diana, thank you diana olick.s of kimco reality are higher the pandemic has been a huge hit to the company's business. we'll talk to the ceo off this [squeaky shopping cart] [sniffing] is the salmon wild-caught? she only eats wild caught. [cash register beeps] uh, i need a price check on honey. don't get mad. get e*trade and get more than just trading. investing. banking. guidance. try new nature's bounty stress comfort. three unique gummies for your unique needs. find peace. boost mood. sleep well. stress comfort comes naturally, only from nature's bounty >>> shares of kimco reality are jumping to day after second quarter earnings the stock is down 40% this year. they have a good pulse on what is happening in retail the top tenants include tjx, home depot, whole foods and walmart. joining us is connor flynn good to have you back. you were up to 82% of rents collected in july from 70% kind of overall in the second quarter, 76% in june what are the expectations for august and the rest of the year? >> nice to see yo

years to see this type of horsepower on new home sales, and nobody does new home sales like diana olick dianaer in housing once again. >> reporter: once again, rick. this is a blockbuster number, up 36% year over year now the street was just expecting a small gain, but everything we've heard from the builders especially with builder sentiment hitting a record high in august showed that this was going to outperform. what's interesting here, prices up 7.2% year over year and supply down to a 4.1 month supply from a 4.7 month supply that's going to keep pressure under prices we saw that in the existing home market we have existing home supply down to a record low three-month supply, that is benefiting the builders what's really interesting here, though, is that you're seeing the price category shift you're seeing a much bigger gain in sales for higher priced homes, that is shifting that median higher but also we know that the builders are increasing prices why? because they can they know there's a low supply on existing, and therefore, they know people are also really wanting new, they want high

diana joins us. diana olick. >> don't you just love that, joe. >> i love it. >> home sentiment jumped 6 points to 78 on the national association of homes builders wells fargo housing business that matches the record high set back in 1998 that's going back 39 years it had plunged to 30 back in april clearly making the sharpest v-shaped recovery we've seen in this economy current sales conditions up 6 points to 84 sales expectations up three points to 78 buyer traffic up eight points to a record 65. the builders say it is all about record-low mortgage rates, people trying to get out to the suburbs and, of course, that very short supply of existing homes for sale they do have one warning, though, they say that soaring lumber prices. prices have doubled in just the last couple of months could, quote, dampen momentum on this housing recovery we have seen housing starts coming back, but not as strongly as we'd like to see. we get those numbers tomorrow morning at 8:00. builders clearly seeing buyer demand really coming back and not waning there was a question of whether it would surge for a couple months and then fall back as we got into august and september. that's not happening again with that buyer traffic number at the highest level ever and sentiment. but, again, we'll see where lumber prices and what they do to home prices, joe. >> and mortgage rates, too diane. didn't they start to go up last week is that going to continue? is that a problem? >> yeah, that's a little concern. they did jump up pretty sharply last week and that's when fannie and freddie raised rates on lenders and we saw mortgage rates go up 25 basis points. that doesn't sound like a lot when you're coming off a record low, but that's purchasing power and when you look at prices of newly built homes, builders are raising prices and they could raise them more if their costs for lumber continue to go up and existing homes very tight supply and prices going up there. we don't want to see mortgage rates get much higher than that. they're still pretty low, though >> okay, dianae early read we love that scott? >> all right, joe, thank you coming up, jim cramer on a big week ahead and money and politics as the democrats get set to kick off their convention stay tuned, you're watching "squawk" right here on cnbc. aflac. what he said. and this unexpected bill is from... the two-thousand-dollar specialist. thanks. aflac. when you're sick or injured, aflac is there. we can help with expenses health insurance doesn't cover. get to know us at (aflac!) dot com. it's the simple joy of gewashing your hands,. without ever touching a faucet. it's the little things that matter. that's why we create moments to feel kohler clean, every day. ♪ >>> cnbc headquarters and jim cramer joins us now. riddle wrapped in an and you listen to novarro and say he's not -- >> i'm worried about taiwan semi because we're closer to taiwan we gave them the jets. the chinoese don't try to shut down now that intel has fallen by the wayside we need to stay strong in semis and i think navarro has

diana, it is not good news. thank you so much, diana olick with more on a problem that extends beyond mortgages we welcome andreauthor of a book "know your price, valuing black lives and property in american cities" a fellow stock exchange brookings institute andre, welcome good to have you with us maybe i'm the only one that did not know this. i did not know and i'm surprised lenders are allowed to ask your race as part of the application process. why are they allowed to? >> one, we do need to have that information to know if we're actually lending to black, brown, and indigenous folks. there is data collection need. unfortunately we see data used to punish black buyers and sellers in many cases. we want to see sort of a color blind approach but we also know that if we don't collect the data we won't have the information to remedy the situation. >> but let me push a little bit here, and i'm just thinking off the top of my head why couldn't you collect that information after the mortgage application has either been approved or declined, so that it isn't known up front and therefore can't get into in any way the

