and spac mergers.u time and again, the spac deals have been disastrous for the public shareholders, disastrous however, they keep coming. a spac is a guaranteed win unfortunately, it's also proven to be a terrible deal for most of the companies that have come public merging with spacs as well as for the regular investor who got in too late, the general trajectory for the spac stories is lower and you'll rarely go wrong if you simply steer clear of a particular one or the whole group. but there are still some post-spac merger winners i think anything that can survive the spac lash deserves a second look. we've been following a group of stocks created from the deals that now have 193 names. when we look through the top 25 all up from the $10 benchmark. that's where all spacs start trading. while these winners tend to be down huge from the highs earlier this year, you know what, we've had some interesting stories when we look at the top 25 spac stocks they're a bunch of electric vehicle plays two, lucido

new number of spacs.e there still so many special purpose acquisition companies doing the same darn thing that hasn't worked in ages why are so many still being conned on these? deals have been horrible horrible the end result is a sickening decline in the stock just look. late last week, we saw another high profile spac lash when buzz feed merged with one of these stocks the stock spike to $14 before plunging to five and change last thursday now it's back to six that's awful the deals don't stop even as traditional ipo market is winding down, we just had 19 new spac offerings that raise $3.7 billion what's going on here you think these spacs are terrible investments right? not so fast. spac investors make their money by screwing over both home gamers and the companies they merge with those are my words, not his. what do i miean by that? buzz feed stock collapsed in the mid single digits. the post spac deal got hit with redemptions. there's something you may not know about these special purpose acquisitio

one of the top names in spac world and the spac analyst world is here to predict whether 2022 will out pace this year, but more importantly, he's going to give his serious warning sign that he's sending be spac investors, and it is pretty obvious, he's the one pointing it out though you've gotta hear what he has to say. all right fox business alert, santa and his jolly band of elves are loading the market sleigh with gifts for the bulls right now at this hour as the santa claus rally definitely is adding muscle to its legs. take a look. tesla, micron, let's call those 5% then the 4% crowd see ing major gains for tesla, micron, viacom cbs, las vegas sands, these names are really giving the s&p 500 the strongest lift at the moment. speaking of which, the s&p as we mentioned is on track to close at an all-time record high, as we said that be the 68th thanks to some solid economic data, bringing a lot of holiday joy and keep in mind here, folks there were 33 record closes last year, so we're on track for 68 this year. new home sales rising in november to their highest level since april, si

are spac's in the running? raj: spac's are definitely in the running. not the way they were earlier this year. i think the spac market has not just cooled, it went really cold for the second half of this year. i think that spac's will come back. the majority of our companies exit through traditional ipo's or acquisitions. spac's are a small part of our exits but we think they are an important part and in the right conditions, taking a spac can be great but once you spac your company you are now a public company and you have to deal with all of the ups and downs of being public. taylor: yes. we certainly see that. that is why some companies, i think, are choosing to stay private may be for longer. talk to us about investments in the u.s.. a big theme has been so much capital chasing too few investments. and the heightened evaluations you continue to see. how do evaluations look to you now with all of us capital flooding the private market? raj: there is a lot of capital. to put it into perspective, venture capital, growth capital, what we do, we are only

this is certainly a point for spac investors as well as companies that are considering investing in spacs lot of these spacs mean that it does embed this risk that you could have a smaller float on the day that you go public than you initially expected which could lead to less cash on hand, the 16 million as i referenced as well as a more volatile first day of trading lit take a while for that float side to increase which could help match supply and demand a little better but in the meantime, if the first day is any indication, we could be in for a lot of volatility. >> leslie, i wonder, do you think this does anything to the broader spac popularity which we have seen decline a little bit but retail investors really bought into the phenomenon over the last year or so buzz feed is such a big consumerry name that will get a lot of headlines, a lot would be watching this one what does it do to the model and popularity going guard >> yeah. it's a great question. i mean, we have had so many instances this year of retail names getting a hurt, specially out of the gate. what will be really inter

they went ahead with the spac deal.he stock opened up 35% and 35% off from the intraday high this is the first day of trading. shares of lucent under pressure, really heavy pressure after an sec launched an investigation into their spac offering. my next guest tried to warn you, to stay away. wheelhouse ann berry. i'm worried about the perception of the stock market. so many new investors piled into the market. you hear the names, superstar folks, they play baseball, make movies and support spaces. this may be first time someone gets in the market. this could be the only experience with an investor. they buy a spac, implodes an don't want to invest anymore. >> that is tricky. i always said spac themselves but can be interesting for retail investors. you need the management team of that spac, what it is doing and buying a public bringing it into the public domain. you have to make sure the spac has really good folks who understand the diligent businesses they're buying and appropriate for the public. charles: some supers

