. >>> we're back in one minute with a new legal action against abercrbiome & fitch. inside the lawsuit that accuses the retail giant of human trafficking. oh, hello! hi! do you know that every load of laundry could be worth as much as $300? really? and your clothes just keep getting more damaged the more times you wash them. downy protects fibers, doing more than detergent alone. see? this one looks brand new. saves me money? i'm starting to like downy. downy saves loads. viruses and bacteria float all around us. unlike air fresheners, only new lysol air sanitizer kills 99.9% of viruses and bacteria in the air. because scent can't sanitize. lysol can. ma, ma, ma— ( clears throat ) for fast sore throat relief, try vicks vapocool drops. with two times more menthol per drop, and powerful vicks vapors to vaporize sore throat pain. vicks vapocool drops. vaporize sore throat pain. >>> clothing retailer abercrombie & fitch facing accusations from dozens of men. they say they were sexually abused and trafficked. >> reporter: aesh kbercrombie &h now hit with a sex trafficking

wee ceo of abercrombie & fitch wi u 'rback in a moment schwab. bringing you an elevated experience, tailor-made for trader minds. go deeper with thinkorswim: our award-wining trading platforms. unlock support from the schwab trade desk, our team of passionate traders who live and breathe trading. and sharpen your skills with an immersive online education crafted just for traders. all so you can trade brilliantly. the power goes out and we still have wifi to do our homework. and that's a good thing? great in my book! who are you? no power? no problem. introducing storm-ready wifi. now you can stay reliably connected through power outages with unlimited cellular data and up to 4 hours of battery back-up to keep you online. only from xfinity. home of the xfinity 10g network. >>> a lot of attention on dick's and lowe's, and take a look at burlington, surging after beating expectations margins showed improvement nice 20% move up today >> indeed. when it comes to the outlook for the fed, right now the consensus says there's just a 3% chance we get one

brian coulton, chief economist at fitch ratings. the latest 0pec monthly oil outlook which will report on what's impacting oil market trends in world oil demand and supply. the world bank has recently warned that oil prices could rise to more than $150 a barrel if the conflict in the middle east escalated. but last week oil prices slid over 4% to their lowest in more than three months on concerns over waning demand in the us and china and the easing of worries over a wider conflict in the middle east. saudi arabia's energy minister last thursday said oil consumption remains healthy and blamed speculators for the recent drop in prices. so what is going on? spencer welch is oil analyst with s&p global. good morning to you. morning. was do we _ good morning to you. morning. was do we think— good morning to you. morning. was do we think the _ good morning to you. morning. was do we think the monthly i was do we think the monthly report will tell us when it is released a little later? i think it will talk about the demand for oil and say

in the summer , the us rating was also downgraded by the international agency fitch.ing, and interest is only growing. on new day and new events for the grand exhibition of russia at vdnkh. and in the first studio there is an opportunity to see in real time everything that is currently happening. on the territory of the complex, for example, these are multimedia galleries in the form of a collider, an achievement of russia, practically the digital heart of the exhibition. so, today we invite all visitors on an exciting journey. chukotka and primorsky krai, they take the baton of the days of the far eastern regions. run a marathon across the famous cable-stayed bridge over the golden rock bay in vladivostok, and also learn everything about the history and cultural life of the capital of primorye, of course, walk along the leopard trail, and you can visit the chukotka stand, for example, in the village of egvekinot, which is also called the local sochi. in general, it will be interesting even for an experienced traveler. many came to vdnkh early in the morning, taking t

delinquencies tick higher very much higher and that has got to be a concern for people like you at fitch thank you for having me. it is true, our subprime delinquency auto abs index did hit the highest point at over 6% with september data, but it is important to understand the composition of our subprime auto abs index has really shifted over time. the subprime lending market competition heated up in 2015 and 2016 and there were no a lot of -- there were a lot of new entrants to the space. issuance of auto abs has been at record levels. so there is just a lot more transactions underline the index, including those from smaller, newer, deeper some prime bloomberg's -- london composition is really change. the subprime borrower is under stress. rates are high. persistent unemployment -- excuse me, persistent inflation resulting in reduced real income. the subprime borrower has exhausted the pandemic-related savings they built up. delinquencies and defaults are rising. matt: it is important understand the composition and the change and thank you for pointing that out, on the other hand -- wel

andy fitch watched chicago weather alerts all day. >> apparently it's been snowing all morning. so we're here early so that we can get back and find out what's going on. hopefully nothing gets delayed. >> and it's delayed, what is that going to do for you heading to work tomorrow? >> i mean, i think i'll just have to skip out on some sleep. >> reporter: also facing a bumpy ride? drivers. with about 49 million people expected to hit the road this holiday period, experts predict traffic jams across the country. some hernz are hoping to avoid the crowds by driving or flying monday. but they still could face the same travel headaches. jericka? >> got to have patience. elise preston in los angeles, thank you. there's a lot more news ahead on the "cbs overnight news." do you struggle with occasional nerve aches in your hands or feet? try nervive nerve relief from the world's number one nerve care company. nervive contains ala to relieve nerve aches, and b-complex vitamins to fortify healthy nerves. try nervive. and, try nervive pain relieving roll-on. [stomach growling] it's nothing..

