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tv   The Claman Countdown  FOX Business  July 29, 2022 3:00pm-4:00pm EDT

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these days i'm a bit more concerned about the latter because a lot of things are conspiring against us, but both usually come back, they're tied hand-in-hand. as long as we keep the faith and make it through and i think jim areo said it best, as long as lawmakers in washington dc don't mess us up. hope you have a fantastic weekend. i'm leaving you with the best for the last hour, liz claman. >> you should stay. we hit session highs. >> that's the dp. >> run it in. we're still up about 306 at the moment. it's going to be a hot friday, guys. fox market alert with one hour left to trade in the entire month. stocks are simply adding a bit more shimmer to an already sparkling week. check it here right now. the nasdaq is gaining 216 points. it is a pretty decent gainer here, up one and three quarters percent. for the week, look at this, this is something we haven't seen in a while. this kind of weekly strength. the nasdaq looks to close up
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4.6% on the week. the s&p up four and a quarter and dow jones up two and three quarters. the russell 2,000 has a bit of a gain here just under a percent. on the week, we're looking at a gain of four and a third percent. flip it over to the whole month. with just about 59 minutes left in the session, it is blast off for the markets. the nasdaq got to be the big attention grabber here. looks to gain 12 plus% for the month. better thanks to better than expected reports thanks to google, microsoft, and last night's amazon and apple numbers and s&p up 9% for july and the dow up 6.3/4%. i'm your girl when it comes to small and mid caps. the russell 2000 looks to jump ten and a third percent giving small and mid caps a very respectable 16% bump year to date.
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see the transports up 11%. amazon is the roman candle of today's session. the ecommerce king is pounding higher by 11.23% right now. topping both the nasdaq and s&p. even though the company posted its second quarterly loss in a row. once again, the declining value of rivion is blamed for the 20% loss of share. amazon owns 20% of the maker. rivion is flat on the session. the xrivion burn looks good. amazon missed by 3-cents but investors love it. the 121.2 billion in revenues for the beat. rivion is down 67.7% year over year. consumer demand is alive and not kicking but definitely showing a decent pulse. apple shares up 3.33% right now after the company came in with better than expected earnings that soothed investor worries
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about a investor slow down. people shelling out $700 more more for iphone 13 and the 14 is coming out in september. they posted a 2.8% gain in phone sales to $46.7 billion, a fiscal third quarter record for apple. flip it over. we need to show you the price of oil in the after market. it's on fire today. up two-thirds of a percent but at the moment, we have a very nice move at least for crude oil. gasoline up two-thirds of a percent. crude up 2.33% and big ole not with just big profits but record profits. talking chevron and exon mobile pointing to surging energy prices during the quarter for the epic earnings and exon banked 17.4 billion in profits. and chevron looking at the biggest percentage gain in a year and a half of 8.8% halting
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$11.6 billion. we should just look at this at the moment because it got a little bit of a headline app ragaini pomoxus of not much -- warren buffet amassing a hug number of shares and petroleum up 9% in a session spike and earnings come out on tuesday and we'll be all over those. before you think every company is making it safely across the bridge over troubled waters, proctor and gamble and intel stuck on the span for different reasons. citing surging cost and intel, look at this loss, 8.8% and it's crashing to near five year low after missing second quarter estimates and they slashed annual sales and profit forecasts. with so much to swallow on the last trading day of july. get to the floor with dan ives of wet bush who covers so much, apple, rivn, apple, at the scene tesla and somuch more.
