a tale of two spacs.ontroversial method of taking companies to market and the fallout for investors as a new pair of public debuts goes in opposite directions. hexcng wl r. "t ehae"ilbeight back. i was diagnosed with afib. the first inkling that something was wrong was i started to notice that i couldn't do things without losing my breath. i couldn't make it through the airport, and every like 20 or 30 yards i had to sit down and get my breath. every physical exertion seemed to exhaust me. and finally, i went to the hospital where i was diagnosed with afib. when i first noticed symptoms, which kept coming and going, i should have gone to the doctor and told them what was happening. instead, i tried to let it pass. if you experience irregular heartbeat, heart racing, chest pain, shortness of breath, fatigue, or light-headedness, you should talk to your doctor. afib increases the risk of stroke about 5 times i want my experience to help others understand the symptoms of atrial fibrillation. when it comes to

. >>> here's a question, why won't spacs die?the question many investors are asking after these dismal returns and plummeting stock prices. we'll discuss athewee ckn o.th wn 'r nice footwork. man, you're lucky, watching live sports never used to be this easy. now you can stream all your games like it's nothing. yes! [ cheers ] yeah! woho! running up and down that field looks tough. it's a pitch. get way more into what you're into when you stream on the xfinity 10g network. i may be known for my legendary football career, but truth is, i love a bunch of sports. the only trouble is knowing where to find them. that's why i got xfinity. so, i can easily find and watch whatever sport i'm into all in one place without missing a thing. even if it's football, australian football, or football football. in a word—it's fitz-credible. i got to trademark that one. this season, eligible xfinity rewards members can get up to $100 off nfl sunday ticket from youtube. sign up for xfinity rewards now. >>> we all remember the 2021 spac boom and the

just one more time as a cautionary tale with the spacs, up until last week 142 spacs were liquidatedge with. all of the year before it was 144. do you regret at all using this method of raising money in are there any alternatives? because when you do this, you invite the public to participate. i don't know how many regular retail investors may have bought the stock or got caught up in this, but it's extraordinarily risky. people lost billions of dollars on these spacs in the last couple years. >> think that our spac was very different because the capital was entirely committed by the two institutional investors. so very different from those spacs that took money from retail investors. and the reason we persisted with the spac rather than going through private financing is that we had the capital commitment from two very large institutional investors at a valuation that was 20221. and so we feel -- 2021. we feel pretty good we're going to be in a position do -- to come out of this in a much stronger way and build a multigenerational company. charles: go back to the infamous zoom video

we saw it happen with the terrible ipos, the ridiculous spac deals in '20, and '21, and we're seeing spac deal yesterday, one of the special purpose acquisition vehicles merged with vinfast auto, and immediately, 255% in response. now, this money losing car company has been plagued by all sorts of manufacturing problems. as of last night's close, it was valued at $85 billion, which made it larger than ford, gm or mercedes-benz. why it did pull back 19%, it was stupid to buy yesterday, it's got an insane valuation, it ain't done i'll say this about vinfast auto, it does exist, and it actually makes something it makes cars. lots of them you can order five different kinds of electric cars on their cool web site. that's better than most companies in the electric vehicle cohort, which is not saying much because on the whole this has been a pretty disgraceful group. so vinfast is a legitimate company but everything else about it, the equity you see is from a merger with a blank check spac, mean it became public without the s.e.c. blessings and those are almost always losers vinfast skipped

any regrets about going public through a spac? it is interesting, because it is definitely not the most positive of market times. but i love the process. like, being public, the process of going public is a lot of work. and so, when we decided about, or at least looked at opportunities to go public, like, one of the big considerations for me was, how much time was it going to take for me? i am very much focused -- i am very much of a ceo that, like, i like to operate hand i like to be in the weeds, like, how are we executing? i wanted to make sure i was minimizing time, like, how much time is it going to take for the whole process? the spac process is incredibly efficient. i got incredibly lucky with richard branson. he is a very high-quality investor. he has an incredibly educated team. he has actually invested in health care before. he has run benefits companies, he has had a care company in the u.k. so, he knows the space and he was specifically looking at health care in the consumer space. so, i am happy that the process was s

an impressive debut after the spac transaction closed. vinfast had told bloomberg that the purpose of going public via spac was not to raise funds. madame toy was this just a marketing exercise to get vinfast's name out there? i thank you. we have been working on the us listing for like two years and we're very happy that we we made it today. we vinfast has become a publicly listed company in in the us. it's not just a it's not a marketing, it's just a milestone that we want to achieve as our path to becoming a global company. madame toy i've covered many electric vehicle makers that have gone public via spac. i won't list them, but not many of them have been successful thus far. do you need to raise more capital? are you speaking with sovereign wealth funds as an example? all to raise capital to grow quickly here in the united states? i mean, one thing you should notice that we are very different from a lot of companies that have gone public by way of spac. we already have a line up of vehicles. we have seven models of evs that we have a

