seema mody is joining us now to break it all down. seema, this is an underperformer for some time. tell whether or not this really is going to be the catalyst that drives the catch up in the emerging snarkts. >> -- markets? >> we know this is a question, dom. hopes of beijing with stimulus measures has brought life back to the trade with chinese stocks rebounding over the last four to five weeks the etf out performing the s&p in july. chinese stocks are timed with the announcement on stimulus it won't kick in until the end of summer. they are waiting for measures to be announced like the relaxation of housing curbs evercore is abuyer of the pullback and expect opportunity to present itself in october they are sticking to the sidelines. those comments coincide with bank of america and merrill lynch which show funds on wall street are underweight with china and brazil and overweight on mexico. morgan stanley downgrading china, but upgrading india across the country with the prospects. dom, wall street is not buying into the rebound yet, but a lot of investors say the fall could bring

seema modi is here >> u.s. cellular and tds are extending recent gains today as j.p. morgan upgraded both stocks to overweight. they explore strategic alternatives for u.s. cellular and they estimate it could be worth $80 a share more than double een after ump jing 80%. we are watching data dog having the worst week on record as the full-year outlook is outweighing the beats on earnings and revenue and the shares are up 17% on the day mike >> pretty heavy volume, seema, thank you. we're just getting started here. up next, financials under pressure and the sector feeling the heat after moody's cuts after the bank names and we'll break down the big concerns after the break. we're live from the new york stock exchange you're watching "closing bell" on cnbc. (fthere ya go! that's what i'm talkin' about! (josh allen) is this your plan to watch the game today? (hero fan) uh, yea. i have to watch my neighbors' nfl sunday ticket. (josh allen) it's not your best plan. but you know what is? myplan from verizon. switch now and they'll give you nfl sunday ticket from youtubetv, o

members from acting without the backing of players on the board frank, my friend, back to you. >> seema mody, thank you very much great appearance on the "today" show, by the way give you props >>> up next, betting on the banks. the sector coming off its best month in more than five years. how the company is positioned up next on "halftime. ♪ old school wisdom, with a passion for what's possible. that's what you get from the morgan stanley client experience. you get listening more than talking, and a personalized plan built on insights and innovative technology. you get grit, vision, and the creativity to guide you through a changing world. ♪ >>> welcome back to "halftime. banks coming off their best month in seven years jpmorgan and berkshire hathaway hitting new 52-week highs. jim, you own both. >> i do. i'm bullish on the financial sector i'm overweight the financial sector i think this is an obvious play as we get into the next few years of infrastructure spending, which i mentioned before, as well as the supply chain onshoring mentioned earlier in the show. all of that will need financi

everyone understands what the outlook is from here >> seema, thanks hugely important story our seema mody >> hey, bertha senator dianne feinstein's office confirms that the 90-year-old congresswoman fell in here home and was briefly hospitalized yesterday according to a spokesperson, she went to the hospital as a precaution and returned home after her scans came back clear. there have been questions about the senator's health following her near three-month absence from the senate earlier this year due to complications from shingles and after she appeared confused during a committee meeting last month. a haiti nonprofit says that an american nurse and her child were safely released by their kidnappers the group said alec dorsenville and her daughter were held hostage. and a new york city beach reopens just over an hour ago after a rare shark attack on monday night that left a woman seriously injured with leg bikes. city officials have deployed drone, land, and boat surveillance to search for sharks in the water since the attack, but so far there have been no sightings. we finally get nice

industrials also beating out overall market seema mody is tracking that performance. seema?l over the past month industrials have performed better than the s&p tech sector, and that is despite the latest ism data which shows the u.s. manufacturing sector is still in contraction territory. 88% of industrial companies have reported, and profits are coming in about 12% higher than initial estimates, and that's thanks to strong beats from general electric, eaton, textron, among others jeffries analysts say what's giving them relief is inventory draw dauns the market may interm let that as a sign of weakening demand but it's pointed out that ceos have been very clear that this is not the case. rather, it's a sign of supply chains normalizing so that excess inventory is no longer needed china though, that remains a question mark for the industrial sector one ceo on the earnings callics pekts chip's construction volumes to be down 10% that's in line with prior guidance and consistent with a tepid economy and weak overall activity she says. others like h vac manufacturer lennox said

