the builders hard. >> no doubt about that i'm looking at consumer discretionary and down 1% and diana olickling off today, speaking off discretionary, gap, kohl's, burlington among the hardest hit in the session evercore saying it's time to play the space defensively highlighting costco and walmart as one of its top picks. >> costco and walmart are just kind of when you're worried about the consumer, that's the place you go a lot of things are piling up. we all know everyone's trying to run the student loan repayment through their numbers and gasoline prices where they are everything you're seeing kind of pop up seems to move in the direction of, there's going to be less to go around ford discretionary and intentions for holiday spending not that encouraging and even though we're a couple of months out and it usually doesn't necessarily follow and i just think it's a tough time right now to feel as if this is the moment to start taking risk even if what looked like cheap stocks. kohl's down a bunch today. the dollar stores have kept going down, even after they had the post-earnings jumps an

diana olick has the story from portland, maine. diana? reporter: steve train has been a maine lobster men for 40 years, but those years may be numbered. the waters are heating faster than every other ocean in the world, forcing lobsters north to colder waters and leaving lobstermen in a pinch. >> if we have something like kelp to harvest on top of all of the other benefits of the health and the benefits of the carbon, to significantly help our income, that's huge. >> reporter: they're doing it with the held of a maine startup, atlantic sea farms, which has grown the local industry from just 30,000 pounds of line grown seaweed five years ago to a million pounds last year. >> we're growing it without any inputs, no pesticides, no fresh water, no inputs. mother nature is the kelp farmer. and what we are doing is we're providing seeds to our partner farmers. >> reporter: 90% of seaweed is grown overseas now, but the u.s. market is expected to grow from $2 million a year to over $5 billion over the next ten years. warner sees a massive opportu

diana olick, what can we expect from lennar in overtime?lennar is the second largest home builder in the nation and it like the other builders has been benefitting from the severe lack of supply on the existing home side so the expectation is for another strong report. now last month berkshire hathaway reported new positions in lennar and two other big builders investing $800 million. lennar's stock is up about 60% in the last 12 months. demand for housing appears to be strong ap applications for a mortgage to buy a newly built home in august were up 20% year over year according to the nba. in q2, lennar's chairman said buyers were getting used to the new normal in interest rates but rates were below 7%, approaching 6 at one point. then they shot up over 7% in june. we'll see how much that hit demand in q3 and potential sellers for lennar. >> all right. we'll look forward to your reporting in "overtime" when lennar hits the tape. speaking of hitting the tape, adobe also reporting after the bell. days after fellow software company oracle cra

but it's still 3%, 4% below what we saw last year in terms of percentage of price cuts >> we have diana olick show all the time. she says generally when rates fall back to below 7%, people buy houses if they're above, they pull back do we stay at the bottom even though the rates are above 7 >> with new listings growth, since most sellers are buyers, we can trend higher from here. the question is does the job loss reflection force a new listings data in a bad way that tends to be the case. so far jobless claims have stayed low enough to prevent that from happening. but at some point in the future, you'll start to see new listings growth from stressed sellers that hasn't been the case for the last 13 months, but if the job loss recession is on the horizon, then the data will increase for the wrong reason. >> all right logan mohtashami, also great to have you. >>> fedex's third quarter earnings report today could give them a lift. we're back with much more from the nation's capital right after this to address operations issues? we can help with that. can we provide health care virtually anywhere

diana olick. >>> where does it all leave us we know that higher mortgage rates are starting to bite andhat treasury yields are still rising we're at the 16-year high on yields maybe a little bit of relief today, but the long hand is what everyone is paying attention to. the 10 and 30-year where we have seen this move up despite, you know, some mixed signals on the economy, i think we have to start with jamie dimon speaking to our colleagues in india jpmorgan's chief saying he's still cautious about the outlook. listen. >> right now it feels good that fiscal stimulation was extraordinary, the monetary stimulus was phenomenal. it's a sugar high and that's a little bit going go away and we hope we have a soft landing, but other things are there, qt, ukraine, oil, gas, this winter, disruption in trade flows, so, you know, i think good leadership on the part of, you know, india, china, europe, could make sure the negatives don't happen i put myself in the cautious category. >> sounds like he's cautious on the soft landing story which is the consensus in the market, not inconsistent from jame

diana olick. as we see treasury yields making news cycle highs as we speak.t the delivering alpha conference as we talk to all of the biggest name investors from around the globe about their best ideas where they're allocating money, how to deliver alpha in the rising rate environment. right now on the stage there's a conversation with the incoming co-ceo of oak tree. we'll talk to him on this show after he gets off the stage in a few minutes. that's armen pinnosian. about $180 billion assets under management and taking the stage to talk to some global investors including the head of ubs asset management. i wanted to share some new comments from another event i did last night. it was the managed fund association lifetime achievement award ceremony where i moderated a fireside chat with investor ray dalio, founder of bridgewater. he's pretty dark and pessimistic, as usual, talking about the themes he sees developing right now to face off between world super powers like the u.s. and china. the populous rise in the united states. what he sees as a bigger and big

