tv Closing Bell CNBC November 11, 2021 3:00pm-5:00pm EST
country. that's about 59% of employers that offer the health care benefits companies don't do it. >> fascinating thing thank you for that another piece of the inflation puzzle. >> pressure on families already struggling and people going through job shifts and then premiums rising on top of that. >> good to have you with us. thank you for watching "power lunch. "closing bell" right now. welcome to the "closing bell" on this veterans day i'm wilfred frost at new york stock exchange it is a mixed session on wall street with the bond market closed for the holiday the nasdaq gaining back yesterday and outperforming into the final hour of trade. >> hello i'm sara eisen tech rebounding with chinese internet names leading the charge but nasdaq is pacing for the losses for the weak. disney dragging on the dow
and gold is higher helping the material sector with strong gains at the top today 59 minutes left to go in the ses session. from inflation to labor shortages, the biggest issues against corporate america. including edgewell personal care, zip recruiter, 23 & me and luminar. let's focus in on the big stories we are watching this hour mike santoli watching the market action and robert frank. mike, what are you watching? >> othe macro influences are closed today allowed the equity market to regroup. not too big or down 2% off the record highs so it's relatively broad
this is the overall picture year to date. it's barely curled down from what i point out is a six-month trend line the bottom end of that few percent down and no real immediate level that people are fixiated on to the downside because that ascent through october is so fast and didn't really leave gathering places there and have to see if we hover from here. one sub theme that's been a bit exacerbated is these group of consumer app companies, lost investor faith here. addressing massive potential markets but the businessmodels are not clear and names like uber, draftkeings, roku and bumble and is hitting new lows and the overall market managed to absorb this kind of rush
enthusiasm now draftkings and roku up massively but i think it's interesting that the market is putzing some of the aggressive growth stuff on a shorter leash but look at core groups, indicative of cyclical strength and why the market is able to shake things off the capital market companies, incredibly strong all year semiconductors broke to a new high so they're all looking like breaking the new highs, curling low every. consolidate a bit. that's why the market is in balance even though you have some speck lulative all year >> the dow down 146. s&p still higher a big part is disney taking 80 points off the dow and down 7%
what do you make of that move in the context of the valuation question of last night analysts say they're sticking with it. >> it is a bit of a stutter step on the growth of the streaming side i think the attention intensified because you don't have the parks earnings to fall back on. it is a singular story and disney did get credit right up front for being a scale winner in streaming and i think that is bled away. it is orderly and been kind of gathering in the low 160s the stock has and not breaking the new lows and it just tells you maybe the streaming business is entering a grind utd out phase in terms of where it goes from here opposed to the burst of excitement and doesn't seem like it's having much ripple effect looking at the media stocks it is not considered to have the coat tails
things like discovery, viacom and netflix doing fine. rivian are jumping again and there's big money in that name and other ev plays. robert frank has the story for us >> rivian market cap topping $100 billion today creating massive wealth for the founder and investors. owns about 1.7% of the company and officially became a billionaire yesterday and wort over $1.6 billion. in january the board granted options that could be valued over $10 billion if they hit the targets. the shares have to hit 295 and he has to stick around until at least 2030 some other big investors seeing big gains. amazon's stake about 20 billion. ford worth about 12 billion.
you have tesla shares flat today after founder musk cashed out 5 billion worth of stock monday, tuesday and wednesday. the sales were mainly to pay a tax bill that expires next summer he has a lot more sales to go here as the tax bill likel between 10 and $15 billion he's expected to exercise most or all options and pay the taxes this quarter to avoid potential tax increases coming from d.c. next year. guys >> yeah. you have to say kind of getting away lightly despite the pullback that the tesla stock down 12% this week in light of the selling and following the reason i was going to ask, it seems next to musk like 1.6billion i not that much but i wonder how
much musk was worth when tesla ipo'd. it is a last couple of years that led to the extraordinary explosion in overall personal wealth. >> yeah why the big difference between the two is when musk started tesla he had 1.5 billion from creating paypal and already a billionaire when he started tesla. tesla i think is market cap was about a billion when it ipo'd. so it's a much smaller number than what rj is seeing today but a difference in strategy rj wanted cash up front so he didn't have the cash shortages that elon faced in those early years of tesla. >> amazing debut for rivian. thank you still ahead, from zip kruter to 23 & me, the ceos of movers to break down the quarters up next an inside look at the impact of supply chain constraints and inflation on consumer products when we are
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shares of edgewell personal care surging today up almost 15% following strong earnings. the company beating on the top and bottom lines and a full year 2022 outlook in line with estimates. let's bring in ceo rod little. joins us for a "closing bell" exclusive interview. it is good to see you. i don't think we have seen this kind of reaction for the consumer staples this earnings
session. why are you bucking the trend? >> hi. great to be with you today i think what you are seeing is we had momentum in our business. we put up the best fiscal year at the end of the last quarter since we've been a publicly traded company in 2015 on top of having the best year we had the best finish to the year we had momentum at the end of the year up 8% in the last quarter with all categories growing and so there's broad based strength in the business and then when you take the sales line is one thing but the team did an amazing job to manage the inflation in the business and supply chain i think we're one of the only companies growing gross margin right now. i think the outlook is to not have an impact on the margin line, as well. >> why is that
how are you able to grow margin in this kind of environment? does that mean we're paying more as consumers for razors and sunscreens and tampons and everything else you make >> no doubt we are all going to be paying more for consumer products that's part of it. we see unchecked inflation the headline today was the worst inflation in the last 30 years i have been in this business for 25 years and never seen inflation like we see right now. we offset it with pricing, a little bit on sun care, the wet ones business. we took fem care in october and we'll look to take pricing across the balance of the portfolio. there's 400 basis points of head wind from the year ahead with 150 basis points back in pricing. we have a very strong capability
around cost takeout and productivity and get that back in work and not immune we have the problem like everyone else with good levels to deal with it. >> wow you said never seen inflation like it. do you think policymakers are asleep at the wheel? >> i don't know. i think it's a perfect storm it is hard to pinpoint one thing. i'll give you an example of the supply chain we have a tell at a port and need it to have the product to shelf so you're left are you stuck at port or reorder it from another supply every, put it in an airplane and air transport it to the plant there's cost in the system just to get around the supply chain messiness where there's duplicate costs. there's two supply chains.
