tv Worldwide Exchange CNBC October 29, 2021 5:00am-6:00am EDT
it's 5:00 a.m. at cnbc global headquarters here's your top five at 5:00 president biden landing in rome ahead of his first g 20 meeting as his economic agenda back home remains in limbo already in rome and moments away, a live interview with janet yellen, her take on the agenda, inflation, the supply chain and more a pair of misses from amazon and apple as they look to wipe off a combined $200 million in market value at the open. as natural gas looks to add to stellar gains for 2021, we
speak with one major player in the space as he shares his outlook for the winter and beyond and boosting fortunes for one lucky stock. it's friday, october 29th, 2021, you're watching "worldwide exchange" on cnbc. good morning i'm courtney reagan for brian sullivan. our sarah eisen set to speak with treasury secretary janet yellen but first a quick check on the markets. the u.s. stock futures this morning the dow jones indicated lower by 50 points, the nasdaq down by 128 points this morning after we got the disappointing
earnings reports from apple and amazon the s&p andnasdaq did close at all-time highs outside of stocks crypto popping once again, this time it's ether hitting a record high, it's up 55% in october if you look right here up almost 3%, more than $4,300, and bitcoin is up about .5% to almost 61,000. your two money movers, apple and amazon revenue at apple falling short of expectations while earnings in line. this is the first time since 2016 they failed to beat on earnings and the first time since 2017 that sales missed as for amazon, the company missing on the top and bottom lines and delivering disappointing guidance for the holiday quarter. this is the first time since the start of the pandemic that amazon has missed bottom line estimates. more on the results ahead. apple down more than 3%,
amazon.com down almost 5%. and to rome now, president biden landing just hours ago ahead of his first g-20 summit. the president leaving behind an economic agenda largely un unfulfilled. it's not just biden, another key white house official is also in rome for the g20 let's go to sarahiz isner with more >> good morning to the treasury secretary janet yellen joining us from the g20. wish i could be there. >> thanks, so much sarah. >> i wanted to start with the plan that you call transformational, the framework that president biden announced yesterday. house leaders scrapped a vote last night president biden arrived in rome, heading towards g20, towards cop26. how big of a blow is it that he
comes empty-handed >> well, i believe that pretty soon, hopefully next week, congress will pass both the reconciliation or build back better bill and also the infrastructure package there seems to be strong support for it in both houses of congress, as i say, it's transformational and i believe these will become law and they contain so many programs that will be so important for the american people two additional years of early childhood education that will be universal. remarkable support that will make child care affordable help women participate in the labor market historic investments in health care for seniors, for the
elderly, for those who are disabled support that will make health care affordable and an investment in climate change which is really an existential threat and the infrastructure package, you know, not only has investments in roads and bridges but what we need to have a modern, efficient society, broadband, ports, modern transport that's efficient and climate friendly investment in research and development in climate change, the grid >> you have said that this -- these plans will add to growth and be stimulative for the economy. any sense of how much or for how long >> well, i think that it really
helps us invest in physical capital, infrastructure that's important to product growth. there's investment in human capital. there's investment in research and development. and the support that families will receive that will help them participate in the labor market that will boost labor supply all of those things boost the economy's potential to grow. to my mind, certainly over the long run, over a decade, several tenths of a percentage point. >> will it drive up short term inflation even more? >> no. i don't think that these investments will drive up inflation at all first of all, they're fully paid for. and not by imposing higher taxes on anyone earning under $400,000, but by asking
corporations, high income individuals to pay their fair share and by investing in the internal revenue service so they can boost compliance, which is fallen to low levels we have a huge amount of uncollected tax revenue, a tax gap that's estimated at $7 trillion over a decade. and the spending that's involved, it occurs slowly over the course of a decade so unlike the american rescue plan, which was attempting to address the impact from the pandemic and involved a lot of spending in a short time, the infrastructure and build back better packages are spending that's really small relative to the economy in any year and spread over ten years.
