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tv   The Exchange  CNBC  April 15, 2021 1:00pm-2:00pm EDT

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been talking about it for a while. it continues its breakout. >> all right josh >> nvidia. new all-time record high going higher >> all right pete >> esx i think it is going higher, buying in there. >> dow and s&p at new all-time highs once again the exchange starts right now. >> scott, thank you very much, and welcome to the exchange, everybody, i'm tyler mathisen. here's what's ahead for this next hour. follow the dollars an exclusive look at how stimulus money was spread out among marns and where many of them spent it. plus, copper, the new oil. that's what goldman sachs's jeff currie says as we move into a more ecofriendly world he will join us to explain that one. and throwing down the gauntlet, mercedes-benz goes after tesla saying its new ev sedan will beat tesla's model s we begin with record-setting
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markets as scott just mentioned. dom chu has the numbers. >> we are following all the dollars right to the record highs. the dow industrials gets a gold star, hits a record intraday high 34 had been 025 the last strayed this a gold star for the s&p 500. record highs for it, 4, 169, 1% gangs there. the gains are led by the nasdaq composite still 1% away from its own record one thing to keep an eye on from the macro side of things you have got to go back to march before you saw interest rates at the level we are seeing right now. we pulled back from the levels we saw two or three weeks ago. keep an eye on the ten-year note yield, 1.45% the last trade there. for those who look at afternoon, 175 is the 50-day average price on a rolling basis for that index move check out the ten-year treasury
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note yield coinbase day two. featured heavy will he on this program yesterday because of its debut. well off the session highs at one point at the highs yesterday it was worth roughly 11 billion on onemer of market value. weep keel an eye on that. >> kathy wood's arc invests bought $150 million of those shares yesterday and analysts have it as $500 stock? we will have more on coinbase later this hour during our rapid fire sethment. meantime the latest batch of stimulus checks sent out this week makes 159 million recipients since march who are the beneficiaries? steve liesman joins us with the latest from the ults of the cnbc all-america economic survey. take it away, steve. >> tyler, thanks an astonishing seven out of ten
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americans say they have received some form of assistance from the government over the past year during this pandemic a number that looks to have shown up in today's very strong retail sales report and could keep showing up in months ahead. in the survey, 802 americans polled around the country, 69% say they received government assistance compared with 31% who said they did not. more on the lower income spectrum there the largest source of those funds, the direct deposit from uncle sam. 9% getting unemployment benefits a smaller share reported receiving nutrition or rental assistance or small business loans. that assistance could be part of the reason the economic outlook brightened from the last quarter. 44% of the public say they think the economy will get better in the next year, up from 38% in our december survey. clearly, government agents played a critical role of
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keeping the economy awill not and prost pouring during the pandemic high savings rates, vaccinations and people getting back to work can propel spending in the months ahead. >> do we know where this money that people got went did they spend it in the save it how much of it trickled into stocks >> yeah. actually, tyler, we have good detail on that what we find is that people seem to have acted reasonably responsibly with this money. 47% say it went into housing, utilities, food. just essentials there. 36% say it went into the bank. 36% say it opioid down debt. you could answer more than one answer on this that's why it doesn't add up to 100% 10% said non-essentials, traveling or dining out. obviously use for that was limited. donations to charity, 10%. the small number, 6%, i guess it adds up given the amounts we are
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talking about but just about 6% say they put money into stock market are that stimulus money. stimulus checks are just one reason why black rock's ceo is bullish on the markets right now even if only 6% of people are putting stimulus money into stocks and bonds here's what he said earlier? i am enthusiastic, whether the money is coming from a stimulus check or coming from savings or behavior changes for savings i think it's fantastic that we are seeing more people either investing for the long term or even trading. >> joining us now, lorie, the head of u.s. equity strategy at rbc. and james mcdonald, of hercules investment welcome to both of you glad to have you with us lorie, let me start with you there is too much bullishness in the market right now in you have got the s&p and the dow at
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all-time highs yet again today >> it is a great question. we see that in all the sentiment indicators we track. institutional investors, retailers, everything is at all-time highs one exception was fascinating. we saw economic bullishness skyrocket. it was more than 90% that had gone bullish on the economy over the last six to nine months. up from 70s in december. at the same time we saw bullishness on the equities slip from 60% to 50%. as i talk to investors i don't find a lot of bears out there in my client conversations but there is concern perhaps a lot of the good news is baked in already. so it wasn't surprising we saw the optimism coming in just a little bit. >> do you see it the same way? >> clearly, the bullishness is showing up in the new y'all time highs that persist what we've seen in the past 12
