Skip to main content

tv   Fast Money Halftime Report  CNBC  August 19, 2021 12:00pm-1:00pm EDT

12:00 pm
it increases the cost of capital. so if she sees the cost going down being a deflation factor, that's clearly part of her bullishness. >> i think the judge is going to work on some of what we heard from her in the last hour as we get to the half. we'll keep our eye on facebook and the ftc refile d, we'll see you tomorrow. let's get to the half. >> oh, yes, we are, carl welcome to the halftime report front and center, the rally's red flag with stocks not far from recent highs. are the risks to your money mounting or overblown? joining me for the hour, liz young, josh weiss. they're searching for some direction today. we have the s&p and the nasdaq positive at this moment. russell and the dow are negative though the dow could go positive once again in just a few moments. it looks so let's kick this around, liz
12:01 pm
young. got a lot of negative stuff out there today. citi saying our panic euphoria model remains elevated it's warning of coming losses. we know that jonathan was with us the other day saying don't buy the dip. goldman says i've taken down my g g gdp forecast we know the reasons why. b of a moving up their taper timeline are we building too many red flags or what's the story? >> i think there are red flags and look, i was on the show exactly one month ago today and i couldn't quite get on that bull parade for tech and i couldn't get on the bull parade for everything because this delta variant. what i said then was that we don't have a new solution coming so we have to let it play out. and here we are letting it play out. at that point, i said i think a 5% correction would be meaningful sorry, wouldn't be meaningful and it would be something more
12:02 pm
likely now i'm getting more pessimistic. maybe it's closer to a 10% correction and there's a couple of things weighing on that number one, we continue to talk about august as a seasonally light period that's true, but you have to remember that september and october are seasonally volatile periods so we're going to from a seasonally light period to a volatile period. not to mention concerns over immunity waning off. we'll have a new dot plot in september. that could maybe spook markets and we've got a debate over infrastructure and the budget coming so i think the next probably 45 days are going to be tough, but as an investor, you're not trying to avoid corrections. you're trying to avoid bear markets. i don't think we're headed for a big bear market. >> so, steve weiss, the red flags that we think we have, right, people talk about the ark funds and the pullback that we've seen over the last week. innovation's down 5% fintech down 4
12:03 pm
genomic revolution is down 5 so that's one of the red flags that people point to cathie wood, who wasjust on tech check i hope everybody saw the interview, said, not so fast here's where she thinks we are let's listen we'll kick it around on the other side >> when i see such negative sentiment out there, especially when it comes to valuation and longer time horizons, investment time horizons, i actually feel a little more comfortable. i like bad news and maybe news that's not, the discounting is worse now than the news actually will be. i actually feel better in that kind of environment for our strategies i don't think we're in a bubble. >> steve weiss, you see a lot of ipos and spacs falling to earth. she said we couldn't be further from a bubble. she didn't seem too concerned about where the market is, so as
12:04 pm
we asked at the very top, are we overblowing these risks? >> well, cathie's great. got a lot of respect for her she just does something different than what i do i don't think we're in a bubble. i don't think that's the issue i think there are red flags. i think liz is right about the seasonality of it. but what we're not talking about at all is we're not talking about the partial closure of the third largest port in china. i was on the phone today with some companies, in particular, gxo, which has just a phenomenal insight because of their vast logistics network. i was corrected at one point, which was that i thought there was an easing of the supply channel and there hasn't if anything, that has exacerbated the slowdown in it you see it in malaysia, you're seeing it in vietnam and the market's not appropriately focused on that. so when you look at commodity prices which have come down.