and, as i said, it will boost the economy's potential to grow. the economy's supply potential, which tends to push inflation down not up. and, you know, for many american families experiencing inflation, seeing the prices of gas and other things that they buy rise, what this package will do is lower some of the most important costs, what they pay for health care, for child care, and it's anti-inflationary in that sense as well. >> you mention the pay fors and i did want to ask you about that, because it looks like you didn't get the billionaire's unrealized gains tax, which was controversial and unprecedented, didn't do the elimination of stepped up bases and avoided the whole tax avoidance by the wealthy, in terms of their invest mles which i know is something you were hopeful for and promised to do
is that a disappointment >> we proposed what we thought are good and appropriate tax policies we do need to be able to muster the votes to get these bills through the house and through the senate and we tried to design a package of revenue raisers that would be acceptable to members of congress so we paired back on some rate increases that weren't acceptable to members of the senate, and i think the raisers that we have, though, are appropriate, fair, and while there isn't a billionaire's tax, i think it's been agreed that individuals earning high incomes, more than 5 or $10 million will pay a surtax on
their income tax rates and that hits really high income individuals. >> sure. on the corporate front i know part of this is what you're there to do in rome in g20 and the framework for the global minimum tax for corporations you've hard on it, gotten countries, including ireland, it's a big accomplishment. i wonder how that tax will impact global economic growth. can it have a dampening effect on foreign economic investment and companies expanding overseas because their tax rates are going to go up in a lot of these countries? >> i don't think it's going to be any meaningful impact on direct investment, investment anywhere around the globe. these are relatively modest increases in taxes and what it will provide is a level playing field globally,
where companies and countries can compete on the basis of their innovative ideas, fundamentals, the quality of workforce and their business environments, and it will provide an environment of much greater tax certainly than we've had in a very long time. it will do something to close the loopholes associated with tax havens that have allowed many multinational corporations, those based in the united states and elsewhere, to avoid paying their fair share, and this is an important agreement, because countries around the globe have decided that in order to finance the public infrastructure investments that they need and to invest in their people and
not to have all of the burden of raising taxes fall on workers, that this is a way to make sure that all countries, in a fair way, can collect more from corporations so they pay their fair share too. >> so speaking of multinational corporations be apple last night reported earnings said it took a $6 billion hit in the quarter because of supply chain issues and suggests that's going to be worse in the fourth quarter. how much do you think these bottlenecks and shortages are holding back our economy >> well, i think they are holding our economy back somewhat we saw that this quarter with slower growth of gdp you know, i think gdp growth will pick up, but we do have shortages of semiconductors, the switch in demand from services to goods and the pandemic itself that led to work from home, it
really boosted the demand for semiconductors that are embodied in almost all the goods that consumers buy. and it will take a while, there is clearly a supply response in train but it will take a while to boost supply. although to some extent supply shortages reflect the pandemic in places like malaysia. so it will take a while to boost semiconductor supply but i do expect it will be addressed over the medium term. >> you said you expect growth to pick up toward the end of the year i'm curious about your forecast for next year because the fed is looking at tapering and could look at interest rate hikes next year and a lot of the front end fiscal stimulus is wearing off and the reopening momentum is wearing off.