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months obviously has been unprecedented. and this is the paradox in the q 4 of 2020 where, as things got really really dark for these statistics when covid, feds stepped up and reiterated their commitment to provide support i think that provided optimism about monetary policy. then when we got the vaccine that euphoria has continued through. we have seen record trends across the indexes, small caps, large caps, and including tech we have seen trends this year. we have had five major uptrends, two are 7% the one we are on right now is approaching 8% these are record rallies that came after the bull market that came after the collapse from quid we have never seen a market recovery or a correction that fast did we have a bear market? if we did it was the shortest in history. we have got to be concerned
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about valuations, concerned about momentum most of the good news pushed markets to this high we clearly have to see what good news will continue to allow this market to continue to go up without a pause or pullback. >> lorie, you seem to be a little worried about the biden tax increases and what effect they may have on stock values and the performance of corporations judging from what the s&p is saying today and the dow is saying today, it seems like investors aren't worried. >> it is interesting i have been talking about corporate taxes much more than i would care to. it's not my favorite topic but it comes up in every single client conversation that i have and really has since january i think the investors i speak with are worried about it, the impact on earnings, the reverberations on valuation. we just did an analysis. the punchline of it is i think the risks are starting to get baked in right now the margaret is not ignoring it at broader market level but it is starting to factor it in
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through rotation if you look at the stocks that benefitted the most from the trump tax cuts they have started to underperform since late february we think it is starting to get expressed. this market has been so resilient, it has been able to absorb it. >> james i saw you nodding there. let me switch to another interesting topic. whether the biden infrastructure push or something different, you see kind of a golden age for capital spending in the u.s. explain. >> right the pandemic has hastened toward on-shoring production and raising domestic capital investment by u.s. caps to possibly the highest levels since the 1980s. the expectations is these trends are going to reverse because of record low cost of capital, customer demand and policy the major and unexempted
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beneficiaries from the new plan include tech hardware, industry auto myselfation, health care and electric vehicles. we think the winners will be materials, r&d and defense they have been left out of the rally. capex boom conscious each manufacturing job creates 7.4 other jobs outside in the economy. >> thank you coming up, while crude has had a monster rally this year, up 30% an analyst from goldman sachs says copper is the new oil. after a blowout debut coinbase treading water after briefly turning negative we will look at what wall street is saying when we return after this >> announcer: "the exchange" on cnbc
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copper has hit its highest level in month and is on pace for its best week since february the commodity is expanding use in green energy technology has many analysts saying it has room to run our next guest says copper could get as high as $15,000 a metric ton and calls it the new oil jeff, it is always great to see you. i guess one of the basic questions i have is, if demand
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does what you think it is going to do as part of the new clean energy economy is there going to be enough supply there to support it >> you hit the nail on the head. whether it is the current pipeline of green field projects which are totally inadequate, the lack of maintenance capex that we are seeing right now for current production and also overall inventory is at a ten-year low there is no buffer in the system to accommodate this demand we like to say the industry is sleep walking into what looks to be an obvious increase in demand. >> how long does it take to get a new mine up andrunning and where is the supply around the world? who owns it? african countries? china? the u.s. where? >> that's the one thing about copper it's one of the commodities -- the last of the old school commodities that you dig out of
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the ground and it takes five the ten years to bring on new supply the pact that you have nothing in the pipeline today is meaningful when you think about the deficits that could arise in the second half of this decade where is this located in it is geographically narrowly distributed. primarily in places in the andes. peru, chile, and places in southern africa like the drc we call it the new oil places like chile become the new saudi arabia and the drc becomes the new venezuela. it is also very narrowly distributed. >> some of those countries are not exactly the paragons of stability. >> no. >> at all. so explain to me and to the viewers why copper is so central to the ev world, the world of greener energy, to getting to the paris climate accord
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numbers. why is it so important >> because we are going to rely upon electricity to create our transportation, heat our houses and propel industrial activities, copper is the single best conductor of electricity known to physics as well as the periodic table so if we are going to electrify the world and decarbonize that way we absolutely need copper to do it. another way to say it, copper becomes the strategically most important commodity taking over from oil and the similarities are similar to oil important to the evs as well as the overall power grid. >> let's get to the simple question here. where are prices now per ton and where do you see them trendsing in the next six to eight years. >> white now they are 9, 300
