♪ welcome to "power lunch," everybody. that is the drone shot coming in

there. alongside kelly evans, i am tyler. it could be the eighth straight losing session, and have not had that kind of skid in quite a while. we will talk with loretta mester in just a moment. a little more, i would say, caution seems to be attending to the trajectory of the interest rates of 2025. >> i am scratching my head on that one. we will talk about the jpmorgan analysts. >> one thing that will affect that sector is the labor market and what happens with respect to immigration because many of the people that work in that industry as builders are immigrants, so we will find out. plus, the grinch bots that stole christmas, the same thing we

have happening with concert tickets, driving up prices on the secondary margin. this doesn't affect me. >> we should find that out. >> it doesn't affect me. we will start this big week, folks, with the fed. investors are widely expecting a quarter point cut on wednesday. the key question is whether the fed will take a pause after that. in an article out today, "the wall street journal" raises concerns the fed could be going too far, and apollo global management chief analyst says the fed may have to raise interest rates next year. here to make sense of it loretta mester. professor, governor, president, welcome and good to have you with us. >> thanks, and good to be with

you, tyler. >> i will anticipate you expect the fed to go a quarter point on wednesday, and then what? >> i expect them to do it because they have not done anything to defer that view in the markets of the public, and i think they will follow-through. then i think they will have to pause. i mean, the data that has come in since they started moving rates down and removing some of the restrictiveness policy, they have said the economy is strong, the fears about the employment part of the mandate have sort of lessened, in fact, employment is holding up pretty well, and the inflation news hasn't been very pleasant in the holiday season. it's basically stalled out over the past three or four months any progress, so i think they will have to sort of stop, you know, beginning of the year is a good time to stop, reassess things, and then see what they learn about where the economy is

headed. is inflation going to resume a downward path or not? we may get more clarity about the fiscal policy actions. >> so if you do a cut in december on wednesday and then you pause in january, you are re- really getting up into late march before the next meeting, right, so that gives the fed three full months really to evaluate the economy and in the middle of that comes a new administration. >> yeah, but that's what you kind of want to have. the fed -- the fed doesn't have any impetus right now or hurry to get back to neutral. the economy is doing really well right now in terms of the mandate goals and it gives them an opportunity to take their time and look at things. one of the other things out there is how restrictive the policy is and there's a lot of reason to think the level of

interest rates at neutral is higher than it was prepandemic, so i think they have the opportunity here to take some time to assess things and get a sense of where the economy is headed. of course, we always talk about these things as if the economy is going to look what it looks like without any shocks, and there could be more shocks into the economy now going forward and that's what they have to keep in mind, is policy well positioned so no matter how the shocks occur they are in a good position to set policy. >> so in that really sweet spot position, which is what i am hearing you say, why do anything now? why not pause now? is it because the fed hasn't really exactly prepared the markets or investors or the world for a pause yet and he may do that in the press conference or in his message on wednesday? >> tyler, i think the fed

doesn't want to surprise everybody, and frankly if they pause in december or in january is probably much less more than what kind of communications accompany the december meeting. you are right, i think the press conference and the new survey -- the summary of economic projections come out in december, it gives them an opportunity to explain. this is what we are seeing, upside recession giving more firmer inflation readings than we would have like to have seen or expected to see, and then the down side risks we started in september have eased off. we are still watching and we still have to care about that part of the mandate, but those risks have changed and that change in the balance of risks means that we are likely going to be taking our time to assess things. i think that if he gives that message in the press conference, and i am predicting that the sep

will show fewer than 4 -- four 25 basis cuts in september, and then we are assessing things, we have good parts of the mandate in focus but this is a good moment to pause. tyler, remember, they moved 50 to start with in september and i interpreted that as it was an insurance move on the down side of the mandate, and if you were at a pause in december -- if you were to pause in january, think of that as an insurance pause against the upside risks and insurance rate. >> a final question, if the kind of resting rate, it's 4.64, something like that, and you go

