>> you've got a couple of hours to go. and things could turn around. we know, usually by the time we get to here, we've seen the inflection point. the dow is negative, the s&p is still up with, and the nasdaq is the real story. i blame yields, by the way, i blame yields. we had strong services, they all backed up. >> this is america, just be a d >> thanks for watching "power lunch." >> see you tomorrow. thanks, kelly. kk to "closing bell." make or break hour begins alleyes turning to vegas where nvidia's ceo gives his keynote address. in about six hours. and a big move, nasdaq, the reason nasdaq is leading actions. 60 to go in regulation. dow is negative. nasdaq off its best levels of the day. s&p hanging out with about one-third of 1%. record revenues from foxconn sending semi names higher.

nvidia notwithstanding. not the only name. lam, and others. big winners. uber higher as well today. company announcing an accelerated share buyback. united airlines surging saying it will test elon musk's starlink for wi-fi on its flight next month. watching treasury yields. big story today. ten year hovering near 461. watch that story closely, because former dallas fed president robert kaplan will be here for his outlook on the fed, rates, the economy and more. it takes us to our "talk of the tape" back on the run. nvidia appears to be there. stock to close amove 150 a share first time since november. closing record high as well. cnbc's kristina partsinevelos is here with more. nice to see you. what do you think we should expect? >> should expect the fact he'll change the narrative again. building momentum around the

stock, driving the a.i. theme. last year ces shares jumped 6% day one. this year we focus is on a.i. data centers. specifically blackwell. promised ship moreblackwell platforms than originally this quarter. looking for new blackwell variants with more memory for a.i. processing and whether the ruben project set for 2026 is going to maybe come forward in the timeline. a.i. gets all the buzz given how much it can contribute to revenues, but gamers are expecting nvidia to unveil new gaming graphics cards. some talk nvidia might actually jump in to the a.i. pc processor market in direct competition with qualcomm, amd and intel. overall, keynote a driver setting the tone for a.i. in general and tomorrow the analysts q&a in the afternoon where we get some, if any,ful updates. helping to drive the stock. >> has been a stock-moving

event. right? not just on the monday he delivers the address either. you've seen it on the tuesday and the wednesday following and this comes at a time where the stock seems to need a jump? >> precisely. that's why i put emphasis on tomorrow. sure analysts community will ask for specific questions about blackwell. my assumption that in the keynote focus more on gaming, maybe spectrum x, ethernet cables. very important to bring all of those gbu clusters together. all the information the world wants, investors want, how will they move forward and get that continuous source of revenue and stay one to two years in advance of any other compoter out there? the questions. china restrictions too. the were e they'll get from analysts tomorrow afternoon and where you should start to see movement in the stock. depending what sentence he happens to say. broadcast live. everything can watch and i'll follow it for our audience tomorrow afternoon.

>> six hours to go until we see him. thank you. bring in adam parker a cnbc contributor. the '25 outlook and used to be a semianalyst in prior days. happy new year. >> good to see you. he has new year. >> you have a.i. related semis as a key part of yore market story for 2025. don't you? >> yes. i know you always accuse me of being a little biased towards the background in semis. it's true. i like semis over soft wear and know a lot of clients out at ces waiting and hanging on every word a like kristina said. a big event. jensen huang will get people excited going out and talking to the street. >> how do i want to think about mega cap this year? >> 33% of the market, s&p technology.

the biggest position you have. in the portfolio. folks have to think about owning big positions in tech. you see today, a lot of the semi caps and some non-nvidia's semis lagged. they're catching up. other names you can own in semis where the risk/reward skewed to the positive. inventory for a lot of steels peaked and is coming down. you want to own the big names at least in the market weight and own semis where inventory peaked. >> the markets felt agents wobbly lately. look at the price action end of year and even beginning the new one. maybe trying to right wrongs here over the course of this week. we'll see what happens. you suggest more broadly that the equity market is increasingly risky? your words. why do you think that? >> yeah. we kind of think maybe down some first half. as you and i talk week to week about the upside or bull case in the market, i felt like when we

