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tv   Making Money With Charles Payne  FOX Business  December 10, 2021 2:00pm-3:00pm EST

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neil: when we look at the dow jones up about 121 points, things that used it to move the market, and filiation not rattling the market and ever grand is all but in the fall right now china and investors had put it under strictly default. barely a whimper. charles payne. charles: we are so much more afraid of the rumor and then when it happens-- neil: you are right. charles: thanks, neil. i'm charles payne and this is "making money". we'll break you right now inflation is surging at the fastest rate nearly 40 years, but as neil said you cannot tell from the action in the stock and bond market. is it a sign that maybe inflation has peaked? if shut-- so, should you be buying? i will ask one of the best economists in the business along with one of the best market prose. ceos are cashing in
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stocks at host org pace right now. eli must, jeff bezos, zuckerberg, should you be buying what they are selling? prices are on the rise again putting a home further out of reach for someone trying to achieve the american dream so is the dream still attainable? we have all that so much bull-- more on "making money". ♪♪ charles: inflation in america at its fastest pace since 1982, cpi climbing 6.8% last month and by the way it's now the ninth consecutive month about the 2% target so no wonder jay powell finally had his transitory epiphany. i heard whispers well above 7%, maybe that's why the market is handling the news is so well, but make no mistake it's like whistling past a graveyard, core inflation of course excludes food and energy climate 4.9%, the
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highest level since june, 1991. some highlights, particularly these are ugly, energy up over 33%, gasoline up over 58%, food up over 6%, used vehicles have sprung back up over 31% and apparel, up 5%. runaway inflation casting a dark shadow over main street, wall street and k street. you know, nominal wages have been on a terror, we know that. lower wage earners in areas like leisure and hospitality climbed more than 12% last month from a year ago. overall, three-month moving average for wages up 4.3% last month, but we just learned this morning real wages, real wages have declined 1.9% , so wage increases not happening fast enough and folks, they aren't getting off the sidelines and even businesses with positive reputations for how they
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treat employees as a major push back prime example is yesterday's starbucks, saw a buffalo store a vote to unionize we could possibly see more worker strikes on the way. stocks not the only thing that are acting odd with relationship to the 39 inflation print bonds, they say bonds are a bird in a coal mine but these days i'm wondering what kind of bird, canary, a towel or a dodo bird's as down. many are asking is it even a proper proxy anymore and meanwhile the yield curve continues to flat speaking to perhaps a moat-- more low economy next year. as you see lots of confusion so we want to start with someone with lots of answers. michelle gerard, michelle i'm going to hit with you a lot today, so be ready. >> okay. charles: i can only surmise from your reaction to the cpi report that there is an assumption inflation has peaked and we are
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in a peeking process and may be for the end of next year at 10 and half percent, is that too optimistic? >> i think it's too optimistic. i do think of the fact that the numbers were still firm today, is seems to have accelerated in the market or confirmed for the market the expectation that when the federal reserve meets next week they are going to accelerate the wind down of purchases and so by taking action sooner, you know i think perhaps the markets are more confident inflation won't get out of control, but i don't think it's peaked. you mentioned that the core rate of inflation today came in at 4.9%. we have it rising to five and half percent year-over-year in the first quarter of next year and we do believe it will come down after that, but only to about 3%, not down to two or two & . charles: how do you explain the reaction in the bond market not only the 10 year, but this flattening thing and also going
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beyond tapering, does it say something about the fed hiking rates? i mean, i know everyone has model for the fed to hike rates to her three times a year, maybe them more the year after that, something in this bond market and even the stock market feels like it doesn't believe that. >> i agree. it's puzzling. you mentioned the flattening of the yield curve where what basically is happening is that long-term yields are coming down more quickly than short-term yields and again, usually it's a sign of a slower economy and also a sign of expectations that the fed will be raising interest rates. interestingly though, while that's been the trend today in reaction to the news, the yield curve steep and admit, which if anything might be consistent with the idea that markets are less confident about inflation staying lower
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or sorry, about inflation peeking than they were perhaps before this report, but i agree with you, when you see these kind of inflation numbers you either have shorter-term yields rising and the curve flattening because they think the fed will take more action or else you see inflation expectation jumping shortly and neither of those things happened it today. charles: how much longer can a consumer keep it up? listen,nflationary prices and for the most part it's been gangbusters, but behind the scenes i feel like maybe saving rates are going down and certainly the excess of savings we have gone into that mean how much longer can a consumer step up to the plate before they start to blank and say no more >> well, you mentioned that real wage number and i think that is important, that you are to seeing wages keeping pace with higher prices and so the purchasing power of consumers is declining.
