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markets resetting expectations for rate cuts after powell's comments about being in no hurry to cut. >> i love nancy tangler's remark maybe a couple of days without fed speak, please. we have given back half of the post-election gains. investors are like, great. another that the trump bump may be fading. defense docs have had a tough week biotech and pharma getting hit hard after trump made it official robert f. kennedy to be hhs secretary. >> wow so we could talk about that piece of the reaction here when i look at the nasdaq and when i look at tech, i am specifically intrigued by how much semiconductors in general are down. >> what's going on what's going on? down 8% today. >> they missed on the guide on the top line research down, similar, semiconductor equipment space. but it's not just their arms down synopsis which does the

software for a lot of that semiconductor design not just the semiconductors. you look at enterprise software, mongodb, amazon, adobe, data dog down 4%. >> would there be a government contracting angle here >> i don't see that. i am not sure why they are specifically down. why were they up so much leading into this? but it's very much enterprise software, it's very much kind of teamwork, even marketing data driven collaboration that's down and so we'll see it's been a volatile certainly few weeks. maybe there is some just plain old profit taking or a sense that there was exuberance in the trump trade last week. >> the latest names added to the incoming trump administration. megan. >> hey, so the president-elect continues to staff his new administration at a rapid fire pace two big names today for his future cabinet, one i know you have been talking about, robert f. kennedy jr. as health and human services secretary

now, that's a pick that's not as surprising as some others we have gotten this week. solely because he had been expected to join the administration to work on health policy in some regard. it is a pick that could set up a confirmation battle with the senate either over his anti-vaccine stances or pro-choice abortion stance that's something the former vice president mike pence flagged today as he urged republicans to reject the nomination. a few other names today, north dakota governor doug burgum adds intier secretary and in the last hour he announced stephen cheung, a campaign spokesperson, his communications director. guys, we continue to wait to hear any official picks for the president-elect's economics team "the wall street journal" this afternoon is reporting that larry kudlow a former trump white house economic official is being considered for top economic jobs, including secretary of the treasury. its likely scott besset or howard lutnick for secretary

now it seems like kudlow could be making a play. >> larry kudlow. >> that's right. >> thank you president-elect trump's pick of robert f. kennedy for health and human services secretary sending shares of global vaccine makers and pharma stocks low early. kennedy has been a vaccine skeptic, criticized for making false medical claims here to weigh in on the impact on the sector, angelica, and jared is health care strategist at ms. mizzou. >> at the beginning of the week it sounded like nobody thought this would happen. talking to people, how are you planning for it? nobody wanted to talk. then it became clear it was going to be him. so i think now you have pharma companies in the situation where they are need to go think about how they are going to respond to this, what the strategy is going

forward. if you look at the stock market today, the reaction, right, investors don't like uncertainty. they don't like not knowing what is going to happen, right. and so you have agencies under hhs that are important to pharma fda, for example, what happens there? who is in charge of fda and what does that mean for the regulatory path going forward. takes careers to develop a drug, get through trials if you to don't know who the regulator is, what their strategy will be, that's a big risk and that's a problem for investors today and that's why you are seeing so much, you know, such a big reaction today. >> assuming this nomination goes through, how much uncertainty does this practically introduce, do you think, for these public companies out there? >> yeah, it's very confounding, obviously. a lot of moving parts. not really knowing in rfk is going to be the definitive choice, if, you know, if he gets through the senate here.

assuming he does though, to your question, i think there is so many variables and questions around, obviously, the vaccine complex, broader drug development, how, you know, how his appointment would impact the nih, the fda, you know, other agencies within health and human services so, you know, i think what we are seeing today is stock reactions that, obviously, reflect investor angst over, you know, just the idea of rfk in this administration at all as it impacts health care. >> and they are a wide range there is the pharma -- the vaccine stocks there is, obviously, food stocks a outside your purview does this create an investment opportunity, a pull back on some of these names >> yeah, kelly, i think so it's tough to say what's going to happen the next couple of weeks. we're one week into the election, and it's been as noisy