put pen to paper so to speak in december for the outlook published today, pillars for the bull case looked less compelling. margins, no the as much upside. cpi could trough or rise second half of the year. alluded to a couple weeks back when we chatted. i'm not sure people will view extra accommodation from the fed bullish. ten year you said hit 4.6. at some point, environment less benign. not sure people are psyched about spending and working its way into the big cap stocks that much. i don't think people are as psyched about china as maybe they were. some bull case, less compelling. last thing sentiment. a year ago could have romanticizeding on your program. contrarian bull. two years ago could have and can't now. most of this strategist, 66, 67, 7,000 on s&p.

it's not like you can say i'm, you know, the contrarian bull. i think it's a little less compelling in the first half of the year, when i look at the risk/reward. >> i can see you on all that. what if i say i'll raise you tax cuts and a friendlier environment for business and dealmaking and animal spirits and pent-up demand, all that stuff that has still a lot of folks thinking that this bull trend is well intact? >> yeah. the two most compelling parts of the bull case that resonate with me definitely m&a cycle. a big one. i think if you do get a 5 or 10% sell-off, more deals. could see that as the floor in certain industries. definitely a.i. productivity where you're going to get companies telling you their earnings are improving. not hiring like they would in the past. definitely bull case things i believe in. in terms of your animal spirits thing, offsetting points now.

meaning out of the gate, together on election night. definitely a benign interpretation about all the policies. dollar strengthened now. some policies may not be quite as bullish with fundamentals of the company. ceos might be agents more cautious about how to optimize employ mix, u.s. versus non-u.s. initial positive interpretation ant looking for now where will i see a fundamental support and so i they it's more balanced on that on the -- the animal spirits side. really just m&a i still think will be big. >> what if the tariff teeth, so to speak, are not as sharp as we once expected? at least out of the gates? >> my view, could be wrong, when i talk to institutional investors i think people, part of why i said benign. i don't think people are embedding that into price of the stocks. only policy in the stocks, health care price action. everyone assumes incoming

policies from rfk jr. will impact earnings of the health care companies and why they've had the worst kind of two-year relative performance in 25 years. interestingly, that's in the price, but not in the price i think are the potential for tariffs to raise prices and companies to maybe lose demand as they raise prices's that kind of stuff. i don't think even though banter is out there regularly reported on, stock market guys i talk to aren't saying i'm selling those stocks because of it yet. i don't think they believe it will be as negative as the banter. >> you think we could have a rocky first half of the year but still expecting a good year for stocks? right? just happening later than maybe some people would have lives to believe? >> i think. i like the shape of the estimates in terms of quarterly earnings. they kind of plateau here the next couple quarters accelerated q4 of 2025. if the market is sort of three to six months anticipatory of

that earnings growth, argues flattish and choppy here and then six months anticipating the q4 quarter gets you march, april, maybe, maybe can get more of a upward trend again. likely to bounce around a little here, maybe a down tick with all the kind of things we talked about. the fed, rates, china, et cetera. i don't think it looks as rosy as it did on a year ago. >> i mention in the open today, watching shares of uber because they announced an accelerated buyback. you make the case that you prefer this type of buyback rather than a traditional one? am i reading those notes correctly? why do we even make the -- the difference between the two if we're getting to the goal line no matter what? >> yeah. it's a good, a great question. i love it when we do research and get a real company, a kbig one doing something. had no idea obviously. a buyback deal. what happens there, scott,

authorize a buyback. copieses can do at their own discretion any undisclosed time frame. do $10 billion or whatever. we studied the future returns of buybacks, reducing share count by a lot and don't outperform keeping flat. aggregate the system looks it doesn't add value with the buybacks. asrs, they're different. on average a larger it commitment at a fixed price. getting wung of the big banks to take down the shares at that time. so the companies that do that tend to outperform whereas regular buy back -- the problem, management doesn't care about buying it correctly. they don't want you to say they did less than last quarter lmp must think the stock's expensive. more about perception, asrs trying to the right thing at the radio it price. >> interesting case you make. broaden the conversation and bring in cameron dawson of new