i mean, it was august of 2011 where the s&p downgraded and then it was several months ago where fitch. and as far as market reaction, at this time, no. the government shutdown could affect how they proceed with that but if we do shut down, we'll probably sell off into it and we tend to rally after a shutdown. there have been 20 since 1976 and we tend to rally after most. maria: ted, how are you allocating capital right now? >> we have a high allocation right now to short-term treasuries. more than we have had probably since 2000. we just feel like if you get that kind of yield, there's no reason for us to have to try to catch a falling knife so-to-speak. that's where we are. we're looking at it from that standpoint. we're fairly defensive on a lot of consumer staples and so from our standpoint, you don't have to get on the bus here. it takes a long time for a bull market to take off. so i think we're in okay shape from that standpoint. maria: do you expect a year-end rally, ted? >> i wouldn't think so. we really felt like the market peaked in july for this run and i don't think we'll

american eagle having its worst day since 2020 with names like abercrombie & fitch following its declinethat is next >>> plus, further ahead, a key name in the ai area which has been undergoing significant c suite drama as of late. >>> and speaking of, we have been seeing a lot of trouble for tech ceos lately whether altman's open ai departure, musk's ad backlash or multiple ceos catching flak for giving china's xi a standing ovation. 'ldiuss all this and more when "power lunch" returns ncreas more and more businesses move to the cloud. - so, the question is... - cyber attack! as cyber criminals expand their toolkit, we must expand as well. we need to rethink... next level moments, need the next level network. [speaker continues in the background] the network with 24/7 built-in security. chip? at&t business. something amazing is happening here. students are inspired and engaged. that's because school districts consulted with cdw to design modern classroom solutions with preconfigured hp devices making education immersive, accessible and secure. now, when researchers study elephants, kids

andy fitch watched chicago weather alerts all day. >> apparently, it's been snowing all morning. so we're here early so that we can get back and find out what's going on. hopefully nothing gets delayed. >> reporter: if it's delayed, what is that going to do for you heading to work tomorrow? >> i mean, i think i'll just have to skip out on some sleep. >> reporter: also facing a bumpy ride, drivers. with about 49 million people expected to hit the road this holiday period. experts predict traffic jams across the country. some americans are hoping to avoid the crowds by driving or flying monday. but they still could face the same travel headaches. jericka? >> got to have patience. elise preston in los angeles, thank you. >>> now to the holiday shopping season. despite rising costs and higher interest rates, consumers spent big and set records this weekend. more now from cbs's astrid martinez. >> reporter: energized crowds out in force this weekend found joy in brick and mortar shopping and holiday fairs like this one in dallas. >> gifts and things that our families wouldn't find som

lowe's and cole's -- kohl's, abercrombie and fitch, best buy.h us we have stacy widlitz of sw retail advisors. we appreciate having her, joining us to talk about the retail sector right now. set the stage for us, what kind of holiday shopping period are you anticipating? >> so far, the retailers we have heard from have said it's been very specific, whether you are walmart, grocery, everybody's been benefiting from inflation, we know that consumers are spending on necessities, right? they are spending less on big-ticket items. . home depot talked about that. williams-sonoma talked about big-ticket furniture, under real pressure. pottery barn, costs into double digits. we have best buy reporting tomorrow. . we will hear more of that. it is no surprise. the good thing is that we know inventories are very lean going into holiday because retailers and the they sell to have been burnt with too much stuff. so they have corrected that mistake. i think investors are largely giving these stocks a pass, if their operating margins are ok, despite the fact t

the largest of them are the snp, moody's and fitch, the so-called big three. downgrade the us rating. out of three snps back in 2011, well this summer. state economies are assessed by many parameters, but perhaps the most impressive number is public debt. america is the largest debtor in the world. analysts have read it, recently it has been growing at cosmic speed. in june it was 32, in september - 33. and it is expected that by the end of the year the debt will exceed the level of 34 dollars or 130%. gdp, and loans need to be repaid, if previously loans were given at almost zero interest rates, now they are above 5%. it would be possible to print dollars, but this risks accelerating inflation. it turns out to be a rather deadlock situation , inflation is high, rates need to be raised in order to fight it so that it does not become even higher, but at the same time the budget deficit is expanding even more due to the fact that debt servicing. very expensive, that is, gdp should grow much faster than 5%. but this is not happening; the american economy cannot p

angela fitch, we appreciate your time this morning.n a busy week ahead in the markets. we're going to get you ready for key inflation data, which is on the docket and a flood of retail earnings. that's straight ahead. "squawk box" will be right back. meet gold bond daily healing. a powerhouse lotion that moisturizes, heals, and smooths dry skin. with 7 moisturizers & 3 vitamins. and... new gold bond healing sensitive. clinically shown to heal & moisturize dry, sensitive skin. gold bond. (christmas music) ( ♪♪ ) weathertech gift cards have the power to wow everyone on your holiday list. offering a variety of american made products... weathertech! nice! like floorliners... cargo liner... seat protector... boot tray... cupfone... sink mat... pet feeding system... anti-fatigue comfortmat...and more. order the weathertech gift card instantly for the perfect gift at weathertech.com. >>> good morning, the market's recent rally facing a number of headwinds this week including inflation data or more fed speak. >>> house republicans are looking