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one thing this trading season taught us and investors so far and people in google, microsoft, and apple are navigating the economic bumps way better than others. what should that sell investors? >>-- tell investor s? >> great point. the strong have gotten stronger. that's the dynamic during your earning season. armageddon-like expectations and look at apple, amazon, netflix, tesla among others and it's a bifurcation of the tech phase and it's being led by cloud, microsoft, obviously amazon drilling down the massive numbers. >> everyone is talking about iphone sales and i looked at china regional sales and to me, i loved your line in your note where you basically said -- well, you get to say it. you made a comparison between the performance of that considering there was a two week shutdown during the quarter in china during the lockdowns and
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you made a comparison to a certain movie. >> yeah, i mean i think for kim cook, this is his -- tim cook, this is his top gun moment. maverick-like ability to navigate what's been an unreal shut down in terms of china. that was a $4-$8 billion head wind and they came out on the low end of that. china got 1%. i think that was really the headline. that was a shocker that it was so good. also demand's starting to come back. that's important going into the drum roll iphone 14 cycle. that's why in our opinion, apple is a rockage stock that can navigate the economic dark storm. >> yeah, well, you know, i love all of that, but i find what's really interesting and i know you don't specifically cover amazon, but you cover rivian is that amazon has very forgiving investors this time around. second quarter in a row of negative; right, profits here.
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it's blamed both times on rivian because of its huge stake there. i saw my first rivian on the west side highway. i did it safely. i snapped a picture, here it is, i couldn't believe it because i used to do that when i saw teslas about five years ago because they were such a rare sighting. tell me what you think about rivian and how it'll get back to its belter picture for the -- better picture for the stock. >> yeah, for rivian they just can't produce the cars. that's been the perspective from the chips and 90,000 reservations and it's a unique car and ecosystem from a software perspective they've built. i think they're -- when i look out over the next one to two years, i think they're a winner in evs and came out with a huge hike and it was a disaster the first six months and starting to build back credibility one quarter at a time but like you talked about. in this economic environment,
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you're going to separate -- the rock star companies from the ones that fall by the wayside and look at digital advertising. snap compared to the likes of google and others. queer by-per indication that's happening. >>-- bifurcation happening and down over 81% over the past years. >> that's one of the emerging ones and unless you're in the lead like tesla and this blings me to tesla. tell when he what you think is happening here because the stock is improving and elon musk is starting to believe or at least make some noises that maybe we're through the inflation. at the moment, tesla is up 4.5% with about 52 minutes left to trade. where does this go? >> this is another example and like what apple did it china. tesla navigated better than expected and now china is coming back and that's the hearts and lungs of the bull story. also that profitability and gross margin i think was better
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than expected. my opinion going into the second half of the year, this could be a trajectory for over 2 million units going to 2023 and in the ev landscape, it's still tesla's world and everyone else is paying rent. that's what you're seeing play out, especially also in a risk-off market. investors are catching up to risk and you start seeing that with tesla, but it continues to be the two pillars: microsoft, apple. those are the hall of fame quarters. >> finally, we got to run but your price target on apple right now i believe is $157.35. you've got an outperform. the stock is at 162 and change. knowing what you know know, will you raise your price target? >> yeah, we have a $200 price target. that's our price target. but ultimately i think this is one with in my opinion as they navigate and what i see on the iphone 14, i believe over the next six, twelve months, this is
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a $3 trillion cap. >> it surpassed that the other week and it's at a $2.6 trillion market cap. stuff moves quickly especially with the new phone coming out or at least announced in september. dan, great to have you. thank you so much. >> thank you. all right, check the dow jones industrials. earlier we just hit a session high of 344 points. why does it matter? if we close above 348 points, that means, folks, the dow is out of correction. in the meantime, inflation not stopping consumer spending but is the slow down about a break out with a vengeance? we'll ask the ceo of the company that owns household brands from elmer's glue, paper mate and more. if he sees shrinkage ahead of back to school shopping. the household brands next. the closing bell is 45 minutes away and dough trying to get up to -- dow trying to get up to 348 point gain to close that
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would get us out of correction territory. we're coming right back. &%c1
