what's been going on with the market, yes, absolutely. >> very dialed in, i can tell, i can tell. well, we can't wait for you to come back. >> welcome back, tomorrow, enjoy the last of the madness and the mayhem. >> they're all happy, thoesz kids are happy. kell, see you tomorrow, thanks for patching, that would be a fun show. we should do a show from her house. >> closing bell starts now. welcome to "closing bell" here at the new york stock exchange. the great market bounceback, and whether you can believe in it. we'll ask our experts over this final stretch that very question. in the meantime your score card with 60 minutes to go in regulation, looks like that, solid day for the majors, picking up as we enter the final stretch, russell 2000 if small caps are the outperformers today, why? well, interest rates. they've been calm, that's helping that trade. tech also strong as several mega

cap names in the green today, including nvidia, back above $900 a share, $920 to be exact. apple puts a touch lower after be berkshire hathaway cut for tax purposes, and strong day for uber, after the company holds its annual meeting. we've given you highlights on this day, it does take us to our talk of the tape, the rebound, and whether you can trust it. let's ask our panel, dan greenhouse with asset management, stephanie link, and steph and court are both cnbc contributors, everybody at post nine, having a little party over here. steph, can you trust this bounceback? it's been pretty darn strong from the april intraday lows, s&p up 4%, russell 2000 up 6.5, nasdaq up almost 7. >> earnings are coming through better than expected.

growth rate year over year is 7.1%. if you exclude bristol meyers $12 billion charge that was 10%. no one was talking about 10% growth, why, because you're going to see the growth, because the growth is coming through. i know everybody's focused on inflation. i am too. but the growth is better than expected. we are running about two, two and a half, according to some gdp trackers, north of three in the economy, a lot of that is because of the job market, we all talk about that. the three and six month average, nonfarm payroll number, even though it was weaker on friday, it's 242,000, the average for the last ten years is 166,000 per month. so, that's good. that's leading to better wages. that's leading to a better consumer. and then we can talk about this, scott, in more detail if you like, but manufacturing, we talk about the grid, we talk about green, clean, electrify cation,

i will tell you, out of all the conference calls i listened to during this earnings season that's the number one theme and the most powerful within all of the sectors in the market. >> you think the bulls have the upper hand? once again, that last week cleared some friction out of this market, powell was not nearly as hawkish as i think some people feared he'd be, earnings last week came in pretty well, yields are calmer, you look at the bond market today, obviously the two-year, ten-year are down fairly significantly from the boiling point of early last week. all good again? >> i agree with a lot of what stephanie got to, but i'll add what you just mentioned the rate side of things. underpinning the rally there's a belief that at least for the moment the rates peaked out, jobs report played into that, the ism number dip played into that that. the commentary coming out of an otherwise good earnings season isn't universally bullish as it has been last couple quarters. that's put a cap onyields,

short-term, it's a lift of the market and if that proves to be accurate, we are sort of getting more contreat data, the rates are done going up, to stephanie's point that underpins a broader, more long lasting rally. >> do you agree, court? >> yeah, i think it's great, earnings have been positive, the amount of companies beating earnings and by the amount they're beating are above ten-year averages but that's backwards looking and forwards looking, you're seeing earnings per shares, corporate management has been more optimistic than pessimistic, meaning the future is looking positive. you're continuing to see the consumer is truostrong, the s&p now above the 50-day moving average, and three quarters of the s&p 500 companies are above their 200-day moving average, it's a broad market momentum, a really positive sign. >> steph, you're hanging onto the fact that stronger growth is much more important to you, it sounds like, than inflation, which you admit is still sticky.

david solomon, ken griffin talked about that. ken griffin said during his presentation that the fed is either going to cut in september, and if they don't do it in september, they're going to do it in december. for some, that's enough. that as long as you know a cut is coming, at some point, and the economy's as strong as it's remaining, then that's good. >> i don't think we're going to see a cut this year. >> at all? >> no, not at all. we've talked about this for the last, say, four or five weeks, i've been thinking that. i don't think inflation is going to get to the 2 3k9% level, or , the reason is not because the u.s. growth is strong and above trend but we have global growth around the world that's stronger than expected. we saw 5.5% growth in china gdp, the sequential analyzed number in china for gdp is 6.6%. intra-7%. japan, low single dinlts, if increasing estimate.