so what does that lead up to to next year? >> it's true that some of the fiscal stimulus will wear off. there will be less fiscal stimulus next year for sure. but households have amassed a lot of saving, wealth is increased. they've stashed away some of the income they earned and didn't spend during the pandemic and i expect consumer spending and investment spending to remain quite healthy. and, of course, the federal reserve is also, you know, while focussing on inflation, wants to achieve full employment while gdp is now surpassed its prepandemic peak, we're still about 5 million jobs below the prepandemic level and while due to retirements labor supply may not go back to its previous
level, i think as the pandemic eases and concerns about health diminish, people will go back to work, labor force participation will improve and i expect unemployment to fall further and labor force participation to rise again >> have you stopped using the "t" word, the transitory word, which we don't hear as much from fed chair powell and some of the other fed members? are you still using it >> well, i think it's still fair to use it in the sense that even if it doesn't mean a month or two, it means a little bit longer than that i think it conveys that the pressures that we're seeing are related to a unique shock to the economy and as the united states recovers and as vaccinations proceed globally and the global
economic activity revives that pricing pressures will ease, monthly inflation rates have already come down considerably from where they were just four or five months ago and that process is also -- is continuing you know, year over year inflation rates remain high and will for some time, simply because of what's already happened in the first months of the year but monthly rates, i believe, will come down and in the second half of the year i think we'll see a return to levels close to 2% >> we know you have to get to some important meetings, madame treasury secretary, thank you so much for your time this morning in rome. >> thanks so much, sarah, nice to be with you. >> always good to have you that's the treasury secretary janet yellen, right there in the middle of rome for g20 where she
is there and now joined by president biden. back to you. >> thank you great interview. when we come back, digging into the twin troubles at apple and amazon, find out which may be the better stock buy heading into the holiday season. plus 60,000 containers waiting to be unloaded at the ports of los angeles and long beach before the fines start to add up and later trouble brewing at starbucks after a rough quarters we dig into the results. enwodwe chadhour still ahe wh "rlidexange" returns. on your prescriptions? just ask your cvs pharmacist. we search for savings for you, from coupons to lower-cost options. plus, earn up to 50 dollars extrabucks rewards each year just for filling. at cvs pharmacy.
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movers three big stock stories this morning first up u.s. steel shares jumping on the announcement of a $300 million stock buyback program, also announcing it will increase the dividend to 5 cents per share. shares are higher 8% starbucks, shares sinking after missing revenue in the third quarter. fiscal 2022 outlook coming in short also shares down by 5%. i love those pumpkin spice la tays and western digital down, it's one of the many companies seeing the impact of supply chain troubles
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penalties for any box not unloaded it's one part of the biden administration's plan to jump start the struggling supply chain. what do you think the likelihood, though, is actually of making a dent in the back log by sunday because of the fines, is it going to do anything >> reporter: it isn't. i spoke with gene saroko who's the head of the port of los angeles who said the carriers needed to start this past monday in order to move the product and the real-time indicator here is looking at the amount of vessels at anchor. you have 82 container ships waiting to move into the port. and then in the next three days you'll have an additional 20 more container vessels this just shows you the lack of productivity and believe it or not, the 60,000 containers represent a whopping $2.66 billion in trade. and the truck turn times are not really working, it's really a hot mess and the interesting part here is that 30% of all the containers
we see at the port, they have been there for over 13.5 days and normally they're moved out by four. >> that is amazing it seems that fines aren't going to do anything, of course, because it's not the problem that they're just being lazy or something, right there's just a big backlog, there's not a spot for them, there aren't truckers to take them so what are the ports doing to help move out the containers >> the ports of long beach have one terminal that's 24 hours a day, four days a week. walmart told me they are utilizing some of those appointments and working hand in glove with the tsa to have some 200 drivers have their clearances expedited so they can use the products target is using 50% of the night shifts already and adding to that and ups, walmart and target are working with the terminals so they can identify where those containers are so they can put
them in special piles so they can pick up the containers faster and the daily chart is going to be $100 a day for every day that the container is there >> it's just so interesting to me can the carriers pass off the charge that's designated for them it doesn't seem like it's the carriers' fault it's happening. >> it is i've spoken to jgene about this. their names are on the bill of lading, they sheppard it from china or wherever it is. the port of los angeles and the port of long beach, they are landlord ports so the retailers, the terminals, the carriers, they are their tenants and the landlord wants this product out so unless they have a clause in their contract these importers
will be slapped with the chargers so we'll see which retailers have this clause or not. >> i like the analogy of the landlords and tenants that makes sense to me. thanks so much for being here and breaking it down for us. >> thanks for having me. >> ahead, big trouble for big tech as supply chain shocks hit in the worst way we'll dig into amazon and apple, that's next. if you haven't already, follow our podcast if you missed "worldwide plchange," check us out on ape, spotify and other podcast apps we'll be right back. you have to deal with higher expectations and you have to lower wait times. with ibm, you can do both. your business can unify apps and data across your clouds. so you can address supply chain issues in real time, before they impact your bottom line. predicting and managing operational issues that's why so many businesses work with ibm.
