mike santoli picks it up from here. >> rep the bull market set to reach its ninth anniversary ever whicheans investo who expect generous gains from here over the coming years are betting this bull run can become the greatest of all time. in terms of market gains, valuation, and the public exposure to stocks only the final years of the 1990s surge are higher than the climb that began in march of 2009. it might sound scary for those who remember the '90s market and the wealth destruction that followed but the comforting news is while today's market ranks number two it is quite a distance from the excesses of the one that closed the 20th century. the s&p gained just ove 300% from the lows set in 2009 compared to a 580% advance that ran from the 1987 crash to early 2000. while stocks are richly valued today they are not as expensive as at the 2000 peak. finally retail investors had 80% of financial assets in stocks and were feasting on public offerings 18 years ago. today they hold closer to 70% in stocks and popul investments are sober index funds. this explains why some strategists are exp

mike santoli set out to find some answers. >> reporter: stocks have accelerated into 2018 with a burst of fresh energy, making for the market's hottest start in 15 years. the s&p 500 index has already gained 4% in 2018. the best return over a similar span since 2003 when it was up 5.8%. 2003 turned out great for investors with a 12-month rise up 26%. that year, stocks were just emerging from a nasty two-year downturn that followed the tech bubble. not exactly a similar setup for this year, which begins nine years into a bull market. before 2003, the best year was 1987, known for a stupendous 40% surge into the summer before a crash. interest rates are beginning to rise and public excitement over stocks starting to boil over. while it's hard to generalize about what a year's start means for market performance to come, in general a strong gain in early january has led to better than average returns. with growing confidence in the economic picture today and few signs of recession on the horizon, investors are focused more on grabbing a piece of further upside than on worrying about potent

from the new york stock exchange, mike santoli looking at the overshoot phase of the bull market. bob pisani is tracking what's going on in the growth bob, you're up first what we have noticed for the session is volatility has been elevated even with markets at record highs and gaining steam as markets have been fading. >> yeah, i want to put up the dow intra day if we can. the open was amazing 4 to 1 advancing to declining stocks we had almost 400 stocks at new week highs then at 10:30, it all faded. volume picked up on the etfs, the big etfs that i watch, the vix moved to the upside. we went back and forth about the possible causes. there were some headlines out, reports about a turkish military build-up on the syrian border. that would affect the mideast and the kurds. that might have been a factor. sometimes you get these geopolitical issues. but for sure, we saw the markets sort of losing steam at 10:30, particularly around bids getting canceled that's not where people come in and actively sell. it's where people who were buying normally stopped the bids and the market drifts

for "nightly business report," i'm mike santoli sna a big winner late today was netflix as the big investment in comcast continues to pay off. the company saw a surge in subscriber growth blowing past growth targets for the fourth quarter. earnings came in at 41 cents a share, which was in line with estimates. revenues soared 32% to more than $3 billion and investors liked what they saw sending the stock to all-time highs and its market cap to the $100 billion mark for the first time ever. julia boorstin has more on the netflix quarter. >> net flex's commitment to content is paying off. 8.3 million in the fourth quarter. that's the most in netflix's history and 2 million more than analysts expected. the company saying the growth was fueled including the return of stranger things. the largest investment in original film starring will smith was a major success and drove a notable lift in acquisition. this is particularly striking considering that this film was panned by critics. netflix is planning to keep ramping up its investment to further growth its user base growing in the quarter for firs

i'm carl quintanilla with melissa lee, mike santoli at post 9 david and sara are off markets up for theourth day in a row. jobs number comes in at 148,000. ism services, let's get to rick santelli >> yes, our december read on ism services, nonmanufacturing, the biggest swath of the u.s. economy, minus -- no, i'm sorry. 55.9 55.9 that is definitely a little less than expected, and sequentially lower than 57.4. let's look at our november read on factory orders. up 1.3%. that's close to expectations and when you include a half a percent revision to our last look, which was down .1, now stands at up .4, it's pretty good x transportation, up .8, that's very solid if we look at capital goods orders, here's where i get a bit depressed. i want to see a big number, it's not big. it's down two tenths if you look at shipments versus orders, it's down one tenth. all in all, i think these numbers are somewhat mixed when you look at factory and durable goods. and when you look at ism, it's a bit on the weak side if we look at ism and dig down a bit deeply, we had the unemployment report today. i was

