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tv   Power Lunch  CNBC  February 8, 2022 2:00pm-3:00pm EST

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af avatars. >> sounds pretty good. people are jealous of all those cameras behind you there trying to get their hands on one of them and you have 250 thanks so much for bringing that alive for us really appreciate it that does it for the exchange here in the old, you know, normal tv world of things. "power lunch" begins right now i will never, ever let 260 cameras in 360 degrees photograph this body, kelly. no way though i do favor a kelly and ty avatar nf thrks. l let's do that gold coins nft. welcome to "power lunch. let the games begin. here's what's ahead. rates on the rise. not just here, but around the globe. a veteran strategist says it's
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not going to last and he has a list of financial stocks that are most at risk and pelo-ton of trouble. the ceo is out financial outlook slashed. a long time bull says all of the short-term pain could turn into long-term gain is the bottom here near passed us on peloton and the case for crypto. will government-backed digital currencies once again one day reign supreme? no says a prominent crypto watcher. she will explain why and why it is so important than government cryptos do not become dominant >> absolutely. a big warning there. h hi, everybody. we have a broad-based rally. if you told me the ten-year yield, i wouldn't have guessed it same for the the nasdaq and big tech is leading the nasdaq 100
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higher makes more sense just in confidence about the economic reopening. here's the nasdaq 100 and small caps here. here are the bank stocks enjoying the move higher in rates, which are up six out of the last seven sessions. gains of 1 to 3% >> kelly, we begin this hour with a look at rising interest rates around the globe prompted by the removal of central bank stimulus at a much faster pace in many corners of the world than originally thought. now, the fed expected to raise rates in march, but the market has already started to raise yields let's start right here in the u.s. where you see the ten-year yield on the treasury ended 2021 at 1.51% today, it is above 1.97% ticketed to move to 2% in the uk, yields went from under 1% at the end of last year
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now 1.5% the bank of england imposed back-to-back rate hikes for the first time since 2004. how about canada rates have climbed 1.4% at the end of 2021 to almost 1.9% now and that ain't half the trouble they're having now, particularly in ottawa. germany, rates negative at the end of '21 they are now positive for the first time in a long time. today, germany seeing its 11th higher yield close in a row, hitting a fresh three-year high. don't forget though, when yields go up, the value of those bonds go down. our next guest says the move higher is not going to last. he's looking for a decline in the second half of the year, putting financial stocks at risk and certain financial stocks particularly so. let's welcome michael, chief investment strategist at piper
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sandler, which recently acquired corner stone always nice to see you welcome back explain why you are confident that rates are going to peak sometime around mid year and then turn lower and i'm speaking specifically of longer term ten-years and longer interest rates. >> simple version of that is that a lot of the leading indicators that gave us a heads-up that rates were going to rise, the economy was going to reaccelerate last year, a lot of them are pointing the other direction. what are those money supply growth has gone from high levels to decreasing levels and we think it will continue to come down. so the fear about inflation, the strong, global growth factor we've had is all going to, we believe, at least cyclicly coming to an end there's conventional wisdom that when the fed raises rate, long-term bonds go up. one of the things we wrote this
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week is that that's true there's seven tightening cycles since 1980 in five they did go up, in two, they didn't. what's important to understand, why didn't they go in those two cycles why did they in the five in the five, the economy was accelerating pmis were going from the low 40s to high 50s. earnings were improving. that's not the backdrop we're looking for '22 into '23 it's going to be closer to the other two where rates did not rise and the economy slowed. so the global slowdown that's coming this year, it's already begun, is going to be something that really weighs on bond yields and given that financials and high interest rates are such a crowded consensus trade on the street, we think there's potentially pain ahead to that trade. >> so pmis are slowing an indicator that the economy may slow later this year and that may arrest the rise in longer term interest rates
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so my question for you is as an investor or as a participant, a human being in the american economy, should i be happy about this or unhappy about this because good news that interest rates might not keep going higher, but not so good news if the economy slows dramatically >> sure. well, if you're a consumer and looking to borrow, it's probably good news, especially if you're looking into housing mortgage rates have gone up over the last three, four months and that's going to lead to a little bit of a stall in the housing market so obviously consumers would be welcoming lower mortgage rates we're not predicting a massive decline in interest rates, but really for rates to stop moving as they have in the last two months or so and so right now, we've priced in five rate hikes unless the market prices in six, seven, eight rate hikes, we don't think the ten-year yield's going higher and it's unlikely the market's going to price in