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month alone, newel brands right now is down about 1%. a little breather after this morning's strong second quarter earnings report and this is despite pressure from high inflation and rising costs of raw materials. newel brands is the parent of household names almost every american household has. rubber maid, sharpy, crock pot, baby product giant graco, yankee
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candle, mr. coffee and raging inflation continues to shape consumer spending trends, household spending rose 1.1% in june according to new data from the bureau of economic analysis. why listen to economists when we can ask business leaders in the trenches like the newel business leader. robbie, great to have you. what are you seeing right now in the current quarter because you have both staples like elmer's glue and paper mate pens and sun beam and graco strollers also. >> yeah, liz, great to be on the show. we just finished the quarter and reported eight consecutive quarter of organic growth, what we call core stem growth, 1.7% and the first half of this year up 4% and that's on comps of 23% last year. so clearly we're off to a great back to school season and our
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sharpy, papermate, elmer's glue, et cetera, that's all because school learning, in-person learning is in full force and that is great. >> yeah. >> where we're seeing some softness is thinks like yankee candle with the pandemic now sort of receding, people are now making chases, and there's more mobility but our commercial business is doing extremely well because that goes into offices, stadiums, restaurants, hospitality, et cetera. so this diversified portfolio, we're able to still grow the business, but the keyword, liz, right now with the consumer is all about value because the consumer feeling the pinch on gas prices, food prices so what we're emphasizing is value and with the invasions we have, we're trying to -- innovations we have, we're trying to find
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bonus buys, price roll backs and figuring that out and important customers like wal-mart, we did a rollback on outdoor coolers. point of sales was up 55% when we did that. i think value, value, value. that's what we're after. >> what i like about you is that you have been very honest, ravi, about raw material's cost. you have said that resin, the price of resin has gone way up since the russia attack of ukraine. so how are you managing to keep the value of the prices low even as you watch things like plastics, you know, metals, aluminum, you see all of that going higher, and i know graco strollers, i had one, there's plastic and metal and risen. all kinds of elements that probably cost you more. >> yeah, i think we're -- last year was really where we saw a lot of raw material, price increases, especially resin as you said. that is getting tempered a little bit, moderating a little
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bit. where we're still seeing increases is in ocean freight. that is not abated yet. i think towards the end of the year it will. our hit on our cost of goods sold is 9%, so that's been substantial. so we've had no choice but to take price increases, but we've been very careful about modeling price elasticities and then driving productivity. how do we take cost out of our product without lessening quality so we remain a great value to consumers, and then we're doing other insenteddives like our -- incentives like you mentioned yankee candle before. buy one get one free on candles or give backs and we're trying to find ways to do that and in order to protect our modules, we have to take the price increases as well so it's a balance and when you innovate, that's when you can show the value to
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consumer. value doesn't just mean low price so for instance we're launching rubbermaid dura light and goes up to 550 bake ware and go from oven to table and very attractive and these are things consumers look at and say, okay, it may be -- may not be the lowest price but it's a tremendous value for it. we look -- you mention graco. the car seats, our forever, they last ten years so baby is a slight premium, the value is you get it for a long time and your kids are always going to be safe. >> it is a moving target. this inflation situation and how the customer is behaving because one thing we know, you had mentioned wal-mart, you sell to wal-mart, wal-mart announced it had degradation at that sort of middle to low end consumer level, but names like lvmh, they're got brands from bulgari and the very, very fancy names, tiffany, they came out with very strong earnings so as we continue to watch all of this
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and some of the luxury brands are actually doing very well today in their stocks, we will have you back to see it progress because you are in that sweet spot there. it's good to see you, ravi. >> thank you so much, liz. appreciate it. thank you. >> think time. the world's largest air show in full swing right now in oshkosh, wisconsin, but now it's not just the aviation enthusiasts in the crowds. the major carriers have arrivedd in droves hoping to turn air show fans into aviation industry hires. we're headed to the america's airlines to search the ground and skies for a new crop of pilots and mechanics. look at dow up 59 and s&p up 39 and nasdaq up 1.8% or 227 points on this last trading day of july. you got to stay with me through the whole final hour. &%c1