one, better.com was a spac and investors have wised up to its structure. two, the mortgage rates are at its highest levels in two decades. not a good time for mortgage origination companies. gig economy may be in less precarious positions but we'll soon see if it's a bullish one. it's starting to feel like 2021 again, guys. we'll see if those valuations follow suit. >> watching uber in light of that, down 2% today. thank you, deirdre bosa. >>> as fed chair powell maintains his hawkish stance, we'll talk to mester about it. your shipping manager left to “find themself.” leaving you lost. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire from big cities, to small towns, m and on main streets acrossn. the us, you'll find pnc bank. helping businesses both large and small, communities and the people who live and work there grow and thrive. we're proud to call these places home too. they're where we put down roots, and where together, we work to help mov

the spac process is incredibly efficient.richard branson he is a high quality investor. he has invested in health care before. he has run benefits companies and had a care company in the u.k. he knows this space and he was specifically looking at health care in the consumer space. so, i am happy that the process was smooth and we ended up in a really successful situation. david: many tech companies have seen their prices go down. so, you have as well, i assume. anne: we have as well. david: so, does that bother you and you say, we will come back, or what is your view generally on the future of tech companies in terms of the valuations they once had? anne: i think coming from wall street has given me a good perspective on this. you know, wall street is not always reflective of true value, and i can also say that there is, like, no shortage of opportunities that people have missed. where there is a diamond in the rough, where i could look at the early days of google, or i can look at the early days of amazon, where people did n

now that's more than double the $10 per share agreed with vinfast�*s spac partner black spade acquisitionhe session, ending at more than $37. the merger with the special purpose acquisition company gave vinfast a listing in the us market, where it's hoping to take on industry leader tesla with a $4 billion factory currently under construction in north carolina. totals are totals a re pa rt totals are part of a really important ecosystem. they are the natural fresh winds of the ocean. doing their bit to support sea turtles in the caribbean. the turtles are been affected by plastic.— affected by plastic. team one is netting _ affected by plastic. team one is netting the _ affected by plastic. team one is netting the turtles, - affected by plastic. team one is netting the turtles, team i is netting the turtles, team two is transporting the totals from the waters to the beach and team number three is conducting medical checks on the turtles. 50 sailors volunteered to help they volunteered to clear dangerous plastic waste hms dauntless, which is based in portsmouth, is deployed to the region t

now that's more than double the $10 per share agreed with vinfast�*s spac partner black spade acquisitiond further during the session, ending at more than $37. the merger with the special purpose acquisition company gave vinfast a listing in the us market, where it's hoping to take on industry leader tesla with a $4 billion factory currently under construction in north carolina. well, a year ago today, president biden signed into law america's first serious attempt to tackle the climate crisis. a year ago today, president biden signed into law america's first serious attempt to tackle the climate crisis. but the move has ruffled feathers as it includes protectionist measures that might hurt europe's green industry. the bbc�*s michelle fleury has more. the name inflation reduction act is confusing, since most experts agree it has done little to lower inflationary pressures . so why is it called that? well, let's just say it fit the politics of the day. when it was signed into law a year ago today, prices were rising at their fastest pace in a0 years. but if it doesn't bring down inflation,

those unicorns were then swallowed up in 2020 by by these special purpose acquisition companies or spacs. one of the most glorious speculative episodes, financial history i a comment early a few months ago by the so-called spac king chamath. happy tier who said the mathematical truth of higher interest rates is that it renders your valueless, but that perhaps didn't really have much value to start with. interest is. the the price of leverage or the price of anxiety as the 18th century philosopher ferdinand galliani put it. what we would call the price risk without interest, leverage climbs to the sky and risk taking proliferates. john bull can stand things, but he cannot stand percent, wrote walter badgett, the the great victorian financial journalist and modern research confirms that when interest rates fall to abnormally low levels, investors take on more risk interest as a reward, abstinence and inducement to save. not only do we save more when rates are higher, but savers higher returns. the low rates of recent years have created a permanent pensions crisis and led the uk pension fun

these include climate change disclosure for all businesses, spacs, tighten the noose on spacs, marketture, four rules for market structure, conflict of interest from securitization. congressional review act, under pressure to complete the agenda by late april. >> the question i have, who does he work for? there's documentation that he met with klaus schwab at the world economic forum last year to talk about implementing climate change policies. the main point of the s.e.c. is to protect investors. i don't know how climate disclosures and esg scores are going to protect investors. in fact, it's just going to make things more expensive for companies which is going to reduce profits which will probably lead to lower stock market returns. and when you look at the whole esg scoring system, it's so arbitrary. al gore who runs an esg climate change fund more than $30 billion, there were over 20 companies in there that increased greenhouse emissions over the course of the last few years. that's not very climate change to me. then you have tesla. tesla had an esg score out of 100 of 37. philli