saying that we did something or we achieved a kind of victory, somehow, they are trying, they are fitching a victory somehow, you know, after the defeat that they um, went through during the beginning of this event on the seventh of october, what they are doing now is only you know they are just targeting the civilians, that's all and committing crime after crime in in gaza in gaza strip, when it comes to the... land incursion and land invasion, they declared from the very beginning that they will have huge land invasion and to get rid of hamas totally in gaza and to clean gaza from hamas, which is something they realized next day that it is absolutely something you know stupid and the that they can't do it, so they start talking about small operations into getting in to some areas in gaza and getting out, and even that they failed terribly when the resistance came out from the tunnels and came out from nowhere and they start fighting them back and israel had heavy casualities and heavy also loss is in in this these small incursions, so now they think they have to think not only twice or t

i will add that fitch and the snp have previously stripped the us of its highest credit rating.diately opposed plans to allocate 5 billion euros per year to ukraine. germany is also among those who disagree. berlin does not want to spend huge amounts of money on another aid package. the document will be considered next week, the negotiators believe that if the plan takes. if the goal is generally approved, the final amount will decrease. everyone is delighted with the taste of aromatic freshly brewed coffee at a delicious point for everyone who loves coffee. now she will appear, come on! well, what's there? magic cashback. with a gazprom bank debit card, cashback up to 30% on marketplaces and supermarkets. gasprom bank - time to make dreams come true. pay less. rod front 359 bars. pyaterochka helps out. i'm the new nice active. when your back hurts, i easily penetrate to the source of pain and quickly disappear. it's time to go training. meet me. new nice active. team. vtb is with you, with the vtbon application, transferring money quickly is convenient, cool idea, but by whom?

government debt still has the aaa rating and the other rating companies like s&p and fitch have lowered the rating but moody's has not. what moody's did was said the outlook here on this rating is negative, meaning if things don't change, the trajectory for the fiscal government remains the same then we will have to think about downgrading the debt as well. it's not an actual change in the rating, just a signal to interested parties and lawmakers that the fiscal situation is on an unsustainable path and not consistent with maintaining so-called aaa ratings. host: how often do you get questions on that when you testify before congress? guest: pretty regularly. when i go overseas, i get it more often. if i go to china for example, host: do they blame mark zandi? guest: at the end of the day, come on. we talked about the fiscal situation, it is unsustainable. we got to change something. if you don't change it, something will break and it's not consistent with the idea that there is no risk here. that's what aaa rating means. i think everyone understands that deep down once you get below th

of the last private companies in that area and produces 150,000 barls of oil per day according to fitchnot over yet. the union planning to launch a campaign with 13 non-union automakers after closing out record deals with detroit's big three. the uaw says the campaign will cover nearly 150,000 auto workers across bmw, honda, tesla and toyota. the participation at every plant or automaker is not guaranteed and as part of the campaign, workers are in the process of signing electronic cards to support the union's efforts. frank. >> silvana, thank you. >>> we're turning our attention to a big andnived seniversary o chatgpt's launch. it has caused attention for chips and the clouds and personal yeaa.i. assistants. one industry is looking into a.i. to help is the healthcare industry. we have the latest guest with us. good morning. thank you for being here. >> good morning, frank. >> let's talk. how do you view a.i. with your hospital system? what are the challenges and what are the opportunities? >> you know, frank, what i see a.i. is is being the most profound diagnostic tool. no question th

abercrombie and fitch, popular again, they had genes in every size and shape, stock tripled this yearone final point, stocks are going today. we are riding a 5-day winning streak. ashley: we were up three weeks in a row. i'm a bi. always. now this. 55 million people expected to be on the move but storms could create havoc for some of those travel plans. jeff flock at philadelphia international airport. give us the latest. >> calm before the storm. the worst possible time for a bad storm, the busiest thanksgiving travel holiday in terms of air travel, look at the number, over the long thanksgiving weekend. 4.7 million travel by air, putting aaa at 6% from last year, the department of transportation says it will be the busiest air travel thanksgiving in history. the storm is a big one up the eastern seaboard, not here at philadelphia yet, it is busy but not overwhelming. not so many cancellations but a lot of delays. we talked to aaa and here's how they put it. >> the planes are there, the people i there, just a matter of getting where they need to be. there should be some delays and th