back to the 2010s where six or seven years we were at zero, and now we are above 4.00. what does 7 that tell you? >> the economy, the neutral rate is higher than it used to be. now, whether it's permanently higher or not, that depends. we do see some evidence that it's higher, and even the fed marked up their estimates of the long run fed funds rate. the economy has done well throughout the whole period even though the interest rates were high and even though the interest rates were high, it got inflation started on the path down. i think the economy is handling it quite well and it could be that interest rates will settle in at a higher rate. i think the nominal funds rate is higher -- going to be higher over the long run than it was

prepandemic. >> all right, loretta, thank you very much. great to see you again. happy holidays. >> thank you, you too, happy holidays. a quick programming note, all day on wednesday we will have wall-to-wall coverage starting with the latest interest rate decision, that's up to 2:00 p.m. and you will be here. >> it may start at 1:00. >> you will be revving -- >> it's going to be a fun couple hours for sure. for more on what the markets are making of the fed's interest rate actions, let's go out to rick santelli. >> so many interesting dynamics going on here. first of all, this is the sixth consecutive session we look to have a higher yield close. many wanted to say, well, kind of neutral day, we're not doing

much but yes we are getting towards 4.5%, a, and b, the momentum of the technical sell-off that pushed yields higher, and a two-year now is 80 basis points away from a tie yield close in april, and the 10-year is only 30 basis points away. that speaks volumes. let's find a trader. paul. how are you doing today? >> hi. >> we know the big fed meeting is this week and we have 97.9% chance of a quarter point ease, and there after it gets dicey. your thoughts of what you are hearing on the floor? >> in september we had interest in the fed meeting, and this time around, not as much. there's some interest, mostly forward-looking with the dots and seeing what the rate path will look like going forward, and that's -- >> it comes to inflation, and

inflation and deficits it seems like after the election many discovered this in the press, where you have been? it makes it seem like the trump administration and tariff sz what all this inflation is about, and grant it the uncertainty of that is adding to the inflation and anxiety, and there was plenty of inflation over the last six months and sticky data, wouldn't you agree? >> i agree the inflation narrative in the data sense has not changed that much, but the options markets are pricing in certain volatility in the new year based on the policies he may or may not try to implement. >> yeah, you are seeing the volatility. >> absolutely. >> i think it's great, and it doesn't matter what reason we start to pay attention to deficits, and it's like the new

administration, the press seems to be interested in the things they should be interested in all the time. do you think there's a chance that congress may take the same route and start paying more attention? >> the political part of that is not my purview. i prefer to let you comment on that? >> are you seeing anything in the market that has to do with the future of deficits? >> even though we had a trump presidency before, we are not sure what routes he will take when he takes over, and that's what we are observing is general uncertainty. >> i am hearing there's an inordinant amount of pwaog calls today and are you seeing anything in the equity space? >> we are not seeing a whole lot of anything today. it's typical ahead of a fed meeting you get a couple slow downs, tomorrow definitely, and there's no certain theme. >> yeah, and a fixed ncome

complex, most likely it's because many believe the 440 to 4.50% which stopped the market before would be good technical resistance. is there any specific area in the s&p or anything where we look at the equities? >> we are going towards all-time highs lately and that's usually a floor for volatility, but when you are at all-time highs -- >> that's right. we keep going. paul, thank you for joining me today. kelly and the gang, back to you. >> thank you both very much. after the break, not so home sweet home. jpmorgan, we will speak with an analyst after this.

it all started with a small business idea. it's a pillow with a speaker in it! that's right craig. pulling in the perfect team to get the job done. i'm just here for the internets. at&t, it's super-fast! you locked us out?! and when thrown a curveball... arrggghh! ahhhh! [crashing sounds] we had everything we needed. is the internet out? don't worry, we have at&t internet back-up. the next level network for small business. ♪♪ i sold a pillow! to go further, you need to be ready for what's down the road. as energy demand continues to rise,

we're harnessing breakthrough innovations to increase production in the u.s. gulf of mexico. our latest deepwater development, anchor, produces previously inaccessible oil and natural gas, allowing us to deliver the energy we all need today so everyone can follow their own road. that's energy in progress.