at what point do rising rates threaten the rally senior markets adviser mike santoli with us. mike >> i think you need to examine the premise that yields are higher as you started to do earlier. on this trip, we won't shoot with the ten-year going to % maybe that's the ceiling that would be a surprising outcome for majority of people looking for higher yields if they pull back and regroup that set aside, i think there is irony in recent months biggest worry for the stock market was what flattest yield curve guess what, the way you get a steeper yield curve, that's the main way it'll happen this time. that should be a net positive. but to get to the question, when or if yields will hurt the stock market, obviously, it depend how high they go how far they carry higher. now if 3% is supposedly potentially scary level as some people have flagged as threat to stock valuations, i would go back and point to 2013 last time we rush up to 3% on ten-year treasury yield and below 2%, eight months earlier an stock market with one of its best years going you might push back and say valuation

i'm carl quintanilla with mike santoli, morgan brennan here at post 9 of the new york stock exchangen fortt in san francisco. in a minute he's going to bring us a cnbc exclusive with amd's lisa su. you cannot miss that >>> in the meantime, apple feeling pressure from investors. urging the iphone maker to tackle smartphone addiction and overuse by children. they write the potential long-term consequences need to be factored in at the outset and no company can outsource that responsibility joining us at post 9 this morning, elevation partners cofounder roger mcnamee and scott galloway, professor at the stern school of business happy monday good to see you both what an interesting turn this is, roger. what responsibility does apple have to how my kids might use a phone? >> quite honestly, they have a lot. the culture of silicon valley has been about disruption for so long that people have forgotten there are consequences to disruption, and at the scale that the tech guys are at now, they have to take some responsibility now, apple in this case, i think, is nowhere near the worst offende

and spend time there in a congested range till about then when we start the next leg of the move mike santoli to you. >> all right, rick great perspective on these markets which are huge and don't turn on a dime thanks very much as we head to a break, let's take a look at the major averages at this hour, now the dow is up more than 100 points from its low of earlier this morning. down just barely at 17 points. let's check on cryptos right now, bitcoin, ethereum and some of the others, up this morning despite a cough more about it than when we said he would predict a bad ending for cptryos and bet against them over the next five years if he could. stay with us but after an electrical fire from faulty wiring, mary's vintage clothing and designer shoe collection were ruined. luckily, the geico insurance agency had recently helped mary with renters insurance, and she got a totally fab replacement wardrobe at bloomingdale's. mary was inspired to start her own fashion line, exclusively for little lambs. visit geico.com and see how affordable renters insurance can be. when it might be time to buy or

mike santoli on an interesting morning. >> they're teaming up to tackle health care and lower costs forheir employees. let's check in with bertha coombs who is following that >> talk about a disruptive force potentially. large employers hand will more than 60% of insurance. they really set the tone a the love times for health care these three teaming together say they basically want to really take more control by forming a joint company that is going to look at reducing costs, creating better efficiencies, more transparency through technology and also doing it without what they say are the pressures of a profit making insentives that for a the love people would say that they're taking aim at the insurers, middle men who do a lot of the processing, a loft the negotiations for them, processing the claims. and they are lower today, particularly anthem, cigna, which will very much aligned with large employers united health as well. unitedhealth also has the pharmacy benefit side and it's getting some pressure on that side as well these middle men are ones that have been under pressure and a