ocean and air freight. and then there's wage pressure that we are seeing that. we have materials and wages at the same time and i think frankly the wage piece is probably temporary i would say more so than the materials piece or the materials piece is more transitory as things stable down and won't predict the month that happens but i think by the time we get to next spring and summer we'll see stabilization at least which will help. >> all right i was going to ask you how long you expect it to last. i wonder with your categories with sunscreens and shaving if actually unlike some of the other staples and some competitors you do better with more mobility and that is certainly helping your business. >> for sure. we do must have better with moernt you saw people not going to the office less mobile. more facial hair
people weren't shaving as much and not going on vacations in the same way that historically did. we really saw that start to change back in the spring. earlier this year. and we've continued to benefit from that here in the u.s. interestingly enough, 45% of the sales come from outside the u.s. and it's not opened up outside the u.s. like it has here in the u.s. we are optimistic on the two category that is as more people go back to the office. i'm in the office. more people are there every day. you will see the habits return we believe and seeing the category grow and i think sun care you saw international travel begin to open up. the international sun care business is driven largely by tourism and coming online that should be a tail wind for us as well as i think there's still pent-up demand to get out and
get the proper vacation routines back in place. >> with that all in mind you could have expected to see shaving bounce back more than it did for this past quarter. it was an easy comp and a quarter where things reopened maybe not 100% back to normal but i wonder if tastes and habits changed in that area. >> i think you got to break it down by segment. on the women's side of the portfolio we are seeing good category growth and there's habit change around women to choose to shave their legging, for example, more at home opposed to a salon habit and seen good growth in the women's category and the men's side of the business it is still lagging. we haven't seen the category come all the way back. we have grown the sales now in shaf for three quarters in a
row. i think there's more to come particularly on the men's shaving side. >> more leg shaving when you leave the house. >> i know. sorry. >> rod, we say happy veterans day to you because you have been in the consumer package goods business for a long time but before that you were in the u.s. air force? >> yes that was a long time ago, sara to others that have served i share the sentiment with you and to those families that have given the ultimate sacrifice thank you. >> we share that sentiment, as well thank you. and thank you for your service and the veterans out there every day, especially today. >> thank you. >> sincere thanks. online employment marketplace zip kruter popping today. heading to break check out the top searched tickers on
cnbc.com rivian and tesla with disney and beyond meat. 10-year inhe mdl tide there. we'll be right back. (naj) at fisher investments, our clients know we have their backs. (other money manager) how do your clients know that? (naj) because as a fiduciary, it's our responsibility to always put clients first. (other money manager) so you do it because you have to? (naj) no, we do it because it's the right thing to do. we help clients enjoy a comfortable retirement. (other money manager) sounds like a big responsibility. (naj) one that we don't take lightly. it's why our fees are structured so we do better when our clients do better. fisher investments is clearly different.
welcome back zip recruiter shares surging today. the company raised full year guidance joining us now is zip recruiter ceo ian siegel thank you for joining us. >> great to be here. >> we were just discussing about pronounced inflation in the consumer products space in our previous segment what about on the wage side? what are you seeing at the moment >> right now employers are in a battle for talent. we have seen wage growth that's unprecedented. wages are going up the jobs offering benefits is going up jobs offering flexible schedules or remote work is going up it is like nothing we have seen before over the last ten years.
>> do you expect that to prolong and proliferate and cause further wage pressure or temporary? >> i think we are seeing a new normal what happened post-covid is that 55% of job seekers declared they look for ideally remote work or subop suboptimally work and 40% 069 jobs in america can be done offsite and putting pressure on employers to get workers to raise wages in order to induce them to come back to work. >> i was really eager to talk to you because we have been trying to figure out the puzzle in the labor market with 4 million people out of work but a tight labor market and companies can't find workers and more than 10 million hirings. how does that add up to you? what do you think is going on?
