users over 50 dominate the group. and chicken feed for humans to eat, how could he would not get that headline in to eat? how could he would not get the headline in today. chix mix your chickens are eating better than you realized. >> dog gone it. >> "closing bell" starts right now. welcome to "closing bell." i'm scott wapner, here at the new york stock exchange, make or break hour begins with the rally. take a look. the score card with 60 minutes to go in regulation, 4400 level on the s&p, we are above that, and it hasn't closed above there since back in september so we will watch that over this final stretch. elsewhere, stronger across the board. a big reason we're here today, mega cap tech. several of the big names, really nice gains today apple, around $185, above that level, look at microsoft, another new all-time high today, and nvidia, back above $480. that's near 7% over the past

week and that's where the move has been the strongest as a result, nasdaq not surprisingly the outperformer as it has been for the entire year. if there's a knot this week, it is the russell 2000, mired in a long and painful slump, even though higher today as i just showed you small caps can't get much going and not the only sputtering sector of stocks that's for certain which leads us to the talk of the tape does it matter does it make a difference to the rally if it continues to be led by the biggest names in the market let's ask adam parker, the founder and ceo and cnbc contributor, the knock on the rally all year does matter or not >> not really. not really if you're trying to beat the s&p 500, then you have to own a chunk of those names, we've been saying that for a couple of years, and if your job it to beat the s&p, you got to risk manage those names and get your results elsewhere. as we've been saying, it is very unlikely think in the next three to six months that the small cap companies will have more

achievable estimates or more margin expansion than the base search it is unlikely why? you need wages to be more beneficial commodities. depreciation pricing and mix. the small cap companies don't have as much as that as the big ones i think it is hard to have a big market rally and not have the magnificent seven participating. >> of course, but it is a matter of the other stocks that are not participating, and you know, look, when the s&p was at 4,000, people hated it, because they're like it is only being led by seven stocks and then at 4200, hated it still, because, well, it is the magnificent seven and nothing else and here we are,4400 and the same socks and i mentioned the russell and it is ugly, and energy has done nothing, these other sectors, health care has done nothing. >> it depends who you gather the money from and the charges, and if you are long bate the s&p 500 you absolutely have to own at

least the market win, and you don't know anything about them the idea that someone knows something about google that isn't in the price, or microsoft or apple, they're covered by 4,000 buy side and sell side analysts >> what is working on them when the earnings are less achievable and at margin expansion and growth are attract tific and the answer is when things get much worse and six months before the change is coming, it is small caps so you know that will change so if we know they will raise one more time, or still that part of the cycle, why in m-i going to go an 'tis pore paer to to three to six months before. things have to get way worse. >> it is too early >> it is way too early for small caps. >> yes. >> because they haven't troughed yet. >> earnings are pretty good. they're okay you need earnings, ex-energy, up 7% this year when people are calling for down 5 so the answer is, you need a lot more pain in the economy, a lot more pain in earnings, you need

to look at accommodations three to six months away and then the low quality stuff that will survive, with the margin expansion, and sitting here at this point in the cycle, i don't think that should be surprising to people. >> so simply the fed potentially being done is not enough and that is the central question we ask ourselves every week, there is a new fed speaker every week including mary daly, earlier today, i want you to listen to what she said. and are we pretty good where we are? listen. >> the policy is in a very good place. we have it positioned so that in my judgment the risks are overtightening and undertightening, roughly balanced, and we see policy working. that's the second point. policy is working. >> all right, i mean i hear we're done unless the data suggests that we need to do something else what do you hear >> i prefer to let other people judge whether i'm doing a good job or not, so i mean for somebody to say they're doing a great job and it is perfect, it seems a little offbalance. >> well, the policy, she is saying policy, she's not saying