>> i'll come back to you in a second. i have news around boeing. phil lebeau has that story for us. phil, what did we learn? >> reason it's under pressure, the faa is now looking into whether or not boeing employees may have falsified some records regarding inspections of the 787 dreamliner. according to the article boeing did notify the faa that some of the entries may by employees in april, or they notified the faa in april that some entries for some inspections may not be complete. still waiting to get an update from the faa regarding this look into what's happening with inspections, with the dreamliner, keep in mind the faa has been working with boeing in terms of certifying these aircraft, once they're finished, doing inspections on those aircraft, still unclear, though, according to this article, what we're talking about here. are we talking about a part of the process that the faa is not involved in, are we talk about,

perhaps, documentation that was just not done correctly. still a number of questions here but no doubt that's the reason greater pressure on shares of boeing down more than 2 3k9. >> phil, i appreciate that reporting. thank you very much. that's phil lebeau. stephanie link i'll come back to you on the fact that boeing, you continue -- you have defended the position that you have in the stock, based on the duopoly aspect, thinking it's -- they'll get past a lot of this, it's more than noise too. it's more than noise. there's been some real fundamental missteps within this company over the last year, at least. >> yeah, i'd much rather be talking about the growth around the world, that's better than expected than another day of boeing. the fact that negative news that comes out, the stock continues to fall on negative news. when the stock stops going down on the bad news that's when you know it's around the bottoming process. i do think last week was a big deal, the $10 billion debt offering, eight times oversubscribed, very important, that's bridging the free cash flow gap. we know they're actually going

to or they just reported a negative 3.9 billion. they're going to lose free cash flow in this quarter as well. i think you're going to see eventual improvement. calhoun is gone, he's a lame duck. waiting for the ceo, that's your catalyst. and that's one of the reasons i'm sticking with it. along with what you mentioned in terms of the duopoly. their backlog, nine years worth of backlog, it's valued at almost $500 billion. people want this stuff, they've got to just get it out. obviously, in much better quality and much better safety. i get all that. but the stock's already down 32% year to date. it's discounting a lot of bad news. >> you continue to bet pretty heavily on industrials and this conversation we're having about economic growth, higher inflation, rates higher for longer, how long the economy can hang in there, a lot of talk about mega cap tech, you remain focused on the industrial trade, eaton, boeing, down the list, there's others. >> mainly aviation, ge, and also

this electrify cation, this grid repair we haven't touched in over 50 years. we're just maintaining, not actually improving it and they're going to have to do that. when you have a company like quanta services ceo, talking about the amount of power needed to build out data center for evs and everything else, he's quote/unquote, said it was mind boggling the amount of demand. eaton said the same thing, their orders are up huge. these stocks are up a lot on this theme, but i still think we're in early innings. >> what do we do, though, how do we square the cyclical economy trade if we want to umbrella it like that with comments from barken today, the richmond fed president, still talking about long and variable lags in the economy. these are his words. take the edge off demand and that tightening is eventually going to slow the economy further. >> well, that might certainly

happen, we might see a slowing down. that would be normal given that we've raised interest rates as much as we have. however, it's all this fiscal policies that have been put in place, nine trillion dollars worth over the last five years, that's actually more than offsetting the higher rates. eventually we may slow scott, but i do think there's a lot of pent up demand andi look at the secular stories out there. that's why i look at electrification, that's a theme i feel confident in. i believe the consumer will hang in there, even if we slow down. >> to build off what stephanie just said, the theme she's talks about are indeed secular, the grid -- >> not talking about that. i agree with you about that because of a.i. i'm talking about other direct economic plays that have nothing to do with the grid relative to a.i., more pure industrial type stocks or other things that are more directly tied to the

