perfect for most people, 70 perfect 100 is too much. 40 kills everyone, right? it's just like goldilocks. sweet spot crypto. bitcoin has rebounded to above 90,000. got all the way up to 95,000. but now you can see. thanks for being here. hope you feel better. and you better not be contagious today. squawk box, you said you're not right. yeah. all right. see you tomorrow. >> good monday morning. >> welcome to squawk on the street. i'm carl quintanilla with david faber. sara eisen. >> at post nine. >> of. >> the new york. >> stock exchange. cramer has the morning off. >> futures pretty solid as the. s&p does. >> come off. the fourth negative. >> week in five. >> but the best. >> day since mid january on friday. >> busy week. >> retail and tech. >> earnings of. >> course tariffs possibly tomorrow. and the jobs number. >> friday begins. >> with the white house. the president talking about. >> a crypto. >> reserve and ordering an

investigation. into lumber imports. as we. >> do. >> approach tomorrow's deadline on tariffs. >> also ahead. tesla shares are. >> getting a. >> lift this morning. this after. >> morgan stanley's adam. >> jonas reinstates. >> that ev maker as a. top pick. >> in the auto sector. >> plus a stunner out of kroger. the company says rodney mcmullen is out as ceo following. >> a board. investigation of his personal conduct. >> we'll have. a lot more for you. >> let's begin. >> with the president. >> announcing these digital. >> currencies that will make up a strategic crypto reserve on a truth. >> social post. >> he listed xrp. >> solana and. >> cardano along. >> with bitcoin and ethereum. >> and that news has sparked a crypto rally started yesterday. the group. >> pulling back. >> a bit this morning. but sarah bitcoin is going to be up 20% from last week's lows. >> this is good. >> news obviously to the crypto bulls who. >> were wondering what's going on. >> because crypto. >> had gone. >> back down to 80,000. >> post-election. >> there's going to be a summit on. >> friday, and there are questions about what this. >> looked like. this will. >> look like. how much. >> are they going to aim to buy.

in the crypto reserve? i think it's. interesting and somewhat surprising that they are. >> including other. >> crypto coins. according to president trump in there mentioning solana and a few. >> others shot. >> up in yesterday's trading. >> the other. >> question that i have, and this is more of a. >> legal question. >> is. >> can he do this. >> via executive order? >> i went back to the creation of the strategic petroleum reserve. which is our. emergency oil stockpile. >> that was created through congressional. >> legislation. >> came out of the oil embargo. >> so there's a question about whether. >> they'll need congress. >> to. do this, whether congress will be on board. >> there is. >> there are bills out there, david, that a. >> senate proposal, for instance. >> that includes. include buying bitcoin. >> so how much what's possible. >> and you know how. >> popular it will be. certainly it's popular if you own crypto. >> but you. >> know there is this argument that people make that you risk taxpayer dollars for a volatile, speculative. >> cryptocurrency may not be the. >> best use of money, especially.

>> when they're so serious. >> like doge. about cutting, you know, waste and abuse and. >> fraud and trying to. >> clean things up. >> yeah. and again, you can. >> see there are all. >> of the. different currencies, all of which are up again, because. >> as sarah. >> said, there had been an expectation. >> sort of the. >> focus would be. on a bitcoin reserve. >> you heard that. >> a lot. >> not necessarily. >> more broadly speaking, crypto. but of course, the announcement, so to speak. >> in that post was. was of crypto and does. >> include a number of the. >> other. >> currencies. >> hence sending many of them up. >> and again, as we pointed out, bitcoin has been above its current level, but certainly. >> is. >> retracing or at least is, i should say, coming back up significantly from where it had been. this president. does like to act through executive action. we've got at least 75. >> of them. >> i don't. >> even know. >> i mean, there's. >> just an. endless amount. >> so you could. >> imagine. >> who knows. >> you know that. >> i don't know if it ends up. >> in the courts, but like so many other things. >> but it doesn't. >> appear, you know, at this point that it necessarily. >> is something that's. >> going to work its way through congress. sarah.

>> yeah, i mean, i. >> guess. >> they'll try and we'll see what's possible. >> and i mentioned they have the summit, you. >> know, who's going to have a lot to say about this? michael saylor, he's joining us on money movers in the 11:00 hour. >> ceo of strategy. >> longtime bitcoin bull. >> right. that's the balance. >> sheet of. >> microstrategy, his. former company he's been buying. >> along the way. i will be interested to. >> see if that was surprising to him that there was an inclusion of cryptos other than bitcoin. >> you know, and then. >> and. >> then. >> there are bigger questions that economists go back and forth with carl about. >> look, this. >> president has made the us dollar as the reserve currency, staying as the reserve currency, a. >> pillar of. >> his strategy. he ran on it. he followed through with it, threatening tariffs to those that. diversify out of dollar. >> you don't. >> want to. >> mess with the dollar's reserve. currency status. and i'm not necessarily. >> saying that bitcoin is a threat. >> but the more you legitimize it and the more people obtain it. >> you do wonder if that becomes. >> you know. >> a bigger talking point inside the fed, for instance, who has

to deal with monetary policy. and having. >> the dollar is. >> critical for that. >> i would mention as. >> well that. >> that trump coin, it's a. meme coin. it is not going to be as any. >> part of this in a sense, but. >> it is certainly a unique feature of this presidency at this point. we've never seen anything quite like it. and, you know, it continues to be at least something i hear a lot about in. >> terms of what it might mean or. >> influence that. >> can be brought to bear as. >> a result of those who perhaps. >> are buying that. >> coin. >> which came down. >> dramatically from the announcement, but obviously is still still quite high, or at. >> least creates a great deal of wealth. >> for the president. >> and as mackenzie sigalos. >> pointed out this morning, solana certainly is associated with his token. we'll see how much this gets discussed on friday at that summit. meantime, it does have implications. >> for risk appetite. >> of course, as. >> we. >> get closer. >> to this would be. tariff deadline tomorrow. peter navarro on squawk a few moments ago

talked about what the treasury secretary mentioned on friday. >> and that is. >> this notion. >> that inflation will get down to target. >> maybe sooner. >> than some expect. peter's point was. that in comparison to drill, baby drill and some of the other efforts to bring down. >> inflation. >> that any inflationary impact from tariffs. >> would be, in his words, second. >> order small. we'll see. >> so here's the thing that. >> so for. >> tariffs to work right. >> what they. >> want to do is spur american manufacturing right. prioritize american. goods over foreign goods because. foreign goods will get more expensive. so you kind of have to have inflation to do that right. you have to have those tariffs being. >> passed on. >> by the importers to prioritize domestic goods. >> so it's a little hard for me to understand. >> how you can not have inflation on tariffs and how they can also spur manufacturing in this country. and also prioritization of domestic products. i think that remains to be seen. but scott bessent, the treasury secretary out on sunday, face the nation, is not worried about.

>> inflation, either from. >> tariffs. >> or anything else. here's what he said. >> there will be tariffs. there will be cuts and regulation. there will be cheaper energy. so i would expect that very quickly. we will be down to the fed's 2% target. >> so tariffs can. >> be inflationary according to history. we'll see if they're. not as he says deregulation is pro-growth. you know that. can maybe be inflationary. but the deficit spent you know cutting that they're doing. >> ultimately should. >> pressure interest rates lower as well. so add it all up. he thinks we're going down to 2%. and i will just say the odds of a fed cut have increased. we're now looking at two and a half to three cuts this year from where we were at one a few weeks ago. >> that's more on the. >> softer economic data. but it's also this president and this administration getting what it wants. if they. >> go. >> there. >> we know the focus is on the ten year, which i think has. >> declined seven straight weeks. >> as it's come off of the highs. >> of course. >> we've heard anecdotally. >> all sorts.

>> of. responses to. tariffs from companies saying we're. >> going to pass this along. in the case of chipotle. >> talking to. >> nbc over the. >> weekend, we're actually going to try. >> to absorb as much of it as we can. but then. >> of. >> course. >> warren buffett did talk about whether or not tariffs are a tax. >> take a listen. >> tariffs are. actually we've had. >> a lot. of experience with them. >> they're an act. >> of war to some degree. >> how do you think tariffs will impact inflation. >> over time. >> there are attacks. on on goods. i mean you know the tooth fairy doesn't. >> pay them. i mean and. >> and you always have to just. >> end then what. >> you always have to ask that question. in economics always say. >> and then what prices will. >> be. >> higher ten years from now and 20 years from. >> now and. >> 30 years from now? >> that notion. >> of and then what kind of takes you back to trump 1.0, when they would argue that you didn't see broad inflationary outcomes, but. >> it got. >> interrupted by covid. >> so it's. >> it's debatable how. >> clean a sample. >> that experiment was.

>> and that was. >> primarily on china. >> right. and a little. >> bit, you know, on on washing machines. >> and steel. >> and aluminum. >> but this is much we're talking much more broad. >> tariffs here. i mean if he if, if the plan is 25%. >> on canada. >> and mexico, two of our closest trading partners, we import a lot from them. just look at for instance, the auto sector as an example of that. which is already dealing with the steel and aluminum tariffs david. so we're talking about something broader. >> the comps. >> are are. >> real from the first administration that it didn't create broad based inflation. but if you're talking about much broader tariffs it's hard to make an exact i think comparison. >> i think that's a fair point. and in fact i think it leads right into our market discussion with. >> mike santoli. >> who joins us here. because. >> mike, what. >> i hear from so many market participants right now, and i'm sure you hear the same, is the level of uncertainty is higher given everything we just discussed, you're not quite sure what's going to go into effect. you're not quite sure how big it's going to be, how long it's going to last, how broad it's going to be. and therefore the risk premium simply has to go up for the market.