i think that is the ideal for a spac market. go green is not looking to be a venture-capital provider to a technology that is not yet defined. we want a company with a business model that works. alix: where are you targeting? >> anything in the supply chain, wind, solar, grid storage, transmission is in our strike zone. anything that is a bottleneck in one of these industries for these companies to achieve results and get something done is what we are trying to solve. alix: you can make the argument that $250 million is a drop in the bucket when it comes to the billions that have to be spent on clean energy. how do you scale that? >> i think you are right, but a journey of a thousand miles begins with a single step. $250 million will not be game changing, but for a private company, the prize is a positive relationship with wall street. the benefit of wall street, it can direct a nearly unlimited amount of money to profitable enterprises. what this is is an opening of the door. alix: the energy crisis we are seeing globally, how

the spacs, the post-merger performance has been bad across the board.ave realized is, the bloom is off the rose on spacs and you have to be really careful putting your money into that post-merger deal, meaning the de-spaccing. that said tax as -- it's a real thing. i think you will continue to see them at a lower level and the advantages are a little bit, there's less disclose sure, which we'll see what sec does, but the other advantage is to the investors. there's some investors who can't get the allocation they want in ipos and in spacs, if you do the pipe and the post-merger deal, you get your allocation. i think spacs are not going away they're another way for people to exit, but, you know, as a seller and as an investor you have to be careful about valuation. >> we often, professor, think about spacs in terms of what it means for the investor i know you're speaking about both sides of the equation right now and i want to focus for a minute on the other side of it whether you think businesses looking to access the public markets will be soured by wh

>> absolutely, without a doubt as we know, they're 581 spacs. >> for different businesses, 568 spacs. in search of a deal by the way, some of them are falling apart, like the scvx, and bright machines, they mutually agreed to temple nate their combination. the e-toro deal they pushed off again. >> but, david, let's just be business people, you and i. >> okay. >> why don't we get half a billion and try to find a business to buy. how about this how about we try to find a business to buy and then get -- >> ooh. >> then what would happen? >> the s.e.c. would come after us your friend gary gensler would not be happy with you. >> he uses a lot of new media, maybe he uses -- >>> all right. you ready to talk to pisani? i think i am. >> have you mentioned at&t >> oh, my god, down another 1.8% it's a moves target. >> because they killed off mr. big? >> i don't know. >> that's horrible fox is down 2.5% you think that's because chris wallace is leaving >> no. >> discovery is down, both continue to go pressure that the overall value of that potential deal, when discovery actually ends up merging w

taylor: talk to us also about spacs. this felt like the year of spacs. then performance started to wane. why is 2020 to their year? >> this was -- why is 2020 to their year? >> this is when we had a spac tsunami. next year, there is going to be a swing effect. more companies that are more seasoned are going to try this he spac route. that is the hope. they do open the door for smaller tech ipos. if you think about what has happened over the last 10 years, smaller companies do not go public and spacs let them go public. that is opening up a new area that is healthy for the ecosystem. let's talk about the taylor: taylor: companies that are public. with these both have in common was some migratory risk and regulatory overhang. is that not a risk? >> i think uber is a big enough risk. as the year progresses, we do see some potential events that should ease out the risk ease out the worry investors have. we expect something from new york state in january. in boston, there is going to be a ballot and she to have. probably we will see an appeal in california. a

we will see a continuation of spacs. don't think we will print 6700, but on the low end, 250 to 300 coming up in 2022. >> wow >> kelly, we are working at drexel hamilton with our clients, we are marshaling new issuance companies, preparing them for their ipos and it will be a very active first half of the year based on our outlook. >> so it is interesting that the price action so far is not holding back the flows john, thanks for your time today, especially on new year's eve. we appreciate it >> have a great new year's i don't know if you have any resolutions but i'm supposed the eat more fruits or vegetables or something, so i better get to that >> i'm trying to get my kids to do that. it is hard >> right have a great night >>> will nfts in the metaverse be all the buzz? we will explore the year ahead in crypto right after this >>> this is "the exchange" on cnbc when it comes to autism, finding the right words can be tough. finding understanding doesn't have to be. together, we can create a kinder, more inclusive world

>> plus spac on the streets. s.e.c. gensler says new rules to protect investors will be coming soon. >>> ford stopping reservation for the lightning due to high demand mary barra says, we are first, full stop. >>> jim, internals, as liesman said, everything is up. >> you've been to listen to rich galanti, an amazing cfo at costco he just says basically everything is up one of the things he also says, by the way, is this shipping thing is a disaster. i mean, almost every -- the numbers he gave. >> 79 of containers are late by 51 days. he's got 4.5 to 5.5 up flation the best call about what i've heard was from doug yearly, ceo of toll brothers they have to go to home depot to buy the appliances to finish then about the embedded inflation. there's nothing transitory when you're one of the largest home builders and you go to home depot, you can't go to whirlpool because they don't havefully >> 1982, what were interest rates then >> reagan was president -- >> i wasn't that aware. >> reagan used to have beers with tip o'neil.