as i can remember in this sector so i don't love that as a backdrop that being said, as we head into next year, in the biotech complex continues to pull back like this i think there is a good opportunity for small and mid cap biotech for two reasons. i think you will have a number of key members in the administration that are pro-science innovation, technology, whatever i want to call it, and the stifeling of drug development that is reflected today is probably not going to be the case so i think there is some overreaction with biotech. so i would start there and then we talk about it ad nauseam, this m&a idea of more deals happening, you know, if rfk is involved, which, you know, many suspect he will be, even if not, i think pharma is up, you know, is hard pressed to, you know, come up with innovations themselves they will need to dip into, you know, the small and mid cap pool

soy think that biotech, down over 10% just this week, is a decent opportunity >> a similar question. notable to people how poorly health care is trading more broadly. the hospitals might be under pressure in they try to make big changes to medicare. medicaid providers, in that is an area they look to clamp down on costs everywhere you turn there is downward pressure and kind of in a weird way for deregulatory regime, almost regulatory pressure >> exactly fda is one to watch. also in terms of the price impact that you are talking about, don't forget that now medicare has the ability to negotiate some drug prices there has been a lot of talk heading into the election about what will happen, what will the next administration do now we have this new trump administration and robert f. kennedy has talked a lot about the idea he doesn't want americans to pay significantly

more than people in other countries do for drugs that's an idea we heard the first time around from trump now it will be interesting to see exactly how that comes up again. you know, there is some optimism that maybe the trump administration will, you know, work with congress, will push for making some changes that pharma likes now i think that's again a big question how do we talk about prices going forward, and what do we see from this administration >> jared, i get it you know, there are picks that are out there. not the traditional sorts of picks that people have expected. there are a lot of palpitations. i think about what the market did between 2016 and 2020, i mean, largely overall positive so we have extremes in hopes and fears. but practically speaking, how much do you think government policy and these picks are going to derail who is actually innovating and who is actually globally is competitive? >> yeah, i don't think it's going to change much over the long term. if we are talking about the next, you know, two to four years within this

administration, you know, does drug development change in a significant way? probably not i think when we look at the pharmaceutical industry broadly, they are always under pressure whether trump is president, whether someone else is. i don't think the biden administration was all that friendly towards pharma either and they kind of figured it out or continued to figure it out. i don't believe that, you know, massive changes are underway it's really just the concept or the fear that they are so, yeah, i think there is an opportunity to, you know, take some swings here that being said, i think it's going to be an incredibly noisy four years and this is already, you know, a very complex industry. >> that said, kelly, it does seem like last week the refrain was, trump's good for business but this week we have seen biotech, evs, defense, these areas they thought we will be good, there is a rethink happening. we don't know how long that rethink is going to take and what the considerations are going to be as that gets rethought. >> it in many ways feels like a

reorganization i don't want to call it a bankruptcy feels like there to to could be a massive reorganization how money is spent in the economy and who wins and who loses. even on tariff policy we are talking about potentially making consumers pay more, encouraging more investment, fewer ev tax credits, more goes to other areas of the economy absolutely right there is a massive reshuffling going on at the same time we are pricing u.s. stocks as they continue to be the best perform ter in global markets can that be reconciled in the next couple of years we'll see. >> yeah. >> sorry go for it. we appreciate your time. as the political drama here in the u.s. tons, we are seeing uncertainty expand to the rest of the world tariff threats on going geopolitical tensions are giving investors some pause and earlier this week carter worth told us it doesn't look good for the

msci world index where should you look? our next guest explains japan and he'll explain why when "power lunch" comes right back

japan' economy eked out a slight gain in the third quarter, snapping two quarters of declines, as the interest rate was raised remember what that did this exchange rates expect today continue the rate cycle. my next guest says this has a huge impact on the psyche of japanese consumers who are starting to spend rather than save and wait for lower future prices and part. reason he is bullish on japan, not just because he is from there. portfolio manager at the hennessey japan fund people are very bullish on japan because, look, they have taken measures to say we want companies to increase their value on the stock market. they also have this currency working their favor. but then there has been a bit of a kind of a little bit less

