look what happened to caterpillar. as concerns about china came to the fore but china is probably only 20% of their revenues. i would focus a little bit more on, for example, the north america construction cycle, which will be pretty strong still i think. it seems to me it is going to be very strong. the other important thing is focusing on the supply chain a lot depends on how you feel about inflation. for example, probably 15% of caterpillar's costs are steel costs. they went way up this year the hope is that the steel costs are going to come way down that would cost their cost of goods sold, of course, rather dramatically a lot of this depends on where do you come down on the cycle. we seem to be in a mid cycle, though it is pretty confusing. mid cycle, industrial names generally do pretty well in mid cycles we seem to be in an upswing still in construction in north america. that would benefit i guess the overall question is where are you on the supply chain issues, and hopefully they will mitigate a little bit in 2

i -- which would put me more in the caterpillar camp i do think these industrial names are ones whereinue to see that rotation, that the market overall is favoring lower valued industrial, and even some of the less cyclical stocks so i like this call on caterpillar. >>> options traders making a big bet on one of the vaccinemakers. we'll reveal which one and the trade right after this quick break. more "fast moneycongacin o nus." mi bk xfinity rewards are our way of thanking you just for being with us. enjoy rewards like sing family fun nights! rent sing for $1 then belt out all your favorite tunes from the movie with sing karaoke. plus, see sing 2 in theaters with buy-one-get-one free fandango tickets. join over a million members by signing up for free on the xfinity app. our thanks. your rewards. >>> welcome back this is "fast money. here is a sneak peek at the cramer cam for "mad money. jim talking with the ceo of paychex. catch that interview at the top of the hour on "mad money" after this show. and don't forget, by the way, have cramer delivered right to your email inbox with the

so i mentioned fedex but we're also owning caterpillar right now. caterpillar is a very fairly valued stock with excellent dividends. but tremendous demand that i don't think is really being priced into its price yet. so those are two stocks that we see as, you know, stocks that can defend when value rears its ugly head but that can also do well in inflationary environments >> barry, last word to you, your top trends or picks for 2022 >> yeah, i'm sticking with the inflation beneficiaries. as you pointed out in your lead into this, dom, they did struggle a little bit towards the latter half of the year, but, for me, the story for financials is very compelling. industrials is a very good story as well. materials and energy are really like those reflationry sectors inflation will come down in 2022, but it's not coming down all that much. and valuation should be under pressure as the fed and treasury withdraw liquidity >> i feel so christmas-y right now seeing the ski slopes behind barry and the christmas tree behind gina right now. thank you both so m

they're no longer reckless caterpillar is not reckless.hen you talk about reckless, i immediately hear your constant refrain about ford, in terms of pulling out of the markets where the company was actually losing money, and that's not being a particularly good strategy. obviously all the automakers are up this morning, tesla, by far, the most but ford ending the year as well pretty strong, jim. >> yeah, it's just bebe ginning for them they'll have an unbelievable quarter. they don't makes cars any more where thee losing. i do think they had to stop taking reservations from my investing club for the f-150, yet they're still advertising on the football season. it's got a good yield now, and i think that jim farley is just a cut above. he's rather remarkable he's willing this higher, and i think he's going to succeed. this one is not done it's going higher. >> a pretty good note out of adam jonas last night, looking at ford's market cap, which is roughly at parity with gm, even though ford trades at a premium to gm, and asked, what is the ma

monday i'm been of web holland. caterpillar among nick one. it a nick timber with buck. would you please validate a did you get it? you get to know what i want to go about adding more, don't them? don't normally get me. i don't keep b, like boy be jumped someone get them pretty open. i can move what you've done with the buffer. be open, you will be done. please. one moment and update my the new perfect, the symbol from the hello. can i do end up doing or if you own it, when they complete my here. yeah, good at link columbia medical clinic. right. is it well, but in a little math, i'm not reading it you know, but a man that go yeah, a crack meaning mentally think. well one i said ma'am, i knew him also. masha lamb, lumber, long, long, long, long, long. but at last out loud. wonderful ma'am. when i'm with some from that it's failed ag monday. i'm. that's how you man, i'm vaguely how you came back. my little machine. yeah. yeah. when i am that one guy, a lot of fed up with a very wonderful day or a friend was like a big old can they go i did that in would move network dynam