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additional hikes as the economy slows. >> michael, it's kelly i love this as a very contrarian take of like you're saying, on everything that's happening right now. but let me ask you the following. even if we get the global slowdown you're describing, we still look like the fed is behind the curb. nominal demand has been so strong for so many quarters now, the unemployment rate is so low. labor force participation is back near highs. inflation is up. we would have to slow considerably back to the other side of the equation in order to bring all of that out of the system you know what i mean so, yes, there might be a global slowdown, but is it enough that the fed needs to not pursue the tightening that it's pursuing? >> well, there's you know, there's other central banks that have raised rates in the last year and a half. emer emerging economies developed economies. it's not only the fed we have to consider the way the business cycle oscillates, it's really the end
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of easing and that was over, well over a year ago that really sets in to motion the slowdown that we're about to see. if the fed raises rates on top of that, that only likely makes the slowdown deeper and potentially last a little longer so we have a slowdown coming whether the fed raises rates five times or not at all the question is are they really going to raise rates those five times because three to six months, the global backdrop for earnings and the economy to look much weaker than today >> just want to bring to this a point for investor, i'll probably remind everybody for six months you warned us about goldman two weeks before that big miss what are you telling people about the bank stocks, which are having a nice day right now? >> we've been market weight on most bank stocks there's other areas in other cyclical areas we prefer such as in the energy space, but what we would recommend investors do,
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even if you want to own some banks is at least own the ones that are of the highest quality, have good, free cash flow. have good balance sheets not the ones only outperform with rising tides that lifts all boats. that was the story of 2020 and last year. the next year and a half, the macro global backdrop is going to get worse so any of those companies that are lower quality, higher beta, deeper value, we would want to really underweight or avoid. >> michael, thanks again good to see you. >> mean ttime, nearly 90 countre are exploring the idea of government-backed digital currencies china introduces the digital uan during the olympics. my next guest says it proves the need for crypto currency, the original version is more important than ever. emilie parker is here.
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a lot of people have said that make the biggest manifestation of bitcoin is going to become china's surveillance digital currency >> yeah, so that's something i think is really important to explain. a lot of people conflate big coin or crypto currency with central banks. they are different animals bitcoin was created to be independent of government control. no government can shutdown the big bitcoin network. centralbank digital currencies like china's are issued by governments so they are completely different things. i would argue that as you said, you know, nearly 90 countries are exploring issuing central bank digital currencies. this makes the need for independent crypto currencies like bitcoin even greater because governments cannot control them i think we have a right to some sort of currency that is not controlled or issued by a government >> so let's talk about the idea
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that governments, china being on the leading edge of this, will sit by and allow a currency that they don't have control over that they can't supervise with different kinds of rules potentially apart from the regular sort of fiat currencies, that they're going to let that just happen. i'm skeptical that they will >> so, yeah. just to tease this out a little. there are two very separate things one is bitcoin and decentralized crypto currencies like bitcoin or ethereum. china is very weary of those china's crackdown is on those. china's central bank currency is different. this is basically just a digital version of china's currency. that is something they can control and track. it is something they are promoting now apart from central, apart from crypto currencies, which they are
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cracking down on totally separate >> the irony about this creatio is that it can either be used to help anonmiez payments, like the effort with block chain. now they have powerful new technology to sort of help them do it. so what do you think the message is here for holders of all the other cryptos? >> i think like as we're seeing, many people kind of confuse these. they think oh, here's just another digital currency how many do we need? the rise of central bank digital currencies around the world will cancel out others. i would argue firmly that the opposite is true i think central bank digital currencies in some ways are the best argument for currencies like bitcoin because one of the problems with central bank digital currencies is they're not necessarily private. they can be tracked by governments potentially and bitcoin is relatively private. and there's a lot of privacy
