tv Making Money With Charles Payne FOX Business April 20, 2021 2:00pm-3:00pm EDT
things we learned can be transferred to a different planet like venus or titan or things like that. so it is really -- neil: incredible. it is exciting. you're a pioneer, thank you very much. to you and your incredible team. the payload systems engineer. our stock system engineer, charlie payne right now. hey, charles. charles: i love that transition. great seeing you my friend. good afternoon, everyone, i'm charles payne this is making money. breaking right now, looks like the dam has broken. weakening underlying internals finally tripped up this market sending all the major equities lower what happens when all the money turns down and nothing seems to be working? hide out if blue-chips, buy the weakness or waste for the dust to settle? we have insight you need on this show right now. another day, another wall street elite taking on crypto, and
getting personal. it is doge day. is it more than a parity. he has the answers. what is america's second largest city to do with the massive pile of stimulus money? why not spend it on universal basic income. i'm breaking down why throwing more money at these issues will not fix the root problems. all that and so much more on "making money". ♪. charles: sew perhaps the rally is being held up to unrealistic standards, but guess what, every now and then there is a pause in the action but then of course when that happens the doubters and fear-mongers go to work. their biggest weapon the length and strength of this market which is naturally unsustainable. it doesn't go on forever. there were worries about valuations. you can toss in inflation, higher taxes, other hurdles investors are trying to wonder about. i want to bring in sought
strategy jeff saut. i saw your piece yesterday. you gave an update on the buying stampede. you mentioned some key issues and i want to go over them with you with our audience. this morning we saw proctor & gamble, united airlines both saying they will hike their prices. a whole lot of companies are saying that now. so inflation, the inflation spike, how long will it last, what is the impact going to be on the stock market? >> i'm not that concerned about inflation, charles. the real thing that driving inflation is wages and wages seem to be contained and commodity prices moved up, lumber at an all time high, i don't think that is impactful to the inflation numbers. i'm not concerned about the inflation scare here and i think it will go away. charles: what about the folks that say we're in an asset bubble right now, particularly stocks? >> that's a concern but if you look at the earnings projections going forward, stocks are not all that expensive.
now we have been in a buying stampede. buying stampedes typically last 17 to 25 sessions. this one has lasted since october 30th. buying stampede is straight up move with little corrections. one portfolio manager i talked to has week called it the rally from hell. what do you mean? never gave anybody a chance to get in. you had to pay up. that is exactly what a buying stampede does. charles: so then is that, because i hear the people use the term melt-up i think it is derisive. i don't think it's a compliment to the markets and sort of a hint it is unnatural, unstable and somehow it is more euphoric than anything else? >> yeah. i absolutely agree with that. this has been actually a very orderly market. again investors and portfolio managers had to pay up if they wanted to participate. i've been looking for a correction for a month, wrong footedly i might add. whether we started a correction here or not remains to be seen.
if it's a correction i don't think it will be all that deep. i think we're in a sustained secular bull market that has years left to run. charles: jeff, how do you explain the 10-year yield? how could it come down so quickly after we got the wave of strong economic data it was telegraphing in the first place? >> that's a great question. i called a number of portfolio managers yesterday, posed that question to them. i got a bunch of answers like the fed will be easier than most people think. that inflation is going to be contained. none of the answers i got from any of the portfolio managers really worked for me in that it is very difficult to explain why interest rates are going down when the economy is strengthening. i have been in this business 52 years. i've been looking at markets for 56 years. this is kind of a conundrum and i can't explain it. charles: one thing that wasn't in your note but i got to bring it up, i kind of looked at this for a week or so.
i'm getting the sense of surging covid-19 cases around the world, large populations, brazil, india, even our neighbor to the north, canada, how much impact is that having on the market, at least slowing the rally down? >> i think it is a consideration. i don't think the covid is that bad right now in this country. in fact i think we're in a decline in terms of cases. the injections seem to be ramping up. so what happens in brazil and canada has a marginal impact on our equity markets but it is much more important that what covid is doing in this country and looks to me like it is in the rear view mirror. charles: you mentioned if this is a correction, sounded like it will be short and shallow. what does an investor do with all the macro questions out there? where do you look to buy for those portfolio managers that missed the big spike last time? >> well, in the book reminisce sense of a stock operator which was about the life and trading habits of jesse livermore, there was a character mr. partridge.
