With the reality of inperson classes amid the pandemic. A surprise cfo shakeup is sending one stock at the center of the coronavirus sinking and tesla and when it comes to electric vehicles. Evs. You are watching Worldwide Exchange here on cnbc good morning. Im dominic chu in for Brian Sullivan today stock market indicating modest moves. You have moves with the dow implied higher higher by 26 and by just about five points. This is after the s p 500 after multiple tries and record high since february from that march 23 bottom to yesterday marks the end of the shortest bear market in u. S. History at 148 days. A 35 drop for the s p and 55 rise to those record levels we are right now. The s p not alone. Continuing to outperform coming off its 34th record close of the year just yesterday. In bonds, the 10year currently sits moving a little bit around 6. 5 or 4. 1 as the fed prepares to meet the minutes from the policy position later today. Let us go worldwide. Geoff cutmore with us with the latest good morning european equities are battling to find direction. We are two hours in trade. After those new recordhighs on wall street, most sectors are in positive territory with some of the more unloved stocks in travel and food space trading higher here. Oil and gas stocks have been under pressure with crude prices lower ahead of the opec meeting later today, which looks set to focus on compliance with the updated output cuts maersk is near the top despite the picture remaining weak in the red after germanys largest utility compan unexpectedly raised 2 million euros. In swizerland, eye care firm saw red after additional provisions drove down earnings in the Second Quarter the reality is while you may have hit your new high on the s p, we are not exactly getting the full follow through here in the european trading session let me send it back to you back on the home front, an update on the phase one trade deal talks between the u. S. And china. Frank holland is here with those. Good morning to you. In new high level talks according to the chief of staff meadows. Who says both sides remain in touch about implementing the deal but the president remains in the response to the pandemic. University of michigan is asking undergraduate students planning to live on campus this fall to stay at home and continue learning online they originally planned on a high hi brid model notre dame cancels classes for two weeks after seeing an up t tick of coronavirus cases. Democrats urge pelosi to pass the scaleddown stimulus. Following similar report from some republicans over a similar stimulus compromise. To the campaign trail now, night two of the allvirtual Democratic Convention where joe biden was formally nominated as the democratic president ial candidate. Tracie potts is in dell. With he knew it was going to happen but there is still a lot of drama and circumstance that goes with it exactly and the fact that they are trying to do this live with 50 states across the country with a virtual format thats a first they are trying to build momentum tonight with former president obama and Kamala Harris formally accepting her nomination we announce Vice President joe biden has officially been nominated. Thank you very, very much joe biden accepting his partysnomination backed by hi number one supporter ive always understood why he did it he did it for you. Another republican endorsement. He will restore American Leadership and american authority. And next rising stars this isnt just about defeating donald trump we are in this to wip fn for american racial invjustice and more if you want a president who defines the job as spending hours a day watching tv and zaping people over social media. When this president going overseas, it is not a mission, its a blooper reel. Donald trump has quit on you. We need a president of integrity. Bidens campaign has turned into a campaign for open boarder ads other zealots. New reports that found no evidence his campaign conspired with russia. We are continuing to watch what is happening here in dell 19 million watching the first night. Sou so sounds like a lot but down 25 that is because it is virtual and a lot of people streaming on line it is different and everybody coming in with zoom or skypeor face time. I get the numbers. Can you take us through what we can expect tonight what are the highlights . What are we going to hear . The big highly is senator Kamala Harris. She comes in not only accepting her partys nomination and reintroducing herself to the party in a much different role shes wellknown as the senator to california and in her previous role as attorney general in california. Now introducing herself as the possibly one day the president of the United States she is going to be the clear foc focus. President obama who is always a big draw will continue speaking. Continuing with what weve seen and the democrats setting a balance of why you should vote for joe biden and why they think the president has done such a terrible job we heard a lot of that last night. With the latest conventions back to the markets now, the fourth time is a charm the s p 500 hit an alltime high it may have felt like it was forever, it may have felt like the fastest recovery it took the s p 500126 trading days to recoup all of the losses that occurred from february 19 to the market lows of the 23rd the previous market was 