edge wealth. mike rode of american century investments. great to have you both with us. cameron, you heard adam's view what the first half could hold. do you think we could be a little choppy? >> that is our base case. this idea you're going into 2025 with such a higher bar that it sets up for choppy price action when you consider the valuations that we're starting in the year. where positioning is and where growth expectations are. adam's point the fact everybody was so bearish the course of the last two years you started with low bears in things like gdp growth. last year we began the year with .0a expected for 2024. ended the year 2.7%. this year's expectation of 2.1% gdp growth looks to be healthy. a i higher bar we think we have to digest and chop through. >> not enough, though, to derail what the trend has been and what you think it will be? >> we think the trend will start to flatten out a bit. look at the strong up and to the

right very low volatility trend over the last 24 months we think we'll look for like a year like 2015 or 2018. we did have that sideways chop action. good news in that environment is you do get buying opportunities and being ready, willing and able to buy when you see that volatility. also tend to see some leadership rotations in markets like that. we wouldn't be surprised if you start to see shifting sands under the surface. >> you make the case, mike, we enter this year in a much stronger position than we entered 2024. just clocked 20% on the s&p. what does that portend for this year? >> i think pretty wildly consensus that the economy's in good shape. inflation is moderating maybe a little sticky. the market is a pretty high expectation group right now. i say the market, i mean s&p 500 specifically. adam talked about large cap tech. large cap growth trailing at a 45% premium to historical

valuations. a.i. stocks are, yes, fundamentaling are grace. valuations expensive. areas within the market where there's relative values. small caps, mid-caps even s&p 493, and relatively attractive on evaluation, but seeing significant acceleration in earnings. small cap swinging from negative to positive and 19% positive swing this year. mid-caps 4% positive. looked a at the magnificent seven actually decelerating by about 13%. all research shows you want to be invested in companies with accelerated earnings and areas in which small cap, mid cap and -- that acceleration plus more attractive valuation. >> glad you went there. you don't agree, adam? you don't think small caps look at cheap as some would like to believe. mike included, you just heard. >> yeah. i don't see it that way, but

obviously the devil's in the details. i agree on the point of revenue accelerations. generalliy want to buy stocks accelerating revenue and short those decelerating. that factor failed miserably last year and outlook note, on that point i agree. small caps and aggregate we look at it, when you adjust for style, meaning compared the valuation of small cap growth to make a large cap growth, small cap more expensive in absolute terms and both expensive versus their own history, 70, 80 percentile. look at value, small cap value is keeper than large cap value. when i look at it adjusted for quality, it's cheaper for a reason. it stinks, the reason. mega large cap value increasingly higher quality, less junk. not true for small cap value. when i adjust overall basic small/large cap argument by style and by quality i don't see it that cheap. what makes small cap work on a

relative basis is when you have a recession recovery. struggling with we didn't have a recession. went up pretty sharply after the red sweep under review we would get less regulation lower taxes all that stuff. now for me to believe there's really that earnings acceleration coming, i guess the departure, i don't believe estimates going to be as achievable for value cap value. i think it's cheaper for a reason's the reason is it's worse. >> you have a rebuttal, mike? >> that's fair. i'd say russell 2,000 value a lot of core qualities in there. active management comes in to play there. active works best in small caps. also benefit from that trernd, that m&a increasing m&a as those companies will be bought at slightly larger premiums. hey, it's a fair point. consensus estimates are never right. right? the question, how off are they?

