thank you. >> guy, you've been a fan of xilinx for a long time mitch says it's in the stock what do you>> mitch might be right. it's a very expensive stock. it's been an expensive stock where will we be on thursday, by the way? we'll be at the cnbc stock drop. why did you mention that >> a year ago, i sat next to you and jim cramer and said someone should take zixilinx and nobody liss tones listens to me and we gotten t t braxton. >> you're not discovering anything new here and i'm a searle of all of them. >> coming up, look out below tesla shares down 20% this year and one better is betting the stock could plunge another 50% in the next few months and there's jim talking to the hasbro ceo catch that at the top of the hour much more "fast money" still ahead. >>> welcome back to "fast money," tesla shares barrels toward its earnings report tomorrow and traders are betting it could have some slamming the brakes dan has it at the plasma >> the stock has been atrocious over the past couple of months and it was one and a half that of calls today the options market is implying about an 8.5% m

>>> welcome back shares of xilinx sinking seema mody has the details >> shares of xilinx are tradingpbeat guidance for the next quarter. why is the stock down? it's a stock that's up about 64% so far this year so one could surmise perhaps the street was expecting a bigger surprise to the up side when it comes to earnings. the stock is down about 12%. in addition to reporting earnings, the company did announce the acquisition of solar flare, a networking technology company it did become a strategic investor in this company back in 2017 but xilinx acquiring solar flare for an undisclosed amount. the stock falling here in after-hours trade. >>> maybe the bar is set higher for this group with the chips trading at new highs >> the group looks overheated. xilinx up more than 10% this month and more than 60% year to date that probably explains the magnitude of the initial fall. >>> time for the cnbc news update with courtney reagan. >> president trump attending a prescription drug abuse and heroin summit in atlanta he stressed the nation's opioid epidemic is a big problem and that his admin

ziel efrpgs, t xilinx, the stock has run up 45% this year. guy, what happened >> i'll tell you what happened, they beat eps by a penny and beat revenues and margins were basically in line, but valuation got away from a stock that's gone from 88 to 138 and effectively a straight line over the last couple of months and the quarter was fine and guidance okay, not good enough, let's take profits i'm not comparing the companies, but i'm comparing the price action and we've had the stock with the huge run and the quarters to fine and they sell off the stock to a new all-time high and if you look at the qua quarter and they did everything you need to do >> you would buy the 11% decline. i want to see how it shakes out tomorrow, yes, i would be, to be honest with you. the smh semiconductor, despite the big run-up this year, a number of chip stocks are still a long way from the top. nvidia off 30% and applied materials down 22% and advanced micro off by more than 17% and for more on these chips and how to play catch up with the group. chris verrone. >

. >> why aren't their more xilinx to happen? stocks had these -- >> if you take a look at the numbers, add in facebook or microsoft, they're cutting back on cap x still high levels but still cutting back that will hit the chip stocks. that's part of the reason they're selling off today. you also have massive d rand inventories. the chips and building of inventories is not a one quarter there but much more of a two-year thing. >> is the chip trade in jeopardy today? >> i believe there is because there's a momentum trade. >> not all chips not all chips. >> it sounds like a big blanket question. >> dram, micron, western. >> maybe it is all of the stocks ramped up so much that many it has put a number of them teetering on a bit of a cliff. >> i don't disagree with that but i noept know that the number is all i think there are selective names you can absolutely still own that have been on this ride as well but you still look at the valuations and still look at their growth prospects, i think those names that exist out there. die link

xilinx will be one of the main contributors to the 5g revolution. overbought and that is what is causing some of the selloffs. 3m, a soft outlook, disappointing the street. a big track on the dow is down 11%. let's move to global macro movers for a bigger you. -- a bigger view. stronger dollar not helping turkey and argentina is having its own problems, the market taking a severe turn. the bonds are much pricier these days in argentina and as you can see, they again is a little -- the yen is a little bit of a beneficiary. guy: let's continue the conversation on these markets. we are joined by preferred wealth director of investment management joining us from zurich, switzerland. the earnings season flying at the moment. is there any signal, have you been able to pull anything out of it yet? we are always going to be get a lot of faults when it comes to the reporting season. it will change on a daily basis as big stories develop. it is looking not to be too bad a reporting season so far. about 65 different companies coming out with figures today. the