seema mody joins us this morning. good seeing you. what does this report tell us about the economy in general? >> well, jose, the jobs market in july did moderate. it is a sign that rising interest rates and what the federal reserve is doing to bring inflation down is starting to have an impact on slowing down what has been a red hot labor market. we did see the unemployment rate also dip back to 3.5%. that's a near record low. separately the labor participation rate remaining consistently high. and that's why many economists, their takeaway is that this is a goldilocks report. just strong enough, not too strong, a moderation in growth if you will. it comes as wall street is trying to gauge how this report could influence the fed's next month, but so far, markets are responding positively with the dow up 118 points. >> seema mody, thank you very much. >>> still ahead, what republican voters in a critical early primary state have to say about former president trump's latest indictment. >>> plus, an update on the legal battle over the b

seema mody has more on those results. >> it's not often you see an industrial stock move this way caterpillar shares surging up over 8% with second quarter sales jumping 22% year over year thanks to strength in its mining business helped by the rebound that we are seeing in commodity prices construction equipment also a bright spot, putting to bed these concerns of demand reaching peak levels ceo telling cnbc this morning that the supply chain situation, too, has improved and that the allocation of funds from the infrastructure bill will last a long time. that is seen as a big catalyst for longer-term growth for u.s. equipment here in the u.s. as we see demand in china remaining weak shares of caterpillar hitting a fresh all-time high, trading at 287 a share, which is above the average wall street price target of 255 caterpillar results seem to be lifting sentiment for other construction names eden came out with better expected results and united rental shares up nearly 2% >> thank you very much. >>> still ahead, oil having a big month in july. surging more than 15%. i'm already seeing some s

we turn to seema mody. >> some have been challenged by the ongoing troubles in china.scale back their expectation while at the same time hold out for potential stimulus. they say don't hold your breath writing that the appetite for stimulus is not there as beijing relies on so-called precision-guided monetary tools that focus on targeted, credit easing and evercore isi strategists warning clients over the weekend that if china's economic backdrop worsens and the s&p 500 companies more than 20% revenue in china could be at risk of seeing investors scale back their exposure and they're going to intel, tesla, advanced microdevices and western digital among others. most of these stocks are housed in cnbc's china trade index which you can see has underperformed this year compared to the s&p 500's 14% rise, and fund flows data shows that market participants continue to diversify their holdings with china bringing in less than a billion dollars while indian related etfs have seen 1.8 billion which also tells you a story, kelly. >> i think that's fascinating what shawn said it

seema modi joins us to break this down. >> the etf which houses china's big tech stocks up about 12% its best month since january the key catalyst, rising expectations that beijing will unload key stimulus measures that will prop up the country's slowing economy. wall street, though, remains more conscious evercore isi strategists telling cnbc they're waiting for a pullback, and they expect that opportunity to present itself in october, right around the time concrete announcements on stimulus are expected to be revealed those comments coinciding with new data, which shows fund managers remain extremely selective on where they're putting money to work across the world, underweight china and becoming less bearish on brazil, which, by the way, just kicked off its easing cycle this week with a dovish 50-bad-point rate cut and more expected in the coming months. >> seema, thanks seema mody steve, you have been getting more bullish on two china stocks in particular. >> yes baba and baidu, particularly baba i've been on record as i've been reminded by -- indirectly by many, many trolls, bec

seema mody is here with that >> stocks may be making a turn but oil continues to power higher, now headed for its sixth straight gain, the longest streak in more than a year, and because of that, energy stocks are outperforming on the pioneer natural resources, names like marathon petroleum, among others, up by 5% for the week. and then there's one bright spot in the restaurant space today. shake shack we couping some of yesterday's losses following a disappointing outlook, but analysts at raymond james see opportunity, upgrading the stock to outperform today, you can see shares up about 5.6% at this hour carl >> seema, thank you so much. >>> we are just getting started. coming up next, a rally roadblock. one key part of the market, why he thinks it's keeping a lid on a bigger move higher for stocks, and he'll make his case after the break. we're live from the new york stock exchange you're watching "closing bell" on cnbc. ♪ 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 owne