clarity lately what do you foresee in terms of possibility? >> well, so there has been a lot of -- there have been a lot of things going on in japan i think if i were to single out one big driver of the japanese stock market is really the changing corporate governor standards in a good way. so that is about having a strong focus on businesses capital efficiency, which was pretty much non-existent five, ten, you know, 20, 25 years ago and that's because culturally the country has never embraced western capitalism i'm not saying it's the best form of capitalism. >> is it starting to do so now >> yes. >> that's pretty significant. >> right so, it's actually the result of many different events that took place probably over the last ten years. first and foremost, we introduced corporate governance in 2014 and 2016 since then it has been making

steady, slow yet steady progress the last few years activist firms making their way to japan. warren buffett making a surprise visit, favorable comments about japan for the first time in a talk, exchanges with the directive. all of these things led to the work. >> we were talking more domestic impacts of an incoming trump administration and policy uncertainty. but when it comes to parole protectionism, nationalism, if there is responses around the globe to this, how does that sfaekt your japan optimism >> well, so i'm a macro agnostic guy. so there will be some parts of the portfolio that will be hit hard but then again there is also proposed tax cuts, as i understand to that's going to benefit japanese companies that operate in the u.s then tariffs, it's going it to mostly hit manufacturers, tangible goods

there are japanese companies that provide services and financial services included. so all in all, i think as long as you carefully elect the right companies, we can still do great by investing in japanese companies. >> what are your top picks inbound tourism, that is an example? >> right it's more of a domestic theme when it comes to inbound tourism. there is a booming japanese inbound tourism at the moment. orix is a monopoly business. they run aircraft leasing business, which is one of the -- which is the third largest in the world. then there is hotel operations, hotel property business, and so forth. these are big businesses. >> yeah. people are talking so much about how cheap great hotels are in japan right now, what an opportunity it is. seven and i, don't know about any m&a there. you have sony. what would you say about those you think this is a stock pick, you can't just hold the market more broadly >> so with seven and i, you know

what is happening with seven and i. we are also pretty much agnostic on this because this has put a solid floor under the share price for seven and you i. on the upside, there is a growth runway for seven and i because the u.s., they have the number one market share, only 8%. very fragmented. so a lot of roll-ups sony, they turn it into entertainment focused conglomerate the last ten years. they have a lot of intellectual property assets. animation. music rights gaming titles and so on. and these are attractive businesses, in my opinion. >> all right thanks for joining us. appreciate it. >> thank you. well, here in the u.s. trump's america first push is driving many investors to rethink their playbooks. quell get to some reassuring ow lchisacxpt.ay's eer

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continues. the nasdaq down 2.5% meantime, president-elect trump says he wants to cut back on foreign imports and bring manufacturing back to the u.s. which companies and sectors to see the biggest benefit from reshoring? my guest has some ideas. head of u.s. equity strategy at society general. great to have you here everyone has been diving and combing through these companies. which ones most jump out to you? >> well, thanks for having me again. what trump admin is about, two things lower taxes. it's lower regulation and it's lower -- you combine these things together, it will pick up in the u.s. further. now, how you try to see what are the trump trades and how the reshoring pits into this, i think it has been -- you know,

whichever you try to see what, you know, what comes up together trump is focused on america first. he definitely is focused on bringing manufacturing back. how do you do it i would say republicans, trump 1.0 had a lot of organic things, not many politics. biden, you know, the democrats gave policy. now trump 2.0 is promising a lot of tax cuts and bringing the idea putting -- and that's making again companies to think again, you know, on a basis -- >> i don't know if we have this flipped on the graphic the trump bacht is outperforming the s&p. what are some companies in there can you give the audience some ideas? >> yeah, a country goes out and starts this -- the manufacturing, you know, what you need you need energy and manufacturing in the sector. you need payroll companies you need rail, trucks.

that's a big part of it. so iould say instead of going stock by stock, the key thing is mid cap industrials, some of the domestic, very domestic u.s. industrial companies domestic supply chain doesn't do that, the ones you want to position for i think it's very interesting that, you know, what you see democrats could become 2.0 the u.s. has deal with china, that's a key point they want to be with china that job is done you know, this team is, you know, there. with us for long term. >> it would suggest that headline risk from china is lesser so mid cap industrials you think one space in particular people should be combing through. thanks for joining us. appreciate it. market navigator. still to come, talking politics, the consumer and more with power player and real