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innovation happening in the crypto currency area i'm talking about perfectly legal transactions by the way. not criminal transactions. even for example you know, you're paying for something that pertains to a medical purpose or something that you just don't want the government to be tracking every single transaction. i think people are going to look for more private forms of money. >> that was going to be my question why and i'll ask it, you really just kind of answered it why is that privacy so important and who wants it and then you raised the idea that we're not talking here, at least you're not talking about criminals trying to launder money or move money for illicit purposes, but inevitably, isn't that one of the things that appeals to criminals who are asking for ransomware for example in bitcoin or crypto currency, so they're not traceable? >> you're bringing up an
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important point. i think a lot of regulators are nervous about crypto currencies because they associate them with crime. first of all, bitcoin is not completely anonymous bitcoin transactions are stored on a blockchain so they can be tracked, just takes time and effort and skill to track them most criminals, they would be better offer using cash than crypto currency. this question of why would i need privacy if i'm not a criminal think about it would you want the government to know every single small transaction you're making? i think here in the united states, most americans wouldn't be comfortable with that they would still want a certain degree of financial privacy for legitimate transactions. >> thank you very much fascinating conversation i'm sure we'll come back to it soon thank you, emily parker. >> coming up, peloton shares spike after the ceo steps down and the company undergoes a
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major restructuring, but is it enough a top analyst tells us if this is a step in the right direction. market says yes. plus, the ag economy the ag economy, i should say the ceo of ag equipment maker industrial talks pricing power, supply chain and his company's strong quarterly results take a look at energy stocks mostly lower aft hti a ri after talking and texting for years, we got married... for the family plan. (jane) and then we really expanded our family... for the wireless savings. (ted) it seemed like the responsible thing to do. (jane) and then, just yesterday, my sister told me about visible. (sister) yeah, get unlimited data for as low as $25 a month. no family needed. (vo) family plan savings without the family. visible. switch and get two months of wireless for $22. plus, up to $100 on us.
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a rally in shares of peloton today. the stock is up about 28% today. it's up 55% since the close on friday still, they're cutting jobs, replacing the ceo. the forecast was weaker than expected what a journey it has been for peloton. diana olick take ass a look at company today versus its pandemic peak. >> yeah, kelly, peloton has seen an incredible swing lower since it became the stay at home play of the pandemic. take a look at the stock hitting a peak of $167 a share in mid january 2021 after rising steadily from the onset of covid. now, down about 77% from that peak today, of course, as you said, it's battling back on the news but the drop coinciding with lower forecasts from peloton last fall due to falling demand as the economy reopen and people
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started hitting the gym again. connected fitness subscriptions which hit pandemic peak growth of over 25%. growth is now forecast at just 2.4% of q4 for this year and gross margin is where it gets ugly has since then essentially been cut in half. down about 23 percentage points and you see the forecast for the next quarter is even lower and the guidance on that has just been way off finally, marketing spend is another space to watch it basically doubled year-over-year while revenue fell on the call, the cfo said they would be cutting that in the near term as they figured out post pandemic demand, but added that is an engine we are not shutting off, marketing will be critical going forward a lot to chew on there >> we're going to chew on a little more of it. our next guest says peloton is
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taking the right initial steps to drive profits and cash flow and the bottom may be within reach if it hasn't already occurred jonathan comp has an outperform rating on peloton and a $46 a share price target just raised it jonathan, welcome. good to see you. the stock is up about 30 something percent today. was up sizably yesterday largely on the speculation it had become a takeover target does the fact that there is now a new ceo with considerable experience in the digital world at both spotify and netflix, does that make the takeover talk abate go away permanently? >> yeah, permanent to long tenure to come >> i gave you that >> but yesterday we put out a note to our investor clients really highlighting a low probability of a successful takeout. you always need a willing buyer
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and seller in any takeout for it to be successful we see a lot of challenges with that maybe more importantly, i think today personifies a big shift in the organization that is maybe more important than the near term takeout risk and that's really the reason for our price target raise and really our positive thesis from here even after a big rally from the lows. >> so is your sense that the worst may be behind it for this company? that maybe, obviously, that's a hard thing to predict, but maybe the stock has hit its midterm low and it is up from here on the sense that not only did they bring in a new ceo, but they did a kind of kitchen sink dump of numbers. >> well, that's right to a certain extent and if you look, i think the biggest risk coming into this report was not acting with enough urgency. we have really highlighted over the last few weeks, the urgency