>> and arguably that's what's. >> gone. >> on. you know, just. >> in the sense. >> that. >> the. >> market has. especially in the areas. >> of the economy that would probably be most affected. it has. >> administered some punishment there. >> if you look at the auto stocks. >> if you look at things that are right. >> in the. >> crosshairs, i do think, though, there's a longer term principle that says high uncertainty is a buy. it's not a sell. in other. >> words, when people perceive this much uncertainty, presumably a lot of it's gotten. >> into the market. presumably it means that they've held something in reserve. and so in theory, you should wait for that, you know, kind of uncertainty peak and then a clearing event. now what's interesting is how this market is metabolized. >> all this. >> into last week and. >> the end of last week. >> on paper it looks perfectly textbook. you know, we're talking about all this extraordinary stuff, totally hard to handicap. but the idea that a post-election year would be choppy and sideways to start, the idea that the third year of a bull market is a little bit stingier the idea that the latter part of february is often tough, everything comes together, and then friday market gets to like.

>> a. >> 5% pullback from the high. it goes back to flat for the year. the s&p goes back to the preelection peak. everything gets tested. and then you get this sort of magical phantom month end bid that levitates the market out of the danger zone in terms of the indexes. and so the question to me now is can that kind of get some traction after you got a crypto, you know, kind of pump over the weekend as well as an upgrade of tesla? >> right, which is one of the most wounded. >> of the nasdaq 100. so everything sort of lining up to say, okay, let's see if this is really. >> going to. >> bounce in. the face. >> of all this uncertainty, which admittedly. >> could go either. >> way if they say no. tariffs on canada and mexico tomorrow. >> right. >> where does. >> the market go. >> so uncertainty. >> doesn't just mean. >> bad stuff's about to happen. >> no. but right. but it does. it does hold people in place. it does mean. >> i want. >> to. >> you know. >> there's more or. >> the discount rate. >> has to go up or something, right? i mean, no, sure. how much. >> of that is in the market. >> i guess is the question. >> yeah. >> probably not a ton. i mean,

you haven't really compressed the valuation. >> overall the market. >> now you've compressed the valuation relative to where treasuries are because they've rallied so much and you have yields that much lower. yeah i just feel like it's one of those things where you've got a psychological reset. all the surveys say we don't know what to make of this. when that happens near the high, when the trend is still good and the economy is so far not giving it up. you know, i think it's a more muddle through scenario than it is. a look out. >> below, right? >> it is interesting. >> that everything that's hated has worked. >> this well this year. europe. china also. >> you know, the health care sector. >> and staples. yeah. of course. >> bonds have gone up. >> as carl said for seven weeks with yields lower. >> all of these kind of contrarian trades. >> no 100% sarah. and so coming into the year, it was a matter of just the crowded consensus on one side on all those fronts. and it's been confounded. and so part of i think the market trying to digest these things is, you know, i kind of joke like the chastening of the arrogant, like all the retail trades that people thought were

just one way up. and we're just going to its momentum on top of momentum that's been completely unwound. tesla, palantir, robinhood, they're all 25 or 30% off the highs. microstrategy is 50% off the highs. and so you've had this kind of a gut check. now the issue is earnings have been good enough. but outlooks have been soft on balance. and you've seen the balance of the year. estimates go down like 1% since the start of the year. that's not too unusual, but it shows you that it's not this kind of broad acceleration in. profits that we thought we. >> might get. goldman over the weekend did. trim their earnings growth estimates. >> for this year. >> not next. >> that's right. and then you do have some btig is still saying we do expect a test of the 200 day. >> it's right in that it's right in the zone. look at the lows on friday. i think we were just a couple percent from the 200 day. so technically, tactically, i do think there's a good argument to be made that this bounce has a pretty, pretty high hurdle to

sort of prove that it's the real thing. but, you know, so far, so far it's coming in line. now, the thing is, credit markets didn't send up any alarms. financial stock leadership has hung in there. it's hard to think that there's really something scary coming in the economy if those two things. are true. but you know, again, getting tested. >> well, it. >> also. >> i mean. you can't question the fact that we're at a high p e level expensive with a growth picture that is slowing down, right. whether we're. >> going to. >> go. >> negative in the. >> quarter, as the atlanta. >> fed shows, i know. >> it's early and a lot. >> more inputs have to come in. but when you have a bar that's set high for the markets and you have growth starting to deteriorate. >> my biggest. >> question, though, mike, is it was. originally thought that the trump 2.0 agenda would be very growth friendly, good for earnings, good for the markets, good for the economy. is that coming into question with tariffs with doge and is it justified? >> i think i think without a doubt the market is suggesting that at least the sequencing of policy is causing that to become a much less reliable idea.

>> but you can't cut taxes. >> through eo. >> well, exactly. >> and no, that's right. and so maybe you should have seen this coming. and by the way, a lot of folks did say this set up going into the second trump administration doesn't really resemble the first one in terms of the baselines and what, what policy levers seem like. >> i also wonder how. >> stimulative it is to if, even if they can pass the tax. >> cut, because. >> it's just a. >> continuation of policy. >> exactly. >> it would be worse if they couldn't, i guess. >> but it's not. >> like an added stimulus necessarily. >> absolutely. >> mike a lot to watch. >> this week. >> talk soon. mike santoli mike did mention tesla and adam jonas in fact. did reinstate. >> tesla as. >> the. >> top pick over at morgan stanley. we're going to talk about what that means for the stock. even as we saw a bunch. >> of protests. >> at some. 50 tesla showrooms over the weekend, including some arrests here in new york city. take a look at the pre-market as we get set for a big week. squawk on the streets. >> back in a minute. >> opportunities don't stop when. >> the market. >> day. >> ends. >> so neither do we.

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get to phil lebeau with the numbers. hi, phil. >> hi, sarah. >> for the. >> month of february, ford sales falling 8.9%. ice vehicles, internal combustion engine vehicles. still the predominant vehicle that ford sells, down 12.7% ev sales, though up 15%. and as we've talked about for some time, ford has really been pushing hybrids, gas electric hybrids. those vehicle sales were up 27.5%. but again, guys, for the month of february, ford sales down 8.9%. >> phil, we're just. >> getting a thank you for that. we're just getting some comments. >> from on. >> the wires from the mexican president, claudia sheinbaum, who is saying whatever the decision is from the us. again, this is regarding the tariffs set to take effect 25% from mexico. we will make our own decisions, she says. we have a plan b, c, d, whatever the decision is, we'll we'll talk more about it tomorrow. and i do wonder what sort of reaction, what you're hearing from the auto industry, with so much at stake here when it comes to the

disruption going over the border, when it comes to making autos and how much we're going to pay extra if these go into effect. >> we won't know for at least 3 or 4 weeks how much the automakers ultimately. have to increase vehicle prices. and i wouldn't expect it to be on a model per model basis. in other words, let's take the ford maverick, which is built at their plant in mexico. do i expect ford to take the full impact of any tariffs that are put in place, let's say, after they burn through their inventory and say, okay, well, we're going to jack up the price by 5 or $6000, whatever it might be. in terms of a tariff cost. no, what they're more likely to do is to spread that out across the vehicle, line up offset incentives as much as possible. they don't want to make a dramatic shock in terms of prices going up. and that's not just at ford. that's all automakers. i think the thing that everybody is looking at, sarah, is what's going to be the situation two months, three months, four months down the road, the automakers can shift

around their production and already have, to a certain extent, maybe increase production. so they brought more vehicles across the border before the tariffs went into effect. suppliers building up their inventory down closer to the plants. so they're not impacted by the tariffs until, you know, they can burn through some of that inventory and the suppliers there, they just don't have the flexibility that the automakers do. so they're the ones where initially you're going to see the real impact for them. and the question is how much of what they are hit with in terms of tariffs. can they then turn around and pass along to the automakers? historically, the automakers have said, oh no, no, no, no, no, no, no, no, we're not bearing the full cost on whatever it might be, whether it's tariffs or something else. they have always had much more power with their suppliers than the suppliers have had with them. so that's going to be the first area where you'll notice an impact. >> meantime. >> phil. >> some stories. >> on. >> the wire today are trying to put a number on on the gross, not the not the amount that's

passed on or not, but the additional cost of building a car. some say four grand for a. crossover utility. >> some say. >> as much as 12. i wonder if you think those numbers are fair. >> they're all over the place because it depends on the type of vehicle and it depends on where it's being built. a vehicle built in mexico has lower costs than a vehicle built in canada. also, a pickup truck has a different cost structure than if you were to build a compact hybrid electric vehicle, let's say up in canada. so that's the that's why people sit there and they say, well, what's it going to be? it depends on the vehicle. and it could be as low as $4,000 for a lower end vehicle, or as much as 12,000 for a luxury vehicle that is packed with content. it really does depend on the model, and i know that's not the answer people want, but we really won't know here for several weeks in terms of how the automakers are going to adjust and how much of this they're able to pass along in terms of somebody's going to have to pay it at some point?

>> well, either way, phil. >> glad. you're in the chair this week. >> it's going. >> to be a busy one. phil lebeau helping us understand the big picture from the automakers perspective. take another look at the pre-market as we're going to start this week, at least out with some green. squawk on the with some green. squawk on the streets back when we return. (grandpa) i'm the richest guy in the world. (man 1) i have time to give. (man 2) i have people i can count on. (grandma) and a million stories to share. (vo) the key to being rich is knowing what counts. it's time to feed the dogs real food in the right amount. a healthy weight can help dogs live a longer and happier life. the farmer's dog makes weight management easy with fresh food pre-portioned for your dog's needs. it's an idea whose time has come.

