Transcripts For CNBC Squawk Alley 20240712

Before she hits the ground shes going to want to step aside good monday morning welcome to squawk alley. Im Carl Quintanilla with jon fortt and Julia Boorstin markets looking good, yields up and oil up as investors are focused on two things, the prospects for more stimulus covid aid and the potential departure of the president from walter reed on the latter point well turn to eamon javers good morning. Good morning, carl. No information yet from the white house at 11 00 a. M. , but they did bring the White House Pool reporters over from the white house here to walter reed which indicates there might be some expectation that we could get a briefing for the press within the next hour or so were going to stand by for that meanwhile, no indication whether theyve made the decision yet to move or not move the president they say theyll make that decision with the medical team later on this afternoon. So we continue to wait here as we learn that the Vice President and mrs. Pence have tested negative today the white house saying that the first lady continues to rest comfortably back at the white house, though that is the status of the people closest to the president of the United States, and outside walter reed, weve got sort of dueling groups of supporters for the president , we have one group flying Tea Party Flags and blasting classic rock and another group over here blasting antibeijing rap music. A lot of supporters and people coming by, honking their horns in support of the president here just outside walter reed a little bit of a carnival atmosphere i would say developing here on wisconsin avenue, carl, as people await the latest and voice their support for the president of the United States. Back over to you very 2020, eamon. We wish the president well thank you. Well now turn to this mornings Market Reaction as investors remain hopeful about the president s recovery as well as the possibility of renewed stimulus talks chris, Portfolio Manager at needham and brad, cofounder at nzs capital join us now. Guys, good morning chris, i want to start with the question, the president is sick with covid19. We have a major Movie Theater chain shutting down, a major election in 30 days, that is the weirdest of my lifetime for sure, but at the same time m a and ipos in technology are still looking healthy. Are tech investors ignoring too many risks i think today what were seeing is some removal of risk in that President Trump didnt get worse over the weekend, which is favorable to the Market Technology in general, though, has really good secular Growth Trends behind them and whether the president s sick and, quite frankly, getting past the election is also going to be a real positive for the industry because its just one more variable that will be removed. When you look at Companies Like apple and all the major, large Tech Companies, theyre building plans for their new products and services are still going to move forward. As a small cap manager we try to take advantage and investor in those companies that are going to benefit from the longterm growth rates really and truly i think looking forward, if you were a longterm investor, theres probably going to be some really good opportunities in this more volatile october that were about to see and brad, one could take that to mean that one could expect stocks to drop somewhat from here whats your take yes, the longterm trends are positive and people have been saying that part of what this pandemic has done is accelerate moves to the cloud, focus on data, et cetera, but boy, isnt there a lot of near term uncertainty . Yeah. I agree with chris here. There is a lot of near term uncertainty, but look, in the history of the human race, the pessimist is and sin nicks have often sounded smart, but its been the optimistic who have won in the long term and thats what investors need to do now focus as much in the long term as they can. As i look at the world around me, it still feels very analog to me and still living in the 1800s or 1900s, 5 or 10 of the economy has gone through a Digital Transition 100 of the economy will be digital decades from now and that transition is well under way, the pandemic has accelerated it a lot of uncertainty in the near term but focus on the long term trends and how tech is creating the new operating system for the entire global economy. So brad, to follow up on that, where are the opportunities to tap in to these sectors . Are there Certain Industries or Certain Companies that you think maybe the valuations are not so stretched yet . I think one really interesting industry that is making the transition to digital among all the examples is in the u. S. Real estate market. Where its still very much an analog transaction despite a decade or more of turning that into dajta digital marketplace. This is an example of what is happening to older economies and older parts of the economy the they transition. So you have Companies Like zillo and redfin and open door trying to take an analog transaction and turn it into a diblgtal marketplace with he see certain really interesting characteristics like vertical integration matters, data matters, software matters, user interface matters these are all things in the analog part of the economy didnt really exist but now theyre the things that create the winners and accelerate that digitsal transformation. Chris, i