there's abercrombie and fitch, urban outfitters.andout come back story with a stock more than triple year to date. eagle 41%, guess is up 17%. this had a huge run since reported last august. three out of these four companies abercrombie, american eagle, urban eagle and guess targeted to young shoppers. we know the retail is going through disruptions including the fashion brands and platform like sheiin and temu. the last two abercrombie reported 31% and 41% respectfully. you don't want to et against the stocks. i'm saying the bar is higher for all four retail stocks because they are coming in hot. if they don't put up spectacular numbers, stocks won't continue to rally. i think if wrong, stocks will get crushed. bottom line, that's the set up for tomorrow's retame earnings. hope you wrote them down. we wait 12 to 24 hours and see where the chips fall. let's go to wayne in kansas. wayne? >> hey, jimmie cramer. >> i don't i don't. >> yoyo. remember those days. i've gotten more tame than that. how can i help you, buddy? >> i'm wonderin

supporting abercrombie and fitch, they may need to jump ship. i will say like best buy, dick's sporting goods seems cheap to me. we thought something could happen to move this higher. something less than a disaster. i thinkings berg did a fabulous job before he took the coles job. the stock had a big move today with a big move in gap. remember when home depot was widely affected as a good pulse. the same goes for lowe's. we have housing stock numbers. one more reason why i like the stock of lowe's here. where is the elusive infrastructure money maybe jacob solutions could tell us. it's a terrific operator with a huge engineering structure. if anyone would know it's these guys. at one point, biden was tracking with ali baba, this week it did okay in the quarter. it was the cloud spinoff. i have to wonder if they were in the same boat or not. remember, i don't like the chinese stock market or chinese stocks that are listed over here. more on the dreadful group there later. >> tuesday night features perhaps the most anticipated earnings report of t

it is mulling options for the diagnostic arm to fitch 8 billion euro in a sale.evenues sliding 20% for the unit. >>> the start of the investigsession for the real estate sector in europe and it is coming back in the united states. vo vonovia sees a $3.81 billion loss for the first nine months of the year. the real estate group expects funds to be lower next year as higher taxes and rates wane. >>> and axa is matching analysts expectations for the first nine months of the year. sales from january to september rose 2% on the year to 79 billion euro. boosted by higher premiums at the property and casualty division. the cfo has told cnbc he is confident about the demand outlook. >> what we see for the time being, as i said, good demand for products and people realize that they need insurance. we see volume growth. when it comes to price increases, it is dependent on inflation. as inflation is coming down, probably you will see less price increases in the coming months and years. that is okay. we don't want to increase prices for the sake of it. we just want to make s

, and we have a 1.7 annual deficit, and we have issues who has downgraded us once again as well as fitch. so we have to address the issues, but we need time to do it, and this is going to give us the three to four weeks necessary to pass the remaining bills so we can then go to the senate and negotiate. i think that what the freedom caucus sometimes misses is that we are one part of a federal government that is mostly controlled by democrats. we only control one-third. so when you see us at the negotiating table, we are not going to get every single thing that we want all of the time, and we can't be threatening a government shutdown when we don't get every single thing that we want. the number one priority is to get a border secure, and we have very concerned about the unsustained flow of individuals and fentanyl and the sex abuse that is occurring at the border to use this as lev rablg to get some of the things that we want at the long term in this fight in january. >> congresswoman, leading presidential candidate on the republican side is former president trump at this side who is fac

after fitch cut the rating to double plus in august.n a statement, the white house said it disagreed with the shift. >>> u.s. house speaker mike johnson re vvealed his plan to avert the shutdown. johnson opted for the latter continuing resolution. two stopgap spending measures. the proposal is facing a battle in the house with lawmakers expressing criticism. >>> european markets had closed up before the major rally last week. that is why we are seeing a strong start to trade here in europe. in te >>> in terms of treasuries, we are higher in the yield. the two-year trading at 4.6%. >>> attention to the inflation picture with the u.s., uk and eu reporting for october this week. on the geopolitical stage, president biden and xi jinping are expected to meet in san francisco later in the week. we will discuss what to expect later on and central bankers gather for the conference on friday where christine lagarde will deliver the keynote address. >> i'm happy to say global head of sovereign credit is joining us. wonderful to have you on the sh

abercrombie & fitch raised guidance. next guest thinks that could be a sign of things to come, noting that even nontrade down companies like on running or crocs or american eagle posted growth. joining us with his outlook for the season and q4 is bmo capital markets simeon siegel. how do you spot winners in this environment? >> good to see you, sara. isn't it fascinating? we have the stocks showing this huge divergence but have revenues and that's what we should care about right now. there's this huge rhetoric that is saying trade down winds. it's all about the nuance. michael kors is down and coach is up. and that's one ex syample of ma. we'll probably see a lot of promotions and big stories, but certain companies that will figure out a way to predict demand and others that do not. >> so what are your top three? >> when i look at them right now i think i'll benefit from the trade down with tjx and i think they're increasingly more important to brands. another one that was not a good performer over this recent two weeks,