12:05 pm
they rolled over virtually every single one, you tend to think, well, inflation's under control. it's not really. that's driven by speculators and you can tie that to the slowdown in china, but china will be back they'll stimulate. so you'll get commodity prices coming back up, which is why i haven't sold any >> answer my question. are the risks mounting or overblown? >> mounting. look, look, you know, we have j&j was the least popular vaccine, but for those that had the dose of j&j, they weren't even mentioned in a booster. so you've got to get reinoculated with pfizer or moderna. that segment of delta. we're seeing a big falloff in the efficacy of the pfizer vaccine. down to 55% according to the data that's coming out of israel, which is ahead of us in the vaccine program. moderna, it's come down to about 75% with delta
12:06 pm
so the question is that everybody should be asking, what's the appetite for people getting that booster shot? what's the appetite for people who haven't gotten vaccinated to get vaccinated now that they know they'll need a booster shot at some time having said that though, i think that creates, i believe that creates the opportunity for tech reasonably valued tech, which is what we're seeing now. so that's where i'd be putting some money in. supply chain worries aside i can continue to be bearish on the market near term but i think you've got to be very measured to where you put money. the time for easy money, putting money in spacs, is gone. you're going to lose dough if you're in low quality names. >> as long as big tech, say microsoft, you throw up that chart, what some are talking about today. throw up apple's chart if those stocks, as big as they are, and they're such a big part of the market, continue to go up
12:07 pm
or at least hang in there, look at that. up 1.5% again today. you're not getting a bigger correction unless you get a rollover in a microsoft or an apple or some of these other big names. am i right or is that just out there? >> no. i think that's true, but it doesn't mean you can't get one from those names >> of course but until you do the most important signs in a market may be the fact that those stocks continue to go up not the other things that are going down >> well that's the point because the spacs aren't in any indexes. by definition, they can't be in a bubble if they're selling for cash value meaning you get a spac trading at $9.50 that has $10 in cash in escrow, it's not a bubble. it's not going to go to $2 like, your risk there is maybe opportunity cost or if there's some kind of a horrific scandal. but that's not a bubble. a bubble is february when the average spac was selling at a 30% premium because people were excited about whoever the
12:08 pm
chairman was or whoever, whatever celebrity's name was attas attached to it that was the bubble. even if it was, it doesn't matter there were 600 spacs come public in the last year or year and a half, but again, they're not important. the largest one was pershing square that's a side show i don't think it's particularly important. i think the bubble there was in activity more so than in price and some of that price has gone away that index is at a 37% drawdown. so you don't have to worry about that the big picture is i don't know that selloffs normally end in two days so maybe this seems too easy today these washouts are happening faster and faster. at the lowest point this morning, the s&p 500 was off 2.5% and the nasdaq was down 2.7% and now they're green on the day. it is hilarious.
12:09 pm
nvidia was down 1% on the open now it's up almost 7%. netflix. we are having these washouts take place in minutes and hours versus days and weeks. it's fun i don't know how much longer that can last. that's the environment and the really big shakeouts are not in tech. the really big shakeouts are testing your bullishness on the economic recovery. to steve's point look at the xle. it's already off 20% from the highs. now, it's still up 20% year-to-date, but when it was leading the market in first six months of the year, a lot of people were like, energy, energy, energy you don't really hear that much. that's where the big post earnings declines have been. the airlines are unraveling. look like absolute garbage cruises and casinos, too look at wynn stock fell like 40%. felt like it was within minutes.
12:10 pm
that's where people are being tested large cap tech is acting almost treasury bond-like at least for now until that changes, it's hard to get worked up. >> it's been a defensive part of the market, right? >> how much cash yeah >> so, dr. j, i still feel like we're in a we're going to get past delta market. if not, we'd be down, i think, more so than we have been and our ability to work our way back from steep declines like we had a couple of days ago and we're able to do thus far today. now there's many hours left in the trading day and we'll have to see what's up some point to small cap weakness if you make a list of the mounting worries, it's like, okay, small caps are off 10% from their highs the consumer tends to be weaker or weakening you know, people are maybe hunkering down not going to go out to eat as much southwest airlines told us some of that. you've got to taper out there.
12:11 pm
kashkari's out there on the tape a little while ago, said delta matters everything to him when it comes to the taper. scott miner of guggenheim thinks the taper gets pushed because of delta. what do you think all that means? >> i'm with scott. over at guggenheim i think the delta does push the taper. rather than pull it forward, scott, i think it pushes it out. and it's delta and quite frankly, sentiment in general that michigan sentiment of course was terrible. sentiment from people watching television about events transpiring over in afghanistan. horrific but as those images fade from television and are not covered as much in the coming weeks, scott, and as you say, as delta, if expected curve basically tracing the uk curve for delta plays out as most of us expect
12:12 pm
that it will, then i think we're looking at the market going right back to work now when i say going right back to work, to josh's point, the airline, yeah. airlines, casino, cruise lines, they look like crap. demand for crude oil crude oil was down i think 2.5% before we came on air. these are all signs that as you say, consumers are not that comfortable. i don't think they're not still flush. i think they are but i think that consumers are pulling back as far as they're saying well, i'm going to go a staycation i'm not going to fly because i don't really want to mess with all these different things at the airports i'm certainly not going overseas i think a lot of that plays into the demand on that fossil fuel right now, which like i say, has been trending lower. so i think overall, pete and i always focus on those three vs velocity, volatility and volume. volume picked up staubstantially
12:13 pm
yesterday. all three hit in that final hour of trading yesterday, scott. that's why we saw that 21% jump in the vix this morning in the premarket, the vix hit 24.74, which would be a 62% move from last friday to this morning and the premarket. we're down substantially from that the market has worked its way back to positive territory i think that's more like what we can expect these sharp, jarring moves then like i say, if delta plays out the way we believe it will, then i think we just kind of muddle our way through these next two weeks until we get to september 6th, when those added employment benefits roll off unemployment benefits roll off and we get back to a little more better supply demand picture for labor. >> josh, does it matter at all about amazon's recent performance? down 10% almost in a month down 3.5% to date.