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with which the company needed to shift to a profitability focus and for a company that's founder-led, and a competent founder in that matter, it was really important to see the shift and willingness to bring in outside talent, which i think could be transformational for this business. then to take the necessary steps to reposition and really restructure the organization so we think those are very important signs here that the company is acting with urgency the onus is on them to deliver, but we're really encouraged. >> i'm curious who gets credit for the restructuring? the former ceo or the incoming ceo or is it a collaboration between the two and then my second question, i'm famous for compound questions first song of the second act of hamilton, thomas jefferson, what did the outstanding ceo miss >> great question. forecasting demand in covid for
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any industry, especially at-home fitness, has been very challenging. really have to step back the last two to four quarters. the company mispredicted and overpredicted the demand we'd see. so there was a lot of overbuilding a lot of excess spending and barry mccarthy, who my understanding starts tomorrow, has experience working with founders john foley's not going away. they're going to be working side by side in john's new role and i think both will get due credit for a successful turnaround with time here. >> i hadn't thought of that. he worked with hastings, whoever the founder ceo was of spotify as well i'm sure interesting conversation we'll be watching the stock and probably have you back soon. thank you. >> thank you still to come, flying into the dm one college student enraging a prominent billionaire over a jet tracking app leading to direct
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welcome back here is your cnbc news update at this hour. vice president kamala harris is kicking off an outreach campaign to encourage families to file their taxes. today, she held a virtual event promoting the expanded child tax credit that families may receive after they file. >> our message today is simple if you are eligible for the child tax credit and earned income tax credit, we want you to get those credits and you know why working families deserve a break. >> the top science adviser to the white house resigning earlier today. this comes after a white house investigation found 14 current and former employees reported toxic work environment under lander he is the first member of biden's cabinet to resign. more than 2,000 people are
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dead and thousands more homeless after a tropical storm struck madagascar over weekend. wind gusts reached 140 miles an hour and heavy rainfall is forecast until tomorrow. this is the second major storm to hit the island nation in less than two weeks >> thank you ahead on "power lunch," a deep dive into the agricultural economy. we'll speak to the ceo of cnh industrial plus, jane wells is live from the world ab expo to get a pulse on the industry. jane >> hey, tyler. i'm at the business end of a new tractor. practically drives itself. supposed to sit in the seat, but every major component in these machines is taking longer or wsts more sohy are ag equipment stocks up we'll talk about it after the break. and you have to lower wait times. with ibm, you can do both. your business can unify apps and data across your clouds.
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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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90 minutes to go let's get caught up across the markets. let's begin with bob pisani on today's big bounce we're holding up there, bob. >> we are. and kelly, the dow's having a great day. in fact, it's doing twice as well as the s&p 500. why is that? well, the dow is a price weighted index and some of the
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higher priced stocks are doing really well. amgen is doing really well amex is having a great day about 70% of the gains are these three stocks another sector are the financials jpmorgan is up, for example, and all the regional banks are having a great day this is because the ten-year yie yields are starting to move up got a new high in a couple of these names like fifth third second, third day in a row now, we're getting the reopening stocks doing really well royal caribbean had very positive comments on friday but wasn't up. yesterday, it was up big they said they're operating at 70% capacity but, by april, they're going to be operating at they believe full capacity and that's essentially what royal caribbean said the airlines are moving. haven't done anything for months united's having a couple of great days
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even live nation marriott, 170. that's just about an historic high maybe a dollar off even the department stores, speaking of reopening, also having a great day they've kind of done nothing for a number of months but nordstrom, macy's and dillard's all up >> the ten-year at its highest level since before the pandemic. could we hit 2%, rick? >> well, i'll tell you what, kelly. it seems we're going to hit 2% and like bund yields when they went positive in the ten-year maturity, it's just about when not so much the if look at the year-to-date of tens it's up 44 basis points. closed last year at 151. here we hover at 195 and yes, the last time we day traded above 2% was august 1st of 2019.