very fluid operator they called him mr. turkey, because turkeys are smart bids. investors woe ask him what should they do in the markets. he cocked his his head to one side, it's a bull market. that is all we're in. that is all you really need to know n a bull market you own stocks. charles: i hear you. ben franklin wanted the turkey to bees national bird over the bald eagle. >> that's right. charles: we appreciate all your wisdom. >> you betcha. charles: bring in belpointe chief stratdavid melson and michael lee strategies michael klee lee. what do you think? >> estimate revisions are through the roof. that is the good news. the bad news stocks seem to know that. if stocks are truly a discounting mechanism, these large earnings we're seeing from a lot of companies really only justify the price momentum.
it is concerning to see the 10-year stop where it did and seeing this move back to large cap secular growth which i view as largely a defensive trade. fang is not a the large trade right now. and that is concerning. >> to your point market breadth switched dramatically. new york stock exchange stocks, advance-decline, new highs versus new lows. the real damage, michael lee, has been in the nasdaq area which felt like comfort food a week ago and now people just can't make up their minds. what do you think is gnawing at them the most? >> look i think when you hit new highs as we have continually for the last few months sometimes you pause, take a bright. i think these are your entry opportunities. i think the this yield slide, now that yields have recovered is a very positive sign for these growth stocks going forward and for the market going forward. i simply don't see much higher rates in our lifetime as rates
peaked at 2010 after the great financial crisis, we might have seen that in the first quarter this year. there were a number of one-time issues that happened in terms of treasury issuance, fed changing ratios and panic about growth coming that led to selling of treasurys we'll not see again. we're only a stone's throw away from all-time highs. i'm not concerned right now. these are the opportunities you either rotate out of things like financials or take cash for sidelines or sell bonds that have recovered and get into stocks. charles: i'm going to ask you about some stock picks later but i do like what you said about bonds. if you look at a 30, 40 year chart it corroborates everything you said. we have had periodic spikes like this. but, david, also, history has shown when we had the sort of rally the last 12 months where the market is up 50%, the next year is usually sideways. next three years, next five years are much higher. how do you navigate that kind of scenario with the goal of beating the market? >> markets like this tend to
force the biggest mistakes. it forces you to abandon maybe some of your conviction trades. we've seen pretty big rotations as investors move one side of the lifeboat to the other. i built a career based on following you know, facts and fundamentals likes estimate revisions valuations in the context of interest rates and even price momentum. when i abandoned those principles and chased the next hot thing i'm probably setting myself up for continued you know performance. now i'm not performing well this month but i've got to stick to the principles i have. sometimes i will be out of sync like right now. charles: well you know one thing we have seen in this market there have been on are or two hot areas, when they haven't been hot the money transitioned to another hot area and they have given us some gargantuan individual winners. let me circle back to you, mike lee. what are your things to buy here or outperform? >> i still like all of the major
retail names in terms of target, home depot and lowe's. i don't, i think they're going to blow away earnings. i don't know that they necessarily have the upside that some of the other names do. i think sales force has not performed well even though having great earnings. i can see them beating, raising and coming out with an outlook that beat street expectations. owning that new their earnings call could be potential for a huge winner. the other name in technology i like, they don't report for a few months is oracle. if you remember we talked about oracle in maybe november or december. it hasn't moved the way a lot of other technology names have moved. since then it has been on a tear. i don't see that stopping. it is still lagging other large cap names and circling back to what we talk about treasury rates. if rates stablized the growth trade is on. the market needs more evidence of that before it goes all-in on the growth trade. charles: we're running out of time. david, i know you like nucor. i like to say it came on my
radar the last two or these weeks as well. i love the risk. it's a gold miner. i don't think there is any downside to gold. maybe it is poised for a move to the upside. david, michael, thank you both. very much, always appreciate it guys. >> take care. >> i want to hear from you, whether you have a comment about the show, a question, you want me to ask a question to our experts like the ones we just had, tweet me @cvpayne. it is an interactive show. one viewer tweeted me. thanks for talking about crypto. big story. i love the information. guess what? we're not done with crypto. dogecoin having a market week as fans declared this doge day. many want to know if it's a real deal or a joke that took a life on his own. i have one of the best to tell us what really is going on. we'll be right back
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t now! charles: each day the world of cryptocurrency, blockchain, centralized finance is deeper into everyday society marching towards you big questionty believers say it will be launching pad for a complete take over of the financial world. today's big news, paypal kicking off the venmo, crypto trading app. there are still plenty of non-believers ho continue to
warn of its ultimate demise. not content bashing cryptos they love to bash proponents including my next guest. from "the wolf of wall street" podcast, scott merker. let me get to the questions i need for your expertise. what does it mean for the crypto. >> venmo move is a giant for the cryptocurrency. the difficulty of buying bitcoin on a platform they're unfamiliar with and don't trust now we have one of the biggest platforms everyone trusts offering ability to buy, sell crip coin. this is another domino in a nesterrable cascade of companies hopping aboard the bitcoin train. charles: talk about the risk. maybe if we can somehow rank them. regulations which is some of the speculation over the weekend. countries banning crypto. countries creating their own version of crypto.