12:14 pm
hasn't had a good run. obviously, it's tied to what was happening with the reopen. does it matter or not? because i do hear people reference, oh, but amazon, amazon doesn't look good >> well, if this delta thing is really going to be a much bigger thing, which is obviously debatable, amazon's going to get, amazon's going to get a boost as a result of people retrenching a little bit from the outside world. we know this for a fact because that's how things played out during the first and second wave of covid but i wouldn't place a bet based on that. i think amazon had broken out in july it was a clear and present danger for more upside and then they put out an earnings report with guidance that people didn't like and it got smacked right back into the middle of the range. but it's still in the same range it's been in since june of 2020. so it's not a breakdown. it's not a stock on a down trend. it's really just back into that
12:15 pm
consolidation mode as such, i don't think it's really meaningful in terms of market's forward process i think what needs to happen is on a sector by sector basis, stocks have to get accustomed to this idea of us fighting through the delta variant and possibly this third round of vaccinations and that's going take a little bit of time. i don't think it's going to be easy so maybe this is a good time for investors to calm their own expectations down rather than trying to do something overly acrobatic within their portfolios given how little we know about which direction things are going to go with the virus itself >> you want to take a stab i'm going to give it to weiss on nvidia you do own it. it's up better than 6% a 52-week highs, 208 it had a huge run into the print. what now and what does this say about the chip stocks in general, if anything
12:16 pm
>> listen, nvidia's holding up, but if you want to be a long-term investor in a stock like this, any large cap semiconductor company, you are going to have to live and die by the volatility that's inherent now, recently nvidia's been acting more like apple and microsoft. i hate to call this a safe haven because it's really not going to be one in the market gets ugly, but it has been acting that way. i think it's fair to say volatility has been fairly low given the high valuation for this name. we tend to think of it as a momentum play, but in the reality, if you're a growth investor or a technology investor, it's a must-own stock. it's a platform that literally, you can't not be invested in if you call yourself a growth investor and i think that's probably what's helping to hold it up. but i would just tell people to be careful if you're buying it at 202 expecting this volatility to stay where it is, things might no be as pleasant as you would
12:17 pm
hope >> so, weiss, you sold it last week around 200. do you like to buy it back on opportunity? you know, you feel bad about the fact that you got out of it? i don't know >> i feel bad about the fact i sold it about 78 a few years ago. thought i was a genius because i had it doubled then. i've had so many opportunities to get in and failed at doing each one look, to me, this is part cult stock and larger part performance stock. they've performed. they've executed if any other company came out with the expectations that nvidia had going into the quarter where we saw multiple analysts raise their price targets with such a modest beat, the stock would have been down 10%. we've seen that play out across the complex. however, you've got this ceo who has, you know, who's executed, who knows how to communicate to shareholders and the street and reverse the decline off the earnings so he deserves that premium.