you remember fitch cutting the rating to aa minus s&p didn't cut theirs, but they have the next review coming next week, and so there are all eyes on the issues. small alarm bells coming saying france is working toward a recession. certainly the latest one going in that direction. >> we'll keep an eye on that for next week. thank you for breaking down the detail. >>> i want to take you now to shares in french supermarket group casino, which have hit a record low this morning. the group warned it expects losses to a total of between 78 and 140 euros on the back of slower than expected business at its hypermarkets alongside its investment costs, but the group plans to turn the ebitda to the strategy from 2024 to 2028. >>> uk softway firm sage has announced a share buyback program after reporting an 18% rise in full year operating product amid rising demand sage shares up almost 11%. they're trading right at the top of the stoxx 600. >>> this thyssenkrupp posts a $2.3 billion impairment. they have free flow cash investments which investors are cheering this morning. >>> zooming out to the

i think it's abercrombie & fitch, who is not only sees -- but even holister is showing improvement. > men, they shrunk the size, they're more productive. that's the change. and value, i agree with ike. i think tjx, ross stores, burlington, that's where the consumers are going. they're getting the benefit of a tradedown customer. >>> so this is maybe very company specification, but for years, abercrombie had been the winner, then a massive switch where american eagle became the mall teen winner for many, many years going. they had the bralettes, and other innovations going on now the strength is back with abercrombie? is this just fashion-specific or leadership specific? >> this is a meaningful one, with fran or or wits using the data of who the core customer is, transforming the stores, making outfits instead of just items. it really is catered to now a 25 to 40-year-old customer while holister gets the younger customer. it was transformed, nearly three to four years in the making, to do that, achieving an operating margin which would positivesed to be achieved three years from now. >

significant weakness in the south african rand after fitch ratings says they are worried about the fiscal budget when it comes to south africa. that is a story we will keep an eye on. the em world, south africa in focus, brent crude trading in line with the rest of the massive pullback in risk sentiment. 84 handle down 0.7%. we are getting earnings coming from the third largest company in the world, saudi aramco, third-quarter operating profit at 234.5 billion riyals, much stronger than the 200 -- 217 billion riyals expected. they say when it comes to how much they will be changing prices, doesn't look like they will do much when it comes to pricing. for asia, when it comes to pricing for the united states. but they might slash prices to europe which tells you about affordability. we will dive into that later. stick around for that. it is not just saudi aramco. it is also ubs, and massive mists when it comes to asset management and wealth management units, talking about integrating credit suisse and what that looks like. a wind to down -- down of the core side businesses. you are worried

the public trajectory and the fitch downgrade in the summer.ave people forgotten to become bond vigilantes now? >> it was short covering by the fast money and hedge funds that caused this sharp rally. i think now you are starting to see the fundamentals where people are going back saying we are not much different from three or four or five weeks ago. let's re-price things. oil prices are lower now we could blame that on china weakness >> let me take you back to the equity moves in the last eight days we have been coming in with a new superlative. the eighth consecutive day in a row for the s&p. one of our producers said our u.s. colleagues have been calling it muted, but momentous. the string of gains for the u.s. markets. why the lackluster performance what are they waiting for or are they comfortable with positioning? is that why we are not seeing a great magnitude with the moves >> you have to look at the selloff. you saw the u.s. small caps with the brunt of the selloff nasdaq down 12%. that's the real economy in the u.s. these are the smal

s&p, fitch and i have moody's in washington, d.c.ing continues. >> that is right, the credit rating industry still have a lot of credibility these are the ones giving aaa bond ratings to the mortgage-backed security the day before the whole system collapsed. i want to assure your viewers that the u.s. government is not going to default on its debt stock would happen the risk of that is close to . what this is is causing israel fiscal havoc. let me give you one little piece of evidence of that. if you look at the interest payments on the debt they were about $300 billion the day the joe biden came into office. you know what they are now, 700 billion. and less than three years we have more than doubled our interest payments. those will continue to go up because as interest rates rise almost two and 3% bonds are going to turn over five and 6%. read a big hole there's no doubt about it. >> were the aa that makes her get more expensive as well. >> it does but if u.s. treasuries are not the safest investment around what is safer, tell me w

the market decided the debt and the deficit was a problem and that came from a one-two punch from fitch has downgraded the u.s. and the next day the treasury surprised the market with both the amount of issuance and the reliance on the long end. well, a little time's gone by and they got the deficit and treasury backed off and put it on the shorter end of the coupon curve and the longer end, but that's the approximate reason for why it's edged out and that particular panic is out of the market. it doesn't remove anything about the longer term concerns when the market decides to get freaked out about that, i don't know, but olivia blanchard said what you're really looking for is the primary deficit, which is the deficit not counting interest payments of around, bringing that down to around zero and otherwise the deficit is growing. >> exactly. >> the u.s. is about 3%. 3.6% and blanchard estimates could take up to ten years, but the u.s. is so strong financially, kelly, that i think what the market wants to hear is from the biden administration and the treasury secretary and also from the