z's bakery is looking to add a pizza oven, arissa's hair salon wants to expand their space, and steve's t-shirt shop wants to bring on more help. with the comcast business 5-year price lock guarantee, they can think more about possibilities for their business and not the cost of their internet. it's five years of gig-speeds and advanced security. all from the company with 99.9% network reliability. get the 5-year price lock guarantee, now back for a limited time. powering five years of savings. powering possibilities™.

♪ all right, folks. trump tower is causing a little turmoil in canada. let's get to megan for that. >> it started this morning when trudeau's top aide announced she would be resigning from the cabinet, and she said trudeau told her on friday he no longer wanted her to serve as the finance minister, and he offered another position in the cabinet and she does not say which one but her only path was to resign.

she was first his foreign minister and then finance minister, and the top negotiating agent for canada in the trump first term, and she made sure canada would not be hit with the first tariffs on steel and aluminum, and they were at odds including over how to handle what she called the grave threat of aggressive economic nationalism from the incoming at minute administration. she goes on to say that can ada needs to keep the threats seriously. trudeau himself has conveyed to his cabinet he is considering resigning but that leaves canada without a key trade negotiator.

>> i think the assumption is trudeau is an extraordinarily weak position politically. can you comment on that? i do not know when the next election there is, and it may come up sooner rather than later? >> it could. he is considering resigning and that could affect when parliament goes on pause for lack of a better word, for ladle while. he has not had great approval ratings in recent months. he was once the prime minister throughout that first term with trump where there were so many tensions and now there are questions among canadians whether he's up for it the second time around recognizing if there is tension and discussions with the u.s., and trudeau was down in mar-a-lago a couple weeks ago having dinner with trump, and we saw the

photos with both men calling the meeting productive and then trump puts on social media saying trudeau should be a governor, and i think that fed into some of the concern that he might not be up to the job. >> trudeau must think that kristen freeland was not the right person to be the one with the incoming trump administration, maybe too confrontational? >> yeah, and it makes me wonder what was going on in mar-a-lago, and if there were discussions about personnel. what appears is she appeared to have wanted to be aggressive with the administration and maybe what part of the dispute was here and trudeau wanted to walk it back and play nice and see what he could get that way,

cozying up to the administration rather than talking about retaliation out of the gate. they were not agreeing on which path to take. >> the great state of canada. the doors are open, my friend. >> thank you. and a trade you will love. a latte. coffee futures, it will be a brouhaha. ne. you need to trade-in that busted up phone and get you a brand new iphone 16 pro at t-mobile. it's on them. families save 20% every month. what a deal! new and existing customers, trade in your busted old phone, and we'll give you a new iphone 16 pro with apple intelligence on us. do you have a life insurance policy you no longer need? now you can sell your policy - even a term policy - for an immediate cash payment. we thought we had planned carefully for our retirement. but we quickly realized we needed a way to supplement our income. if you have $100,000 or more of life insurance, you may qualify to

sell your policy. don't cancel or let your policy lapse without finding out what it's worth. visit coventrydirect.com to find out if your policy qualifies. or call the number on your screen. coventry direct, redefining insurance.

let's give you a quick check on the markets right now. the industrials are for all intents and purposes, flat. s&p 500 up half a percent. the nasdaq, the big winner, up 250 points, up to 20,000. coffee is a good trade, and don't confuse it with oil. coffee futures are backing off nearly a 50-year high hit last week, despite one analysts believes growth of the coffee

business could climb. good to have you with us. the growth in the industry, does this include at-home coffee sales and coffee shop sales or one or the other? >> hey, tyler, so it's going to be both. the real key is you will see faster growth among coffee shops, and we estimate that coffee at home is more like 2.5%, and the fuel and the horsepower around the coffee shop growth is around the stickiness of gen z as they enter the workforce and parenthood, their allegiance to coffee shops given the stickiness of digital as well as iced beverages made at coffee shops as well not as easy to make at home, i think that's