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fox business alert, the dow is oh so close to coming out of correction territory so let's just explain here. it's been there since mid june after falling more than 19% from its january 4 record. it needs to finish up 348 points to extricate itself from there and how do you do that? you have to close-up 10%. right now we're up 9.97% since it fell into corrections
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territories. we're almost there. investors pointing the remote button at roku and switching the channel after the streaming device maker missed on top and bottom line for the quarter. the stock is getting hammered down 23% and roku issued a current quarter four forecast below expectations and withdrew the estimate and the company is blaming misses on inflation and supply issues. sussquihana downgraded from $70 to $200 and at $65.32 right now and, folks, in the past year the 52 week high was $472. that's a heart breaker there for people who invested at that price. chinese adrs, stocks that trade here in the u.s., under pressure at this hour after the wall street journal reported that jack maw will seed control of tech group. al i b aba down 10% and they
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crack down on the tech giants after the criticism of the regulators back in 2020 and down 4%. a pop riatas for getti images this on social media buzz. getti on top ten trading stocks on retail focused stock twits with message volume on getti on the forum up 3,000%. the visual content market creator place went live monday. we're at $23.54 for g-e-t-y, gety. spirit airlines wings are getting clipped after a double downgrade. jp morgan cutting from overweight to underweight after jetblue announced a deal to buy
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spirit. investors won't get any regulatory clarity on the deal until early next year. spirit down 2.5, jetblue up a quarter of a percent. spirit and jetblue usher in con sallation in the airline -- consolidation in the airline industry, they face major issues. a study shows regional airports have lost airline service due to a pilot shortage. for the major carriers are flocking today to the badger state hunting for workers of the future. that's where the annual ash cob air show is taking place. half a million aviation enthusiasts descending on the small wisconsin town and american air carriers are on the ground trying to fill vacancies in the sky. grady is live in oshkosh.
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>> hey, liz. there's half a million pilots needed here and some of the younger folks may become pilots instead of aviation enthusiasts. for the first time ever, all of the major airlines are here, recruiting trying to inspire the next generation to join the ranks because the pilot shortage is no joke. there's an estimated shortage of about 8,000 pilots right now, 30,000 short by 2032 in north america alone. we talked to a captain with united airlines who came to oshkosh when she was just 8 years old. that she says is the reason she decided to become a pilot and she's hoping the same thing happens to young kid who are here this time around. listen. >> i believe it's because there are barriers to entry that have been too high. that is cost and accessibility. we want to break down all the barriers that might be put in their way. >> you're going to go to college or any sort of trade school,
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there's going to be a debt asocietyuated with that -- associated with that and like those paths, there's financial assistance available for that. >> a lot of the pilots who fly the air show rides, they are also former commercial pilots. we got the ride of our lifetime this week. we flew along with the aeroshell aerobatic team on world war ii era tc6 planes, they were training planes back in world war ii. we did a loop and a barrel roll. i fly a lot, liz, but this was my first time upside down in a plane. we pulled 4gs that, told us, that's four times the new orleans of gravity so it was quite an experience, and the hope is that if young kids can have that experience or see those planes from afar, that maybe, just maybe, they'll be interested in aviation enough to make a career out of it. i'm happy to report, liz, that nobody in our crew lost their
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lunch on that flight. >> look at you all maverick. that name's taken so i'm going to name you grayman and not because your skin looked gray when you were up there doing the loopdy loop. we've got the airlines in the green. grady trimable. the u.s. jobs markets showing 50 years low and can the economy really be in recession with millions of job openings? we ask the big question to the ocean first financial chairman and ceo christopher mar next. and diamond sales at the high end holding up as big as tiffany parent posts earnings and sustainable lab grown diamonds and gems. we have the ceo of brilliant earth and her lab grown diamonds
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with gold and silver jewelry are becoming a fast favorite. founding the business out of her one bedroom apartment was the easy part and battling a legacy industry to become one of the largest publicly traded lab gem companies was another. how did she do it and fight her way into the industry and consumer's hearts. her story just dropped. download the latest on my podcast. download anywhere you listen. closing bell, 27 minutes away. look at this, we are one -- oh, we just bested here. we're up 350 points on the dow. if we were to close anywhere above 349, we're out of correction territory. so you've got to stay with me the next 27 minutes. &%c1