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this chart starts on july 1st because the last time we closed above 2% was the very last day of july. 2019 and it isn't only here basically inflation and high yields are everywhere. and if you look at bunds, they've had their 11th straight session in a row with higher yields and as you look at this chart, the last time bunds closed at 22.65% positive was january of 2019. finally, let's look at the uk ten-year known at the gilt it closed as a fresh 39-month high yield close hasn't been at 39% since thanksgiving of 2018 >> all right, rick, we'll watch all those moves as oil is giving some relief today, pulling back below 90 a barrel. is it iran deal rumors what's going on here >> yes, it is. the second day of losses for oil as the resumed iranian nuclear
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talks hit prices again, this could bring more than 1 million new barrels per day to the market, which is roughly 1% of global supply. now, the talks come after the biden administration said friday they're working to lower prices for consumers as gas hits a more than seven-year high energy saying the government is trying to negotiate an agreement. pvm adding the u.s. is getting more and more desperate to tame prices and bring inflation down. u.s. oil is down 2% at $89.46. brent crude at $90.93 for a loss of 1.9%. goldman sachs out with a note saying a potential deal with r iran is just another speed bump on the firm's structurally bullish view >> glad you mentioned that they're saying take it in stride we could be back up at least for a couple of days thank you. markets are eagerly awaiting, bracing, anticipating the cpi number on thursday to
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see just how much things have gone up for all the stuff we buy like gasoline, food. we've seen increases from a lot of stuff coming from farms it's leading to increased demands for farm equipment january wells is live at the ag expo we're also joined by the ceo of ag industrial. jane, let's start with you >> hi, kelly well, you know, tractor sales are up double digits and here, look at this agco raised guidance the stock has been up about 8% for most of the day and it's raising the entire ag equipment sector goldman has buys on deere. jpmorgan said inventories bode well for sales if they had more machines, they would sell them. the cost of raw materials is up. james shirt sells drillers and tillers for great harvest. he doesn't expect the kinks to work themselves out until 2023 >> there's just an ample amount
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of demand that's tapping that same supply base it could be plastics, steel, raw steel. it's just all over the board >> now, the other big thing here is ag tech and it's attracting new money and talent monarch tractor is an ev startup in california. has a bunch of tesla engineers has an agreement with cnhi it's launching its first product later this year. the supply chain is also slowing it down. six to 12 months it's going to maybe affect prices at a certain point, but not right now because they're just starting to launch. but it's also about automation we've got somebody here selling drones to pick apples. excuse me, sir somebody's who's got a gun -- go right ahead. don't mean to interrupt. beautiful machine over there it's all right somebody who can shoot almonds out of a tree. it's all to try to reduce the cost of labor, which here, the labor supply chain is always constrained. >> i thought i heard you say
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someone has a gun and you said, go ahead you were talking about an almond gun. is that right? >> i heard gun, too. always yield to the person with the gun. >> well, that's right. it's a gun that shoots almonds that won't be shaken out of tree to get the nuts out of tree, you have to shake it that's why they call them amonds they say to harvest them, you have to a shake the l out of them somebody's come up with a robotic gun that will shoot them out. >> this is our economy in a nutshell jane, thank you very much. >> ah! >> i don't know if they have shells let's do deeper now with the head of cnh industrial shares are rising after strong fourth quarter results scott is the ceo he's a former ceo of polaris welcome. so these are quite the times to be in your line of business. how would you describe what you
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see in terms of demand and pricing as we look out to the rest of the year >> you know, demand is very high we're seeing good, strong farm income certainly in 2021. we expect that to continue in 2022 and really that's giving them more money to buy better equipment and the need for yield and productivity in farming is dramatically increasing and that drives the need for progressive and more autonomy, more automation, and more precision, which we can bring to all of our customers and really with our case ih and new holland brands, we're able to reach those customers in all parts of the world and bring them the solutions they need. the problem is, supply chains are preventing us from being able to deliver all our customers want right now >> so you're finding that demand is really outstripping your ability to deliver all things being equal, you'd like to sell more at better prices let me talk about the trends in
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the business it occurs to me that in the past, it was always bigger was better and that now that's maybe still true to a degree, but now, it's more automated is better more precise more using artificial intelligence and other things. is where the emphasis is am i right or wrong? >> well, there's certainly always going to be a need for tractors and being able to move the pace on the farms. there's a greater need for precision to be able to get more yield and productivity from every farm that's the reason we made the acquisition to raise industries in november and we're really excited about what we can do and being able to let those farmers use less inputs and get better outputs, which gives them the productivity they need and with autonomy and automation coming as well, we're able to help them with their labor eissues and that's off setting the need. but really, i think it's both