i think -- we believe if you get the direction right and you get that acceleration while getting the deceleration, magnificent seven, plus you have valuation disparity. a pretty good setup versus a great earnings in magnificent seven but slowing significantly year over year, and just a lot of expectations built in. over owned. a huge case of people's portfolios. small caps under owned. mid caps are underowned. opportunities binge the broader market. >> a good thing about -- go ahead. >> say the part i agree with most and then sure you want to talk to cameron more than either one of us. i agree you need someone to pick the stocks there. if you have a good stock picker, like though do in century, makes sense to pick stock there's. i agree with that point the most. >> i wanted cameron to settle the debate. i want your perspective. small caps? what about you? >> it's your day, adam. we do think that first of all

consensus just because it thinks it's going to happen doesn't mean it's going to happen. small caps haven't necessarily earned your benefit of doubt. don't forget a big acceleration in small caps expected in '24 and didn't get it. the next question, how much is based on the hope interest rates will fall? if interest rates don't fall and you continue to see balance sheet pressure from the small cap standpoint we don't think that those earnings estimates are going to be achievable. which means the russell 2000 is still in an earnings revision down cycle meaning thosing tos could continue to struggle on a relative basis. >> no surprise, then, mike, why you have mega cap at least getting some life once again. even with elevated rates? because in times of uncertainty, this has been the trade you give the benefit of the doubt to. >> true. >> that doesn't look to be changing anytime soon. >> well, i think it may start to

change soon on january 20th. two weeks from today e which trump takes office. a lot of executive orders. changes in the administration. which potentially could lead to deregulation, ceos feeling better about their businesses. you mentioned tax cuts earlier. if you start to get investments, pent-up demand ceos waiting to see ak the election. that's behind us. ceos feeling more confident because of the new business-friendly administration could accelerate earnings to are smaller cap companies. a u.s. pure play 80% small cap comes from inside the u.s. if you're bullish on the u.s., no better place to be than small caps and mid caps. >> is that why you say to diversify away from the mag seven? because you believe january 20th at noon will be such a significant moment for the rest of the market?

>> i don't think -- i would not invest based on a catalyst say two weeks from now, but trump's policies are clearly more beneficiary for smaller cap companies. the crux of many of his policies reshoring, bringing businesses and jobs back to the u.s. that's the goal of tariffs. if that happens small caps are probably in the best position and mid caps to benefit from that reshoring. the question is, what if the policies are inflationary? what does that do to interest rates and if we were to get the fed hike ig rates this year and yield curve reinvent after being inverted two years and now steepening, a tough environment for small caps and go back to valuations not that high, large caps trading very high valuations as adam mentioned. small cap traded below average. pretty low versus large caps, again, very, very high expect

aces there. >> leave it there. thanks, everybody. appreciate it. mike, talk to you soon. cam rarn will be back on the set soon as well. nice to see you. just getting started. up next speaking of rates, robert kaplan standing by with what he thinks is the most important thing to the market now. he'll tell you after the break. live at the new york stock exchange, you're watching "closing bell" on cnbc. knock, knock. #1 broker here for the #1 hit maker. thanks for swingin' by, carl. no problem. so, what are all of those for? ah, this one lets me adjust the bass. add more guitar. maybe some drums. wow, so many choices. yeah. like schwab. i can get full-service wealth management, advice, invest on my own, and trade on thinkorswim. you know carl is the only frontman you need... oh i gotta take this carl, it's schwab. ♪ schwaaaab! ♪ have a choice in how you invest with schwab.

(vo) it's half time, in how you invest

(man) shower. it works. got two more upstairs. (vo) and the bedrooms. (man) i don't know what goes on in there. (vo) and the living room. (man) it's the hang out house. that's why i am moving. (vo) and get an offer on your house. selling your home to opendoor is so easy, you can do it during half time. get started at opendoor.com

welcome back. what is the most important thing to markets now? is it this week's jobs report? maybe the fed's rate cut potential? what if it's meaner? that's the take today from former dallas fed president robert kaplan now vice chairman at goldman sachs and joins us live. happy new year. >> happy new year. >> you make that case? singularly the most important thing. the trump administration and its