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right now. we've got a market rally on the last day of july. the raging debate in economic circles and of course on the front page of the new york post, which gives its recession definition. this debate about whether the u.s. economy is in recession right now got a few more pieces of the puzzle added today. pce for june, this is the personal consumption expendsture data, it hit another 40 year high coming in hot at 6.8% year over year. core pci, this is the favorite inflation gauge for the feds and rose 4.8%, slightly higher than 4.7% reported in may. it may be below the 40 year high we saw in february, one of the nation's top hedge fund managers, billionaire ray dolio telling neil on coast to coast today, he does not see inflation cooling any time soon. listen. >> here's what i think, i think that we're not going to be able
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to bring an interest rate to a high enough level to give a good real return to holders of credit without causing a contraction in economic activity. the way it really works is you take money and credibility away from people. something else costs them so they spend lost and because they spend less, you have less inflation. >> will that trigger or are we in currently a recession? let's ask philadelphia federal reserve bank board member and ocean first financial president and ceo christopher mar in a fox business exclusive. does this automatically mean we're in a recession? >> first, great to be with you today. in terms of this question, it's interesting to me how much entry we're trying to spend on figuring out how to measure it. the economy is slowing whether it's your recession definition or my recession definition, we're going to see that over
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time. we have to make sure that we're taking the actions we need to get ahead of inflation. that will cool the economy. i think we're looking at that and we have to look at the jobs number because a recession is one thing, having a lot of people out of jobs is a very different thing and then we'll have a bigger different multiplier in the economy. >> chris, let me drill down. may i call you chris? >> sure. >> chris, we have such a strong jobs report. i mean, when you almost have 400,000 jobs created in a single month, can you really say that what we're in right now is a recession because again, the post which, you know, leans right and doesn't exactly love this guy, joe biden, is innocence saying, come on, we've had two consecutive quarters of gdp, growth contracting, and that's our definition, that's been the old school definition. is it your definition? >> it's the academic definition. what i'm waiting to see is where
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do we go with consumer demand? what data are we seeing, high frequency data like credit card purchases, debited card purchases and how are people spending their money and how are the industries doing and that tells a story. people are spending on discretionary items, things they have choices to do, going out for dinner, taking vacations and doing things like that. you don't see a very weak economy for sure. we still have so many job openings that there's multiple job openings for every job seeker. whether the gdp is up or down or classically a recession is less important than what's the tempo in the economy, which is very good. our credit quality, we lend in baltimore, philadelphia, new york, boston, our clients are doing great. we have earnings this week. we had among the best credit performance we've ever had has a company. >> take off the board member hat and put on your lender hat, you're a regional bank lender. you're the ones that don't shut
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down the wallets like the big boys do when they get a whiff of fear. you have to tell me what kind of loans you're giving and the demand for the loans as we see interest rates rise wanigans and on top of that, are you becoming way . tight fisted about giving loans? >> yeah, first of all, you're very right, liz, we are -- our bank, community banks, regional banks, we don't come and go, hot and cold, we're in the economy regardless of what's going on. terms of loan demand, we're very strong loan demand, they're up about 1.6 over the last calendar year. this last quarter and second quarter we released today, we did $835 million worth of originations. the loan portfolio by $315 million. rates are coming up and business owners who are thinking twice, being careful, maybe scaling back projects a little bit, but i'll share something interesting. the prime rate; right, is the same today that it was in 2018.
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>> which was around 5? >> 5.5. >> okay. >> people are thinking rates have come up so much. the 30 year mortgage rate, it did come up a lot in the first quarter, that's now moderated. so people have to adjust to that, our clients will. they're still doing projects, they're still borrowing money. we still see a lot of activity in the economy. for now, recession or no recession, we think the economy is still moving along, employing people and doing reasonably okay. >> that is a nice salve to many people's ears because there's a lot of worry but each individual has their own experience. christopher, thank you very much for being here. >> thank you. >> ocean first is his bank. thank you very much. the chips and science bill is just now waiting for the president's signature and today half a trillion dollar countdown close thinks the time is right to go all in on microchip stocks. we learn why, next. closing bell about 15 minutes away. the dow is up 366.
