skyworks is a winner here.also have an infrastructure business, the biggest customers on the side are nokia and erickson not huawei that's who we're trying to get to win while its smartphone business is in china, i think it works, especially since the chinese haven't retaliated against their top handset customer, apple. skyworks has a strong management team it is an extremely cheap stock that has just gotten beaten up here risk/reward, good. then there's xilinx. that's a programmable system on a chip, certainly proprietary. not commodity at all huge exposure to 5g. yesterday the stock surged higher own the trade truce but today gave up nearly all of those gains and then some. because the trump administration doesn't seem okay with selling this kind of technology to huawei as much as i like 'em, i've got to tell you, no thanks on the other end of the spectrum, you've got the commodity plays like micron and western digital. western digital makes hard drives and flash there is nothing sensitive about this stuff at

steve, you own skyworks.he keyst that the 5g phone will be stronger than expected, skyworks will be the primary gainer in the upswing in the cycle. >> i think 5g isthe place to be it is the one theme in technology you can go, like cloud was a few years ago. that's why i own it. they're the most leveraged, too. not only for their leverage to apple, which is one reason why i wouldn't buy it this quarter because apple sales i believe will be disappointing, even though i own stocky own piuts on it skyworks is uniquely positioned. they have preannounced also based on exposure to huawei so i think that's out of there. the management of the company would have to be pretty -- i don't want to say stupid, stupid to really miss a quarter after they preannounced. >> can we remind you said you had puts in apple so you don't necessarily believe 5g iphones will be as robust for apple but you're a believer in skyworks >> i think it is too soon. they have to get through this quarter and next quarter. >> you can believe in sky

like skyworks and nvidia.at he said. >> i will continue to work with my colleagues and the administration to make sure that we are clear-eyed about the threat that huawei poses to the united states and to make it a priority to protect american businesses and our national security. liz: senator rubio still thinks it's an issue. >> i think it is an issue and we clearly need to use those laws effectively but on the other hand, you can't simply have such broad sweeping restrictions that u.s. companies can't do business. you've got to figure out a way to work with other countries in doing that. the other thing is, you can't just trade off national security for short-term commercial reasons. liz: skyworks, nvidia, they are jumping. i'm sure that arm holdings which makes the chip architecture, is very happy. they had to cease and desist and now get to start back up again. good to see you. thank you very much. >> thank you. liz: ambassador yerxa. we are about to get you an update on the facebook situation, when we com

. >> the upgrade on sty works solution, would you rather skyworks solution or the qualcomm downgradey barkleys >> given the choice of those two -- >> which is the biggest of the game. >> i just got to make sure that people understand that, the two point -- i'm kidding rather be in the skyworks upgrade than take qualcomm downgrade in the would you rather gain. >> why >> i think qualcomm is too cheap. i think they have a great balance sheet and you are playing stock market with qualcomm i don't think you want to short that name. >>> next guest says something is happening in the market that is signaling an even bigger rally for chips. let's go off the charts with rob slimer of funds stock. what are you looking at? >> thanks. i think what is happening it is the thin evenly of a bigger trade developing for the broader market cycle if we look at the opposite side of the trade and we look at the bond proxies, we think bond yields are oversold and due to rebound moving into the second half the names that benefited from that, staples and utilities we think are at risk. looking at a couple of

raymond james says skyworks and k corvo could see some near-term upside, but nearly every analyst weighingn this morning said that july earnings will still show weakness and that uncertainty for the chip sector is far from gone deirdre? >> absolutely. still a lot of uncertainty, especially in the long run let's talk about that a little more and a lot of folks are wondering, is tech the big winner from this we could's summit and is the so-called economic has hardball over? let's bring in ben steel with the council of foreign relations as well as director of the tech policy program james lewis. gentlemen, good morning and thanks for joining us. >> good morning. >> let me ask you, would you say we're in the clear are markets getting a little bit ahead of themselves. i kept talking about this long run. i spoke to the chairman of huawei last week and he said that they're getting ready to sort of reduce their dependence that they need to on american suppliers. >> yeah, what we're seeing right now is really a relief rally we are far away from the end game here. the big shock coming out of osaka w

i own skyworks because of 5g and own amd because you brought a new ceo in there a while ago who is doing a phenomenal job redirecting the growth of it and you can sit and hope and pray that intel is going to be the next microsoft and change their business model, but they don't have the same levers, so i would rather go with growth. >> they have some levers. >> absolutely. >> and when i look at intel, that's one of those -- it's a stock that i own not necessarily i trade around it with options but the mike ron. i bought cole's and bought stock in mike ron. that's a trade i'm not sold that mike ron is going to be a company that's the next intel and be everybody knows that you'll see this stock being $38 a share, maybe all the way up to $55, $60 a share so it's an extremely volatile stock that you can own t.amd the same way. i own calls in amd do i think it's a bit of a valuation stretch? absolutely, but i love the momentum we see in many so of the names. intel is astock that i hole, like a merck and pfizer and some of the other names i've earned for years. >> just as you and pete were sayi

corporate was up about 8% earlier, skyworks, micron hanging on to gains, 3%, 5%.ut if you're these companies, the close is clear for now. >> yes and no. huawei really epitomizes our relationship with china. economically, we need them they're good business for a lot of these semi conductors companies. politically, we can't trust them and we have to find -- how are you going to determine on each component if it brings national security issues? how is that enforceable? >> i think that's the key here, the whole idea of national security this has come up time and time again with regard to cfius and they reviewed different deals going through, what constitutes a national security threat the fact we're seeing flip-flopping, may not be behind the scenes but at least to the market and average person watching this, it appears to be one day there's a national security threat and the next may not be much of a national security threat. >> the other way to put it is it's inconsistent. it depends, right, robert? we're talking about a relationship with china that has been dramati

you have shares of skywork solutions among those big in the buy around so far on very thin premarketre are used in smart phones to aviation controls to help monitoring devices. so watch those shares. heavy machinery a big focus. especially when it comes to asian demand cat pillar up. the construction equipment giant is one of those proxy stocks for the chinese and economy as well. and the economic data out of china and elsewhere in the world has been showing a slowdown. but that stock gaining around 15% in june alone as optimism has improved and a big miner of copper and gold if the chinese economy gets some positivity, basic companies could get a bit as well. it's more of the health. so freeport, skyworks and the morning movers today we'll send back things back over to you >> nice backdrop >> i like it >>> joining us right now to talk about what to watch as we head into the first trading day of the the quarter is head of technical strategy at jpmorgan and mike, we made it through the first half a great june for the markets and the g-20 gave them a lot of what they were look iing for