we have seen pullbacks in spacs.n't think they will be as big of a force and chinese listings, i don't think we are going to see very many of them at all. especially -- didi was the biggest since alibaba. it was one of the biggest disasters. didi is the uber of china. i don't think we are going to see very many. i think that will occur actual some of the ipo activity, both spacs and the chinese listings. >> historically, the private markets have been a lagging indicator following the market in terms of how those names are valued in the private markets. but lately it hasn't been the case, there is dry powder in the venture capital and private equity areas, that it has kept valuations higher in the private market do you think it catches up, or is it able to stay steady until they go public and then we will see what those valuations are? >> to your question, the private -- there is so much capital inflating valuation, it is not going away. i think it is just going to keep some companies this year on the sidelines. it is

sir richard you've jumped into the spac space head-first.o here, in fact just recently in june, you launched 23 and me, you helped it go public via reverse merger. it's having a good week up about 9% although it struggled just a bit. talk to me about what you look for in a target. >> well, it's interesting. the other person whose invested in grove is paul pullman who used to run unilever, and i think the two of us look for companies that we can be proud of investing in, and that will make a real difference in this world. obviously, they've got to be financially successful and got to have great management and that's that under stu and you obviously can see from interview ing stu, he's a formida ble force and he started this from scratch, so it had the right ingredients. the product has the right ingredients too, and to have that product soon being in plastic-free containers is wonderful. i mean, unilever when paul was there running it, it was a tough job for a big corporation like that to do everything that he would like it to have done. now

grab going public through the largest spac merger ever up next the outlook for spacs and the ipo marketle hit hard with concern just a top analyst whether the risk is worth the reward. we are back in two mut oinesn "closing bell. thanks for coming. now when it comes to a financial plan this broker is your man. let's open your binders to page 188... uh carl, are there different planning options in here? options? plans we can build on our own, or with help from a financial consultant? like schwab does. uhhh... could we adjust our plan... ...yeah, like if we buy a new house? mmmm... and our son just started working. oh! do you offer a complimentary retirement plan for him? as in free? just like schwab. schwab! look forward to planning with schwab. every day in business brings something new. so get the flexibility of the new mobile service designed for your small business. introducing comcast business mobile. you get the most reliable network with nationwide 5g included. and you can get unlimited data for just $30 per line per month when you get four lines or mix and match data options. ava

and good spacs but what's key is the people, who's behind the spac. personal money into it. and person who used to run unilever is advising stew and putting his own money into it. we believe in this company and believe it's the kind of company that should be public via spac spac is unleashing a whole new era of entrepreneurism in america and i hope europe and other parts of the world will follow it's been exciting >> even the sec has has plenty when it comes to spac and the alignment of yourself, for examp example and the general public do you see yourself owning the shares for a long period of time you potentially could make money but obviously shareholders will not. >> i can't forecast how long we'll own shares but we generally are long-term holders of shares with most of our companies, like virgin galactic, orbit, we spent 20 years building the companies. we then will start maybe selling shares down and using the money to invest in new companies like grove and that's the way virgin works. but i mean, it's up tothal team at grove and stew and virgin

this year was the year of space spac's.here were about a dozen space companies that went public via spac, which stands for special purpose acquisition company. it's amazing, what all these companies have achieved to date with venture funding from venture capitalists like myself, and i am excited with what they will continue to do now being public. i will use three examples -- rocket lab, planet, and inspire. rocket lab has deployed over 100 satellites in space. now that it is public, it will continue to lower the barrier of entry into space with faster and cheaper rockets as well as building a larger rocket. an eight ton rocket that will be able to deploy even larger satellites and eventually people to space. second, planet, which went public on wednesday on the new york stock exchange, it has launched satellites in space to take photos of the earth. it will continue to take these photos for disaster prevention, for wildfire prevention, for mining and agriculture. it also has satellites for ship and plane tracking as well.

the sec has really ramped up enforcement against spac's in general.ac we are in the high single digits this year. if you think about nicola or lordstown, they have been subject to sec investigations. we don't know what the specifics are in this case. alix: unfair question, but how damaging could this be for the company to actually get its job done? ed: for nikola, they haven't really covered from just haven't really recovered from the sec investigation, so it is a distraction. specs have been painted with a broad brush of poor reputation because of the enforcement actions that have taken place. it is interesting, michael klein has been an advisor to the saudis for a long time. if this is about a merger, it is worth noting that lucid's chairman was also a partner of the spac they merged with, so there is a lot to look into here. guy: let's turn to tesla. company could be about to go into a bear market if it closes at current levels. another investigation. it is not the car company that is the focus this time. it is the solarcity part of the business. e

i mean the numbers are astounding the number of ipos that we had this year, and then the way that spacswouldn't think the two things go together, the fact there's been a record issuance as well as under performance, but to your point this year was one for the record books, companies and spacs raising $318 billion, the largest ever even after adjusting for inflation. on average the debuts popped 22%. since then the market has shunned them the mean performance for companies that went public this year not including spacs is negative 11% only 22% of new listings this year were profitable the market sold them off along with other high-growth money-losing stocks in a shift amid fed policy that could mean highest interest rates next year a weighted basket producing negative 3.7% in a year the nasdaq is up 23% that doesn't bode well for companies in the pipeline for 2022 since it is harder to coax investors to put money into a negative for 2021. next years deals will be all about return to fundamentals tech and biotech will play a big role as they have for decades, but you can expect to see mor