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we still have a good amount of savings out there to be spent, but they are buying less and less with every price moving higher, so i think there is still more firepower. one positive development with respect to the consumers today was we did see consumer sentiment numbers and i guess i will take comfort in the fact that even in the face of higher prices, even with concerns about the new variant on the chron, actually consumer sentiment increased in early december more than expected as consumer or more confident about the economy in six months time so i do think that is a somewhat encouraging and i do think some of the strength in demand will carry over into 2022. i'm not as pessimistic about the consumer, but that will depend on how high prices actually rise. charles: michelle, we put a lot on your plate and you helped us on every single one of them. thank you as usual. >> thanks.
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have a great weekend. charles: want to bring in the ceo nancy tinkler. nancy, were you bracing for a higher cpi and by the way if it's peeking, should markets now begin to move higher right here, i mean, do you think this action we see makes sense right now? >> i kind of do, charles i think jay powell may be the new perfect contrary indicator, retired transitory just at the time we may actually be peeking in inflation. i think michelle is right and it may not be this quarter, it might be next, but for investors it's close enough to reposition your portfolio if you think inflation is coming down. usually inflation is good for stocks. i know it's the highest we have seen in 40 years. i was there, it wasn't fun then and it's not fun now and you pointed out the wage real wages are negative that atlanta wage tracker came out at 4.3, but here's an interesting statistic, sticky cpi
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came out at 4% today, that's an atlanta fed to measure and it was 5.8% in october, so we may start to see some moderation though energy , housing, shelter , those are still troublesome. charles: you mentioned wages we are seeing big wage gains, certainly nominal wage gains yet we have had strikes, unionization of companies, employee friendly companies and on i know a lot of people that work at starbucks and i never shot-- thought any shop would unionize especially in buffalo and i'm thinking there will be record because of all of this businesses will probably say we have to figure something out and i'm saying it's going to be record cap spending next year. i went to refresh and some thoughts and if this is the case what stocks would benefit? >> i think you are right about that. i mean, if you look at just the metrics looking backwards cap x has been robust but if you look
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at the expectation for cap x spend going forward from ceos, it's going to increase pretty dramatically and a lot of it's going to be spent on software and productivity enhancement , which is benefit the underlying company so it can be companies in our portfolio for example as diverse as a water treatment company to chipotle who utilizes digitization to improve sales and productivity, but also it's going to benefit-- i mean, i think you still want to be semi cap equipment, those companies will continue to increase and dramatic demand, broad competent was pretty outstanding with increased capital share repurchases and rate guidance. charles: on the topic of growth you have been overweight-- growth and certainly feels like that when we talk, but overwhelmingly it feels like almost everyone in the street is saying you want to go to value
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and cyclical names. to be honest, makes me feel like growth will outperform, but would you stay the course with respect to the composition in your portfolio, still mostly more overweighted towards growth right now >> i think you have to, charles i'm starting to hear strategists come out in their outlook saying we think growth is slowing and you should be more exposed to the growers, the true growers earning, not just generating revenue growth, but earnings growth and we have been talking about that for almost nine months, so i think you want to own companies that have pricing power so think consumer discretionary names and may be with housing focus and you want to own technology because that narrative, not technology the hike flyer work from home names, you know the real workhorses of the cloud and cyber. those are the names you want to own and then take a look at a name like amazon that's done nothing for 18 months, but is really operating on all cylinders, not just cloud, but taking
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share in e-commerce and think they-- this season will benefit them because they are determined not to raise prices and i think that will increase brand loyalty. charles: i think you are 100% spot on and that's one of the reason i bring you in because you are brilliant. thank you. i appreciate it. >> thanks, charles. charles: while the and the city reboot is adding to peloton not really a positive way, their image woes today the company's fundamentals are causing it to sink and just like that we will talk abo that and also we have the charts for you to know as we head into 2022, what you need to look out for, and where your money needs to be. that's next. ♪♪ ♪♪
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see if you can save by switching today. comcast business. powering possibilities. charles: major indices climbing back quickly after being hammered pretty good earlier in the month, but there's a lot of question in my next guest is the right one to answer them. he's ranked as the number two technical analysts on wall street.