jack, thanks so much mike, we'll talk to you in a little bit mike santoli. >> intel down 2 1/2% on at that all processors pretty much made in the last decade have a significant security flaw, according to online tech publication, "the register" it it forced redesigns of linux and another. it will need an update because the problem is in the kernel in order to fix that you have to fix operating systems under certain circumstances, data, software, to read parts of information the computer is storing they representative supposed to read things like passwords. look at intel stock. not down that much what are people going to do? they could buy amd chips, i suppose. but if you're going to buy a pc you're going to have to deal with intel processors. this could spur more, you need performance, cause performance of 5 to 30%. a lot of people think it's closer to 5% and for most applications if you need performance, you need security, you're going to want to be covered, people might have to buy new pcs. consumers who need basic performance, they might not be concerned but amd is audiotape bit o

joining us today, cnbc senior markets commentator mike santoli.dwyer and ian winter is from webbush securities good to have is you here. >> hey, michelle. >> let me start with you what do you make of this incredible week? is this tax reform, what is propelling the markets so sharply higher this week >> thanks. as my buddy, pete najarian, from "fast money" would say say, #giddyup. only the ninth time since 1960, michelle, the year started out the year with four straight up dates. of those eight prior occurrences, 12 -- 7 of them were double-digit gains. and the one that wasn't was a 2% gain it was 1987. it went up 39% in the first half of the year. so no matter how, whether you use fundaments, whether you use political with a tax cut, you know, fiscal policy, monetary policy, or history, you know, we're going to get pullbacks mike's done a great job of highlighting that in the past. we're going to get pullbacks they're to be bought with that backdrop. >> pretty amazing week, mike >> it has. >> much telling us here. >> the chase is on you saw signs

a legitimate question to be asking if investors are getting too optimistic about the rally our mike santoli has been looking at that and join us from the new york stock exchange. michael? >> hey, scott. any way that you would typically measure investor sentiment, it's been flashing a warning sign for a couple of weeks now. if you talk about the low put call levels, all the survey work is basically up at multidecade highs in terms of bullishness. you talk about exposures of investors on the retail and institutional side, very low cash levels, very, very high in healthy equity exposures that was the case coming into this year. all that tells me is that's the makings of a random air pocket or a flattening of the market or maybe this isn't your best entry point at this particular point it explains to me the action we've seen in the last couple of days this is a higher velocity rally that we've seen in the last couple of weeks. that's why you get up to 85 by 10:00 a.m., lose it all, up 320 the next day and by the way, on no news, you can't really tie any of that to headlines, because i think rig

♪ ♪ >>> good friday morning, welcome to "squawk alley," i'm carl quintanilla with john fortt, mike santoli nine of the new york stock exchange. >> also iphones, macs are affected by a processor flaw and also billboard reports jimmy iovine could leave his role at apple music and a survey shows an improvement in demand for the iphone x, despite what it calls supply chain volatility. for all that let's bring in the man behind that note, steven malanovich steven, good morning, happy friday >> same to you >> i want to start with the iphone x that's the big profit and revenue driver at apple. there's often all of this supply chain noise around iphone releases often a lot of it doesn't actually translate when we see the results. which are we to believe, the fear, uncertainty, and doubt among the demand for the iphone x as evidenced by component orders from apple, or the demand that you're seeing for the phone itself >> well, at the end of the day demand drives supply, so we focus quite a bit on demand. we did this at ubs evidence lab survey follow-up, so a couple months ago we looked at demand fo

with me here at post 9, kelly evans, mike santoli. alley, you could call it >> i'm thinking about the lyrics in the song, g-4 pilots on a first-name basis did you catch any of that? >> i did, don't ask me to explain it joining us this morning, raul sudd, ceo and founder of unicorn and ed lee, managing editor of recode welcome to both of you on this first trading day of the year, we asked you both to come with your 2018 tech predictions, from deals, ipos, and, yes, bitcoin and cryptocurrencies let's start with you you have some predictions in media. >> media, tech and media that's my favorite topic, because i feel like tech has been sort of dipping their toes in the media water for years media, by the way, they see this threat coming for a long time and they are acting much more quickly and decisively, more dramatically with the tie-ups. you have at&t and time warner, disney and fox >> what's coming next? >> here's the thing, i think the next big step is for amazon in particular and possibly facebook and apple to take a deeper look at,