want to pose a similar question to you. Youre bullish about certain tech trends. What are the areas where you think there is still opportunity, you know, we could talk about tech valuations being stretched. But are there certain sectors or pieces of this market where you still see meaningful opportunity . Look, i think that the theme of the analog transition over to digital is point on. If you want to take one, its i think the resurgence in the Automotive Industry that were beginning to see across the supply chain you know, theres more and more electric vehicles. There is more and more computational power put into the automotive vehicles which we think is going to continue thats good for semiconductors, battery technology, specialty materials. And then it ties into the Wireless Communications where these devices, lets say, or cars are going to need to connect back into the internet and other forms of Data Collection again, these are long term trends were beginning to see the recover roy in t recovery in the auto industry. We think thats going to move along the semiconductor space. Brad, given the picture that you painted of long term optimism, what are some specific stocks that youd call out that you think are perhaps underappreciated i know in security you mentioned salepoint and cyber arc. What do you think are the most underappreciated thats right. Look at all the Ransomware Attacks with the work from home and the Digital Transition, i had identity and access megment are at the heart of that that is salepoint and cyber arc among the three types of identity and access manage mebt solutions. I would completely agree with chris comments. This diblgtal transition only happens because its built on a Technology Layer of semiconductors and theyre the enabler. Theyre enabling everything as dajts a Digital Transition happens and there is innovation happening in robotics which has been a slow industry to take off over the last few decades. The idea of a cobot, a robot working alongside, cooperating with humans, not replacing humans and jobs but really making humans better at what they do, safer at what they do we think is a big trend. And texas instruments, micro chip, connector companies are all enabling this really powerful trend thats a lot of names thank you, brad. Will thanks, chris thank you thank you shares of ceneworld cratering after announcing theyll shut down all u. S. And uk operations due to the pandemic. That stock down over 36 the ceo joins us next on that decision after the break regal scineworld decided to close in the United States and uk as the pandemic devastates the business the ceo joined us now on this decision thanks for joining us. This news came on the heels of the james bond movie that had been delayed multiple times, being delayed again to april from november. Tell us about your choice and why you decided to make this choice particularly right now. I think that the best example to give here in order to be clear is we are now like a kind of grocery shop that have no food to sell so the cinemas are good and ready and safe and successfully and warmly welcomed by our customers. But we dont get new movies or most of the new movies in the big movies into the screen bond was one of them after a lot of postponements done by other studios in the last six weeks. And we have nasiare facing a sin where its better for the company to be closed than to be open and main reason here, i know everybody, the whole headlines went into the bond its not the bond case that it is on. The u. S. Market is the most important market in the world. And the two markets of new york and california are the most important markets in the u. S and the studios are hesitating and likely so in a to release movies without new york and california while in california but one moment. While in california, were already 50 open n new york, for some reason, although other indoor facilities are open, we are not allowed to open yet. This is blocking the possibility of releases. But the studios see its not worth ut to put the biggest budget movies to make 200 million in market in theaters yet. At what point will it be worth it or make sense to open again do you need a certain number of wide releases . And what does that look like for you . I think first of all, the example of tenants, they opened months ago six weeks ago and very successful interin ationally most of the markets, the movie will gross internationally at the end of the day 300 million. Not many move yuz are doing it in a year in normal times. The United States missed the release, california and new york changed the pat tesh of the release and the movie was much less successful. I think if we get new york back and we get the rest of california back, movies can be released now i believe the studios are ready to take a us are being but theyre limited. And im sure that they can do business and maybe not the normal business phase but they can do business if we get these places with us currently to operate the cinemas. Its better for us to wait might be a month, might be two months until situation is clearer. Maybe this will be vaccination it may take another month. But at the end of the day, we must have a clear lineup of movies before we reopen. When you say getting new york back, what does that mean . What is normal business right now . And if you were able to reopen in states like new york, would you be willing