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any industry and change the world. >> take a look at some index gainers that bounced in crypto. definitely going to extend to some of those popular. momentum longs. mr. as jim likes to call it, leading the index. >> this morning. >> followed by applovin microchip intel with some companies pacific headlines. >> which we'll get into. >> stocks was down 7%. >> last week. >> and the opening bell coming up in four minutes. >> experience the power of cnbc pro. all new investing tools securely linked to your brokerage accounts. become a smarter investor with the power smarter investor with the power of

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trillion in assets worldwide. solving for the needs of investors. today and tomorrow. >> that's the. >> power of nuveen. >> the opening bell is brought to you by nuveen, a leader in income alternatives and responsible investing. >> the movie industry. >> netflix leads. >> all studios. >> with an impressive 18. >> count em, 18 price increases. >> yes. >> and i. >> think they can. >> beat. that next year. >> let's go. >> to o'brien. >> on the. >> oscars last night. netflix making it into the opening monologue during the ceremony. a stock, of course, up about 11% so far this year. congratulations to honora for its wins. and deshaun. baker who, by the way. >> wins four oscars for a. >> single film. >> in a single night, which not

even disney. >> walt disney swept. got it. i've got to see this film, apparently. i mean, what he should have joked. >> is congratulations. >> for 60% share appreciation. >> over the last 12 months. >> it's been one of the best performing communication services stocks. and while they have raised prices, they have not raised prices 18 times. yeah. good enough to. >> be. >> on the cbc real time exchange with the big board. >> in the city celebrating women's history month at the nasdaq. euphoria therapeutics focused on treating neuro psychiatric disorders as we have made it back. >> to. >> 5970 or so. we mentioned. tesla before the bell and adam jonas over at morgan stanley today does make it a top pick. it's been a staunch defender of the stock for some time. he has clearly not deterred by some of the price action. and this 40% drawdown. no the drop in the shares of course he referred to as well as sales that are are not as strong as many had hoped

they would be. certainly. but that said, it's not that part of the story that at least mr. jonas is focused on. it appears that he's focused on the opportunity when it comes to robots, really. and you can see here he's sort of pointing out the obvious in terms of where we are and why he's got a bull case. but a lot of the report is focused on, as you would expect it would be, because this is where elon musk is focused on both robo taxi and perhaps even more importantly, the optimist robot saying his calculations. this is jonas. every 1% of the us labor force that can be captured by tesla optimus is worth approximately $100 a tesla share. going on to say many robotics and embodied ai experts we speak with believe the humanoid robot market opportunity is larger than autonomous vehicles. so that's where he's gone. now. sarah, in terms of a reason why you want to like the stock. >> and i think he.

>> he addressed the auto. deliveries in europe and the fact that they're weaker. and he defended it and. >> said it's. >> emblematic of a company that's in transition from an automotive pure play to a highly diversified play on ai and robotics. he said nothing in the narrative has changed. and that's. >> why. >> yeah. >> he still. >> likes it. yeah, much. >> well, although we should make note of the protests we saw over the weekend in several cities, i think cnn had the number at 50 various tesla showrooms where people came out and protested musk in particular. some of that's related to his efforts surrounding doge. we had some nine arrests, i believe, reuters said in new york city. but if jonas is right, it's going to entail some of. musk disassociating his political self with his corporate self. i think that's going. >> to be. >> very difficult for him to do. you know, last week we were having this conversation, given how often we talk about this, for obvious reasons, i think we will again. but that annual meeting is not that far away. he

still hasn't gotten that comp plan approved, even though it was approved overwhelmingly by his own shareholders. that's a weird one there, chancellor mccormick said. no, it's still not enough. so it's gone to the supreme court. i bring up the annual meeting, though, because. you know, so much is going to get wrapped up there about what is he doing? how much is he working for tesla? is he going to be held to certain certain disabilities? and you might have to come up with a new comp plan, which is going to wrap in a lot of this current uncertainty. >> so i also. >> just i struggle to find any evidence that what's happening with tesla is related to the fact that he is spending so much time in the oval office and so focused on doge, we just haven't seen it yet. maybe he'll have to defend that. maybe if the stock keeps falling. >> yeah, sorry. >> i mean it's always listening. he has so many different companies right. we don't talk about spacex not being run by him. gwynne shotwell obviously runs that company, but. we think of it as musk company. and then, yeah, the smaller, more smaller companies, neuralink. and then

there's x and x i, which is not unimportant at all. and what they've been able to do and the focus that we know he's had there. so you can make this argument. >> exactly as many times. >> as you want, but this does add another layer of it. i mean, you rarely see. >> him. >> not within about 100 yards of the president. it feels like like over the. weekend they. >> were at mar a lago. >> on that runway of sorts. yeah, yeah. >> they they surprised folks. >> at an event that were. >> attending an event at mar a lago. >> so i know. >> trump's dancing and elon's got x on his shoulders as usual. that's his it's one of his. >> he does spend a lot of time with his kids. he's someone who does i think. >> 14 children now. >> yes. >> there were a number is going up at a rapid pace. >> well, he feels strongly. >> about populating. >> population growth. yeah. >> population growth. >> so does siobhan gillis one of his many. >> yes. >> yes. >> she came out and said that. >> there was a. >> new elon offspring.

>> yes. all right sarah, let's go to you now. yes. because you are expert in all things kroger. so what happened. >> i wish i, i wish i knew so shocking news this. >> morning that kroger announce, effective immediately, kroger ceo long time ceo rodney mcmullen has been ceo at least ten years, is resigning after board investigation into his personal conduct. what we know is that it's not related to the company's financial performance, operations or reporting. it did not involve any kroger associates, according to the company, but clearly was enough. it's something between rodney and the board. look, i saw him last week. there was no sign of this or anything wrong. the company is actually set to report results on thursday. he was set to be a guest on our. >> show immediately. >> it's an ethics issue, but we don't know. >> we don't know. we just don't know. you have to do. you're going to find that. you're going to figure that one out. that's someone i know. look, rodney is someone who. >> started at kroger back in the 70s as a bagger. he bagged

groceries in lexington, kentucky. he has been with this company for decades, and he has, as ceo, steered this company through some interesting periods. covid where there was a rush for growth trees, an attempt to buy albertsons that was then blocked and sued by the ftc. >> and there are those. >> there are those who believe that was. >> certainly a. >> fail of significant proportions, and one in which at least his job potentially could have been in the balance. but that's not about. >> that's not what this is about. >> it's not about. >> that personal conduct. you don't go there when you talk about performance, how i will just say the performance. >> of kroger, actually, despite. >> the fact that they didn't win that. >> deal has. >> been good. and in this release, they actually said that. >> performance was tracking. >> better than expected. and that's why initially the stock was up a little bit pre-market. it's now giving back, but they will. >> report and the sales and the stock performance has been quite strong as the market has gone for defensives in this type of market. and then and as kroger has, has shown that it actually can do well despite the

albertsons blow. but but this is surprising. so what's going to happen is now they're putting an interim ceo in place. someone from the board. >> ron sergeant. >> ron sergeant who is he was a head of staples for ten years. i don't think that he is expected to be in any kind of long term ceo position. he's 70 years old, but but also someone who knows the company knows, i'm told the executives very well and the team, because he's been on the board for really long time, the early 2000. so they they're going to do a ceo search now for a permanent ceo. just really surprising. and internally, i'm told very surprising announcement as well. >> yeah. one could imagine that would be the case. taking a look here at the broader market, we do have the s&p up almost one half of a percent. nasdaq similar gains at this point. microsoft and nvidia though are a bit weaker. nvidia noticeably. so i want to take a look at shares of intel because there were those reports that at least

nvidia and broadcom are sort of testing things out when it comes to the manufacturing capability of intel, its new manufacturing capability, would it actually be in a position to potentially fabricate chips for those companies? and that report at least has shares of intel up some 4% this morning? nvidia is continuing to show significant weakness. no real news. obviously that has been the case largely since earnings, despite the fact that those earnings by many accounts were considered to be quite good. you know, you continue to have this overall concern, i suppose it is certainly the out years, let's call it not 26, but on from there, carl, that that there is going to be some sort of diminution in demand over time or perhaps even during the course of this year. capex budgets have nowhere to go at this point, given the huge commitments but down and what that could mean. but you see nvidia and the continued weakness. >> yeah. >> we're lucky that we're going to get quite a few catalysts

regarding nvidia in the coming weeks. they present, i think, a couple of times this week at a cowen healthcare conference and then the morgan stanley tmt conference, in addition to jensen's keynote in the coming weeks. but overall, the weak, the weakness in anything semi related is notable today. broadcom amat on and certainly nvidia the biggest laggard on on the index other than intel which we've pointed out is up for a different reason abbvie is trying to join the obesity party so to speak. i'm also reading here from a bernstein research report, they're licensing something something they're licensing a molecule from a company called gubra. also button. yeah. and it's a potential best in class, long acting amylin analog for the treatment of obesity. you can take a look at the shares moving up ever so slightly. but this continues to be a locked up market with obviously two key players lilly and nordisk.