12:18 pm
not criticizing it because of what he's done. so, yeah, i mean, fell back, i'd get into it. my exposure continues to be elsewhere in much more direct 5g plays and i just don't want to increase my exposure much more >> cisco up. the high of the day was 57.14. a near 3% gain speaking of which, farmer jim, mr. all in is on the phone right now. cisco is his we're going to talk to you about mr. all in in just a minute, but give me the read on cisco here you've been a believer here and you're getting paid well today >> yeah. i've been a long time believer sometimes when you invest, scott, you're not investing for short-term i've invested in this stock, i'm looking now, going back ten years. going back ten years, it's had a better annualized performance than the s&p 500 that's what you want i don't have to sell this thing,
12:19 pm
give my clients capital gains. they get a nice dividend yield they don't worry too much about the volatility it is the quintessential steady eddie stock. what's moving the stock today is that management feels comfortable enough with business projects they're giving guidance for fiscal year '22 which is as far away as they've given guidance they're feeling good about the visibility of their business this is one you hold on to for years and years. it's a long-term steady eddie. >> i'm going to let you bounce in a few minutes, but i'm looking at cleveland cliffs, which i know you are, too. so we lift you up. and then we smack you down clf. down 8%. hold on, weiss hold on. hold on. what are we doing with this, farmer jim i think when cramer was on
12:20 pm
yesterday, i was singing your praises. as was he. about cleveland-cliffs this stock's getting smoked today. >> you've got to hang on to this stock. the reason it's getting smoked today is because iron ore prices have declined meaningful because china is curtailing their steel production people don't understand the stock quite often. the biggest consumer of cleveland-cliffs iron ore is steel manufacturing. right now, hot rolled steel prices are near an all-time high the reduction in iron ore prices helps their cost of goods sold this is not something, even if that were not the case, i don't get thrown from a long-term cash generation machine like this one just because there's a bad day on iron ore prices tomorrow they may be back up but perversely, today's news is actually positive for the stock so if you don't own it, i mean, this is your entry point i can't give you a better entry
12:21 pm
point. >> weiss, you do own it, right you bought it because of farmer jim? >> yeah. >> no, no, you bought it because of farmer jim. don't even try it with me. don't even try it with me. >> as you recall, i did shave it about a week ago and i took some heat for that from farmer jim. and the second thing i'd say is scott, when we're on the show together, it's up to me to abuse farmer jim, not you. so you know, let's learn that going forward. >> noted noted. >> noted >> but what about the stock here, weiss? what are you thinking about it today? >> i think this is temporary the commodity market is driven by speculators not only in demand what you're seeing are speculators selling it based on china cutting back steel production steel is still a global commodity. so it could this way for a
12:22 pm
little bit but to me, it is a buying opportunity it gives you a return to buyback in yield of the mid teens. so i like it, but we're seeing a mass exodus from portfolio managers it's not related to tech they're selling commodities because they got into the mom momentums died they're buying big cap tech that they know because they want to deploy that cash well and quickly and they can't keep cash jim's highest cash is 10%. that's true of most mutual funds, also. i put money to work there. >> stock's getting off the mat like what you guys are saying. jimmy, before i let you go, you know, how we started the show, sentiment has gotten pretty dour lately right around the time that, when you became mr. all in, the market became kind of upset. you said you were getting nervous. >> i'm still -- yeah, well
12:23 pm
it's appropriate to get nervous. i heard the opening comments let's simplify this. i think this is about the delta variant. it's having an effect on china this delta variant is manageable with the vaccines. i know we got to get more vaccines distributed and get more uptake, but it is manageable with the vaccines this should not send us or the globe back into a shutdown which frankly, a lot of these reopening stocks like somebody brought up wynn. wynn is back where it fewas in april of 2020 when the casinos were shutdown. >> of course you're not going to get mandated shutdowns you just may get changes in behavior that reflect the period of time in which you did have more dramatic shutdowns. but you're not going to get that j jimmy, thank you for coming on liz young, lead me with a
12:24 pm
thought before i get to some trader moves >> i want to circle back to what jim said you're right we're not going to get mandated shutdowns, but the data is going to get worse before it gets better what we're going through right now, we're going to see data about in september for every day we see a beat, there's one that misses. so there's a little confusion in the market right now which direction do we go i think ultimately we end the year higher than we are today and i'll still continue to say that, but it's going to be tough for a while and that's okay. these are good opportunities and that reopening trade that's taking a real beating is a good entry point right now. >> let's talk about china for a second in the context of chinese stocks and adrs, things like that dr. j, you bought puts in didi and you're in and out of puts in alibaba. so take me through that because weiss plays into this, too i want him to hear you on this then we'll go to him for his
12:25 pm
reaction and his own moves, but tell me about this >> sure, well, thank you, scott. yeah, we've had a number of put buyers in our unusual activity scans as well as sentiment scans and hats off to steven i said it in my note to you guys that steven was dead on about his calls on the short for these chinese stocks and just continue to smash these shorts. so congratulations i'm doing the reverse farmer jim. i bought those puts two days ago. the stock's down another $10 today and i exited that because, you know, it's just, these calls expire, or puts rather expire tomorrow i i'm not going to wait for another leg down as far as didi, i am holding those because those are september puts and that stock just can't get out of its own way either but k web, fxi, i talked about
12:26 pm
asher. ashr as well for put activity. these stocks are just being smashed by the chinese government's own hand, just as liz said >> kweb is down 4% these chinese internet names so weiss, you covered your shorts in alibaba and covered pin duoduo tell me about this relative to what doc just said >> yesterday morning, i was watching the stock closely mostly in these shorts, but in and out. i thought they were ready to lift and for those who followed me into the shorts or were short themselves were people that still misguidedly think there's value here when there's zero value. turned out i was right because they ended up high in the afternoon and then i walk in in
12:27 pm
the morning and china came up with more news and they traded down dramatically. i actually added to it this morning. earlier. and i also put a small baba short back on. these are not lift the news is going to keep coming the chinese government made it very, very clear, we don't like capitalism we're going to crush these stocks we see a major problem here and that's putting wealth into the hands of a few so they're all under state regulation and you just don't own anything with the vies period, end of story >> robinhood shares are falling. what the street is saying today about the earnings yesterday what our investment committee is doing today with their positions as well. we'll do that next on the half and you can always watch or listen to us live tonhe go on the cnbc app we'll be right back.