economy that, you know, in a late cycle economy, and still talking about long and variable lags, like barken is, might not necessarily work as well. >> i would push back on the idea that what we're talking about is interest rate sensitive or late cycle. the grid is a secular theme that will play out a while. the building of data centers is every bit as industrial policy as building airports and roads, et cetera. just because it's not a new locomotive, let's say, or new rail tracks doesn't mean it's not industrial. that theme, building out of the data center is a secular theme that's insensitive right now and is as every bit as industrial as everything else. that's incredibly powerful for the economy, not because of the data center but the ancillary effects we know it's going to spiral throughout the economy. >> if you like home depot, and you like strong consumer plays, those are the types of things

that may be more at risk in a slowing economy and rates that still remain high, i mean, let's be honest, mortgage rates are still high, even though rates have started to come down a smidge. >> 100%. and we might have a bumpy road this career but for the next ten years that also is a secular theme. we're 5 million homes short in this country, you talk to any home builder, we all have, they have -- they've underproduced for 13 14 years, scott. you have 5 million millennials, that are first time buyers, yes, i get it, it's expensive to buy a home and rates are a big deal but i mean, you talk to so many people out there, we have been able to survive with a six, seven, eight percent 30 year fixed and actually existing home sales might struggle because you have so many people, like 80 #% of the population that has a mortgage under 3%. >> that's the difference. >> but i think new home sales, and the first time buyers are going to deliver, and by the way, no matter what your mortgage is, you're constantly putting stuff and buying stuff

for inside the home, to the home improvement theme. >> driving the point home, don't take our word for it, the builders themselves. >> that's right. >> are saying it's not the level of rates that have potentially been a problem, it's the shift higher. >> yes. >> whenever rates go up, demand slows a little bit, traffic slows a little bit, when they start coming back down everyone comes out of the woodwork. >> that goes to the argument, when some make the argument, well, you know, stocks have traditionally and his corically done well, interest rates have not exactly been the biggest burden for stock returns over a period of time and the flipside of that is the same argument, from zero to that level, in such a short and fast amount of time, that's where the impact comes in. it's not the level, it's how fast you get to the level. >> and during that adjustment the stock market fell 27%, credit spreads hit 5, 600 and we did have the adjustment where i and many other people were wrong two years ago thinking a downturn would result. it did not.

>> no. >> just look what the stocks did last year, some up 40, 50, 60% in the face of rates going up as high as they did. >> court, what do you like here? what parts of the market? >> mine, we're continuing to look at some of the underrallied areas of the market. a lot of clients don't realize energy has been our best performer this year, talk about that electrifying, that's outperforming growth, continuing the look at the sectors and small caps, broadening is likely going to continue. i think just to hitton your point here, yes we have rates higher, the reason the economy can continue to keep going is that 5% fed fund rate isn't the whole picture. when out of 60 to 80% of people with mortgages under 4% and you have baby boomers, a lot of money, $8 trillion, baby boomers have, $4 trillion in 5% earning money, sustaining that non-labor growth rate, which is likely going to continue the strengthening of the consumer. >> money's gone back into mega

caps, too, last week, and earnings pretty much told you exactly why the money continues to flow there, is that trade back on in full effect? we showed you nvidia, and we can throw it up again on an interday basis, back above -- the stock got 750, and now above 900 again. >> i don't think -- but you used the word trade. i would push back on that as well. this is another secular theme, again, we've made these points indefinitely on the network, these are each 20 different companies, not just one company, they're the center of what's going on, the capex expenditure trend. >> that doesn't mean the stock can't go from 920 to 750. >> that's volatility in the types of stocks, doesn't mean the underlying credit worthiness are at risk. >> no, but it's -- it does sort of speak to the way that those trades went, you know, absolutely crazy, and then cooled off a bit. >> sure. >> and you had some questioning as to whether they needed to cool off more if multiples needed to come in a little bit and here we are, we've had a