to forego whatever relief might be coming out of congress . Look, first of all, we need to see and then we can analyze the were here to analyze everything but on the other hand, we took a lot of important, a lot of unvestment noo in order to creae environment. I dont think nun knows athe least in our territories, were operating in ten territories around the world central europe, uk and u. S. Of any covid19 case that was reacted or was brought in from a cinema visit theyre safe we need the movies and if new york can allow indoor dining, can allow bowling and can allow casinos, it can for sure allow Movie Theaters the. We have a bit of awe chickenegg situation here where maybe the studios are waiting for an indication that audiences are going to open. If youre talking about potentially looking again at this in a couple months. It seems to me were looking at that thanksgivingchristmas wund yoe. I dont know if any of trat decisional whipped yoez that come out during that period are going to come out. But is there a plan in rereleases or Something Else that you think would get those Holiday Shopping crowds into Movie Theaters if do you indeed open up during that period no. I think that we need to get back to big movies and the new movies the oldies are nice. There is a certain public that love to go see them. Many people went to see tenant in a way but we need the big movies pt in the territories we operate, when we open the big polish movie or hungarian movie, the cinemas were packed. Subject to social distancing and restrictions people want to go back to the cinemas. But they want to see the new movies and i agree with you its a classic chicken and the egg. But here the chicken and the egg have one trigger we need to have back the big states that are still not open its not only New York New York is relatively a symbol. But, you know, we never said one through all the crisis, not in the other countries, no tt in ay state with regards to the governors what to do i think the governor of new york has done an extremely great job against covid19 but one thing i miss from him and this is the explanation why in dining yes with restrictions, why no bowling yes why casino yes why we are not i think the cinema yes . But, mookie, final question about what your business looks like on the other side of this how your business survives when we are able to open Movie Theaters again, when studios are releasing movies, are you going to have fewer theaters is the overall theatrical business going have fewer screens in the u. S. . Are you going have to raise prices look, i dont know how many cinemas will survive i guess there is a big danger of many of them not to survive. Cineworld is strong. Were going to survive whether it will will take two months like you predicted, maybe until christmas. Maybe if it will take even four months were going to stay there and were going to reopen strong and big. Our cinemas are great. We invested a lot of money in our theaters this industry is not going anywhere this industry is here to stay. Remundi remu reminding all of you that eight months ago we finished the biggest year ever internationally, worldwide we spent billions of dollars people want to go to the movies. We need the environment. We need maybe vaccination, we need medical not so quickly well go back to normal but cineworld is an company that has 1. 1 billion profit, it is not going anywhere the only thing that we are waiting is to have back the permission to operate with restriction and then the studios will come along and well come along. Mookie, thank you so much for joining us on this day with so much news. Thank you very much, guys thank you. As you get closer to reopening. Carl thank you very much meantime, guys, session highs here dow is up 400 points s p 500 trying to get back to 3400 for the First Time Since september 16th y ua a founder is moment as waonsqwklley. The please stay with us. Fortun i was blessed to be part of building one of the greatest game shows in history. During that time, we handed out millions of dollars to thousands of contestants. And i thought, what if we paid the contestants their winnings in gold instead of cash and prizes . Back in 1976, we had a wonderful contestant named lee whose threeday winnings were valued at 12,850, and you know what . That was a pretty big haul back in 1976. So i wondered, what would have happened if lee had put 12,850 in cash and then put 12,850 in gold in a safe, just sitting there sidebyside from 1976 until now . Well, i went back and i ran the numbers, and what i found was amazing. 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With nearly two decades in business, over a billion dollars in transactions, and more than a half a million clients worldwide, u. S. Money reserve is one of the most dependable gold distributors in america. I want to turn your attention to a slate of consumer stocks, fresh record highs to day. Snap is at 3 1 2 year highs. Twitter hits its highest level in more than two years peloton and roku notching new all time highs this morning. Along with pinterest it has been hovering between positive and negative territory. You can see it this just a little bit abovela ft. More squawk alley after this break. Ing, whats new . Audreys expecting. Twins wed be closer to the twins. Change in plans. At fidelity, a change in plans is always part of the plan. Hmms and ahhs heard incall. Working