310 trading days from february 1966 to may of 1967 the average recovery from a bear market or a market fallen by 20 or more is 1,542 days. Lets welcome in Craig Johnson at Piper Sandler it is fairly mind blowing to talk about how quickly weve come back. Trillions of dollars of fed stimulus and government stimulus and relief payments is behind it can it continue . Dom, the answer is yes. It can continue. Weve been bullish on this as you know looking for the lows back on march 23 sitting here at the high, our price objective which weve seen more firms come up to val dates the work that will be a low i think there is more upside than that 3,600. I look around and see oil, lumber, industrials, metals. These charts are all starting to break out. The economy is starting to show those green chutes my wife and i had the great opportunity to take our son to Elon University over the last week they have a Great Program in place for covid. I dont think theyll shut down at all the number of trucks out on the road, unbelievable the number of stores that are very, very full. The consumer is a life alive an. The economy is alive and well. There are questions, craig. Not to veer too far off the path, there are folks out there who say this is going to be very difficult to sustain despite the evidence you are citing that unless the government gets its act together and puts out more stimulus payments or more relief, you are not going to get that same spending to continue into the Holiday Season. How are markets reacting to that, if at all . I think they are going to come up with an additional package along the way. There is no doubt that the economy has come off of life support. We are moving in the right direction. There is a need for stimulus you are seeing evidence that things are starting to improve there is a lot of challenge and pain the markets are a very good leading indicator moving forward 6 to 9 months down the road. What you are seeing getting priced in today is the market picking up well get more stimulus. Stocks breaking out to new highs, by the way, 4. 1 trillion in cash on the sidelines there is a lot of remorse with investors sitting on the sidelines not participating in the market for, say, a longer term investment. Craig, what will the leadership be weve made a lot of hey over the last few months that technology and communication services, megastocks are theleadership theyve added over 5 and the new returns. You look at what is happening with lumber and metal prices and Housing Starts youll probably see a shift in rotation and a show stopper from this market. Youll hear that in the notes coming today the financials will pick up in terms of performance youll see these deep cyclicals show up a lot of investors havent made that pivot. In that Portfolio Management will pivot to more of those deep cyclical names really showing those green chutes home builders, transportation are a big focus for you. Thank you. When we come back, historically low rates have more americans rushing to refinance or buy a home. For one group of borrowers it can be harder and more expensive. We have that story a surprise cfo shakeup. For most people, the past three months have meant stcaioayatns and cooking at home. For the girl scouts, it has meant cookie innovation. Welcome back to Worldwide Exchange. Near record low Interest Rates have americans rushing to refinance their mortgages. For borrowers of color, it can be even harder and more expensive. Good morning. Online lending has helped to level the Playing Field some, black and hispanic borrowers are still seeing widespread discrimination in the Mortgage Market when he saw the Interest Rates plummet, he decided to refinance the mortgage the original loan was in her partners name but she recently started a business over six figure salary, 800 credit score, gainfully employed he loaded his information and the calls coming in. All asked his race but said he did not have to disclose it. He told the first lender he was black. The gentleman came back, turns out we are not interested in town homes right now why not he said it is an interest standard he disclosed race to the second lender. No issue with townhomes but at a higher rate than he had. I decided maybe i need to not disclose my race a majority of black home buyers are concerned less than half of white barrows are because lenders deny Mortgage Applications at a rate of 80 higher than white applications according to recent data two more lenders called. He declined to answer the race question both gave him competitive market rates. One even tried to beat the other. Suddenly, the process was easy as it had been for his partier melissa when they bought the home together two years ago. I know im not the only one to go through this i know im not the first and i wont be the last. At least i want someone else out there to understand that this is not normal this is not right. Now in a bid to win over suburban voters, Trump Administration overruled an order put in place by president obama meant to stop housing discrimination you mention, it was an online engine that generated these responses. Is online lending changing the landscape at all was it different when you actually had to go to a bank and sign these documents yourself . Is it is betting better when you go through the online lender there are some new lenders where you can do the entire process on line and you never speak to a person they are seeing a lot more people not just black or hispanic but also lgbtq going that route there is still discrimination when you have to talk to someone. The issue is why should you have to disclosure race and why is it even an issue . Call it the netflix shuffle the latest service for those tired of picking what they quantity to watch. Thats kind of lazy. Announcer todays big number, 28. 