we're doing a good job but the policy is in a good place and i.e., we don't need to do anything else, because in her mind, it is working. >> look, i hear you, i think there's smart people who will look at this information and they have a hard job what i would describe is going on, the first six months this year, the market was good because earnings were way better than people thought, and the market was bad in q3 because the rates did mat er and they backed up and that hurt the multiple, and where are we today, i think we're close to done and we don't know when the cutting is coming, and in my mind it is not proactive cutting but when things erode and deteriorate and the fear of earnings is far greater than now maybe that will cause a sell-off and maybe you say then maybe it is the best time for small caps. and i'm not going to do it while they hike one more time. they might not cut for two years. >> why is the market rallying the way it has even well before whatever cuts would happen isn't it rallying because the fed is about to be done with the historic regime that they've

been on? >> i think that was a lot of it for the first six mons of the year goldilocks, the earnings are still okay and you're dreaming they're done heighting and the accommodation is coming some day. and as long as the earnings are okay and you think they will grow this year versus next year, why would you not be bearish on equities that's the point we're making around here. 70/30 bullish because people are hine and they didn't come in this year overweight equities, they liked bonds more. they didn't own enough tech. and it is a classic november, december setup and we'll see what happens in january and right now, the earnings is okay and the fed is close to being done that is a pretty good cocktail. >> you are putting together what you call an inverted curve play book and some people would say that means you're closer to a recession because that is a precurser to the recession what is that in your mind, the uninverted play book, what does it look like. >> i think all of us have thought for a while, man, that two year yield looks nor

attractive than the 10 year. i know very few individual who say i will buy the 10 year and hold it to duration. the two year, you might. if it backs up to the two, it is not bad. ultimately enough demand for the two-year, we should uninvert and get the normal shape with the 10 year above the 2 if that happens, you will probably get a bit more of a classic value play upholding for a little bit we'll see. that value is so much growth, and it might not drive anything but you could get energy working again and a little bit of a dip in the bang. >> let's go there. because of the names on your list, of candidates for outperformance, it's halliburton, it is slb, it's marathon, it's a lot of these stocks, it's valera, a lot of these things that have been working. eog. >> yup. >> apache. why? why is it going to work now? >> look, very tactically, the trading part of me which i would say is a very, very small part of me, worries about how the stocks have acted in the face of

a couple big deals with chevron and hes and pioneer, and i would like to see those stocks, and i think energy and recession fears have hurt oil in the last five days the thing i can't get my head around it and probably have said it two, two and a half years and probably the next five or ten, we cannot produce enough oil to where demand will be five, six, search years ago there is no way to get that much more so demand will exceed supply and one, three, five, ten years. if we're looking at a demand recession, you want to own the stocks the next five or ten years and massively outperform the s&p 500, damn straight they are, and if you want to be cute and tight for three months, go for it and i will look back and i will massively outperform the whole time. >> are you calling a bottom in regional banks like bill gross did in the past, you know, 10 days or so i mean you must be if you're suggesting regents financial, huntington bank shares, citizens financial. these are a lot of the ones he said he was buying >> they act well -- look, i do

think there are stocks like that, truist is another one, where the trice got so low - >> another one he bought. >> and if you look and say this is a real bank in a good region with a lot of, not a lot of credit problems and commercial problems, it is probably a good risk/reward. the next market leader for the next five years, no, but i think it is tactically oversold if we get an uninversion >> we have our next guest on the program. are we in a better place overall, for stocks, right now >> well, we're certainly in a better place than last month, and you know, we talked about this last week, the mutual fund selling was over and since the beginning of november, that seasonality has kicked in, right and i mean the nasdaq median return, since 1985, is almost 4% i think we're up almost 4% this week and so i think that seasonality is real. it's not just some made-up thing. that will continue, and i will say, i think the s&p will close

over 4400 today, and so i think we can grind higher to the end of the year, and which is what we would expect, with seasonality, but i still think these treasury options, which really none of us have ever focused on for decades, are going to continue to be a narrative that we're going to have to deal with, because once again, that 30 year option was really weak, and don't forget, international, we have sellers, and the fed is a seller, so i think that is going to continue to be the seesaw between the other inflation date that we get, is what happens when these treasuries options, because we are going to have a truckload of supply, for the foreseeable future so i think that's a risk that we haven't had to deal with in decades. >> hey, i struggle with the supply argument myself, because in the past, i have heard ha argument a ton, and then with risk off yields go over anyway, and how do you think about that? i'm on two minds i feel like you might be right, right now on the supply and on