policies. why? i think monetary policy, it will take a little bit of a seat offstage, and fiscal policy and other structural shifts are now center stage. that includes what we do on fiscal policy what we do on tariffs, immigration. regulatory review, energy transition, and the rate, ironically, as we approach january 20th, i'm much more interested where the ten-year treasury rate is than i am the fed funds rate. in that people haven't focused as much on this. the ten-year treasury, since mid-december backed up from about 415 to now 462, 463. i think that has a lot more to do with conserves about fiscal policy and supply and demand of treasuries than it does about inflation or what the fed's going to do. i think we have to be aware of that. >> how much more do you think

the ten year could back up? >> i don't know. i think what the ten year backup says to me is, the bond market and bond buyers are taking a wait and see approach and are showing reluctance to buy duration. so you could have a sequence of actions after january 20th that could show that the new administration is going to very seriously address these dramatic fiscal deficits, and try to take real action that bend the curve. in which case i think the duration might react favorably, but i think right now the jury's out, and a whole sequence of decisions that will be made in the first 90 days, and the truth is, we don't know yet exactly what's going to be decided, but i think bending this fiscal

curve, we've gone from 70% debt to gdp to over 100% and deficits last year 6.5% plus, i think the bond market is showing reluctance to going with that and particularly buying duration. will buy the short end of the curve but reluctant to buy duration. >> sure. you make the case because of the structural changes that we're about to undergo, deregulation, fiscal policy, immigration, the cuts that you mentioned, that it's going to force the fed to be much more reactive, perhaps, than it traditionally has been. can you elaborate on that before i ask you a question related to it? >> yes. so the fed is by its nature very focused on cyclical developments, and when the structural underpinning is clear, when fiscal policy is

clear, when other elements regarding the job market, immigration and so on is clear, it's easier to judge data and judge cyclical developments. we're about to get a total reshuffling, significant reshuffling, of these underlying structural elements, and in that kind of situation the fed i think really needs to wait and let some of these developments clarify before it has a better grip on what the outlook is and i think that's why, one of the reasons, among others, why they're pause in january and take time to let this clarify. >> aren't their risks inherent with do that? that while they're waiting, maybe the economy starts to show softening but they can't do anything about it initially, because they're unsure how all of this is going to play out? i guess in some respects it goes towards at least some criticism of the fed in general that

they're more reactive to situations rather than being proactive and expecting certain outcomes? >> let me reframe that. you know from talking to me in the past, i was critical that the fed waited a year plus too long in slowing its bond buying and beginning to raise rates. having said that, once it shifted, i think it was very proactive and very deliberate for a couple of years in raising rates, getting the fed funds rate to 5.25, 5.5. at these transition points, though, where structural decisions are changing key elements of the economy, it's the right thing for the fed to slow down, be more deliberate, let things develop. yes, if you saw in the near-term severe weakening the fed would react to that. i guess it's far more likely you're going to see solid job

numbers, maybe not great job numbers, but solid numbers, and we've been seeing over the last number of months inflation going a little sideways. i think the fed would be pausing, even if we weren't about to do this reshuffling of structural factors, but with the structural changes i think it adds to reez invoking for them to take their time, slow down, at a minimum skip january. fed's not handcuffed. it will act if it sees severe weakness but i think it would be prudent of them to let the situation clarify and i think they will. >> we've discussed the relationship between the fed chair and the president many times in the past. but given everything that you just said, how are you thinking about the possibility of significant discourse between the two? from a president who has made no argument about the fact that he likes low rates. right? that's part of the business that he grew up doing. lower rates are more beneficial

to the kind of business he's made his living in. the fed chair, to some extent, has his hands tied by the current situation. a little stick inflation. feels pretty good about where we are, but, you know, this is a president who's not worried about running for re-election, who wants to get specific programs through, and he wants to do it while at the same time keeping the economy really strong. so i just picture a situation that could get dicey from time to time. >> that could happen, and that's part of the fed job. if your chair or if i were in my old seat you have to be lies the situation and make the best decisions you can knowing you'll be criticized whatever you do, and i don't think jay powell will worry about the reaction, nor should he, and i think people around the fomc table based on everything i know will try to make the best decision they can, but people out there should just understand, yeah,