taxes, you mentioned the loss rule in the recent tweet, maybe so many coins out there eventually some will not make it and that could give the whole thing a bad name. what are you most concerned about? >> i think you ranked them perfectly. regulation is the first. caveat it would be dumb regulation. regulation is absolutely inevitable. we need it to some degree. gary gensler, new head of the sec tout blockchain at mit. they hope the regulation will be sensible. countries banning crypto, that is not possible. they can ban on and off-ramps to make it difficult to get your money in and out. central banks are crypto they will teach everyone how to transact digitally and use a digitally. death, taxes childbirth. we already pay it is not a big deal. as for being too many coins. like the internet bubble. that is not a problem in my opinion when you have a new technology people are excited about, a lot of innovators will
come in and develop new things. some will fail but others will be the amazon google of the next generation. charles: let me ask you if dogecoin will be one of those? >> listen, dogecoin is a joke. that is always its charm. there is a reason the crypto community had a love affair with the coin the last eight years. that said, unlike bitcoin the supply is infinite. has no real use. largely pushed to these ad stownding prices by retail speculation and fomo, fear of missing out. an asset rising with no fundamental reason. the story inevitably ends the same with the retail investors holding the bag. trading doge is more akin to gambling than investing but that is fine if you understand the risks. charles: tell us about the down fusion in the space. who how do you really go at this market? >> totally for dealers, totally anonymous, weaponized by china,
destroying environment. we can go down the list for hours honestly never fully answer the question. new entrants in the space focus on bitcoin or etheorum. bitcoin digital gold. ethereum the internet of the future. we can go endless coins, endless use cases misconception and confusion. charles: i have less than a minute to go. i saw talib, the black swan fame tweeted you were an idiot. why are so many wall street types so upset with you? >> listen if talib has not called you an ini don't think never interacted with him. it is a badge of honor. he blatantly tweeted fake data about coinbase direct listings. anyone that understood it that direct listing no new shares are created. they had to literally sell the shares. he called me an idiot when he was sharing fake news. so be it. go ahead? charles: were you okay with how much they sold, the amount that they sold, scott? >> i'm absolutely comfortable
with it. brian armstrong, the ceo sold less than 1.5% of his entire position t was completely fake news. people were reporting that he sold 70% of his position. it is just absolutely not true. like i said, before even to be shares for enthusiasts like myself to buy they had to sell. there are no new shares like an ipo. charles: scott, i got to tell you are absolutely fantastic. hope you come back in the future because there are so many more questions. we'll talk to you again real soon. i see why they call you the wolf. you know your state. >> thank you so much. charles: white house can't get its act together on this path towards the president's infrastructure plan. plus would spending compromise the gop, even if, you know, the soft caps were resolved? i mean the real revolt here is among democrats. later, we've got a retail investor who teaches other investors along with an institutional investor and together they will share the lessons they have learned with you so you can make a lot of money in the stock market. don't go anywhere.