at one time, i was asking why can't a big company like caterpillar start making electric machines? they said you are assuming that the lines we have can just be changed. maybe we could change things, or maybe we would have to completely change the way it's done. the automakers are saying the same thing. we have to invest in this, we also have to figure out what it's going to look like on the horizon. i had a conversation with a source asking were starting to see the demand hit in the base metals. they said not entirely. this is something you might have to wait until 2023 or even 2024 to see it and that speaks to the vehicles themselves. romaine: from an environmental perspective, there's a reason why a lot of this is made in china. there's an environmental cost of getting these materials. in the u.s., we try to position ourselves at being at the forefront of cleaner materials. in order to create a clean vehicle, you have to use dirty chemicals. >> this is a question that the producers and automakers are asking. average citizens said i don't really want a mine in my backyard, send i

you're a miserable, cowardly, wretched little caterpillar.me a butterfly? don't you want to spread your wings and flap your way to glory? you're going tojump on me. you're going tojump on me, i know you are going tojump on me. after three days of filming, joe levine he turns to me and says, i'll give you another $25,000 if you get rid of that curly haired guy. he said, he's just funny looking, he is not... there is no leading man there. and i said, ok. he's out. i said, he is gone. and that was a lesson — a great lesson for me, lying to the studio. now, here is a very important moment for you. i know how much buddy rich meant to you and i know drumming is something that you are passionate about. he was the best drummer in the world, i thought. he was sensational. always kept the beat. i'm always at the centre of the beat. being a drummer at 1a gave me a great sense of tempo and rhythm, and that was incredibly important in comedy. yes. and when the rim shot or when the joke reaches the peak, and how you explode it. you know, when i think about

this program has given me the opportunity to receive an internship at caterpillar, which i am so grateful. once i get my degree, i hope to start my own heavy construction equipment company, and higher a full female team. -- hire a full female team. [applause] i want to serve as an example for other women. with having this degree and my military experience in heavy equipment, it will set me ahead of others in my field. i'm so happy to have this opportunity to welcome president joe biden to my home state as well as my school, dakota county technical college. thank you so much. [applause] pres. biden: whoa. sarah, thank you for that introduction. i was saying to sarah in the back, because when i was sara's age, the idea i would be standing and waiting to introduce a president, i would find it a little daunting. i was try to reassure her that she does not need any reassurance whatsoever. [laughter] zero. thank you for your service in the united states military. [applause] governor, thanks for the welcome to minnesota. i was telling the governor on the way on my ride here from the airport that

lauren: caterpillar shares should be higher because they got an upgrade.tock, 240 in their view, 20% upside. and future growth and trillion dollar infrastructure package. more profits with field prices coming down and sector rotation on federal reserve meeting at higher rates anticipated, yields are going up and is a stock. here is blackberry, the highlights from this report. >> i love this stock, break even for blackberry which is cybersecurity and software licensing company. it was actually better, they broke even, which wall street was anticipating. guidance is weak. for the forecast, that was penciled in. >> darden, olive garden's parent, they got an upgrade. >> darden put in a strong report card. darden is selling garlic bread, or it is a by worth $155 and incoming leadership change and new ceo or catalyst for the stock, people want to get out. >> they find positivity. a dismal wednesday morning, crypto stocks, slightly in the green. what is going on? >> 49,000 here, we saw bitcoin on the biggest single day rally up 5% with a broader recovery. they ar