what will drive the horsepower. >> how wounded or out of favor -- i don't know how to put it but you will get what i am driving at here. how wounded is starbucks? >> starbucks had the challenge where the brand lost its soul under the prior administration, and what you are seeing now is they are restoring operations and improving the advertising and simply put, the back to the starbucks plan is meant to restore the shine and the brand, and we think you have somebody coming over with the same playbook at chipotle where this is somebody where they will see quite a bit of success in 2026, and 2025 is more of a back half story, and 2026 of the year is where they are most bullish, and analysts are more anchored o 2026. >> i think you nailed it there. the question is whether they can do the turn around. i sense there's a fair amount of

disenchantment with the brand, where it's too expensive and too slow and the service is not what it was, and the shops are not as spiffy as they used to be and they are not the hangout they used to be. >> yeah, action plans will be pretty quick, you know, to help restore what we said, the litany of issues the brand is facing. there's no longer a surcharge for plant-based creamers, and a chief marketing officer is stepping in, and we are excited about her. you have the operations, they recognize they have not been flowing as much as they need to be, and so you are going to see more focus on make shaourg the customer is taken care of more quickly and service time is below four minutes, and a better barista experience, too. and the potential from automation coming as well. it will not be a tomorrow fix,

and the street is understanding that it would be more so of a 2026. >> who is the sleeper in the coffee game -- pardon the pun. >> you are full of puns today, and we like dutch bros., and we like what we are seeing there, and top pick implements 2024 in group brand advertising as well as they have done a good job with the loyalty program. they finished the roll out of the mobile order which will drive success like same-store sales, and they will have a good 2025 story, and very excited about the two-year catalyst path that dutch bros. have. >> the ticker is bros. you have to love that, man. >> isn't that great?

>> yeah. see you later, bro. coffee talk. >> i can't wait for the next installment, already. be sure and listen to ou podcast, "power lunch," wherever you go. we're back after this. [cheerful music] [phone ringing] not all multimillionaires build their wealth the same way, you have... the fearless investor. the type a cpa. the boot strapper. the boot maker. hee-ha. but many do have something in common. we all trust schwab with our wealth. thanks to our award-winning service, low costs and transparent advice, every day, over a million multi-millionaires, trust schwab with more than three trillion dollars of their wealth. ♪♪

we really don't want people to think of feeding food like ours is spoiling their dogs. good, real food is simple. it looks like food, it smells like food, it's what dogs are supposed to be eating. no living being should er eat processed food for every single meal of their life. it's amazing to me how many people write in about their dogs changing for the better. the farmer's dog is just our way to help people take care of them. ♪

jen b asks, "how can i get fast download speeds while out and about?" jen, we've engineered xfinity mobile with wifi speeds up to a gig, so you can download and do much more all at once. it's an idea that's quite attractive. or... another word... -fashionable? i was gonna say- "popular! you're gonna be pop-uuuu-larrr!" can you do defying gravity?! yeah, get my harness. buy one line of unlimited, get one free for a year with xfinity mobile.

and see “wicked,” in theaters now. ♪ welcome back to "power lunch." caution ahead for the homebuilders next year potentially, jpmorgan said they were shifting to a more cautious less constrictive approach. a combo of higher rates and affordability and a disruption to the labor force are contributing to their lowered expectations. here's home building analyst, michael. this is a big deal -- maybe they can catch us up to speed if they stalled out in the past few weeks or months? >> thank you for having me,

kelly. rates retracing upwards a little bit, but our concern is really in contrast to the last couple of years, particularly as we have seen rates move up during the latter half or the latter quarter of the last two years, what we see different this time around is inventory levels are much higher than they have been on a national level it's interesting, existing homes for sale remain fairly tight but more than half of the 23 major markets that we track have now inventory levels of existing homes at or above -- around or above a normalized levels, and that's -- >> interesting. >> that's the big difference. normally when rates stablize if they stabilize this year or into next year, but with the demand