economy into recession. >> seema mody, thank you so very much.>>> today's a big day in iowa as the annual state fair kicks off and over the next ten days almost all of the republican presidential candidates and some democratic presidential hopefuls will make an appearance there. former vice president mike pence started his day in davenport, iowa. he's scheduled to take the soap box at the iowa state fair later today. north dakota governor doug burgum began his day greeting voters at the state fair. nbc's dasha burns joins us now from the state fair in des moines. good morning. how important is this place for presidential candidates? >> reporter: jose, if you are running for president, it is basically mandatory that you come to the iowa state fair. you got to come, you got to eat the fried food, you got to come check out the butter cow. i mean, come on. how cool is this? this is where you got so many iowa voters, caucusgoers, this is where candidates can come and show voters that they are the real deal. but, you know, it is also filled with land m

joining us now with more is cnbc's seema mody.? >> well, jose, this strike would involve roughly 150,000 autoworkers costing the country over $5 billion. that's the latest estimate from the anderson economic group. now, another potential outcome is more american car manufacturers moving their operations outside the country. according to the head of the union's unit, the carmaker is discussing relocating some of its pickup truck production from detroit to mexico due to these ongoing labor discussions. and of course that's a trend that we've been seeing over the last two to three years because of the pandemic. >> seema mody, i thank you so very much, appreciate it. >>> up next, shock in one california community after a shop owner was apparently killed over flying a pride flag. >>> plus, climate change appears to be taking a major toll on the united states with deadly wildfires, damaging storms, extreme heat. we'll talk to bill my about how it may all be connected. you're watching "josÉ diaz-balart reports" on msnbc. r. . so, no matt

seema mody is here with those. >> 41 minutes left in the hour, mike, and shares of biontech are firmly in negative territory today after the company reported a sharp drop in revenue due to declining demand for the covid-19 vaccine as a result, the biotech firm says it will trim its research budget to cut costs. the news is also weighing on other big covid players, including novavax and moderna, which are down about 5 to 6% elsewhere, tyson stock, under pressure after missing estimates on earnings and revenue. the company is seeing a number of headwinds from falling chicken prices and pork prices along with slowing demand for beef as well you'll see shares are down nearly 5% today. mike >> seema, thank you. >>> we are just getting started. up next, trouble in the technicals btig's jonathan krinsky is back. he's flagging the one sector that could see some serious downside and the one he's betting on instead we are live from the new york stock exchange you're watching "closing bell" on cnbc. the dow up i remember when i first started flying, and we would experience turbulence. i would wat

back to seema mody for a look at the key stocks to watch. >> as we await for apple, look at qualcommappointing yesterday. the chipmaker came up short of revenue estimates, but investors mostly focused on the company's softer than expected guidance with the smartphone business and the slump, qualcomm makes the chips and processors at the heart of a number of phones including the most high end android devices. deutsche bank downgrading the stock to hold from buy, currently down nearly 9% let's talk etsy. shares under pressure after the company delivered a softer than expected outlook for the third quarter. the ceo noting improving trends and active buyer growth accelerating driven in part by international customers. morgan stanley cutting its price target on etsy stock from 74 to 72, currently trading at 82 bucks a share. mooic? . >> seema, thank you very much. >>> what is the best tech stock to own right now apple, amazon, alphabet or microsoft? head to "closing bell" on x to vote >>> the results of our x question we asked what is the best tech stock to own right now the choices were