cnbc's diana olick has the details. diana? >> reporter: melissa, mortgage rates have been on a tear, and there appears to be no relief in sight. the average rate at 7.65% today, according to mortgage news daily, up from 7.08% just a month ago. and up from 2.8% two years ago, which was the record low. to give you an idea of what that means to a home buyer today, well, if you were going to buy a $400,000 home with 20% down on your mortgage payment, is now $920 per month more than it would have been just two years ago. add to that higher home prices and you can see how affordability has just been crushed. now, we saw it in the pending home sales numbers out this morning. down over 7% from july, and down nearly 19% from a year ago. higher mortgage rates are not only hurting home buyers, they are keeping potential sellers in place, because the vast majority of current borrowers have rates well below 4%, so, why would they want to trade up to nearly twice that? the home builders are buying down interest rates for new buyers. the bui

how does it look, diana olick?s. that's a miss. the street was looking for a slight gain. sales down 15.3%. this read is based on closings so contracts likely signed in june and july when the 30-year fix in the high 6% range and moved to % and stayed there. inventory isn't getting better. 1.1 million units for sale in august, down 0.9%. down over 14% year over year. inventory at a 3.3 month supply. 6 is considered balanced between buyer and seller. tight supply turned prices higher. median price of a home in august, 407,000. the realtors say supply needs to double to moderate these price gains and sales continue to be weakest on the lower end where there's no supply and sales down across all price points, nearly flat in the million dollar plus range and in that range they were higher in both the south and midwest. i would just note that the 10-year yield on a tear today and that's what mortgage rates follow. >> yep. sales follow that. thank you. diana olick. >>> another important data point that i wanted to mention

diana olick is watching that. hey, diana. >> hey, carl.several months now. they were still slightly higher year over year in august, but that may be the last of it. take a look. rent is up 0.28% according to real page. compare that to a year ago when rents were posting 11% annual growth. with the exception of a very brief drop during the covid lockdown rents haven't gone negative in a decade and when they did, it was due to recession hitting demand. that is not the case now. apartment occupancies nationally are at a healthy 94%, right along historical norms and that's thanks to high mortgage rates with high home prices keeping people in the rental market. the issue is a massive amount of supply. new units this year at a 50-year high with over 400,000 units coming on just this year alone. we've talked about this a lot over a million new unit in the past three years. that's a record. and much of that supply is on the higher end. now renters have more options, so landlords have less pricing power as turnover increases. while rents nationally

diana olick has the latest numbers. >> yeah, rates have been on a tear following the fed meeting yesterday higher this morning hitting 7.47%, that according to mortgage news daily. and that is up from 6.85% on june 1. and i'm using june 1 because we got the read on existing home sales in august this morning which is based on closings. so those were contracts signed in june and july. sales mixed expectations, and were actually the second slowest sales pace on record second only to during the financial crisis. but now prices are $407,000, hice august price on record. so if you are buying a $400,000 house today, it will cost you $134 a month more than it would have on june 1. the realtor's chief economist said on a call this morning that we could see 8% on the 30 year fixed before rates potentially start to come down next spring and he said if that happens, we will see another leg down on existing home sales. new construction seems to be faring better but only because builders are hoping to buy down the high mortgage rates. >> and on that note, home ownership has become even more difficult fo

builders a boost in recent months, but higher mortgage rates seem to be finally taking their toll diana olickreading this month >> the reading this month was not good affordability is hitting too hard and as a result, builder sentiment went forward and it fell five points to 45 in september and that according to the nahb-50 between positive and negative and that follows a six-point drop in august a year ago sentiment was at 46 builders are blaming, as we said, high mortgage rates which went over 7% at the end of june and have not come back below that line yet, seven points to 3% as a result, builders are going back to incentives and 32% said they cut prices in september and that's compared to 25% in august and the largest share since december of last year. average discount, 6% of the sentiment index's three components and current sales conditions fell six points to 51 expectations for sales in the next six months also fell six points at 49 buyer traffic five points down to 30. despite the drop in sentiment, builders say they're still benefiting from a lean existing home supply and a special q

let's get the numbers with diana olick. >> higher interest rates different hurt very much lennar. beat again on the top and bottom lines. even know rates went from the 6% range on the 30-year fixed in q-2 to the 7% range in q-3. in the release, lennar's executive chairman stuart miller noted the jump during the quarter, but said short housing supply absorbed by strong pie mare and pent up demand continued to define a strong sales environment. and he added that home builders also continued to use incentives including buydowns to offset rising interest rates and tighter capital, which, of course, limit affordability. now, len narp's average sales price was lower at $448,000, compared with almost $500,000 the year before. it also raised q-4 guidance on deliveries, and we did just get the read on mortgage demand for newly built homes in ugust. it was up 20% year over year. so, exile the existing market is still weak due to low supply, builders are picking up the slack. melissa? >> karen's got a question, diana. >> despite that average sales price being lower, their gmargis were better