within amazon transportation services, i really saw the challenge of climate change. We want to be sustainable, but when you have a truck covering over 300 miles, or you have flights going hundreds of miles, its a bit more challenging. We are letting the data guide us to the best solution. Its inspiring to try to solve a problem that no one else has solved. Thats super exciting. Welcome back, everybody. Im sue herrera. Here is your cnbc news uptake the. The Supreme Court has started the new term with a remembrance of the late Justice Ruth Bader ginsburg the court allowing a lawsuit to go forward against a kentucky clerk who was jailed in 2015 after refusing to issue marriage licenses to samesex couples in if philadelphia, one teen is dead and another is in Critical Condition after a shooting overnight a 15yearold was fatally shot in the head and thigh. An 18yearold is recovering from a gunshot wound in the lower back no arrests have been made. And in paris, bars have been closed again after officials have put that region on maximum virus alert. Festive gatherings will be banned and restaurants will remaun open br remain open but with stricter limits the new restrictions will last two weeks. Theyve had a big upsurge in coronavirus cases there. Youre up to date. Julia, ill send it out to you thank you, sue. Our next guest writing a post this morning saying there is a lack of innovation in the ipo process and that the pivot to spacs weve seen recently is a trend thats here to stay. Joining us now is reid hoffman, linkedin founder, microsoft board member and gray lock partner. Reid, thank you for joining us you were on 2 1 2 weeks ago to talk about your spac starting trading. And you just posted this morning on linked in if talking about the lack of innovation in the ipo process. What is it you advocate for in terms of change around that process . Well, i think the ipo process is a good one to continue. But part of what spacs do is bring the possibility of bringing new concentrated partners who help with this kind of invention and reinvention that Technology Companies need we call this Venture Capital at scale. And that ability creates the opportunity for all of these kund of private unicorns to do the next phase of Venture Capital and get to kind of globally transforming companies. And thats the kind of thing, you know, the speed of reliability of it, the ability to go to invention and reinvention. Thats what spacs now enable. Im curious what your outlook is on direct listings. We obviously have palantir do a direct listing last week youre an investor in airbnb how are you advising air bnb about how to think about going public theyve been, you know, theyre considering going public at some point this year. So i think direct listings are another very good mechanism. The i think you think about ipos and you think about okay the banks and the networks and investors and other things and thats the right process for you direct listing we say, look, they could impact the clear price maximization and spacs and Venture Capital at scale. My you know, i think airbnb is going to do an ipo process. They want the connectionto networks, you know, all of the studying of the analysts and all the rest but, you know, thats a, you know, this is an theres no im not sharing any inside knowledge. Im just saying, you know, what they might be looking at in terms of the areas that youre most interested in right now, you mentioned Artificial Intelligence and im curious if you have any updates for us on what your spac is going to be investing in in also, i want to point out that the vc fund just closed another 1 billion fund. What that fund is going to be targeting and how these two different investment vehicles compliment each other or Work Together large question, thank you so what i would say in terms of the spac is there is over 400 private unicorns that have already achieved some interesting scale and velocity were looking at the areas where we bring unique knowledge and network. Could be Artificial Intelligence which ive been doing through open ai and, you know, stanford human center Artificial Intelligence and other areas like investing on autonomous vehicles, could be networks and marketplaces the you know, things that mark and i do a lot of. And, you know, youre always in both answers youre always looking for that amazing entrepreneur that has, you know, that lens on something new that youd be a good partner to but youre shocked and delighted and surprised by this amazing idea that they have the second in terms of graylock, similar. You look for the entrepreneur who has a new idea generally speaking, we think there is a lot of room in enterprise weve been doing a number of different enterprise investments. The redoing of work through obviously what weve been learning and acceleration of digital trance formation from the pandemic and also, of course, any new major changes like ai and so forth creates great opportunities within the graylock context as well reid, i hope youll forgive us one brief interruption we have another positive case at the white house. For that, well get that information. Carl, thats right. The White House Press secretary releas released a statement saying she test pod for covid19. That test come income this morning in a tweet a couple moments ago. She said after testing negatively consistently including every day since thursday, i test pod for