four of the best places to invest, let's bring in adam parker, good to catch up with you. bring us up to date on what you think makes sense as we have come to most of earnings season with some themes to pull out of that. you have been saying, maintain exposure to the big dominant menu caps -- mega caps and look to be the index what does that mean at the moment? >> i listened to your last segment, people i know very well, all of them, i don't see it the same way. nobody has asked me, not an institutional investor asking me about the second half of february trend or a slowdown. i think that multiples can expand. if you think small caps will work, the way that will happen will be gross margins will expand the average small- cap. the medium company can have multiple expansion and i have not heard of a second half of february slowdown. those are people i know and respect well. today, i am looking at it differently and remain constructive, i think rick's comments, i shared them, positive, good earnings trajectory, i think earnings will be up this year and next year versus this y

. -- adam parker in just a moment. how high this surging stock market can go. in the meantime, a look at the scorecard with 60 minutes to go in regulation, we've got a lot on the move. take a look at this, nasdaq on the cusp of 16,000 again. first time since november of 2021. s&p is gonna close above 5000 today, barring something miraculous over this final stretch, right, now it's 25 points over that level. that's more than half of 1%. tao is given some back, russell is a big winner today. that's outperforming, it's up one and a half percent. more evidence of the recent broadening in the market after weeks of top heavy trading, we talk so much about that. how about interest rates? they're mostly higher to. after some revisions to cpi and more suggestions from more fed speakers and -- could very well come this year. just not so soon. it does take a short talk of the tape. raleigh and risk. whether the latter is increasing, as the s&p keeps rising. big name stocks go parabolic. let's ask adam parker. is the founder of z of try -- a cnbc contributor. good to see y

meta, microsoft, nvidia, are all up >> you heard adam parker earlier on the show say that he believesll continue that being the outperformance of those versus the broader market. but nvidia shares once again up, 1.3% i should also point out, another megacap at this point is eli lilly. we've talked so much about it, as you see, nvidia but eli lilly also up another 2.6% amgen has a potential drug, glp-1, but it does not appear in the early going to have the same efficacy in taerms terms of the overall weight loss as mounjaro. so lily shares down. >> we had a long conversation yesterday about sort of the analog between chips and ai and demand and you heard the adam parker a moment ago say, we're in the batters' box, not even in the first inning and the production of these drugs, which hasn't even gotten to the middle of the country where you could argue obesity is at its most acute. >> the trends that capture the imagination of 2023 are working again, seemingly, this year. ai, the obesity -- we thought this year was going to be different, because it was going to be a broadening out, but

that means it can be a big winner for a long time adam parker makes the point yesterday, we're not near the top of this first initial phase of this revolution on ai we're still at the beginning do you agree with that >> certainly this week nvidia is the zeitgeist of the moment. i remember both of those trading years like it was yesterday, we were looking at companies that had this thing, the infinity sign we couldn't create p/e ratio, there was no e, no earnings. we're not trading them in anticipation of earnings growth. they're supporting it with earnings growth, and the stock price is trailing that way nothing lasts forever. i can't own nvidia because it's not within my style box but, boy, i pay attention to it and pay attention for a lot of republics. we're looking at earnings for the s&p 500. if we want to get to $245 this year, the big seven or magnificent seven of last year have to do heavy lifting the great thing about nvidia's earnings, look, in 2024 we have you covered for at least $20 >> the ai halo is beyond nvidia. i will come back to you in a second since november 1st, arm,

. >> adam parker, sarat, today, said the case to be bullish on u.s. equities without owning the phag 7 looks to be feeble. this goes back to the argument that people are arguing why you should be concerned about the mega cap names and you heard it into the earnings. we cited on numerous occasions relative to ten-year historical averages, in some cases it was up to a 23 to a 33, like for microsoft. it doesn't seem to matter. >> it doesn't matter until it does in the short-term. i will go back to, you know, the valuation is not just discounted cash flow, and it's maintaining the growth rates at 400 or $300 billion of revenue three or five years down, and at some point if you get a slowdown -- scott, we have seen this with great companies before. i am not calling whether it will happen in this quarter or not, and you can still be in it, and you look at other areas of the market to joe's point, other companies, their times will come and when it does you want to be diversified. >> what if it doesn't and you start to get cracks at the highest floors of the