>> we are fortunate that we are in a position where we have been focusing the product innovation to give tools so that they can emphasize what makes them special or different and proving to be a just right time for this market because employers are in a dogfight for talent the likes we haven't seen. not only do workers refuse to enter the workplace there's a resignation. employers are treading water to retain the workforces they have. >> what is the advice to young people watching in terms of the key skills to arm themselves with to be able to fill some of the jobs that are available and whether the value of a full college degree in a relative sense is perhaps a little bit lower than the last couple decades. >> this is a golden age in job seeking. as i just mentioned employers
are rolling out the red carpet whether it's wage increase, flexible schedules and pay for college tuition. whether you are in an entry level role or looking for something in specialized field this is the chance to improve the situation and get promoted it really is a golden age for job seekers. >> do you think there's been any permanent changes to the jobs market as a result of the pandemic for instance jobs lost in places like leisure and hospitality faux >> we are seeing a resistance of work requiring a person in person, low pay and low satsz faction jobs wages have gone up more than any other category i believe 14%. you have to ask yourself is this a fundamental change my answer is yes
there is a new awareness and acceptance of this idea of remote work. over half of job seekers in america want it. they can search in 20,000 cities and seeing this play out on recruiting we have seen jobs with remote work from 2% to more than 10% in just the last few mofts. >> what's the best thing to offer right now besides higher wages that appeal to people? >> remote work is absolutely the most in demand perk or benefit a company can offer. you see opportunities have much more success in recruiting we make it easy to search for remote work. it is a significantdemand and only growing so i think that for employers with jobs to be done off side stay open minded and embrace the idea of a hybrid
workplace or fully remote opportunity. >> very interesting. thank you for joining us don't tell that to your bank ceos. >> i know. maybe they'll be listening but they seem resolute i was going to say two interviews, on the wageside an the consumer products side. >> never seen anything like it. >> expected to prolong inflation. very, very stark both interviews. we'll talk to the ceo of 23 and me about the quarterly results sending the stock soaring today. plus, as we have been talking about inflation nation, how about inflation world? we'll ask world bank president david malpass if this could derail the global recovery
let's check in on the individual market movers shares of bumble seeing double digit declines following the earn report seeing a decrease in users. the stock down almost 20%. sofi jumping today 2.9 million users. stock up 13% tapestry, the big leader on the s&p 500 after raising the outlook and approving a share buy back the luxury goods maker seeing strength in the coach brand in particular gaining share that stock up 9% jim cramer talking about tapestry today point your phone at the qr code on the screen to sign up digital is a really strong story for a company like tapestry and shows how some retailers took
the crisis as an opportunity to just totally change the business and grew another 50% on top of the 170% growth in the pandemic and makes up a much bigger portion of the business and showing progress with kate spade which they own >> strong performance there. tapestry slipping a bit with 30 minutes left of trade. time for a cnbc newsupdate hi, rahel. >> hi. the death toll from the astroworld concert risen to nine a hospitalized 22-year-old senior died according to a lawyer for her family and today trast scott asking victims and the families the contact the taenl directly through a dedicated email address if he can help in any way. a lawyer for kyle rittenhouse said that the defense will soon rest the case after defense from rittenhouse yesterday. jurors appeared to be less interested in an expert analyst
today. united nations general-secretary said he welcomes the agreement wean the u.s. and china to work together own fighting climate change. >> but promises ring hollow when the fossil fuels industr receives billions in subsidies as measured by the imf or when countries are still building coal plants or when carbon is still without a price by starting markets and investor decisions. you're now up to date. back to you. >> rahel, thank you jirngs up next, the ceo of 23 and me joins me to talk earnings. an wojcicki is coming up next ♪ [suitcase closing]
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shares of 23 and me rallying today. up almost 11%. the company narrowing the quarterly loss in q2 left the full year guidance unchanged and noted the completion of an acquisition of lemonade health. let's bring in the ceo anne wojcicki join us for a "closing bell" exclusive interview. good to see you. >> good to see you. >> there's all the exciting deals and the 7% revenue growth, what's driving this? you are transforming the company into much more than the ancestry search kits that we have done but what is driving the growth for you at the moment? >> i think what's going to drive growth long term is health and
of all the research we have done we have seen that the ancestry market is something to relate to and substantial but health is much larger and we have talked about the personalized genomics. the idea that everyone is sequenced at birth and focusing the efforts and as we introduce more reports and stories about health i think people are seeing the potential and the benefits and that's going to drive the demand long term. >> i'd also relate to the new deal for lemonade. what's the high level for telemedicine >> exactly we're so excited about this. this is definitely the future of where health care is going and the doors have been opened with the pandemic and the world of virtual care and telemedicine from being weird to wonderful because we are all now experiencing it and seeing the potentials we have always seen this potential of permized genetic
based health care and genetics is not broadly adopted right now in the traditional health care world. it is used in kcancer and undiagnosed diseases but when you go to the doctor genetics is not included and specifically what we want to change and we have realized that changing the existing health care system as it is is really hard and we can now do with the acquisition of lemonade is they have licenses of health professionals in all 50 states, their a pharmacy. we have an ability to bring personalized gentlemen in ittic based prevention focused primary care to millions of individuals and so we really want to lead the genomics revolution of health care. >> is the fair to say that genetics can't make a big difference in many areas and needs to be advances and or are there just some sub sectors of
health care that don't necessarily relate to genetics as much as others? >> there's an exciting area called polly genetic risk course looking at mowations that are all small effect size but add up into a score and starting to get the scores for every disease area all common disease area. look at multiple sclerosis, ra, heart disease. they will have a score associated with them and everyone is within the risk parameters and it is true that genetics is not broadly applicable to every disease area but that's coming and looking at programs in the uk, nhs, there's the personalized medicine centers popping up focused on applying the single genetic risk
like one mutation is a high risk to these poly genetic risk scores so you have a score and how should we manage you to prevent heart disease seeing that you are on this different score. it is changing. >> you look at cholesterol and heart disease, diabetes. what are the nearer toerm practical use cases for this to expect >> for instance we think a lot about heart disease. a natural huge killer. being able to stratify populations and understand who needs to be aggressively managed and might be medication applications or more aggressive on lifestyle and type 2. you can look at the individuals in the top quadrant of risk and put your emphasis and the energy into trying to manage the
individuals. other areas, chronic kidney. fatty liver disease. genetics is coming where there's really going to be the ability to predict who's at the highest risk and there are absolutely lifestyle abilities to try to prevent people from getting it and where we have very different is that we represent really the individual we represent you we are a self pay direct to consumer company and we are not making money off the procedure but off engaging individuals and keeping them healthier. >> in terms of therapeutics i think you recognize cancer treatments what can you add there given that it's seen a huge amount of money go into it and great advances already >> we're super excited i'm thrilled and lucky to be with gsk on this we happen to find these oncology