the other hand we've seen supply come on qe, one, two, three and then every other time and then yields could still go lower. >> we're in qt, right? first of all, we're in qt. and if you look back in time, we had a failed treasury option one time in the '70s, so it is not without precedent. and so what it is also without precedent is we've never had this type of spending pre-recession. and so i just think that the market is clearly telling us the treasury market is saying, hey am i compensated enough for these yields and are there enough buyers in aggregate? we don't know because international buyers have really cut in half over the last few decades. so it is not like the base case, but it's a metric that we are going to have to tackle, and i think will create a weight, somewhat to the upper bounds of the market, and maybe not this month because i think we have this thresh of energy on the positive side but we will have to deal with over the next three and six months. >> what do we do with the cautious, clearly, here, brin, and others, the cautious are

still cautious. >> yes. >> the bullish are still bullish. what breaks either side? what event is it is it something before a cut do we literally need to wait that long? >> i think right now, i don't have a clear view on whether earnings in the second half of 2024 are accelerating or decelerating right? we know that the market is, let's call it three quarters anticipatory of that, and whether it collapsed last year and the market got killed before that, when the market -- i think the challenges, we don't know whether or not the earnings will be good second half of next year, and they kind of look flattish, so we don't know if they're accelerating or decelerating, they look about the same level, so the market is kind of fits and starts, with flows, whatever, to get 5,000, or whatever, kind of get nice outside the equities, we have to believe that the earnings will accelerate next half of next year and higher in 25-24, and i think it is a little too early and to understand the economic path a little bit later. >> brin, when does it matter

i asked at the very top of the program in the opening read, does make a difference that the rally continues to be led by the biggest stocks in the market that's the way it has been people and people throw shade all over it but the market still goes up. when does it matter? >> i think the last time that you saw this much of a spread between the s&p and the small caps was like '99, so you know, that can just be a data point, but i do think it matters, but i also think that you have two different things happening on the mega caps, you actually have durability of earnings, and they don't care about the 10-year. they don't need to go to the debt markets so between the durability of earnings, they have a macro, they have a tail wind of ai, especially with microsoft, google and meta, and amazon, the small caps though, at the same time, you have a lot of regional banks, small cap value, they are definitely interest rate sensitive, so we're in a unique

period of time, where i can totally get the reasons why small cap in general are not doing well, because they are absolutely interest rate sensitive, and i get why the large caps -- ultimately though, i do believe in a healthy market, you need more than just seven stocks, and yes, i can run a screen and find other stocks that are at 52-weeks high but tell me one person with has all of those stocks in their portfolio. nobody right? so in general, i do think you want more breadth in the market. and we just haven't seen that. and so in the meantime, if you want to have returns, you better own the q's in the s&p 500. >> how do you address that >> i don't actually -- maybe, first of all, i don'ts a disagree anything w-anything bryn said, she as usual is sensible i think on the small cap side, i would say i don't think they're as cheap as the optical chart on the cap versus equal weighted universe, meaning they're not as cheap because when i peel it back, mega cap growth is expensive, 75%, and so is small cap growth

small cap value, also. and the quality, it is more expensive but way higher quality. more free cash flow. higher margins than the group of small cap quality. so when i adjust, for the gross profit, it doesn't look like small caps are that attractive on the valuation front, it is not near as the 1999 trough that she mentioned. but i think the point she mentioned, the rate sensitivity, and earnings trajectory, and margin profile, et cetera. i think you own small caps when you're way more nervous and you really have to pinch your nose and we're not at nose pinching time right now. >> when do we break the cash is better, bonds are better, or at least a reasonable alternative, as good alternative? when does that break as rates need to come down >> yeah, probably just the front end of the curve has to come down so you can't say all right, the two-year yield - >> cheap, right, equity? -- >> that's part of the equity, demand for the two year and you can say all right, now all of a