covid19 on monday morning while experiencing no symptoms she says no reporters, producers or members of the press are listed as close contacts by the white house medical unit she is also defends her conduct here in terms of disclosure of information around this. Last week, she said i had no knowledge of hopes diagnosis. I worked diligently to provide information to the American People at this time. She says she will begin the quarantine process and she will continue to work on behalf of the American People remotely so another shocking announcement from the person very close to the president , kaly mcnany testing positive you saw the pictures as all of us of her briefing the press yesterday at the white house in the driveway not wearing a mask during that briefing so there will be some concern among the reporters no you who were exposed to kayleigh mcdenany back to you. Meantime, the times is quoting a source familiar saying that the treasury secretary has tested negative again today. But i think mcenany makes nine people in that scotus rose garden sauer moany well tun to trace back to that even as the white house tries to do the same. Yeah, thats right. That ceremony was outdoors on Television Associated with it were a number of indoor gatherings as well around the announcement of the president s Supreme Court nomination some people that tested positive are people that were also in the indoor settings in the white house. The virus spreading rapidly throughout the entire white house staff at this point and were going to see how they can get their arms around this and the coming hours and days, john. All right thank you for that update. Want to turn back now to reid hoffman. Reid, id like to pivot to tech more broadly given where we are now and im thinking about soft bank and the unraveling of a good deal i think of the approach and thesis and then at the same time, what youve been advocating around blitz scaling and growing quickly. How do you think we should lets see. We seemed to have lost reid momentarily. Hopefully we can get him back. Julia, i was going to ask reid and hope to still about how you rationalize between blitz scaling which hes talked about, the importance of being able to grow quickly when Technology Demands it, take investment that way and then soft banks model which is more late stage investment in ideas that seem not to have entirely panned out. I think a lot of it, jon, comes down to the fact that reid invested in a lot of the companies more early on, identified a Strong Negative idea that he could figure out how to help scale and particularly around these platforms that he has added so much value to looking at air bnb, linked in this, two very different platforms, jon gus, ys, markets holding on solid gains here with he see green arrows for other Asset Classes as well. Energy, financials, yields as we continue to have one eye on the white house and the list of positive covid19 ketests and another eye on stimulus negotiations dont go anywhere. So, we got griswalda. Dinners almost ready. But one thing we could both agree on was getting geico to help with our renters insurance. Yeah, switching and saving was really easy drink it all up. Good could have used a little salt. Visit geico. Com and see how easy saving on renters insurance can be. Find a stock basedtech. On your interests or whats trending. Get realtime insights in your customized view of the market. Its smarter Trading Technology for smarter trading decisions. Fidelity. Morgan stanley has a new note on where we stand as pertains to the vaccine time line, which companies are leading the pack Matthew Harrison is the author of that piece and joins us this morning. Good to see you again. Great thanks for having me talk about in terms of Data Delivery, when is the earliest we might start to reasonably expect something and it does sound from your piece that pfizer, i think, remains somewhat in the pole position here. Its true yes. So the earliest you can expect to see some data is probably mid to late october. Our base case view continues to be that we would expect to see solid efficacy data in november. And that basically correspondence to about 60 to 70 efficacy for vaccines in november if you get something in october, that means theyre more than 70 effective. So lets say we get Data Delivery on that time line how long would you expect the fda to take their time evaluating and eventually provide emergency use authorization . Right so our view is about a month this is going to take for the fda to review data the there have been a handful of reports around what the criteria that the fda is going to apply for emergency use authorization. And the biggest one is they ask for two months of followup which puts them in the second half of november towards having that data so our expectation is a month after the second half of november so sometime late in the year is problem w probably when you have an emergency use authorization. Given that time line and everything that youre hearing beyond it, whats your best guess as to the earliest we could have vaccine available at scale . And if multiple cycles, the earliest when people would have finished taking that vaccine at scale . Right two important questions. For broad approval outside of emergency use authorization which could be for a select group of patients, the fda is asking for six months of safety file that puts you smum in