you no he what it's attractive here if you're going to own a wild trader like xilinx, you have to be able to sell the rips and buy the dips if you want to have any huge second l secular trend, you have to keep doing your home work that's why i'm trying to keep you up to date on this story and will continue to do. so we all know that 5g is the future mack in louisiana, mack? >> boo-yah from new orleans, jim. i turned 27 today. i'm a long time listener and read your book >> thank you very much >> i can't agree on this one he likes at&t. i like verizon with -- >> look. mack, i never want to contradict your dad what have to tell you is verizon has a better balance shield. let's go verizon i think that will be the safer name 5g is a big ever revolving and involved story home work is key when it comes to the themes. that's why we do it for you. much more "mad money" ahead. 3m tumbled on poor earnings. but could the company say tape together a turn around i'm crunching numbers with the ceo. and this is market settling in for a sustained rally or more instability ahead? we have to go off the

that's coming at 11:02 eastern adami, did you see xilinx yesterday? >> hammered.hough valuation was stretched. their quarter was fine, if you look at the quarter. guidance was fine. they made an acquisition, but i think the market said, at 43 times forward earnings, it's too expensive, take some profits, and that's what happened so this is not a xilinx story. >> what's happening here >> intel decided we're getting out of this 5g modem, qualcomm is crushing us, we can't compete. the market liked that. intel traded higher on the back of that, because they're going to focus on higher margin businesses then they come out with this, things are slowing down. this is on the heels of texas instruments, which in my opinion was a disaster, which comes on the heels of micron, which wasn't particularly again. then you have to wonder, if the semis topped out in the short term >> well, it sounds like a whole lot of evidence of maybe. >> i would think so. qualcomm's a different animal. qualcomm apple thing, it's a big deal for qualcomm. finally after five years, qualcomm seems t

guys have hit a lot and now they're starting to see the earnings reports from texas instruments from xilinx and now intel and here i want to dig quickly into the business segment and the ccg business and chips for pcs and $8.6 billion and that was better than expected and the dcg business so chips for servers and that was $4.9 billion and that did miss estimates and i caught up with kevin cassidy and that was the big number for this report because it is intel's most profitable business line because the business segment should have the most long-term potential growth and it looks to him like the big cloud companies aren't spending as they require additional capacity. the guidance here is also disappointing and finally, i just want to bring up today headlines and intel ceo bob swan and intel did exit the 5g smartphone modem business and intel's ceo is saying that they did decide to exit that business because of that apple-qualcomm deal that intel could not see a path to profit on those 5g modems after cook and mollenkopf reached that deal that intel is exploring what to do with that i.t. and

where valuations are for the chip sector, what we witnessed yesterday morning with the performance of xilinx down over 15% that if you're managing a portfolio and you rightly should have exposure to technology right now, you want to look at high beta technology, look at the component of technology where you can endure significant volatility and that takes you to the chip sector so, if you've got a trade on like i did from early january below 100, now the smm is approaching 120, it's easy to take that off, as i said, if you've got that overweight to technology there are names in this space that are trading down that are highly volatile. i don't know if you want that exposure but i don't think it signals anything fundamentally here that cautions you on the second half for the chips base >> on the way up to record highs which is just a few days ago, people were saying this is the most cyclical sector, this is great news when it comes to the global economy for technology and here on the way down, oh no. >> scott's not here today, so let me just -- >> you want to -- >> jim, you own intel. what do

it's up 30% on the year and some of the stuff that we heard out of texas instruments and intel and xilinxhis week and their guidance should give you pause as far as apple's rally year to date and why it could consolidate there's a scenario that if it's just good enough the stock doesn't rally and the stock could go down materially so to me, the way i think about this is it's up 30% year to date and there's obviously a lot of questions about new products as we head into the summer and into the fall, i think it makes sense to color your stock if they're down and the extreme movement to the down side worries you more than the extreme movement to the down side so the collar is the position to the long stock and you would sell an out of the money call and an out of the money put and you're creating a scenario that you can participate and you have losses to the down side with the put strike and you're protected below that i would look out to my expiration when the stock was trading at 204 today versus 100 shares of apple and you can sell 212.50 call and use the proceeds to buy the may 192.50 pu