sudden, there are real karngs lot of stape ams that sold off because of rising rates, and obesity fears, but when you look at it, i think you have pretty good earnings when they are 25 times earnings when they were 28 times. and you will start get the argument that the equity offside looks a little bit better than the guaranteed bond return so maybe we're not there yet but for me, for the first time in years and years, i don't find it that offensive to buy some of these pretty high quality expensive defensive stocks. >> yeah, bryn, how do you feel about defensive stocks and then i want your take on energy but i'll ask you separately just give me your view right now on the defensive names, the staple the, the utilities, as rates come down, utilities start to look more attractive, although frankly not today. >> not today going into the beginning year, health care, utilities, were very expensive relative to history. i definitely say so staples, if you got rates starting to come down, are interesting. but also looking at the staple, the top ten in the staples index, like walmart and apple,

basically have the same p/e. so which one do i want to own? i think i would still want to own apple. so they're not that cheap relative to looking at other names on the tech side, so i wouldn't be buying those today, because of their incredibly cheap, i would actually stick with an apple, but chi actually make the case, could be a staple >> yeah, i meant more like coke and, you know, kem be-- kimberl and proctor. >> and jack and coke became 20% cheaper. >> you gave us a view of what you're going to be doing >> it is almost 4:00 >> exactly. >> bryn, so adam gave us his list for his uninversion plays and it is littered with energy stocks which is right in your wheelhouse, which have been dreadful >> yes. >> lately, right energy, i'm looking here, down 4% this week, down more than 6% over a month

how do you defend this pspace here >> well, it's been an underperformer dreadful i think is an overstatement. there are some individual names sha that have been dreadful. listen, when you aggregate these names, the free cash flow yield of the space is still above 9% and that gives, i mean that's a real number, and i think it's going to take time, and i will say 02021, 2022 were blockbuste year force energy, than has been a year of digestion we'll say, and so i think going forward next year, energy, i feel remains between that 70 to 90 dollars, these companies print cash, and so i think you want to stay with these names, and i like rspg, which is the equal weight, and also diamondback, it is up 15 for the year, energy transfer is up 10 for the year so i think you want to pick your spots but if you want free cash flow yield, you're going to have to buy the energy names.

so i thought what adam said was spot on and that's where you want to have a position in your portfolio, absolutely. >> i was thinking that was too harsh. >> i will have to agree. dreadful >> best performing sector in q3 and sold off hard, as everything else has ripped. but it is about horizon. am i sure i want to buy it between now and year end of course not. how can anybody -- it is a 19 variable problem with so many things that could go wrong but if you're looking out, how can you produce the barrels demanded you cannot maybe one thing that demand exceeded supply that it didn't go up. in your personal account, if due own a ton of this, i will remind you every time i see you until you get the full position. >> bryn, the last word, you are down in houston. >> don't mess with texas >> exactly. >> i get it. >> i guess it. >> bryn has to go out in public. you can't hate on energy stocks. >> hey, listen, bull markets are always more fun than bear

markets and let's hope that lasts until the end of the year. >> we'll leave it there. see you on the other side. thank you. let's get to the question of the day. what will the fed's next move be another hike the next move. another hike or a cut you can head to @cnb closing bell. top stocks to watch. kristina partsinevelos has more. >> trade desk is having the worst day in a year, after the disappointing fourth quarter guidance cautious advertisers and certain verticals including the industry's impacted by recent strikes, like media and auto shares are off over 16% right now. plug power heading for the worst day in a decade after hitting the lowest level in three years. the fuel cell company posted a larger than expected loss with a big miss on revenues saying, unprecedented supply challenges in north america at least four analysts just this morning downgraded the stock and the shares are off, 42%.

scott? >> erica. >> sorry. >> i had a little extra product a little unruly. >> my bad. >> i let the big secret out. >> appreciate it thank you, kristina partsinevelos, see you in a bit. just getting started here, up next, making sense of the momentum the tech sector, 10 of 11 positive days. and we have more on whether there is still more upside from here live from the new york stock exchange, you're watching "closing bell" on cnbc