i would say some of the retailers that you were discussing like abercrombie & fitch. >> >> all right.mana, maybe getting to the to try to compete with the 800 pound gorilla, united health when it comes to just about everything health insurance. is unh, dow component, heavy, heavy influence on the market a stock you would buy or sell now? >> at that point in time i put that as a hold also. the reason is because when i look at the chart you are just sitting here consolidating. i would be a buyer if we could break out above that sort of resistance level at $550. i might be a buyer at that point in time. as a technician, i want the confirmation, the breakout, a pick up in volume through that. >> entry stop at 550, you said? >> correct. >> okay. >> that's a couple of years we are going back really that it's been moving sideways. it's been -- they have been hitting the ceiling multiple times. >> they have. they are doing a lot better than at loft other health care stocks. we got our health care conference happening right now in new york and there is a lot of those companies. they are still

stocks like, there is some retail names like kohl's and abercrombie & fitch and gap stores.se are names we're seeing, squeezed potential in stocks like that. charles: i have your list of most squeezable shorts. already to your point i have seen stocks that had huge weeks the last two weeks. roku is through the roof. riot, doordash huge earnings report. amc is holding in to your report this is how you get the most squeezable names particularly the companies are trying to hang on, right? i guess wall street left many of these for dead but they're not dead companies aren't they? >> no, no. we're leaking for outperformance. normal shorts is down 6% over last week. big shortest float names that are short are short around like you said 13%. the squeezable shorts are down around 18%. you warrant to be on the other side of that trade. charles: right. let me ask you about this. i started the show off how the massive shorts of hedge funds and things like that. there is a philosophy when the hedge funds go all-in on the short side? what is the message there? i love it. eventually they

abercrombie & fitch is one of favorites for teen retailers. charles: like the phoenix of retailers. it. i thought it was down for the count. tell us one more thing? >> i think prices are going to go lower. as far as holiday shopping is concerned ask for money at christmas, go ahead and spend it year's end in early 2024. the economy will natural get slower and slower until after the fed begins to cut rates. we may be shocked at the depth of fed rate cuts in 2024 if you know, as you hinted about, we're facing a problem with deflation. charles: i will pick this up in the next segment with danielle dimartino booth because there are interesting signs there. jharonne, great seeing you. joan, always great seeing you, thank you both very much. appreciate it. coming up the ceo of strike is here in an exclusive interview. we'll talk about the future of bitcoin. first i just mentioned danielle dimartino booth and the fed cutting rates maybe sooner and maybe deeper than anyone is talking about. if anyone knows though it is danielle. she is here right after the break. ♪. there are some things th

things like urban outfitter up 3 43%, aber come bree and fitch u, target down 28%, so, a real winner/loser market. but let's look at three eye depa identical charts. so, this is -- these are weekly bar charts. we are hovering right at the lows of the past three months, so, mid-september, mid-october, here we are. mid-november. right at the $10.75, and i think we break. the second way to draw the lines, you can call it what you want to call it, but it has all the elements of an important reversal from obviously a year ago, with perspective further downside. final way to draw the lines, we've broken down out of these converging trend lines. the covid low is down at $4.43, that's a long way from here. obviously at $10.74, but there are many stocks in retail that have already taken out their covid lows and there's no reason we can't get a whole lot closer to them, in the case of macy's. >> which other stocks, before we move onto walmart, target, which other stocks have taken out covid lows in retail? >> let's see, obviously dollar general, foot locker, macy's is close, but not there yet,

fitch ratings downgraded the u.s. from aaa to aa because of the debt ceiling showdown.id the same thing back in 2011. downgrades to the u.s. credit rating could potentially raise the country's borrowing costs. that would hike interest rates for consumer loans like credit cards and mortgages. so far that hasn't happened. the treasury department was quick to push back telling abc news in a statement, quote, we disagree with the shift to a negative outlook, citing strength in the american economy and continued demand for u.s. treasury bonds. in a separate statement the white house press secretary karine jean-pierre blaming the change in outlook on republicans in congress for, quote, repeatedly taking us to the brink of a government shutdown. whit? >> whit: and that shutdown looming once again. thank you so much, alexis, we appreciate it. >>> former u.s. senator martha mcsally of arizona is talking to gma this morning after fighting off her attacker while jogging during a trip to iowa. abc's zohreen shah is here with us and the frighten images. zohreen, good morning. >> rep

you remember in august with that announcement, it seriously moved the market, coming off the fitch downgraded then the surprise on the coupons on the long end of the treasury market. and then, again, coming this morning a little bit lighter. and also the idea, kelly, that they're not going to go so much further in terms of increasing coupons into the third quarter. so there are the bullet points there. maybe a little bit lighter on that 112 in terms of the total amount coming to auction. but the more important point is that there only one more quarter of increases left. but you're right, the market is focused on these numbers from here on out. i don't think they go away. >> steve, thank you. we'll see you soon. our steve liesman. >>> about that strong third quarter gdp number and the still tight labor market, will it force the fed to raise interest rates again today or will they pause and let the bond market do the work for them? let's have that discussion with our panel. here with us in washington, d.c. is long-time fed watcher paul mccallie. welcome to you. currently adjunct professor at g