at cnbc that spac is being investigated by the sec. on that as we have it, but in a statement after hours, former president trump says of n n nunes he is a fighter and a leader we must stop the liberal media and big tech from stopping the freedoms that make america great. devin nunes to join president trump's media company as ceo when he retires from congress. we will see what's next for that company. don, back to you. >> it is certainly driving interest in that company the ticker was off at times in the last few months here. it is one of the top 50 on cnbc.com given some of the interest on what's next for that trump spac and everything else happening. thank you for that i wonder, karen, i will turn to you quickly for this one because this is a company, like i said, that gets a good amount of asp atte attention. it's already up 3% before kayla's report what is your take on digital world given this nunes news? >> well, if you look, they did a billion dollar pipe and they put out some -- i don't know if they call it projections. it is mo

why combined with a spac? >> we want to go electric, we have the brands can we have the product and we decided early on in the year it was the right thing to set up a separate division and take it public in a spac merger. it's time and we want to be first to market to define what electric means in the future. matt: we don't see that many electric motorcycles on the road . a lot of motorcycles in a lot of the front countries, it is very rare i encounter electric bike. how much do you expect that to change in the next 2, 3, 4 years? jochen: if you look at the market, we think the market is ready to grow fast in the next 10 years. the infrastructure is being built and the technology is there. we now have the technology to do it and with livewire, we have the leading product and the leading brand to take advantage of the road we see ahead of us. and as a separately publicly lifted company, it gives us the financial means to build the most desirable electric motorcycle brand in the world. matt: i have tried the liv

enforcement actions against spac's up high. an area to think about -- where they have not been afraid to act. each of those companies have different stories. it is not clear what is going on here with lucid. matt: definitely different stories. richie get your take, ed. thank you for joining us out of san francisco. ed ludlow. coming up, new york city making history, becoming the first to mandate the covid-19 vaccine for the private sector. more from doctor kawsar talaat, bloomberg school of public health fx analogous. ♪ matt: this is bloomberg markets. new york city mayor bill de blasio said the city would become the u.s.'s first to impose a vaccine mandate on vat -- on private-sector workers. his office said the mandate would cover 184,000 businesses. the city is also strengthening vaccine rules for indoor dining, entertainment and fitness to permit access only for those 12 and roller who -- 12 and older who are vaccinated. children five to 11 will need to show proof of windows of a vaccine starting december 14. i assume those

we'll talk about it. >>> then the buzzfeed spac losing some of its buzz.r alexis

the jay-z spac is down 84%. would you buy any of 'em?n't know, man. [laughter] for me right now no spacs for me right now. if you think about it, most of the spacs tend to be those longer duration names, 20, 30 years down the road so you can recoup your investment. i believe in a rising interest rate, high inflation, period you want to own shorter duration stocks, stocks that can making money right now even. better if they're paying a dave bend or if they're buying back their stocks. i know dividend-paying stocks have not been in vogue, but i think they're going to win out in 2022. charles: just don't buy something for a high dividend yield. scott, mark, i wish we had more time, always an honor to have you on. appreciate it. >> thanks, charles. charles: it's been an amazing session in the sense that all the major indices were down, just a sea of red. then we got this little bit of nibbling in the nasdaq. i don't know what that means, but i'm pretty sure liz claman will help us figure it out. [laughter] liz: we shall translate it for our

. >>> and the raise of spacs helped public offerings surge in 2021 but post i.p.o.ons leaving question marks for the year ahead >>> it's monday, december 27th, 2021, you're watching "worldwide exchange" here on cnbc halfway through the hour, welcome back i'm seema mody in for brian sullivan here's a look at how stock futures are looking halfway through the hour we are higher with the dow jones up 19, nasdaq higher by around 41 points. this after stocks closed at another record high on thursday. get this, there is currently no sector of the s&p 500 that is more than 10% away from its 52-week high let's look at energy and the oil trade. sort of mixed action right now, wti crude has been trading lower, whereas brent crude, they're both trading lower now, wti down by 1.4% a quick check on europe. london is closed for the holiday, but the german dax, italy, spain, france, they're all open and trading in positive territory. watching what's a tough year for emerging markets the i shares eem which is on track to end the year flat lower compared to the s&p 500's nearly 28% g

that's right there are two things you can do with a spac.is deal got overwhelming share holder support and a vote in favor of the deal. that's because they have a way better option. you can choose to redeem at the $10 ipo price if you so choose to while supporting the deal you don't really care because you are getting your money back with interest. almost invariably these deals do doesn't mean you won't redeem. a lot has to do with wear the shares are trading at the time it was trading well below those $10 on friday as well. that makes it more attractive to redeem if you can get your man back also, if you get the sense and that stock could call on the listing day, that may be another reason for the merger to take place. >> thanks for breaking that down >>> fedex expecting a major spike with today expected to be the busiest day of the holiday season >>> we'll talk about the bigger trends in retail with industry veteran mickey drexler stay tuned, you are watching "squawk box" and this is cnbc. >>> welcome back holidays always a busy time for t