xilinx was a great excuse to sell the semiconductors. they were under pressure all day. a leadership group. and of course ups really falls apart. transports come down three cyclical groups. yet the overall market kind of pulls itself together and regains its footing because the big tech stocks managed to remain sturdy. >> stephanie, just the 3m story and some of the other names in that space derailed the outlook for the kind of uptick we've had in recent earnings reports for the macro outlook. >> the industrials were really mixed today. at best. i'm kind of being kind but i really do think out of all the names like itw, free wort, roper, rockwell, 3m was a big company's misexecution this is the third quarter for the new ceo and every single quarter there's been an issue of some kind. i know they had a lot of auto, i know they have a lot of electronics and those are two end markets that are not favorable at this point but there are other parts of this company that should be doing better namely health care. >> health care is flat i think >> and it should have been better a

xilinx also had a disappointing quarter.t we are looking at here is a year today chart of the shanghai composite invite, and yellow the s&p 500, and purple the dax, and the emerging-market index. be interesting to see what the next session does bring. we may have a bit of a choppy trading week ahead, or next couple of weeks. something to keep in mind from a global dynamic flow. vonnie: thank you for that. still ahead, u.s. gdp numbers were a blowout. was it really as good as all that? we were looking to the details in the moment. this is bloomberg -- we will look into the details in a moment. this is bloomberg. ♪ ♪ vonnie: live from new york, i'm vonnie quinn. guy: in london, i'm guy johnson. this is "bloomberg markets." vonnie: it's time now for our etf friday moment. hedge fund usage of etf's is on the rise. q2 tell us more is james cyprus -- here to tell us more is james cyprus. what do we mean when we say it is on the rise? james: you have to look at gross positioning. typically we look at longs, but etf's are actually n

now we have heard from intel, and xilinx we also heard from today had its worst day since , 2000.ext week we will also hear from the legs of qualcomm, the largest holding in the index. intel is the fifth-largest. we will have to see if there's a straw that breaks the camel's back if we hear too many warnings. brad: more earnings i want to ask you about. tesla reported, and wedbush, one analyst called it one of the top debacles of his career. is that overstating things a little bit? sarah: i don't know if he is overstating. he is probably the most dramatic on the street with his statement out, however you look at wall street analysts and they are not happy right now. when you look at tesla results, you have a record drop in deliveries, and one of their largest debt payments they had to pay down. that puts cash balance and free cash flow at the lowest in three years, which is an issue for tesla. they have had such an issue becoming profitable, and elon musk keeps saying they will reach profitability eventually. but seeing numbers like these, it makes you wonder how long it will actu

couple of years i think the purer players are more straightforward, verizon, has a play so i think xilinxnd verizon are two ways to play it, in addition to clown castle. >> verizon took off with rates last year. the big tell come companies paying huge dividends and really acting as a telecom utility. i like verizon better than at&t because i'm not sold on the content play that at&t is making verizon is a little more focussed on the equipment and network improvements so i think they're taking less risk in an area where companies have not done particularly well. i'm staying on vz, i think it continues to work and rates stay low so it works on multiple levels >> thank you all good discussion there. >>> let's get to the news outside of money and business with the headlines sue? >> great to see you, brian along the lines of what you were just talking about, the federal communications commission now says that it will hold the largest spectrum auction in u.s. history to bolster 5g service. it will also spend $20 billion for rural internet fcc's chairman said he hopes to start the auction in dece

playing off i'm going to -- i'm going to -- to give these two -- one will go to everest and one to xilinxknown as bob marley and he will eat the bag and leave the treats but everest knows to eat what is in side. smuckers still seeing some softness in its own big heart pet food business and i'm less confident on the management abilities here to execute as well so here is the bottom line a few months ago it felt like the whole package food industry was toxic. but then most of the names have started to rebound general mill and smucker leading the way. as much as i hate to chase, i think general mill is too cheap and too good to ignore and smuckers, let's say it is not far behind i think we should start -- take some calls i think we should go to tom in michigan tom? >> caller: boo-yah, cramer, thank you for taking my call. >> my pleasure. >> caller: i want to mention i'm action alert plus member so i appreciate everything you do for us over here. >> you're so great the club -- we had a call next week that will rock your socks off on friday. how can i help >> caller: perfect so i'm looking at