inflation has gone along sideways, one reason to slow down. and then the structural shifts are another reason. and i think part of doing your job is to be a risk manager not to be a prognosticator if you're at the fed. give the same advice to clients also. and you got to let this situation clarify and that's okay. i think the biggest mistake you can make, act like you know more than you do. launch in, take further action when the situation's unclear. it will clarify as we head past january and into the spring. and they'll act accordingly and act appropriately as becomes clearer what the next step ought to be. >> mr. caplan, leave it there. appreciate your time. see you soon. >> good to talk to you, scott. >> robert kaplan. news breaking on medical devicemaker striker. we have dames. ang gem kaw? >> angelica? >> advance talks akeir choiring

a company making medical devices to treat diseases and look at that stock now. up about 25%. reuters citing people familiar with the matter saying this deal could be announced soon as this week. reached out to the companiened and let you know what we hear back. >> appreciate it. up next, pimco's 2025 playbook. aaron brown is back breaking down how she's navigating the market in thmohse nt ahead. back on the "bell" just after this break. 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!

as your host, i have some rules. two flush maximum per bathroom visit. no games. no fun. there's a great barbeque outside. but don't touch that. meanwhile, at a vrbo... when other vacation rentals make you share your turf with a host, try one that's all yours.

we're back. stocks having a pretty strong day down dlee in the past four weeks weakeningalities approaching the close. for more on what 2025 might hold for your money welcome in pimco's erin brown with her playbook. happy new year. >> happy new year. >> so are you optimistic heading into this new year? >> yeah opinion i am optimistic. the economy's ending 2024 and going into 2025 on pretty solid footing. earnings projections for this year look to be up 13%. and i actually think it's pretty achievable as we see it broadening out of sectors in the economy that should do well, but you have to focus on those sectors that are really u.s. domestically focused that will do well in a trump 2.0 presidency. so like the utilities, like some of the financials as well. transports look interesting. underperformed of late. really like the power names that

are really levered to a.i. staying away from sectors that will be exposed to higher tariffs, because that hasn't been priced into the market as of late whancht about higher rates? do you worry about that being the variable with potential wrecking the story? >> you know, i do. especially as we get close to 5%. that's going to put a bit of a hindrance on further upside in equities markets. interesting to see the bifurcation of the rates market and equities. trading 2% of all-time highs. rates backed up considerably the last month or so and equities are kind of ignoring the rate move we've seen. it does get harder, particularly if we see rates move up, and growth start to slow. that's really what i'm focused on right now. at these levels we're probably comfortable, but if we get close to 5% equities will come under pressure. >> i don't know if the market's

ignoring the move in rates. the last month, look at performance of the russell 2000. down more than 5%. the dow hasn't really done much eveninginger. the only reason s&p looks reasonable and nasdaq doesn't look terrible, because big tech has had a bit of a resurgence especially of late? >> right. that's true, but you think that big tech would be one of the sectors that would come under pressure under higher rates, given the tends to be a longer duration asset. i think what you see is a lot of the unwind of the optimism in the post-trump election period. a lot of bad optimism unwound, but that seems to be a lot of the driver of some of the moves we've seen under the surface in equities rather than the move in higher rates. equities still trading at pretty comfortable levels right now haven't really seen that much of a bite yet. i think from higher rates outside of, like you note, the

smaller cap sectors, which seem to have unwound a lot of the trump optimism. >> seem to be trying to, whether it's investors, people on wall street, the fed, trying to game out what the tariffs are going to mean, which we expect. don't really know the degree to which they'll be put in place. not to mention more restrictive immigration policies. you argue that neither of those are priced into the market. why? >> i think that's right. if you look at the sectors that would be most exposed to higher tariffs, they really haven't underperformed at all. they've performed fairly in line with the s&p 500. similarly, those economies, those sectors even those countries like mexico equities that would be most exposed to higher tariffs, vis-a-vis the u.s. and mexico also haven't underperformed. you've seen pretty resilient performance.