tometime e Second Quarter of 2021 most broadly for authorization. In terms of scale up, that time line fits well with scale up where companies will be producing somewhere in order of 50 to 100 million doses per month probably in that time period so you should have broad availability of the vaccine plus a broad approval in that time frame. And then our expectation would be by the summer environment 2021 is when you could have a broad portion of the population vaccinated matthew, just to follow up on jons question about the dosages. How many of these vaccines are duel dose vaccines and how much does that complicate the deployment of this especially as you look at just the logistical challenges of even getting out one dose of these vaccines so all of the leading vaccines are two doses currently only Johnson Johnsons which is in clinical studies which just started recently is a single or potentially a single dose. So all of these would require two doses separated by about a month. And as you point out, that will be a challenge because youre going to have to get people back in for that second dose. And even vaccine thats are available right now which require multiple doses, you tend to lose 10 to 20 of the people taking the vaccine by the time you get to that second dose. I had not heard that before matthew, i wish we could have you on every day with updates. We hope to talk to you again at the earliest opportunity thank you for. That appreciate it very much thanks very much. Matthew harrison. 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The Carolina Panthers announcing a partnership to install germ killing robots at its facility designed to pro vent the covid19. The ceo joins us now on that partnership. Morris miller, good to see you again. Nice to see you good morning seems like the world has turned up side down since the first time we spoke about this Technology Just remind viewers what it is centered around. It is uv based, right . It is its a little bit different kind of uv. You can see it right over here this is the most powerful uv robot. As opposed to being based on mercury lamps, this is pulse, high intensity, very powerful Broad Spectrum the fastest robot really on the face of the earth. All right so you had some experience as the football season ha postzenone. Whats different about the panthers partnership and how would you grade the success of it when its being used at scale so far so clearly this robot is the leader in health care. So were in more than 700 Health Care Facilities around the world. The panthers really took the step to be the first nfl team to adopt it they were using it in locker rooms, gymnasiums, weight rooms, meeting rooms and then public facilities, rest rooms, to really try to create the safest environment they could for their patrons who came to the game as i understand it, there was about 5,500 people at the game yesterday. Really thats a huge step forward. Theyre serving as an example for the other nfl teams and all professional sports to get the players back playing and to get the fans back watching morris, were seeing what this looks like. Its a little bit like a strobe light. I understand the focus is really on cleaning surfaces theres been so much attention recently on the aerosol spread of this. Is there any way to apply this technology to whats in the air and not just whats on surfaces . When the robot goes, were trying to disinfect all of the surfaces that people are going to come in contact with. It does rotate air through the robot, hence any air thats being rotated through the machines, that will also be disinfected. The best thing people will do to prevent aerosol transmission is to wear their masks, to have social distancing really follow the cdc guidelines what were thinking about is we can disinfect surfaces, kills sars covid2, to get at much utility lags across their facility as possible obviously a lot of real estate to cover between the stadium and the facility were a little heavy on news so well cut this short, but we hope youll come back and were obviously thinking of every team, including the titans, which had no new positives today for the first time in seven days thanks, Morris Miller of xenex interesting market day really havent seen a lot of indices getting buffetted by some of the news at the white house. Of course another positive case this morning in this case the press secretary, who will now begin the quarantining process. Yields rising again, a lot of people believe on further stimulus and look at the poll numbers, golden with a note today saying that a blue wave in which the senate and the white house flip would cause them to raise their projections on the prospect of stimulus in january. So a lotgoing on today the narrative as far as the election goes seems to be shifting rather quickly. I would also mention that the biggest tech stocks, some of the biggest, among them apple, amazon, alphabet, facebook all positive by better than 1 lucky us, reed hoffman is back with us after some technical difficulties great to have you. I was just asking you about scale, right, two different approaches to scale. Weve seen soft banks approach, which really swept through the vc world kind of stumble whats your assessment about what has taught bus scale, the right way and the wrong way . Part of the reason i wrote this is because the way modern Tech Companies are made at size and the ones that