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session highs, nasdaq up nearly 2%. mega cap tech getting a big boost today. microsoft and apple both up 2% microsoft is at an all time high, as we mentioned earlier. malcolm etheridge, cic wealth. good to see you. >> yes. >> good day for you to be here amazon, apple, microsoft, these stocks are running again, among your biggest holdings. >> and mega cap is the default trade but the point you made about microsoft, the all time high and the new default safe haven trade, and it used to be apple, any time the markets got rocky, everybody dumped into apple, but with apple revenue down, what, negative 1% i think last quarter, microsoft up 13%, the new default trade is obviously becoming microsoft. >> is this justified, do you think, the fact that this is where the money keeps going? these stocks keep getting pushed

higher and in some cases the valuations are moving back higher >> i think so. if you consider the fact that apple, i'll use skpkly a specifically and i'm beating up on them, a lot of it is the past glory, the iphone story, it is what they've done in the past and what microsoft is talking about is what they will do in the future and i think when you consider how valuable these co-pilots could be, to enterprise clients and apple, i will continue to pick on them here, everything they do is consumer-facing, for the most part, and where microsoft gets enterprise clients so who is going to spend in a potential recession? enterprise is not necessarily the consumer, and so we will have to find somebody who is going to be that lead horse in the race it makes perfect sense that microsoft with the position they have with open ai will be that lead >> you have been throwing some shade on apple lately, have you not? i mean with the idea that they need to further diversify themselves, away from the iphone, even though i feel like they've already done that with their services business and with the quality of their installed

base, which i think you can make the argument that it is the most powerful in the history of certainly a technology company, a consumer-facing technology company at that. >> let me say first, i do appreciate apple and its brands. it's got a very, very valuable brand. there is a ton of trust out there. especially with gen z and millennials. so they can break into a lot of different industries that most people can't separately from that, what we talked about, services, one thing that is less reported in services revenue with apple is the fact that they booked something like 200 dollars per handset sold, as services revenue, from each iphone. because they think that the i message and other features built into the phone had some value and that's just fancy accounting, right? so that 20 whatever percent the services, it is accounting for, and it is partly iphone once again. so double dipping in a way and i am not knocking apple in the sense that i don't think they can re-gain their stance, but i think near term, microsoft is about to supplant them as the most valuable company. >> now we made a lot of when you

sold alphabet, right, and then when we had an interview at schwab, impact, in the midst of a reasonably big pullback for tech, you know, and you were throwing some shade back at me for giving you grief about that, the moral of this story is that it is really hard to trade in and out of these names >> yes. >> as they continue to prove do you regret getting out of alphabet >> i don't i think long term, there is no way alphabet can participate in this ai wave that we're talking about, where microsoft is going into enterprise with these co-pilots, and google's number one product, or alphabet's number one product is google, and it's search and it is 90-plus percent of what they do. you have to cannibalize that business in order to lean into ai the way that microsoft has leaned into ai, and i just don't see how that is possible. >> give me your interview before i let you go, just where we are overall, in the market, and yes, it is being led by mega cap, but like 44, we're over 4400 now on the s&p 500, and we thought we would be here 10 days ago, and we had a lot of issues in front

of us, we sort of got over these hurdles, you know, individually, and here we are. how do we, where do we go from here >> there is a lot of catch-up trade happening a lot of portfolio managers that missed out on the tech trade in the first couple of quarters of the year and so this is their opportunity to lock in some of those names and say i was here all along, but i think within the next two weeks, our knees start to buckle because jerome powell has made it very lear that he intends to stay focused on cpi, stay focused on getting back to that 2% number, and i think the bread crumbs that he is throwing out there lead to, we might actually see another hike here, and if there is another hike, all of the confidence we've been seeing the last few days in the market goes out >> that's a big f very big if. malcolm, good to see you again. breaking news, we have so much focus, ayman on what the fed chair is saying and the former fed chair, now the treasury secretary janet yellen.