. >> reminded me of getty which is a spac getty reported a number -- remember they had what you saidable takeover bid? >> yes that was some time ago, yes. i did question that. >> they reported a number -- they indicated it may be ill-advised to try to buy the company. >> speaking of questionable takeover bids, yesterday we got this bid from ez mark for u.s. steel. >> for lorenzo >> no for u.s. steel ez mark announced this all-cash offer. wanting to buy the company for $35 for cash and stock no advisers, no financing listed they mentioned an exchange offer but they say it's an all-cash bid. it's weird. >> who are they? >> they're a private company, privately held investment firm they've done real business i don't want to in any way say they're not. they owned wheeling pittsburgh steel. >> really? >> i think they do about $500 million in revenue i can't quite figure out why if you were going to be a part of the u.s. steel process, you didn't just submit your bid as part of that process, that you put a press release out. if you're going to be taken seriously in any way, you've got to de

me end by just pointing to a part of the listings market that is not doing very well, and that is spacsed out against the odds and essentially crashed 90% yesterday. i don't know we are certain these are going to go off well. so there's that to bring into it. but it will be important. these are obviously different businesses in different industries. but all of it taken together, it's caution. i don't know that it's a slam dunk. >> no, that's true. and better.com is in the worst possible part of the economy right now, in the mortgage business. >> why did they go out? >> we had the ceo on "squawk box" yesterday. i think it was just if the windows cracked open enough they're going to walk through it. i guess dan the quick final comment on all of that would be yep, it's a bad taste in everyone's mouth from spacs. as bob pisani said maybe we need to price things a little conservatively to make sure we don't have some high-profile blowups out the door here. >> i think that's door. one thing that's notable about instacart, they've been wanting to go public for two years now, and they don't hav

you are a spac survivor. you're one of the survivors is and doing pretty darn can well. increase up about 18. you just mentioned mental health, so you've got celebrity kristin bell. what has she done by being so honest and coming out and and attach thing herself to your company -- attaching herself to your company? what about people who say how can you effectively diagnose certain mental health issues and prescribe drugs without really having an extended session with them in person? >> you know, this is one of the beggest problems in -- biggest problems in our country right now. a report came out just a couple days ago that half of the country face a mental health issue in their lifetime. this affects all of us especially coming out of the pandemic, especially with tough recessionary times. and so kristin bell and our mental health platform is all about normalizing the fact that struggling with depression, anxiety, panic attacks, these things are very common, and they're treatable. so at hers and at hims you

you were very vocal about your reservation -- reservations about spacs.ecause the economics, when you look at the actual numbers, suggested they had no business being a public company. in that instance the, you gave me as someone who's an investor the opportunity to to say, you know what? buyer beware, that that old add imagine, invest in what you know, is not always the right investment decision. we've seen that with other well known names, not just wework, where we the retail investors feel like we understand the business. that isn't the way to put your money to work. i think, charles, what this comes back down to is we've got to remember that in any system that's not necessarily silicon valley in the public market, there are different incentives. and this is where i say the lesson learned for the retail investors is to do your own homework with. if you know x there are some ip o tos you and i are going to talk about, if you know that an investor in silicon valley or private equity invested in a business x and it is going public at 3x or 4x, do your hom

it's a spac. saw with that first stock and apple and the mystery of their relaunch that we are going to see. you wonder how the ipad and personal computers like hp fit into the future. kailey: that's a good question relative to mac and what the upgrade cycle will look like on some thing like an iphone. tom: going to oil. we have ignored this story. it had to do with jackson hole and monetary theory and all that. angie joins us. u.s. energy leader at kpmg. they have a franchise in houston looking at the market. the view from 60,000 feet, angie , what is the thing we most misunderstand about oil in america? angie: i think the thing that people most misunderstand is just how many factors go into predicting the ultimate will processes -- ultimate oil processes clears the outlook in the u.s., china, political crisis, hurricanes in the gulf of mexico. there are so many things that go into the price of oil that, especially in today's market, where there's a tight gap between supply and demand, any inject