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let's bring him in, chris, i have to tell you first of all there's a lot of good technicians out there. that's a huge honor, so congratulations. >> appreciate that. charles: i want to talk about the market that has taken a lot of body blows ms. come back fairly quickly. can you make anything out of that? not even as a technician, but just the resolve of the market. i have marveled out it since march, 2009. >> i think the story of the last 20 months is the resiliency of the market in face of bad headlines after day after day, so i think we have to tip our hat to the market and the ability to come back over the last two weeks with s&p back to 4700. the last 20 months the markets been supported by three things, great brats, great leadership and benign credit so i think the question we have to ask is as this market rallies to end of year are those three inputs still at play and we are starting to feel
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a little bit under the surface and i think that's a question or concern for next year. charles: before we get to that, though, how important is it that we take out those highs? in other words, we bounce and form, whatever you know and we start to pull back, would be a red flag? >> i think it's important you continue on the path of higher highs and higher lows which is been the path for 20 months. maybe more important, i don't want just four, five, 10 stocks doing it, i went the majority of names participating i think that's the big question. one thing we look at is the ratio. it's come back pretty good over the last week, but i want to see more over the next couple of weeks. charles: one about 50 to lows and highs because on the nasdaq we started the month you know the ratio was like we have our own extreme right now. it's just completely flipped where it's just a couple days ago 732
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lows and you have to go back to march of last year when everyone was panicking and we were in free fall. we are starting to get steady and we know that it's part of the internals we are talking about. how important is it with respect to leadership? >> it's important and it's not good, i mean, it's a change from the character of the market for the last 20 months and you never want to see the new low outnumbered the new high. when you look at nasdaq, where the weakness has been thus far is all of the speculative the smaller cap high valuation high pe names and i think the question we have to address is, if they are done selling the week charts do they start to move on to some of the winners like paper and stands a software group, software is at a new high because microsoft is that a new high. only 40% of software is above its 200 day average. a lot of the groups dominated by one or two waves are actually a lot weaker. charles: as an investor does that tell me too stay away or maybe there's opportunity? >> when you work through the corrective phases and i think that
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ultimately is what might be in front of us in 2022, their correction is not over until ultimately everything's been hit. they've had a lot of the smaller caps and a lot of the weaker stuff, the cyclicals, what they have to hit are the mega stocks and what i find noble as you are starting to see softness in mega cap growth names and bond yield is still at 150. what if it goes to 170 or 180 and that's where i think the question is as we look ahead, may be a correction, may be a correction at. charles: that would be the flush out. >> absolutely. charles: once the most important chart? there's a million charts and all kinds of ways to analyze them. new investor wanting to do some technical work, what would be the key chart to look at? >> if we want to get 22 right, we are going to have to get the dollar right. i think the dollar is handed down the most important story into next year. most people got it wrong. charles: that shows going to have to get weaker or stronger?
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>> our sense is the dollar-- think about the last couple of weeks. presumption of the risk of optic, a hawkish fed, but strong economic data and the dollar has not been able to make a new high. today sharply lower. when you start a tightening cyclo- the dollar tends to rise in advancement and then starts to roll over as the fed changes course so that's the set of i think 42022. i think corrections and commodities whether it's accrued or energy stocks or natural gas will be viable as the dollar weakens. charles: chris, congratulations and happy to have you in the studio. i learned a lot. folks, here's a question, economy coming on too hot, is it too hot to handle right now and if so what does it mean for the market? top wall street leaders are cashing in their stocks and some of the mega cap names we just talked about, maybe insiders know something we don't or maybe we should be buying what they are selling. we will be right back.