targets by looking at customers with autoimmune conditions and a great oncology target so you are absolutely right it is an area where there's a lot of development and money and frankly it's great for paints but i think we with the programs moving forward with gsk we have really promising, novel programs that hopefully make a difference for consumers. >> i have read about how you have the ambitions and to make drugs basically and i was wondering because you are not a drug company is this the model to partner with another big company to actually get a drug to market even if you can identify some of the gene abnormalities yourself? >> we actually have a full scale team right now that is doing
development work that's doing the basic research, making the antibodies and looking to bring our own programs and first program into the clinic ourselves so we absolutely aspire to be a full fledged therapeutic development company that is going to bring those programs to our customersand hopefully do it in a way that i think could be better and more of a partnership with the customers. one thing that amazed me is people, you are therapeutic companies that spend money and time and life developing drugs and there's not a relationship and there's not necessarily the mutual respect both ways that people love they should drug companies. and i think that's where there's an opportunity to have a development company and a way to sell therapeutics in a future to the world and be loved by t
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bank president about inflation we'll also look at the challenges of veterans as they return to the workforce. but first, we have got just about 12 minutes to go in the trading day and we are going straight into the "closing bell" market zone. commercial free coverage of the action mike santoli here to break down the crucial moments and today hightower stephanie link back. moving in different directions the dow is lower for the third straight day disney is a part of that story technology is rebounding from the slump yesterday why what else stands out? >> really still part of this sort of cooling off process we knew had to happen more stocks up than down decent breadth the average s&p stock up but kind of a no sudden moves type of day without bonds involved and benign and not really decisive if there's more to go. >> is the inflation debate
starting to scare you or are you relaxed? the market seems to be we're down but it's sort of really resilient in the face of the inflation headlines we have seen. >> yeah. hi, wilf yeah, no i think inflation is scary we have hot priptds from cpi and ppi. we expected it but not this hot and this on top of the various other things to talk about like the rental numbers going higher. you have at a 5% analyzed rental the dallas fed expects 6% by 2023 why that might be conservative at this level and then labor cost. nonfarm payroll numbers with wages higher those two components worries me very much and the thing to watch going forward because i do think that will dictate what the fed does but inflation is going up because of supply chain and the other issues and because growth
is a bit better. we talked about this last week october data is coming in better than expected, especially the ism services and adp, challenger gray i re inflation is going up because it's better growth which is encouraging and earnings are good and revisions higher and the cash flow is incredible. absolutely incredible. m&a as a result. buy backs, dividends and are also seeing spins which is kind of interesting, which is unique. i think you stay the course for now. this is when i don't want to own stocks and so hold on. stay the course. >> disney the worst performing dow component. julia boorstin spoke with bob and joins us now hi, julia. >> that's right. disney missing on the top and bottom line and disney
subscriber growth of 2.1 million, 7 million less than projected but the ceo saying he is confident that the company will hit the 2024 targets in part by investing in international growth >> we are making a substantial investment in local content. we believe that we offer a tremendous price value to consumers around the globe, and all of the research indicates that and think we have head room for the pricing in the future. >> all three quarters of analysts with a buy rating on the stock. there's cautious notes today focusing on the cost of what it takes to ramp up content and meet the targets you can find more of the interview with him and the thoughts on sports, theme parks and the meta verse on cnbc.com.
>> great stuff thank you. what is your take? overdone >> i don't think so. the stock's trading at 38 times and the whole reason why it trades at 38 times is because the streaming numbers last year so much bettser than expected and related as a result and now slowing streaming growth and heavy investment spend and implied guide for subs implies that they'll do 44 million sub growth each year until '24 netflix is seeing 27 million subscriber growth per year but their 3 million to $4 million in a higher budget so i think it's tough and parks, it is a reopen story by higher inflation and don't get the operating leverage i think this is -- you wait the time this is a price level to look at it maybe 150 or 140 that kind of area where i would get more excited. >> the bull case and a number of
analysts are still bullish on the stock that i have read with the disney plus subs is spending a lot of money on content and ramp that up and gone through a crisis if you will on content. production is halted as a result of covid once they ramp that up especially in international markets could lead to more growth that they were seeing in the beginning of the launch of disney plus. do you buy that? >> there's no doubt that eventually the investments pay off but you have time and 44 million subs per year is a big number i don't know if they get there but there's still a lot of competition out there. they're investing heavily but up time and could drift down as a result and maybe take a look at it. >> drifting down today 7%. a firm is a huge winner. kate rooney with the details
there. >> firm a fintech winner with better than expected numbers and upbeat guidance. stock up double digits and affirms jumped from 6500 june to more than 100,000 in the third quarter thanks to the partnership with shopify users only going to affirm about two to three times a year and not quite being used as an every day payment method but the ceo saying that they're moving to debit forever payments but avoiding traditional credit cards now. >> we intend to offer and have and then debit plus i think it's better than a credit card. credit cards are frankly power tools with no safety you can get yourself in real trouble. >> a boost from some details of the deal with amazon back to you. >> including two tranches of
stock purchase warrants. thank you. affirm shares is like the sky's the limit? >> it is a pretty emotional stock. >> same amount yesterday. >> exactly it's kind of got this intense fan base and $140 stock nine months ago today a huge drop and then picked up so the point is got great news flow associated with it. if a lot of people who love the product buy the stock types and a general sense out there that they're in the right part of fintech that others are racing to get into. it is a race because you need to be the default option and figure out if you have critical mass and exposure of vendors so i get why people are excited about it but it is much more about trading than the last headline. >> and the details we learned about the amazon partnership is positive. >> yeah. >> particularly exclusivity by
it is only 18 months long and maybe so valuable to amazon and the customers that they become the one of choice but if that disappears and amazon uses them to learn about how to do it themselves it's extraordinarily steep. >> if and very sincerely the company says we want to make sure customers are not in trouble. >> it means when and if the economy turns down and the customers feel the pinch even if it's smaller than a traditional credit card the changes the dynamic. they won't hurt people and keep growing. >> peloton is beat up there. >> 8% of the last quarter's r revenues. >> let's get the next story. singles day and trios are making big moves. hi, d. >> singles day 2020 may not have
a performance but the annual shopping event broke records again. the pace of spending slowed as the holiday took on a more subdued tone amid the chinese government's crackdown on the giants and con survegs jd, alibaba and another e-commerce name in china rising in the session all three are still negative on the year back to you. >> thank you mike, what do you see? >> mentioned that most stocks are up today not a dramatic move. the volume split is decidedly to the upside small caps higher is a reason for that wanted to take note of the u.s. dollar index year to date high. a one-year chart this is around 100 somewhat before the crash and
obviously getting back to the levels today part of the move is weakness in the british pound overrepresented and shows relative growth expectations in different parts of the country the volatility index sleepy. it lost elevation. no treasury bond volatility to influence today and a source of the jumpiness. a flat market. two-way action is draining the vix here. >> some think that the british pound is underrepresented. not many but one or two people do as we approach the close 50 seconds left s&p 500 is just holding on to gain just the dow down, 150 points or so disney accounts for pretty much all of those declines for the dow and why it is the laggard today. the nasdaq is outperformer up 0.5% all three are down more than a percent for the week so far.