c caterpillar, boeing. the s&p is 3% off of its high., particularly the cyclical sectors have been hit very hard and worse in the last couple of weeks. mega cap tech, we all keep talking about this, has held up relatively well. you see apple is only 3% off microsoft, alphabet. some of the big semiconductors are down in the double-digit range, but not that dramatically we want to watch how the fed statement changes. we've got the powell pivot we know he's going to change the transitory sentence in there but is it going to be more or less aggressive or hawkish and the ppi numbers is not going to make the fed's job any easier david, back to you. >> thank you. >> that's totally right. exactly right. look, it's just -- >> getting endorsed by jim cramer. >> that's what's happening once we get through the fed. a lot of people are already trying to say, listen, some of these stocks -- it's pretty early in the day i don't know whether the stock -- >> well, capable is rebounding at least we got that going for us. >> those are done. >> all right i'

sema >> hey, mike larger economically industrials like caterpillar and john deere as well as cumminso 4% as industrial investors weigh the impact of omicron on inflation and the pricing of goods. ubs telling me in thiese situations, there are lower unit sales volumes relative to what might have been expected previously shares of general electric also in focus trading down following the delay of president biden's build back better plan which does include credits for wind turbines what is encouraging is even after the last covid-19 wave, the ism nmanufacturing data hel above 55% for the past 16 months that is seen as an encouraging sign for this broad seshgtor mike and sarah, back to you. >> yeah. you know, it comes at a time when as, you know, anl alysts sy they see the makings of a pretty decent, you know, cap-ex boom or up cycle in corporate america. it depends on how other parts of the world manage to do through this wave. >> yeah. one thing to watch there, mike, would be john deere and the latest earnings report that the company talked about how it's increasing the research and de

. >> reporter: the start-up, housed in a former caterpillar factory, is backed by a $63 million advance purchase order from the u.s. government. all old, washington is 13spendi $1.7 billion to help american companies manufacture ppe at home. another american startup, usa gloves outside houston, was created by former importers who found it almost impossible to buy gloves from abroad. they don't have any government investment yet, but once the machines are up and running next month, they hope to turn a profit from private sales, even with higher prices than asian brands. >> hospitals and clinics and even end users are willing to pay that slight premium. so we're prepared for a future pandemic. >> reporter: experts say it is saenld for the u.s. to make more ppe at home. the question is -- >> if people are willing to pay the peopleup in the medium term, or is this just a very short term memory and people will go back to thinking who is my lowest cost supplier? >> reporter: that may be what determines the success or failure of these new enterprises. whether they're expensive experiments or t

apple and microsoft or companies like caterpillar or say american airlines or norwegian? >> so, dom, i look at charts all day long but i have to back up and realize that earnings do drive stocks at the end of the day what's driving this is the upward trend of earnings revisions not only for 2021 this year but also for 2022 and then when you start drilling down further and saying where's some of the best relative strength inside of this market, going from where we are in 2021 to where we were in 2020 it was a 180 degree opposite. it was all about tech in 2020, and this year it's all about energy i think, as we move forward into 2022, i suspect your best relative performance in the market is going to come from the energy sector, financials and i think you'll see a rebound in tech, specifically the large tech, the apples of the world, nvidias, microsoft, they're doing great and they're going to continue i think to trend higher here don't forget about alphabet, despite interruptions with their service, the trend on that stock has been fantastic and doesn't look like it's endi

cater caterpillar, boeing, american express and p&dog wn as well keep an eye on those we're back aftert cdw, we get today your hybrid organization depends on different networks, different devices and different ways of working. so how do you manage to keep everything together? cdw can orchestrate a cisco sase solution or secure access service edge. converging security and frictionless connectivity in one cloud based approach. so your dispersed team feels closer to home. for a unified hybrid workforce, trust cisco and it orchestration by cdw. people who get it. >>> all right. chip stocks and chinese internet stocks some of the biggest pre-market laggards. welcome back to the show a new report on the business of flipping homes reveals that profits on the real estate investments have fallen to the lowest level in over a decade. the drop comes as more investors dive into the house philliping market di diana o'lick joins us with more. >> word of warning, the returns are shrinking. close to 95,000 homes were flipped in the third quarter of this year. which was an increase for the second quart