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>> it is a real problem, but the point is that has to do with the supply chain as well, but it also has to do with the fact that not everyone is looking for a used automobile, but those are are paying higher prices because there are fewer of them because of covid, so i think it really is a real bump in the road a. charles: just a bump in the road, president biden reacting to the inflation news this morning. remember, we are at the fastest pace in nearly 40 years, but the president says he thinks inflation is likely peaked and probably going to go down faster than most people expect. ceo insider are cashing in stocks at historic rates. elon musk, and google cofounder $63.5 billion hole through november of 50% from last year and joining me now rob luna
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and scott martin. you know, scott i really don't get too frustrated when an insiders sell unless they sell a large percentage of their stock, but for many it's a problem i mean would you be buying-- tesla alone, would you be a buyer of these insiders? >> sometimes it's a good thing. here's the thing to your point about getting so emotional and wrapped up in what insiders are doing, sometimes they are selling for different reasons than you are buying. they are selling for tax loss or gains type or as well as the fact that they have a personal situation or my goodness, as investors sometimes they sell because the stock is way up and they want to take some chips off the table so what i like to look at is i like to buy tesla on big down days, big washout days and we had one recently earlier this week when the "new york times" came out with the report about the self driving technology, so i like tesla long term and think it's a great part of our future but i want
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to wait for that down days. when tesla pulls back that's when you jump in and by. charles: rob, the root main reason we sell all the selling is the new laws and the tax hikes and a lot of the folks are cashing-- stocks because they have tax obligation so would you look at it on a company by company basis? when does it become a big deal? >> i completely agree with scott, surprisingly, charles. from the standpoint of these executives-- low, they file something all day 10d51 and investors can actually see these sales a lot of times are predetermined. i work with corporate level executives and this is something we do as risk management and when you think about it that's where the majority of their income comes from so they have to sell the stocks, but to your point it's a case-by-case basis. don't sell the stock or buy a stock based on what insiders are doing. to scott's point, if you like the stocks when they get beat up for any reason and if the ceo is
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selling, by them but don't let it determine your investment strategy. charles: a quick note apparently amc ceo sold 90% of its stock. i don't know, i'm not cool with that. it's still under a lot of pressure and i'm surprised he did that i think he may have taken advantage of investors on that one. let me ask about today's session because some folks are confused. rob, i will start with you. does a day like today when we could've easily been off a whole lot more, but we are not. does that signal anything to you? >> i'm really surprised with your previous guests a technical analyst talking about this, the markets extremely resilient. we have so many opportunities and reason to go down and now, we see all the predictions of 20 to 25% pullback next year, but i learned a long time ago in this market you want to go against consensus and the obvious set up for next year is probably what you do not want to be doing. i think the market is a strong and as long as
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the interest rates stay low yet but 10 year 1.5 inflation as we saw this morning is an issue, cash is trash and you want to invest in an asset. use the opportunities as a pullback. this market is going higher in my opinion. charles: rob, let me start with you on this one, scott it's interesting yesterday the best performing stocks were the most boring stock, s&p 1500, low volatility names mean they are there, the pepsi's and macdonalds of the world i mean is there a time when you say i want to park more money than normal in boring but steady? >> yes and we have been doing that for our clients but we don't stay there, i mean, market faces are fast and furious and in some days staples are there another days a utilities have been great and other days tech my goodness which has been a great sector the last several years has lit up like a christmas tree that may or may not have been set on fire so you have to realize there are times to have different things in your
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portfolio doing different things at different times and having those experiences over long time is how you will win in this market. charles: the christmas tree set on fire, you know analogies these days is all i'm saying. i have one for you, spoiler alert for you transects fans, that's robin scott, there was a big death on the reboot, a character was actually using a peloton bike ahead of their demise and the stock is down today, but it probably isn't that as there was a massive downgrade. scott, i think the notion is a lot of people went for the stay-at-home stocks you know and we were told even after the pandemic is over the highbred work will be there forever and 40% of us will work from home and all of them one by one by one has been taken to the woodshed. is there any hope for palatine or any of these other names? >> there is, i mean, i think some of the talk-- stocks peloton, weathers