pretty solid rebound since those companies started reporting. this one doesn't report until the 22 7bd. we have a little bit of time. >> an old friend of mine said, sometimes stocks go up, sometimes stocks go down. >> is that the kind of insight you deliver on? >> you paid big money to hear insights such as that. in reality, all it's telling you is that there are -- there's a fundamental reason to own the names, secular uptrend, earnings continue to grow at multiples of the broader market, they demand premium valuation. et cetera. until that theme is challenged there's no reason on balance the stocks shouldn't keep going up and to make the point for the millionth time, valuation is not particularly demanding for most of those names. >> is that how you see that too? >> yeah, i think ultimately it is going to come down to the valuation and the earnings, right, i mean we're getting past this weird where inflation is the big concern. if we have the fed come out and they say, okay, pretty much took a raising of rates off the table, now investors are putting that aside and that's where they are starting to focus on

valuation, and fundamentals, now some of your big mega cap sevens, those are still getting pretty expensive, that's where people are starting to look into other areas of the markets and that's going to continue. >> what if steph's right and the idea, she doesn't think we get any rate cuts, are we cool, do you think the market would be fine with no rate cuts? >> i don't think you need the rate cuts. that's the more important thing. if the economy continues on good footing, the consumer is strong, we can maintain this level of a good economy, even when rates are higher. that's when people started to get worried about, that's pretty much been taken off the table. as long as the next cut is eventually down, that's what's more important. >> of course we don't -- the word need is like a loaded word, i think, when we discuss the market. do we need a rate cut? >> no. >> well, no, the economy is good. >> do multiples and expanding multiples need a rate cut? maybe. >> i don't know. >> to be justified. >> do you actually think one or two or even three rate cuts are going to do anything to the

overall economy? it's tiny. >> doesn't it get harder. >> from zero to 550 in 18 months. >> the overall market multiple if rates remain higher for longer. >> yes, but i think it goes back to more long duration assets, growth assets, part of technology, certainly will get hit and then at the same time you have some of these shorter end cycle stock sectors, you have some more of these value oriented sectors, courtney was just talking about energy, it's financials, parts of industrials we talked about, materials, parts of discretionary. the reason we're seeing a broadening, scott, is because the earnings are coming in just as good in these other sectors as you've seen in technology. >> it's not like, you know, small cap earnings have been -- >> not talking about small cap. i'm not talking about small cap. the sectors i just talked about, i had industrials, go back to that, right, some are reporting 20, 30% earnings growth, i've got orders coming out of of eaton up 27%. that's huge.

the visibility that that carries. same thing with energy. and they still have the tough compares year over year. i actually think that sector is poised to rise higher. i'm double the benchmark. i see real value there. it's the earnings picture that's more important. if they can deliver, i think those stocks can actually participate along with tech. >> and we had rising rates and elevated rates all of last year, what was the single biggest explanatory variable, it was expanding multiples. no limit on stock price growth last year because rates were high and there appears thus far no limiting principle on stock price appreciation in the short term because the rates are going to stay high. >> sure. but, if the economy is going to slow even a little bit -- >> then we'll get rate cuts. >> and rates are going to remain higher for longer, which they obviously are, that at some point the multiple might be challenged by all of that. >> first of all, yes, that's probably right. but listen, i operate in a quarterly and an annual basis, and i'm worried about here and

now, and here and now the economy is doing fine, earnings doing fine, the themes we've talked about at this table are doing fine, rates haven't been a prohibitive variable, stock market is biased to the upside, especially with a fed that by all accounts is screaming they want to cut rates. justified or not. >> i wouldn't disagree with any of that. >> that's why i'm here. >> see, it took 20 minutes for that insight to be dropped. i appreciate that. dan greenhouse, courtney garcia, and stephanie lane, thanks, everybody. >> thank you. >> and back to kristina partsinevelos, biggest names in the close. >> look at coin base right now, b -- keep growing from here, although they are keeping an underperform rating on the crypto exchange, pumping up the price target from 179 to 204 a share, and you can see the stock is up about 1.5%. optimism spreading to other crypto brokers like marathon digital, moving way higher, marathon up 16.5%.

meanwhile, shares of tyson food moving in the opposite direction, their worst daily drop in the last year, shares down almost 7%. the meat processor warned inflation pressures have created a more cautious price sensitive consumer and that's resulting in a drop in private label sales, specifically to lower income households, and that's why it added to lower guidance. for more on the consumer shopping trends and tyson's latest earning reports, check out an interview with the cfo of tyson at 4:00 p.m. eastern. >> all right. thank you very much. just getting started. up next, running of the bulls, carson group's ryan detrick is back, the catalyst he says will drive that next leg higher. we're live at the new york stock exchange, the bell is back after this.