for that meanwhile, the s&p is now having its best start to the year since 2003 our commentator mike santolickhere at post 9 rates getting hammered. >> it is that kind can have risk-on movement anything that's a yield proxy is being sold. really the only things getting sold in the very defensive bond-like stocks 2013 comparison, best start over nine days of a year since 2003 is very interesting because that was kind of this thrust higher off the bottom of a bear market a few months earlier that was kind of the first rush, and what we're seeing now is i think closer to the other comparable which is 1987 which you had a similar kind of huge start to a year, when it was later in a bull markets you had a rush of enthusiasm and it really started to run hot and i think you're seeing that right now. yes, last year was a very strong year up 20% but the character of the mark is changed in terms of the size of the daily moves, the amount of urgency i think in the flows into the market so that's where the vix is up. if the vix is above ten because the market is starting to operate with a little more en

. >> mike santoli, you raised the question if we're in the overshoot phase of the market. that was this morning. >> that was this morning and i meant it on a much longer term basis than a couple of hours. >> which means it's still relevant now. >> it could be i think so once everybody acknowledges, as mike said, things are great and the market continues to show a bid and you still have flows coming into the market and the market itself is showing that much more energy by energy i mean, bigger daily moves. it's the high octane stocks that have been leading, the more cyclical risky ones. all of that suggests maybe your bull case has to be, it's just a stampede and the public gets enthusiastic about stocks that's what i would call a potential overshoot phase for the market where it just outruns the fundamentals even if the fundamentals are improving. >> you mentioned the vix michael block, stay with us. i want to talk about energy in the market the vix soared 15% today it was doing it when the dow went up and then even when it turned negative in the trading day. what are mark

. >> thank you, mike mike santoli >> let's get a news update with sue herera. >> hello here's what'st this hour russian president vladimir putin said the u.s. list of top rush shoon officials to be sanctioned by the u.s. harms relations between the two countries. with 12 minutes to go before a deadline the trump administration released a long a it waed list of people who have flourished under putin >>> palestinian protesters bursting into the bethlehem chamber of commerce in the west bank to stop a meeting between u.s. officials and officials representing the private sector in the west bank in gaza no injuries. >>> turkey has cleared two villages turkey launched the military initiative on the 7th. >>> take a look at this. the tech giant amazon unveiling the newest building. a design that literally designs working outside the box. it is made up of four spheres making up a massive urban oasis. that is beautiful. it took five years and $4 billion to build looks like it was worth it carl, downtown to you. >> open the spheres. >> exactly >> thank you >>> when we come back, dow's off sessi

is good too good mike santoli joins us from the nyse with a look at this story >> brian, you know, inflationainly one of those factors that could represent some of these good trends becoming a little too good. although to keep with the car analogy, i feel like the market has found a new gear and accelerated because all of the news that's right in front of the mark has been so positive. whether it's the broad economic trend, obviously, the sort of embarrassment of riches companies now find themselves with, and strong earnings as well as risk appetites rising. everything like inflation that could be a pain point, it seems like it's further out in the hazy horizon inflation is trending in the direction of higher. talk about interest rates. is 2.6% of the treasury yield really a frightening number inis it really a threshold for changing the story on stocks unclear, even oil, right up 20% year to date, but not at a level where it seems like it's a constraint on consumer spending all these things are fitting into what i think is the one area that could be too good to stay this way for very long, w

i'm carl quintanilla with mike santoli, and melissa lee record highs across the board, s&p crosses 270061, and high profile up grades that's where the road map begins stocks shrugging off geopolitical tensions as the president targets north korea in a series of tweets today >> also, bill ackman making a big bet on himself why the hedge fund manager is so bullish in the new year. >> the u.s. facing a deep freeze with record low temperatures and subzero windchills businesses closing and flights canceled more on what to expect >> markets continuing to rally the s&p, 2700 for the first time ever dow and the nasdaq also hitting all-time highs for more on this, we're joined by pimco's executive vice president as well as jp morgan global market strategist samantha good morning, guys what a way to kick off the new year this new order number on ism, tony, best since '04 is this how the year is going to look >> well, we had in 2017 was to be optimistic about the economic outlook, but to not give up on what pimco calls the new normal or new neutral there could be a cyclical bounce, but barring a p