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♪. charles: white house sending mixed messages on behalf of the infrastructure plan. will increasing taxes be a red line not just for republicans but maybe democrats. is there a sweet spot to get the sort of pay-fors asked in the august recess? blake burman live at the white house with latest on the saga. reporter: maybe a sweet spot when it comes to the top line number when it comes to look at. democrats, republicans negotiating that, at least the idea, this thought in washington maybe if there is a package that is just traditional infrastructure plus broadband internet, that there could be some support we heard maybe at 650 billion-dollar level, 800 billion-dollar level. i want you to listen to senator
lindsey graham earlier up on the hill who suggested maybe it could go higher than that. watch. >> i think there is a deal somewhere between 800 and a trillion for a infrastructure package that is more traditional and in scope. i'm somewhat encouraged. i encouraged president biden to talk to republicans. mr. president, a bunch of us here would do a deal with you if we could get in the room. reporter: at the white house president biden said corporate taxes should be raised potentially from 21 to 28% to pay for a package. others up on the hill, many republicans throat floated other ideas like user fees and public-private partnership. jen psaki was asked whether or not the president would back the idea potentially of user fees. she seemed to shoot that down immediately. >> he believes that it should be paid for, there are really two options. either you put the, put the burden on the backs of
corporations that can afford to pay more or you put the burden on the backs of the american people. he is happy to have a debate about that particular issue. reporter: charles you know how this works in washington, talks potentially 700 billion, 900 billion, maybe a trillion. democrats want to spend the money. many republicans want to spend that money. the question how do you go about paying for it? in that oval office meeting yesterday, one democrat who was in attendance said that the president seemed not necessarily open to coming off of that corporate tax rate from 28%, maybe down to 25%. you just heard from jen psaki, basically shoot down the idea of user fees. might there be some top line number that they agree on, sure, potentially but, how do you pay for it? and that's where the negotiations could potentially hit the skids, charles. charles: some people say it is an investment. you don't have to pay for it. this is real infrastructure
blake. thanks a lot, my friend. appreciate it. charles: not just about tax-and-spending in a fundamental shift to support big government. it takes on a greater role. talking about social welfare role. bny mellon chief investment chief strategist alicia levine. the biden administration, like floating out the trial balloons. one was floated out so-called american family plan. it would invest in human capital, 1 1/2 trillion dollars, this on top of the 2.2 trillion they are negotiating now, on top of the 1.9 covid planned already passed. taxes blake was talking about, maybe higher capital-gains taxes. what would that do, higher capital-gains taxes, what would do for the stock market? >> great to see you, charles. there have not been many instances of raising the capital gains tax because ultimately we cut the capital gains tax over
last 60 years. in the instances where we actually raised it what you see stock market returns are very weak or negative in the following year or two. now those are not many observations but it does tend to depress returns. and in part you create a kind of cliff where investors sell before the new rate comes into effect. and therefore, you actually -- wind up collecting less than they project because if you're a rational investor you sell before the higher tax comes in. i would just let your audience know that the date that that becomes active could be at some point in 2021 and it will be more or less around the time there is the first hearing about it in congress. the so pay attention to that. that could mean the date which the new -- that is really important. charles: thanks. also another serious issue for president biden are democrats in the northeastern states.
they're demanding that the salt tax caps be increased maybe back to where they were before. any chance they get their wish and would that influence things like housing stocks? >> look, it is an interesting point. i think given what is going on with the parliamentarian in the senate, essentially allowing multiple reconciliation bills, democrats need democrats more than they need the republicans frankly. it is very important for them to get that top line number as we saw during the stimulus. i think they want more. i think they're going to find a way to reinstate the salt tax. there are some headline risk because it tends to be beneficial to more wealthy population. it can't get there without democrats from california, new york, new jersey, illinois, massachusetts. so you know, they need their own democrats before they're going to negotiate with the republicans. i think we should expect that it is going direct conciliation, salt will be reinstated in some
form. charles: there feels like a leadership vacuum helping to spark the sell-off. reopening stocks are down. reflation trades not doing anything. megagrowth stumbling even as the 10-year goes down. alicia what is going on? >> look, we're up 85% from march 23rd, 2020. that is historic. and not surprising that we're coming off but i think there is another narrative coming into the market. we're getting an uneven recovery. the u.s., china, uk, and even europe which is delayed but still recovering are going to come out of this all right. it is the rest of the world where we're actually starting to worry about permanent loss of growth and permanent damage from the coronavirus. and that narrative is affecting the bond market and the kinds of trades we're seeing. i think the worries ultimately are healthy. you should have some kind of sell off after the move we've seen. ultimately we think the narrative reopening strength, better-than-expected earnings, and better than expected growth
will carry the day but it doesn't mean you can't have bad weeks ahead of us. yeah. charles: moral of the story, hang tight, boys and girls. it's a brief one. you're not used to it. it will only be brief, alicia, great stuff. we'll talk to you again real soon. >> thanks, charles. >> los angeles is about to become the largest american city to offer guaranteed income to its poorest dents but exactly who is footing this bill? will it be the solution to the real problem? first two voices from the investing world will share the biggest successes, mistakes, how they approach this market. get ready we'll help you make money next.