first of all, you have more transactions likely to occur, between the spac, special purpose acquisitionp., that is private equity, and strategic , and so then, you look at why in a free market system where you can move capital around, take risk, lose money, or make money, this has to be allowed. so now, you had j & j split up, ibm split up, and so on and you mentioned a whole bunch i'll just add like spending off part of their business universal music, you have daimler benz spinning off their truck business, and so on. so, why do it? first, you want to re-examine how your company is structured. secondly, a lot of companies in the s&p 500 are doing it so the boardrooms are thinking more how do we get loaded laggards out, how do we get companies that we come very good currenc ies to make acquisitions, so then the question is, what happens if i own ibm and i get a spin-off of a stocks kd is the symbol not owned by etf's you bought ibm and electronically traded fund in part or index fund because they wanted the dividends so you know they are selling this off so you stand there with a basket

and ipos and direct listings and also some of its worst performing today the last spac of 2021 hits the street and, finally, wondering if it's too late to jump into semis with names like nvidia up nearly 130% year to date we'll tell you where you should put your money in the new year happy early new year's this is as much celebrating i'm doing because we're all in quarantine over here >> we have a lot of salutations, good ridens, 2021 was not at all like how we thought it would be and we'll go into 2022 and start the year fresh wild ride for tech stock we've seen this year names like apple, microsoft, google and tesla saw big gains driving their trillion dollar market caps. even higher as you mentioned apple now just a stone's throw away from $3 trillion. and while growth players once pandemic darlings across the tech landscape take a hit, take a look at this zoom is off almost 60% from its highs of the year. peloton down sharply and others are following. down double digits, as well. slump down and peloton down 26%. the outlook for many of these stocks is mixed. but even with ark do

those i don't like people should not be in those stocks the spacs -- you did mention the s spac. >> you know what, i've got an assignment you read that release over the break. >>> and i'll movie on to tell amc 'co adam aron is up next, and a look at the bond markets there's a look at yields right here you can see the ten-year note is still below 1.4% we'll be right back. ("jingle bells") ♪ (doors knocking and bells ringing to the music) ♪ - [announcer] this holiday season, give the gift of grubhub. >>> welcome back, we want to give our viewers a look at oracle and cerner. kind of interesting that oracle is trading around that level as well, but we'll keep an eye on the shares they're not using their currency here the stock was down on friday after the talks were reported by the journal. jim, they say according to a recent study by nay i don't clinic, physicians spend 1.2, as well an a one to two hours of ehr-related activities, so working together they have the capacity to transform healthcare delivery by providing professionals with better information, enabling them to make better deci

this is one of the biggest spac's of the year. why spac, given the tumultuous year, and why now?: thanks for having me back. we chose the path that enabled us to get the best investors for our day one cap table. based on our investors that were attracted to the long-term growth opportunities we have seen and very low we gibson rate -- low redemption rate, we are extremely happy with the outcome that we have achieved. emily: you have turned grab into a super app. how worried about you about a resurgence of covid and omicron right now? hooi: i think a critical part of our strategy has enabled us to be very resilient to the covid challenges. to share a bit more about what it is, think about grab as uber, doordash, and venmo all in one. from the days when it starts, when you wake up all the way to when you go to bed, you are able to get your breakfast, pay for, send gifts, buy groceries, and more. and why that is really important is because it enables us to have things like shared fleet strategies with our largest driver partner network in the region, which enables our drivers to dec

now, this underperformance will likely elicit investors as they sit under water to previous ones spacs and chinese companies listing in the u.s. are also expected to be more muted in 2022 capital markets experts are expecting additional regulations for spacs, especially when it comes to disclosure, liability, and compensation and while 34 chinese companies went public in the u.s. in the first half of the year, only three have listed since july a massive chill brought upon by a regulatory shift in both the u.s. and china just over the weekend for example, chinese securities regulatory commission released new rules for companies looking to list overseas including the sudden halting of any deal that may be deemed a threat to chinese national security. of course the u.s. has always been a hot spot for chinese companies looking to raise capital, guys. >> hey, what do you think this means for the early 2022 ip orch ipo trajectory what are you hearing >> yeah, so far, they're still on track although i think a lot of these deals were hoping to list this year and got pushed out with some of the

confirmation that you tube competitor rumble, that will be its spac partner, its spac target, will partner with former president trump's social media platform truth social. now as part of this partnership, rumble will deliver video and streaming platform services for the former president's social media group. cantor fitzgerald ceo howard lut nick joined us last week to trumpet the service and you may remember he told us groups from the entire political and speech spectrum are welcome to the same hosting offer telling countdown that rumble spac deal is expected to close in the second quarter of 2022. airline executives being quizzed at this hour by the senate committee on commerce, science and transportation about worsening flight disruptions and staffing shortages. the industry notably received 54 billion, you may remember, in taxpayer money, during the height of the pandemic slump american airlines, southwest, delta, and united airlines are all either flat to slightly lower, and more heartache for peloton investors the stock now hitting a fresh one-year low after morgan stanley, it's off