>> i just i just want to go back to kroger if i could, for just a moment, because now i have my hands on an internal memo that was sent out this morning by ron sergeant, who's now the interim ceo. again, still questions about what happened here. what they say is, and he's telling employees in this memo, i want you to know that this decision was made after a thoughtful process aimed at upholding our values and putting the well-being of the entire organization first. here's some more details i can share with you that come from the memo to employees on february 21st, the board. so that was very recently the board was made aware of certain personal conduct by rodney and immediately retained outside independent counsel to conduct an investigation, which was overseen by a special board committee. rodney's conduct is not related to the company's financial performance, operations or reporting and did not involve associates. we will not be providing any details of the investigation other than to clarify that the personal conduct was unrelated to the financial reporting, as i just mentioned. and then he goes on to talk about himself, mr. sergeant, who is now going to be

interim ceo, sort of introduce himself and also says here in the memo that he his first job, too, was at kroger on sergeant. so like rodney has a long history with the company. but still i think some questions about what exactly happened here and what comes. >> certainly to the fact that the board would take that kind of action. you do have to wonder, at least be curious to know what it was given. it was outside the realm of company business, perhaps. sarah, it would appear i. >> wouldn't involve company employees because, you know, sometimes that's the relationship thing. >> so something yet that still would reflect on both the company and mr. mcmullan in a way that they that the board felt like he had to be dismissed immediately. you're going to find out. >> i'm going. >> to find out. you're going to you're going you're going to guys small company but kind of well known. i don't know if anybody here has been to the sphere yet. that company is actually doing fairly well. are you going you know who you're going to see. >> yeah. devin company. >> oh. all right. that'll be good. that'll be good. you want. yeah. you don't want to be. >> i don't know. you want to be

high. >> yeah. >> you want to. >> be high i know i think i'm a little low. >> well, you want to be high in a lot of ways. >> but definitely helps. >> but, but definitely. >> not in the lower part of the state. you're allowed to say anything. it's cable with a ticker, as joe kernan's always said. but i did want to point this out. this is msg networks. now. it's a part of sphere, but this not has nothing to do with the teams, nothing to do with the knicks and the rangers, but it is the network by which you can watch them. and it's flirting with bankruptcy. and i thought it was worth a mention because this did come under other matters. in the press release announcing spheres numbers which were perfectly good. they've been trying to they've been getting forbearance on what they owe about 804 million principal amount under credit facilities and a principal repayment of 25 million was made in early february. but they're trying to refinance. they're trying to negotiate, excuse me, a refinancing or work out that indebtedness. but you can see the language there. it's fairly

fairly tough in terms of saying, hey, if we can't figure it out, it's probable msg and its subsidiaries will seek bankruptcy protection. don't worry, knicks fans. i don't think that's going to impact your ability to watch the games, but it is notable. and you can take a look at shares of sphere. i think in some ways it's viewed because it would file separately, that it would actually be seen almost more positively. carl. but i want to do a little more work on that. it's interesting. a lot of the vegas related names are doing quite well here at the open, helping to lead the s&p wynn elves actually extends a little bit broader to a lot of travel. disney's one of the top dow components. airbnb's green the cruise lines all that. even though jp morgan today cut southwest to underweight. they talk about what they i'll read it while we're all for well managed turnarounds. >> the ask. >> at southwest. >> if one. >> embraces the concept of returning to the industry's margin porch is herculean in nature, in our view, even with elliott giving them some discipline. >> i.

>> think the casino move that the china story was a little bit better overnight. they got a pmi manufacturing number that came in above 50 in expansion and that was not expected. so good economic data. i'll also just point out while we're overseas, carl, the dax is up 3%. we're adding to gains this year. and it is the defense companies that are leading the charge in a big way here. after that summit over the weekend with ukraine still to come, the canadian energy minister says tomorrow's tariff deadline looms large. before we head to break, though, time for the bond report show you how treasuries are faring this morning after what's been a pretty big fall for yields over the past eight weeks or so, yields currently a little bit firmer 4.237. we're going to get more manufacturing numbers here in the us at the top of the next hour. we'll be right back. >> the bond report is brought to >> the bond report is brought to you by ♪ something amazing is happening here.

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is a february final read replacing the read from mid-month mid month read 51.6 new read 52.7 52.7. that equals june of 22. you have to go to may of 22 to find a higher number. and what's interesting here is it holds on to its back to back over 50. last time we had back to back over 50 was made in june of last year. we still have construction spending and ism pmi yet to come. stay tuned for those because squawk on the street will return after on the street will return after a ruri: ichi, ni, san, shi... (1,2,3,4...) hina: ichi, ni, san, shi... (1,2,3,4...) akari: ichi, ni, san, shi... (1,2,3,4...) others: ichi, ni, san, shi... (1,2,3,4) ♪♪ ♪♪

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this. point of how the talks. >> are going. >> with the trump. >> administration and. >> just how likely it seems like tariffs are at this point? >> i think the. >> president has been clear. >> that at least this. round of, of. >> threatened tariffs are. really a function. of discussions around. >> the border. there have been lots of discussions. >> between canada and. >> the united states with respect to how do we better secure. >> the border. i have said many times that no one. illegal crossing and 1 pound of fentanyl going across. >> the. border either. >> way is too much. and we. we certainly agree with. >> the. >> president that. there is more that can be done. and we have seen, you know, some very significant action on the part. >> of. >> both governments. fentanyl seizures are down about 97% in the last couple of months across from canada. and that was from a very low number. so i do think that we're making progress. >> in. >> those conversations. >> but i would say whether the. >> president agrees. >> and whether. >> he moves. >> to put. >> tariffs in place. >> i think. >> ultimately is going to be. >> the.

>> president's decision. and i'm not sure anybody knows what. >> the answer. >> to that is going to be. >> yeah, absolutely. despite those talks last week, i know there's. still a long. >> way to go. >> maybe just a coin. flip at this point, whether or not those tariffs take effect. >> on the energy. >> side. in particular. >> we are. >> looking. at potentially a 10%. tariff on. >> canadian energy. >> products rather than 25%. but even still, can you walk us through what's the. >> impact likely. >> to be there. >> both for american. >> consumers as well as canadian? >> i mean, tariffs. >> on on canada from my perspective, certainly will create economic pain in canada, but it's also going to create economic pain in the united states. we will see higher gasoline prices. >> as a. >> function of energy, higher electricity prices from. hydroelectricity from canada, higher home heating prices associated with natural gas that comes from canada. you know, and higher automobile prices. you know, we estimate. >> that it's at least $2,000 a. >> vehicle more. >> that people. >> will have to pay. >> so, you. >> know. >> i have made. >> the argument many times, and

i've heard now a number of republican senators say similar things. >> that this. >> this is something that's a lose lose proposition for both countries. we are two countries that have. historically been friends and allies, and there are so many things that we. >> can do. >> to address the real threats to north america. which is china and russia. and i have been saying every time i come to washington, and i'm going to be there again. >> later. this week. >> that it. >> would be better for us. >> to focus. >> on things. >> like critical minerals than the break the supply chains that china presently controls. and, and the. >> united states is. >> dependent on. >> we can do that. >> but but we need to back away. >> from. >> the tariff conversation. >> i do want to ask about critical. >> minerals as well. >> but first i want to ask about retaliation. canada has been open about the need to. retaliate if these. tariffs do move forward. can you talk us through what. that would. >> look like, and. >> do. you anticipate energy products getting caught. >> up in that retaliation. >> as well? >> well. >> i. >> would. >> say if the united. >> states moves. >> to put. >> tariffs on. its best friend

and. >> closest ally. >> it. would be. >> an aggressive move and would be seen. by all canadians as being a very aggressive move. and we would need to retaliate. >> there is no. >> universe in which the government of canada could not retaliate. but certainly i. >> think where we would start is. >> looking at. >> products that. >> are sold in large volumes by american companies into canada, for which there. are readily available alternatives for canadians. so, you know, think orange juice, think kentucky bourbon, all those kinds of things. would we actually get t. thinking about doing something with energy and critical minerals? well, i mean, nothing is off the table. but i doubt that that's where. >> we would we. would start. >> not the. >> first round, certainly. >> on. >> critical minerals. what would further cooperation look like? and if the us didn't. >> take canada up on that offer. >> where is it looking elsewhere? where would it. >> have to. >> look elsewhere for more. >> supply of. >> critical minerals? >> yeah. >> so i have been pitching. >> this idea of. >> essentially a critical minerals alliance. >> that would.

>> select a number of very specific minerals that are. >> required for. >> defense, for semiconductors, for energy applications, for which right now the. >> united states. >> has no choice but to buy them from china. >> and in. >> some cases, china has actually banned the export to the united states. so things like germanium and gallium and a range of others, we have projects. that we could ramp up production of some of those kinds. of things. >> in a. >> partnership with the american. >> government and with end users. >> of those. >> products, to be able to actually become more secure from a national. security perspective. but certainly, if. >> the united states chooses to go elsewhere, at this stage. >> it's only option for most. >> of these products. >> is china. and in some cases, like potash or uranium, the only option is russia. it makes it. >> very hard. >> for someone like me to think that that canada is somehow. >> a greater threat to the united. >> states than china or russia. it just doesn't make much sense. >> minister wilkinson, we have. >> to leave it there. thank you so much for joining us today. on a. >> big, consequential day for. both canada. >> and. the us. carl, i will.