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hnds a ton a run-up in the last couple of days, thereinflation trade is back on in the commodity complex. when we think about how this plays out the real tightness is likely to happen over the next 12 to 18 months. you have the rebound in economic activity with the vaccine rollout and the post covid era you have no inventories. you can't accommodate that type of demand increase the real problems start around 2024, 2025, when we have all that green capex spending starting to accelerate in terms of thinking about the upside we see it moving into that $11,00012,000 a ton range in the next 12 to 24 months. but we see it when we start talking about point of five years out, plus, we are seeing it moving out to $15,000 the all time high in real terms was 1968 at $14,000 a ton. you know, in an environment similar to today in the sense
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that you had lbj roll out the great society. and we have the same type of spending programs going on in the current environment. >> so it is going to eclipse that record number, you would say, very quickly. maybe it's a dumb question, but are there any substitutes for copper in the uses that are going to drive demand? >> that's what makes it very different from oil i could say the setup today is similar to what oil looked like in 2002. the difference is we knew shale existed and there was gas to liquid and these alternative energy sources the only thing that i have heard of at this point are these graphite type of technologies which have never been extended outside of a laboratory. also very, very expensive. synthetic material to conduct electricity is the only substitute ott there and they are at prices much higher. you go wait, what about aluminum it works well when you are
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conducti ing electricity in the air along transmission cables. the problem is in the city underground. in terms of thinking of a copper substitution there is really nothing out there other than some of the expensive graphite-type technologies. >> jeff, thanks for the advice and the insight. see you again toon soon. coming up, mercedes-benz playing catch up had the electric vehicle space with new lineup despite being late to the game they say they are ready to take on musk. we will speak with the company's ceo about the new cars, the competition, the semiconductor shortage and consumer demand a reminder watch or listen to us live or on the go on the cnbc app we are back after this
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welcome back to the exchange, everybody. it has been a record-setting day once again for a couple of the market barometers, the industrial asks the s&p 500. the industrials were above 34,000 for such of the morning i think the peak was 34,035. now it slipped back, just four points below the 340,000 that's the first time it has been at that level ever. s&p up about 1%. so is nasdaq let's check some of the sectors. as you see behind me, eight out
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of 11 of the s&p sectors are higher the only laggards today are financials and energy. energy down about 1.2% health care the leader today with technology not far behind let's look at some of the movers this hour beginning with virgin galactic it is lower as the fo founder richard branson sold $150 million of the company's stock over the past three days shares of rite aid are lower despite a beat on the top and bottom line. management continuing to flag pressures from a softer cold and flu season at least something went right. and take look at some of the payment and payroll-related stocks they are holding up well today with global payments hitting an all-time high higher by more than 2%. finally a check on today's ipo, the mobile app company app loving, falling in its debut opening at $70 in the last hour
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after pricing at $80 app loving now at 67.67. rahel solomon has a news update for us >> ncaa has hit usc men's basketball program with a two year probation over ethics violations by a former assistant who accepted bribds to steer management to business ompany. the president is expected to give remarks on russia after thest announced expanded russian sanctions for all those responsible for the solar winds hacks. guilty more on the news with shepard smith tonight. a rare late frost has hit 80% of vineyards in top producing areas in french wine countries. in britain, prince william and prince harry will not walk side
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by hide as they walk into the church ahead of prince philip's funeral on sunday. the move is to minimize awkward moments between the brothers since harry's decision to step away from royal duties. >> there will be a lot of people watching the funeral and watching the body language. coinbase experiences technical issues in its second day of trading and vaccine passport pushback. and netflix is going teach users how to sleep all of that in today's rapid fire now it is time for show and tell we show a chart. then tell the story. today's chart is pepsi slightly higher on beating on the top and bottom line. here's the ceo on rising costs and how they are able to manage them >> we actually did a fair amount of forward buying on our commodities. so we are relatively better insulated compared to most of
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our peer group in that regard. we tend buy forward at about nine month clip. there is currently a bit of cost pressure in the p&l. but we put pricing in place. so i think we are well positioned to handle that as we manage through the lexus is. all in on the sports sedan. lease the 2021 is 300 for $369 a month for 36 months. experience amazing at your lexus dealer.