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big tech in the red after amazon and apple failed to deliver. nasdaq futures pointing to a sharply lower open ahead of president biden's g20 debut, treasury secretary janet yellen speaking with our sarah eisen on the economy, supply chain, and fed and much more. >> i believe that pretty soon, hopefully next week, congress will pass both the reconciliation or build back better bill, and also the infrastructure package plus the global energy crisis showing no signs of abating what one major u.s. gas producer is expecting in the winter months ahead for the u.s. and europe it's friday, october 29th, 2021, and you're watching "worldwide exchange" on cnbc.
welcome back i'm courtney reagan in for brian sullivan let's check your stock futures just about 30 minutes past the hour we are indicated for a lower open for the major averages the s&p 500 down 22 points the dow jones industrial off by 53 look at the nasdaq, it's actually getting a touch worse than the top of the hour, down 134 points at this time after those disappointing results from amazon and apple after the bell thursday let's check out the action over the past 12 hours here you can see the sharp decline and then the continued fall after we got those results from those two big tech heavyweights which are likely to weigh on the broader markets, too they're overweight in many cases. let's get you two of the biggest money movers of the day shares of amazon and apple falling in extended trading because they reported disappointing quarterly results. the details include apple's
fourth quarter earnings, but the first time the company failed to beat fast since 2016 revenue coming up shy, the first time that's missed expectations since 2016 apple's ceo tim cook citing supply chain disruptions and chip shortages amazon, third quarter earnings and revenue both fell short of forecast and the company's guidance on fourth quarter sales is below street estimates. they expect to incur billions of dollars in extra costs due to labor shortages, supply chain issues and rising shipping costs. let's get more from joel thanks for joining us. let's start with apple the good news is perhaps it's not a demand problem with apple. many of us are still clamoring after those apple devices and services, it's really a supply issue. >> exactly
and obviously any time you see a $6 billion hole coming out of any print your eyes are popping out of your head a little bit but that is a reality right now with apple we've been here before and at the end of the day, if there's any company on planet earth that can get through these supply chain bottlenecks, headwinds, bottlenecks whatever you want to call them, it is apple margins held up well dealing with a company like apple and their historically flawless execution this is where they can separate from the pack. when i see apple clearly struggling with these issues i'm more concerned lower down the chain because you do think that eventually apple is going to squeeze out their suppliers versus eating the costs themselves stock is down about 3%, still well below the low as we saw just about three weeks ago so i don't think any alarm bells are ringing yet for apple but i'd be more nervous about some
of the supply chain numbers. >> it's becoming more important for apple each quarter, that not ac affected by the supply chain but, of course, there's this litigation ongoing what's the drawback, impact of that as we wait for the ultimate decision >> it's kind of anyone's guess at the moment. we do know the longer term -- i think the reason why sentiment is neutral, mutual funds are underweight, hedge funds could care less about it at times. the longer term issue for is the kind of disruption and threat to their app store feed and the model structure. we know the ruling on september 10th versus epic is going to allow mobile developers to implement their own payment structures to circumvent the apple pay model and that's something to keep an eye on moving forward right now it's anyone's guess but you know, i think both google and apple, their ecosystems are going to be under
threat and it's going to weigh on margins longer term, probably why for a name like apple which has rerated significantly since the start of the pandemic, that's why the mobile is probably capped until we get more clarity on that situation hence the stock is only up 12, 14% year to date microsoft is up 45%, alphabet up 60%. i think investors have figured that out. >> sure. i found so many things interesting about the quarter, not the least of which that amazon retail passed sales for the first time we talk about what a profit engine aws is for the company but obviously revenue is growing in importance as well. >> exactly the amazon print there's a lot going on here. obviously you have the supply chain issues and you just mentioned aws, that is the only bright spot we had all quarter revenue is accelerated 39% well above not just consensus