of the drivers remaining more, we believe, unchanged in the next couple of years, that's some of the challenges we see facing the industry. >> specifically, i think it was interesting, you have horton underweight and toll and mirotic are neutral. why do you think horton in particular faced particular challenges? >> yeah, the way we approach our stock selection remains more or less unchanged over the last few years. it doesn't have as much to do with specific positioning with d.r. horton and we think it's one of the better managed builders national in scope, and it also shifted towards more share repurchase and a return to shareholder, which is a positive. the bigger driver of the underweight is more on a relative basis. we take a portfolio approach to the stocks and look at relative valuation versus relative fundamentals and see which names

versus their peers are better to outperform. for horton, the stock is trading, and it's below average margins and returns over the next couple of years, so that relative valuation doesn't sit as well with us as it had in the past year. >> i believe i heard you say earlier in certain selective markets, i forget your exact phrasing, but the inventory picture kind of normalized. what is driving that? what has changed? >> so that's a great question. i don't know if there are great answers there because existing home turnover remains fairly depressed, so typically you would see maybe a little bit of a positive coincidence. i think it's a combination, frankly, of the higher home prices that we have seen over the last two or three years.

in many markets, it has been very strong. some of the most elevated markets, like in austin, texas, outsized home price appreciation in the prior few years, and i think that just encouraged a lot of people to put their homes on the market. >> bridging people out of the woods and into the open, in other words. >> right. as a result what that does for the homebuilder specifically is more so of a weight on pricing and gross margins. they will have to compete in a much broader sense, in a much broader backdrop than in the prior few years, and that makes gross margins more susceptible going forward. >> i forget if this stat was in the "wall street journal" in the last week, but they are still -- people are not in homes because they are a great value right now. they are trading much more expensive than apartments and things like that, and it's a life phase and they have to be,

and does that premium remain in the market where people are seeking out a home not regardless of price but there is so much pent-up demand or do you any that tide is turning? >> great point. when you look at home ownership rates they remain around 65%, so it's not dramatically different than the long-term average. i think what you are always going to have in points in time over a three, six, 12 month period is outside of the more positive arguably demographic trends that the industry and the builders themselves should continue to benefit from. you will see moments of dislocation from higher rates putting people on the sidelines, or pricing may be taking a pause or step back if inventory is a little too high. those are some of the areas we are focussing on over at least the next six to 12 months as seen as more of a challenge for

the builders themselves. >> that makes sense. michael, thank you for joining us today. appreciate it. >> thank you. let's go to contessa brewer now with a news update. >> police say three people died in a school shooting this morning in a private christian school in madison, wisconsin. the suspected shooter was a child, a student at the school and is among the number of dead. the police chief says officers found the student dead when responded to the active shooter call at the abundant christian school. the criminal investigations into adam's administration are deeping. his top aide says she expect to be indicted for accepting large gifts. adams, meanwhile, himself is facing federal corruption

charges. and president-elect trump's pick for health and human secretary will be on the hill this week. that's the news, tyler. i will send it back to you. >> interesting week ahead, of course. thank you, contessa. we will be back with more "power lunch" after this, with the nasdaq at a recordig hh.

♪ welcome back. we're watching the markets as the dow potentially looks to be on pace for its eighth straight losing session and we have not seen that since 2018. the nasdaq at record highs, up 1.3%. we are gearing up for the fed's decision coming up on wednesday. it could be a cut for maybe a meeting or two. and maybe a pullback next year. mary ann bartell. good to see you again. nobody wants to fight the market this time of year. what do you think happens come mid january and there after? >> well, certainly the bells are

ringing with the nasdaq hitting all-time highs and the s&p having hit all-time highs. investors shouldn't be expecting any coal in their stockings in terms of their performance, but we are seeing interest rates start to rise, like on the front end, the two-year treasury yield and the ten-year, and in the beginning of the year, they will need capital for capital expenditures and if the demand goes up, interest rates go up. if the interest rates go up as we expect, that could put a little ripple in the markets as we go into the first quarter. we are expecting a good year next year. our forecasts, i think, are the highest on the street right now. we are looking for the s&p to hit a range of about 7,200 to