now new data showing who's actually following through with that, we turn to diana olick who's here atto have you in town >> and you're right, companies are making these pledges to reduce carbon emissions, but unfortunately, they're not all putting their money where their mouth is this according to a new report from just capital, which ranks companies in the russell 1000. despite a tripling of net zero ecommissions in the past 20 years, up from 110 in 2022, they say action isn't keeping up. the companies that have committed to science-based targets have reduced their emissions the most, but still just 26 of 123 disclose actual reductions companies with general or net-zero climate commissions have actually increased narrow emissions. the biggest emissions reductions were reported by avangrid, owens corning, skband johnsons contro international. i spoke with the chso at pepsi. >> every dollar we spend developing reports is money we don't spend in investing in solving the problems and we're all in on reporting because it builds accountability and transparency which ultimately builds trust

we go to diana olick. >> home builder sentiment fell 5 points in september according to the nhv solidlygative territory. 50 the line between positive and negative, a 6 point drop in august. a year ago sentiment at 46. builders blaming high mortgage rates which went over 7 and haven't budged. 32% said they cut prices in september, compared with 25% in august and the largest share since december of last year. the average discount 6% pfts sentiment index's three components, sales conditions fell 6 points to 51, sales expectations in the next six months also fell six points to 49. buyer traffic dropped 5 points to 30. builders say they're still benefitting from a lean existing home supply, a special question was added to the survey this month about who is buying and builders said 42% of their buyers were first-time buyers. that is much higher than the historical norm of about 27%. it's about rates. >> thank you. >>> united autoworkers president shawn fain rejecting a 21% pay basketball game from stellantis calling it and other offers from ford and gm a no go. phil lebeau has the latest for

continues in new york city with a heavy focus on decarbonizing real estate, which means going electric diana olickals and on the grid diana, good morning. >> good morning, becky yeah, it is all about the energy transition this week who better to talk to than the ceo of edison international, owner of southern california edison i asked him given what we saw in maui and midwest if investing in electric isn't too risky right now. >> we understand the risks we already are making the investments needed to address them and we have a framework for doing that within the regulated compact. so i would say to investors, i do this all the time, right, that we do have that framework for sound investment we have a plan for what we need to do. and frankly we're leading the economy in terms of getting ready for climate. >> now, he said edison invested $6 billion this year alone to strengthen the grid and make it more resilient to climate change one thing he can't fix, though, is the impact of higher interest rates on demand for renewable energy >> all sectors of the economy are being exposed to higher interest rat

we have diana olick with more. >> reporter: good morning, andrew.he maine economy worth $388 million last year. climate change may change that. lobstermen -- entrepreneurs are turning to seawood. steve has been a lobstermen for 40 years. the gulf of maine waters are heating faster than every other ocean in the world forcing lobsters to colder waters and leaving lobstermen in a pinch. >> if we have a harvest on top of the benefits for health and carbon to sugignificantly help income, that is huge. >> reporter: they are doing it with atlantic sea farms which have grown from 30,000 pounds of seaweed to 1 million pounds last year. >> we are growing it without inputs and no pesticides or fresh water or inputs. mother nature is the kelp farmer. what we are doing is providing seeds to the partner farmers. >> reporter: 90% of sea wweed i grown overseas now, but the u.s. market is expected to grow from $2 billion to $5 billion in the next ten years. warner sees an opportunity for maine and the planet. >> depending if you are in kroger or whole foods, there a

>> i did a little bit of that a couple of months ago and probably worth hitting again and diana olickortgages are expensive relative to where they ought to be. yes, they are high and ought to be higher, but there is an argument they're too high relative to treasuries it has to do with the inherent risk in there right now. >> the dow is up all yesterday morning. >> and then -- >> the yields can't go up when the yields -- so we're at 4.5 yesterday on the ten-year and went well above 4.6. >> 4.49 yesterday morning and then you went home and went to bed at 3:00. >> not 3:00. i mean, nap, but it is not in bed. >> but, joe, it has been a pretty rough couple of months in the bond market. you have rising bond yields and falling prices and that's pummeled some investors who have been holding on the long end but analysts think this run, guys, to higher rates, it could have further to go since early july here's what's been happening yields up from, remember, 3.75, now 4.64 at this level, what do you quantity to call it, spitting distance to 5% or higher ten-year is all of a sudden within reason

diana olick, thank you. >>> still to come, former s.e.c.s next for crypto regulation after grayskile's court victory earlier this week. >>> and tom rogers on the upcoming season and a game changer for tv. winners and loser in s&p 500 this morning. >>> "squawk box" will be right back. ke dynamic charting and risk-reward analysis help make trading feel effortless. and its customizable scans with social sentiment help you find and unlock opportunities in the market. e*trade from morgan stanley. with powerful, easy-to-use tools, power e*trade makes complex trading easier. react to fast-moving markets with dynamic charting and a futures ladder that lets you place, flatten, or reverse orders so you won't miss an opportunity. e*trade from morgan stanley ♪ opportunity is using data to create a competitive advantage. ♪ it's raising capital to help companies change the world. ♪ opportunity is making the dream of home ownership a reality. ♪ ...and driving the world forward to a greener energy future. [applause] sometimes the only thing standing betwee