said was, a, the cost optimizations they've seen since last year are slowing down, companies are transitioning to moving net new workloads to the cloud and called out four big deals that aws signed in september effective in october and they were bigger than all the deals in 3q. aws momentum is building and revenue and growth in 4 q and accelerating further next year so that was big. >> you know something else he said was about the ad business which we haven't talked about as much, but the margins are great, revenue number is a significant one in terms of percentage gain, and he said i'm quoting here, they barely scraped the surface. what does that mean? >> they were at almost a $50

billion run rate he called out sponsor products or lower funnel ad units as being the driver remember, next year they're going for prime video, they're going to introduce ads to all prime members and yeah, i mean there's a long way go. if you look at it right, alphabet and meta are about two-thirds of global digital advertising ex-china and amazon is right behind them and they have a lot of potential levers going forward. we're bullish on that. you're right it was super helpful for the margin one way we look at the margin, too, you take their operating income that they report and back out aws they give us and back out advertising at a 40% margin and the rest of the business losses are shrinking and that's a proxy for the retail business on that math in the quarter, losses were about $500 million versus last 3q almost $7 billion. they're doing a lot of things,

you know, on the retail side of the business to improve profitability. >> so does that make thunderstorm less vulnerable to a consumer slowdown? i highlighted some of the cautious commentary from the cfo on trading down and on pricing because they're growing share in e-commerce and fixing the business or are they as vulnerable as any other retailer. >> i think one thing they did call out to that point in my view is the speed of deliveries, the fastest it's ever been and where they're seeing accelerating growth is in consumables. in the united states, consumables, kind of part of the grocery, but if you unpack it from food and beverage, it's almost a billion dollar market and so with their delivery speeds consumables is driving accelerating growth and even if we go into a choppy macro next year people need the replenishment items. it does help them in the macro worsens and the consumer worsens. >> john, we were talking about

typically wide range that amazon gives for the current quarter operating income 7 to $11 billion always the way they do it. we're a third of the way through the quarter and still saying it could be 7, could be 11. that's simply because we're growing so fast and weren't exactly managing for the bottom line is that changing at all in terms of the focus on free cash flow, free cash flow yield on a forward basis is 4%, it's in the zone of the other big tech companies now. how do you think about whether we're in harvest mode for profits by amazon, the shareholders have been waiting for? >> yeah. we've been waiting for it. we are i think we're there. that's why we raised and the free cash flow is ramping. they basically did almost a dollar in gap earnings and we're looking at almost like 560 in earnings in 2025, you know, $4 and change next year we're going to look at amazon.

you can on a gap earnings p/e multiple basis yeah we think they're going to sustain these higher margins and actually, you know, kind of grow margin next year. >> thanks very much. >> appreciate it. >> still to come, jamie dimon is planning on his first sale of stock in jpmorgan since he took over that's back in 2006, 2005. we'll give you the details as you take a look at the prarns during the period of time that as been the ceo of that bank stay with us when you're looking for answers, it's good to have help. because the right information, at the right time, may make all the difference. at humana, we know that's especially true when you're looking for a medicare supplement insurance plan. that's why

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jpmorgan ceo jamie dimon planning his first stock sale since taking over as ceo nearly two decades ago. leslie picker with the details this came in a filing, leslie. >> it did. you see that slide there down about 2.7% right now jpmorgan announcesing in the sec filing its chairman and ceo jamie dimon intends to sell 1 million shares in 2024 today's levels that amounts to roughly $140 million and around 9% of his beneficial ownership when including unvested rights

as you mentioned, thidimon's fi stock sale since he took over as ceo. mr. dimon continues to believe the company's prospects are very strong and his stake in the company will remain very significant. i'm told the share sale is not indicative of any kind of leadership change at the top of jpmorgan that it's purely for financial diversification and estate and tax planning purposes for dimon and his family wells fargo's mike mayo just putting out a note saying the timing of these sales got his attention with mayo writing, in this new note, this is the first stock sale he will make and comes after his bearish comments that include the possibility of interest rates increasing to 7% and a, quote, uninvestable banking sector given the burden of new proposed basel iii capital rules. do dimon will use plans to share his stocks throughout 2024 under