. >> thank you, mike mike santoli squloo when we come back, the ceo of union pacific wchl'll talk thery, taxes and a lot more get ready for tomorrow starbucks will report after the earning bell and we'll talk with the ceo kevin johnson at 9:00 a.m. on "squawk on the street. a lot more ahead witthh e dow up 102. don't go away. it's absolute confidence in 30,000 precision parts. or it isn't. it's inspected by mercedes-benz factory-trained technicians. or it isn't. it's backed by an unlimited mileage warranty, or it isn't. for those who never settle, it's either mercedes-benz certified pre-owned, or it isn't. the mercedes-benz certified pre-owned sales event. now through february 28th. only at your authorized mercedes-benz dealer. [ click, keyboard clacking ] [ keyboard clacking ] [ click, keyboard clacking ] ♪ good questions lead to good answers. our advisors can help you find both. talk to one today and see why we're bullish on the future. yours. running. can it continue? find out "squawk on the street" returns in just a moment in just a moment >>> free volumes and tax reform as the co

i'm carl quintanilla with david faber, and mike santoli at post 9 of the new york stock exchange record for the dow, s&p, and the nasdaq as the s&p is up five days in a row. some of the macro data out of europe is pretty good and we'll be getting that in a couple minutes. road map begins with iphone's defense. striking back over a letter about device addiction and children >> target on the move. the company released its outlook. >> plus, intel's ceo speaking out on those flawed chips. we'll take you live to ces in las vegas to tell you how he's planning to fix the issue and when >> first up, get straight to the markets this morning all three indices are in the green. the nasdaq did slip a bit. they all hit record highs at the open, at least s&p has added 2% in the first five sessions. nine days. we're already above year end targets for morgan stanley and hsbc >> yeah, it's obviously been pretty relentless. yesterday was what passed for i guess a pullback, which is a flat market, kind of a rest on the way in the other dynamic here, we talked about it yesterday, too, it seemed like the co

. >> mike santoli is here with some reaction.very analyst we talk to now seems universally bearish. no one wants to go near this thing. everyone is fed up and frustrated and is this the right time for a guy like mario gabelli to walk in >> it's profoundly contrarian. only 30% of the sell side is recommending ge. i guaranteeit's an all-time lo going back to the dawn of the stock market basically with ge now, the stock has made a couple of attempts to made a stand at $20, as $18, now knocking around16 if you're someone like mario who tries to be long-term deep value approach and contrarian, how many mega cap stocks do you have in this kind of market you can make that kind of a play not that not if you believe the $1 share? earnings is real, can you ballpark it and say, maybe that's the low and you go from there. the point i keep making about ge, all the businesses ge is in, look at the comparable companies in all those component businesses and they all have very generous valuations right now. 20, 24 times, 3m or honeywell or genera

i'm carl quintanilla with david faber, mike santoli at post 9 of the new york stock exchange. a pause all around the world as there's pressure on interest rates from asia to europe to the u.s. vix back above ten dow down about a fourth of a percent. road map begins with the oracle offo omahomaha. what warren buffett has to say about interest rates, bitcoin, and the president. >> a selloff as we get to major market predictions for 2018. why jeffrey expects stocks to move lower, and bill miller says the market is due for a meltdown >> finally, the future of tv the ceo of dish is going to join us from the ces, and his first interview as chief executive, and what that disney/fox deal as well means for media >> first, let's get over to the cme and rick santelli for breaking economic data this time, wholesale trade rick >> yes we have our november final read on wholesale inventories that means we take out the mid-month read, which was .7, and insert the final number, which is up, .8. a pretty good number it equals the highest level of the year for wholesale inventories which is augu