the start-up housed in a sprawling former caterpillar factory backed by a $63 million advance purchase order from the u.s. government. all told, washington spending $1.7 billion to help american companies manufacture. ppe at home. and how depent the u.s. is on foreign soerss a vulnerability in public health emergencies. another american start-up, usa gloves outside houston, created by former importers who found it almost impossible to buy gloves from aboard. they don't have any government investment yet, but once the machines are finally up and running next month, they hope to turn a profit from private sales. even with higher pricing than asian brands. >> hospitals, clinics even end users are willing to pay premium so we're prepared for future pandemics. >> reporter: it's still early days, but experts say it is essential that the u.s. makes more of its ppe at home. the question is -- >> whether people will remember this and be willing to pay that premium in the medium tomorrow or just a very short-term memory and soon people will go back to thinking who's my lowest price supplier. >>

caterpillar, goldman, chevron -- it is a debacle but the volumes around that big, nobody is throwingey at this other cyclical part of the market. what's left? we have high quality defensive names. these are consumer staple companies and health care companies. these are all great companies, all high-quality companies the problem is, they are only about 15% of the stock market. none of this, none of these defensive names are enough to sustain any kind of rally in the stock market and you see that today so the market's in a little bit of a difficult situation we are dealing with some richly priced stocks. there is some risk in the market people are naturally derisking in the most risky stocks byes, this makes perfect sense, but it's little bit gut wrenching to watch it. and we just need a little more clarity on omicron and the fed's intentions that we will get that december 15th. >> some of the names are markedly higher when compared to the rest of the market with gains of 2% or so. >>> bond yields falling today, too, after the jobs report disappoints. rick santelli is in chicago tracki

for 2022, i like caterpillar i think manufacturing remains strong in 2022 they have lean inventoriesities are remaining elevated and i expect them to in 2022 and we do have higher inflation. that gives them pricing power. industrial production earlier this week showed a 5% annualized growth rate. that's really a big number and nonresidential construction in their wheel house is expected to grow 5% in 2022 they're going to grow faster than that. they grew some of their segments 20, 30%. and grew margins by 200 basis points they have booked a bill of 1 .2 times and they bought back 1.6 billion. the past quarter they have more to go and i expect it to be announced new in 2022. finally, they've focussed on services and sustainability initiatives. and i think that's going to smooth out their business to be less cyclical. that's a good thing. a higher multiple. and that's higher margin business i like caterpillar for 2022 this >> how reliant is that as a call on global growth being strong next year? >> it is i don't know if we necessarily need to be super strong. i think they're just doing

you see another stock like caterpillar, up almost a percent on a day like this >> yeah, look, i don'tindustrials blanketly. i don't think you can buy the industrial etf with the s&p. you see we have components in there like boeing, you have components that are perhaps much better like a raytheon it is really diversified i pick stocks, you know, specific stocks. i like honeywell, but these to me are not undervalued at this point with rates going the way they will. i would like to see them stabilize a little bit you know, the industrial etf is about 38 tilmes trailing, only 2 times forward, but you have to parse through that i haven't been in it for a while, and i haven't missed it but i'm looking for a re-entry point as well as other industrials when the market comes down, because they're more predictable cash-flow generators than a lot of other parts of the falet >>in trades coming up next on "halftime." stay with us it's the most joyous time of the year. especially at t-mobile! let's go to dianne. i got the awesome new iphone 13 pro and airpods, and t-mobile is paying for them both!