this was one of those companies that went pilot -- public via spac., but they burn through it and they need to get that cadence up because if this will ever be a reasonably profitable business, you need high-volume launch. matt: spacex, a different cup and he that has not gone public, they continue to raise money and higher valuations. ed: we broke that story about six weeks ago that they are raising through a secondary offering inside liquidity but $150 billion valuation keeps going up. spacex is space tourism ambitions, not quite the same. they are like a carrier for other companies that want to be the travel agent to space. they are doing completely different tech, vertical takeoff, old-fashioned rockets. they reached an altitude of 364 miles above the earth with the crew of civilians. again, virgin galactic is 50 miles. let's not debate it, look at the pictures of virgin galactic. the tourists who have longer hair than you or i, their hair was floating in space. i think that's the threshold of you are in space or not. matt: that must've been aweso

since completing the spac to list on the nasdaq, it is up 200%.t is now the third most valuable automaker in the world behind tlandes a toyota of. vinfast. get to know it. more "worldwide exchange" after this. >>> it is 5:30 a.m. in the new york city area. there is more ahead on "worldwide exchange." here's what's on deck. investors continue to digest the impact of the fed committed to higher for longer. >>> the white house expected to announce the first drawback with prices and medicare costs. we look at the possible stocks at the center of it all. >>> it is not just pharma, but washington looking at the banking sector proposing new rules today. it is tuesday, august 29th, 2023. you are watching "worldwide exchange" here on cnbc. >>> welcome back to "worldwide exchange." i'm frank holland. let's start the trading day with the check on stock futures. you can see flat to lower right now. the dow would open 3 points lower. s&p and nasdaq fractionally lower. we see a bit of movement in the bond market. the 10-year treasury at 4.20. down a few points

it is happening via spac merger.s been a long and bumpy road the merger was announced in 2021 it was delayed after what was a zoom call which we will talk about that where 900 employees were laid off over zoom which created a lot of hysteria online the company has since laid off more bringing the work force down to 9% of the body count back in 2021 when the deal happened executives have resigned and s.e.c. opened and closed an investigation and foremer employees have come out against the culture. the company hits the public market and kexpecting a new envi infusion of softbank cash. we have vishal garg with us. >> thank you for having me >> let's walk there this for better or worse, a bunch of people met you when you said good-bye to people working at the company. if you take us back to that as a way because for our viewers who are just getting introduced to the company, they knew it from that moment. what was that moment like and what did you think would happen to the company after that? >> it was a really tough mom

capital infusion from delta here looking. >> you know, if you want a wheels-up -- >> it's another spaceme stock. >> some high-quality spac'ing going on there >> you know what's one that i believe in i believe in blade, and nobody else does. >> well -- >> because they did the organ business they're not just -- not just your helicopter, my helicopter >> are we going to stay in the sub-$300 million mega cap range all share? >> blade is back on maps right >> let's just go back to the team what i'm saying is why we might be stuck is it's wework, it's blade, it's wheels up. there's, like, not much to really talk about. >> oh, come on >> i'm waiting for disney. disney's big take two is big. >> carvana raising -- >> by the way, there's another company that people thought -- they never said we were anywhere near insolvent, but there was this concern and man, what a great performer that's been. >> i had -- i had carvana on, like, three weeks ago. and in the interim, they said their ebitda was doubled now, you mentioned the manheim index and that plus the fact that you're getting lots of differen

owns about 99% of this company so when you look at the company going public through a spec deal --spacl -- more than 80% of those investors redeem their share so there is a low number of shares outside trading so that is why people are buying the shares and we are seeing millions of shares traded, you see massive spikes to the downside and when i talked to my context for short that short-sellers, they are saying they want to sell it but they cannot get a borrower because it is so illiquid. they have vehicles they -- that are out there and they probably have not had the best reviews relative to others and they have had issues with cost for expansion for some of those deliveries. not the best reviewed companies but when you go on their website, you can order their vf 9 starting at 83 grand so i don't know if that is next for the miller household. matt: that is a little bit pricey. i look at ford and gm together and they were $93 billion and vinfast is trading,? it cap? bailey: 120? matt: 106 right now. billie lourd shows covers the meme stocks for us at bloomberg and sometimes -- billy -