this is the year of the spacs.of the companies that wept public via spac are down from the listing price. we also saw another 3d printing company since going public desk top metals. i'm curious why this is the avenue you chose. >> we looked at the spac as a vehicle to take the company public why what different yates the company is we're not a start-up we have been doing this over three and a half decades we have strong relationships we'll have b over $160 million in revenues this year. we really viewed hps as a strong sponsor for us and a vehicle for us to be able to take the company public and focused on is continuing to execute against the strategy quarter after year year after year and we believe it drives shareholder value solving real problems for the product driven companies in the world. >> you have to come back and talk about the supply chain. thank you for joining us. >> thank you thank you so much for having us on and we appreciate the opportunity. thank you. >>> coming up, mike spent some quality time wi

so this fax -- the spac's.o private equity players looking at these markets and thinking instead of just listing our companies, why don't we list ourselves? ppg has said it, we've been talking about and 10 -- anten. if you turn your eyes to china or some of the tech listings, whether that is didi, these household technology names that have high-profile listings, they are trading below ipo price. if they are trading below ipo price, that might give some halt other companies looking at the market. spacs have cooled off in the u.s., there is more scrutiny from the fcc. but we are seeing more of that in europe. as long as the billionaires and bankers can find targets, i think it will continue. the height of the spac activity, one of my sources told me my dog can list a spac. i don't think that is the case yet but there is still enthusiasm. maybe a very well bred dog. dani: [laughs] there is enthusiasm for dog-based crypto. to what extent have we seen influence in dealmaking? ruth: in europe we've been talking about

the way, that is no longer a spac >> okay. in terms of public companies -- >> ten bucks there. >> it was higher. >> it was higher at some point you looking at -- >> see, that's -- >> i think they're expecting faa approval from 2024 one analyst said, $7 trillion or $14 trillion addressable market. it's the funniest thing i've ever seen. >> i'm still reeling from the dutch bros -- it's a change of coffee -- >> i'm aware >> it's -- investment club is about making money, not losing money. >> i wasn't sure. >> it's about capital appreciation. >>> finally, guys, we mentioned musk he replied to you on twitter, after what you said to him, about him. >> it was very interesting when he did it, i was -- look, i'm not a kiss-up word -- i forget the word you were using it was good. i was quite taken by him, what he said and by the fact he brought up his child what would happen in a woman executive brought up a child i hate the double standard -- i thought he was really pretty amazing. he's trying to change things in a radical way -- yes, i

. >>> time now for a gut check on spacs and a trio of art beingels most that went public through spacsnalysis from crunch base. buzz week, wework and clover health, buzz feed close to $3 a share not long ago it's not stopping the flood of money rushing into the space s spacs, doubled the pace in the prior three months it's not just spacs, there's a massive amount of fund raising this year and they have $12.3 million worldwide according to analysis from the financial times and when does this sell-off and the growth, the tech stocks, the underperformance of tech ipos this year hit the private markets and of course, it is lagging and we haven't seen any slowdown so far. >> yeah, 12 trillion, it's hard to get your mind around a number that large just in one year. meantime, a quick production note as we go to break don't miss a cnbc special crypto night in america hosted by melissa lee begins at 6:00 p.m. eastern time we are back after this you're a one-man stitchwork master. but your staffing plan needs to go up a size. you need to hire. i need indeed. indeed you do. indeed instant match i

we created a spac and they asked me in january to join.ery hard to make this happen and we decided to play our shot before christmas. ant to change that mix. how do you do that? gildo: first and foremost, 2020, have of the world what shut, including america and china was open. we should look at the number of 2021, i know the number but i cannot tell you. there will be a rebalancing. alix: how wrong am i in what i said in terms of 50% versus half? how wrong? gildo: not super wrong, wrong, but not super wrong. [laughter] alix: fair enough. still some mix you have to shift. the point is there will be a rebalancing, but china remains the biggest luxury market, and the chinese are shopping in their country, which is good. we had to be better in a better brand to manage local. these are up and towards more casual wear which will be good for the brand. guy: will you be the next bernard arno, is this a conglomerate in the making, you see yourself forming a powerhouse of different brands? gildo: noarno is too capable ano powerful. there will not be

all of the spac deal, this structure -- not vilifying spacs, just pointing out it may be a good time>> great point next, tim and danielle, give me a quick trade on it, the nasdaq 100 is rebalancing next week that means out with the old and in with the new. airbnb and lucid are going in. so is palo alto, fortt net and data dog going out, fox corp., tripadvisor. do you trade these moves >> i think they're well priced in palo alto is the one that find interesting. it is a company that's had a big run, some have been the driver of the nasdaq more for palo alto it is positioning of this as a full platform around cybersecurity, not just network security i think what they've done is an extraordinary transition into -- from hardware to software to both i think the multiple, while challenging of all of the names mentioned, this is the one that makes money, the one spinning off free cash flow >> danielle, what about you? >> these are volatile names but i love them, especially in the options market they give you a lot of movement in one direction or another. yes, you do have to strap in and be