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that's needed and that's part of the reason our backlog has carried almost throughout 2022 right now. >> why did you leave polaris for this job i believe it was november 2020 time frame shares fell on the announcement of your departure and you know, like we said, this is now such a strong time for this industry. can you just speak a rlittle bit to that transition >> i loved my time there and it's a great company, but what i love about this job is being able to serve farmers and construction workers the most noble work they do. being able to feed the world and you know, this was an opportunity to take a company that has great brands and a great reputation take it to another level of performance. the first year has been tremendously rewarding it's a tremendously dedicated team and watching what they've done to overcome supply chains, meeting with the dealers and customers really reenforced my decision to come here and certainly excited about what our future holds
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>> so in a way, you've got every little kid's dream, you have the dream jobs you've played with some really wonderful toys snow mobiles, rvs, atvs, off-road things. which do you like riding more? w big tractor or snow mobile >> i got a chance to harvest at a combine this fall and that's about as exciting as anything i've done. i'm a die hard snow mobiler so it's hard to beat that if you're going to ride the mountains. there's something about a combine that's probably got more computing horsepower than most anything that you work with. it really is quite amazing and it's a rewarding experience. >> interesting thank you. appreciate it. good to see you. >> thank you all right. coming up, one ceo building a business to help lower income around marginalized communities help build their credit. a working lunch with jon fortt d e ome o nt.anthprisceisex
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rage these days, but many of the services cater to people who already have a comfortable amount of money. today, jon fortt brings us up close with a ceo who's using financial technology to customers who need it most >> he is the cofounder and ceo of promise a startup making it easier for government agencies to collect utilities, taxes, and other fees and easier for cash strapped customer to pay them she grew up in san francisco her mother, a single mom, was a waitress she worked with unions in silicon valley to advocate for the working class and now believes innovation can help more people. >> i think there's something clear about growing up poor and understanding the lack of dignity that sometimes people give you when you're poor. and so for me, it was like having free lunch. like when you got free lunch, you were in a different line than everyone else who paid. or having free cheese and peanut
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butter so i think a lot about the lack of dignity as a kid and how i felt using food stamps i want better for other people and so that's how i grew up. loved. and lucky to get to be, had a lot of opportunity because i was smart. >> promise is now helping families like the one she grew up in. it works by allowing customers who are behind on their bill to break them into installment plans. so think buy now pay later, but for the water bill agencies are willing to pay for it because of promise, repayment rates are higher and in 2022, she's looking to expand geographically >> geographically, we're in a lot of the major cities now. we want to continue to do that we'd like to to do national instead of state or local, in addition i should say not instead of then it's expansion of services. but just got approved for payroll cards. we are working with, we want to
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be able to offer a full suite of financial services for people that are not predatory and easy to access. because what we realize is when we looked at for example how people pay us, most people pay us on a prepaid debit card and we think those things should be easier and that people who have less should have the same opportunities to have good products and services. >> should note promise came out of -- has raised 30 million plus she had done more than union organizing she was a manager for the musician, prince, after helping him get control of his masters >> i was going to ask where she got the capital to start this. her business would make money how? and do the people who sign up for it, i'm thinking of my son, who owes a lot of money in unpaid parking tickets
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would benefit. do those customers pay her or does she keep a portion of the amount she collects that then goes to whatever the agency is whether it's a utility or a court or a hospital? >> there's a combination of methods. trans transaction fees are also as you mentioned, a fee the agency is willing to pay because the repayment rates are higher when promise helps them to do so. so that's a big part of it interestingly, she pivoted promise. initially, it was focused on kind of the criminal justice system and unpaid tickets and that sort of thing, solely and primarily, but actually pivoted to helping government agencies collect and breaking it into payments and that has succeeded quite well >> it's brilliant. i really have to hand it to her. but here's my question in buy now pay later, if a customer defaults on their, you know, installment plan, they basically get kicked off the
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service and have to go use another one. there's no other remediation in her case, i can't imagine she would bar them from using the service if they fall behind or can't make their payments, but i don't know if there's other competitors that people can turn to i'm curious how she finding thqy rates are quite low. it's always part of working with people, and you have people who end up being delinquent and that's the case, but part of her insight is a lot of the population she's serving really do want to pay the bill. they just need the reminders and they need the installment help that they otherwise hadn't been getting. >> and maybe the automation that comes with using a debit card where it comes right out, bang, bang, because that's part of the issue. >> jon, as always, thank you our jon fortt with working lunch. >> interesting characters, jon does >> always. we still have more "power lunch. as we head to break, a quick check on markets, which are holding up strongly in the face
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of rising rates, off the highs by 150 points but the dow still up 216 (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.