materials are the best today foll followed by technology mike told us the dollar continues to rise and strong again today. the bond market is closed. all down about 0.3%. gold continuing the strong week. at the close we are just high irby a handful of data points on the s&p 500. dow down at session lows and the nasdaq closing up half a percent. ♪ welcome to "closing bell." i'm sara eisen along with wilfred frost and mike santoli, cnbc senior market commentator david milpass, the global economic outlook, on this close hightower stephanie link with us nvidia is there and the names hit hard yesterday on inflation concerns and raising rights so which is it? the market that's scared of
inflation orb not? >> the market changes the mind every day. nvidia is the one to me that captures by far the biggest influence today. it's just a momentum favorite. there's been no let up in that game of just like gunning the call options and playing for short term gains in names like that you can say you buy the dip. microsoft to me is the one that trades the most bond like of all of them seeming so predictable so look. without treasuries here it is like you don't have a quorum. >> the dollar is higher. >> and the commodity related stocks are higher. >> steph, are you reembracing any reopening sectors as travel is per mitted once again >> yeah. i own a whole bunch actually of the reopen names and been adding
to them. after i heard several companies speak on cnbc about improving demand we have learned in the last week ual saw 100% load factors last weekend with the ban being lifted internationally we saw, heard from wynn yesterday that their ebitda beat by 45% in october actually all record highs in ebitda in las vegas. we heard from expedia and they said that summer the bookings in 2022 are higher than '21 because demand is so strong and even match group, i know bumble stumbled today but match beat and tindr is up 20% why there's demand for sure in terms of the reopen i have to watch inflation to see if that creates destruction. i don't think so in the near term but it is something to watch for 2022 theme so we'll
just have to wait. >> the other thing is a higher move in gold and materials were the best performed sector and on the week and not been the predominant theme all yearlong. >> gold is firmed up and people is saying the chart is looking constructive now but from low levels definitely upstaged by bitcoin which is not able to break higher in the short term so yeah. it makes some sense. i get that you have the inflation cover story for why that would work at this point and interestingly not seeing a lot of the alarmist inflation story filter through to other asset classes. >> and had the perfect environment which is inflation picking up. >> real yields are very negative now. >> that's the best possible
environment. treasury yields spiking yesterday after october cpi data showed hotter than expected inflation and our next guest with a bold call on where bolds could head we brought you on a day when the bond market is closed to spend all day prepping for this appearance but what is your outlook? are you surprised we haven't seen them pick up more >> wilfred, i would say i'm not surprised but we are approaching an inflection point in terms of revenue work after having been a bond bull for four years when the market was bearish until the end of 2020 i was completely a bond bear with the democrats had all houses of congress as well as the presidency. now we are approaching an inflection point and what you
see. the market so far created a very high real negative interest rate in order because of the fact that there was trust in the federal reserve to see through and i think this week's inflation rates the purchasing power of ppi and the cpi inflation we have had in the last couple of days to change that i think we'll move up. this is a point of inflection in the sense that the loss of confidence in the government entities is beginning. >> i'll just take the other side just for the sake of it because for bond bears it is painful every time emveryone expects a move to 2 pshs it goes the other way and not seen growth rates in years. and inflation rates we haven't seen in decades and yet the 10-year yield at 1.55.
so if the rates can't go up in that environment when would they >> it will go up when one other factor which is currently existed disappears namely the bond yields kept low and inordinate amount of bond purc purchases month to month the maintenance of near zero short term interest rates. the federal funds rate and i think what we are going to see with inflation pickup is that the fed will have to end the qe program faster than it thought i'm also -- of consensus i think interest rates increase first half of next year probably in the first quarter and also make the long yields go up subsequently so you have a pause at the moment, sara, when it looks like the bond bears are having a hard time but i think that's going to get reversed. >> steph, if we saw a rate hike
in q1 would that worry you for equities >> it depends. if they're raising rates q1 is very, very early to me and means that inflation is out of control. right? and they have been saying it's transitory forever so i would doubt to change that quite frankly. again i think some of the inflation is transitory and commodities and supply chain issues but not resolved overnight and could be second half of 2022 so we got to watch that. those two issues but as i mentioned before the rent numbers are really increasing quite rapidly that's bothersome. wages higher is good for the consumer and sticky inflation so if they raise rates in first quarter then something really went wrong i just don't see that in the near term. >> their to speed up the taper.