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we're back, stocks extending friday's rally are momentum names leading the charge and our next guest says we are laying the groundwork for an even bigger summer rally. bringing in carson group chief market strategist ryan detrick. glad to see you. >> good to see you. >> are you bullish stocks from here, how do you see things? >> we are. what you just talked about before i came on. earnings are strong, profit margins also have been significantly increasing, kind of against what a lot of people expected. also capex, expenditures hitting all-time records, earnings and other two things, it's hard not to be bullish. we've been overweight equity since december 2022. a lot of people didn't like that call but it worked out. right now, we had that 5.5% correction last month, we think that was enough to bring the fear. the vix spiked above 20 rks a lot of outflows coming in and a lot of fear, even though it was

only 5%. a lot of other stocks were down more. and now here we are, may is off to a good start and in an election year. seasonality, don't blindly invest, but you tend to get a lot of strength in the summer of an election year. this year is playing out like that again, we'll have a good summer rally in an election year. >> i'm glad you referenced the 5% pullback we had in april. some would look at that and say it's not enough, at least traditionally, to, you know, shake out some things that needed to be shaken out before you can, you know, refresh. now, the market may be proving that incorrect because it's been a pretty strong stepback as i said at the top of the show, and you think it's believable based on earnings good enough, economy is strong enough, and rate cuts eventually coming? >> yeah, you add it all up, we do. stocks and s&p, above 20-day moving average at the middle of april lows and it's less than 20 10%. that's got washout material. we had the vix, last time we saw

something like that was march of last year. think about it, there was a lot of fear even though it was only 5.5% correction, mild correction, i should say, from the point of view. and one other thing, guests have pointed this out before, i'll mention it again, may is higher than nine of the last ten years, sell in may, go away, worst six months higher eight of the last ten years. so, again, history repeating itself but often rhymes, mark twain liked to use that, the washout, the economy is strong, fed is dovish, but overall we're optimistic. we've been joef weoverweight, a still are. >> dovish, to a point. putting it this way, i'm not going to suggest they're screaming dovish, but there's certainly a chair himself and at the end of the day it's all ma thaerts the chair himself last week was not as hawkish as some had feared, i don't know that i would go as far as to say they're all that dovish. i mean, they're certainly not cutting rates like we thought they once would and, you know, many suggest whether it's ken

griffin or otherwise that, okay, we may get one, maybe not september, maybe september or december, but we're not getting nearly what we thought. >> no, you're right, good pushback there, because, again, it wasn't as hawkish, good way to put it. we look at inflation, up over 9% and then down to 3 on the cpi and we've hit this little blip, if you will, and we're optimistic, scott inflation will continue to improve. wages are a big part of thachlt the eci is scaring everybody, and then we saw the positive wage growth, adp saw wage growth across the board and the supply chains are still improving overall. so, bottom line is this, a couple months ago everyone said six to seven cuts, market said, and then two weeks ago we're saying, listen, maybe no cuts, maybe even ahike. we push back against that for the first time in two years, we added some treasury, not a lot. a little bit about three weeks ago on models rereone for advisers, it's not like we're big bond bulls, we thought that