just today i saw an analyst upgrading caterpillar. you want one david faber gives me a hard time about this one boeing it can't be that long until china ungrounds the 737 max and the faa green lights the 787 we're up on it it's not like wynn which is just -- i don't want to say catastrophic boeing, we're up one i think you make a strong case that the stock is ready to make the next move now. i know things won't ever go back to normal. it's just not. i don't think we'll ever get white collar workers to go back into the office u, more on that later. people who say not today, maybe tomorrow there's a back to the office backtrack. we have to go through massive omicron outbreaks in the next two weeks. you test for it, it's negative, you think it's okay. you still give it to others and then turn symptomatic. i was a particular covid donor but so were people to me knowing that they had it you wonder how come it never ends in the nfl when they test every day. we have an actual emergency room doctor from harvard who has a plan for dealing with

. >> reporter: the start-up housed in a sprawling former caterpillar factory is backed by a $63 millionce purchase order from the u.s. government. all told, washington is spending $1.7 billion to help american companies manufacture ppe at home. after the pandemic exposed how dependent the u.s. is on foreign sources, which is a vulnerability in public health emergencies. another american start-up, usa gloves, outside houston, was created by former importers who found it almost impossible to buy gloves from abroad. they don't have any government investment yet, but once the machines are finally up and running next month, they hope to turn a profit from private sales. even with higher prices than asian brands. >> hospitals and clinics and even end users are willing to pay that slight premium so that, you know, we're prepared for future pandemic. >> reporter: it's still early days but experts say it is essential for the u.s. to make more of its ppe at home. the question is. >> whether people will remember this and be willing to pay that premium in the medium term or is this just a very shor

what are cyclicals, caterpillar, honeywell, industrial stocks financials like american express, energy today. what is lagging? a couple weeks ago when everyone was worried about the fed and omicron breaking out defensive names were doing well. but they are lagging consumer staples, like coca-cola, merck, walmart, even apple issing laing a little bit. apple was the outperformer you see the rotation going object into the cyclical groups? revery healthy the bull market is winning out -- the bull market narrative is winning out. the basic idea here is omicron is highly contagious but for those fully vaccinated with booster it is not as dangerous that's the narrative that's winning right now. there is not going to be a bass shutdown in the united states. you can see that right now bottlenecks and supply chains might ease in the first half of 2022 if there is no mass shutdown f. that happens, the bottlenecks and the supply chains ease, the fed might be less aggressive on inflation attempt, consumers stay strong and earnings stay strong no shut down, consumers stay strong, the fed is only gra

liz: fox business alert, you see the gains on the dow well it's caterpillar that's leading the chargeer bernstein upgraded the heavy machinery company to outperform and raised its price target to $240. right now it's at $201.70. the firm said expectations for the industrial giant are really kind of low, despite plenty of upside heading into next year, including the big infrastructure spend here in the u.s.. other tailwinds bernstein says, include the potential for lower steel costs, even though they're still crazy high and easing monetary policy in china, which would stimulate building there. tesla rallying after ceo elon musk said he has sold enough stock to reach his goal of off- loading 10% of his shares. as of tuesday, the ceo has sold 13.5 million tesla shares and will pay about 11 billion in taxes, and he's giving tesla drivers an early christmas gift he is gifting, starting tomorrow , free supercharging. the ev maker announcing that motorists can charge for free during off-peak hours specifically before 10 a.m., and after 7:00 p.m. at superchargers along select travel routes in

he said, "the rare caterpillars that live on my face say 'good luck.' [ laughter and applause at leasts something. well, this is going viral. china's moon rover spotted a a mysterious cube shaped object on the moon's surface. and everyone on the internet is trying to figure out what it is if there is anyone who knows the truth, it's random people on the internet. [ light laughter ] yeah, the same internet that couldn't figure out the color of a dress [ laughter ] [ applause ] well, this is cool i just saw that nicolas cage has been cast as dracula in a new movie. and here now, on the phone, to talk about it is nicolas cage. nick nick, are you there? >> jimmy, it's my distinct honor to be talking with you >> jimmy: thank you for being here so you've been cast as dracula >> it's true i'm going to play the king of the bats >> jimmy: that's great that's great >> i never heard of dracula until yesterday. but get this, jimmy. he's an old russian guy who's obsessed with wearing capes. that's kind of his whole thing >> jimmy: i mean, i think there's more to dracula than his cape >> hey, want t