. -- spac of the year. the market cap that is close yesterday equivalent to about $85 billion.is not just a market cap greater than gm and ford. the market cap would have been greater than ford and rivian combined. we are talking about it on the startup. in the u.s., california is pre-was the only state that vinfast is selling its ev's into and is had a rough start. they sold about 1000 here in the u.s. almost all of them were recalled straightaway. it has been absolutely destroyed by the trade publications whose reviews of the vehicle is basically pointing out they were not manufacturing production standards. they had a lot of problems with them. the investor community seemed to have no problem buying in yesterday. one more quick part and sorry to drag on. the founder controls 99% of the shares. despite the crazy movement, i don't think there's a lot of people out there in the market in terms of shares outstanding getting rich off this. guy: ed, are these the kind of cars joe biden wants to see an american street? ed: great question. currently they are built in vietnam and imp

the spac in question was quite small in terms of dollar size.% of the company public in terms of the float. 99% is owned by its founder. and so you get these kind of moves, leslie, which are quite significant on virtually no real news, at least that we're aware of, but it might be a headline or, again, given how few shares are actually trading, available for trade, it can move very, very significantly on not a lot of volume. >> it's the supply demand we talked about. this one up 72%. you don't always see those kind of moves regardless of a float for a $65 billion market cap company and it's had such volatility since it did that de-spaccing. >> you can see the incredible volatility. i wanted to point that out. the market cap is above ford or gm. >>> "squawk on the street" coming bk teth. n'gonywhere.is rtunity 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 ownership a reality. ♪ ...and driving the world forward to a greener energy future. [appla

it's a little built of an echo effect of a lot of what went on with some of the spacs, but also with add'd merging market, secular theme, we saw what happened with tesla before they had -- all that kind of silly stuff loaded up into the first instant that it starts to trade as opposed to going up over the course of eight years or whatever with tesla. >> there is the continued discussion about the prospect of strikes at the big three. adam jonas from morgan stanley last night talking about it. saying the concern creates divergence and buying opportunity. goes through a bunch of reasons why these cycles happen. labor negotiations are part of the business cycle. bottom line, we'd be a buyer of both ford and gm right now, and during the negotiations as we believe even a difficult outcome can catalyze far bigger exchange to strategy that will yield long lasting benefits, which is not the view of many. >> no, it's not. the view of many is that this is going to further stack the deck against the big two or three, depending on how you define it in making this transition. it also is always a

they're going public via a spac today. now, as we take a live look at the markets, major market indexes are all down after a significant downgrade for the us. we'll talk about that in just a moment. live look at the dow down 232 points, more than a half of a percent. the s&p 500 down more than one full percentage point in the nasdaq, down 265 points, almost 2% there for the nasdaq, hanging on to the 14,000 level at this at this time. and a big reason for the drop the credit rating for the united states has been downgraded. fitch ratings drop. the us credit rating from its triple-a status down to double-a, plus rating. the reason fitch pointed to repeated down to the wire debt ceiling negotiations. the significance a lower credit rating over time could raise borrowing costs for the us government. the son of steve jobs is starting a venture capital company that will focus on new cancer treatments. reed jobs is investing $200 million in a spinoff company from his mother's nonprofit in palo alto, according to sfgate, reed jobs

company in particular i think, had a clear focus with regard to electric buses, also was part of the spacquidity a lot of fat companies and peripherals, i am for choice here if you have a vehicle, that offers the option of fossil fuels versus ev fantastic i don't think you are going to force this into american people's hands not able to tufrn one switch off one switch on. maria: i know there is conflict of interest jennifer granholm what is she doing on the board what is she doing holding all this stock in a company, in an industry that she is pushing? lee: does seem a very, very strong conflict of interest, you know you've got to wonder if roles reversed talking about under president trump a completely different reaction than this moment. i do think it is also fascinating to look what happened to this company they talk about economic headwinds this is a company supported by this administration, touted by this administration even saying in this economy in can't make money, even they are saying without tax breaks that come for electricity vehicles they can't make money and they are in trou

because the spac itself is very small, the contribution to capital, hence, the number of shares outstanding. i think, and that's why it basically there's no shares. >> right. >> not an accurate reflection of the fundamentals of that company. doesn't mean it won't go up just in part to the scarcity value. >> we'll watch for the impact on cpi from used cars and particularly used evs, where you're looking at outright declines year on year in the 20%, 30% range, which is feeding sort of disinflation in the used cars which is a big component of cpi, in addition to shelter. >> right, and obviously, continued focus as we always do on tesla. one has to shine a light on the chinese market, the importance of that market to the automaker. it seems every price cut is reported on quite aggressively. we always talk of course about the ability of a company to have margin far beyond that of any of its competitors. that said, it's not that it won't be a focus. you can see a bit of a bounce more recently. >> interesting, we talked to eunice about overall stress within the chinese consumer mind set. more stor