>> if i could jump in i would say an answer to stephanie i believe the other position inflation is not transitory. never was. i have taken the position from the beginning of the year this is going to be sustained and going to be to go a very high level and for the first quarter of 2022 inflation is going do get out of control they have had an enormous amount of money supplied. the balance sheet more than doubled since the beginning of covid. near interest zero -- what are we going to do next? we are going to see a situation when inflation ary expectations are going to be built in but i agree we have inflation in different areas. president biden yesterday blamed the inflation on energy prices i think it is widespread and for janet yellen to have said on
national public radio earlier this week that inflation will come back down to 22% i think two days later the government is concerned about inflation i wonder what happened to economic policy if that lack of coordination continues in the new year that will affect inflation expectations as well. >> thank you for coming on always appreciate you sharing the calls. another good one. >> thank you. >> we want to talk about a new purchase coinbase down 5% on the past 2 days is this your expression of worries of inflation >> not really. look i'm not catching this early but down 8% yesterday i thought was an opportunity to get one of the best in class, the largest and most secure crypto exchanges and can't ignore the total addressable market 1.6 billion today and grows by
2026 that's a total lowball number and hard to ignore talking to real companies hard to ignore they 'em brasz crypto in general not just paypal, square and tesla. it's coke and expedia and many, many companies to embrace this and benefit the exchanges. the third quarter was terrible i don't know why that's a surprise to people because volumes in prices over the summer were horrific what that loss in translation is they raised numbers on monthly users. average daily volumes. average transactions per month and said average daily volumes 80% better than the third quarter so i would buy that and the best at what they do and the best in the business and i thought it was on sale yesterday. >> mike, the valuation of the name relative to other fintech plays not as steep.
>> no. it's had earnings. if i was looking at it the other day compared to cme and not more expensive than that based on next year earnings numbers the question is, is coinbase to some degree the entry point into crypto as the whole ecosystem develops, more players on, institutions are sophisticated can they retain the business? >> stephanie thinks they can thank you for joining us great to see you. >> thank you. >> with the christmas tree out two weeks to thanksgiving. >> yeah. i like that. >> that's my daughter. i'm blaming my daughter. she is 14. she gets excited so i had to do it and just for you guys.
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autonomous vehicle tech company lumnaire posting down 3%. joining us now phil lebeau with the co-founder and ceo austin russell. phil >> thank you austin, thank you for joining us just minutes after you release the q3 result just your revenue $8 million if i'm correct. shy of what many expected but an increase of 26% why when you look at where the revenue is coming in right now, i know you
have programs that you have already signed up, partners if you will, tell me what you expect as you look into the rest of this year and then 2022. >> yep, yep. as we at the beginning of the year defined five key milestones for the critical aspects of how to define success and progress in the business and wechb beating or meeting obviously for pre series production which is the key coming up for the subsequent year it's revenue that's incremental and raised the full-year guidance past quarter and while we don't have quarterly guidance we remain on track for the full-year guidance frames that we have and beating and meeting the milestones. >> you had a stock reaction earlier this week that you have to love as the ceo of a company with shares popping
substantially once the news came out that nvidia selected luminar sensors to be included in the autonomous vehicle platform. when does that start to impact the results? in other words, they're building the autonomous vehicle platform. when do you suspect that your sensors and work start to flow into the revenue and the bottom line >> the launch for that platform would start to go into production is 2024 it's super exciting to work with nvidia that led the compute revolution and see it for no different for the automotive industry and to be selected by them and designed into the platform is an opportunity to define the future. you know, couldn't be better i don't think we could ask for a better partner in that respect but the things obviously from a development standpoint is a lot
of work to be done to make it happen but this is the same core product that we actually get to deliver to the different autd makers into serious production and exciting to be the first and only company to power that and why we saw this tear across the industry. >> but that's one of the knocks against the lydar technology is that it is in relatively few vehicles and while the potential is fantastic we are not going to see this start to taig off in the industry at least for a couple of years. >> yeah. this is where we're really pioneering this and changing that and there question that there is no truly autonomous or capable vehicle on the road today with that functionality or not one that you can buy this is the point. we are fundamentally revolutionizing the safety and autonomy aspect to build an
uncrashible car and save time on highways to be able to provide a huge value to the end user that's the point and pioneering. if it was existing it would be easy but this is the way that we get there and obviously it is the trillion-dollar market and opportunity to go after that we're -- we set up the stage and the platform we have everything that's needed from a core tech perspective and now just got to keep executing. >> one last question you know there's been a number of lydar spac ipos and people say there's a lot of companies out there. we need to some consolidation or we will see. what's your take on that >> this is what we're seeing you can see there's hundred different efforts out there. everyone and the brother trying
to do an lydar r&d hot in the technology and we had to pioneer the components to make a unique system to make it work but talk is cheap you have to really show substance and get designed in. the decisions that automakers are making now in terms of who and what they work with, that lasts for many years to come this is very sticky type of solutions. high barrier to entry and exit and today certainly as far as we're aware we are the first company that has a solution to this problem for the performance, safety, the technicals and everything that's needed to make this happen and the opportunity to make over the industry. >> in new york, just quick one for me own elon musk and tesla and wondering how you view him
and what they're doing and the fact to continue to grow and the steel and an inflection point with evs and the safety questions related to the ntsa investigations and whether that helps you. >> yeah. no i think -- i'd say maybe in some twisted way it probably has its impact when it comes to the headlines but the reality is that safety has to be first and when it comes down to it and look at the technologies and systems developed and particular in that case i don't think anyone has an issue with what's being done but the naming and there's like -- to try to call anything self driving on the road would be a misnomer assisted driving systems lane keep assist cruise control and then that's what's there and where the beef is coming down to it the whole point of what to
pioneer to make these vehicle safer is the capability and actually have the sensing capability and the software to be able to prevent accidents i'm not just talking about when you have this system active but driving more generally the whole goal of what we do and actually what we showed live is that we can have scenarios where 95% of accidents on the road caused by human error and a direct opportunity to prevent that and giving drivers capabilities and it can tack orr the wheel and the braking system and prevent that accident and showed that capability we have that today and this is why automakers are so excited to do it and accelerating with nvidia and beyond. >> austin, thank you very much >> thank you for having me >> no, no. thank you. >> a busy day with earnings.