6 billion. Thats how much special Purpose Acquisition Companies or spacs have raced this year through 73 initial Public Offerings from spac insider. More than double from all spac ipos in 2019. Sflush. Welcome back to Worldwide Exchange. Lets check on some of the stocks on the move today shares of agilent which are lower even after reporting better than expected profits expects the gradual improvement it saw in july to continue with china leading the recovery those shares off jack henry and associates reporting profits. Revenues did come in shy the Company Providing it services and giving an outlook for fiscal 2021. Those shares off nearly 7 in the premarket then, sorrento they are prapeut. Those shares are down. Potential for the saliva test for the pandemic still ahead for the show i want to put the whole notion for a vshaped recovery on trial why jim cramer is taking issue with the stock markets new record breaking rebound from march lows we are back right after this i let it get away servicenow. The smarter way to workflow. You should be mad they gave this guy a promotion. You should be mad at forced camaraderie. And you should be mad at tech that makes things worse. But youre not mad, because you have e trade, whos tech makes life easier by automatically adding technical patterns on charts and helping you understand what they mean. Dont get mad. Get e trades simplified technical analysis. Stocks looking to build not just the s p looking at a record erasing all lows. And it is official, joe biden officially nominated as the democratic nomination. We are awaiting targets results. Looking at if it is too big. It is wednesday, august 19 you are watching Worldwide Exchange on cnbc. Welcome back to the show, im dominic chu in for Brian Sullivan today here is how the market is looking half way through the hour s p higher by about seven points, higher for the dow by about 56, and nasdaq by about 34 after the s p 500 finally crossed the high alltime high since february this february 19 high to the march 23 low s p 500 not alone in record territory. The nasdaq continues to perform as welcoming off the close since just yesterday a massive move higher. In the bond market right now the 10year note sits at 65 basis points or. 65 yielding at 14 . The long bond at 1. 37 there the fed set to release minutes that happens later on today this afternoon. Going world wide trading in hong kong suspended because of a typhoon there seeing more of a positive picture. General motors is betting big on electric in a bid to slow declining sales in china the automaker to hold a virtual tech day overhauling the greater lineup in a bid to stop its sliding sales. New china chief it will renew focus on cadillacs and more lowcost electric vehicles u. S. Warns colleges to divest any chinese holdings issuing that instruction schools were advised to get ahead of tougher measures to hold stocks and measures of the Trump Administration trump throwing his two cents into oracle. The president giving his blessing this morning, oracle stock back up about half a percent. So is microsoft. So not sure that is and indicator. Sfloo n now to the democratic nomination joe biden and other big names going on the attack of president trump. Eamon javers they made it official, joe biden is the official nominee for president of the United States the Virtual Convention continued including a virtual role call where we are used to seeing that happen in the Convention Hall with silly hats gathered together last night, they did that around the country. A Little Something different to look at as democrats try to figure out what a Virtual Convention should look like. They had voices from the past party and the future of the party including bill clinton, the former president echoing some of the mantra of, its the economy, stupid. Joe biden wants to build an economy far better suited to our changing world better for young people. Better for families working and raising their kids better for people who lost jobs and need a new one better for farmers better for workers caring for the sick, elderly and people with disabilities. Meanwhile aoc as shes known was selected as one of the speakers to formally nominate Bernie Sanders aoc putting herself squarely within the Progressive Movement and focused remarks very much on income and equality. A movement that realizes the unsustainable brutality of an economy that rewards explosive inequality of wealth for the few and who organized an historic Grassroots Campaign to reclaim our democracy. The evening also featured jill biden, dr. Jill biden, joe bidens wife introducing her to the country in a speech getting the country used to the potential idea of dr. Jill biden as first lady Kamala Harris and former president barack obama will speak. A big night ahead still for democrats in that convention i want to follow up here we want to see the latest on the slowmoving stimulus talks in