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the documentaries or say these comedies or whatever you want to call that show, taking shots at palatine i think the stocks get overdone, i mean, rob mentioned the technical analysis, look at the relative strength on peloton all really cool stuff, technical analysis, but it's way overdone so as soon as you have the ability to ride the wave i think you have to get into peloton. charles: the good news is there will be a vacancy for the main character if they make another movie. i checked you out on some of those honeymoon pictures. you could be the new mr. big any day. rob scott, have a great day. folks, i love to from you on twitter. unfortunately, there won't be any twitter mail today because i have not been able to log onto my twitter account for now five days. besides twitter asking me too change my password, they sent me on a link that put me down a rabbit hole with
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weird prompts, fill out a form, someone's going to be get back to me and again it's been five days so i want to say thank you to the twitter followers that are eager to me-- for me too return. someone sent this to me today and it was fantastic. if you would like to send jack a message hashtag vip pain, i appreciate it. coming up record high inflation and the american dream. our america's lowest wage earners figure you may they agree with president biden and things will get better? one of my favorite market watchers, philip biancato, will help us break it down. he's next. ♪♪ ♪ ♪ ♪
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charles: here's the good news, economies around the world continue to grow faster than anticipated, but it's been outpaced by prices with global inflation surprise and ducts. the trend has weighed heavily on consumer sentiment. we did get a small bounce so far this month in the first part of december. all three categories, by the way, bounce back from last month but there is still down significantly from a year ago. as all of the improvement comes really from household in the lower third of the income scale. the last time this happened, lower third of income scale sentiment improved as much as we saw so far this month was back in june, 1980. apparently this renewed optimism spending from expectation income will increase looking for 2.9% over the next year.
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it may sound low but is the highest expectation level for income since 1981. the report unites america on one thing and it's painful, that's inflation. when asked whether inflation or unemployment would be the most serious problem facing our country 76% said inflation. 21% said unemployment or the unemployment picture and 3% said they were equal. according to a report the dominance of inflation over unemployment was true for all income, age, education, religious and political subgroups and joining me now to discuss, phil orlando. phil, when wages don't keep up with inflation what mechanism can strategically lower inflation, but at the same time allow wages to keep going up? it feels like they are joined at the head, how do you keep wages going up, but somehow we cure the inflation problem? >> you have a serious
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problem here because the cpi nominal number reported today up six-point 8% year-over-year. that's a four year high. wages are up 5.9% annualized basis over the last eight months through last friday's jobs report. the wages are doing great, but people are losing 2% of their purchasing power. the problem for this simply is fiscal policies have been too generous. there's too much stimulus on the pipeline, too much money chasing too few goods that are restricted because of the supply chain problems like west post port situation. what you have to do is try to pull-- cool things down. one of the problems we saw for example dear just ended a six week strike by their workers. how did they end that strike? third contract offer including the dreaded
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clause, cost-of-living adjustment and what that means is that if inflation is running hot, it john deere management will reopen the contract and raise wages. now this creates a problem because it's a self reinforcing inflation cycle. companies will just take those higher wages and pass them on to us as the end client in the form of higher prices and then-- charles: phil, there's a limit to how often, i mean, there's a ceiling to how much any company can raise prices. i remember we went through a time when no company had any pricing power for a long time. let me transition a little bit because you look at someone who may be well-versed in aesop's phase of vote-- fables specifically the tortoise and the hair and all of a sudden we see low volatility stocks outperform, boring names like pepsi and i was just asking scott and rob about this, in this environment when talking about company's with pricing power where pepsi or mcdonald's, is