disappointments from intel and xilinx >> what we had is that big v shape.ristmas eve, with that 20% sale on stocks, which no one wanted to buy and now we're back you know, basically at the high that we had beforehand the tech stocks took a bigger v than the more conservative stocks, which is pretty normal following on what mike had said, a lot of these stocks, like intel, they had rallied a lot beforehand you often see that if there's that anticipation rally in the couple weeks beforehand, boy, if they're going to miss they're going to back off but it appears the mix, the money is still flowing toward equities. there's no threat i think to this bull market certainly, as you can see on the near term >> this week's been busy for earnings look at what we can expect next week, the big ones to watch after the bell here on this show will be alphabet and apple the impact this can have on the markets. has the bar been set higher by the results from facebook and twitter and some of these other names that depends on advertising like an alphabet >> i think just becaus

from payments giant paypal to xilinx which makes silicon chips to facebook and tesla, when it comes to the calls fleshing out the reports, the big question is will ceo mark zuckerberg be in the cross-hairs or cheered by analysts and will chief operating officer sheryl sandberg be on the earnings call. as we await that, the powerful performance the markets gave yesterday helped clock record highs as we said for the s&p and nasdaq. to be sure, it's driven by impressive earnings. s&p earnings were expected to show an ugly contraction of 2.4% this quarter, but we're not really seeing that. so where are all the fear factors like brexit and the u.s./china trade dispute? to the floor show traders. teddy, start with you. fear factors, are they gone with the wind? >> they are all out there, liz. as we know, markets like to climb the proverbial wall of worry. there are folks out there that are always going to tell us the glass is half empty for whatever reason, but the stock market never lies, and the market is basically telling us i think that the lines of least resistance continue to be up, no

also really matter manning using lashley xilinx jim bambi and if i knew. there was a clue what the bins are and opens it with a set of three. i married him a bit of a lie when i don't care. i want my good. speech a lot more. so in. the lungs or pull. out you know what will not come along and won't do our bundle even less are frequently used. to coming up to the food unless either through cover ok. or one too long like alice i must. get a bank run. in the market like. you could. put on. a mandela. activities was like killers and in our psyche but there. is a corner. between our grievances and i wonder. if we had an avatar. week or in the. past you know they're coming on and reading us the national and our. eternal paper now winds are shining i. recently saw engineers entering out the no enjoy. these jets along and they may able. and those that don't want fish. now that's why you have a motel in daytona so now there was recently. you called out yes there is a jail cell in the isle to fill in only when you look at i want. longer was an exceptional seven year

charles: keith, this earnings season i got crushed in irobot and told my subscribers sell xilinx intohe close, down 20 points. so i'm breathing a sigh of relief. earnings season is the most difficult time for investors. do you have any rules, i'm up 20% before the company reports, do you take it before the earnings or you sort of brace for the news? >> well respectfully i would push back a little bit. why do you want to make that decision. if you put in trailing stop, let the markets make that decision for you, charles. if they go up higher, you know what? you raise the stops, you capture more profits. if they reverse you go lower, you're out, collect your profits think about when you get back in. my advice do exact same things you're doing ahead of earnings as you're doing rest of the time. mind that risk all the time. not when it is convenient. charles: keith fitz, you're the man, buddy, appreciate it. >>> elizabeth warren trying to gain traction on the student debt plans, the new analysis, findings may actually backfire on her, especially when voters find out who will benefit the m

intel, we talked about that before, 3m and xilinx.ks, that is down today on that intel news. back to you. liz: gerri willis, thank you very much. it has been more than a year the president slapped big tariffs on incoming steel and aluminum. that was supposed to help steel companies here in the u.s. but u.s. steel, hitting a 52 week low today. here you have it at the moment intraday. we're above the worst lows of the session, but still at $15.65. this is a stock that had been much higher before the tariffs. however, today's "countdown" closer, an investment professor, says now it is time to buy u.s. steel. todd bubba horowitz with his theory on this. okay, buy low. that is what i see here. tough flesh this out for us. >> buy low, sell high. liz, great to be with you again. bottom line we'll have, they will build the wall, use a lot of steel. these companies are going to come back to be needed again. you're just looking at basically, in certain companies they throw the baby out with the bath water. this is one of them. u.s. steel's abou