washington, d. C. There are some democrats pushing a vote on a scaleddown bill what is your thoughts on if well see a stimulus package anytime soon we saw it yesterday with jim cramer talking about the idea that, look, if the democrats want to vote on saturday for funding for the postal service, why dont we add some components that are widely agreed to and do a skinny bill. Nancy pelosi said shes willing to meet republicans half way but is still insisting on a larger bill the republicans dont understand the magnitude of the damage to the u. S. Economy and the scale of the response that is kwird. Well see if the two sides can negotiate and that they do seem to be relatively far apart in that situation in the u. S. Thank you. Stocks are adding to the gains after the s p 500 officially wiped out all of its losses to the pandemic and the slow down jim cramer says though the s p has made an historic come back, the actual economy is not in the clear just yet we have had a magnificent vshaped recovery in the stock market that is not a broader reflection in the economy especially with the government stimulus package that has run out and congress has gone home for the summer rather than come up with a replacement. Joining me now, he brings up an excellent point and one made for weeks and not months now the stock market is not the economy. The economy is not the stock market how do we reconcile the two . Looking at the s p 500 and the five largest stocks represent 23 of the index and 16 of the earnings. Look at the equal weighted s p or russell 2000. Look at the spread between 10 and twoyear treasuries. That temps you it is not that great. I hardly think apple, amazon represent what is going on in your community i can buy that argument i look at a chart of the s p 500 and the russell 2000 they are not at market highs but made a marked recovery from the lows does that mean they are still trending in the right direction . There can be a disconnect there. You may be referring to the disconnect at these levels stock market valuations dont live in a vacuum ask yourself the asset outside of gold. Do you really want to track your money. Im being paid to weigh in the disconnect between the s p 500 there are parts of our economy still struggling even when they come back, theyll be struggling. Close proximity businesses will never get back to those levels until there is a vaccine or a cure no secret that Consumer Spending is rebounding a lot of that people say has to do with the stimulus checks that went out what happens if we dont get any resolution to those issues in, say, the next few weeks or months we can all agree that America Needs another bridge loan. I dont care if it is 1 trillion or 3 trillion. In that package of getting america back to work if there isnt a path way back, that is understanding. I hear a calling for a complete shutdown of the whole economy for six weeks. If we do that, that will be a zant memory. Are they overextended right now. Is the market due for a pull back in a vacuum, they are some of them dont even have a vulnerable im paying under 12 times earnings for a name like that. Can you pick and choose your spots. You dont have to hang out in these areas. There are plenty of areas that are attractively priced. Are you concerned about the elections coming up . Likely with mailin voting, we wont know who the president is going to be in 2021 for days or weeks the runup, youll see a lot of sector volatility. Certainly health care, that runup will probably cause for some certain always good to have your thoughts thank you coming up, bring on the jokes. Bud light is looking to fill a c suite position and it is a bit of a laugh california governor declaring a state of emergency as the state grapples with weather and a stifling heat wave and wildfires. Uber and lyft fight legislation that would classify drivers as employees inviting vehicle fleet operators to establish Ride Hailing Services through the uber and lyft platforms the u. S. And china have agreed to double the number of flights. Four Chinese Airlines currently flying to the u. S. Will be allowed to make eight weekly round trips. Up from four united and american are able to increase to four times weekly, up from two. Or make me feel like im not really there. Talk to your doctor, and call 8442342424. Welcome back you you are seeing a live shot of new york city midtown manhattan. Time square just past 5 45 eastern time we have beer, cookies and streaming. Not just a standard friday night in this world we live in we have more with todays top trending stories beer, cookies and streaming. Sounds like a good wednesday morning to me. Making memes, bud light hiring for a meme creator who will be paid 5,000 a month. Girl scouts is adding a new cookie toastyay, a french toast flavor tired of spending hours figuring out what to watch. Netflix is featuring a new shuffle play feature when pressed, it will play content based on your watching haddistry. That could become popular. I dont find that useful how much of a netflix user are you . Pretty much i like amazon prime more i like the boys. Home coming with Julia Roberts it was really good the other issue i have. If bud light owned by anheuserbusch is going to pay you 5,000 a month that seems cheap for 10 viral memes. You could create your own thing and try to get bud light to buy it. Maybe the perk is that you get a lot