those sectors that have higher use of immigrants also haven't really underperformed. so as of today we really haven't seen underperformance or any unwind from the trump trades that will become most in the cross hairs of higher or tighter immigration and higher tariffs. obviously, china underperformed a lot last year but i think a lot of that is due to the fits and starts china had in terms of revitalizing their economy and their economy continues to slow. chinese equities have fallen on the back of just the chinese economy. not necessarily tighter tariffs. i think those sectors that came under pressure in the mid part of 2018 and into 2019 will be hit hard particularly as we come to the back half of this year. so i think there's going to be a little bit of a period of sort of optimism in the first half of this year. you're not going to see significant moves i think in tariffs right away, but as we

start to move to the back half, into the back half of the year that's when you'll start to see some tariff names really come under pressure and i'm positioning my portfolio now, no reason to be long them. going into a year where you know tariffs is going to be on the table as a hot topic for the trump administration. >> interesting. i guess that's what makes the market. a couple guests earlier in the program saying first half could be rocky, wild or dicey. second half when things could be a little smoother. i suppose we shall see. erin good to talk to you as always. thank you. erin brown, pimco. up next, tracking biggest movers into the close. kristina partsinevelos is standing by with that. >> why shares of one a.i. darling could fall 25% and why crypto traders are excited what you just talked about. trump's return to office. i'll explain all that after this short break.

business. it's not a nine-to-five proposition. it's all day and into the night. it's all the things that keep this world turning.

it's the go-tos that keep us going. the places we cheer. trust. hang out. and check in. they all choose the advanced network solutions and round the clock partnership from comcast business. powering more businesses than anyone. powering possibilities.

15 off of the bell to kristina with the stocks she's whopping. >> palantir, worst day since november down roughly almost 5% right now. morgan stanley analysts argue despite early a.i. success much of that upside already priced into the stock. also saying the risk/reward riccio skewed to the bown side and bet shares will fall to $60. it's ap $76.25 now. meantime, bitcoin back above the $100,000 mark first time this year. $102, i should say. a few factors. first january where fresh capital is injected into the market. seen in the past two business days. secondly upcoming inauguration of donald trump, promised to grow the crypto space and the departure of s.e.c. chair gary

gensler led a crackdown on cryptocurrencies. why you're seeing bitcoin up. scott? >> all right. kristina, thank you. still ahead, wells fargo and citi moving higher following the fed's top bank regulator resigning. what that move might mean for the rest of that space coming up. back to "the bell" after the break.

carl: believe me, when it comes to investing, you'll love carl's way. take a left here please. driver: but there's a... carl's way is the best way. client: is it? at schwab, how i choose to invest is up to me. driver: exactly! i can invest and trade on my own... client: yes, and let them manage some investments for me too. let's move on, shall we? no can do. client: i'll get out here.

where are you going?? schwab. schwab! schwab. a modern approach to wealth management. we are back. showing you shares of fub owe-tv surging on news of a deal with disney's hulu+ live tv. look at that stock. unbelievable. for more on that story, don't miss a first on cnbc interview with the ceo of fub owe-tv coming up in "overtime" a short time from now. up b up next, what's behind vernova "inside the market zone" next.

dave's been very excited about saving big with the comcast business 5-year price lock guarantee. five years? -five years. and he's not alone. -high five. it's five years of reliable gig speed internet.

five years of advanced securit. five years of a great rate that won't change. it's back. but only for a limited time. high five. five years? -nope. comcast business 5-year price lock guarantee. powering five years of savings. >> university of maryland comcast business. global campus is a school for real life, one that values the successes you've already achieved. earn up to 90 undergraduate credits for relevant experience

and get the support you need from your first day to graduation day and beyond. what will your next success be? you founded your kayak company because you love the ocean. not spreadsheets... you need to hire. i need indeed. indeed you do. our matching platform lets you spend less time searching and more time connecting with candidates. visit indeed.com/hire ♪♪ well would you look at that? jerry, you've got to see this. i've seen it. trust me, after 15 walks, it gets a little old. ugh. i really should be retired by now. wish i'd invested when i had the chance... to the moon! unbelievable. stop waiting. start investing. e*trade ® from morgan stanley.