12:28 pm
12:29 pm
every single day, we're all getting a little bit better. we're better cooks... better neighbors... hi. i've got this until you get back. better parents... and better friends. no! no! that's why comcast works around the clock constantly improving america's largest gig-speed broadband network. and just doubled the capacity here. how do things look on your end? -perfect! because we're building a better network every single day.
12:30 pm
welcome back here is our cnbc news update at this hour. near the u.s. capitol, law enforcement officials say they are negotiating with a suspect who claims to have a propane tank rigged as a bomb in his truck. police say the suspect is a white male from north carolina they don't know his motive, but say he is making antigovernment statements in california, the caldor
12:31 pm
fire is more than ten times as big as it was on tuesday the wildfire has burned over 65,000 acres and is zero percent contained. over 23,000 people have been evacuated because of the fire. droughts in california helping fires and raising demand for old school water witches, combining wells with traditional methods. learn more tonight at 7:00 eastern. american airlines is extending its ban on alcohol sales in the main cabin until january 18th that move following a similar extension of a federal mask mandate. also comes amid concerns about a surge in unruly passengers on planes and the faa has proposed more than $530, 000 in fines. scott, it's a growing issue. back to you. >> yes, it is. thank you. share of robinhood are sinking on the backs of earnings
12:32 pm
comments from the company as well kate rooney is looking at what comments the street has today. >> hey, scott. wall street today is really focused on that slowdown in retail trading activity. that robinhood has warned about and reiterated in yesterday's report as well as the unpredictability of their booming crypto business. revenue doubles. it did report a loss that goes back to the big debt raise in january. cr crypto though really stealing the show i talked to jason warnock. it drove that higher revenue number as investors moved from stocks to digital currencies eq equity trading was basically flat and for the first time, more new robinhood customers bought crypto instead of stocks
12:33 pm
about 60% came from dogecoin alone. analysts say a softer guidance for the third quarter is really dominating the stock today and they say, yes, crypto broke, is nothing short of remarkable, but the outsized contribution cannot be ignored the q3 slowdown could be much more acute than what investors were anticipating. >> so, dr. j, what do you do with your position you had you at least told us you had one. what's up with it now? >> yep i did. i had to exit it, scott. so what i did as you know, i sold the straddle about ten days ago ortwo weeks ago and bought the 55.75 spread in september. took a lot of money out of that str straddle as the ball came down and i was into that call spread for $3 as you probably recall.
12:34 pm
that call spread fell to that same $3 yesterday from about 6.5. $7, from a couple of weeks ago so i had taken some profits. exited the rest yesterday and today, the stock's $45 so it's not like i'd given up on the stock, scott, but i gave up on that spread because it was just too far out of the money. i think a lot of the most recent turn in crypto, which has happened just in the last two weeks and is not part of this report, i think a lot of that will drive volumes and as you've already heard, the consumers or customers there, 21 million of them active, a lot of them trading crypto 60 some add percent of their revenue coming from that i think that's going to be much bigger in the coming months because of this big turn crypto's made from bitcoin >> josh brown, i mean, this is always wione of the most searchd named on cnbc.com.