and they'll read ahead and this will absolutely impact and the reality is whether it's micron or xilinx and amd and nvidia and they have categories and verticals where they get their money from and their revenue streams and i think there is a great opportunity across the board there, whether it be an amd and you have these different aspects where it can go, big data. i think intel is still my favorite because it might not be the most sexy of all these names, but it still has a great, new ceo and the cfo that they just hired away from qualcomm will be huge from the company. >> bob pisani had a very interesting chart that he put up >> as he does. >> the composite with the semiconductor etf moving in lockstep if you don't believe in china, guy adami. >> no, no, no. they're throwing money at this sucker to our earlier guest, chris varron said this was the beginning and he might be right. if you look at a stock that seems to have its legs under it at 13 times earnings and qorvo is interesting and upgraded to goldman sachs and key bank upgraded it as well and that's the stock that valuation m

we saw that last week with xilinx and 3m to the downside, and facebook and microsoft offsetting that. inhave seen correlations past earnings seasons. 3m's ceo will speak to in an exclusive interview later this hour. lisa: that may exist to our third topic. one people are relying -- one thing that is certain is people are relying on rates staying low. meeting.al reserve is i have to wonder how much the fed's view is being colored by political pressure from president trump. certainly a big ruckus right now going on over the nominee to the whoboard, stephen moore, had some unsavory comments about women come out. marty: he has some issues with senators with lukewarm support. donald trump has made clear he think that interest rates should stay low. he think's quantitative easing should be brought back. very few people think that. the economy is chugging along, and the fed does not want to be seen as partisan, but it is very difficult to block out what is coming from the white house day after day, even though they maintain their independence. david: if it has an influence, it is not the one

. >> it trailed the group, it has trailed the group and you -- xilinx was weak.the sector looks like after this. it may be more intel specific. we'll talk to mr. swan about it when we get to speak to him a short time from now. they are refocusing as they say on 5g. remember that announcement right after qualcomm and apple declared peace, intel said, yeah, we're not going to make the chips anymore for the smartphones as well. they are making them for the iot and areas like that. not the same. >> wanted to hit ford quickly. check out this big bounce in the shares up 10%. actually taking general motors up and the whole auto group is one of the best individual sectors in the s&p 500 now just better results. and real signs that the restructuring plan that has been put in place is starting to work we had the cfo on closing bell last night, bob shanks, talked about china, this was a big focus for investors. the losses in china, while still losses, is -- are narrowing. the automaker has a loss of $128 million in china, $22 million improvement. here is what shank said abo

here's a look at some of the top s&p 500 performers since the last time we were at a record high xilinx, chipotle, twitter all making the list. stay with us as we approach the close on this record day on wall street internet that puts you in charge. alright boys, time to eat. that handles anything. [ crowd cheering ] that protects what's important. and reaches everywhere. this is beyond wifi. this is xfi. today, life-changing technology from abbott is helping hunt them down at their source. because the faster we can identify new viruses, the faster we can get to stopping them. the most personal technology, is technology with the power to change your life. life. to the fullest. >>> welcome back to "closing bell." could be a historic close if we close around these levels, which would be the first record high close for 2019 for the s&p 500 here's a look at what is taking us there in terms of the sectors that are working today and you've got a mix of health care is by far the outperformer. that's been a lagging sector so far this year. you've also got strength pretty much everywhere in tech

xerox, chipotle, and xilinx.art to the year including the first quarter but particularly decent start. >> joining our "closing bell" exchange norma mahajen from allianz global investors and rick santelli from the cme in chicago. mona, how would you describe sentiment now that we've had this tremendous comeback in the first quarter? >> clearly we're now up about 20% since the december 24th lows a lot of people were hoping for hoping for some signs that china would stabilize, some signs that perhaps the u.s. could decouple from the global growth slowdown picture. and actually we've seen a little bit of both of that just this morning. we got the china pmi numbers above expectations u.s. pmi numbers looking pretty solid. i think that sets us up pretty well for this story to continue. obviously one data point does not make a trend, so we're still watchful just like the fed we're very data dependent at this point >> is the market ignoring retail sales data today >> the retail sales data was tricky we were below expecta