but expectations so it's become a bigger piece of the pie. with amazon you're seeing a stock that's barely up year-to-date right now, up 100 to 200 basis points year-to-date you have the supply chain issues, the issues of labor shortages coming out of the pandemic as well and they're spend ago ton of money, they came out last night, they're going to spend heavily to get you packages for the season and spend on content, whether it's video games or prime video. so the amazon story is trickier, a lot more hair on it and historically gotten a pass for earnings and margin misses and looking at the price action not just right now, in 2021, i think investors are starting to not give them that pass anymore. >> good points there your points about the extra expenses that they're having to put forward to cover what's going on with labor, of course, the increased cost of shipping and all of those things, in
order to serve the customer, which has been first and foremost for amazon. and andy said we're going to spend several billion dollars. this doesn't seem like a one quarter thing. how long do you anticipate these extra expenses being in the billions of dollars? >> it feels like it could continue to linger the messaging so far ahead of earning season has been more optimistic especially from the automakers in terms of supply chain challenges hopefully as ports open up slowly and surely, covid restrictions ease a little bit, but it's really anyone's guess i mean, at least the tone has kind of -- it feels like we've troughed in terms of negativity. but again there's a lot going on here with amazon and, you know, he's got a rough start his last -- his maiden print was back on july 30th, stock fell 7.5%, down about 5% right now. so i think people are going to start to question a little bit
maybe the execution and trying to get the ship back on the right course but i think apple probably -- i'm sorry amazon is probably dead money to some degree until investors become more -- warm up to the story a little bit in terms of earnings and margins and what looks like in the quarters ahead but i don't think anyone has a clear picture of where amazon maybe starts to trough and bottom out it seems like the path of least resistance is lower. >> right wow a lot of pressure for amazon and apple here as we go into the opening trades joel, thank you very much for being here this morning. >> thank you coming up a "worldwide exchange" exclusive with one of the country's top natural gas producers. his take on prices and what's in store for the winter ahead. some of the other top stories, a case of mistaken ie denty, shares of me a seeing a
surge yesterday as facebook announced a global rebranding to meta meta's ceo not skipping a beat telling mark zuckerberg and company, quote, welcome to the metaverse. and coca-cola looking to take on armor. the squid token named after squid games is up nearly 2,400% in the past 24 hours and has a market clap of $175 million. the token was launched as the coin of the squid game project we're back after this. [uplifting music playing]
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amount of underperformance still it brings attention to the idea that maybe some of the names as under performers could be trading a discount valuation. if you look at the last five years look at the valuation on a forward price to earning ratio bases that is to say what they expect the price to be and expectation wise versus the future it trades at a ratio of about 21 times, you can see that, just about in line with the s&p 500 meanwhile, over the last five years, that white line typically trades at a higher level than the orange one they're trading together right now, it might apply that there could be a bit of a valuation discount relative to the s&p over the last five years at least. so keep an eye on the valuations in the communications services >> you know they're going to be in focus today, too. we move to energy and the focus on natural gas and the