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welcome back to "power lunch. i'm bertha coombs with your cnbc news update. president-elect trump naming campaign spokesman stephen chunk as his white house communications director. known for dom bat i have presence on social media served as a top press aide for trump the past two years and worked on his 2016 and 2020 campaigns. democratic new jersey congressman gottheimer to become new jersey's next governor it's expected to it be a crowded field with current governor democrat phil murphy unable to serve, serving his last term due to term limits. and adidas has signed its first name image of likeness deal with a high school girls basketball player. kalina smith, the 16-year-old sophomore from california is ranked as the top recruit for the class of 2027. she has already received offers

from nearly 20 colleges, including usc and the university of connecticut kelly, so exciting to see young women in srts getting this kind of recognition. >> i know. i am supposed to be excited. i am still getting used to it, all the money pouring in for young kids good for her i would love to see what she is up to. a check on the consumer. we enter the holiday shopping season retail sales in october up 0.4%. next week a bunch of key retailers report, including walmart, target and tjx. for read, rick caruso is the founder and executive chairman of caruso, one of the largest privately held real estate companies in the u.s., especially with major prorpts in southern california. it's great to have you back. the first time we heard from you post-election. welcome. >> good to it be here. thank you very much. good to see you. >> are there animal spirits and hopium in the air or is that just a stock market market thing, at least until today?

>> i don't know what that means. so you got me on that one. >> are you excited as a business owner? is it going to -- i was going to say tax cuts i don't even know. there is -- i guess personal taxes maybe are going higher i don't know >> listen, i think it's an interesting time for sure. we are living in annal interesting time from the consumer standpoint, retail standpoint, it's really great. you just talked about the numbers that are up. but on the ground, on the properties, what we're seeing is continued growth both in sales per square foot. we are seeing continued amount of people on our properties, and a strong demand for retail space, which to me is the best metric and we employed a strategy that's paying off and we've got double-digit growth this year. so i think the consumer is in great shape. i'm excited about that i think everybody's going to be excited about going into the holiday season. >> does that surprise you, rick, that we are in as good shape as

we are after everything the federal reserve has done i don't know if they will be able to keep cutting rates here? >> yeah, i don't know if the rate cut is going to really impact the consumer that much to be honest at this point. here is that you have. two-thirds of americans own a home home values have increased so people that own a home are feeling wealthier. the stock market is at an all-time high for the most part. people in their retirement accounts are feeling wealthier and they are spending. the majority of spending is happening at the high end. it's really at all levels. so we see at our property the luxury sector is doing very well we have some luxury tenants up 30% in sales also, the gen-z, which we have focused on, because they love these shopable experiences and they are into shopping with their mom and family, we have retailers in that category doing 4,000 a foot and in the middle you have aspirational that's doing well the lululemons, the sephoras

so if you are a best in retail class, i think you are going to do very, very well in the consumer is going to reward you for putting out the product they want and the experiences they want to enjoy. >> what if you are not -- you mentioned aspirational lulu has hit some headwinds lately we keep seeing data numbers suggesting that a lot of consumers, especially the working class consumer, is putting more and more on the credit card and is being more and more pinched by rates that are higher for longer. how long do you think before that starts to show up in the broader environment, and maybe even starts to affect the lower end of that luxury cohort? >> yeah, and it's a good question, john on the lulu question, you have a lot of competition alley yoga, all very competitive and giving lulu a run for their money. i have confidence in the leadership at lieu they will figure it out. i believe in that category it's not going away.

it's only going to grow. in terms of the consumer, you are right. more is being put on the credit card or pay late erpt. the rate drop that the fed would do won't affect the credit card rate that is going to break at a certain point. when, i don't know but you can't continue to be racking up, you know, debt running at 20% right now what we're seeing for the foreabsentee seeable future is spendsing will continue, people are feeling wealthier, and i think we are going to have a really good first quarter. >> how are you gang the impact of potential tariffs on the retailers that do business with you and therefore on your properties >> it's going to be complicated. i don't know all of the ramifications of it. i hope it doesn't happen i hope it's a negotiating tool that trump is using. but it's going to affect the supply chain it's going to affect deliverables i think it will create retribution.