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let's catch you up on a few stories that somehow, maybe they are already on your radar screen it's time for rapid fire thank you for joining us first topic, shares of coinbase on a bit of a roller coaster today. really just like coinbase -- bitcoin itself, perhaps because of some reported technical issues but it is higher again after its debut yesterday. hit a valuation of $100 billion yesterday. but it is well off that level now. the coverage initiations started. btig putting a buy rating and a $500 price on shares saying it is the gold standard and should be the biggest winner from the bitcoin womb deirdre, what's your reaction to
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how coinbase is trading, how it came out yesterday, and what people are saying about it now. >> my reaction is that it doesn't matter all that much because this is certainly one story that is all about the long term i mean i'm glad to hear analysts switch up their language a little bit, the gold standard of crypto exchanges i have also heard from many people about it being the google of crypto. that remains to be seen. but the marquee moment of seeing a crypto company go public is about its use cases in the future, about blockchain, about decentralized financials it is not necessarily about where bitcoin or coinbase itself is trading today. >> i think you hit an important point there, that is that blockchain is really the nub of this whole thing and whether it's bitcoin or some other thing or nfts. jason represent thor sent me note the other day, dom, about bitcoin. and he said, the threat to bitcoin is regulatory.
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specifically, that governments don't like it. they don't like the idea because it impedes their ability to collect taxes and that ultimately, they see it as an exist tension is threat to the government and to their currencies what say you >> i am not sure because coinbase is already issuing 1099s to many of their clients right now showing profits and what they have made so far on trading those platforms. governments may not like it because they don't understand it, they don't know it yet what it does is it legitimatizes cryptocurrency in that world when governments do put more scrutiny on it you could argue these companies want more scrutiny or regulation it seems counter-intuitive but if that happens it is like the government saying okay we get you. but we are going to tax you. that pens we acknowledge the fact that you exist and that you are legitimate in your operating entities that's a big deal. if they keep doing it -- when i first signed up for digital
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wallet years ago there was no identity check or anything like that, these days for many of the most popular digital vaults that you sign up for out there in order to transact or move that currency around you have to have a layer of know your supplier in there. you have to submit driver's licenses, government ids that could be the next part of the story, governments getting to know the kks better. >> cema, jason points out it could be a threat to government's ability to manage monetary policy. these cryptocurrencies. >> speaking of monetary policy some of the biggest names in government and central banks, janet yellen and christina gar of the ecb have been sounding the alarm calling for more regulations and calling out
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cryptocurrency being used to fund terrorist activities. i think you are going to see the in-fighting continue. >> jason says bitcoin is going to go up until someone stops it. we will see. it has been going up not today you. >> next up a growing less of lawmakers mostly in republican-led states are fighting back against requiring proof of vaccination to travel while it is not a majority opinion it could have widespread impact as we try to get back to quote normal life. you have been following this story for us it goes to questions of can cruiselines require a so-called vaccination passport to get on can restaurants do it? can states ban companies from doing that or do companies have a wide latitude in determining, particularly those in transport in determining who can travel
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and who can't? >> it has become a huge debate right now tyler across the nation and largely republican opposition saying, south dakota's governor saying the use of a vaccine passport would be un-american. governor de santis citing privacy issues and campo also joining this group of republicans who do not approve the use of a vaccine possible part. caught in the middle of all this are the travel companies more of them saying we do think a vaccine passport is key to lifting international travel restrictions and allowing events, sporting leagues, weddings, conferences to resume earlier rather than later. the debate will continue when you look at where americans are allowed to travel right now, there are a handful of countries. many do require proof of vaccination. >> deirdre, jump in. >> well, once you politicize
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this issue, what's key is that you are unlike will he to see sort of a big tech company which may be in the best position to sort of roll out a vaccine passport do so because they don't want any more scrutiny what you are going to have now is this proliferation of different apps and different vaccine passports that may not necessarily work with each other,ing that may not have the best privacy protection. it is a messy discussion tech's role is going to be very important. i think what cema laid out makes it difficult to imagine that big tech is going the get involved even if they did, remember the apple google partnership on contact tracing. it was hailed as an unprecedented partnership and it went nowhere. >> it went nowhere amounted to nothing. this has become not just a battle between the vaxxers and anti-vaxxers it has become a political