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microsoft, apple they're all weaker right now. it's being offset by a little bit of strength in palantir and costco inside the nasdaq for instance. but again there's a bit of a rotation into defensives like consumer staples health care. those are your winning sectors today. financials are up today. real estate is up as well as for treasuries getting some manufacturing data which we'll hit in just a moment. we are seeing a mixed picture. the ten year yield has just gone lower. so it's reversed 4.2%. and the two year yield holds above 4% 30 minutes into the trading session. here are some movers we're watching. keeping our eye on the chips today. moving on. reports that chip designers nvidia and broadcom are running manufacturing tests with the company, which could lead to some big contracts. we're talking about intel. that is where they're running tests there. intel. the other two lower tesla higher after coming off its worst month in more than two years. morgan stanley's adam jonas reinstating the stock as a top pick in the us auto space $430 price target. and we are tracking the fallout from

president trump's plan for a crypto reserve. lot of movement in this space. we'll tell you all about it. but obviously the crypto related stocks, they were moving higher. coinbase is a little bit higher. robinhood lower. bitcoin surged again yesterday. given some back today. >> some of this air pocket might be explained by ism. and just crossing the tape. let's get to rick santelli. hey rick. yes definitely. there's some weakness creeping in. let's start off with construction spending our january number expecting down a 10th. we end up with double down 2/10. down 2/10 would be the weakest since september 24th in terms of month over month change. now let's get to the money numbers shall we? ism. these are the manufacturing pmis expecting 50.7. it comes in manufacturing light 50.3. that is the weakest level. well consider this. there's a positive here 50.3. last look was 50.9. so we have january and february now both back to back

over 50. that is the good news. first time that's happened since sep in october of 22. here's where it starts to get a bit dicey. prices paid 62.4. well above expectations. well above 54.9 in the rear view mirror. that's the highest prices paid since june of 22. but that doesn't explain yields going down. yields are drifting south. they are ignoring prices paid. weakness in new orders 48.6 weakest since august of last year. and employment on the week of employment weakening. probably what is moving the market here 47.6 the weakest since of 24, which isn't that long ago. but the fact of the matter is, we had one reading above 50 50.3 in jan first in sep 23, highest since september 23rd. and now we reverse back down. we see that we're hovering at four 24. 20 would be down two basis points on the session.

sarah back to you. >> kind of feeds into the stagflationary worries a little bit with the higher prices and the weaker new orders and jobs. thank you rick rick santelli. and we are going to get jobs at the end of this week. this is a big week in terms of potential catalysts beyond today's numbers on manufacturing that that rick just reported. we're going to get the adp employment report. that's the private sector. read. and then friday is the big jobs report. there's an ecb decision coming this week where they are widely expected to cut rates. and they got some better inflation data that would lead them to that point. and then the beige book of course the fed pays attention to what the districts are saying around the economy. the president will address. congress said he's going to be not hold back on that so eagerly awaiting his speech. and then the tariffs are expected on canada and mexico tomorrow, unless there's some sort of a deal that president trump can work out, by the way, on jobs, when there's a lot more focus on jobs, because we are getting some signs that the job market is weakening further. what rick just reported inside

the ism survey, the jobless claims number last week was very elevated, for instance. so we'll see. and it matters because if we do see some more pronounced weakness in jobs, that's what causes the fed to pivot away from its on hold stance. they said they were watching out for weakness in jobs. they want to preserve the jobs jobs market, so that could lead them to cut sooner rather than later. we're about two and a half cuts priced in for all of 2025, which is a little bit more than where we were early february. so there's a lot riding on this jobs report, as always, but even more so. also there's this idea of the there's the fed put and then there's the trump put. is he going to get worried about the economy and maybe hold back a little bit on some of these tariff policies. >> although the journal or the times over the weekend wrote about how he's been oddly silent about stocks, whereas before he. would say, i think one of his tweets famously was stock market beginning to look pretty good to me. we haven't heard that yet, by the way. these ism numbers, rick pointed out new orders, but it's the biggest drop.

>> in ism manufacturing. >> new orders since march of 22. so we'll just add that to the retail sales, personal spending, jobless claims. worry list. >> we're supposed to get 185,000 jobs. government jobs will be interesting in the report because they've been averaging about 25,000. they are set to be a little bit smaller than that because of the federal hiring freeze. not necessarily a huge impact on the february data yet, but we'll look for it. unemployment rate, whether it stays at 4% and then tariffs. right. and how is that going to impact the economy. demand planning, capex plans from companies, inflation, all of that. i'll just note one chart that came from jp morgan's economic team over the weekend, which is the tariff overall tax rate of where we were, of where we are. and they look at two scenarios, one with the steel and aluminum tariffs going into place, and then one with the

china, mexico, canada tariffs going into place. just to put it in perspective, i just wanted to show you historically, like we have been trending lower. and even in 2017 and the trump trade war, we went from 1.4% tariff rate overall to 2.3%. now we're talking about a move. >> up like 100 plus year chart. >> yes. >> right. okay. just want to make sure i this is hartnett from friday b of. >> a no. this is jp morgan. over the weekend on. 1901 effective. >> tariff the left side right. >> yes. and that's. yeah. right. so we have high tariffs back in our history right. yes. trump likes to harken. >> back to that many times mckinley and yeah. >> but in the era of globalization and free trade it's been much lower. so what they project here and again, this is very imperfect science. but the recent imposition of the 10% tariffs on china lifted it another 1% on the effective tax rate. and then a more another 10% on china. and then the canada, mexico would lift it to 9%. >> so that's. >> where that little orange dot, the orange dot would take.

>> yeah we're talking about 9% effective tariff. and then if he goes on to europe, as there have been threats as well to 25%, it would lift it to 12 to 13%. >> that'd be a straight line up. >> correct. what this doesn't show is what the elasticity is or what what what demand would look like. you know, how much people would hold back on buying our imports if we have it. it just shows that it's a complete sort of regime change from where we have been. and that's why i think companies and investors are trying to figure out what it ultimately means. >> the other good one, if we. >> look at that chart one last time, i think it was david rosenberg week before last said, if you were really going to replace what personal. income tax collected, you would take the effective tariff rate to 30. so you'd be back pretty much to the highest level on that chart. >> in other words, it's going to it's not enough to fully do that. but, you know, could be an important revenue raiser. i'll just. >> back, by the way, i would point out when the new york customs person who had that job, which i think was chester arthur chester, a arthur, became president when garfield was, was

assassinated. that was one of the most important jobs in the country. it paid $50,000 a year. wow. it was all patronage, by the way. but that's they collected all the taxes for the country back in the 1870s, 1880s. >> so who needs an income tax? i mean, that's great. >> that's we'll go back to that. that'll be a great job. they want to be the customs guy. >> i mean. >> hard to imagine that we can collect enough revenues, but that's certainly part of it. i'll just note one other thing, though, that the white house should point to. and this is on the winning side. there's a report from reuters today that honda civic is going to make its new honda is going to make its new civic cars in indiana instead of mexico, in sort of a quick pivot and response to what is happening on tariffs. this is the kind of stuff that the trump administration wants to see and shows why it could work in terms of bringing american manufacturing to this country. so we'll wait. this is the first major announcement i've seen, or it's a report at this point from a japanese automaker on that front, making the honda civics

in indiana instead of in mexico. we'll see if we can get more of that, because that is ultimately one of the points here that he's trying to do would be a win. anyway. let's see how the market's going to take it. all major averages. we know posting losses in february. nasdaq coming off its worst month here since april of last year. we're continuing the selling this morning despite the fears about the impact of tariffs. our next guest continues to bet on the resilience of the american economy. forecasting growth will slow during q1 before accelerating in the back half of the year. joining us is ed yardeni, our research president. you're not worried about some of these data signals. we're getting the latest just this morning on ism. new orders with a big slip. >> yeah, that was a bit of. >> a setback to my thinking on the economy, because the regional. business surveys conducted by five of the 12 district district banks actually suggested it would be stronger. >> so we've got five regional surveys. >> looking better than the ism. so i'm going to go with the

regionals because they support my view that the economy underlying it all is resilient. look, we just had three years. where it was widely anticipated that we'd have a recession. >> because the fed raised. >> interest rates significantly. and yet the economy remained resilient through all of that. and i think we have to learn from that experience that perhaps the economy is going to remain resilient. i think some of the weakness that we saw in the indicators for january had to be weather related. it was the. coldest january. since 1988. >> and so, yeah, i do. >> think retail sales are going to snap back. i think employment could be up more than the consensus expects, maybe 200,000. obviously, much will depend on how much of the dodge boys layoffs in the government are going to start showing up in the february data. i think most of it's going to show up in the march data. but all in all, i think the economy is in fact going to demonstrate its resilience. but i think more of it's going to be showing.

>> up. >> in the second half of the year than. >> the first half. >> the first half, we just got. >> a lot of volatility. >> around all the uncertainties unleashed by. trump 2.0. >> what about tariffs as they start to play out i mean just as an example autos right. kelley blue book says the tariffs could raise the us average price of a car by $3,000. it's already $49,000. the price of some full size pickup trucks could shoot up by $10,000. what about the demand impact of tariffs here? >> well. >> i think we have a fluid situation. >> as administration. administration just. characterized the canada. >> mexico tariffs. >> we'll see. we still have a day before the tariffs go up to 25%. and canada and mexico. and i'm sure there's a lot of negotiations going on. mexico has already come back and said that. >> they will. >> slap the same tariffs on china as the united states is slapping on china. >> so we may find that the whole

situation. >> looks somewhat different tomorrow. >> but i. >> think a lot of. >> these tariffs. >> are not retaliatory so much as reciprocal. the idea is to raise tariffs to mostly to match tariffs of our trading partners and then negotiate, negotiate them down. so i think at the end of the day when this. >> all settles. >> out, there'll be a lot of negotiations that actually lead to lower tariffs by our trading partners rather than retaliatory situation as we had in the early 1930s with smoot-hawley. >> but i do wonder what that does for earnings, right, for companies that either have to absorb it or pass it along what it does for their spending plans as they try to figure out the new cost structure and try to figure out where the tariffs are going to hit next. >> well, it's not it's not. good if these tariffs obviously. >> are permanent and persistent rather than transitory. kind of reminds me of the discussion we.

had way back when on whether inflation was transitory. >> don't use that word. that's like a jinx word. transitory. >> sorry about that. >> but yeah. >> i think you're right. i think in the short term here it. >> creates a lot of. >> uncertainty about earnings. and we are seeing analysts lowering their earnings for the. >> for. >> the first quarter. so they're obviously reading the newspapers, reading the headlines, watching you guys and recognizing that right now the way tariffs are going, it's not good for the economy. it's not good for the earnings. we did i would point out. have record earnings in the fourth quarter. and they were up 14% on a year over year basis. analysts had. first thought they'd be up 8% again, showing. the underlying surprising. strength of the economy and the ability of companies to increase earnings. and i think that's going to continue to be an offset to some of these other concerns. in other words, we tend to pay a lot of attention to what's going

on in washington and washington matters, but we often forget to recognize how well the economy does despite washington. and that's kind of the thesis i have is that the economy is going to prove to be resilient, notwithstanding. washington. >> all right. ed, thank you for joining us with that dose of optimism today on another down market day. ed yardeni, my pleasure as we head to break, here's our roadmap for the rest of the hour. president trump announcing a strategic crypto reserve including bitcoin and several others. we're seeing cryptos rallying on the news yesterday, giving up some of those gains right now. what investors need to know. >> plus, if you haven't heard, we are counting down to those tariffs. we're going to head live to beijing about preparations that are taking place in china. plus a closer look at how retailers will be impacted. mag seven. >> stocks underperforming for. >> a second straight month. >> how to. >> play that group from here as this march. >> trading season. >> kicks off as squawk on the street continues after this street continues after this short break.