i don't think it's a good scenario for the retail category at all. >> and what else, rick i mean, i was looking at your site and looking at your properties you have a membership opportunity. is that right? is that something that people sfiend a lot of value in what are some of the other business models at time when walmart is in streaming and -- retail is becoming a platform, seems to me, and a kind of an omni-channel almost media experience and less so of just the model where you just walk into a store and buy something. >> i agree it's more and more of a commodity. so you have to differentiate yourself we believed for a long time and we are leaving e leaning into more is everything has to be surrounded by an experience experience everything has to be surrounded by safety. everything has to be surrounded by creating an environment where there is shareable experiences, you want to come with your family, increasing twel time relates to sales so you have to create

environments that are very compelling to get the attention of the consumer and to shop on your properties. so why are our properties doing double-digit growth where our competitors, the indoor malls are suffering and more and more closing? they don't know how, maybe it's impossible for them to deliver a compelling experience. >> okay. >> and that's what people want we will deliver that and continue to be innovative in that category. >> what is the impact going forward of technology? went through this phase where people were thinking about e-commerce, all or nothing in a way i think we are even through the omni-channel phase i think we sort of digested that now we are talking about artificial intelligence, we are talking about metaverse sort of stuff. people still like compelling, you know, experiences in person, too. how are you planning for gaming out the impact of these emerging technologies on retail in the physical experience? >> we have a whole group in our company focused on that. i think we are working with the

best and brightest on outside consultants. that, we are going to use it to deliver the welcome, the experience, and the frictionless opportunity on our properties. how you are greeted. when you arrive towards the property we greet you. we know what you like to buy we let you know where it's at. we reward you for coming on the property caruso signature is that base and that platform where we're going to be delivering that. so if you are driving to one of our properties, john, welcome. you will be here in five minutes and you are parking on level 2 we are holding a spot. we know you like your morning coffee and it's at concierge waiting for you. this afternoon apple is having a program that you can go to we reserved a seat it's that kind of experiences that will be compelling. and we're tying that into our resort and we have these ecosystem of customers that you are a part of the that car aso signature program. you are getting rewarded to be on our platform.

and the more you spend at the grove, you get free stays on the beach at the rosewood. and that's how we want our customers to be a part of this platform that we created live with us, shop with us, resort with us, diep with us and we reward you and thank you for doing that in the best of ways and make you feel special. >> genius. >> every moment of the visit. >> i will be left out. those of us who show up at the store with 15 minutes to spare, forget it. it's over. but i think everything you are doing is right i think it is a glimpse into how retail is revolving. i think john will enjoy it. >> you made me feel special, rick i look if forward it to it thank you. still ahead, small caps the post-election rally might be taking a breather. our next guest has some under the radar ways you can still get returns. and as we head to break, cnbc is

extending the deadline to nominate a leader for our 2025 change makers list it recognizes women transforming business and philanthropy. the deadline now ends this monday that's november 18th you can scan that qr code there on the screen or visit cnbc.com/changemakers. "power lunch" will be right back crypto watch sponsored by grayscale. (♪♪) “the darkness of bipolar depression made me crypto investing begins with grayscale. then i found a chance to let in the lyte.” discover caplyta. unlike some medicines that only treat bipolar i, caplyta is proven to deliver significant symptom relief from both bipolar i & ii depression. and in clinical trials, movement disorders and weight gain were not common. caplyta can cause serious side effects.