we are now in the "closing bell" "market zone." commentator mike santoli breaking down crucial moments. plus, defense banking regulate stepping down. leslie picker with what that means and seema mody what's groves vernova today? steam out of the market nasdaq leading the show today. >> it is. still how this market plays defense against macro strategists against pressure from bond yields. that's been the story. probably if you were bullish coming into this year you'd want to see more than a one-day rally friday being kind of coming after, how washed out the average stock was coming into the day. no grand conclusions except to say yields at this level make majority of the market uncomfortable. still on wait and see mode to see trajectory of growth into the jobs report. i find it interesting nvidia

gets this big kind of almost forced mechanical bid as new index money comes into the market. we'll see if it comes through after ces and more than just let's find stocks that haven't moved much on familiar seen scenes. >> technician watching action like you you are saying nice rally. not a game-changer yet. oversold and getting into resistance. >> exactly. pretty much everybody looks at the chart structure saying 6,100 basically all-time high since early december looks like it might on the first revisit of it be a bit of a tough ceiling to crack through. that's just because seemed like this culmination for it. i don't think we're really moving that dramatically on headlines, but doesn't help when you have the equity futures get a little bit of a quick boost off of this headline we might have a moderate tariff approach. president-elect trump comes out kind of contradicts it. here we are again.

we have to actually surf headlines and worry about the kind of unwelcome policy moves comes before the stuff we wanted to price in. >> play this game again. leslie picker is following news of the banking industry's top regulator stepping down. >> scott, bank stocks gaining on the news he would step down from his post at vice chair of supervision. although the names are losing steam with broader markets later in today's session. some speculated president trump -- president-elect trump would seek to fire barr. his resignation unexpected. the new basil three capital rules brainchild of barr and faced fierce pushback from the industry and beyond. the news means the end-game proposal is dead. the firm's chief washington strategist wrote that barr's replacement, he believes fed governor michelle bowman may propose new capital rules but likely be neutral. bowman voted against the basil 3

proposal. additional upside include quicker m&a process and more interchange fees. scott? >> leslie, thank you. leslie picker. seema, tell us about ge vernova today? >> microsoft's promised to invest about $80 billion in data centers fueling shares of ge vernova, key supplier of gas power and operative grids. seen in the buildout of data centers requiring a lot of power. the main reason ge vernova is accelerating its timeline increasing gas turbine orders and capacity overall. key topic at the company's investors day in december, ge vernova forecasting about 23 gigalots of new orders in the next few years. wells fargo calls conservative. shares at a new high trading in-line with wall street's price target of $370. >> good stuff. seema mody. michael looking at nvidia

here as we approach the close today, because 148.88. above a new record-closing high. at 149. right there. a handful of hours before jensen huang gives his keynote for ces in vegas. has been a stock-moving event. >> it has. dozens of new record highs in the s&p 500 since nvidia decisively went up into the 140s. actually cracked above 140 in june of last year. the big question is, did the market lose its ability to keep rallying op the basically the same observations the same news about the a.i. investment story? or is this just letting fundamentals catch up to the valuation? valuation itself, in nvidia terms, doesn't look super demanding. mid-30s forward multiple. that that different. so interesting. the markets willingness to

believe there really is an aggressive new -- >> see if it is above that level. hasn't closed above 150, by the way since november. looks to be right there as well. [ closing bell ] that does it for us. see you tomorrow. for us, we wi see you tomorrow. that is the end of regulation. nvidia closing at a record and leaping over 100k to start this week as tech takes the seat. >> we have a big slow coming your way in just a moment. in just a moment the coe of fubotv joi