diana olick joins us now with those. hi, diana. >> hi.g the numbers had been coming down pretty swiftly over the past month, but now the mortgage bailout appears to have hit a flatline 3.9 million homeowners are in active forbearance, representing 7.4% of all active mortgages that's unchanged from last week and the week before was unchanged as well. that all according to black night. according to three quarters of those in forbearance have had their terms extended the mortgage bailout allows borrowers to delay payments for up to a year banks and private label securities have allowed about six months of forbearance, but it's unclear how much longer they're going. breaking it down, a reduction of 23,000 borrowers in fannie and freddie borrowers was almost setoff by bank held and private label loans. over the past 30 days, angtdive forbearances have declined by 171,000 with the strongest improvement in fannie and freddie loans. more modest improvements have been seen in fha, va forbearances and portfolio loans. borrowers were using payments

diana olick joins us now with more on this diana?ges that are making it not only harder but more expensive to refinance your home loan first is rising mortgage rates the headline has been record low after record low rates are lower than where they were a year ago. in the last week we've gone from solidly under 3% on the 30 year fix to solidly over it that's according to mortgage news daily part of it is rising treasury yields rates move even higher yesterday after fannie may and freddie mack hiked the fees. that amounts to $1500 on a $300,000 mortgage. lenders don't have to but they will likely pass that on to borrowers. the market reacted quickly with rates moving higher and finally credit scores. the median fico credit score for mortgages originated in q2 jumped to 784. that is the highest since the fed began tracking this. all of this makes it harder and more expensive for borrowers to refinance the mortgages which had been a bright spot in the tough economic times back to you. >> meantime, want to keep an eye on the bank sector s

rick, she's in your neck of the woods in indiana just around the corner diana olick joins us with more on the housing data. dianak looking through the numbers? >> reporter: they're definitely a surprise to the up side. that's a great thing we're seeing much more than we expected i want to break out the single family versus multi-family that came on the multi-family side that's not where the market needs it now we need more single family starts single family starts were up about 8% month to month. 7 p ers percent year over year still at 945,000 analyzed units. we were at a million in december and january. dropped in april due to the pandemic demand for single family newly built homes is so strong right now that we should be seeing those numbers much higher. demand for multi-family, not as strong right now what's the problem you talk to any number of the builders, they say, look, we had to layoff labor. we lost supply chain lumber yards shut down sawmills shut down because they didn't expect to see this kind of demand. they're having trouble ramping up you continue to see that in the july numbers which is a disapp

john >> wow, diana, our viewers who have been paying attention to your reports won't be surprised by the trend, although the numbers are still pretty amazing. diana olick amazon's jeff bezos netted a massive $80 billion windfall during the pandemic. it may be the stocks are near all-time highs despite what's happening on main street, but in part also because of it, and it leads us to question what is the government doing, what is the government not doing steve liesman joins us to explain some of that steve? >> john, thank you many big companies prospered in the pandemic because they've been able to leverage technology like amazon, taking market share away from smaller businesses amazon's gains come in part because investors believe the existing trend towards online shopping is accelerating tom lee from fundstrat says "it's like throwing gasoline on the fire" of the trend toward going online massive liquid doesn't help small business and government programs may be widening the advantage of big companies helping drive down their cost of funds in this crisis the paycheck protection program aimed at the smallest companies awaits new funding but that money

no pun intended, diana diana olick. >>> tech stocks rallying big facebook, netflix, salesforce.com up 26%. our next guest said it's time to look for value outside of big te rhtft ts.chig aerhi ♪ come on in, we're open. ♪ all we do is hand you the bag. simple. done. we adapt and we change. you know, you just figure it out. we've just been finding a way to keep on pushing. ♪ >>> the s&p 500 and nasdaq with record highs, tech stocks leading the way. hard to take your eye off the names with huge moves. our next guest said now is the time to look beyond them steven jeffries joining us now you have several names on the list let's start with the only retailer, foot locker. >> just broadly more cyclicals should outperform growth stocks. so the idea here is that consumer discretionary industrial material fit that theme. what we did was ask the analyst for the best ideas in the group. the other things we were looking for was comes with upward revisions. expectations were low, getting readjusted so foot locker made the cut and also had a pretty good reporting seasons in the q2 numbers. >> it did