>> that's right, scott take a look, a live look right now, janet yellen is giving a press conference out in san francisco, talking to reporters about her meeting with her counterpart in the chinese government, she has been taking questions for a few minutes now, in san francisco, and covering a wide range of topics, and coming out of that meeting with the chinese delegation, among the things that she has said that the united states delivered a message to china that it is concerned that chinese firms, possibly without the knowledge of the chinese government, she said, are helping russia evade sanctions, and helping to boost the russian defense industrial sector she says she wants the chinese government to crack down on that she said the u.s. has specific information about which firms are doing what and that they plan to send that information to china, they would like china to crack down, but they are prepared to impose additional sanctions on those firms she also said they had a productive discussion today. she said it helped set the stage

for the meeting between xi jinping and joe biden next week in san francisco and she said she expects to travel to china next year, sort of the opposite end of this visit, with the chinese delegation, coming to the united states janet yellen was also asked about chinese holdings of u.s. treasuries, just in the past couple of moments, and she said that the united states doesn't have specific information about how those holdings are being handled by the chinese government, but she said it would not be surprising if they're running downtheir treasury holdings to some extent, to support their currency domestically. so a whole range of issues being discussed here, and janet yellen also said, scott, that she expects that the chinese and the united states will now communicate a little bit more formally, and effectively back and forth, they're going to have a regular cadence of communication on economic issues scott? >> a bit of a change interesting to watch the reengagement between these two countries and again coming toward the meeting with

president xi and president biden. thank you for the latest. coming up, technical strategist jeff degraph explains why he sees more upside ahead to this market and reveals the one hot stock he thinks investors ou bfosi on right now, and selling, he'll tell us next. (vo) while you may not be running an architectural firm, tending hives of honeybees, and mentoring a teenager — your life is just as unique. your raymond james financial advisor gets to know you, your passions, and the way you help others. so you can live your life. that's life well planned. ( ♪♪ )

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got a little ramp here that's why we show you the animation that says session highs. that's where we are. look at the s&p 500. 4412 getting over 4400 again today for the first time since september, hasn't closed above that level since then. what a gain. 1.5% really carried by mega caps today. 2%, apple. microsoft, new all-time high better than 2% alphabet approaching 2% as well. meta, better than 2% nvidia, 2% nvidia is up 7% in a week. that's been the big story. as mega cap tech has really carried this market. dow is good for 374 at the moment, too, 34,265.

so we have a rally on our hands here, as we finish off a positive week. the latest move puts major averages on track to finish this week here to discuss with us jeff degraff of renaissance research. you were looking for a move like this you were more positive than most what led to you be so and where do we go from here since you like other strategist are theoretically looking at the same charts. >> i think it is a combination of things, scott we tend to prioritize the factors that are important, one of the big ones for us was these real yields were at a level historically very over-bought and we thought there was room in the bond market, particularly from positioning, for yields to soften and because of the sensitivity that we've seen, for equities, to those yields here, particularly in the last six months, we thought that that was going to clear the way for a

pretty good year end rally what is consistent with the seasonal trends that have been in place since really the early 1900s, and we had few oversold conditions and a market that was trying to consolidate some of the gains from july when there was capitulation from the bears. we went into that third quarter, and it was softer, but to us, that really looked like it was kind of a normal consolidation, setting up for a good year-end so far, so good. >> yes, i mean but aren't we now overbought how quickly things change. >> yeah, we're not quite there yet, but you know, we're -- my concern is, we've had these days, and i think today is a 80%, 82% advancer day. that is not a bad number but not a spectacular number either. the good news about this is we've-several of these, we've had, i think the fourth or fifth you know, mid-80s in terms of breadth which is a good sign, we like to see a little higher than that and you're right, i mean we're going to get to 4,500 and i think we have a real test on our