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anything can change the world of work. from hr to payroll, adp designs for the next anything. ♪ welcome back to "power lunch. stocks continuing to move lower following the post-election rally, especially again the nasdaq today down 2.5% pacing for the fourth straight down day. it joins the s&p as the two track for their worst days since halloween. the russell 2000 also in the red, down nearly 4% for the week it's the small cap space that our next guest is turning to for opportunity. specifically small cap banks more, let's bring in dory wiley,

president and ceo of commerce street moldings. even though we have had a rough week overall in the markets, you say that we should keep swimming with this post-election market rally why? >> the market is pouting because jay powell came out and said, hey, ppi is up a little bit. and the cpi is a little bit sticky we need to be cautious about raising rates. so i still think he has a cut bias, if he can do it, but the market has tapered its expectations and i think it should do so on cut rate having said that, this market still has plenty of room to run and doesn't need rate cuts to do so it's earnings. earnings are there they have hung in there for the third quarter and the growth expectations and performance of earnings moving forward are actually quite good, and i expect to see some good rotation in the small caps and banks are a good place to play. >> okay. about those banks.

if i can put on my skeptical hat, the kre is over65 right now. nearly doubled from the post-silicon valley bank lows. maybe even getting into that, you know, 70s territory, which would be all-time highs. it would be great if you got in, like a year or two ago, but why now? >> well, some of us were i don't think it's time to settle yet i think it's still good. people have been afraid of small caps i think there is good reason for that a lot of small caps aren't profitable, too levered and the rally will be sustained on good profitable companies, not on hopes and dreams well, small cap banks are a good place to play. they managed their asset liability risk which took down silicon valley and some of these others it's a big part of the equation. they are growing a lot of banks, several that i like, hold big capital positions. higher capital ratios than the

money center banks and they are growing, book value per share, earnings are expanding. now we have a friendly regulatory environment where we can get m&a activity going i expect valuations to increase with that. >> dory, it's kelly here third coast bank is a pick, up 72% this year. what's driving that and where else do you think is a good opportunity? >> that was a sleepy find out there for a lot of people. full disclosure. we are a big investor in that. it's a great bank. in all of the major markets in texasel texas. we know the attractiveness of texas. they have a nice stable margin running a high capital ratio they have the highest growth of tangible book value per share of any public bank in the state of texas. that matters at the end of the day. you grow your tangible book value and it works it's a is it's still a buy only 12 times forward earnings so there is still room to run for that.

>> all right and i know you are looking there more than the bigger banks because you know so much about valuations, when you look at the run in gold mans, other investment banks, so farther, do you think among the top banks and maybe some of the money center banks they could be good holdings >> yeah, i'm a pause on the big money center banks i think there is more room to run on some of those small caps, simpler models, easier balance sheets to manage, third coast, for example, has a positive gain in its aoci versus losses in the securities portfolio much more attractive, you know we also have trust mark and efsc up there similar stories. very dominant banks in their markets. >> all right thanks for joining us. >> thank you turning to the bond market now. the ten-year yield is pulling back after hitting 4.5% earlier

on rick santelli with more. how much of this is powell driven >> you know, think there was a bit of it powell driven. my issue, we could make it powell driven, but really investors need to use their thinking helmets cpi was a big warmer ppi was warmer do we need fed officials to tell us that will have an influence on future monetary policy? of course it is. so, to me, the surprise was so how well markets behaved when we actually saw the numbers seeing it jump up when powell pointed out some of those issues, that wasn't so surprising to me and if you look at today's data, and i know you talked about it with previous guests, empire was super strong best since the end of '21. even though retail sales outside the headline when you start to strip out autos and gas, wasn't that great based on expectations but when you factor in the -- it was good, import export prices up it made sense that right at 940

eastern we touched 4.5%. we haven't closed above 4.5% since may, and if you look at the chart for the week, at 441, up nine basis points on the week, even a two-year now hovering at 429, up four basis points on the week so treasuries continue to move higher if you look at the next chart, the dollar index is by far the darling of the week. closing at levels we haven't seen since november of last year as you look at that chart, i want you to realize something. the low for the year in the dollar index was at the end of september. mid-september the fed cuts 50 basis points the beginning of october is really when that chart starts to go wild. that was the big jobs report and even though the last report was quite iffy, that changed everything whether it was interest rates or the dollar index. like the last guest said, sticking with post-election

trades, even a correction, i would think that interest rates will be firm you have to think about how that affects equities and supply. on wednesday we have 16,000,000,020-year bonds. that's not going to focus everybody's attention the way a three or ten or 30-year does supply always the fixed-income markets pay attention. >> maybe next week we should do a thing on whether we should have turned out the debt the last several of years. the discussion is becoming up as we await a treasury secretary. >> absolutely. friends of cnbc, it was interesting to hear so of these whispers that maybe larry kudlow is in the running. >> i know. they have appeared -- he might be whispering not so much. we will see. rick, thank you. have a good weekend. pharmaceuticals, defense and chip stocks among the worst performing sectors this week a name to buy in three when three stock lunch happens next