seema mody is here with that. >> hey, mike, let's start with six flags. earnings coming in short of consensus. however, it does plan to spend more on upgrading the parks across the nation. the ceo on the conference call saying or dna at the end is thrill rides and we have to go back and reinvest in rides a.i. software company applovin crediting the new marketing tool that's helping customers' return on investment. the stock has tripled, and d.a. davidson sees more opportunity from 32 to $40 a share mike >> seema, thank you. >>> we are just getting started. up next, drilling down on oil, the energy space seeing steady gains lately xle is up more than 10% in the next three months. >>> our next case will make his case for oil, after the break. you're watching "closing bell" on cnbc. - [soldier] take a look at this! - they've left us a gift. - [soldier] i think we misjudged them. - i love horses. (birds chirping) - [soldier] we should open the gate. - let's see what charlotte thinks. - [narrator] at crowdstrike, we monitor trillions of cyber events to detect

people celebrating ) ( ♪♪ ) ( sfx: people celebrating ) ( sfx: stock exchange bell ringing ) >>> i'm seema modyews update. the gunman who stormed the synagogue in 2019 sentenced to death by a pittsburgh jury the unanimous decision comes from the same jury to found the shooter guilty on 63 counts in the massacre, killing 11 people and wounded 7 others at the synagogue, the deadliest anti-semitic attack in u.s. history. >>> apple is looking to add more live sports to its roster and may be targeting college football espn says a proposal for media rights to school presidents and ucla and ucla going to the big 10 and big 12. apple has streaming deals with major league baseball and soccer >>> meta introducing its open source ai tool called audio craft that will allow useers to create music based on text prompts. three models will work for music, sound, compression and generation raising concerns in the music industry over copyright violations as a software replicates pattern from data to create from the web. dom, back to you >>> let's do a checkup on the health care trade overall. joe is scaling back

it is all about chips, drinks and tractors seema mody and kristina partsinevelos filed these reports.starbucks is set to report after the close today. and li same store sales in the u.s. is key for investors to watch in north america, store sales are expected to increase 8.4% internationally, 22.4% analysts did not breakout the chinese sales, but it is a metric for the coffee giant as it is the second home market last quarter, the company saw the same-store sales in china increase for the first time since the third quarter of 2021. firms have indicated china recovery may be uneven and smaller competitors are crowding the land esclandscape and abroad in the u.s., it is about the strength of the consumer and if starbucks is able to hang on it share. that stock is up over 2% on the year one of the weaker performers in the restaurant space >> caterpillar is set to report earnings with the investors focused on the caterpillar inventory levels the industrial giant's china business with 5% to 10% of sales with the deceleration of the country's economy and that puts pressure on caterpillar or

seema mody joins us with more. >> caterpillar has reported a rebound in demand.harp contrast, really, to what the economic data is showing, which shows the u.s. manufacturing sector is in contraction following another negative ism caterpillar, outpacing the gains of the big tech names like google and meta. with the gains the eft is trading at a price to earnings ratio, which is above a five-year average. analyst report to supply chains getting getter, and the inventory level. some delays on production, we will see if deere has similar issues when it reports next week >>> jim, i will come over to you. you own deere, which has a report coming up, and shares dropped off due to pratt & whitney issues what is your take on this outperformance take? >> this is so wide and diverse, it's hard to pin it down to anyone force it includes aerospace and defense and the airlines there's a lot of mode of forces here at its simplest, we have to realize the next two to three years you will see a lot of industrial activity. this is not coming just from infrastructure spending, but

everybody. 3m reaching a settlement in a long running litigation involving ear plugs for the military seema modi joining us with the details. hi, seema. >> largest mass tort in u.s. history involving 300,000 plaintiffs who alleged the ear plugs were defective and led to hearing loss 3m's board meeting today to discuss a settlement which amounts to $5.5 billion. wall street had estimated between $5 to $20 billion. it followed a separate settlement involving water utilities that sues 3m for contaminating public water drinking systems with toxic chemicals known as pfass final approval is spending as well as lawsuits revolving around personal injuries as to how 3m will fund the settlements, the company is on track to spin off its health care division by the end of this year, and jpmorgan is betting 3m will receive $7 to $9 billion for this transaction following the spin-off, analysts expect 3m to lower its dividend which currently pays a nice yield of 6.1 pest. leadership is also in focus. last week, 3m's current chief financial officer added president to his title and rbc writes that this arguably