hands because we're not seeing the broadness and two things i'm looking at, one is the all world index, and x the u.s. and that is weaker, and that actually entered a down trend back in the, the middle part of september and then we look at the russell micro cap, and that's really been the lagguard this year, and kind of stalling out, you see everything power through, and as we start to see these things diverge and i think we start to get ourselves into some trouble with the overhead i think 4500 between now and the end of the year particularly the with the mega caps helping and that is my concern, getting into christmas time, are we looking at the momentum or overbought and starting to fade a little bit. >> the idea of the breadth of the market needing to widen for a more healthy market, i think everybody would agree with that. the question is, it hasn't really mattered. you know, it hasn't mattered to the overall trajectory of where we've gone from, and where we are now. when does it matter? it's the question we asked at the very top of the program, and

maybe it doesn't matter. i don't know when will it >> you know, we've done some stats and i won't go through all of those, because i won't put your viewers to sleep, but generally we have a diversion, with the s&p it is in an uptrend and the berth is in a down trend, the returns are slightly below average. and it s not a disaster i think everything thinks it should be negative turns it is not that bad you look for the overall trend of the market to shift or change that doesn't like like it will happen and if we get to december 4500 and then come down, that is certainly a crick take we would be looking for, in tender of a trend change but i think you want to focus on the trend of price not the tread of breadth and that tends to be the final arbiter, and that keeps you out of the fray. and i agree you with 100%. people are looking at breadth all year long and we're looking at price trends and the internal momentum and that might be a problem at some point but let's

wait for that point to develop into the price trend themselves. >> and the price trend on disney, not good notwithstanding one day after earnings you are suggesting you would sell that? >> we have something we call optimal exits. and optimal exits are well-defined down trends that are overbought and there is a classic definition of an optimal exit. american tower another one. 200 day running average. running out of gas there are a few names in the marketplace that still look like they're better for sale for us, and disney is a characteristic of an optimal exit here from our view. >> jeff, see you soon. thank you. up next, tracking the biggest movers as we head into the close. back to kristina partsinevelos, standing by. >> wynn shares slumping. and a big year when home alone came out can you guess the year

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a look at stocks during the "closing bell," with kristina partsinevelos. wynn missed efforts, in the lucrative segment, overshadowed a strong earnings report and several analysts see opportunity with deutsche bank saying bye. and shares are down 6%

the maker of diageo, and beer sales and profits in the first half of the fiscal year could be worse than expected. they said it is a laggard. cutting back, or seeking to look at regions with 11% of total sales. shares are down 11.5% and on pace for the first day since 1990 scott? >> thank you very much kristina partsinevelos. last chance now to weigh in, on our question of the day we asked what is the fed's next move is it a hike, or a cut @cnbc closing bell next. the results after the break. 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

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all right, question of the day, results, what will the fed's next move be the majority of you said, another hike 57% of you think that. straight ahead the semiconductor surge with the group having its best day, in more than five months we're going to highlight the names driving that big move and explain what has investors so bullish on that space today, and we told you about nvidia, that and more when we take you inside the market zone. (adventurous music) ♪ ♪

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we're now in the "closing bell" market zone. mike santoli is here to break down the crucial moments of the trading day and two outperforming groups today, with kristina partsinevelos, with the surge and names like nvidia has done exceptionally well this week mike, i turn to you. one heck of a move having late day. 13,8100 on the nose on the nasdaq and close above 4400 on the s&p. >> we will and also close back just a little bit above that, a couple of other targets we had insight, which was the 100-day average and also from september 20, keep saying highest levels since september. september 20th, we kind of fell off the cliff. that was the september fed meeting day, higher for longer was pushed in everyone's face and we got the new dot plot and rates the next day, the 10-year went from 437 to 448 big move stocks down. we've been dealing with that kind of dynamic ever since i do think it is worth emphasizing, we are higher now,

on the s&p, than we were when the 10-year treasury was under 4-4. so it is not a tick for tick move most of this week has been kind of digesting and waiting and resting and letting some of the less advantaged parts of the market pull back a little bit. i feel like they just barely averted rollovers. you know, in terms of regional banks and in terms of small caps and we'll see if this in fact makes people feel as if last week's low is really more cemented, as a likely base, but that's 4100. >> i mean, if you will, small cap, the russell is down, where everything else is up quite nicely the dow is a little bit shy of 1% it hasn't beens a strong but nonetheless, that's where the pain point is. >> it is you can't really grant small