global energy crunch prices popping again this week adding to its already 120 points percentage gain since january. a number of stocks riding high, including cnx resources major player with operations in marcellus and ewe cuss shale prices and authorizing a 1 billion share buyback. joining us to talk about this cnx resources president and ceo nicholas delius. thank you for being with us. you had a nice quarter what drove the quarter the price of nat gas, is it that simple. >> thanks for having us. it's going back to the basis of our business we're a manufacturing, you want to be the low cost producer and
move forward offefficiently. if you can do that you're in a position to joy healthy margins and that's what we saw last quarter. >> obviously energy is in focus around the world, europe going through an energy crisis of sorts with prices really soaring. what's going on there? in your opinion do you see that abating any time soon? >> what's going on, i would sum up, this is the world over it's supply and demand as we've seen with a new twist. on the one side with the demand it's going to be weather department, gdp dependent as it's always been weather is difficult to predict 40 days out let alone a year out or further if you have a cold winter that's going to spike demand for the product. a mild winter, the opposite is true on the supply side things are evolving what's evolving is that the natural gas industryat large i facing some ability or inability to respond quickly in the short
term some of that is markets wanting to see the buzzword discipline applied across the space some is policy where natural gas fields have been shuttered, particularly in europe and some is labor driven the ability to get men and women to staff and man the rigs, et cetera so there's a supply response that has slowed the last couple of years some of it because of policy but this new twist between supply and demand goes back to what i would call for lack of a better word, the infrastructure to get the molecule of methane from western pennsylvania where we're at in pittsburgh to the eastern united states or export liquid gas to places like europe or poland or india or japan. that pipeline is the structure and everything associated with it
there's been frankly strangling investment in that area. so when gdp is growing and weather is changing and demand is spiking, the ability in part because of supply response time but also in part because of the plumbing infrastructure to deliver that molecule of methane from where it's manufactured to where it's in demand is changing and you see areas like the uk or china or asia, when that demand goes, the ability to respond with the afford natural gas is going to be different. and not in a good way. >> that brings us back to the united states here and, of course, expectations that you have for this winter what do you think prices are going to look like what do you think the supply and demand equation will look like here in the united states for natural gas? >> we've seen a tremendous amount of volatility if i look at the forward price for winter at 10:00 in the morning i can't rest assured by
the end of the day it's going to be in the same arena it changes so drastically. what we just discussed is that inherent increased volatility. our view for winter, a, it's impossible to predict. if i can't predict what winter is going to look like because of the inability to predict weather, i can't predict what '22 or '23 is going to look like, which is why we hedge, we take the unscertainty off the table. but i go back to looking at the fundamentals and particularly looking at winter of this year what's weather going to do if we have a milder than normal winter we'll be awash in natural gas and prices will drop if we have a colder than normal winter, talking about the united states here, we'll see some interesting times when it comes not just to pricing but potentially availability and reliability of things like electricity which natural gas is
a driver of. >> thank you for joining us here today, ceo of cnx. >> thanks. on deck treasury secretary janet yellen speaking to us live ouakier this hour what investors shld te from her comments. that's coming up next. 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
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welcome back earlier this hour we spoke with treasury secretary janet yellen as she gets ready for the g20 summit in rome here's her outlook for growth next year following this week's down beat for gdp print as the fed prepares to announce its taper. >> it's true that some of the fiscal stimulus will wear off, there will be less fiscal stimulus next year for sure. but households have amassed a lot of saving, wealth has increased.