our seema mody joins us at post 9 with the ceo. >> let's bring in peter kern, ceo of expedia thank you for joining us on "squawk on the street. >> thanks for having me, seema >> a solid quarter but the street seems to be focused on quarterly bookings which did come in a billion short of consensus. is this further evidence of the u.s. travel market slowing or something else at play >> no, it was really just a tough comp we're feeling very good about our results, notwithstanding the chart behind you but bebasically came in where we expected we launched our 1q rewards program. we got to where we guided to and we're feeling good about the quarter and the back half of the year we basically reaffirmed our guidance for the back half of the year i think people are looking for issues, but we're feeling quite good about where the business is running. >> that's encouraging. your stock down 16% today. what would you say to those looking at falling hotel daily rates, declining airfare and say this could be a change for people away from travel and leisure into goods is that justified? >> i don't thi

seema mody is here with details. >> tech stocks have the most on the line with semiconductor companies like nvidia, eqqualco generating from china. china's economy is slowing faster than expected and pointing to names like intel and tesla they could be vulnerable to a further pullback if china's growth story continues to worsen. check out the performance of u.s. companies with china exposure labeled here, the china trade index is underperforming the s&p 500 so far in 2023, up just 5%. with that said, there's still a number of consumer-facing names like starbucks, marriott, even walmart reporting growth in china that's keeping some inves investors optimistic about a turnaround. the question is whether that can really happen if china is not able to meet the 5% growth target. >> it's interesting, wells took a crack last week looking at the underperformance of names that had 15% expose tour china, and the number one name was las vegas sands, and ironically macau has gained it back from las vegas. it's an interesting story. >> it's interesting and it tells us about the consumer that even th

. >> let's get over to seema mody for the cnbc news update. mental health administrator say the wild virus have caused the worst mental health disaster in modern history. they're trying to mobilize mental health clinicians to help the 65 already on the island. the hawaii governor who is also a physician waiving the state requirement for counselors so they can get there faster. >>> first mcdonald's and starbucks left at the start of the ukraine war, and now domino's is getting out of russia too. the company that owns the fast food franchise writes in russia and several nearby countries announcing it will file for bankruptcy and close all 142 stores there. >>> and adobe co-founder john w warnock has died. the computer scientist and silicon valley veteran died saturday surrounded by his family, in addition to founding adobe, warnock also invented the pdf or portable document format, which revolutionized how documents were shared online. he was 82 years old. kelly. >> wow. invented the pdf, and now to watch that company continue to reinvent itself.

let's get over to seema mody for a cnbc news update. >> good afternoon. biden pledging $95 million today to strengthen hawaii's electrical grid. the funds will be used to improve grid service, limit future damage and help prevent failures. the white house said the investment will help reduce outages and the risk of further wildfires. >>> mitch mcconnell appeared to freeze again after he was asked if he would run for re-election during a gaggle with reporters in kentucky. last month the kentucky republican froze for about 20 seconds during a news conference on capitol hill. a spokesman says mcconnell was feeling lightheaded and would see a doctor before his next event today. >>> america's late night hosts are joining forces to help striking writers. jimmy fallen, seth meyers, complbert and oliver starting a podcast that all proceeds will go to staff and crew affected by the ongoing strike. creative approach. >>> let's take you now to south carolina. we want to show you some live pictures where hurricane idalia is hitting after making landfall on florida's

here to break it all down physically here is seema mody. >> this is not just about beating estimates this quarter. industrial companies, their profits are tracking about 12% ahead of consensus when we read the tea leaves of earnings call, you'll see it comes down to supply chain costs moderating as larry kulp told me inventory is being drown down faster than expected caterpillar are seeing their exposure to china come down, which investors like to see. caterpillar, by the way, among the standouts. now up about 15% in the past month as our carrier, global and tectron, which has outperformed big tech and valuation, which has come to debate the xli etf is trading at 22 times current earnings which above its five-year average. analysts remain bullish. they're pointing to those secular tailwinds, like the c.h.i.p.s. act, i.r.a., both mentioned by manufacturer which expects $600 billion of spending due to chip manufacturing, digit tieization, onshoring over the next several years, and eaton which said the value announced mega projects has increased by $116 billion, so about 20% from march