of free seltzer. Toastyays sound like but im all caramel delites. I like the thin minutes in the freezer. Coming up, target results. We are talking to a target bull. You can always watch or listen to us live on the cnbc app as we look at the shot of washington, d. C. We are back in a moment. Welcome back what you are seeing there is an indication of the market at opening bell s p up by about seven points, for the s p and nasdaq, we could see another round of record highs today. Target is set to post Quarterly Results out in just the next hour figures coming as stock howevers near an alltime high with retailers getting a big boost from the ongoing pandemic and lockdowns. Look at walmart and home depot shares yesterday from what happened we did see a bit of a slide off from those record levels for more now on what to expect, i think, matt. This is bullish and has been for many retailers can it last given that the market has priced in huge up stock. I think it can last you talked about walmarts strength yesterday you didnt talk about kohls. They had a pretty bad quarter. Where target is getting growth is from the weaker retail players positioned a little up channel from it. Thats mainly kohls, jcpenneys the future of what you are seeing is historic it was historic with walmart and will likely be for target. They are taking that from other retailers that just wont be here or much smaller quantities next year. So what is the driving force behind that move is it just the pandemic or is it the fact that these other retailers were already selling similar merchandize . The last three years, target has been taking shares what covid19 did is accelerating this. Victoria secret is Closing Stores a couple of years ago, Victoria Secret got out of the swim way business and target got into it and became the biggest seller. When it comes to target, lets look ahead and assume the same kind of realm or universe of what home depot or walmart reported yesterday this is a stock near record highs. Will we see the same kind of slowing we saw at the top with trading yesterday . When i think about target, it is a little different from other names. We like home depot very much as well with target, there is a substantial part of the market out there. There is about 100 million where those shoppers have nowhere to go. You go to Home Furnishings shoppers have nowhere to go for that too next year, target could continue to go positive as high as the 20 or estimates by 11. Whispers by as much as a 20 comp they could continue to comp next year because again, there will be further store closure in home depot, given the market share and products they have to sell in a lot of the investments. Over time, home depot can continue the comp and growth they can continue to do this in the near term. Sales growth and samestore sales were mind boggle for walmart and home depot as well the other number that stood out to me for walmart was digital or e commerce they are seeing right now. How good is target in terms of competing . You saw it last quarter where they were similar to that. They are a smaller e Commerce Business to be clear when you think about what walmart is doing with its growth, walmart does grocery pick up. It is simple and easy. Target has the same thing. They are the only two stores or retailers that have this capability thats where a lot of growth is coming from. Walmart called out they are having triple digit growth connecticut customers are accustomed to buying target brands what will be the ceos biggest challenge heading into the Holiday Season now that back to school is a foregone conclusion. I think the biggest challenge is supply and logistics and make sure they are living up to the promise of when they say it will get there. They have the opportunity for one of them where they dont have to ship it to your house. We get to the Holiday Season we have seen consumers and Shopping Trips are going to those retailers. Going so high, it could put starts in the project. The 160 price target is what you rate we always appreciate your thoughts here. Coming up on squawk box, target chairman and Ceo Brian Cornell will discuss his companys results in an exclusive interview. Mest watch, 6 45 a. M. Eastern ti that does it for us. Squawk box will pick up after this break with a burning love inside yeah im working my way back to you, babe and the happiness that died i let it get away servicenow. The smarter way to workflow. Simon pagenaud takes the lead at the indy 500 coming to the green flag, racing at daytona. Theyre off. In the kentucky derby. Rory mcllroy is a two time champion at east lake. He scores stanley cup champions touchdown only mahomes. The big events are back and xfinity is your home for the return of live sports. Good morning, the s p 500 erasing the pandemic plunge. Investors watching for key retail data today starting with lowes and target well bring you an exclusive interview with target Ceo Brian Cornell ahead. Several colleges reversing inperson plans after outbreaks. Well get an update with dr. Scott gottlieb squawk box begins right now. Good morning, everybody well come to squawk box here im becky quick with joe kernen and Brian Sullivan andrew is off today. Welcome brian, good to see you good to see you as well in your honor, i wore a purple shirt today to make up with his brown tie from yesterday dont adjust your sets,