the guidelines of 10-b-5-1 this gives insiders the ability for a preaimed of shares dimon selling down his ownership in jpmorgan, that doesn't appear to be the case i'm told by a source close to dime than he has no current plans to do more of these. but you can see shares down about 2.8% right now on this news guys >> i sort of remember, leslie, more over the course of the last few years, moments when jamie stepped in to buy and those being -- >> yes. >> actually very opportune times to buy the stock or the overall market and projected confidence. doesn't sound like that's what this is but it does remind me of those moments. >> yeah. we think of dimon more as a buyer of shares here his beneficial ownership amounts to about $1.5 billion. some of that is unvested options and things he doesn't have direct access to right now nonetheless his exposure is

about $1.5 billion in this company. he has a tremendously large ownership exposure to this company regardless of the $140 million worth that would be sold over the course of 2024. but it's noteworthy given it's the first time he's done that. of course people familiar with the matter say it's not indicative of any kind of succession change he does have the bonus that incentivize him to stay through at least 2026 year given what we saw yesterday or two days ago with morgan stanley and other areas of wall street that certainly is a question at least among investors today as we see the stock reaction. guys >> remember the bottom. >> february 2016 stock was under 60 and the one bank stock you wanted to buy and hold it until now. it's gone up to, you know, what 138. >> there you go. >> not a bad accretion of wealth for an employee. >> very rare. >> he was ceo of bank one before

it merged to become the new jpmorgan that's like '99 he's been ceo of this or the predecessor institution. >> certainly partially stock deal. >> yeah. >> all right. >> as we head to a break, let's get a check on the markets kind of wavering around the flat line here. the s&p 500, 4140, the low yesterday, was in the 4120s. nasdaq outperforming thanks to the amazon pop as well as intel the dow off 4% we'll be right back. stay with us ameritrade is now part of schwab. bringing you an elevated experience, tailor-made for trader minds. go deeper with thinkorswim: our award-wining trading platforms. unlock support from the schwab trade desk,

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welcome back i'm courtney reagan. a shelter in place order remains in effect in lewiston, maine and nearby communities as

authorities continue their urgent search for the army reservist they say killed 18 people at a bowling alley and bar in maine wednesday divers will be in the risk near the boat launch where police found robert card's abandon car after the shooting his family says his mental health deteriorated rapidly in the days leading toshooting. george santos is to be in court arraigned on new charges for making unauthorized charges to their credit cards as house republicans move to force a vote on whether to expel the legally troubled congressman and minnesota democrat dean phillips just filed in new hampshire to make his candidacy for president official setting up a challenge to president biden. the moderate representative has been critical of the president's re-election bid saying americans deserve a younger leader sara, back over to you. >> thank you the federal reserve's favorite inflation gauge coming out this morning and moving higher core pce prices jumping to a four-month high in september a rise in personal spending

driven by goods and services the data comes as the s&p 500 trades in correction territory which means it's officially down 10% from its latest 52-week highs. bank of america securities has a year-end s&p price target of 4600 joins us here at post nine so you're bullish. what gets us here to 4600 with a lot of these risks piling up >> you know, i think one of the most frequent questions we've gotten all year should i buy equities here or wait for a better entry point the idea the dips are going to be long and sustained is harder to argue for when there's still a lot of cash sitting on the sidelines. i also think we're kind of setting ourselves up for a growth surprise next year because if you look at the average analyst they are forecasting the lowest sales growth and earnings growth over the next five years that we've seen in the history of our data. i feel like everyone has given