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sale and make your dream office a reality. >> welcome back to squawk on the street volatile trading for cryptocurrencies giving up their gains. this after rallying on the news from president trump that he is planning a crypto reserve. mackenzie sigalos is tracking all of this for us. what do we know and what do we think? mackenzie. >> hey, david. so even. >> as. >> token prices. >> turn lower. >> crypto stocks are in the green trading platforms. like robinhood and coinbase, as well

as bitcoin miners mara and. >> riot are all moving. >> higher as investors react to the president's announcement that he plans. >> to launch a national reserve. >> of five. >> digital assets. so here's what we know. >> bitcoin. ethereum and. >> a trio. >> of high. >> volatility tokens. >> solana. xrp and. cardano will comprise. >> this new reserve. the crypto market has largely priced. >> in the news. >> after a weekend rally that saw cardano surge 70%, while bitcoin jumped from 78 k. to over $95,000 before pulling back now. one key driver behind these gains is the president's shift in language from stockpile. >> to reserve. >> a signal that the us may actively acquire and manage digital assets rather than. >> just holding seized tokens. >> attention now turns to friday's white house crypto summit, where investors are waiting to see whether. trump's ai and. crypto czar david. >> sacks outlines a. >> buying strategy. but even the industry's biggest bulls are raising concerns about using taxpayer dollars to put virtual coins on the country's balance

sheet, especially when the us. is already running a $2.1 trillion deficit. >> and unlike. >> traditional reserves. >> of gold, petroleum. >> or grain. commodities stockpiled for strategic security, this reserve would function more like a speculative investment portfolio, so its benefit to taxpayers remains unclear. >> beyond making some investors. >> much wealthier. >> guys, that sort of what i was going to ask mackenzie, which is we know why we have a strategic oil reserve, right? we need emergency oil. and it's been used to counter higher prices or during wars or geopolitical strife. what why the strategic bitcoin reserve? what has the white house said if anything, about it? >> well, the white house and also some lawmakers who are proponents, such as senator cynthia. >> lummis of. >> wyoming, have said that it could be. >> a. >> hedge against inflation. but a lot of those arguments don't. >> hold up. >> and so what a lot of people are looking at is what, you know, might be reasons to put some of these cryptocurrencies in a reserve. yes, they are. >> all top ten market cap.

>> but you know, the president himself. has ties to. certain cryptocurrencies. he built his meme. >> token on top of. >> solana's blockchain, ripple, which is the company. behind the xrp token, donated $5. >> million in. >> xrp to the president's inaugural fund. so there are questions. >> about why certain. cryptocurrencies ended. >> up on this. ended up as part of this reserve. >> mackenzie. pretty interesting. it's going to be a busy week. we'll see what happens friday to mackenzie sigalos with the crypto watch. meantime, next hour do not miss strategies. michael saylor will get his take on that potential crypto reserve that's coming up at 11:30 a.m. eastern time. after a break. wall street bracing for those new tariffs on. >> china, canada. >> and mexico taking effect tonight at midnight. we'll talk about the fallout. for retail and for china as the s&p is down about 15. stay with us. >> on cnbc. crypto world is >> on cnbc. crypto world is sponsored by today, she starts with a drive. but the real work came before,

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unprecedented access to global leaders on high point's inspiring campus. and parents appreciate hpa's god, family, appreciate hpa's god, family, and country values. - [narrator] this is my coffee shop. we just moved into a bigger space, brought on another employee, and ordered new branded gear for the team. it was so easy. i just chose my products, added our logo, and placed my order. bring your own team together with custom gear. get started today at customink.com. want to be a heretic in a market that's gaga for nvidia, but i think bonds represent safety in a world where. >> the president, not. >> inflation, has. >> become the chief impediment to higher stock prices. too many companies. >> can be tariffed. there's just. >> way too much fear. >> mad money weeknights at six eastern. cnbc. >> getting some news on taiwan semi. let's get to eamon javers in dc. hey eamon. hey there carl. that's right. wall street journal is reporting that chip.

>> maker tsmc is set to announce a $100 billion investment in. advanced chip manufacturing plants here in the. >> united states over. >> the next. >> four years. >> that announcement, expected. >> to come at. >> the white house later this afternoon. >> the white. >> house has an event. >> on the. >> schedule at 130. >> for what they're calling an. >> investment announcement. >> that looks like. that's when we'll see the official news. >> from president. trump and tsmc. but obviously. >> this comes as. >> part of a broader effort. >> by the trump. >> administration to onshore chip manufacturing to the united states. the biden administration focused on this intently. now we're. >> seeing the. >> trump administration focus on this as well. and as. >> you know, president trump enjoys. >> making these big. >> bombshell announcements. >> with large dollar. figures attached to them. >> $100 billion is certainly. >> a large. >> dollar figure. and we'll see that. >> announcement at. >> the. >> white house. >> later this afternoon. carl. >> back over to you. hey eamon it's david. hey. tsmc already has a fairly large fab in arizona right? i mean, do we i don't know that we have any details here. whether it's an addition to that or you know, is this part of a previous previous

investment plan or completely new manufacturing. any ideas? we don't. >> know just yet. we're going to have to wait for. >> the. >> details, david. >> but what. >> we've seen in the past is. >> some companies have. >> been currying. >> favor with the trump administration by announcing things that they've previously announced and sort. >> of repackaging. >> them as new announcements. >> we'll see if that's. >> the case here. >> obviously. tsmc is in arizona. we'll see if these. >> particular plants will be new plants. will they. >> be in arizona? will they be somewhere else in the country? >> all that. >> detail still tbd david. >> well, also, i mean, this was tsmc was supposed to be a beneficiary of the chips act, which, you know, earmarked, you know, so much money, billions of dollars to build manufacturing in the us. i, i wonder if it's part of that and if that continues here into this new administration as part of this investment drive. >> yeah, absolutely. >> all good questions. and you know, we'll wait and see what the. >> press pool. >> asks the president. >> at 130. >> okay. >> good. one other important point here. i mean, obviously, you want to move as much of the advanced manufacturing from tsmc as you can, or at least equal

its ability to produce the, the, the chips with the smallest size, so to speak. but they haven't been able to do that in arizona, at least according to the latest reports. it's not it's they're not equipped with their most advanced chip technology. at least that was the last reports i saw carl earlier this year in terms of what they're doing in arizona. yeah. >> but we want that. >> we do, we do. it's very important because those are obviously i think i think nvidia's chips are still largely manufactured in taiwan. >> and that's what's critical for ai related chips, which we need. alright. the countdown is on for tariffs set to take effect at midnight tonight. we're talking about 25% tariffs on canadian and mexican imports into the united states, and another 10% duty on chinese imports. eunice yoon and courtney reagan here with more on the fallout. eunice, we'll start with you in beijing. what has been the reaction to these additional 10% tariffs? and what do we expect as far as retaliation? well, the chinese have not.

>> yet. >> announced any specific countermeasures, but the expectation is that tomorrow, once. >> president trump's. >> tariffs do. >> take. >> effect here. >> on tuesday, that the chinese. >> will move swiftly. >> with countermeasures. >> in fact. >> the foreign ministry today reiterated. >> that they would. >> take all necessary measures. and there's. >> also been. >> a hint. >> in the. >> state media. >> that that. >> those countermeasures. >> could target u.s. agricultural products. >> the global times, the. communist party paper, had said that these would include both tariff and non-tariff measures. so possibly a reduction. in agricultural purchases. so china is. still a major destination for us. >> farm goods. >> it purchases nearly $30 billion of farm goods. that was in 2024. it's also a big buyer, of course, specifically of grains. so soybeans, corn as well as sorghum. and this despite the fact that since 2018, during president trump's first trade war, the chinese

have been diversifying away from the us when it. >> comes to their. >> agricultural products. we saw at that time that the chinese had curtailed. their u.s. agricultural purchases as a way to retaliate against the us. >> and a lot of. >> farmers were badly hurt. on the chinese side, you were talking about retail. >> we spoke in the. >> past couple of days to some manufacturers here, specifically ones who. supply to the us, and they told us they are feeling numb. and in fact, the tactic at this point is just to push as much of. >> the. >> cost of. >> these tariffs. >> onto their u.s. partners. >> as well as. >> onto us consumers. guys. >> appreciate that. we'll talk soon. eunice yoon in beijing, let's get to courtney reagan as well. talk more about the impact specifically on retail and on a week, courtney, where we will get some retail earnings for sure. >> yes, exactly. >> and hopefully we'll get a little bit more information. but really, i mean, the fluidity of the tariff talks has retailers and brands sort of workshopping multiple game plans all at the