7,400, and we think that's a buying opportunity? >> that's a gain from here, a 20% gain from here? >> yes. >> does that come from earnings power or pe expansion or both, because the pe's are really high? >> tyler, you are right. pes are highs going back to the 1900s, and it's the secular period where they normally last 15 to 20 years. i think before this sec lawer bull ends, we could surpass that from 2000. i think ai will have a positive impact, not just on earnings but on productivity. i really think that tech and tech-related continues to be the leadership in the market that

will drive the markets higher. the last time we did this was from '95 to 2000, and i think we are repeating that. also, from 1925 to 1929, and i know a car doesn't sound like technology or a railroad, but those were the technologies then, and the economy also did extraordinary well. >> and they also ended extraordinarily badly? >> yeah, that's the one risk we do have here if my forecast ends up being correct, it doesn't end pretty. between now and the end of the decade, i think we could have extraordinary returns. from '95 to 2000, we were up 20% or more, and i think we are repeating that cycle. all the liquidity from the fed and from the government is helping to fuel all of this. >> mary ann, it's interesting to me that you think we are shifting from semi stocks to

software stocks, and you think salesforce could be an ultimate beneficiary, a time when a lot of people say the verdict is out on how ai will affect that space? >> that's true. in technology we get a cycle. you get your chip advanced and then hardware advanced and i think we are moving from chip to softwarex salesforce is a leader in the space and has had a significant technical breakout saying this move will be quite substantial for the company. >> all right. >> thank you very much. we appreciate your time today. >> thank you both. the tech on the nasdaq unveiling its quarterly rebalance. "three stock lunch" is next. you.

i need indeed. indeed you do. sponsored jobs on indeed are two and a half times faster to first hire. visit indeed.com/hire (agent) we've always said never sell a house in the winter. that's not true. with opendoor, you can skip the showings and get a real cash offer. you are disguising my voice, right? (director) ahhh, of course. (agent with altered voice) foof, just checking. (vo) it's true. opendoor makes selling easy, in any season.

doors lead us to places we've never been. your dedicated fidelity advisor can help you open those doors. they can help you create a retirement-income plan designed to balance growth and guaranteed income. and provide access to specialists who help with estate planning

to look out for future generations so you're not just growing and protecting your wealth. you're sharing it. because doors were meant to be opened. great job, everybody! doors lead us to new opportunities. your dedicated fidelity advisor... -surprise! -for you, mama. ...can help you open those doors. by proactively reviewing your entire portfolio. with an eye on taxes and risk. doors were meant to be opened. time for "three stock lunch" now. the nasdaq 100 announcing the rebalancing today before the market opens on that day, and

three names getting added and three getting hacked. we will trade some of the names now. grasso global, steve grasso. palantir, it was on the new york stock exchange until recently. shares are lower today and the stock surged more than 300% this year and top performer in the s&p 500. you now favor this and didn't recently? >> that is true, tyler. i did not favor it. i thought it would be in the target of the department of government efficiency that musk and vivek are leading. 35% of the revenues derive from the government specifically and dominantly from the u.s. government. if those margins are at risk, the stock should go lower. when i start to see elon musk make comments about the next war will be fought with drone swarms versus jets and palantir is

tabling with jv's in the drone department, it makes me think there could be an underlying bid with the name, and artificial intelligence on one hand and drone technology on the other hand, and put them together and government will be their lead, knocking down their door for the investment company and they have the ability to expand their commercial business as well. i'm 80% there, but for the purposes of this segment we will call this one a buy. >> it's up more than -- the only thing that can out do palantir is the next stock, microstrategy. it's up more than 500% this year. you going near this? >> yeah, this is one that i would -- you know, i'm a bull in bitcoin, kelly, and when you look at micro strategies, it's