. >> and mike santoli was mentioning yesterday, i mean, you really could argue that the bull market start the edtheed i. after the crash of '87 that's when the leg started and lasted until fwou 2000. >> joining us to talk more about this is kevin o'leary from o-shares etfs and dennis berman from the "wall street journal. welcome to you both. kevin, what do you expect out of earnings season? does this explain the rallies we're seeing, people excited about what they're going to hear >> no, i don't expect to have vi remarkable upside on the earnings i think they're going to be middle of the road i think what's really driving this market, why volatility continued to decline, you made about 10% in 6 days if you shorted volatility at the beginning of the year which is just absolutely extraordinary. but what i think's really going on is the calculation on how much dollars and what's the size of what's going to be repatriated? is it $1 trillion, $3 trillion, is it somewhere in the middle? and what percentage of that, if it comes back, let's call it $1.5 trillion, ends up in stock buybacks because

joining me now, cnbc mike santoli, cnbc contributor evan numark welcome.inner on the dow for the week was unitedhealth while ge was the big laggard and for the session, nike had a nice rally lamb research, big earnings in the semiequipment space. ge also the laggard on the s&p this was down 13%, mike. >> ge seems to be the anti-bellwether. it's remarkable that the market is going vertical to the upside. and ge is essentially in liquidation mode right now by investors. >> evan, what are you thinking about the markets overall here that day this week where we shot higher and then reversed, then shot even higher today the shutdown concerns -- we have eight hours to go and there's not a lot of anxiety about that. >> i think a lot of this is based on funds flows i think early -- i want to say, january 19th, it's been a great year in the stock market everybody can go home now. what's the s&p up so far, 6% >> almost 6%. >> the s&p f it compounded at this rate for the whole year it would be up 124%. >> totally normal. >> it's been a great year. i think what's inter

current levels essentially means thinking that this bull market can be the greatest of all time mike santolie joins us right now to explain how this might work. >> well, becky, i mean a lot more upside. okay it's the greatest bull market of all time it ended in 2000 i have a piece up now on cnbc.com that kind of looks at the fact that this market reason since 2009 is longer and stronger than just about any other one. it has reached a high enough valuation that really the 90s run is the only one that is the relevant comparison right now. >> the market is in really good shape right now coming into this year if you look at the way it accelerated into the first week of this year, it's very sturdy credit conditions are very good. i think it's almost as if we have a shot at something like a challenge to those returns >> how much more will we need to run? >> a lot i think basically if you have got the next couple of years if the s&p got above 4,000, you would be talking something similar in the way of returns. of course, you know, other things you could look at right now the sector breakdown of the

point gain at the open for the dow, but are we in a bit of an overshoot phase of the bull market mike santolioins us right now. are we >> could be. though i think it's important to define what that might be trchlt is and there is no definition of what an overshoot is it's a phase when the market shoots higher from already high levels, investors extrapolate good news far into the future. so there is a lot of evidence this is the kind of phrase coming incom phase this year. this is the fourth day in two weeks the dow is up 0.8% you're seeing lots of flows into funds, sixth highest flows into equity funds earnings estimates up 2% so you're outracing the forecasts of the analysts. there's some catch up to do. riskier cyclical stocks are working. all of this stuff builds to this idea that you might be in this phase where good news is good news and people extrapolate it further. the vix is up year to date with the market going straight up that tells you the character of the market has changed there's more juice to it more demand. >> there may be more volatility, but it's to the upside >> we have a