a tumble in a new york debut after a record-setting spac deal. the biden administration inches closer to booting a company off exchanges. plus, the former new zealand prime minister talks about the preparations for the next pandemic. haidi: the pandemic and the omicron variant is top of mind for the market. let's look at the start of trading here in sydney. we are reversing some of the losses that we saw thursday. new zealand stocks extending a second day of gains. a mixed future across the rest of asia. we saw dip buyers picking up some of those gains and driving a robust recovery on wall street. also sentiment when it comes to oil when the opec-plus agreement goes through with the supply increased also escape clause giving oil traders and energy traders -- on the session today. shery: take a look at oil prices because they are opening higher. $67 per barrel in asian session. we are seeing u.s. futures continuing to gain ground after stocks rose in new york reversing the today slide. we had risk rallying the best day since mid-october. that's wh

s&p global sustainable1. >>> welcome back a digital media company goes public via spac. leslie picker, of course, is following the money for us on both stories let's do buzzfeed first. it got out of the gates great. 14.77. the highs of the day now it's barely above 9 bucks. >> there's a lot of volatility in this debut today. buzzfeed surging as much as 30% when it first started trading. then it traded -- down 13% now you can see it's lower by about 5% today well, you might be wondering, why so much volatility here? one of the main reasons, if not the main reason, is really this risky structure that's embedded in spacs that has to do with something called redemptions where most spacs give investors the option of redeeming their shares at the ipo price if they so chaoose a majority of investor approved this merger burks 94% of investors decided to withdrawal their cash from this company at that $10 price leaving $16 million in cash in trust for buzzfeed so that implies a very small float for $1.5 billion market cap company which is why you're seeing so many price swings to

crypto, spac >> if you look at it, just where there have been the obvious excesses, new companies at0, 40, 50 times rev knew. pac exploes. bitcoin worth 60,000 the rate of change with the reddit stocks you are seeing sort of moments of where you look at it saying does that make sense the aggregate market is not crazy. >> do you have any personal exposure as they pull back like crypto >> i'm very sket conservative. i never invested in crypto no i'm obviously given the job pretty conservative. >> just morgan stanley stock. >> outperformed some of those. >> it's been a strong performer. congratulations on that. let's talk about the rate outlook. last time you were on and ahead of the curve for the fed to play catch up do they have to play catch up? expectations have come in. >> let's set the table we have economic growth and synchronized growth. every region is having growth why normally one is counter balancing another. we have record low interest rates in every country in the world and record fiscal stimulus in most countries in the world ordinarily you don't need stimulus if you have

he knows the risk, doesn't make sense of these spacs so you go into a spac hoping to back into a company100% and then you jump on top of that there's no rhyme or reason. i'm a traditional it's i like the ipo market, the road show, and do the due diligence, but investors participate in these ipo's i feel better than the spacs and if something does back into it and you're not in it and you jump on top of it the risk of reward don't make sense for those type of investments. >> santa claus rally is off to a strong start, omicron fears are easing a little bit. what do you expect to see the trends look like in 2022 >> so, look. i think it's already telling us, peak into the future is that rates are going to start normalizing and then with that though, that means instead of multiples keep expanding like they have been expanding maybe they contract or stay the same so there's also a chance for fed powell to make some policy mistakes. he has a couple time, transitory , fourth quarter of 2018 talking about raising rates and six weeks later having emergency cutoff rate so there's a lot of things th

this is an sec that has not been hesitant about looking into spac mergers. you are not so worried about this disclosure? garrett: we are not. but we are seeing is a lot more regulatory scrutiny and it goes back to another company we follow and their founder and former was charged with three counts of fraud. he is currently pending trial, which will happen next spring. there are some pretty serious federal charges against him. a lot of these companies have gone public through spac's, which is a reverse merger which entails less disclosure to investors when a company goes that route. so i think the sec is going back and really looking at the disclosures that were made. it's not a concern for lucid because we know they have a brand-new factory in arizona. they have a terrific product, the specs of that product would stack up to any electric vehicle today. you look at 1100 plus horsepower and 520 miles of single charge range. it was just named the motor trend car of the year for 2020 two. we view the subpoena that they received as a buying opportunity. we are co

speaking of spac's, lucid up 4%.cid's case, the stock will be added to the nasdaq 100 as part of the index's annual reconstitution. it is made up of the 100 and more most valuable nonfinancial stocks. that often means valuable tech stocks. we have tesla, down 5% monday. down more than 20% since the november high. it is in a technical bear market. it has suffered from growth and momentum stocks. cathie wood's ark did sell shares of tesla. elon musk tweeting spacex has a new project to take co2 out of the atmosphere, turn it into rocket fuel. what a year that guy has had. on monday elon musk was named "time" magazine person of a 2021. any surprises? emily: he is keeping it up with the tweets and revelations that come with it. from intuit and mailchimp. to microsoft and others, they have been booming in tech. as the biden administration strengthens its stance on antitrust and pushes back on big tech, i want to speak with ted smith from union square advisors. are you are expecting more m&a in the year to,? ted: -- in the