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fisher investments is clearly different.
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welcome back, everybody. take a look at shares of
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mandiant, which just reopened after being halted after reporting that microsoft was thinking about a dpeel we're reaching out to companies. we'll let you know when we hear more >> it's a bird, it's a plane no, it's just elon musk's jet. one college student knows where it is at any point in timean, d the ceo isn't happy about it it's musk-see tv i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit
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teenager in florida got the thrill of a lifetime when elon musk apparently slid into his dms until things got turbulent in june 2020, quite a story, jack sweeney, 19 years old, launched at elon jet, to test the ceo's private plane. last november, when sweeney claims musk messaged him offering $5,000 to shut down the page, and after some back and forth, sweeney made a counteroffer he said give me $50,000 or a new tesla model 3. eventually, he said he would settle for an internship and then, picking up after picking up sweeney's brain about aviation and privacy for a few weeks, sweeney says musk ghosted him on january 23rd. cnbc has not been able to independently verify the screen grabs of these messages but there are lots of them sweeney isn't discouraged he's expanding his plane tracking to
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other billionaires including mark cuban, mark zuckerberg. let's get the story from the young man himself. elon musk's jet creator jack sweeney joins us now welcome. how did you identify this plane you were following was musk's plane? >> so, it's actually well known, like even before i started tracking him, you know, the plane is registered to a subsidiary of spacex falcon landing, so it's all in the public documents and there's also pictures of it. and the tail number is actually november 628, which is elon musk's birthday and t for tesla and s for spacex >> you did this not to make money. you didn't go into this thinking i'm going to extort elon musk? >> no, no. it's just a hobby and interest to see where he was going and all his business activity. >> so do you make any money from these enterprises where you follow somebody? you don't collect subscription fees or anything like that
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>> some donations and some ad revenue recently, but you know, it's nothing too great >> who else have you followed and have they reached out to you? >> no one's reached out to me, but i have had jeff bezos, bill gates, trump's jet and then, you know, more recently, mark cuban and mark zuckerberg i have added. >> jack, it's kelly. elon musk doesn't like this because he feels like he's in personal jeopardy. does he have a point, and how would you feel if something happened to one of the guys you were tracking? >> so, yeah, he does have a certain point, but you know, it is public data i don't think there's that much of a risk. you go right from a private jet to a car at an fpo at the airport, and it's all fenced in. i don't really think there's that great of a risk >> very quickly, you didn't get an internship from him because he ghosted you, i guess. have you gotten -- >> he blocked me >> have you gotten any job
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offers from companies who know your skill, quickly? >> yeah, i have, but i already work for another company, and i enjoy doing that >> all right jack, thank you very much. and you're at central florida university >> yeah, university of central florida. >> good luck to you, my friend >> growing presence on twitter >> we'll hear from him >> tracking his emissions, as well you'll hear more about that. >> "closing bell" right now. >> thank you, kelly and tyler. welcome to "closing bell." i'm sara eisen here at the new york stock exchange. solid day in the green for the major averages though currently off the highs, the dow, the nasdaq both higher. nasdaq up .6% as we head to the close. >> i'm melissa lee in for wilfred frost. peloton among the top performer stocks in the nasdaq, surging on news of a new ceo, much more on that story ahead treasury yields meantime jumping as investors await a key inflation reading later this week the ten-year yield hitting its highest level since no


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