same time. most seem to have more confidence, at least in their plans to mitigate tariffs on chinese made goods. but mitigation for tariffs on mexican imports, more so than canada, is more uncertain. so one source i spoke to who imports beans from mexico for grocers, including whole foods, is preparing nine different scenarios, including possibly shifting production to the united states. now, most major retailers have been diversifying away from china for years, though some, including newell brands, nearshore to mexico. now, tariffs on mexico are likely to be painful for a company like ethan allen that makes its upholstery items there. 30% of born boot barn products are made in china, another 25% in mexico. and while 80% of whirlpool's us sold goods are made here in the us, the other 20% mexico and china made now best buys top country imports. also china and mexico one and two contour brands that of course denim parent lee wrangler 25% of its production in mexico. it puts the

unmitigated impact at $50 million this year, but says it can offset the cost it believes within 12 to 18 months. now, the impact of potential retaliatory tariffs. that's even harder to discern in css columbia. hasbro carter is among those saying retaliatory tariffs would damage their ability to compete internationally. they're not really providing much more info than that now. one source i spoke to who works in canadian retail thinks if canada applies retaliatory tariffs, the impact would be devastating for its economy. apparently, a lot of canadian consumers that live close to the border often take weekend trips into the united states for grocery shopping. there are already very high levels of tariffs on items like dairy. i was told a block of cheese that may cost us $4 in the us, just over the border in canada is already about 20 bucks. >> back over to you. wow. >> okay, courtney. thank you. thanks. time now for a news update. let's get to silvana now for that. silvana. >> hey, david. good morning. kroger says its ceo, rodney

mcmullen. >> has resigned. >> following an internal investigation. into his conduct. the cincinnati based company says the investigation was. unrelated to the business, but was. >> found to be inconsistent with. >> its business ethics policy. >> board member ronald. sergeant will. serve as chairman and. ceo as. >> the. >> company searches for mcmullen's replacement. at least one person died and several more were hurt in a suspected car. >> attack in the west german city of mannheim today. >> police say they quickly arrested. >> and identified. >> a suspect. >> but did not share any details about the number. >> of people injured. >> authorities are asking. >> people to avoid. >> the city center, which has. >> been busy due. >> to ongoing carnival season. >> and the vatican says the pope rested well last night after apparently. >> overcoming a setback. >> in his recovery. from pneumonia. >> according to. >> vatican officials. >> the 88 year old is stable, off mechanical ventilation and shows no signs of new. >> infection following a respiratory. >> crisis late last week. >> he has been in a hospital in

rome. receiving treatment. now for more. >> than three weeks. >> we'll send it back to you. okay. thank you for the update. as we head to break, check out the major european defense stocks. i mentioned this earlier, but what a move today. higher. after eu leaders discussed boosting military spending. leaders meeting in brussels on thursday for a summit dedicated to defense, with concrete measures on financing expected to be announced. it's also giving a boost to u.s. listed names like palantir, lockheed and more. and some of the cease fire trades are going the other way when it comes to russia, ukraine, we're talking about the russian ruble and the russian stock market all weaker after what happened in the oval office between the ukrainian prime minister and president trump. still to come, the magnificent seven underperforming again last month. but our next guest says one of those seven names is a safe haven right now. find out which one and why when we come right back. good morning. with dulcolax.

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>> well, it has been a rough start to the year for megacap tech magnificent seven. coming off a second month in a row of underperformance versus the broader market. meta, though, has been the one name that's been holding on to significant gains since the start of the year. i still have it up as much as 14 plus percent. our next guest says, or points to one stock in the group is a safe haven. joining us now is melius research analyst ben writes. all right ben, let's start there. what stock is sort of a, quote, safe haven amongst many of these names? >> well i think. >> apple is in the mag seven. >> you mentioned. >> meta, but the companies that benefit from lower cost. >> to compute because. >> of the. >> deep. >> sea innovations and. >> other models like. >> apple benefit. >> and what. >> we think is going to. >> have is more. >> i use is. >> also going. >> to lead to more use. >> on the edge and. >> prompt you. >> to. >> upgrade iphones. >> obviously we got. >> to worry about. >> tariffs though. >> and tim. >> cook's done a pretty good. job navigating and we'll have to see how that goes. >> we will have to see that we're waiting on china. we'll see if there are any exemptions for example. but you know others

would point to a fairly high multiple on apple versus historical multiple. and yes, they're not spending capex anywhere near like the hyperscalers. but at the same time, their ai tools don't seem to have been embraced, perhaps by consumers as yet. >> well, i think that. >> it's iterative. >> and they're getting better. >> and better, but. >> i also think. >> they they did the right. >> thing by not investing, because. >> in china. >> which is. >> 20% of. >> sales. >> they can't use their. >> own ai. so they got. >> to partner. >> so you have. >> they're doing the right thing. >> and. >> they're going to partner. they're actually i think that's. >> one. >> of the things helping. >> the. >> stock stay. >> stable is. >> that there's. >> anticipation they'll. >> get. >> on the right side of. >> ai. >> in china. >> but for the. >> most part. >> i think that. >> they have this pricing lever. >> into an. >> upgrade cycle where they're going to. >> mix. >> shift us up. >> into new models. >> and i think. >> that that. >> will help. >> and it. >> will be iterative. >> with ai. >> and a lot of people aren't. >> using ai. >> as much. >> on their phones. >> as unless they're. >> using the app. >> and that gpt. so i don't

think they're missing out. >> as much as. >> some people think. >> right. although why wouldn't i just use my chatgpt app? why do i even have to avail myself of whatever the services that apple's going to eventually make available to me? well. >> they're also going to have. >> it better integrated. >> over time. but yeah, that's why the iphone is so great. you have an app for. >> everything you need. >> and if. you if you start. to like somebody else's app. >> you start using that one. >> like grok. >> three is pretty. >> darn good one too. >> what's going on with microsoft and especially, you know, some of the comments that satya nadella has made about overdoing it on ai. i mean, what you have a buy on this stock still, right? >> yes. >> it hasn't been too good lately. $20 price target which is. >> yeah. >> hasn't. no. we're kind of far away from that. >> yeah we are. yeah we are. >> it's. >> not worked. >> the issue. >> there is they've. >> been on the edges. >> missing azure. >> they restated the. >> segment and then on the. >> edges they, they have missed. >> some of the numbers and commitments. >> they have. >> very little though. >> very little. >> but it's. >> enough that it. >> bothers investors as azure goes. so does microsoft. >> and what there's. >> some questions around data center demand too right. there's

some noise. >> well look microsoft. >> has an interesting dilemma. >> in that. >> if they spend too much. >> they have. >> to they have a high depreciation. >> expense and they. >> may miss. >> street numbers. >> they also are trying. >> to manage. >> their cash flow. >> they they are. >> in a dilemma right now where. >> they got. >> to spend a lot of money. and also. >> what's bothering the stock. >> is that. >> their breakup. >> quote unquote, from. >> openai, a lot of. >> investors are worried that. >> they're. >> breaking up. >> they're diverging. what does. >> that mean? that's created a. >> negative cloud. >> over the stock? >> i think. >> if we. >> can get past that. >> which i'm not sure we. >> can, but that would that. >> would obviously be good. i think. >> stargate's actually. >> going to give. ibm some revenue. >> i mean, ibm. microsoft some revenue. >> but the big. >> winner there is going. >> to be oracle, and oracle. >> is going. >> to get. >> the lion's share of. >> that cloud revenue. >> but microsoft should get some. >> i think. microsoft really needs to turn the. >> corner in the personal. >> computing and azure in order to get. >> the stock going. >> might take a few more quarters. >> so in general, on mag seven, do you think the market or the street is acting like a bond

vigilante on capex, where they'll start demanding less. capex over time? >> i think if. >> they don't. >> beat numbers, if they you know. i think. >> the street. >> looks through. >> the. >> weak free cash flow. >> as long as they're. >> accelerating revenues, it's rarefied. >> air to have this. >> size and. >> mid-teens growth in revenue. >> people like that. >> but if you. >> don't hit it. >> or you're not. >> have upside. >> people are going to lose patience. and want to and want to ask you, where's the rate of. >> return? >> the roi on ai investments? not only. >> it goes to you and i. >> and our enterprises. >> but. >> also for those companies. >> and if. >> they're not beating and raising. >> then there's. >> going. >> to be. >> less tolerance. >> for it. >> yeah. and which leads us quickly here to nvidia which is down almost 5% again. what do you attribute its recent weakness to, ben. well. >> there was a. >> lot of noise over the weekend about colossus, which is their packaging technology. >> for the new. >> blackwell being cut by nvidia. >> i actually think it's noise. >> i actually think that. they're continuing to make progress there. that may actually even help margins. >> by the second half. >> but. >> the noise over the weekend. >> was a fever pitch. >> and that could.

>> be impacting the stock. >> there's also just a broader sell off in semis and a negative halo over it. >> due to the administration. >> worries over. bags of chips, worries over more tariffs, worries over china retaliating, worries over the. >> ai diffusion. rule that biden put. into place being kept. >> and that. >> rule bothers. me probably the most. >> of. all of them. >> and so. until all those. >> are lifted. >> semis is going to be tough. the ai semi is. going to be tough. but hopefully. >> hopefully president trump's, you know. >> sees that we. need the stock market. >> to. >> work and. >> we need to be. >> a leader in. >> ai. >> semis and get this going again. >> and we'll see. but i know we'll have plenty of time to talk to you about it as well along the way. appreciate today. thanks, ben. >> hey thanks, guys. always a pleasure. >> coming up, ukrainian president zelensky leaving the white house without that minerals deal that president trump wanted. what that means for domestic producers like mta materials, the company's ceo is going to join us with his take next. >> real time exchange sector

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deflationary, you know, after 3 or 4 years. but most of us, for now, we're spending more money on not less. >> ukrainian president. >> zelenskyy, of course, left the white house empty handed friday after that contentious meeting with the president and the vice president over a potential multi-billion dollar rare. earth minerals deal with the us, zelenskyy telling reporters this weekend ukraine is still ready to sign the agreement if things change. here to discuss this morning at. >> post nine, we're. >> lucky to have james. >> lashinsky mp, materials. >> chairman and ceo, the largest producer of rare earth mineral materials in the western hemisphere. jim, it's great to have you in. thanks. it's good to be here. help viewers understand in ukraine what the promise is, what their reserves are like, what the timeline that it would take to get mine operation going. and when we would start to get some bang. >> for that buck. >> sure. so with ukraine and rare earths, i'll give. >> you a. >> simple analogy. it's rare earths in ukraine. it's kind of like an old school music album where. you have. a title track. >> and then. but there. >> are ten other songs. >> and so if you. >> look, if you look at what's.