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or sectors either in the market or things like crypto. all of sudden, all of the hot money stuff is going lower, in some cases getting crushed. it was pointed out by jim awad yesterday. >> tell you what i think is going on, you had a rolling correction in some of the more speculative areas in the market, retail investor, reddit investor you will is heavily exposed in the spacs, ev stocks, renaissance new issue index, i think the daily traders found it more difficult to print money and apparently the second stimulus check is being spent, rather than invested in the market. so you have sort of taken down the whole tone and fever of the market as a result of that but, through that all, you have made new highs in most of the indices with the good rotation between growth and value. i'm actually optimistic that you were able to accomplish the correction and the excesses
within the context of a market that is basically still going up. charles: a brand new situation for many investors. what should they do? i will bring in two investing eadvantage gellists with different approaches, same goal of outperforming the market. invest diva ceo kiana daniel, thematica research lenore hawkins. let me start with you. some of the hot themes cooled considerably getting hammered, what do you think jim had to say? he suggested some will not come back and maybe it is time to move on? >> part of that depends on what you consider investing theme. we've definitely seen a lot of investors getting into something just because it was hot, that was a great lesson for new investors. don't get into something because everyone else is. you want to look for things really long-term growth opportunities where you see huge trends going on that are not
going to change based on little swings in the economy and swings in the market. those things will happen no matter what. >> kiana, i see you help new investors post upbeat videos on investing. what do you tell newbies panicking now? >> absolutely tell them not to panic. i have to agree that long-term, investing long term you shouldn't be worrying. the confidence, most of management comes down to knowing risk tolerance before getting into these hot assets, if you don't know what you're investing in, you shouldn't get into them. at the end of the day i'm a growth investor as well, even value growth invests such as currencies may come across as hot but only reason i'm investing in them because i know that these have long-term value. so i don't get going through the markets blythely because my
cousin told me about the hot stocks. charles: right. >> i actually do my due diligence. i look for companies, or currencies that improve lives, solve problems long term, help people do things better, faster, cheaper. most importantly i'm investing in companies that do something good for humankind and in that case then even if those assets drop in prices i won't be panicking because i know long term they're going to figure out a way to go back up. charles: good to have that comfort zone for sure. certainly if you don't know what you have invested in, it's a lot harder to hold it when pulling back. ignore, you learned lessons the hard way like a lot of us. can you share three things people need to know before they start investing? >> oh, definitely. you have got to know how much time can you devote to monitoring your invests? if you can devote just maybe an hour or two a week, be very careful what you invest in. you don't want to have a portfolio full of like 20, 30
stocks. you will not be able to manage that. look more for funds where you don't really need to stay on top of it because the fund itself will be a bit more stable. you want to understand your risk tolerance because you need to sleep at night. if you're going to be panicked about your portfolio moving up and down, 10, 20%, stay away from the really volatile stuff. you also want to know, are you in this for long-term growth. are you looking to maybe supplement your income day-to-day, that will also dictate the kind of investments you're longing to go into. charles:kiana, one thing i saw where you talked about investing in cannabis, feels like weed stocks lost a little bit of their luster to crypto and other things. today of course being 4/20, is that still a space they should be looking at, with the house passing favorable banks laws? maybe one day the senate will do the same? >> when it comes to cannabis, actually funds may not be the best place to go in because my
understanding is that those are the ones that looking into the pump and dump type of stocks. when it comes to any type of investment asset, first thing you want to know as i said know why you're getting into it, know about the cannabis stocks. know about about the companies. i think this will be the future because a lot of people are, because of the laws that are getting passed, because of, you want to look long term. you want to look five years, 10 years. if you think it will be around. charles: okay. >> if yes, what are the companies going to be around in five and 10 years. that is how you can actually make a decision to get into this or not. i would actually also add in to this, in a sense that, so when it comes to, for new business, newbies, know what you're getting into and know the risk.