pendulum swung way too far and we're optimistic with the strong productivity, last week's number was a little weak, but when you have strong productivity like we think we'll continue to see, higher wages, cover for the fed to cut and the economy does better when you have strong productivity. optimistic two cuts, put a bow on it. >> if we get the summer rally that you expect, what takes us there, what leads us during it? >> we've been overweight cyclicals and last month added more to industrials and financials, those areas, but i know a lot of people come on, signal small caps, dirty word sometimes, small caps and midcaps, if we see more pullback in yields like we have, look what's happened, we can that is one of those areas that's so underloved and so underappreciated, we could see a broadening out, we need inflation to come back, the broadening out of this bull market and we are slightly overweight, at least midcaps and a little bit of small caps in the models reone. it's possible before this year is over, that you're going to

see some good outperformance there. >> do you prefer those areas over mega cap tech which by the way reminded everybody for the most part over the last eight days or so, why those stocks have been preferred. >> you're right, and i said, don't forget about us, didn't they say that? it's all relative skmt models we run but we have a slight overweight to midcaps and to cap small caps versus even weight. but by no means are webearish large cap technology. more alpha will come from those. one final comment, what's cheap about the market. tech is pricey. rest expensive. small and midcaps really are cheap, relative to other areas, i get it, things are cheap for a reason sometimes. >> right, that's exactly what i was going to say, right, that's what some would say. >> i knew you were. >> you're anticipatory, good. how do you respond to that, though? >> yeah, no, you're right, bottom line, good discussion earlier, i think stephanie pointed this out, i think it was stephanie, but again it's all about the earnings, not great from small caps, midcap is

better, if you get better inflation data, not saying i don't care about the earnings but it's those areas that will do much, much better, and a lot of earnings growth coming out in 2025 and 2026. it's a long way away but that's where a lot of growth and revenue will come from small and mids, and thinking about from a strategic point of view. >> ryan, leave it there, appreciate your time very much. >> thank you. >> see you soon. ryan detrick. the company set to report earnings tomorrow for the bell, shares outperforming past three months, up 17%. now, "the new york times" as jim stuart is standing by, breaking down what investors really need to watch for ahead of that. we're back after this.

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back with shares of disney. investors keeping a close eye on streeping ad sales, and whether disney can hit targets for profitability by the end of the year. joining me, jim stuart of the "new york times," also a cnbc contributor, and wrote the book "disney wars," we were just talking about all roads disney, lead back to you. >> thank you. >> where does the road for disney go post-peltz fight? >> well, one point i would make is peltz is still hovering out there. i mean, this proxy fight is over, but he's still in the stock, and he says that he's closely monitoring the situation, which by the way i

think is good for disney shareholders, keeps the pressure on a little bit to deliver the cost cuts that disney has said it's going to deliver. but that aside, first start with streaming, that's where the main interest is going to be here, whether they're on target to turn a profit by the end of the year. and, you know, my sense is, they should be able to make money at this. i mean, they've got, if you count hulu, they're up to 200 million subscribers and we see it, netflix has 270 which is better but netflix that has healthy margins, why doesn't disney? they've either got to lower costs or boost revenue. on the cost side one thing i'll be looking for is, they still are benefiting from the strikes and the fact that they were forced to stop spending. and everybody in hollywood is telling me they've been very slow to start again, all the legacy. >> everybody. >> pretty much everybody. >> not just a disney problem. >> not just a disney issue. but i think in the strikes they discovered, maybe we don't have

to spend that many billions on new content. if they could actually slim that down and also cut some other costs they're going to see some significant improvement on the cost side. >> what about the content issue itself, whether they have good enough content going forward, beyond the legacy content, if you will, to do what you suggest needs to happen? >> that's a huge issue. i mean, there are two issues here. the quality of the content and the quantity of the content. and, you know, iger has been saying, and his fellow chief executives have also been saying, something i've heard for decades, which is we're going to improve the content, only going to make hits. >> well, if only everybody would love to believe that was going to be true. >> it's like i'm only going to write best sellers. >> well -- >> would -- nobody has the magic formula for that. i mean, and disney had a good thing going there in the movie business for a while with the marvel stuff, the franchises but suddenly, you know, superheroes