in august, we had a big problem that was more bond issuance that the market expected, there was the fitchand yet, as we go through day by day here, rick, we are selling the bonds. the bonds are getting placed. yields have come down. just to play devil's advocate, it doesn't seem so much about the long-term. seems more short-term. the shorts have been wiped out to, you know, and the longs have taken a position here so it seems like we are able to sell the debt and it's not necessarily about the longer term solvency or ability of the u.s. goflt to place its debt. >> that would be what i would think a third grader would think about it. i'm not insulting you, but that's how many in the market think about it. if we can do it today, we can do it next week, we're fine, don't worry about it. but we'll have to keep doing it. what's going to be the new players. bigger and bigger size, fewer and fewer players. i can't find a way to square that. >> there a deal with them taking it on the chin. at some point do they repel and say. i'm just not going to lose money on this they take the paper, and i'm a

it was the same conversation we had in the start of august around fitch.oing to matter especially given the indigestion we've seen around some of the bond auctions and the fact that bond auctions happening easing presence and influence over equity risk as well as just general market move. >> this is higher for longer. that is the assumption. the underlying assumption, get used to it. these are rightly gotta live with and ultimately it is going to get hard to live with here in america. >> tangentially, maybe it is just an assumption that it is a monetary policy. on fiscal policy and very experienced, our next guest is wonderful. he demanded we have a shutdown clock. we've got clocks for any number of things. four days, 17 hours, 41 minutes, 53 seconds to shut down he knows the clock well over the many decades he is at eurasia group. so much for joining from london this morning. we are riveted to the shutdown clock. what if the likelihood the nation is going to turn into a pumpkin at midnight on saturday? >> it's always exciting and u.s. fiscal policy, shutd

. >>> still ahead on qu"squawk on the street," the ceo of abercrombie & fitch joins us that's comingmissed our new cnbc documentary "inside track:the business of rma foul1," you can now watch it on demand on peacock. the power goes out and we still have wifi to do our homework. and that's a good thing? great in my book! who are you? no power? no problem. introducing storm-ready wifi. now you can stay reliably connected through power outages with unlimited cellular data and up to 4 hours of battery back-up to keep you online. only from xfinity. home of the xfinity 10g network. >>> the last of the magnificent seven set to report tonight as nvidia tries to build on their monster year kristina partsinevelos has a look at what to expect big night. >> especially when you saw the stock close at an all-time high yesterday. investors have high hopes with 170% revenue growth as estimates. that translates into roughly $16.2 billion in q3 revenue driven largely by data center revenue. nvidia's track record ain't too shabby either. it's beat revenue three out of four quarters. the optimism comes

mark: you can really go back to august when fitch issued their report downgrading the u.s. sovereign rating. because though that in itself was not a huge surprise, where it refocused was people on the deteriorating u.s. fiscal situation. imbalances in the u.s. are heading in one direction, it is getting worse, and since then it has deteriorated further. and yet, there does not seem to be a plan of reining in deficits. particularly if you're in the long end of a bond yield market, investors need to know there is a plan. ok, we don't mind increased spending in the short-term, but tell me two, three years down the road when you expect to get that than the proper boundaries. at the moment we are not hearing that from the u.s. and that is making bond investors nervous. they are pricing in for a higher margin of safety just in case the deficits stay there for a prolonged period. then they will need more yield relative to other markets around the world. that really unnerved the bond market and that is partly why you saw the yields going up quickly. also the uncertainty about how m

that's how i found out abercrombie & fitch was hot about six months ago. >> thanks for the tip, sara. you? come on. >>> let's head to a break. >> thank you. >> we'll have re omon what is sending some shares higher. >>> welcome back to "squawk on the street." i'm dominic chu. most sectors in the s&p are slightly lower to start off the week with energy and industrials among the biggest laggards. real estate is an outperformer today relatively and one of the top gainers this month, up around 10%. within that group, we've keeping an eye on shares of crown castle, inc., management saying it's built a stake of roughly $2 billion in the wireless tower and fiber-optics giant. elliott says it's been a failure under their current ceo, so the firm is pushing for leadership changes and a strategic review of their fiber business. it's the second time elliott has pushed for changes at crown castle in the past few years. up 5%, sara. back downtown to you folks at the new york stock exchange. >> thank you, dom. dom chu. >>> still to come, a look at one consumer name outperforming on the year and gett

coles, dick's sporting goods, abercrombie & fitch. all before the bell. shares lower by more than 5% after they came out of seeing the full year adjusting's per-share versus a higher range earlier also seeing this lower. we will parse through these earnings. we have october 31 and november 1 meeting. people are making this into something that maybe it won't be. people are expecting the fed to push back against the rate cuts increasingly getting priced into the market. we will see after the bell. to me, the story of the day is nvidia earnings. given they have colored the narrative over the promise for artificial intelligence, they have been the front of that game because a lot of companies have been trying to hoard chips from nvidia. tom: an abrupt competitive response from the others. i can't say enough about the linkage is microsoft needs to build two chips to compete now with nvidia. tom: easier said than done. they are humble about it. jonathan: joining us to discuss, the senior portfolio manager, are you -- you are hold nvidia. do you see reason for t