. >> he says empty retail spac in malls is perfect for the concept with high ceilings, great lightingur beloved abc dion lim has given birth to her first baby. that is why she is not here tonight. the little one was born tuesday, august 1 at 3 a.m.. that was a little earlier than they expected. here he is his name is teddy. he is healthy with a strong set of lungs. from everyone here we send our congratulations. as the new mom and dad adjust to their life together, we just love looking at these photos. >> what a sweet picture of the look on dion's face is one of such joy and love. and the baby, look at him. >> just adorable making his tv debut already. >> he's getting more camera time than me, he deserves it. he's not bringing any heat waves but i am. during the overnight hours it is not going to cooldown very much, we had a warm day today but it's going to be pretty mild to warm in most locations overnight with low temperatures in the low to mid 60's. antioch will be warmer tonight with a low temperature of 71 which is pretty uncomfortable if you don't have air conditioning. tomorrow

it's -- michael is spot on it's wiped out a next generation of people, spacs, mediums, and vinfast autos worth probably $2.60. it's at $26.82 go ahead and buy it. you'll lose money. i'm offering a guarantee very rare in this business >> that's an aggressively bearish target >> it's only one million shares out there. i mean, it was obviously designed to be a short squeeze and they did it. but i mean, this company doesn't -- go to the website they do have some good-looking cars, but i got to tell you something ho chi minh, rolling over in his grave. >> we talked about target in the opening block. >> if tjx is only up $2, and they did everything, every line item, then target should be flat tjx was just incredible. i wish david were here right now. i mean, i think he would think that tjx is, i don't know, maybe a defense company. >> yes rockets. >> rocket dyne tjx >>> the banks, jim >> went to a tjx launch recently in cape canaveral. the banks, oh, carl, the government doesn't want you in the banks. they've decided anyone who buys the banks is an idiot, and they're really pulling it off. yo

the context is he was at the helm of the spac iq that took nicola public and was involved in all of trevorcovered so closely. david welch, thank you so much. that does it for this edition of "bloomberg technology." it has been an immense week, so earnings heavy, apple, amazon, other numbers earlier in the week. a lot to recap so don't forget about our podcast, wherever you get your podcast, we publish on apple, spotify, and i heart but also the existing bloomberg platforms. the thing is, the earnings story continues into next week, so much more to refocus on, particularly in the field of ai. from san francisco, this is "bloomberg technology." ♪ my cpa told me i wouldn't qualify for the erc tax refund, so i called innovation refunds. their team of independent tax attorneys will work with your cpa to determine if your company is eligible. [whip sound] take the first step to see if your small business qualifies. when you automate sales tax with avalara, you don't have to worry about things like changing tax rates or filing returns. avalarahhh ahhh katie: from new york city, i am katie greifel

the company went public through a spac. we've talked about those in the past.hey've fallen way out of favor. proterra has about 800 employees. >>> the "washington post" this morning published an interesting study into whether it's cheaper to fill up an electric car with electricity or a gas-powered car with gas. the answer is if you're charging at home, so you can go to work and school, pick up the kids, grocery store, it's way, way cheaper to fill up an electric car, by far. the study also says it's cheaper if you're driving the family from the bay area to disneyland. the post looked at a number of cars, including the honda crv versus the tesla model y. public fast chargers are more expensive. only place you're not spending money was when you left california for a cross-country trip because chargers are much harder to find, much more expensive. $27 more expensive to drive electric on that trip than a gas-powered toyota camry. >>> these three people are going to a trip tomorrow. three civilian astronauts will ride into suborbital space. the first olympian, john

flags where maybe there are some signs of excess in frothy environments, an nft goes for $40 million, spacs are all the rage, and you go down the list, nvidia gets a $1,000 price target, the stock is up 1,000%, et cetera, and then gets the $1,000 price target. is that valid? we look back and we say, hello -- >> of course it's not, in my opinion. talking about nvidia, and i know we've already talked about it -- and i think josh makes a great point just in terms of how much the demand has been pulled forward already and how they can kind of grow into what that is, and to his point on the cost of the chips and how they can build them in inventories and all of that, listen, data centers are supposed to be up 80% quarter over quarter, gaming, china in automotive -- >> it trades at 177 times ebitda, but there are other technology and ai companies that you can own, right? >> yes. >> and i own broadcom, it trades at 21 times. customized ai chips will go to 25% next year. that's pretty good growth, they're diversified. $9 billion buyback, $18 billion in free cash flow and, again, reasonable. lam, th