i'm repeating myself. that is super important because that is the key to your emotional management at the end of the day. charles: although sort of easier said than done, right? today is a real challenging day. a day i invite everyone to go back, looks what you own, listen to lenore and key auna, some things you may have to sell, taking losses is part of the adventure but you need more in the mix. we'll talk some more of your ev ideas, i feel like those are overold, i want to know what we should be buying when they turn back higher. thank you both very much. meanwhile the city of los angeles wants to offer guaranteed income to its poorest dents but my next guest says there is moving more politicians should be doing with respect to social justice and they probably should be focused how to really fix the root causes much -- of these issues. the most watched earnings report of the week, netflix reports after the close.
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homelessness with a plan to have guaranteed income for low income families. the 24 million-dollar program, will give the the money to the poorest families in los angeles. this city is the best proxy for america's wealth divide. highlights the notion of espousing political correctness versus real life inclusion and opportunity. i want to bring in libeertas, emma phillips. some wonder how the land ever milk and honey become the land of homeless camps and so many people living day-to-day. >> to answer your question the government is too large for their own good for anybody's good. it is difficult for people to find a good paying job in california because of regulations and burden that government puts on businesses, when businesses leave for states like texas, tennessee, florida, they take opportunities and jobs with them. also in the last year the government shut down so many
restaurants and entertainment businesses that employed so many people in that city, and this is a government problem. now they're trying to come in with a government solution. when you talk about homelessness especially, this is a crisis of people not being able to find housing that they can afford. now what does the city have to do with that? well, for starters they're the ones who make the rules on what kinds of housing can go up and where. if you have ever looked into those zoning laws in any kind of major cities, especially democrat-run cities, so difficult to turn a profit other than with luxury housing so it makes so that only people who earn a lot of money, at one of the few remaining businesses left in california can even afford a place to live. it is an issue of supply. it is not an issue of there not being enough people to california or not having differ opportunities and businesses. it is about the fact that the government has come in and dictated how every aspect of people's lives should be run. now the chickens are coming home
to roost. charles: real quick, emma, i want to squeeze in one more thing. is it too late for them not to go with a big government solution? in other words, could think actually cut taxes, cut regulations at this point? are they too far gone? >> that is for them to find out. that would be my recommendation if anyone from the government of california is watching this segment right now. cut taxes, improve opportunities, let people live their lives, and embrace freedom because freedom is wonderful. it lifts people. it creates new opportunities. it allows people to provide for themselves rather than relying on the government which of course relies on taxpayers. charles: i want to stick with los angeles and give your thoughts on turmoil going on in hollywood right now. reportedly the former head of the hollywood foreign press sent an email calling black lives matter a racist hate movement. this of course 56 we learned the ultraprogressive hollywood foreign press association hasn't had a black member in two decades. trouble in self-righteous
paradise. always seems how this comes full circle on them. >> it is interesting. i don't know if i would agree of the language, strength of the language in the email sending it i may have phrased things differently, i agree with the sentiment. blm pulled one over on a lot of honest people who care about racial injustice, care about equality, i will send you 10 bucks, i will donate, pope graphics on instagram, without knowing that blm is a organization that wants to tear down three of the most fundamental things for communities, marksest. organized religion, that is important for people to be involved in the community, they want to tear down the nuclear family, the ultimate input whether someone has a healthy, happy, successful life and they want to tear down the free market. want to tear down capitalism which offers people opportunity. they want to deslow those things. do it in the name of racial justice. it's a farce.
charles: unless you're the leader of blm, capitalism, real estate, million dollar homes, not so bad. emma, thank you very much. we'll talk again real soon. >> thanks, charles. charles: apple is ad it again, another ill-hyped event on 2021. a couple new ipads, color options, giving smaller gadgets but is that enough for you to buy the stock, there is actually plenty and more to come. trelegy for copd. ♪ birds flyin' high you know how i feel ♪ ♪ breeze drifting on by you know how i feel ♪ [man: coughing] ♪ it's a new dawn, it's a new day... ♪ no matter how you got copd it's time to make a stand.