up on everything at this point and there's a lot of probability assigned to that negative tail risk, be it china, be it the fed's gone too aggressively and we're going to see everything break. there's a lot more probability assigned to negative hiccups than actually things going okay. and when i think about the market, the distribution of returns is, you know, it's a normal or close to a normal distribution and mostly positive and we're right now at a point where expectations are very, very low except for these magnificent seven big companies that have crushed it over the last couple years. >> if we get a positive growth surprise next year and that helps earnings even, doesn't that mean that the fed is going to have to be tighter for even longer and that is a headwind. >> i don't know if that's a headwind, though, because if you think ate it we wrote a note about baby boomers and my colleague pointed out that baby boomers are sitting on $80 trillion worth of assets,

they're making spread because their asset base is short duration, their liabilities are super low mortgage, you know, mortgage rates they've locked in and they're basically buying homes for their kids this is like another source of capital that's just sitting there generating returns so i feel like there's a lot of attention paid to credit card delinquencies rising from millennials but nobody pays attention to the fact that boomers are sitting on a pile of money and are still spending their spending trends have accelerated over the last several months that's an interesting cross current where the holders of wealth are actually making money on their asset base. >> if you do have a persuasive case that economy is going to hold up, the market is kind of gifting you an opportunity it would seem if yields are going up in large part because the economy has been better than expected, higher for longer is part of that too and supply, the cyclical areas of the market

have really gotten trounced. >> punished, yes. >> if you're the type that market is telling us something, market is gearing up for another growth scare or worse, how do you decide who has got it right? >> i think what the market is telling us is there's a lot of skepticism about the strength of the recovery but when you look at why the fed is continuing to remain in, you know, kind of a net tightening mode, it's because of the economy. i kind of see this disconnect between why we're not buying cyclical companies with higher beta and more tethered to the economy. what i do worry about is small caps because i think the russell 2000, which used to be the place where you got the most economic juice, is now kind of this graveyard for companies that just can't hack it in a 5% rate environment. i think what's interesting is that we've seen twice as many fallen angels out of the russell 1,000 into the 2,000 as we've seen in a normal cycle, so

that's where i think things will be different you don't necessarily want to buy small caps if you think the economy is recovering. the market is right in not necessarily rewarding smaller companies because they are more credit sensitive where i see the opportunities are, energy, large financial companies that have bolstered balance sheets actually played a hand in bailing out the regional banks earlier this year, i think that industrials, select materials, mining companies, you know, all the companies that have been denied capital for the last ten years, have actually gotten really lean and disciplined are throwing off free cash. i think this is a really great setup for a lot of these dip cyclicals that are looking a little bit safer. >> it's good to get your thoughts thank you very much. chief equity strategist, bank of america. >> thanks. >> we have some sad news to share. one of wall street's most prominent investors byron wien has died

wien developed a following with his ten surprises list that became required reading for many investors. his death was reported by blackstone he spent the last 14 years at that firm. recently as vice chairman of its private wealth solutions business in a memo to employees blackstone's ceo schwartz and president jon gray said byron never looked backwards he pushed everyone around him to think about the risks and opportunity that lay ahead epit nized by his ten surprises list published for 38 consecutive years. as we mourn his loss we hope you join us in celebrating his life and drawing inspiration from his wisdom, generosity, work ethic and integrity. mike, we knew him for many, many years. i know you dealt with him many times for a long period of time. >> yeah. had gotten to know him pretty well a few years ago at a conference we were both at. one thing that stuck with him, at some other gathering about where he came to that idea for the surprises, this annual list

of, you know, challenge your own conventional wisdom and said he entered the business in the late '50s at the moment when stock dividend yields went below bond yields and stayed there 50 years and watched the older partners at his firm be lost and they couldn't adapt to the new regime and got sidelined i don't want that to happen to me so he tried to always challenge himself. inherently an optimist he thought the market was going to reward you. he was literally an orphan, given a scholarship to harvard and took it from there. >> yeah. a great life story he will be missed. byron wein was 90 years old. we'll be right back. ♪ opportunity is using data to create a competitive advantage. ♪ it's raising capital to help companies change the world. ♪ opportunity is making the dream of home ownership