have been faltering. >> why is that? >> these things go on decades long cycles, i'm old enough to remember when the western was the king of entertainment and that has never really come back. is there superhero fatigue? maybe, these things are long and cyclical but maybe that has played itself out. they're going to have find a new franchise there. that's going to be challenging. the same thing with quantity. netflix is still spending, and key to the netflix success has always been when one thing ends they've got more for you to look at. others have been struggling to keep that pipeline full, especially first covid and now is strikes. >> i hatd a shareholder of disney, the issue of succession, said i don't care about that, i care about these other issues more. how should investors, we, think about the issue of succession at disney since it went so terribly wrong last time? >> that's why you do need to be

concerned about that. i, myself, have been in the school that, well, maybe it doesn't matter who the chief executive is, especially if they've got trends going in a good direction but 1udly you get a company like this, and an industry, going through, you know, radical transformation, i think who the ceo is hugely matters, and i think investors should be following this closely. >> i think his point was like, you know, well iger is the ceo now, and is going to be for a while here, i'll worry about that again when i have to worry about that. but these more structural issues, perhaps, are more relevant right now to the shareholder base. >> well, that's probably true. i mean, you know, look, iger's at the helm now. he will be there a while. don't have to worry about the radical upheaval. but these structural issues are huge. this is like one of the biggest business transformations i've witnessed in my now long career. and, it's very unclear how this is all going to shake out, we've

got the draw maria at paramount going on, clearly the status quo with the industry collectively losing billions of dollars a quarter is not sustainable. there has to be some major transitions but i do think disney should be one of the producers able to reach scale here and it is a scale business and they should be, in my view, able to make money. >> you want to give me a last thought regarding paramount and what you -- how you're gaming the finish out here? >> it's incredible, even warren buffett like bailed out and lost a huge amount of money on this, showing even when you think something is incredibly cheaper, it can get cheaper, paramount has the opposite problem, it does not have scale in its existing configuration, it has to either merge with somebody, it's going to help it get there, or it's going to have to get out of the streaming business, in my view, which is huge, going to be a huge loss. >> is there a deal that makes better sense to you of the two that are being discussed? >> well, there's no question, that to merge with an existing competitor, a horizontal merger,

like sony, is going to offer competitive advantages no stand alone buyer can match. on the face of it that looks better. on the other hand, they've got to offer sherry redstone a premium, she's the controlling shareholder. she deserves a premium. has more valuable shares and they have not yet tipped their hand. i still don't know how real this bid is or how serious it is until they unveil how they're going to break down that price for the share, the controlling shareholders and everyone else. >> another story you know better than everybody. jim stuart, thank you. >> thank you. >> we appreciate skrg you here, that's jim stuart of the "new york times," and we're tracking the biggest movers in the close, kristina partsinevelos has that. >> premium travelers the reason this airline should climb higher, i'll reveal the name and much more after this short break.

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15 out from the closing bell, back to kristina now for the stocks she's watching. what's on the radar? >> top s&p 500 stock, american airlines, bern stein only hiked up by $1, enough to climb 6%. growing premium revenues thanks to travelers who want the extra perks like more leg room, early boarding and they're spending on that.

those premium dollars contribute over 60% of total revenues for american airlines so definitely a big driver. palantir shares are up 8% ahead of earnings, the options market is implying a 14% swing in the stock, specifically this data analytics software name, the focus on its a.i. platform, calling it a.i. pedes, just a.i. software, the hope it will offset any weakness in the government business. scott? >> we will see you in a bit. chri kristina partsinevelos is going to join you go in the market zone. semitrades higher, we have details behind that, guess who's going to do that? we're back on the bell after this.

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warren buffett's berkshire hathaway, revealing the company stock portfolio is largely concentrated in five stocks, for the names and the full story, head to cnbc.com/propick. up next, ev maker reporting top of the hour, the stock

losing its spark and falling. there it is. oh, well close to 15% over the last three months, of course it's up 9% today. we'll tell you more in the market zone next.