basically a 3 1/2 times play on the performance of bitcoin so bites both ways, both up and down. by the way, is there any better -- is there any better advocate for bitcoin than michael seller? he's unbelievable -- i don't know if he has been on your show but i saw him on sarah's show today, i believe, and he just knocked the all out of the park. if you look at the conservable notes where he's raising money and putting it back into buying bitcoin, and we have the most pro bitcoin administration ever, so if you couple those two things together -- think about it, you will start to see if president-elect trump pushes a bitcoin reserve, other countries are going to be pushed for a bitcoin reserve and if that happens -- >> you are not concerned, steve, about the -- i take your point

and maybe people put pit coin on the corporate balance sheet, but you are not concerned if it goes through a correction? >> i am always concerned. i am a trader. you have to put in smart losses, but i will tell you the community that sits there and says we're looking out 20, 25 years in bitcoin, and you don't have to look out that far. look at the performance coming out of the election, so when people want to hold it you have to as with any other stock, and any stock that anybody buys on your show or through your show, you should always be using stops to the down side. unfortunately you can get forced out of these plays because a lot of times they are so volatile, so big risk, big reward. i am always worried but i am a believer in the long story of bitcoin. >> let's move to one i know you are not as fond of. talk about a company that has seen its revenues shrivel.

that would be moderna? >> simple terms, 2022, they made over $19 billion on the vaccine, and this quarter they are going to make 3 -- do you want to buy a stock that has those fundamentals? >> no, no, i really don't. steve great to see you, man. have a great holiday. cheers. still to come, how the bots stole christmas. the bots of ai tt hascoop up deals online before you can. we will get the story, next.

♪ ♪ ♪ ♪ ♪ (vo) whether your phone's broken or old, we've got you. with verizon, trade in any phone, any condition. it's your last chance to get iphone 16 pro with apple intelligence. get four, on us. on any unlimited plan. only on verizon.

hive digital technologies is embracing the ai boom by supercharging its data centers with nvidia gpu chips, a move that diversifies hive's revenue streams and solidifies its position as a leader in the digital economy. hive digital technologies. ♪ before we go, we have heard about bots being used to scoop up concert tickets before the

general public. that's infuriating. that same use is doing the same on holiday. >> they are mini programs that create shortages on high-demand problems and increases prices. >> bots come in and suddenly you are out of stock, and then you fulfill it and it was not the real demand, it was bot demand that was changing what you thought was real demand and now you start producing more for next year that may or may not get sold. >> these bots have existed for years. they are called grinch swarms, and the barrier to entry has never been lower. they have seen a steep increase in the last three months of these. they target high-end gaming

goods, and those image recognition, those are all meant to stop these bots but in many cases the bots figure out work-arounds. up from 1.5 trillion in 2021. not all the bots are resalers. this is interesting, bots can be purchased by anybody as low as $10 to $400. there are bots as a service and subscription bots. i have talked to somebody that did it in the past, and he doesn't do it anymore because his wife put the kibosh on it, and they buy up the goods and they want to buy the hottest sneaker and resale it. you can use the bot if you want one pair of sneakers. it's not illegal in many cases and you don't always know where the bot programs are being

located and maybe they are in geographical areas when it comes to legality, and i am not endorsing the bots but -- >> you are totally using bots! >> i should have, now that i realize all right. guys, thanks so much. well had come to "closing bell" from post 9 at the new york stock exchange. this hour begins with surging tech which is once again leading this market higher, alphabet, amazon, apple all hitting new guys once again, so is tesla. star analyst stan ives is here raising his price targets even more and he'll join us to explain. the scorecard with 60 minutes to go looks like this. the nasdaq, as you might guess is outperforming. it has been all month long. dow's flat. s&p is getting a lift and the biggest names ofhi