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are we about to finally -- well, not finally but exit correction territory? stay with us, watch along with us. &%c1
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first psoriasis, then psoriatic arthritis. even walking was tough. i had to do something. i started cosentyx®. cosentyx can help you move, look, and feel better... by treating the multiple symptoms of psoriatic arthritis. don't use if you're allergic to cosentyx. before starting...get checked for tuberculosis. an increased risk of infections some serious... and the lowered ability to fight them may occur. tell your doctor about an infection or symptoms... or if you've had a vaccine or plan to. tell your doctor if your crohn's disease symptoms... develop or worsen. serious allergic reactions may occur. watch me. it. the dow is up 368, the s&p up
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65. let's get to elon musk. what's a show without elon musk? he's going to face off against twitter in that trial set to start october 17 as now ordered by delaware chancery court judge catherine mckormick. twitter agreed to the fall date provided the trial be wrapped up in five days. now it's a win for elon. >> why? >> he pushed far later date and he got it. >> a few days later. they wanted september initially and now he got october. so we had discovery for three months, not the whole year. we have a five day thing, you know, not, you know, elongated trial where, you know -- >> not long days journey into night or hours or forever and forever. >> right. we have a decision, but then it's going to get appealed. i mean, here's what we know from people close to musk, he knows he's probably going to lose this. i mean, now how bad he loses is
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the question. do they make him pay the full $44 billion, do they make him pay something less? do they make him just pay the break up fee? i think you wouldn't be out of your mind if you bet they make him pay the whole $44 billion. >> that's what i said. >> now, now -- okay, come down. now this is where it gets interesting. he's going to appeal. i've spoken with -- my producer spoke with charles ellison, he's an expert at the delaware chancery court and law professor at university of delaware and doing his own thing now, he said this thing can drag on for eight months. >> right, you reported on this the other day. >> right. this is where it gets interesting: do they settle? everybody says that he still will take it at a lesser price and he'll do what he has to do. that has huge implications for -- to twitter i think.
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now, if he's their boss, this is not a guy that actually likes the current company. you'll probably see a huge exodus of people out of there; right. he'll get rid of the ceo, the leadership but people are probably going to leave. on top of that though, this is a company that doesn't make any business. its business lately, ever looked at finances lately? they're like atrocious. advertisers are not engaging and they're blaming him but it's really they just have allowsy business. you know what's interesting, the stock every time i report it goes up. since our reporting, this thing has been on a roll. >> it's a gain of about 11.5% this month. >> since we've been reporting the last couple days, it's been spiking. you know, this will be interesting to see how it plays out, liz. i don't take bets but i can tell you people close to him are game planning and they're saying he still wants it at a lesser price. what could that lesser price be? anywhere i think he'd like to pay 10% less. charles ellison thinks about 5.
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>> how tough is the judge what's going to be presiding? she's noted to have ruled in favor of a twitter-type situation. >> we've asked john coffee about this too, columbia university and he's one of the smartest guys in corporate law, he thinks they're going to settle too and if you look at past precedence, ldmh deal -- >> tiffany. >> that was contested and went before the chancery court and instead of wasting time and watching the stocks go nuts, twitter stock could go down dramatically amid the uncertainty. they decide to settle. >> think he wants it even more? feels like it was so moray could recall to wake up and say i'm going to buy this thing. >> he has a chunk of the stock, it's not like he doesn't own it. i don't know what's in his head. listen, i can tell you what i report. the people that -- i know people that are close to him, and he
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does have some contacts and he's not a guy that just sits in his basement and thinks big thoughts. he knows people on wall street, people on wall street know him, they say that -- they believe he still wants it, okay. now whether it's true or not, who the hell knows. maybe he wants it whenever he smokes panama red. maybe he doesn't want it when it smokes, you know, something from grown in california. >> virginia slim. >> i don't know. does he even smoke pot? i don't know. i think it did it once. do you believe he hasn't had sex in like years? >> elon. >> do you believe that? he said this on a wall street journal story. he said it's all bologna he didn't have an affair with what's her name and hasn't had sex in years with anyone. sigh. >> we're coming to the end of this round table discussion.