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charles: apple unveiling a slate of new products today including some updated ipads. it's not as juicy as an iphone reveal, but it's helping the stock. and should you be a buyer? want to bring in ray wong. ray, of course, nothing on a new iphone, and we did get a new color though. and maybe more importantly, nothing on the apple car. are we going to get anything on those things this year? [laughter] >> i don't think we're going to hear about the apple car or the glasses for a little bit more. i think those are things in the future, but what i was really excited to see is was how the vertical integration of the m1 chip showed up in all the other devices, and it's actually making an impact especially when other companies are running out of chips. and also the services part of the business was amazing, thinking about what they're doing with podcasting, with the subscription services and, of course, some of the changes in apple card.
charles: they definitely dropped the ball a little bit, right, when it came to podcasts. they were ahead of the curve, and then all of a sudden they were way bebehind. >> they were. and i think watching clubhouse take off, watching what twitter's doing with spaces, it's reinvigorated them, and it's really about getting content creators coming back into the network and giving them an opportunity to monetize on 1.68 billion ios or devices. they're definitely putting the network to work, but, yeah, they've been behind on the podcastinging piece, and here's a chance to get back at that. charles: would you be a buyer of apple here? >> yeah, i am. they're growing the ios base, the services revenue, and they've got a plethora of new products coming out and getting a lot of efficiencies out of the m1 chip. that vertical integration is paying off. charles: i did see where the i mac's speed is two times faster. hey, let's talk about after the
close. netflix reporting. many are kind of suggesting, okay, listen, 2021's going to have a real tough comparison to that pandemic-fueled growth that they enjoyed last year. what should we expect? >> well, the comps are going to look different, right? instead of getting 14 million subscribers, they'll probably get 6 additional ones, but 200 million subscribe canners, they're -- subscribers, they're still leading in the streaming wars. and you're probably going to cancel all your other subscriptions but netflix and maybe disney plus. i don't think they're in a bad position, and they've actually put themselves in a good position with content. i think they've built a good following, and i don't think they're going to be going away for some time, but the growth isn't going to be the same as last year, of course. charles: i'm kind of excited. being long the stock, expectations are low. a few moments ago discord walking away from that deal with microsoft. microsoft, obviously, has a lot
of money burning a hole in their pocket. they want to do deals. can you tell me what would be next for them? >> i think what they're trying to get to is the ability to build ad networks, consumer networks, they're actually going after that social graph which they're missing. they've got linked ip, but it's not ex-- linkedin, but it's not executing the way they wanted to. lots of opportunities, and the xbox really should be the place where they start that process. charles: i've got less than a minute to go. the 10-year has come down sharply, but technology stocks are still struggling. what's the narrative we're missing here? [laughter] >> so the bond yields weren't really creating that much of an an issue. people were getting worried, but i think we've plateaued because the rest of the world isn't catching up on vaccines. and you're seeing the travel bans, and you're seeing some concerns about being able to get the international markets open. china's up, u.s. is up, but
we've got to get the rest of the world vaccinated more quickly, and it's really a contest between vaccines versus variants. charles: you know, i think you're right. i think the vaccine story's underreported around the world. ray, thank you very much. liz claman, markets under a lot of pressure and picking up momentum to the downside. going to be another eventful hour, last hour of trading. liz: i know. yeah, and netflix reports after the bell. there is so much in this next 59 minutes. we've got to ask our viewers, did you look at this apple event as a product release or a hollywood action movie? we are going to show you the mission impossible-esque mini movie that a apple used to hammer home what appears to be the engine both the present and the future that apple, it feels like, will put behind just about every one of its computers. but along with refreshes and candy-colored imacs,