a reality. ♪ ...and driving the world forward to a greener energy future. [applause] sometimes the only thing standing between you and opportunity is someone who can make the connection. at ice, we connect people to opportunity. when you're looking for answers, it's good to have help. because the right information, at the right time, may make all the difference. at humana, we know that's especially true when you're looking for a medicare supplement insurance plan. that's why we're offering "seven things every medicare supplement should have". it's yours free, just for calling the number on your screen. and when you call, a knowledgeable, licensed agent-producer can answer any questions you have and help you choose the plan that's right for you. the call is free, and there's no obligation. you see, medicare covers only about 80% of your part b medical expenses. the rest is up to you. that's why so many people purchase medicare supplement insurance plans like those offered by humana. they're designed

to help you save money, and pay some of the costs medicare doesn't. depending on the medicare supplement plan you select, you could have no deductibles or copayments for doctor visits, hospital stays, emergency care, and more. you can keep the doctors you have now, ones you know and trust, with no referrals needed. plus, you can get medical care anywhere in the country, even when you're traveling! with humana, you get a competitive monthly premium, and personalized service, from a healthcare partner working to make healthcare simpler and easier for you. you can choose from a wide range of standardized plans. each one is designed to work seamlessly with medicare and help save you money! so how do you find the plan that's right for you? one that fits your needs and your budget? call humana now at the number on your screen for this free guide. it's just one of the ways that humana is making healthcare simpler. and when you call, a knowledgeable, licensed agent-producer can answer any questions you have and help you choose the plan that's right for you. the

call is free, and there's no obligation. you know medicare won't cover all your medical costs. so, call now and see why a medicare supplement plan from a company like humana just might be the answer. we have a number of automotive stocks moving right now. you can see ford, of course, is amongst them and it is falling rat are sharply, on what was a

third quarter miss in terms of its earnings it pulled its guidance due to the auto strike. it has reached that tentative deal with the uaw. gm reportedly weighing a new contract offer from the union. tesla, by the way, is up after -- kind of reversing course perhaps on some previous price cuts let's break it all down with deutsche bank's emanuel. let's start with ford. eman well, you question the ev transition and saying it's slowing down anything you heard from the call to give credence to that view? >> absolutely. good morning the ev strategy is absolutely slowing down essentially ford announced yesterday they are delaying $12 billion of planned ev spending indefinitely potentially raising the possibility of canceling it, saying look, the economics are not working right now, the demand is not there for our product, we're going to slow down the spending, investment in

batteries and vehicles in plants, we're going to slow it down and fix things and reassess down the line. our view, this is considerably off track. they reiterated mid term target for ev but how can you have confidence on mid term targets when you don't know what's going on right now ford -- on ev. >> what does that mean for gm or tesla? are we sensing there's an overall slow down in demand or specific in some way to the expectations for ford products >> a little bit of both. no not specifically ford, but there is an overall slowdown in ev adoption i think that this is a lot of early adopters have bought their evs and then the next wave of buyers are saying look, i'm noting by a a premium for the privilege of driving an ev evs are expensive for what they are. they sell at a premium basically limiting this adoption

from rising as fast as people essentially expected this is an issue for basically everyone, but the traditional automakers have had a hard time being able to come up with a cost structure that enables them to sell the car at the right price and so ford -- we have the same issue with gm -- essentially lose a tremendous amount of money on each ev they sell which basically means their prices are not competitive for what their product is worth. tesla has cracked the code much better and makes money on selling evs. traditional automakers were incredibly cautious on their success in ev. >> what about this tentative deal with the uaw report how does it change your numbers and their overall competitiveness? >> yeah. so the deal with uaw is probably going to add about a billion dollars of extra labor costs a year starting as soon as it gets ratified we're ramping up to $2 billion

by the end of the year because there's some escalation in there. this makes them less competitive in terms of labor costs. gm and stellantis will have similar conditions no difference there. versus a tesla or another newcomer it's only one of the only one o headwinds we see in ford and gm's earnings. you have higher labor costs. you have vehicle prices, which are starting to come down. as we just discussed, ev losses, and eventually the success of ev becoming further and further out, if ever so, to us, it feels like earnings are about to take a real meaningful step down as you move into 2024 >> emanuel, i mean, if they're having a difficult time finding a market, finding demand for their ev products, and tesla at the same time has been cutting price to try to maintain its -- or increase market share and also maintain its annual volumes, is this a bigger story