towards joining the sort of consensus on the outlook you know, the market didn't move much on the fitch interest rates responded more to the qra and broader deficit questions and stuff like that. so i think all of this just a consensus is building, whether we are paying for it in the short-term is not clear. but a consensus is building that political leaders, and we have dysfunction, first of all. we can't maintain fiscal measures but the bigger problem is everyone recognizes that we have an unsustainable deficit trajectory, but neither party, especially the leaders in both political leaders are explicit in their platforms about not touching the drivers so in that sense, i think there will be room to worry in the future, when the drivers of our debt are basically untouched by policy >> i want to thank you for your time and perspective on all of this morning we'll see that cpi data in just a little bit, and see what happens later today. and later this week. thank you. >> thank you >> almost time it's 22. coming up, october consumer inflation data, economists expecting, remember this, a y

there was a big surprise, fitch announced a downgrade that before the august refunding, august refundingeople expect bigger auction sizes, bigger coupons. and maybe this is less of a surprise to the bond market or equity market. >> go figure. looks like we're improving, narrowing losses and down about 150 on the dow. steve, i was asking adp about -- i mean, what happened last month? was it a weak number and then just a blockbuster jobs number? she said it is the trend that matters that any measure different things. can we clean anything from the adp number today? >> this is one of those things where it may well be that adp has a better truth than the bls has. we know the bls has problems with its response rates. adp data is not imputed in anyway, it is actual data. whether or not it is doing the same things in terms of seasonal adjustment and other things when it comes to what the bls is doing, i don't know. we just have to watch it over time. use it as an input and the trend like she was saying. and i'd like to abandon it because it doesn't do a great job in following the bls. it is jus

the move follows a rate downgrade of the sovereign by fitch, which came after months of political brinkmanshipund the u.s. debt ceiling. federal spending and political polarization has been a rising concern for investors contributing to a selloff that took u.s. government bonds to the lowest level in 16 years. it is hard to disagree with the rest -- with the rationale, but no reasonable expectation for physical -- fiscal consolidation said christopher. deficits will remain large and as interest costs take up a larger share of the burden -- the budget, the debt burden will grow." this coming from "reuters" with moody downgrading u.s. credit from stable to negative. now some u.s. officials disagree with what the financial services are saying about our economy. earlier this month, janet yellen held a news conference in san francisco. she explained why she disagrees with moody, and the shift to the negative outlook to the aaa credit rating. here's what she had to say. [video clip] >> with the moody's decision, they maintain the u.s. aaa rating, but indicated that there is a negative outlook. this

the move follows a rate downgrade of the sovereign by fitch, which came after months of political brinkmanshipund the u.s. debt ceiling. federal spending and political polarization has been a rising concern for investors contributing to a selloff that took u.s. government bonds to the lowest level in 16 years. it is hard to disagree with the rest -- with the rationale, but no reasonable expectation for physical -- fiscal consolidation said christopher. deficits will remain large and as interest costs take up a larger share of the burden -- the budget, the debt burden will grow." this coming from "reuters" with moody downgrading u.s. credit from stable to negative. now some u.s. officials disagree with what the financial services are saying about our economy. earlier this month, janet yellen held a news conference in san francisco. she explained why she disagrees with moody, and the shift to the negative outlook to the aaa credit rating. here's what she had to say. [video clip] >> with the moody's decision, they maintain the u.s. aaa rating, but indicated that there is a negative outlook. this

government debt still has the aaa rating and the other rating companies like s&p and fitch have loweredhe rating but moody's has not. what moody's did was said the outlook here on this rating is negative, meaning if things don't change, the trajectory for the fiscal government remains the same then we will have to think about downgrading the debt as well. it's not an actual change in the rating, just a signal to interested parties and lawmakers that the fiscal situation is on an unsustainable path and not consistent with maintaining so-called aaa ratings. host: how often do you get questions on that when you testify before congress? guest: pretty regularly. when i go overseas, i get it more often. if i go to china for example, host: do they blame mark zandi? guest: at the end of the day, come on. we talked about the fiscal situation, it is unsustainable. we got to change something. if you don't change it, something will break and it's not consistent with the idea that there is no risk here. that's what aaa rating means. i think everyone understands that deep down once you get below the

we should say that s&p and fitch downgraded prior from aaa to aa plus. government is good for the money as much as -- and i want to give you the list here. those coming in ahead of us, australia, denmark, germany, luxembourg, the netherlands, norway, sweden, singapore. those would easily outrank at the moment where the u.s. sits in terms of credit rating and who's good f the money, who's going to be the better chance that if you give them a dollar today, you'll get back your money, plus the interest, five years, ten years, 30 years from now, depending on what loan you've just made to the government. >> you know i'm a huge fan of luxembourg. at the same time, as warren buffett said the week after september 15th in 2008, only a fool would bet against the united states of america. i think we're good for the money. i don't know. >> i think we're good for the money too, but i think it's going to put a lot of pressure on washington right now to rein in spending. come this next weekend, we could have a government shutdown all over again. we'll see what really h