they have stashed away some of the income that they earned and didn't spend during the pandemic and i expect consumer spending and investment spending to remain quite healthy >> let's bring in stephanie link chief investment strategist at hightower. it's awesome to have you here with us early this morning, what do you make of secretary yellen's comments and that gdp print we saw yesterday morning. >> good morning. it's great to be here and great to see you i think that the consumer is just fine. and that is 70% of u.s. gdp but because jobs being plentiful and wages going higher and 2 trillion in excess savings as janet yellen referred to, there's pent up demand and that's an important part of our economy. and i do think you are going to see the consumer continue to spend. i was on a conference call the other day with hilton management, their earnings call and they are sold out on the leisure side their prices are going higher
than 2019 levels so the demand is there and as i mentioned, the pent up demand is really significant i do not get nervous about yesterday's gdp print of only 2% because i do think that there were some issues like the delta variant really spiking throughout the quarter you have supply chain problems you have got labor shortages so i do think the fourth quarter will see better growth i think the first half of next year because of the pent up demand and also the strong manufacturing, i think you're going to see above trend growth. so i do not subscribe to the stag-flation theorists, which i heard all day yesterday. i think inflation is real, we have to watch for that and find companies pricing power but i think the growth will be strong. i agree with her on the growth side, just not the inflation side. >> if you think growth is real and something we have to watch,
she said in the interview that she thinks the term transitory is appropriate for the situation. do you think it's still transitory >> i think parts are transitory, courtney i think the commodity side, i think the bottlenecks will get fixed and we'll get the goods from the ports, from the ships at the ports but i do not think that wage growth and rental costs are transitory so i do think we'll have an elevation of inflation, not run away inflation but higher than what you and i are used to and what everybody else is used to over the last 20 years. >> we have big names reporting after the bell on thursday with apple and amazon, both of those names pulling back here in the early going, likely to start the trading day lower. do you think there's opportunity in this pull back or with a name like amazon which hasn't done much in quite some time you still need to wait and see >> well, i think amazon is more interesting than apple to be
honest with you. but the problem is, you have 100% of the sell side with buys on the stock, right. so it's loved. and so, and they are going through this spending cycle. but eventually they'll get through the spending cycle and the investments, which you want a growth company to do will lead to better growth the ecommerce slow down, it's a little bit disappointing but the aws numbers were huge. 39% with margins at 30%. 200 bases points better than expected that's really why you own amazon, quite frankly. so if that one were to pull back more from here it's sernlly interesting the set up into 2022 is more interesting to me than apple, which is going to have supply chain issues throughout, i think, 2022. chuck robins was on cnbc i think it was earlier this week and he basically said he doesn't think that the supply chain gets fixed until the second half of 2022. so we have time on apple but
amazon is the one i would be looking at. >> i made the point in an earlier interview that the revenue from aws was higher than the revenue from the ecommerce side do you think that's a shift that's permanent or just a slow down because of the quarter with the pull back in ecommerce growth >> they're so big in cloud that i would have been happy with 30% growth i would have been thrilled with 30% growth but 39% is such a huge, huge number there's only 15% of the companies that workloads in the cloud. so that tells you there's so much runway for all three companies, microsoft, alphabet and for amazon so i think it's going to stay strong for a long time i think the comps get easier on ecommerce. first quarter of 2022, i think i'm going to take a look at it.
>> stephanie link, thanks for joining us this morning. have a great day ahead that does it for us on "worldwide exchange. we have futures lower across the board, nasdaq under pressure, watch that as we move towards the opening bell "squawk box" is next moving is a handful. no kidding! fortunately, xfinity makes moving easy. easy? -easy? switch your xfinity services to your new address online in about a minute. that was easy. i know, right? and even save with special offers just for movers. really? yep! so while you handle that,
good morning, two big tech reports late yesterday and two big misses apple and amazon shares under pressure we'll dig through those numbers. president biden failing to break a blockade by the progressive wing of his party. what treasury secretary janet yellen just told cnbc about that new $1.85 trillion spending framework. plus a canadian tech company stock is soaring in former nba player ron artest is trending on
twitter. why it's all about the metaverse. frid friday, october 29th, 2021 "squawk box" begins right now. good morning, everybody. welcome to "squawk box" here on cnbc happy friday i'm becky quick along with joe kernen and andrew ross sorkin. let's look at the u.s. equity futures based on the misses from apple and amazon that joe mentioned you can see that is putting pressure on equity futures, nasdaq in particular down 131 points this morning s&p indicated off by 21 and the dow down 43. the s&p and nasdaq both set new record highs yesterday dow closed just shy of a record high talking about declines but declines from from lofty