regulation nation taking a wind out of ev high-fliers like tesla and lucid as president trump's spacts hit by the sec, with the closing bell ringing in 37 minutes and the dow still up about 670 points for a gain of nearly 2%, we will tell you what sparked the investigations into all three of these companies. don't go away. there's a different way to treat hiv. it's once-monthly injectable cabenuva. cabenuva is the only once-a-month, complete hiv treatment for adults who are undetectable. cabenuva helps keep me undetectable. it's two injections, given by a healthcare provider once a month. hiv pills aren't on my mind. i love being able to pick up and go. don't receive cabenuva if you're allergic to its ingredients or taking certain medicines, which may interact with cabenuva. serious side effects include allergic reactions post-injection reactions, liver problems,...and depression. if you have a rash and other allergic reaction symptoms, stop cabenuva and get medical help right away. tell your doctor if you have liver problems or mental health concerns, and if you are pregnant, breast

we've got spac that announced the deal, but yet to close it.spacs out there that have gone public that obviously have not announced a deal yet so you can lock in a return with at least the optionality that there's something that the market briefly likes, or hates, and redeems enormous amounts of it there's the cnbc spac 50 one of then announced the deal, that looks horrible, just horrible to your point, another 9% this month. that's after a deal has closed that's stalls terrible blackstone the grills. traeger, that's been miserable, weber is a disaster. what we need is a good new grill company. [ laughter ] >> carl, send it over to you >>> all right. guys, nasdaq is now green for the month. s&p is above the record close from december 10 you can see the major averages holding on to green. let's go to bob pisani hey, bob. >>> 4712, we're above that right now. we'll look at the sectors. we got the inflation numbers, hot, but basically in line that's good news in line is fine. we have cyclicals up today tech still holding up, and health care is a b

started with the spacs, came around to the unprofitable tech and made its way to the payment space. the cloud is the last shoe to drop hence you had a long list of names trading down 10% >> you mentioned the names but i want to pivot to the payment and fin tech when the pandemic started wefrp all going to get rid of our cash, use our cards and our fin tech apps. why are these payment apps being hurt i thought the digital spending was supposed to be sticky. why aren't they seeing the narratives they're only going to see the revenue grow and engagement grow? >> if you look at visa, master card, these are the legacy names in the payment fin tech space. one issue, fundamentals have been underwhelming w, lackluster quarters and down sided guidance, when they last reported but negatively impacted by the choppy recovery. it depends where you're located geo graphically, as we know now with omicron rearing its head, another kind of roadblock and hiccup for the group in terms of things returning to normal that can is being pushed out. so still somewhat of a lack of corporate travel return to

just for a little spac deal. the other spac deal is buzzfeed. they announced their redemptions.ember, this is something i was talking about a few months back, these incredibly high redemption rates, and the trust that they can use. 94% redemption rate, but the stock is up. enfa, that's the spac they're going through public through sometimes we do see a squeeze because there's no shares outstanding anymore, but let's keep an eye on that one as well. it's a good start there. they get the vote, even though 94% who held it said, i want out. >> the journal says the company itself raises $16 million -- >> it's not. it's 94% of what -- i have to look back at the actual number yeah, you're talking about a very, very small number with what they will raise it gets back to the ideas for these companies that are banking on using the money for growth capital, what are they going to do we've had a number who say, we'll be fine, it will be okay >> we talked about costco a moment ago, charlie munger at a conference, said a number of things, the market is crazier now, but did say he predicts cos

the spacs seeings deals, i think the number is 570 spacs seeking takeover deals a mike >> leslie, i wouldctually underperformed in m&a this year, relative to the size of the stock market, relative to how generous the credit markets are, how high the existing share prices is, and essentially the abilities of these companies to try to do these strategic moves. we did 3.5 thrill on15 years ago when the overall equity market value was one third of it, and it didn't seem like there was a lack of megadeals we're natural world of $2 trillion market cap companies, the biggest, most covered deal of the year is $30 billion. maybe that says something about this winner take most type of economy that we have, or maybe there's a regulatory chill out there. >> i think it's regulatory chill. i think there's a lot of uncertainly with regard to the pandemic and how it will impact businesses i personally expected more this year, given the holdover from 2020 where corporate boards were like heads down, let me figure out my business before i can engage in any business discussions. i remember a 66 bill yor dea

. >>> and buzz feed will raise roughly $16 million from a public funding monday after the spac it was merging with suffered a wave of withdraws in june they announced the plan to go public but since then the company has seen about 94% of its $287 million funding dry up as investors fled the deal ouch >>> now let's get to the market and your money let's talk about what the bond market may be telling us last night on fast money scott miner told us that the bond market, which remember has a negative real yield may be suggesting the american economy goes into recession in the next few years. for more on whether the new year can usher in a new leg, let's bring in thomas graft. welcome to the program i don't know if you caught that interview, if not, no worries, but scott miner saying the way we have negative real yields, he thinks the bond market is pricing in a recession in the next couple of years would you agree? >> i don't know that i would say the bond market is pricing in a recession. however, it is definitely true that real yields being negative indicate some pessimism in the bond m