back to you. >> thank you thank you, austin. we have an alert on blank charging seema mody with the numbers? seema? >> an ev charging play blirng and higher in extended trade by as much as 5% on a revenue beat. it did report a wider than expected loss for the quarter but this is a company that develops ev charging infrastructure and the ceo said that the passage of the infrastructure package brings us closer to significant funding for the development and deployment of electric vehicle charging stations. shares up 8% gains 25%. for the month of november. >> growth area thank you. up next mike santoli back with a new reading on risk appetite and whether it could be a warning sign for next year
the nasdaq higher by half a percent. let's send it to mike santoli looking at risk appetite what are you watching? >> we mentioned things were piping hot in the markets and reflecting in this this is the fear and greed index, captures variety of factors. it is volumes, flows, options, momentum we hit this pretty high level above 80 and curled lower. i wanted to highlight a couple things why this is november of 2019 you had this real excitement into the fourth quarter rally and things settled down but the stock market, the indexes, continued higher really not much give back until you got into the new year, into 2020 not the covid crash but january things flattened out and had more choppiness. similarly 2020 into 2021 we saw a peak late in the year of 2020
and still the market barrelled higher into january and then in january, january 8th this year, you started to chop around and two months later the s&p lower that's something to keep an eye on similar with the aaim. this is a weekly survey of equity exposures still above 1010 it's very much the same story where this can back off and the market doesn't necessarily back off with it and shows that maybe there's pay back to come >> stocked and loaded. i like that. >> thank you. >> exactly thank you, sam thank you. >> creator of brilliant tabs >> great simple, basic puns. my favorite. david malpass whether inflation is the biggest risk to the global economy and black rifle coffee brewing is a buzz
about a spac deal. g 'll discuss that one comin g 'll discuss that one comin up carl, say hi to nina, our schwab financial consultant. hm... i know how difficult these calls can be. not with schwab. nina made it easier to set up our financial plan. we can check in on it anytime. it changes when our goals change. planning can't be that easy. actually, it can be, carl. look forward to planning with schwab. schwab! ♪♪
time for a cnbc news update with shepard smith. >> from the newens on cnbc, after several failed attempts by former president trump to keep secret the records of january 6 he had a victory a federal appeals court pausing the release of those documents as it considers the arguments. the former president claiming executive privilege. the documents were set to be turned over tomorrow by the national archives. president biden is execed to meet virtually with the chinese president xi next week cnbc's kayly tausche is saying that he'll invite mr. biden to beijing for the winter olympics. that could be a minefield. human rights avoluntary kates calling for a boycott with the long list of alleged abuses
now winter the dolphin is in critical condition in florida. veterinarians say it's an infection and that the condition is getting worse the dolphin made headlines in 2015 when she was rescued after losing the tail and then was given a prosthetic one to replace it it inspired "dolphin tale" and the sequel and now scheduled to close tomorrow so the staff can focus on the care tonight the nasa administrator bill nelson on the delay getting back to the moon and the mission to seek out life beyond earth live tonight on "the news" 7:00 eastern cnbc sara, back do you. >> we'll be there. thank you. we've got more earnings out. lordstown results and phil is back. >> it is a loss smaller than expected of 54 cents a share
the street expecting a loss of 59 cents a share keep in mind the estimates have been thin on this particular stock for lordstown, however, all about two things one any change in guidance and with regard to the endurance pickup truck they expect production and deliveries to begin in the third quarter of 2022 there was a time when there was talk to have that electric pickup truck out in the third quarter of this year so it's now the third quarter of 2022 and then of course what people will be focused on is what new ceo says during the earnings call which will be coming up in a few minutes it is all about the outlook and where the company is headed on a stable footing and what analysts are looking for when the ceo talking in a few minutes back to you. >> the stock is crazy. thank you. up next, world bank
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veteran led black rifle coffee company getting in buzz josh lipton at the hq with more. hi, josh josh lipton is perhaps not - >> at hq working on the audio. >> with that story but maybe we'll get bag to that a little bit later is josh with us? i don't think he is. we look forward to that story in a little bit reminder how we closed today which was down on the dow largely because of disney. s&p did eke out very slight gains. 6 basis point just slipped in the session. nasdaq was up about 0.5 pshs materials the best performing sector we'll come back after a short break. david malpass still to come
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available now for comcast business internet customers with no line-activation fees or term contract required. see if you can save by switching today. comcast business. powering possibilities. let's get back to josh lipton for more on the black rifle cough fear company at the hq josh >> so, on this veterans day we are here at black rifle coffee
company, a business with a clear mission serving premium coffee and bettering the lives of veterans and their families. >> veterans are typically underemployed and they're not looked at from the general i think corporate america as an asset because they're confuse jg the resumes are complex. they use different acronyms. >> evan is a former green beret and started this company in the garage in 2014 a year later revenue about $1 million. fast forward to this year. $230 million, a jump of 40% year over year. black rifle coffee going through public that transaction is going to provide the balance sheet with an additional 225 million in cash which he will use to expand the physical footprint o physical stores employing that many more veterans. >> a positive ecosystem with