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question about freedom governor de santis of florida saying you have a right to live your life in our society, go to restaurants, get on a cruise ship you can go to a movie theater without the company demanding that you show them your health information. final thought dom. >> focus on testing passports. forget the vaccine passports prove that you have taken a test and it is negative and then do whatever you want. >> uber is driving employees toward returning to the office saying they expect them to work at the office three days a week in september it has been mixed bag of return to work plans for the tech companies. last month amazon announced a return to an office-centric culture once the pandemic ends while twitter told staffers to stay home as it focuses on decentralizing its work force. >> this is an area you are
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following closely deirdre. many companies have to make decisions soon a lot of them are going to the uber sort of three and two model. >> alphabet google was one that said you have to at least live close to the office but there has been this divide everyone agrees there is going to be some kind of hybrid future of work. but the extent of that is still very much being decided upon in different ways by different companies. one thing that some might argue regarding the uber and google model is that if you require employees to come in and live close to the office, that's going to limit your talent pool. they can't start to hire people from austin or miami or seattle or other places that are seeing this growing tech presence so they could be cutting their nose off despite their face. of course there are those that say they should be coming into the office on regular basis and they say there is no substitute for face to face interact. >> it is interesting, cema, because earlier in the pandemic,
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and certainly now as well, a lot of chros, chief people officers, ceos were saying, you know, one of the things we've learned that has been a benefit of the work from home or work from anywhere is that our talent pool is then literally global we can go anywhere we can cap into workers no matter where they live or no matter what their personal circumstances are. so there may be caregivers who live in arkansas, not in menlo park, who could be recruited to do work and are ready to work but because they are giving care to either children or adults at home they couldn't do it but for working at home. >> and that's what makes this decision around companies now over time requiring employees to come back to the office such a complex issue to get around especially when you have caregivers and others who still have kids at home would aren't back in school
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this is why it is such loaded topic. i think what uber is announcing here is a conversation that is happening across a lot of companies with this vaccine rollout gathering base, when is the right time to issue a communication to employees and sort of unveil our back to work plan. >> it is going to be very, very, very tricky, and very hard to get right. and the trick for managers and leaders, whether ceo or middle manager, is how can i be fair to everybody? it is going to be hard. finally, netflix first taught us how binge watching of content for hours and hours could work now it wants to teach us how to end our day, too let's listen in. >> falling asleep isn't that easy i'm eve. i'm here to help >> it is teaming up with the meditation app head space to launch a series on how to get a good night's sleep it launches april 28th and includes 15-minute episodes on
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topics from busting sleep myths to mindfulness and meditation. iron ironically, the main cause of modern day insomnia is too much screen time. dom, i think they have hit it on the head when i am reading a book i fall asleep and when i am checking my phone, i have a hard time sleeping. >> i wake up nervous in the middle of the night. then i check my smart phone, linger on it, and then i can't get back to sleep. this is about wellness netflix is smart to be doing something like this because there is a huge amount of interest in this thing from generations all across the spectrum one of the things that i did, i bought one of those percussion massage guns, a hear the gun. >> oh, yeah. >> one of the functions on there is an app driven program on how to use that to help you sleep
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better at night. it has a whole program i think it is going to be a trends for tech companies going forward. >> i have not bought one just out of the fear of seeing my fat jiggle as i know it would. >> do it in the privacy of your own home. >> on that note, ladies and gentlemen, we have a news alert i have got to go to. thanks, guys, kate rooney has the details on robinson. >> tyler, robinson hitting back at the state of massachusetts. the traiting app filed an injunction just now against the commonwealth in response to a complaint filed in december which accuse of the robinson of violating the state's fiduciary rule, the original complaint used robinson of using quote aggressive tactics for inexperienced investors. using gamefication to lure those users. robinson's counter-argument sha the state didn't have the
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authority to enforce that law. they say that there is no legitimate bases to apply this rule and that there is a conflict between dodd/frank. >> kate rooney, thank you very much news update there on robinson. coming up, mercedes finally ready to take on tesla, unveiling its first true electric vehicle for the u.s toe ceo of mercedes will join us discuss what makes their version of the electric vehicle different. that's next. personalized educat. oh. their award-winning content is tailored to fit your investing goals and interests. and it learns with you, so as you become smarter, so do its recommendations.