the company went public through a spac. those have fallen way out of favor. proterra has about 800 employees. >>> the "washington post" published an interesting study into whether it's cheaper to fill up an electric car with electricity or a gas-powered gar with gas. if you're charging at home, it is way, way cheaper to fill up an electric car, by far. the study says it's also cheaper if you are, say, driving the family from the bay area to disneyland, you'll save money. the post compared a number of cars, including the honda crv versus the tesla model y. the savings isn't as much because the fast chargers, the public ones, on the highway are more expensive. the only place you're not saving money, the post found, is when you left california and crossed country. chargers are much harder to find and much more expensive. $27 more expensive to drive an electric chevy bolt than a toyota camry. these three people are going on a trip tomorrow. three civilian astronauts will ride on virgin galactic. the first mother/daughter pair. >> hopefully this will inspire other

despite today's losses, vin fast is still up more than 400% since it completed its spac merger, but aholdings -- pdd holdings moving higher by a 15.8% after the chinese online retailer beat estimates for second quarter revenue, attracting price-conscious customers in china especially during the chinese 6/18 shopping festival is. pdd also reports its international shopping site, temu, is continuing its rapid growth, it was the most downloaded shopping app in the u.s. in the second quarter. investors dialing up at&t and verizon after citi upgraded both companies from neutral to a buy. the investment bank believes it's a good time to go bargain hunting if the cost of cleaning up the head-wrapped cables -- led- lead-wrapped cable turns out to be less than feared. both companies has been down, verizon dropping 15%. that despite the gains today of 3% apiece for both those names. >>> all right, we're keeping a close eye on this, we are less than 24 hours away from hurricane idalia making landfall in florida. the national weather service is predicting it will reach a cat three hurricane with

we seen some smallish acquisitions, we seen spac's that have worked out, kind of a mixed bag. so the more they can work out my think that is good. what kind of buzz was that ? [laughter] karen: i would like to ask you, and i would like a team to tight end. i just attended a conference called investing in space, sponsored by the financial times in london, two weeks ago. part of it is about the hy pe,. . is there hype? one journalist used the term "zombie statistics," so where are we in be hype cycle, and how do we deal with that as an industry? jen: i can take some of that. we saw early on, and i go back click quote from josh wolf at lux capital. he said there are fobs and fomo, and a lot of investments we make our fomo, fear of missing out, but also sobs, shame of being suckered. [laughter] 800 liquidity at 0%, investors need a place to put capital, and you saw investment in high risk ventures, right? . i can say over the last year and a half, as industries have been rising, we see a different risk tolerance profile. i'm seeing different bifurcations in the market. i'm seeing

i take a walk down color photos main drag avenue liberator liberator green spac divides the avue well on both sides of the stree boutiques,afes, restaurants travel agencies, bars, grocery stores and hotels. i see throuteo 40 logo everywhere. the highway that runs the length of theountry, the south atlantic, all the way to livia. i see too many motists attempting to aversehe entire route and even some bicyclists. i long to have their courage. and my opposer for not doing something more bad -- patagonia. shld i have rented in an rv? hell, maybe even learn to ride a motorcycle. i'm honest enough to know though i'm not capable. at least not at this first leg of the trip. i signed up for four by four tour of a surroundingountain. soon, a white land rover with massive tires and a hood stack drivesp a short man rolls down from the driver's seat, hurriedly shakes my hand and, lifts me io the passenger side for no other purpose than to appear like he's operating at a fast. behind me is a japanese man and a spish couple. the driver's name is george. he begins to speak in a spanish broken by cou

the vietnamese ev maker made its debut on the nasdaq yesterday via spac, hitting the market at $22 ae still above that level at $28.70, but shares are pulling back around -- or they were down 30%. now it's just about 22%. other ev makers like nio are also lower today after tesla cut prices in china. you can see a sea of red there >>> switching gears, progressive is having its best day since march of 2020 after posting a 21% increase in net premiums over july 2022, and that's helping the stock recover from its big drop last month. shares are up almost 9%. scott? >> appreciate it, kristina, thank you. >>> last chance to weigh in on our question of the day. we asked, is this correction almost over? or just getting started? head to @cnbcclosingbell on x. we'll bring you the results just after this break >>> all right, the results of our twitter question, we asked, is this correction almost over or just getting started? the majority of you said, it's just getting started 60%. up next, your earnings set-up. cisco and wolfspeed about to hit the tape we're going to tell you what out for when