support which i'm one of the only companies and can also lead and inspire other companies to do the same thing. iraq for me it doesn't leave it's with me for the rest of my life. >> right now black rifle coffee with seven physical stores back to you all. >> josh, thank you so much for that for more on the challenges and opportunities facing veterans in today's marcht let's bring in jay bryson, wells fargo. part of a big report in this area thank you for joining us unemployment for vets is low and the headline figure hides. >> that's correct. a better way to look at it is not so much the unemployment
rate but the labor force participation rate and when you look at that it's quite low for vets that's a function of their age the median age of the veteran population is 65 and older people don't tend to work as much but when you compare apples and apples and everything the veteran labor force participation rate is nearly identical to the overall participation rate. >> the other factor which is concerning i guess is that unemployment for military spouses is significantly higher than the national average. >> it is incredible. when our co-author and first started to the analysis here he came back and told me in 2019 which is the data we have is unemployment rate among military spouses was 22%. i just thought that's incredible i thought that can't be right. go back and check the math but it is correct. it's 22%
and there may be some demographic factors here they tend to be younger and tend to have lower -- higher unemployment rates but i think really the factor that pushes up the unemployment rate among military spouses is the stresses of military life moving around all the time >> you looked at the factors like sectors and where the veterans are misrepresented and underrepresented what's the overall takeaway to give to corporations that want to hire vets and make this a priority what are you learned >> so if you look at college education, in the active military force today, it is about 20%. that's low right? if you look at the overall population it is 1 in 3. but if you look at vets, it is
about -- people who have gone on and graduated or moved on from military service it is also 1 in 3. many go into active military duty from high school and then go on and pursue postsecondary education so what we have learned from this is vets are very employable today. they have the skills that are out there and we would encourage people to give them a look because they're well worth having a look at. >> absolutely. and does remote work potentially help solve some challenges that exist? >> i think that remote work is potential game changer here. as it relates to military spouses. unemployment rate there is 22% okay why is that? again, they're moving around all the time but doing remote work doesn't matter where you are and the second thing is we know that
many military bases are in -- call them non-metro areas, don't have the employment opportunities. but again if they start to do remote work then you can be anywhere so hopefully for remote work is part of the post-pandemic landscape and military spouses hopefully benefit from that. >> jay bryson, thank you for joining us to talk about this report on the veterans day. >> thank you. world bank president on the risks that debt aninatd flion pose to the global economic recovery we'll be right back. and trust. i am a fiduciary, not just some of the time, but all of the time. charles schwab is proud to support the independent financial advisors who are passionately dedicated to helping people
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indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire the world bank out with a new debt transparency report finding big gaps in debt tracking systems the world bank highlighting the lack of trance pansy and could endanger the global economic recovery joining us now is david malpass. good to have you. >> hi, good to be on. >> you are sounding the alarm bells here what is the issue? >> the dead has gone up, like 12% for the low income countries even though the pandemic is out
there. and that's at a time when the world is facing big problems in terms of inflation, supply chain, the natural gas crisis in europe and so on down the list the u.s. and china are slowing so from the standpoint of the developing countries they're looking at higher interest rates and shortages of vaccines and even energy. so on top of that, the debt levels are hard to even measure.
thought one month or two months ago. the supply chain problem it'ir■ó■r■the higher oilz■■■pris (t&há■p &hc% seeing the hike in ■j■■price of natural gas. i think all of those are ìá■p% still in recovery from covid that's good. for thewpfá developingi■ countr they are beginning toñi■getñi■eq vaccines that still is açó■3■f number on■ "/y■ñ■optimistic or pessimistic about u.s./chinao■ relatn- here >> i don't wantr the relation from the standpoinpk of where i look at itx■ from, the u.s. and■ the world bank, the world's two
between the way these two different systems work wa they think of debt and debtjft(■ transparency our reraáuq" to was strong on the idea that wet■w■ need more transparency on thei] debt being offered orç■ contracts made to ■ poorer countries axd■lot ofq■ times it's nontransparent therefá is af■ nondisclosure cl and it'sl■ very hard for countrs .■■■keep track of. these are areas that the u.s. and china can work on and try é] make progressfá on asa5■ well as otherçó■things to have the two biggest ■■finding a way to make progress on issues >> you have ref2a/enced this a few times which is the global vaccinationc,■ drive the fact that the gap is?■ stark
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modef cash flow over q0% >> they have prove fitted between 3.3 ande1.9 million after being in the green at■ ye ago. that's where many events are,t(■ like weddings. is only one to three weeks delayed. strayeders think it was too high priced to get started. it wasn't like the action dropped off. it started lue■áupvq" there back to you.e■ >> courtney, thankl■i■ you before wee1 go, how consumer companies aree1 dealing with inflation, whether they are worried of a cutbackt■ in spendi$■](t&há■p &hc% >> mike, what will you be
watching >> what happens with bonds until we gete■ to those, i think it's still interesting even though we areqin a nice range. we tradedqallçó■year betw■e■ çó0 and 6ko■ months. 120 and 180 and now ate■ 155 the idea we will get to 2%k■■■ia short call it isb■ threatening very much >> we are out of time on thanks for watching. 50&fast money" starts now.ç■x■q■ >> live from new york city times square this isñ■ "fast money." i'm melissa lee.ñ■ who has a real opportunity in this fake world. three names toñ■w■v■■■x■j■watch. plus china tech on a tear. later, rivianjf flooring i