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all right. there's a new electrical vehicle on the block mercedes benz to unveil its
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first true ev to the market saying it is ready to take on tesla. here we come here comes phil lebeau with what's under the hood, and a special guest. >> under wraps, imhere at the mercedes-benz headquarters with the ceo. let's take off the wraps on the eqs and show everything what you officially unveiled within the last hour. this is a sedan that people are going look at and say i definitely see mercedes-benz here but programs i am a little bit surprised at every feature that is in here we will go inside in just a little bit what are you shooting for with the eqs. >> it is the first mercedes electric it is s class. it stands for our flagship now on electric era we have the eqs. >> take us inside here especially as you open the door here note this. watch this the door opens itself.
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hop in we want to come around car and give people perspective. on the inside you have gone above and beyond in terms what have you are expecting for communication and info-tainment. tell bus the mbux hyper screen here i think people -- they have seen some pictures. >> this is one of the innovations that the eqs is bringing i think it is fascinating. this is blowing minds. it's the typer screen 56-inch dashboard. >> the entire dashboard basically. >> it has three screens, each one capable of info-tainment, navigation, and especially for codriver, you can have emails, films, whatever. >> you know some people will look at this right here. and they will say if a movie is playing here i don't want the person driving watching it how do you keep that from happening? >> you know mercedes-benz stands for safety that would not be possible the driver has to focus on the
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central screen, and the witness on the middle. he cannot look at the one on the side these are all taken care of by mercedes. >> let me have you step out for a second here. there will be people who will watch this and they will say, okay, you are going to start this, you haven't announced a price yet but it is likely going to be six figures, over $100,000 at least the initial ones. you will look at this and you say how much of this market can you bring the price down how quickly can you bring it down to the 60 or $70,000 range, the other models. >> this is our flagship electric car. it has qualities which bring the car to the upper price range but we are coming up with new models next year which will be priced lower than the eqs. we talk about the eqe, the eqe suv and the eqs suv which will also be on the market in 2022. a whole range to fit more
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customers' capabilities. >> we were talking about the market rot now it is red hot and you said it could be hotter if you could supply more vehicles the chip shortage, how much is that hampering or holding back your sales right now the u.s. is on positive side because based on the facto trees are producing well and catching up with the rhythm of the market definitely we have a lot of work ahead of us because the shortage is a headache for the whole industry. >> does it lag does it continue into the fall do you expect it to continue into the end of this year? when do you finally say we are seeing the supply that the auto builders want to build >> we cannot answer that but we are handling well managing and prioritizing our production based on flexibility we have on our production lines. >> one last question about the eqs and the electric vehicles. you are going to be building them here in the united states
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this one will be imported from germany. >> yes >> will you be building the batteries. >> a battery factory is being in preparation to supply the batteries for our vehicles in the u.s. >> dmitry, mercedes-benz u.s.a. -- this is wow a car you want to see when you get a chance up close. >> jump in and drive it, phil. >> i may do that right now >> true lee a beautiful car. congratulations on that. we hope to see more of them. lovely looking phil, thank you. if you are looking for other ways to play electric vehicles, credit suisse has picked ev-related stocks that could benefit as they gain popularity. texas instruments, leer corporation, two of the names mentioned there. get the list on cnbc.com/pro. still ahead, real estate is hot. high-ends homes in florida could be close to overheating. we will get a look at what that
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could mean for the continued wealth migration to the sunshine state. that's next. april subpoena financial literacy month cnbc is committed to sharing messages from business leaders about importance of financial education. here's the forme >> the more educated you are in school, the more you learn the basics not only of finance and the simple things about finance, but also mathematics these are the well-known paths to success in our system and those that master them or at least understand them do well in the united states, in our system and it will always be that way