caterpillar, the best performing dow member, bernstein upgrading the shares saying the machinery maker will be a key beneficiary in a rebound of global growth. pfizer shares are higher after the fda made its pill the first oral anti-viral drug cleared during the pandemic. good news for pfizer and anyone who is suffering. >>> let's begin with the consumer the conference boards confidence index coming in stronger than expected despite rising covid cases and higher inflation 27% of consumers say business conditions will improve. 25% expect more jobs to be available in the months ahead, up from 23% and 18% say their incomes to increase over the next six months. this survey was taken through mid december as omicron spike was starting it is a sign of economic resilience joining me a cnbc contributor. the overall number, steve, is as high as it has been since i think july, 115, a move of about four points it guess it is just the movement in all -- or several of the constituent parts of the index that add up to that overall number >> yeah. tyler, this is really a high we haven't seen since pre

i'm talking industrials like caterpillar, energy like chevron, and financial stocks like american expressyield curve steepening today wow. that's nice news so these are all what we call cyclical stocks and are leaders. they were weak a couple of days concerns that they might get hit along with tech. that's not happening speaking of tech, big cap tech, micron, those terrific earnings there, but overall bouncing back here for some of the big cap names that were weak recently. i think the ones you want to watch is the other tech names out there. the twitters a lot of these names, secondary tech names, they're at double bottoms. today compared to two weeks earlier, a new bottom yesterday. so twitter, paypal, spotify. ark innovation was $90 seven, eight sessions ago now it's bounced back to 98. that's a good sign defensive stocks has been leaders recently i'm talking about the cokes and pepsis of the world. you notice they're flat. what we're getting is rotation into the reflation names out of some of the defensive names that had dominated recently this is a very good sign of confidence will w

. >> about of america, american express, boeing and caterpillar.ds on the do you generally tech stock is continuing to lag. apple is one essential that defies all sorts of gravity. salesforce, semiconductor names like nvidia and advanced micro also speculative tech, shopify and square they are not participating in the rally either this tends to be a cyclical rally. what else is left? when you are afraid of omicron headlines, when you are afrayed of the federal reserve raising rates you go into defensive names. a sign that the market is comfortable today is you can see the wassive stocks, the farm suitcals the consumer staples names and some of the other kimberly-clark for example, all flattish on the day. so this is a sign we are generally comfortable with the idea of looking on the bright side of the market or bright side of the news, at least today. tyler, back to you. >> thank you, bob. let's het back now to rick santelli for a check on the big move higher in yields. hey, rick. >> hi, tyler as i am talking we are going to be looking at 24-hour c

it seems like there's a vast array of opinion on it, caterpillar. >> there really are. there are people who think the raw cost of metals are going to hurt them. the people who think it's levered to china and china is cutting interest rates it's levered to infrastructure here's what it's levered to, great management that does well when there's a lot of economic activity when the fed starts raising rates, there is still a lot of fed economic activity, and by the way, they do have infrastructure, but they're really linked to oil and gas it's a good story. i like newcore more, the steel company, but cat apillser a good story. a eric in washington >> caller: boo-yah to you. how are you doing? >> i'm doing well. how about you? >> caller: i'm doing wonderful about to enjoy the holiday season >> yes >> caller: speaking of which, i bought some shares on a whim of a company i'm not all that familiar with. ralph lauren >> all right, i'm very close to this company actually i'm probably one of the few people who really, i would like to think, has a very good relationship with them,