caps any predict able power. and looking at going down and not responding to any kind of valuation support and anything like that, and that's the fix we're in a little bit. do you have a lot of year end tax flow selling on the way. and this we will have a monster effect january rally but we will have to wait. >> we are approaching the closing bell here on the new york stock exchange. and the new york stock exchange is acknowledging vets day and many service men and women on the podium, and some of them are making their way toward the front of the exchange here now, as we have everybody here, men and women in uniform we will watch them at the close today. back to the conversation home builders, one of those spots today, to keep an eye on >> they are. and so you know, direct beneficiary of any relief in rates, down to 7.5% on 30-year fixed mortgages and dr horton, good numbers even after they bounced hard off the lows. it's one of these groups where

we know that there is sort of structural advantages, we think that more capital discipline may have happened, and very similar really to energy companies, and airlines, where it is like no, no, it is different this time. they are not going to actually succumb to the boom/bust dynamics so far, so good. in terms of them, and reasserting a little bit of a leadership position. ironically in the overall housing market, existing inventory, it may not be great for home builders but probably better for the economy. >> the stock is back at 482 for nvidia but intel today, up near, and amd up better than 4%. what are you seeing and why? >> we are seeing quite the turn-around like you alluded to. the smh is a good barometer up 5.5. i want to start with the largest biggest chip contract ner the world. it is on a six-day win streak,

taiwan semi. it jumped 35% from setptember thanks to the strong dollar and the launch now let's switch to arista networks down 2% after its analyst day. they design networks and switches and mostly aligned with guiding with long-term margin contraction. and nvidia, it is up 7% this week, with most of those gains in the last two days, after reports in china that it successfully means three ai chips that circumvented the u.s. export rules and could mean that these chips could be shipped to chinese customers now. morgan stanley, set early expectations for nvidia earnings out november 21st, another big beat and production improvements, despite all of the backlogs you keep talking about, with cpus. you have to keep in mind, nvidia could move quite a bit on wednesday if there are any trade headlines coming from biden and xi and to your point about intel, amd, what you are seeing is a

bifurcation in the chip market, and strength in the pc smartphone trade, and intel, amd is more of the ai, and weakness analog, weakness in auto and strength in memo a little built of a divergence there. >> we appreciate it. enjoy the weekend, kristina partsinevelos, thanks for all your help this week as always. >> mike, back to you bond option is a bit of a stinger. we removed the stinger powell trying to get on top of that worked for a minute. and it raises the bar for cpi i suppose on tuesday. >> yes, i mean i understand all of the scrutiny and the attention on it, it matters a lot, and we don't know exactly what the capacity is, for the markets to absorb the supply, it is on the way. but i do think that the net effect is, yields went sideways this week. and that's basically what happened and they're down significantly from where they were so if they're not going to be willing to weigh the upside, we can sort of sort through the other fundamentals and see what matters the most i do think cpi is going to --

looking at the net effect, i do think that this market, if we get confidence, that this inflation is staying - you can probably make your peace with that. and see whether the stocks under the surface, beyond the most reliable secular winners can work. >> still have to believe that the fed is going to be patient, the fed chair, he used the word again, mary daly was on earlier today, policy in a good place. and nothing is upsetting the story to where the market is voting and you look at the projection for more rate hike, december, january, march in the teens >> yes. >> and if they finished, usually, you know, you start to anticipate the first cut -

>> we're joined now by the veterans, u.s. marine corps as well >> have a good weekend [ closing bell ]. >> there you have it session highs, with the close. the stocks rebound for a second straight week with gains and nasdaq just finished the best day since may up 2% right now. that's the score card on wall street the action is just getting started. welcome to "closing bell overtime" i'm morgan brennan johnford has the day off we will be all over the rally throughout the hour. and also ahead, interest rates with wti crude, in the third weekly decline we will have more from michael froman ahead ohi