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welcome back it's time for three stock lunch. now, we asked our tradetory look among in weekies worst sectors

to find stocks to buy, semis, defense and pharma are having a pretty rough week. here with the trades and some picks in each one lee moniesk, president and cio at portfolio wealth advisors. excited to check in with you post-election. thanks for the time. let's start with pharma. you chose eli lilly, which is down 10% this week some think that rfk is no fan of the glp-1s you're a beyer >> i don't i don't care lilly is down 20% from the peak. this is a great opportunity to get back in. i sold lilly earlier this year because i didn't understand how the price cuts might affect things going forward and i think wall street has it wrong. everybody is concerned about how men scripts they are writing we are in the first inning of a long game. it's not about just weight loss. it's about alzheimer's, about addiction, and it's that lilly has an oral thing that they are

working on for glp-1 drugs it's where the money is. does merck and pfizer have a plan they are dead in the water i don't want to do novo. lilly is the on pharmaceutical. >> we asked you for defense names. you chose aerospace player trans dine those shares down 7% this week why can you buy it here? >> my gosh, i love this company. they had earnings that came out, people were concerned about decelerating this or that. got hit, 6, 7% it's back. i love this company. it's a mini berkshire. in defense only thing i care about is arrow smas. we have to get hypersonic products, uavs that is the future it's not these big, you know, integrated defense contractors trying to sell another big expensive billion dollar airplane contract that's going down the tubes so when you are looking at trans dine, this is a company that

buys up the parts, the oem parts manufacturers and squeeze and squeeze every single value and happiness out of the companies that's a very profitable trade they run the balance sheet with leverage you play a 30 plus multiple per stock that i have a lot of conviction in. >> it's like berkshire, did you say? >> yeah. they go off and buy all these little companies they own like 40 companies and let them operate it's just a wonderful way to, yeah, it's a wonderful situation. >> listen, berkshire hits a trillion and we are always interested in those emulating it to some agree. moving to the chips. you chose nvidia it's always hard to tell if people love or hate the lead ter in any given space you like it today. down 4%. tripled on the year. down 4% today. why? >> because there is nothing else out there. you will do a de -- on micron, a relative valuation play on q calm they have the only thing that exists

so while i hate the concentration, i would rather wallow around in small cap value like it's 20 to 02, go for the 800 pound gorilla and go home. it's friday. >> lee, never fails to deliver you are buying the overall market here or no? ten seconds. >> yeah. i love the market here i am probably buying a little bit more next week but i got my buying hat on the trump pump happened. trump fade is happening about a month before i thought i think if you have cash to invest, this is your chance. every portfolio manager is going to be buying dips to the end of the year we have one right now. >> lee munson, thank you and we'll be right back on "power lunch." we've got you. with verizon, anyone can trade in any phone, any condition. and get iphone 16 pro with apple intelligence, on us. and ipad and apple watch series 10,

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"overtime. i will talk to the pretty motherer of tonight's mike tyson jake paul fight. >> this is all anyone is talking about. are you going to watch it? >> i will be out tonight, you know. >> everyone's watching it. i will be watching twitter to see what people think. >> i won't be able to avoid it that's for everybody is watching it and i'll watch twitter to see what people are saying. >> i won't be able to avoid it one way or another, that's for sure thank you for watching. >> we will see you in a little while, john. "closing bell" start right now. >> i'm scott wanpner the future of this rally big earnings loom next week and we will ask our experts what is at stake for the post-election pop for stocks let's look at the scorecard with 60 minutes to go in regulation we have been in the red all day. perhaps powell told the gathering in dallas yesterday, you saw it here