for our etf spotlight, mike s santoli joins us with where investors are betting on continued calm andets. >> this has been sort of the dominant trade of 2017 was to bet on this very calm low volatility climb and the etf world gives you very focused instruments to bet on this this is etns, exchange traded notes that vote on the vix or against the vix. essentially, the vxx is on a way to on a daily basis bet on the vix going higher the xiv is its counterpart they only bet on vix futures and there's a kind of built-in structural reason why one will go down over time and one will go up, but coming into this year, the big question was can we expect volatility to pick up from historically low levels, even if it doesn't get to be an ugly market, will volatility pick up? right now, the way investors are set up is they're more leaning on the direction of we're going to stay calm if you look at the asset levels in each of these, when these first came out, people would bet on the vix going up as a hedge to their stock portfolios. as it happens, more assets in the fund that bets on a low vix than

i'm kelly evans this morning along with scott and mike santo santoli.d morning to you, live here at post 9 at the new york stock exchange carl, david, and sara are off today's. let's look at the markets. we mentioned in the rally in futures. that turned into about a half percent gain on the dow. a little higher for the s&p, up about .6%. the nasdaq up 1% today 6970 crude a little lower but hanging on to the $60 level. and here's where our road map begins today making money in the new year stocks rallying on the first trading day of 2018. we'll discuss where you should be putting your money to work next >> plus, the new year, new agenda the president getting back to work in washington we'll bake down the year ahead in politics plus how you should be preparing for the new taxes >> and crisis in iran as anti-government protests turn deadly the latest on this developing story straight ahead >> kicking off 2018, the major averages off to a strong start following a record-breaking 2017 this despite several domestic and international headwinds. namely a pendin

joining me now, cnbc senior markets commentator michael santoli. mikein frchael zin from us and evan newmark on a friday welcome, everybody records across the board the dow 200 points higher. for -- is that right, the first time this year anyway, i guess on the close it's probably the first time this year. there are some of the movers on the dow, leading the way today, boeing, again, up 2.5% ge was the big laggard, down more than 1% over on the s&p, viacom was the big gainer on some late news we're going to talk about now, viacom up 9.5% aflac a big lagger, aflac, of course, dogged by reports alleging fraud and so forth. but look at viacom with this nearly 10% move higher on the close, it was up almost 13% at one point. it and cbs surging on merger news or rumors or speculation, guys, reports, i should say, from the wrap that hit right before the closing bell. mike, what are your thoughts >> the market hasn't had a chance to fully vet the story i don't think. it doesn't matter. it's sbu stintuitive, in the sp that's merging two companies that used to be

investor risk appetite, they're all major tailwinds for stocks mike san tolly joins us with more on how much is too gad in >> michael santolit is good is all front and center what's not so good is hypothet cam or over the horizon, that explains partly how the market found the new gear people were positioned for a pre positive year. nothing in terms of the intensity of this news, it's obviously the market can run away a lot faster than people expected there are no pain points, inflation, sure in theory, that will be a problem down the road. we're not seeing it. rates are not a challenge. i also think that earnings season this quarter has very low stakes in other words, there is more rewards than risk in it. you can write off the tax noise, so you can almost kind of look past it. even if we do get, it has an opportunity for this market to slow down or stall out a bit obviously trader sentiment it's running extremely hot >> that explains a day like tuesday a. day like tuesday when you can be up 280 on no news, they gain it back the next day so we have a wider string energetic tape that's something that would be a problem. the

mike, that's 50% above the dotcom high. crazy to see that now. we'll have much more on these markets in a second. joining me, mr. michael santoliith cnbc contributor evan newmark and rebecca patterson. welcome, everybody leading the dow this week was intel. it had a huge performance today after those earnings last night. it was up nearly 10% on the session, better than 11% for the week apple was the laggard, down 4% this week. netflix the gainer and the s&p 500 after its strong earnings report different story for newell, the owner of rubbermaid, down 18% after it said it would pursue potential spin-offs for a lot of its businesses very different, much stronger picture at the markets on the close again. we're up another 220 points. we've had 331 days for the nasdaq this year and that didn't happen until june last year. what's going on? >> the market is running flat out at a higher gear and the tank doesn't empty because the money keeps flowing in by people who feel they have to chase it this is the cycle we're on it seems like just to mix a metaphor, the market is turning up 11. we're reaching a pace of activity we haven't had f