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thank you, charlie. >> but, i mean -- he's really rich. i mean, how can a guy like that, you know. >> closing bell, money isn't -- >> you don't know. >> got to the attraction; right, guys? six minutes away from the closing bell and the dow is up 326, not quite there, just below that level that would get us out of contraction. we're looking at s&p up 60 points, nasdaq up 235. either way, these numbers get us to a very solid month of july. very nice picture here. the dow as you see since its close is awfully close to getting back up 10% that would get us out of 10% correction. yesterday we got instant reaction from qualcomm ceo cristiano amon in the very hour that the house passed the chips and science act. here's what he said. >> very excited. this is a significant milestone for united states chip set industry as well as globally.
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chip set is on its way to become the law of the land. >> now, let's look in reaction to the house passing the bill. we've got a mixed picture once again with texas instruments and video broad come up. we know the problem with intel and the numbers, qualcomm had a bit of a rocky quarter but semis are on the move and even though some of them are down, our countdown closer says this is easy. now is the time to embrace the sector. bring in ernesto ramos. is it really time to go in here because $52 billion worth of money is going to flood into this sector? >> actually, we are saying on a name by name basis you want to own some of the semis but not all because some had issues as you saw this morning with intel. our theme here is to go back into tech but make sure it's
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profitable tech, it's tech at a reasonable valuation and not all tech is performing the way -- as the market goes up and the key here is that because the fed has raised rates, it has made it harder for companies to just go up and with the flood of liquid i did because there's no longer thatly quick i did and the attraction for active managers and now a chance with rational markets to pick stocks and make decisions based on fundamentals as opposed to just everything going up because there's a big flood of liquidity driving everything up. >> you want to a fair price and not be crazy and saying i'm hearing about nvidia and saying is that a good value at 48?
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>> well, nvidia has some strongholds in some of the markets in specifically in the cryptomoney, which is now not such a hot market anymore, but it's still a very big market as a whole and therefore it is still drawing a lot of consumerm nvidia into that market. but, again, it's a matter of making sure that with the new market environment that we have, which is a way from the defensive value stocks that we played and did well for us, now we're moving back into tech but in profitable -- in a profitable way back into gross stocks, payment stocks are an area where we're doing very well because there's some great value, stocks down 50, 60% because of the downturn, which was only 2 2% of the market, but it hit some stocks all the way to 70%. that's where we're fishing in
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those sectors of the market. >> i'm glad you brought up payments because they were very sparkly winners during the pandemic. i mean, if you look at block for example, ticker symbol as q, it's up about 1.6% at the moment. we've seen other papal is a sort of a longer term train wreck trying to get back up and we know there's an activist investor getting involve there had, but i'm with you on tech. this is how we all live our lives now. in the aggregate as we look at 30,000 feet, the inflation picture, recession, are you worried at all that that will cloud everything? >> well, that's the biggest concern that we -- the fed overdoes it on the take and hiking side and brings us to a deeper recession. we don't think that's a matter of base and we don't think that's going to happen. they're going to slow downgrowth. that's the only way totem per demand and bring inflation down. the question is how much of it is going to bring downgrowth? right now the market is only pricing 3.8, call it 86 basis
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points through the end of the year and then they stop and then they start cutting back in the middle of next year. that's a pretty positive scenario for the market there. >> great to have you, ernesto on this friday, last day of july. markets close with the best monthly performance of the year. the dourine muchs within points of correction. have a great night. &%c1 larry: hello, folks, and welcome to "kudlow." i'm larry kudlow. if you are in a recession it makes no sense to start raising taxes. that used to be a view shared by liberals and conservatives. but not any more. in our topsy-turvy world where fossil fuels don't exist and 75%


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