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that a good place to begin particularly as we try to ride out these gyrations and uncertainty? >> the short answer is yes. we prefer value overgrowth value stocks about 17 times and growth stocks twice that about 34 times earnings and then you look at recent third-quarter earnings which were up 41% overall for the s&p 500, pretty good, but growth companies grew their earnings 20, 30, 40%, but the value companies energy, financial services, industrials, consumer discretionary materials, those companies were producing 50 to 100% year on year earnings, so less volatility, stronger earnings gains, cheaper evaluation and i think that's the place where you want to be right now. charles: you would probably sleep better at night. >> absolutely. charles: big money continues to pull-- pouring, but more specifically into the climate funds, but it seems to me too be
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a perverse way making fossil fuels the price and commodity themselves move significantly higher, so in my mind is it worth the loading up on these things right now? they haven't really performed as well as the coal or fossil fuel stocks and if your goal is to make money in the market, could you put off buying those funds for now and just focus on where the money is being made? >> so even though hermes is a big esg company we actually prefer energy companies right now. economics 101, you have got demand for energy soaring as the economy is reopened. you have the largest energy producer in the world, united states, we have reduced production as a result of fiscal policy decisions by 15% over the last year from 13 million barrels a day to 11 million barrels. what is that due to price? price has gone vertical, gasoline up, crude oil
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price of 150% over the last year so energy prices are benefiting from that trend. if you still want em's g you want to focus on the company, the energy companies that are engaging with companies like federated hermes making improvements to be more environmentally federal cash friendly. charles: phil, great replies. it's been too long. we will talk real soon. >> thank you and merry christmas. charles: merry christmas. rising lumber prices, dwindling supply, shutting a whole lot of folks out of the home market and we want to talk about attaining the american dream. is it time to take-- say goodbye to a white picket fence, family, swing? i hope not. in the part of this market is already in a massive meltdown as it has crashed a big time. we will tell you what it is to see if there is something we should be buying right now, so stay with us to find out
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charles: as we all know the federal reserve has a goal mandate, inflation and employment because those are the two key components that move our economy. the two major parts of that are the stock market and home prices and of course both had been on fire. for housing, a lot of americans are left out because prices keep moving up and in fact the median average is over 407,000 existing 353,000, plus you have a supply that keeps getting tight and don't look now, but lumber prices are erupting again and joining me now katrina campaigns. katrina, everyone wants to own a home. for me, how important is it that the federal reserve keeps rates low? we talk about the wealth effect and the impact of the stock market, but how does this impact your business? >> historically speaking interest rates are still relatively low. we are a bit spoiled so we have to put it in perspective. i think interest rates
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will rise next year, so would it is wise to lock that in four inflation purposes. also rent prices is something we have not discussed, rent prices are skyrocketing so it's important to-- charles: is that one reason the housing home prices have gone so well? i understand millennial's are saying it's crazy i might as well buy a house because it doesn't make any sense. >> interesting point, millennial's entered the market and they are here to stay and builders had built the way we expected them to because they didn't think millennial's will enter the market and now they realize it makes more sense to purchase and everyone is using real estate to hedge against inflation, so the demand continues to rise and supply is not there because builders cannot get appliances, they can't get lumber so it's really difficult. charles: i have to ask about the upper and where you dominate. i read somewhere where these amenities are
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coming back where people won everything and obviously we work from home. we won a home office, but i saw where someone wanted an operating room. i don't know if you get plastic surgery so your friends don't know, i mean, what are some of the crazy things? >> i have not seen operating rooms. that's a first, but i see home offices important, play rooms for children, i mean, we are beginning to see rooms that look like disney world and the separation so people can work from home and still have-- charles: and not see their family. [laughter] >> yes, have kids not make noise when you work from home. i told one builder to actually make soundproof workrooms, so we can work and the children can play and we aren't interrupted and people have studios now. people are doing fancy is uma calls. charles: great to see you and i'm glad the american dream is alive and well. >> it is. charles: we will talk to you soon. kathy woods, etf getting
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hammered i means shellacked with everyone jumping ship. stick around because i'm going to ask kim mahoney and karl webb what are the implications as this has been one of the hottest investors in the world. what's going on when we come back. ♪♪ what's strong with me? i'm ready for anything. find out what's strong with you ...