12:35 pm
especially when there's news around it. there's obviously high interest. what do you tell people who are witnessing a pretty large decline in a name like this? >> well, steve weiss and i were both on the show the day they came public and we said it sounded controversial, but i think last night's earnings report validates what we were saying which is that basically, this is a platform for gambling. it's not an insult gambling is fun. it's all good. but if you're telling me that like a quarter of the money they made came from dojecoin, then let's not say this is an investing platform it may some day turn into one, but those 22 million accounts john sites, the average balance is $4,000. what are we talking about? like, literally, what are we talking about? i think the analysts who cover robinhood should be the same ones who cover draft kings
12:36 pm
i don't want the company to not do well. i do want their investors to do well i want their users to do well. but, like, if you're putting your money into this as an investment, then you're investing in speculation of others and there's -- you can make a lot of money doing that, it's just not what i personally want to do. so i don't think it was a bad quarter. i just think, let's be honest with where the money they're making is coming from. >> yeah. i hear you oil is falling for a sixth straight day there are bullish calls today on three big oil stocks we'll debate them next in our call of the day. >> of 65 firms that disclose data, those with more diverse teams delivered greater one to five-year returns in 85% of cases. the tech sector had both the highest average percentage of
12:37 pm
minorities in upper management and delivered an average five-year return of 17%. higher than any other sector that would include companies like alphabet, ebay and cisco that's your esg fast fact of the day. what if you could have the perspective to see more? at morgan stanley, a global collective of thought leaders offers investors a broader view. ♪♪ we see companies protecting the bottom line by putting people first. we see a bright future, still hungry for the ingenuity of those ready for the next challenge. today, we are translating decades of experience into strategies for the road ahead. we are morgan stanley. into strategies for the road ahead. tailor made or one size fits all? made to order or ready to go? with a hybrid, you don't have to choose.
12:38 pm
that's why insurers are going hybrid with ibm. with watson on a hybrid cloud they can use ai to help predict client needs and get the data they need to quickly design coverage for each one. businesses that want personalization and speed are going with a smarter hybrid cloud using the technology and expertise of ibm. nice bumping into you. at usaa, we've been called too exclusive. because we only serve those who honorably served. all ranks, all branches, and their families. are we still exclusive? absolutely. and that's exactly why you should join.
12:39 pm
t-mobile is the leader in 5g. we also believe in putting people firstutely. by treating them right. so we upped the benefits without upping the price. with magenta max, get our best plan for 5g. with unlimited premium data that can't slow down based on how much smartphone data you use. and taxes and fees included! you won't get that from anyone else. right now, pay zero costs to switch! and bring your phone we'll pay it off! only at t-mobile. the leader in 5g.
12:40 pm
take a look at oil falling to its lowest level since may. bank of america says conoco, exxon are the top ones in that space. dr. j, that brings me to you because you own calls in exxon and marathon petroleum >> yeah. and despite what i said about the price of crude oil earlier in the day today, scott, i do think the domestic production is going to be picking up in these coming months so i'm comfortable holding on to these. i enjoyed the upgrade reading through that analyst's note and i will hold on to both of these positions. >> what about best buy you also have calls there, right? reiterated a buy today at bank of america
12:41 pm
sorry, doc i should finish. the target goes to 1.45. >> it continues to work, scott most folks, when they're going ton a google search for best prices, will find themselves dropping frequently over to best buy. also over to amazon, of course and not surprising, best buy's digital platform has really been growing like a weed during the pandemic i don't think that slows down at all and even though the stores have reopened, many of which were shut because of looting and things last summer as well as the pandemic, are now contributing greater and greater revenue to the bottom line and i think the stock continues to be a hold here. >> macy's rip in today kohl's liz young, what's the retail takeaway from a week in which you've gotten a lot of big and widely held names? >> i think the retail take away is that there still continues to be opportunity there
12:42 pm
look, sentiment is a fickle thing and it really depends on the day we take those surveys. so although some of those sentiment readings have been tough, i think they turn around quickly. people are still eager to get back out there they're eager to buy things like new clothes, getting into that apparel business again i think retail is fine >> okay. dr. j has unusual activity that is next and before the break, take a check on the s&p sectors today. markets have been all over the map. we'll have a lock aok before wek our break, i think nope there's the s&p. but not the sectors. we're back after this. clashing] - had enough? - no... arthritis. here. new aspercreme arthritis. full prescription-strength? reduces inflammation? thank the gods. don't thank them too soon. kick pain in the aspercreme. sales are down from last quarter don'tbut we are hopingoon. things will pick up by q3. yeah...uh...