thing to do he took a 30-second break off the show switching gears to cyclical, a big upgrade for caterpillar. the cycle is calling the name and the path is clearing this time to outperform over the next 12 months. stephanie, you own this one and as a matter of fact, the portfolio just about 70% cyclicals. what's your take on this upgrade? >> i agree with it because i obviously own it it's lagged the overall market year to date and that earnings, i think are kind of at the trough i think that given what they've done in terms of making progress on margins and last quarter they beat operating margins by 300 basis points year over year. revenues were constrained because of the supply issues and when the supply issue gets fixed and you have the operating margin expansion you get operating leverage i think they're not getting credit for the services focus and the sustainability focus it's not going to happen overnight, but i don't think that piece of it is appreciated and in the near-term, they've got great visibility and 1.2 times book to bill with orders up 10% they had the highest third quarter

caterpillar, goldman, those are your big decliners today we're back in a moment >>> this is "the exchangeon cnbc complicated. as your broker, i've solved it. that's great, carl. but we need something better. that's easily adjustable has no penalties or advisory fee. and we can monitor to see that we're on track. like schwab intelligent income. schwab! introducing schwab intelligent income. a simple, modern way to pay yourself from your portfolio. oh, that's cool... i mean, we don't have that. schwab. a modern approach to wealth management. mom, hurry! our show's gonna start soon! i promised i wouldn't miss the show and mommy always keeps her promises. oh, no! seriously? hmm! it's not the same if she's not here. oh. -what the. oh my goodness! i don't suppose you can sing, can you? ♪ the snow's comin' down ♪ -mommy? ♪ i'm watching it fall ♪ watch the full story at www.xfinity.com/sing2 ♪ >>> welcome back, everybody. despite what is going on in markets today, we've actually had good news from moderna on the booster shot and the level of protection it offers against omicron. moderna's shares

dow losers include goldman sachs, amgen, caterpillar and disney.onsumer discretionary and financial sectors lower. today's inflation reports show gas prices up 6.1% for the second month in a row. and, look, there's no guarantee that stocks will continue to rise as prices rise. in fact, it's a bit of an anomaly today, and remember, the cpi report is only likely to push the fed to move more quickly to tighten down the reins. neil, back to you. neil: charles payne is here, "making money," host. that fine show comes up right after ours. i'm sort of like your opening act. [laughter] you and i are probably the only -- >> yeah, yeah. neil: what do you make of the market's reaction, first off? >> i think part of what gerri was saying was participant of it. yesterday the nasdaq got shellacked, the anxiety it was going to be a much higher number. i was thinking 7, even higher. is so i think some of it was, this is sort9 of a sigh of relief, you know? if listen, powell's already said he's going to, you know, move toward a quicker tapering, we know that. that'

caterpillar boeing also down wti down by 3.75%, $68.19 is the last tick there. that's because the demand picture is getting crushed as you hear the spread of covid cases around the globe. >>> to washington. west virginia senator joe manchin said he will not support president biden's build back better plan. what investors need to know. good morning, eamon. >> the announcement came with less than an hour's notice to the white house. that means the package pushed by president biden is all but dead. on fox news sunday manchin portrayed himself as someone who tried in good faith to go along with his fellow democrats. >> i cannot vote to continue with this piece of legislation i just can't i've tried everything humanly possible i can't get there. >> reporter: now that prompted an outraged response from the white house where press secretary jen psaki issued a statement blasting manchin for br breaching his commitments to president biden and his colleagues in congress she said just as senator manchin reversed his position on build back better, this morning we'll continu