transformle world are the ones that get to scale very quickly and become the platform and i think thats still the case, even in the time of pandemic and its all a question of relative speed the soft bank side is a particular play on capital and actually in fact capital is useful but not the only ingredient the real key questions are do you have the right Product Market bit, do you have the right team and strategy and play book for growing into that market the right way capital is sometimes a useful addition at scale. Let me shift from that scale question to evaluation question. Does the acceleration and Cloud Adoption and data focus that weve seen during the pandemic justify this big valuation jump were seeing in a lot of tech stocks and the interest in new Public Offerings well, i dont really comment dont really Pay Attention day by day, week by week, on valuations. I think everyone is realizing that the Digital Transformation of the future, whether its in work, in life, whether its in entertainment is accelerating and that that is more and more, you know, some of the valuable products and services in the future the most natural thing of course is do as an investor in that case is to buy into the relevant Tech Companies that of course will affect valuations but the specific valuations arent something that i actually im focused more on a years time frame, one year, three years, five years, ten years. Right so as an early stage investor, how has this period, if at all, changed the way in which you look at what you invest in there was a period of time where some at least were expecting a big drought in Silicon Valley when it comes to startups and that doesnt seem to have panned out. No. I think always when you get to this peak Silicon Valley and peak startups and its been most of the time, its kind of a fake story. The future, what scale challenge do you want to solve, whether its business and product and services, whether its climate change, whether its education, health, virus, all of that is technology and technology is a bridge to scale. So i actually think that we will continue to see even more interesting startups and across even more domains than just Consumer Internet and enterprise, which we will continue to see as well. Reid, thinking of where youre finding interesting startups, your form announced a Strategic Partnership designed to derive diversity from investors. We announced a partnership with management leaders tomorrow part of the thing that we believe very strongly, as does mlt, its not a pipeline question, its a network question its a question of how we build the right Network Connectivity between people of color and the other folks who have not been able to participate in as much as tech founders, early tech investors so we want to build those bridges. If you find an underappreciated asset that has that same talent, that same kind of drive and capabilities and insight that exist other place, thats a great portfolio addition were also not just excited as citizens and as people with an ethical compass but also as capitalists. Certainly i want to make sure to get a chance to ask you about your political work i know youve been spending some time and money backing Vice President biden. Tell me why you endorsed him and how you expect if there is a Biden Administration to impact the Tech Industry in particular. So typically of course most Business People tend to think the vote democrats is vote values and vote republicans is business i think varieoting for biden isa vote for business. Business needs unity as oppose to one side fighting the other and riling it up, the more stalkt you g stability you get, the better it is for business. So a vote for biden is for the business folk. For the Tech Industry, i suspect were in this Evaluation Phase as a country to say, look, we think some things are, you know, less working less well than wed like. Wed like kind of the discovery of truth and information, wed like more unity, wed like more understanding of how tech is changing our lives and a participation in that conversation and i suspect that biden will be also active in that, trying to figure out how to shape us, but i think biden understands that technology is part of the solution, part of how you get to the future that you want to get to so it wants to build in that direction as well. Reed, reappreciaid, we appre taking time to talk to us about so many topics back over to you thank you we love checking in with reid. The 10 year, 30 year yields hitting some highs a very tight but solid rang, just bow low 3400, the highest level since about september 16th or so. There is a headline on the wires from president ial candidate biden that he is willing to debate President Donald Trump if in fact experts say its safe. With that a reminder that he will be at a town hall tonight with Nbcs Lester Holt in miami. Thats going to happen at 8 p. M. Eastern time and you will be able to catch that right here on cnbc a lot to get to for the half lets get to headquarters and the judge. Thanks very much welcome to the halftime report, im scott wapner the state of stock for election day, four weeks from tomorrow well debate how to play this market right now with our inv t Investment Committee lets go to the wall stocks higher. We are keeping an eye on the president s condition today. What do you think about the movement in stocks today do you think theyre up on