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want to save hundreds on your wireless bill? with xfinity mobile, you can. how about saving hundreds on the new samsung galaxy s21 ultra 5g? you can do that too. all on the most reliable network? sure thing! and with fast, nationwide 5g included - at no extra cost? we've got you covered. so join the carrier rated #1 in customer satisfaction... ...and learn how much you can save at xfinitymobile.com/mysavings. well, the snow birds may be sort of migrating from florida now that winter is over up north here but the luxury real estate market in the sunshine state appears to be reaching a breaking point even for the wealthy. robert frank has that story for us what are you finding, robert >> well, tyler, we thought this whole migration to florida would have slowed by now a year into the pandemic, but higher taxes,
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safety concerns, empty office buildings in new york raising fears about an increase flight from new york larry saying this morning on cnbc that companies like his have choices and so do the workers. >> i truly believe this is going to lead to incremental movement of people and businesses away from the city. we have already witnessed in 2020 new york has been the largest outflow of population of any state. >> now, numbers this morning showing that outflow at least into florida just increasing and could actually become structural let's look at palm beach the average home price there topping $9.5 million sales increasing nearly 50% despite those high prices in the first quarter. now less than a two-month supply of houses for sale in palm beach. that is a record low we got miami beach average sale
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prices there up 72% with condos in south beach more than doubling in price in the quarter. got prices up double digits in boca, wellington, del ray and all across southern florida. brokers say demand is quickly outstripping supply even with wealthy buyers and those are people a lot moving from higher tax states and guggenheim, scott minor confirmed to cnbc that he is taking his talents and his taxes from california to miami tyler, we'll have jeff green the billionaire investor on tomorrow on "power lunch. he's actually looking at what may be a correction in florida, we'll talk to him about that call and what he's seeing with this whole migration to the sunshine state >> you know, we spent, my wife and i spent some time in naples, florida, over the winter in january. not just the east coast, obviously on the west coast, as well naples is extraordinarily
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aff affluent there is a lot of supply coming online, a lot being built. we got bitten by the bug if the matheson's buy, that will be the top tick in the market. i promise you, the market will peak within four weeks, not four months of the mathisen's purchasing >> and when you open the naples bureau, tyler, sign me up. that sounds like a great gig there is some supply coming online, but, again, the demand is just outstripping it in all these communities and can they keep up? we'll see in the second quarter and that conversation with jeff tomorrow will be interesting because he has projects all over southern florida so, he's looking at that pipeline >> another thing you wonder about. obviously, there is the no tax deal in florida is a big appeal there. but as more and more people come in, they're going to find, i think, some infrastructure requirements that are going to be expensive to meet whether it's new schools or whether it's
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new roads or new garages, et cetera >> well, one word, tyler traffic. it's not fun in florida right now. that's going to be an issue. >> all right, robert, thank you very much. we can dream we can dream again, the mathisen, rule, buy and prices peak. terry lundgren discuss the heels on the huge retail sales number "power lunch" is next after this quick break.ly hope th to hug my students. with every vaccine, cvs is working to bring you one step closer to a better tomorrow.
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hi, everybody. welcome to "power lunch" along with courtney reagan, i'm tyler mathisen stocks are at session highs. the dow, well not really not for the dow, it crossed 34,000 for the first time hitting a record high along with the s&p 500. it's back down a little bit as you see there, nevertheless, up three quarters of a percent. nasdaq leading 3% from its all-time high it hit back in february second rocky trading day for coinbase as they deal with technical issues on its platform

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