this -- after big moves in the stock, in the market debut yesterday, vinfast, which went public via a spaccid and nikola combined as it looks to compete in the increasingly crowded electric vehicle space, frank. >> big dip right now but big jump this week wow. up 125%. great to see you as always thank you. >>> coming up on "worldwide exchange," more iphone 15s reportedly hitting the assembly line we're going to tell you where. first, as we head to break, some of your top trending stories is it time to dish the remote completely traditional tv usage fell during july for first time on record as consumers continue to flock to streaming sites despite password crackdowns. >>> the rich, not so much rich anymore. global wealth is declining for the first time since all the way back in 2008 due to volatile currencies with approximately 1.7 million americans no longer identified as millionaires and nearly 20,000 more dropping out of the ultra high net worth category. >>> it may be time to rethink your next vacation the number of u.s. travelers flying to nccaun falling from last year, citing destinat

we saw it drop by double digits after its spac ipad lipo last wn now it's up by 19% do not count on that one continuing either higher or lower. it is all over the place it's a very, very thin float on that stock. >> sure, but i think the implication from the way we came into you in this story is that, you know, tesla has made no secret that they want a greater share of the chinese market, too, and that's why they've been cutting prices there like everywhere else. >> yes but so has xpeng and nio and the chinese automakers - >> you have a price war it >> absolutely. that does not seem to be ending. despite earlier in the year, tesla and the other automakers signing an agreement there would not be major moves in pricing. look, the market is what the market is, and as long as the pricing continues to be challenged by others in that market, and there are scores of them, we're not talking about smaller ev makers in that market, as long as that happens, tesla and xpeng and nio and others will have to respond. >> good stuff. appreciate it very much. >>> requisites, brin is back with us because s

>> it was a spac. >> it was a spac but i remember we covered it i interviewed adam newman. we'll talk about wework now. the shared work space company wework saying there is substantial doubt now about its ability to continue operating. the company citing continued losses, cancelled memberships to its office spaces. wework's market cap tumbled below $400 million from a high valuation of more than $47 billion back in 2019 i'm not sure the $47 billion valuation is ever real private market valuation in sort of house day when nobody really understood what was going on in the world. >> rates were 0%. >> right the question was always whether the model on to itself made any sense, which is if you're going to make long-term -- they were leasing property from other folks on the long term and then locking you in on the short term could you ever make the math of that work? plus all the debt that had gotten put on top of it. >> yeah. >> and sounds like they're struggling what was so strange -- this was such a pandemic situation, this goes back to sort of what we're talking about eli lil

that's what i did with most of the spacs and ipos in 2020 and 2021 when it felt like the whole marketan on hype and nothing else. lying about material information is what we call a crime. so sometimes you need to take what they say with a grain of salt if not a full carton of morton's ionized. but the more cynical among you might be surprised by how many straight shooters you find at the highest levels of corporate america. some of them are just plain honest. others don't want to go to prison. good call. either way, they tell the truth. and again, when we have someone on this show with the track record of being extremely candid or extremely reliable or both, i tried to point that out to you. it matters. when honest executives tell you something's going incredibly well i think you should believe them. this can be an incredibly profitable strategist. i'll give you the best example. when jensen huang of nvidia came on the show in 2022 the stock had been eviscerated for the better part of the year. everyone was giving up on tech in the face of the federal reserve's relentless rate hikes.

colleague at bloomberg intelligence put together some numbers, and the last time that they tweaked was spacou put a chart together and put that massive rally then you understand why they introduce that in the first place, in some places to discourage retail investors from coming into their house, the number here they are trying to stop over could jump 60% on the reduction of these fees. it obviously applies to varying degrees to this different brokerages, but this is a fundamental part that we should be watching very very closely. drug riches gained a limit in most cases. -- brokerages gained a limit in most cases. >> the unemployment rate rose for the first time in jump -- since july, a signal to the government. let's get our editor out of tokyo. does this move the needle for the boj? >> it's certainly a slight negative and they need the labor market to remain tight. and for that virtuous economic cycle they need inflation to be accompanied by a tight labor market. that's a prerequisite for that. back in the july meeting, the boj expected the labor market to remain tight, and it's is -- it

it tumbled 44% in new york after it had surged more than 600% since its debut via a spac listing twoks ago. the fundamentals of this company are looking weak. there is a lot of momentum chasing, retail traders piling into the stock. at the same time, it is so thinly traded. even a small trade can move the chair up and down by a lot. so there's definitely a lot of risk associated with treating this stock. david: does it go the same path as ampd digital, which went top, correct me if i am wrong, more than 30,000% and has erased almost everything since that point? john: you are right. 42,000%. there a lot of similarities between vinfast and amtd. both have very tiny public fluids. secondly, they generate a lot of interest among retail traders. but one key difference between the two firms is that while amtd is a little-known company with a convoluted shareholder structure, vinfast actually has a relatively promising business. it is supported by one of the vietnam's biggest conglomerate groups, backed by vietnam's richest guy. ev is a very hot sector and the company has a lot of plans to