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charles: all right, folks. the arc innovation fund, it took wall street by storm, and in the process, it made cathie wood a super star but, success of course breeds resentment and her miscues are magnified and the fund has come down a lot in fact many of the holdings have been annihilated so should you be a buyer or is there more, something perhaps ominous about this move i'm going to bring in ken mahoney along with nicole webb. ken, i know you're a cathie wood fan although i know you didn't like the idea of her posting those trades but what do you make of what's been going on with the fund? does you make you believe some of the stocks are now in the buy zone? >> i don't think so. i think there's still a lot more pain. we like to start with a stock and add up to it. you know, keep adding as it goes increasing lower to cut our losses and meanwhile she seemed like she's cutting her gains by coming out of tesla, adding on and on and on like robinhood, my gosh, 40 more, 30, more at 20, non-stop and not the biggest disruptor in the world to tell
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you the truth so again our concern is she does that also with teledoc, zoom, so forth and so on and look just yesterday she said she's soul searching. not sure, charles you want a money manager to be soul searching and lastly, look, at the end of the year, here we have a lot of her stocks near 52 week lows, more susceptible to more tax harvesting more tax selling so for all those reasons i would not be a buyer of the a rkk fund. charles: i want to pick-up on that, nicole, because the big wins in someone's portfolio i'm talking life-changing wins are names that you buy and hold through good types and bad types that eventually erupt. think of an nvidia, that kind of went sideways and then it took off, netflix, microsoft after they got a new ceo. is the message here that investors, is this something investors should be thinking about because i know ideal with a lot of new investors and they are getting antsy and just not prepared for these downward swoo ns, even though some of the names they own,
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could two, three, four years from now be magnificent. >> absolutely. i think the buying opportunities that were presented to us through 2020 and certainly here again in 2021 were very centralized and so what we've moved away from is the narrative that when we talk about the market as a whole everyday, we're talking about the predominance and it would add more innovators and in the portfolio and the sell-off at the end of the year, and it's not the arkk fund itself but look at the ai robotics, there is real opportunity for the implications of that technology, blockchain forward and touching a lot of areas, and certainly, helping the bottom line of existing companies with more profitability and future implications. charles: i'm sorry we've got two great perspectives there.
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hey, ken let me ask you about apple. this is doing what you like it keeps going up and it looks like it's inevitable with a date with 3 trillion. is this something if someone wasn't in it today say ken, do i buy apple today what do you tell them? >> an apple a day keeps stocks moving, i love the stock to take out new highs and continue, and what is very wide moat trying to get into business, the barriers to entry are immense, and getting involved involved in autonomous, a lot of growth areas, by the way, 25% of berkshire hathaways holdings is now apple. charles: apple will save warren buffett, i'm glad if he had to pick one tech stock he picked the right one. i've got 20 seconds nicole what do you like here and what's the best advice for folks as we continue with this choppy market >> yeah, my favorite choppy market position is looking forward to 2022 a post-covid
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exhaustion from the consumer, am gen, zimmer, some of these orthopedic companies that have gotten annihilated, we haven't seen the supply chain disruption there, and so that is going back into the new year. charles: well thank you both very much, nicole, and ken, have a fantastic week, and liz, its been a crazy week hasn't it? we've been all over the place and ironically, you would have thought today would have been a big down day. liz: yeah, you would have, but you're absolutely right. the highest inflation number in 39 years? not spooking wall street as we kickoff the final hour of trade. markets are wrapping up a winning week with a move to the upside, the s&p 500 within a whisker of a new record. it needs a gain of 37 points to lock it up, we're not quite there yet, we're up 23 but we're watching it the dow gaining 103 points and the nasdaq, we are up about 31 points on the tech-

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