12:43 pm
doug? sorry about that. umm... what...its...um... you alright? [sigh] [ding] never settle with power e*trade. it has powerful, easy-to-use tools to help you find opportunities, 24/7 support when you need answers plus some of the lowest options and futures contract prices around. don't get mad. get e*trade and start trading today. over the years, mercedes-benz has patented thousands of safety innovations. crash-tested so many cars we've stopped counting. and built our most punishing test facility yet, in our effort to build the world's safest cars. we've created crumple zones and autonomous braking. active lane keeping assist and blind spot assist. we've introduced airbags, side curtain airbags, and now the first-ever rear-mounted front-impact airbags. all in the hope that you never need any of it. ♪ ♪
12:44 pm
and there you have it- woah. wireless on the most reliable network nationwide.
12:45 pm
wow. -big deal! ...we get unlimited for just 30 bucks. sweet, i get that too and mine has 5g included. that's cool, but ours save us serious clam-aroonies. relax people, my wireless is crushing it. that's because you all have xfinity mobile with your internet. it's wireless so good, it keeps one upping itself. time for unusual activity. what have you got? >> i've got two next week. august 27th. friday first one, jets. j-e-t-s. the reason here is they've already declined this etf that tracks airlines has already declined by about 10% in the last week. ouch and they're betting that it goes
12:46 pm
further. the stock was 21 and change. they're buying the 21 puts, scott, that expire next week i bought these puts. we all talked about it the top of the show. they've all got a lot of challenges going forward, the airlines do. second one, s skillz. upside call buying about $10.5 they're buying the august 11 calls. i bought the ten calls and hope to sell higher calls if we get a little bit of a pop out of skillz it's off some 70% from recent highs. i think they're betting into next week's expiration we see a rise, i'm willing to ride along with both of these trades for about five days. >> good stuff. we'll be right back with questions and answers. our investment committee is ready. send them in e r.o one, we'll play them on
12:47 pm
thai got at least one today
12:48 pm
at cdw, we get whether you're at home, in the office or on the go, staying connected and secure is what keeps you productive. and no matter where you're working, our experts can help you implement a secure by design hp chrome enterprise solution. you'll benefit from built-in virus protection and advanced security management to help secure your device and your data while keeping you in close contact with all of your coworkers. ♪♪ all the things, all around you... where you learn, work, and fly... we help make them healthier. we are the people of abm. for more than 100 years, we've been a leader in making spaces cleaner,
12:49 pm
from the things you touch to the air you breathe. today, more than 100,000 of us are innovating to ensure spaces are more efficient, healthier and safer. abm. making spaces healthier for you. age before beauty? why not both? visibly diminish wrinkled skin in... crepe corrector lotion... only from gold bond. let's answer some of your questions now. first up, josh brown, we have a video question for you >> hi, my name is trey from minnesota.
12:50 pm
my question is for josh brown. a few months ago, you mentioned you would buy zillow under $100 and now we are there are you looking at taking a position anytime soon? >> appreciate the question what's the answer, josh? >> great question. i didn't it would get below 100 in the way in which it did it's in a 55% drawdown it's really astonishing how fast it's come down the only name that looks worse is open door down 60 something percent. it's not cheap i think like a falling knife so if you really want to be in it and there's nothing in the chart suggesting that this sell-off is over, i would maybe buy a third and hold back the other two thirds for lower prices if you don't get those lower prices at least you have some but if it continues to drop this way, you have some more firepower. zillow is a $24 billion market cap. they'll do $5.5 billion this year i do think they have one of the best brands in the entire united
12:51 pm
states real estate market and ultimately, the home buying they are doing, plus the mortgage lending that they're now doing, those things will add up to a much bigger part of the business and the stock will eventually work i'm not in it yet but i might at some point soon. >> liz young for you from adam in ontario the etf, iemg, has a large component of china stocks given uncertainty in china companies, is it time to dump it or ride it out? what do you think? >> so adam, the reason it has a large percentage of chinese stocks is because it tracks the msci em index which has 35% in china. the top three countries in the em index make up more than 60% what i don't want to do is tell you to sell into a down trend that's already about 45 days old. i think there's probably a little bit of a recovery that you can get there. once you get that recovery, though, find an etf that spreads out the country weights a little more evenly. >> steve weiss from wayne in new
12:52 pm
jersey i bought porsche on your advice. not really doing anything currently. is this a long play for future electric vehicles? stock is down about 6% in three months what do you tell him now, weiss? >> look, i love the story. porsche, volkswagen. porsche owns 53% of volkswagen voting stock but for volkswagen, which translates to porsche, 3% volatility day-to-day is way too much for a company at seven times earnings i love this as a long-term play. i think it's going to continue i think it will do very well it's up from where wewent into it i like it. i'd buy more matter of fact, the spread between porsche and volkswagen is at a very wide level. historically it trades to 1 to 1 correlation. if anything, i'd buy more porsche here >> dr. j, dave in florida. i own some shares of farfetch. i've been buying dips here and there for about a year is this a good time to buy more or should i take some profits?