another travel stock moving in the opposite direction norwegian cruise lines seema mody has that. >> delivering a q2 beat but third quarter outlook came in below expectations seen as conservative when you compare it to direct competitor, royal caribbean, which posted a very strong quarter and revised full week outlook above wall street norwegian says going forward they expect occupancy to decline as they move to longer, seen as a way to double down on the higher end customer. still analysts at stiefel are recommending clients to use today's weakness as a buying opportunity. according to booking commentary from the company progress made on cost-cutting and customer deposits, which are running at record levels also worth noting, while hotels and airfares are falling, pricing power remains strong saying on board generation is best real-time indication of how consumers are performing >> seema, thanks. >>> the medical device maker beats. can the stock turn things around after underperforming the market this year? >>> we're keeping an eye on caterpillar. they predict there will be a jump i

. >>> let's get to seema mody for cnbc's news update. >> tyler, good afternoon the faa is referring nearlywo dozen cases involving unruly passengers to the fbi. the allegations against some of these passengers include making terror threats, attacking flight attendants and trying to break into the cockpit the faa ken levy fines up to $37,000 but can not file criminal charges that's why these cases are going to the fbi. >>> a member of the so-called tennessee three just launched an exploratory committee to run against gop senator marcia blackburn in 2024. gloria johnson, the only one of the three democrats who avoided expulsion from the tennessee house filed the paperwork late last week. johnson and her colleagues garnered national attention when the republican-controlled house started expulsion proceedings following their gun violence protests >>> and get this, police in charlotte, north carolina are telling people to be on the look lout for a 900 pound bull. the long horn got away when his owner tried to move him to a safer space during severe weather last night anyone who sees the rogue b

i'm carl quintanilla with seema mody charles schwab's liz ann sonders coming up with jackson hole kicking off. >>> and randy kroszner weighing in and breaking down the likelihood of what he calls a hardish landing. >>> the ceo of autodesk after earnings as that stock jumps on revenue beat and more enthusiasm about a.i. >>> let's take a look at markets. with the dow, s&p and nasdaq all trading lower. the nasdaq down 0.8 of 1%. >>> topping the tape today, jackson hole, as comments from philly fed president hashger seemed to turn the market a bit. both nasdaq and nvidia losing early gains. mike santoli is with us on the floor. i don't know if it's harker, necessarily. >> it was nonhawkish, to say the least, if that's the message we'll get more broadly out of jackson hole, i think it's acceptable to the market bond markets didn't get a jolted f jolt from that to me the setup has more going on, which is to say we had the minimally qualifying pullback, five minutes from the highs in the s&p 500. a luke warm comeback, people say this is make or break in terms of the trend and nvidia comes out, a

i'm carl quintanilla with seema mody charles schwab's liz ann sonders coming up with jackson hole kickingand breaking down the likelihood of what he calls a hardish landing. >>> the ceo of autodesk after earnings as that stock jumps on revenue beat and more enthusiasm about a.i. >>> let's take a look at markets. with the dow, s&p and nasdaq all trading lower. the nasdaq down

(we did it) start today at godaddy.com >>> an abundance of negative news surrounding china, seema modytel's ceo pat gelsinger saying the china market hasn't come back as strongly as people would have expected overall. city citi group calling china the biggest disappointment. caterpillar expecting sales in china to be below its typical 5, 10% range, and the thing here is that it hasn't been all bad news. consumer facing names like walmart seeing china sales in the second quarter increase 22% year-over-year led by strength from sam's club and e-commerce. that's not convincing, though, strategists at evercore isi who over the weekend warned clients that as the economic back tdrop worsens, s&p 500 companies and more than 20% revenue exposure in china could be at risk of seeing investors scale back their holdings. they point to names like intel and tesla. street now awaiting results from nvidia, which like many semiconductor companies does business in china and that upcoming brick summit later this week in johannesburg where president xi is set to attend and the economy will no doubt come u