looking at caterpillar, united health, travelers, merck is up as well. >> recommendations for fda to. dave: pfizer has one as well. s&p winners, the farmer -- pharma is doing well 5% during restaurants. >> darden restaurants - dave: micron tech and microchip, the chip industry is going through extraordinary moves because of the supply chain shortage. are you a fan? >> i'm a huge chip fan. intel is a lag, nanometer technology but in the chip shorter, the global supply chain crisis everybody needs that. dave: here is a look at the big board, the dow has come back from its opening start but is up handily at 224 points to the upside. looking at the yields and the 10 year treasury to 3.6 basis points, almost 1.5%. gold is up $9.20 an ounce but still below 1800 trading at 1785. bitcoin is up below 60,000 but it is a little bit up a little bit, $1,000 a day is a little bit for crypto. crude oil is trading up 3%, concerns about omicron listened today as a result of that. don't you hate to be dependent on opec, we went for two years without having to worry about opaque, natural gas is down an

caterpillar doing well. increase in folks going to las vegas. the nasdaq winners, paychecks, cisco systems, cwd, align technology. there is the dow, 189 points. a lot of people say with inflation creeping up, it is close to one%. favorably raising rates after the first of the year. gold is a particular. and 48,690. looking at oil, on the pandemic front, omicron not as severe as we thought. natural gas is down quite a bit. 6.5% to the downside on natural gas. natural gas going up when winter months kick in. it is $3.29 and where it is $4.66. elon musk has choice words. >> california used to be that opportunity, it is becoming more regulation, litigation over taxation. dave: that is not all he said. the full video coming up. a sitting member of congress carjacked at gunpoint in broad daylight in philadelphia but remember the city's da said there was no spike in violence. >> there is not a big spike in crime. there is not a big spike in violent crime. neither of these things is true. >> is walking past the comm

and i also, you know what, when you see a note today like balkan materials up, caterpillar, it remindsing into the holidays with a little bit of optimism. >> i miss you, partner. >> i miss you. >> i never see you, i never -- >> we're going to hug it out was there a holiday party? this year? >> no, you're so good. i'll come up to the rooftop someday and say hi. >> we're going to hang we're going to hang. if you don't know already, you have to check out the investment club sign up right now, or just point your phone at the screen it's that easy, and yes, it is absolutely wthor it. "squawk box" returns after this. want an engaging website to boost your business? you're just a click away from five star fiverr talent. hundreds of freelancer skills like web design. head to fiverr.com today and get something started. >>> welcome back to "squawk box. the futures are now red. we've turned around. all the averages are now in the negative, nothing major at this point. joining us is j.j. kin han, and mimi duff. mimi, you've got a lot of experience in fixed income, which i think probably informs yo

i love industrial american companies like caterpillar, general electric, cool industrial american companiesher someone from bloomberg about we have a special guest, andrew obin from bank of america securities. when i think of industrial companies today, one of the topics that is top of mind is this supply chain that girds all of america. talk about the therm of reassuring some manufacturing back to the u.s. -- talk about the term of reassuring some manufacturing back to the u.s. andrew: isn't issue of the volatility and strategic reliability of the supply chain. that is the big -- it is an issue of the voluntary and strategic reliability of the supply chain. there is a national security necessity to move some production back to the u.s.. it is on the technology side that we see the most reassuring. romaine: how does that balance out? most of the companies paul mentioned are still international companies. how do you balance that out? andrew: we do think the biggest driver will be manufacturing. if you go back to 2000, the value of manufacturing was $.7 trillion, $400 billion was taxed. when

we have seen strikes from unions , caterpillar and kellogg, for instance, and those unions winning out. so those wages are going to factor into corporate profits. the key is whether or not those profits can be passed along, and they will only be able to be passed along if the rest of the country, the rest of the workforce manages to get wage gains to go with it. we are not talking about wage gains like i don't think we will see this wage spiral that people talk about. we are nowhere near that. the fed is not going to have to worry about inflation running away necessarily unless other factors intervene. commodity prices, for instance. but i think in the near-term, multiples will suffer and earnings will suffer until the cycle catches up him until people are closer to except in those higher prices. paul: vincent, thank you so much for joining us. always appreciate getting your perspective. you talked to a lot of traders on the street. you've got your finger on the pulse. that is vincent cignarella giving us a little more of a cautious outlook. i can understand that, given his experience.