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mike, i'll come to you, you heard ryan detrick, the rally back is real. 5%, fine, wasn't as sharp as some expected, it's okay. >> by ryan's lights we did have a little bit more of a purge at the lows recently than really was visible by some other measures, it's a total judgment call. market, i see why it's continuing to further relax today, last week was an obstacle course of catalysts. we got through them successfully. >> that's true. >> now we have almost ten days until cpi, you know, you have nvidia earnings and open field here where you can see the market can kind of drift and do what it wants and take its cue from treasuries. it's all to the good. i would say, all we're doing is kind of lifting toward the upper end of what now looks like a six-week trading range but, you know, it's not doing anything wrong, surmounted the 50-day average. banks and breadth to me, was important. >> obstacle course but a big

alligator pit but didn't fall into it. that's powell. we thought maybe he was more hawkish and by him not being it it allowed the rally to get back into business and also put the cool on the rates market, and that's, though, overriding story if you look at the russell, and financials for example. >> up 6% in four trading days at this point, and market breath continues to be positive. by the way, tech round up to the s&p peaked three months ago. it's not happening because the same old stocks are adding a ton of market cap and everything else is sitting there. >> chips moving big today, kristina partsinevelos, what should we be watching? >> let's start with micron, they raised their price target to $150 a share. they say memory prices are rising faster than expected, thanks to strong a.i. demand. they also believe the stock's recent 3% pullback in the last month is a good buying opportunity, you're seeing

shares up to date over almost 5%. but the chip sector overall is seeing a resurgence over the last two weeks, we can show that by the -- good brarometers, because of a rotation, back into generative a.i. winners, given all that capex spending that's promised by the likes of microsoft, google, meta, et cetera, after the bell scott we do look forward to analog chip maker microchip, saying this is a cycle rider, never heard that before, but i like it, cycle rider, if you think the worst is behind us for chip demand, then this is a good play. bank of america bets any positive results could create a stock breakout. however, they prefer auto exposed names like nxpi, and see it's up way more than microchip in the last year. >> kristina partsinevelos, thank you. to phil lebeau with what to watch for when lucid reports. >> mainly guidance the main

thing. we care about q1 results and this question, have they been able to cut their losses? it's a company that's struggled to do that. what did they say about saudi investments? announced an investment in q1, anything further to say and then there's the question of 2024 guidance. they have a habit of changing their guidance a little bit when they do their quarterly announcements. remember, as you take a look at shares of lucid, that their guidance right now is to build 9,000 vehicles this year. do they stick to that? we'll find out when they report their numbers in just a little bit and don't forget, scott, coming up during overtime we will be talking exclusively with the ceo of lucid about where they are, especially at a time when so many people are questioning demand for evs, fw especially high priced evs. >> phil lebeau, less than two minutes, 90 seconds. mike, i saw a social media post

reporter saying ben here all day, eight hours, not a lot of pessimism, and maybe that's kind of rare because when you go to these big conferences, a lot of times billionaires and otherwise, you get a lot of pessimists, caution generally speaking. >> a lot of people for whom, you know, they have a lot and they're afraid of losing it, and, also, you know, it's still at its core kind of a bond owner's forum, and they are kind of warriors. i do think there's some comfort in how the overall mechanics of the economy have just not really flagged at all. so you're able to lean on that, and you know the economic surprise index, there's been attention it's slipped negative only because estimates for growth have come up so much. we're falling slightly short versus where we were, i'm not at the point saying everyone thinks everything's great. not a lot of upside in terms of new highs but the volatility index is down back below 14, all of the kind of risk models tell you, you can own a little bit more exposure in that

environment. >> no one's going out of their way to be all negative. >> that's right. >> and looking to go out with a 1% gain on the s&p here with a little bit of late action. so that's an interesting close for this day. nicely green across the board. russell takes the lead over the nasdaq by just a little. see you on the other side tomorrow. >> stocks jumping a bit to start the week with nasdaq and small caps in the lead. that's the score card. welcome to closing bell skroefr time. >> it is good to be back, ahead of today's -- ahead on today's show we've got results from palantil, motorcycle ro chip, simon property, lucid and many more, all the numbers. >> and an interview with lucid's ceo. and potential red flag for the consumer, tyson worst day in months after warning about inflation eating into sales.