12:53 pm
>> i would hold, but if you have to be binary, buy or sell, i would buy. the stock is up from $7 at that pandemic low, scott. it hit $70 this year and now it's back down to about 38 i think it's a good buy here luxury sells and this one has been building that brand out there. so, yeah, i would buy if it's a binary choice. >> appreciate the questions as well thank you for sending those in we'll step away and come back with final trades, next. got a question for the halftime investment committee? if you want to send a video, we can play it on air email us, askhalftime@cnbc.com it's where safe and daring seamlessly intersect. it's understated, yet over-delivers. it is truly the mercedes-benz of sports sedans.
12:54 pm
visit your local mercedes-benz dealer today for exceptional lease and financing offers. ♪ ♪
12:55 pm
area homeowners learn how your neighbors are accessing $100,000s with a reverse mortgage loan from the bay area's #1 reverse mortgage lender. lemme tell you something. i wouldn't be here if i thought reverse mortgages took advantage of any american senior. or worse, that it was some way to take your home. a reverse mortgage loan isn't some kind of trick to take your home. it's a loan like any other. big difference is how you pay it back. discover if a reverse mortgage loan is right for you. use it to eliminate monthly mortgage payments pay of credit card bills, medical costs and more. with a reverse mortgage you can pay whatever you can when it works for you, or you can wait and pay it off in one lump sum when you leave your home. find out more, call aag
12:56 pm
for your free information kit i'm proud to be a part of aag. i trust 'em. i think you can too. call now! miss the show? don't sweat it the halftime report now has a podcast. market moving interviews, call of the day, unusual activity and, of course, ask halftime uravitor us on apple podcasts or yo fore podcasting app follow the best money podcast.
12:57 pm
[grunts] ♪ ♪ [grunts] pnc bank believes that if a pair of goggles can help your backhand get better... yeah! ...then your bank should help you budget even better. (laughing) virtual wallet® is so much more than a checking account. its low cash mode feature gives you at least 24 hours of extra time to help you avoid an overdraft fee. you see that? virtual wallet® with low cash mode from pnc bank. one way we're making a difference. (chimes) esg is responsible investing. who's responsible for building esg into your investments? at pgim, the pursuit is on for outperformance. as active investors, to outdeliver with customized strategies, integrating esg best practices into our investment decisions. as asset managers and fiduciaries, to outserve, with our commitment to better esg outcomes. join the pursuit of outperformance at pgim.
12:58 pm
the investment management business of prudential. that building you're trying to sell, - you should ten-x it. - ten-x it? ten-x is the world's largest online commercial real estate exchange. you can close with more certainty. and twice as fast. if i could, i'd ten-x everything. like a coffee run... or fedora shopping. talk to your broker. ten-x does the same thing, - but with buildings. - so no more waiting. sfx: ding! see how easy...? don't just sell it. ten-x it.
12:59 pm
let's do final trades. dr. j, you've been doing a little buying of something you want to tell us about. >> yeah, just today, scott tapestry, tpr. why? they beat top line they beat bottom line. gave great guidance and the stock is down 3% today to 40 bucks a share. somebody steps in, busy a lot of calls for next week. look at these numbers skorkts. used to be known as coach. up 125% in revenue for coach stewart weisman sales up 145%. kate spade up over 100%. i think this san overreaction to, i don't know what, so i'm saying this is a buy here. i'm going to hold on through next week. >> good stuff. thanks for updating us liz young? >> dividend payers not just high yielders
1:00 pm
ones high quality and show consistent raises over time. >> okay. josh brown >> bristol-myers flirting with a new 52-week high, going higher >> steve weiss >> gxo analysts keep coming out they don't understand it but put buys on it this stock is the only stock like this trading in the market. logistics company. >> thank you "the exchange" is now. and thank you, scott hi, everybody. i'm kelly evans. here's what's ahead this hour. new credit card spending data show even more of a slowdown than the retail sales report told us earlier this week. one portfolio manager said the consumer has never been healthier. he'll give his reopening pick that climbed 88% over the past year plus, the march outage in crypto platform binance happened to coincide with a drop. we talk to the private equity firm bank rollin

44 Views

info Stream Only

Uploaded by TV Archive on