adam parker, joe turnova we'll ticket all today bryn, what do you have for us? >> jebq. country. >> jimmy >> black rock. >> fortnet >> shake shack at $100. how do you like me now >> the nasdaq is 16,000 again. i'll see you on "closing bell. ♪ ♪ >>> scott, thank you very much welcome to "the exchange," everybody. i'm tyler mathisen in for kelly evans. here's what's ahead this hour. nvidia proves that ai can continue powering big games. our market guest agrees with that and sees plenty of opportunity across the water front in the ai ecosystem. >>> plus, not terrible, but not great either that's how our housing guest describes the setup for the spring selling season. he's here with what he means by that and what it means for you if

let's ask adam parker, the founder and ceo. a cnbc contributor, and he i back with me post nine good to have you back. >> great to be here. >> the person i was eluding to in this opening read is you. you say the -- we're not eve close, not even close to the end of this ai euphoria trade. >> i just think it's, you know a ten-year kind of trend the idea that we, you know, it really started in my mind less than a year ago. it was really nvidia's first upward sales revision, you know, in may so you know, just thinking out loud like is that less than one-year trade for the stocks? i think it's going to follow that same curve, all technolog does and i think a lot of people will just continue to believe oh, i'm going to call the top of tha first wave and it's going to correct 20%, 30%, and then i'l get right at the bottom and ride it for the second wave and you saw the note we call i the nvidia god trade, you thin you're going to call top and the bottom and the top again in the meantime you haven' deployed most of the stuff and it's a

. >> you agree with adam parker, for example, on the show, making the argument that we are not even closeend. in fact, we are barely past the beginning of this whole gloom and what it is going to mean and, at such, you need to remain very heavily invested in these large -- >> i would agree with that, depending on what analogy want to use, depending on 1996 of the 2000 room, if you want to created to that. so the remaining three and a half or four, something like that. i think that that is the roy perception. it is too early on. obviously, the market is still getting the reality of how big a.i. is. it is not in the very beginning. i still think we have several used to go. the thing about the maga six, i will exclude tesla for this quick discussion, even though they have moved somebody, people see the emotional reality they look at the charts they look it's a mega tech stock being up 50 to understand the past year, the fundamental reality is they are not that expensive. i know tom just mentioned on the last segment, nvidia trades at about 3% to cash flow yield. if you look at the average of

. -- adam parker in just a moment. how high this surging stock market can go. got a lot on the move. take a look at this, nasdaq on the cusp of 16,000 again. first time since november of 2021. s&p is gonna close above 5000

. >>> joining us to break down the markets, research ceo and cnbc contributor adam parker here at posts for having me. >> steve's got a great point and the decoupling of equities from the rate environment, is that all because of mag seven or something else >> i was sitting there watching thinking, you know, i kind of am partially responsible years ago for starting this garbage of like good news is bad and bad news is good when i used to work at morgan stanley. i was sitting here thinking, good news is good news and bad is bad you get bad economic news the market will go lower good news we continue to do well no longer all about expectations for interest rates a year from now. we're in this pocket if we get continued decent economic news we don't think things are falling off a cliff and equities look pretty good we're in the normal god forbid good news is good and badnews is bad i know what doesn't work is good economic news is bad for market s for a long time. i get how you get a little hawkish. this was a two-day thing that's where my head was maybe we're good news is pretty good. >>

adams. he shouted questions. went unanswered. nicole parker -- that was alvin bragg that was coming up. i couldn't see the monitor. eric adams had questions shouted that were unanswered. nicole parker, leo terrell and tomi lahren straight ahead. okay everyone, our mission is to provide complete, balanced nutrition for strength and energy. yay - woo hoo! ensure, with 27 vitamins and minerals, nutrients for immune health. and ensure complete with 30 grams of protein. (♪) directv sports central brings your games stats and scores together and now you can get it without a satellite. one more reason to finally get rid of cable. but getting rid of the cable guy... ...might not be as easy. oh yeah, touchback! visit directv.com for up to $200 reward card. ♪ before planning the wedding your bad hip was really acting up. then, you heard about mako robotic-assisted hip replacement. it starts with a ct scan to pinpoint the problem. that becomes a personalized, 3d plan to guide your doctor during surgery. mako can help lead to better outcomes, like less pain and shorter recovery times. the lifetime of