about the transition in general among customers to evs is slower and can the traditional automakers kind of prolong the profitability in that scenario >> yes this is the biggest story. also suppliers and for the last number of weeks is essentially -- is the ev adoption happening slower than expected what does that mean, both in terms of the future direction of the industry, but the capital investment that these companies essentially need to make and where they should essentially focus their attention. both gm and ford in the last few days have announced they're delaying massive ev investment as well as volume ramp up. essentially to refocus on what is the more profitable business lines. that is a very pragmatic decision that's certainly the right decision from a capital allocation point of view but that does not solve the question of terminal value if an automaker cannot figure

out how to make ev profitably, eventually this will become a problem because evs will take over it may take longer than expected but some automakers are figuring out, like tesla, and the others who aren't are going to be under a significant amount of pressure >> yeah, it's a transition that may be extended. it's obviously very important for us we'll be watching it certainly appreciate your time today. thank you. >> thanks for having me. coming up in the next hour, box ceo aaron levie as the company bets big on a.i. we'll talk about the new initiatives and how he's viewing regulation shares have been underperforming. dow's down 126 p ilbalyosive. we'll be right back.

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welcome back to "squawk on the street." we continue to monitor the ftx fraud trial as sam bankman-fried testifies today. kate rooney outside the courthouse kate, what do we expect? >> reporter: sam bankman-fried is on the stand today in the courthouse behind me the judge barring four out of five topics the defense

attorneys requested to talk about. they're allowed to talk about the documents around bankman-fried's retention policy at his crypto company, meaning the messages he set to auto delete at the time they're not allowed to discuss anything around the lawyers drafting legal documents that was the big question yesterday and overnight. the attorneys this morning, though, when this did get started, asked sam bankman-fried point blank, did you defraud anyone he said, no, i did not attorneys went on to say, did you take customer funds? he said, no. bankman-fried sounding calm, give, answers to his defense attorneys. it was a pivot from yesterday. we had a dress rehearsal where the jury left the courtroom so the judge could hear the defense's argument around legal issues they tried to place the blame on his ftx lawyers saying they signed off at that time when he was getting grilled by the prosecution, he was not nearly as calm he stumbled a couple of times.

he asked for clarifications. he stalled to take asip of his water bottle said he couldn't remember certain things didn't really answer the questions directly the judge seemed frustrated with that he did not love those diversions repeatedly told him, listen to those questions and answer the question directly. a lot of frustration in that courtroom yesterday. he's going to continue that testimony today, guys. we'll bring you the latest back to you. >> kate, thank you judge kaplan very tough in that courtroom. nasdaq up, amazon the leader a lot more coverage of mega cap tech and amazon coming the next hour of "squawk on the street. help. because the right information, at the right time, may make all the difference. at humana, we know that's especially true when you're looking for a medicare supplement insurance plan. that's why we're offering "seven things every medicare supplement should have". it's yours free, just for calling the number on your screen. and when you call,

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work seamlessly with medicare and help save you money! so how do you find the plan that's right for you? one that fits your needs and your budget? call humana now at the number on your screen for this free guide. it's just one of the ways that humana is making healthcare simpler. and when you call, a knowledgeable, licensed agent-producer can answer any questions you have and help you choose the plan that's right for you. the call is free, and there's no obligation. you know medicare won't cover all your medical costs. so, call now and see why a medicare supplement plan from a company like humana just might be the answer. we earn your trust. maintain our financial strength and stability. and deliver solutions that meet complex needs.

massmutual. partnering with financial professionals, benefits brokers, and institutions. good friday morning. citigroup's global head of commodities ed morse will be here for what's ahead on the energy front. the ceo of columbia sportswear on earnings, consumer demand on outdoor and recreation with the stock down 20% this year. later the ceo of box aaron levie on new a.i. regulations, and ta