>> been publicly. >> released. >> as far as. >> the deal. >> that was on. >> the table, rare earths were a component. >> of critical minerals, ports, infrastructure, oil and gas. it was sort of a big piece. >> but it was. >> the title track. and the reason it's. >> the title. >> track, albeit sort of a smaller. >> piece of. >> a much bigger overall. >> deal. >> is that i. >> think that there's a recognition in this administration and sort of around the world, that rare earth materials. really drive physical ai and defense. >> for the future. >> it's really the future of warfare. >> and we can get. >> into that. >> but so i. >> think. >> that's why it's the. >> title track to. >> sort of. >> what. >> is a much bigger. >> overall thing. and the absence. >> of, say. >> a ukraine as a supplier. means you'd be more beholden to china instead. well, we produce and refine materials in. >> the us today. >> and the reality is, is that even if we had a deal tomorrow. there's not there's not a lot of. great drilling information. >> certainly we'll do our part if called upon to go out there and do it. but you're talking. >> about a minimum. >> of ten. >> 15, 20 years to bring some. >> of that. stuff online. just because you have to drill, you.

>> have. >> to get a lot of infrastructure. these things. >> are think. >> of them more of. >> like an. >> oil. >> refinery than sort of a big just open pit where you pull stuff out of the ground. >> so do you think the administration is over emphasizing how much we need this? >> oh, not. >> at all, in fact. >> so, for. >> example. >> david in the last hour mentioned that adam jonas report. >> that was out. >> talking about humanoid robotics with tesla. >> if you believe those numbers. >> you believe a percentage of those numbers. >> for the physical. >> ai boom. over the. >> next decade or two, we. >> we need dozens. >> of these mines. just to give. >> you an example, a simple humanoid. robot needs 8 to 10 pounds of rare earth magnetics in it. >> and so i. >> don't think there's a real. appreciation for the. >> scale of this stuff that. >> really matters. >> and when you. >> look at what china is doing. >> you know, unitree. >> their leading robotics company, had a very prime seat. >> in front of key in their private market symposium a couple of weeks ago. and so. >> they are very far. ahead with this supply chain and downstream into. >> the robotics. >> and i think there's a. real concern, as there should. >> be.

>> that. >> this is a major national security issue. >> i mean. >> it is the downstream gdp in a way that's so much larger. it's only what, a $15 billion overall market. i think your cfo, if i read correctly, was quoted as saying so the numbers are not that large. but what they enabuess, is far larger. >> absolutely. >> that's that's the. >> point that we. >> really stress to make is that, yes, this is sort of a niche. and. >> you know, it's the title track of a much bigger. >> album, so to speak. >> in, in ukraine. >> or in other areas. but there's trillions of dollars if you, you know, if you think about. >> the. >> the, the ai boom that we have right now, a lot of people. >> talk. >> about where's our return on capital. physical ai. >> over the. >> coming years is really that's what we're talking about. and that's trillions of dollars. >> and if we don't have these. >> upstream materials or at a minimum, if these upstream materials are utilized as a form of strategic advantage, then our companies are going to lose out and the chinese are. already downstream. >> and so it's a real concern. >> yeah. >> even with advances though, that require fewer i mean, magnets if i can, for lack of a better term or lack of complete

understanding here. i mean, you think that there's always going to be a need for these rare earths, despite what typically are advances in the ability to use fewer of them? yeah. well, there's no question. >> that there's. >> going to be advances. >> there's no question. >> that there's evolution in technology. >> but whatever. >> i think the simplest way to think about it is whatever can be done without a rare earth magnet can be done much better. and so from there, there has to be there have to be advances. there's going to be use. >> cases where they're not going. >> to be necessary because we just don't have. if you believe the. >> billions of robots theory. >> we need hundreds of these mines. so something's. >> got to give. there's going to be advances. but i think in. >> in particular, when we think about. national security needs, where we would need, you. >> know, certainly. >> a. >> number of more mines. and i'm sure you if you. >> you know, just go on x and see some of these videos of these robots walking around china. i mean, it. literally looks like terminator two. >> and so there's going to. >> be use cases where. >> it's going to be actually. >> more than we even think. and so we have. >> to. >> get going on this. >> so you're saying we have to

take greenland. is that what you're saying? >> well, what's interesting. >> is part of the appeal there. >> no, sarah, it's a. really it's a funny question because we get asked, you know, greenland. >> ukraine, all these things. so we are 100% of western. >> production in. >> california today. >> we are. >> 12% of the of the global rare earth supply. at mp. we could expand significantly. >> with, you know, the federal government and. >> state governments. facilitating that. and that would be substantially lower costs than greenland or ukraine. and again, we'll do our part. we're the only ones who can really do this in the western. >> world, but we can do it much lower cost at our site and other. >> places without having to ask the green, the green lenders. yes, yes, jim. >> please come back. >> it's a good. >> story to. >> understand homebuilders firmly in the red since president trump took office. what a new investigation into lumber imports could mean for prices. next potential tariff prices. next potential tariff target here. got eyelid itching, crusties and swelling that won't go away? it could be... demodex blepharitis!

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we lead it. us some of the street's reaction as well. diana. >> well, david, that investigation is into whether the imports constitute a threat to national. >> security. >> which could be grounds for a tariff. now, the majority of lumber. imports to the us come. from canada, and.

>> there is already a 14.5%. >> dumping tax on it. >> then there is. >> the 25%. tariff potentially going into effect tonight on. >> all canadian imports. now. >> the president. >> also ordered increased. >> domestic lumber production. >> by streamlining. >> regulatory and permitting processes. >> the industry. >> trade groups for both the big public. >> and small. >> to midsize builders applauded that. but the nab's chief economist, rob dietz. said those mid to. >> smaller builders. >> at last week's. >> annual trade. >> show told him the tariffs could increase their. costs anywhere from. >> 7500 to. >> $10,000 per home. >> the nahb estimates. >> that. >> every $1,000. increase in. >> the median price of a new home. >> would price. >> 106,000 buyers out of the market. now, paul. jen psaki of. >> forest economic advisors estimates two. >> thirds of a tariff would be absorbed by the. >> consumer in the first year of. >> that tariff. >> it can take up. >> to three years. >> also. >> he said. >> to build. >> multiple mills and we don't. >> have. >> enough loggers, truckers or equipment right now. then the coo of new york state based

sherwood lumber told us in the short term. >> it is going. >> to be very. volatile from a pricing perspective. >> as for increasing. >> production, he. said that. >> won't be a flip of a switch. you're taking. >> a 40 year supply chain and trying to switch overnight, he said. >> that is hard. guys, back. >> to you. >> diana, what about you know, i think there's more logging on federal lands. i mean, how quickly does something like that come into the system? >> well, that's what he said. you know, the president said he'd like to see that open up within 90 days. and that to the builders, they'd say, great, we'd love to see that land open up. but you've got to get workers in there. you've got to get loggers, you've got to get trucking, you've got to get equipment. they said. >> they already. >> have. trouble getting loans to buy. >> more equipment. this is. >> equipment that's in the multi million dollars. >> and he said lenders don't. >> like to. >> lend to them for. this kind. >> of stuff. >> because the market is so. >> cyclical when it comes to logging. >> so it. >> would be very. >> difficult to get that timeline. quick as the administration may want. >> i see. right. so even if you open up the land, doesn't mean it's necessarily going to result

in more trees getting cut down. yeah. diana. thank you. diana. olick. we're looking at a market here. broader market that is off the lows. certainly. although we did start higher on the day, the s&p is still down about 0.14 of a percent. nasdaq a bit more although mixed picture even on max seven nvidia is the big laggard, down almost 5%. we got a lot more live market coverage a lot more live market coverage for you straight ahead -what've you got there, larry? -time machine. you gonna go back and see how the pyramids were built or something? nope. ellen and i want to go on vacation, so i'm going to go back to last week and buy a winning lottery ticket. -can i come? -only room for one. how am i getting home? sittin' on my lap like last time, ronald. fine, but i'm bringing this. [ whirring ] alright. or...you could try one of these savings options. the right money moves aren't as far-fetched as you think. there it is. see? told you it was going to all work out. thanks, future me. - you give eye exams. - i give... fresh starts. better vision, healthy eyes... everybody wants that. - “hero doc saves vision!” - well, i-

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stories. key highlights hand-selected daily by cnbc experts. sign up now for free go to cnbc.com. spotlight. >> good monday morning. welcome to money movers i'm carl quintanilla with sara eisen on the floor of the new york stock exchange today. is this a bounce to believe in with tariff threats looming and geopolitical tensions. >> rising, can. stocks shrug. >> off the fears of a. >> slowdown and make a sustained move higher? >> and the president announcing a strategic crypto reserve igniting volatility in the sector strategies. michael saylor is with us. for more on the industry impact. >> how will. >> tariffs on canada. >> and mexico plan to go. >> into effect. tomorrow impact. >> the auto sector? we'll get a look. >> at. >> the potential ripple effects later on. >> this hour. as for the markets. >> today started out with some decent pre-market action. of course, after futures got launched. >> on sunday night. >> but