737 max reportedly set to return to the skies it is monday, june 29th, this is Worldwide Exchange right here on cnbc well, good monday morning, good afternoon, or good evening. Welcome from where ever in the world you may be watching us thanks for starting on cnbc. Lets get to the money on your markets and futures. Theyre upcoming off a fridays hair cut dow futures implied up 135 points the dow falling more than 700 points on friday dow and s p 500 look on track to snap two month win streaks although we could turn it around tech also taking a beating on friday but its still been a great run so far this quarter. The big 5 fang stocks up an average of 29 since april 1st all of this ahead of a shortened trading week the markets are closed on friday for an early start to the july 4th holiday. Hard to believe that were already approaching july 4th anyway, treasury secretary and fed chair jay powell are set to testify on capitol hill tomorrow with the minutes of the latest Federal Reserve meeting out on wednesday and the monthly jobs number coming a day early because the market closed it will be out on thursday. Now around the world you have red arrows overnight in asia, kind of following our markets friday you can see declines there of 2. 3 in japan and of course the european markets like us, were not trading yet. They are just getting your day started to begin the week and they are traded mixed as well as you can see. All right. Now lets come back where health and Human Services secretary alex azar is issuing a strong warning to the American Public over the rising number of covid19 cases in the south. Back with that and more of your top stories on a monday morning. Good morning. Hey, good morning speaking with nbcs meet the press, the window to act to stem the spread is getting smaller. The window is closing we have to act and people as individuals have to act responsibly. This coming as the number of u. S. Infections are more than double from what they were two weeks ago. Cases in texas, the new epicenter of the virus in the u. S. Continued to surge with intensive care units now filled to 97 capacity and could run out of beds within the next two weeks. In california, the governor ordering bars in 7 counties including los angeles as the spread there continued new details propping up credit markets. The central bank said it bought bonds issued by Companies Including at t and United Health and walmart according to the disclosure of the 270 million of purchases made on the first day of buying 21 were of debt issued by firms in the consumer noncyclical sector while 10 were of Technology Debt and banks were apparently pulling back from a popular credit card promotion on concerns of borrowers struggling during the coronavirus may leave them with defaulting loans the offers that typically entice borrowers to move their debt in exchange for a temporary 0 Interest Rate has been sharply reduced from bank of america, barclays and capital one according to sources close to cnbc back over to you. A big story there a favorite hobby of some folks out there. Thank you very much. All right. With so much uncertainty around the outbreaks the economy and what state governments may do to roll back reopening plans is your smartest money move right now. Maybe to just do nothing sit tight and raise some cash or get aggressive joining us is the managing director of macro strategy we had a big market decline on friday futures look a little bit stronger obviously this morning. What should we be doing with our money right now . Good morning. Well, as you said, you want to be a bit balanced here because this reopening that was such a bullish phase for the market is now fading a bit because of the outbreaks that were seeing in the sunbelt states and what this would mean for other parts of the country because people have to be very careful so there will be activity so i think that were in a phase of where the market is consolidating and some risk off tone and thats why you want to be a bit more balanced between cash and risk exposures as we head into the new quarter. Okay. Yeah i mean, listen, is it all about case growth . Because we know that cases will only go up over time just as a measure of math. Hospitalization rates are very high in houston although hospitalizations have actually been coming down sharply in states like arizona even as cases rise is it all about that or is it all about the fed do earnings matter what are you most watching closely . I think that its all three of them as you mentioned this hospitalization rate is some what of a political aspect to it in a sense but i mean, then, you know, theyre making more activity and the reopening would be rolled back completely where as the fed option really matters, buying Corporate Bonds and theyre going to continue that through september so thats a really important backstop so as we go into the next quarter, the reopening as you go from here will be slower but were not going to say the lows from march because of that everybody i talked to these days which has arguably been not very many and if it is its from behind a mask and six feet and the market has come roaring back this quarter, i held on, im almost back to even, should i sell now i would not sell now because as this reopening phase is also shown from april into mayjune period, its that were going to get that again its just a matter of getting the right, you know, measures in place in order that the outbreaks moderate theres still a tremendous amount of upside in the reopening trade mind you and decline about 20 since june or most of the Leisure Hospitality industries there will be more upside in the future but at this point its a bit of a risk off phase. So i think theres value we just dont want to sell everything at this point. It seems like the activity and packed back into closing space like our winter in the northeast is that theres a pent up demand. One of the reasons that were seeing a spike is that everybody got busted out of their rooms and their houses and went out and maybe overdid it a bit but it does seem like theres going to be a will the of pent up consumer demand at some point. Yeah, for sure and i think that that is shown already in april and may and thats something that we could see more in the future. Ultimately, people are going to be, you know, adapting themselves to social distancing and then find out that they can go about their business and therefore that kind of demand will actually get stronger so i dont think that the u. S. Economy will be really dramatic. Its just a softer pace with this idea that theyre supporting the economy so i think that were in a good spot here its just a matter of getting it on the right track in terms of the Virus Outbreak all right yeah thank you very much. When we come back, a once nearly 40 billion Energy Company filing for bankruptcy. The very latest on Chesapeake Energy ahead plus a big day for boeing. Its 737 max returns to the skies but no passengers just yet. Phil will be along to explain in ten years to the date today, a wild and profitable ride for tesla stockholders we will speak with a long time bull and shareholder about teslas next ten years a very busy hour ahead dow futures up 105 were back right after this. Todays big numbers 88 . Thats how much wti has soared so far in q2. On pace for the best quarter since 1990 but despite the gain the commodity is still down 37 this year. Its certainly a big quarter but far from all as well and Energy Stocks and the run up in crude oil prices the sector eyeing a 24 gain overall since april 1st but the green arrow is not without a major caveat breaking over the weekend, Chesapeake Energy and the second largest gas producer filing for chapter 11 bankruptcy protection the company unable to overcome record low Energy Prices amid the pandemic and a surging sorry about that, surging debt load so what does all of this mean for the sector ahead . Joining us now is jeffreys Energy Equity analyst. Good morning here, i appreciate that what do you make of chesapeakes bankruptcy obviously not unexpected we reported this could happen back in mid may. Mid to late may with many others does it have any kind of a triple effect on the industry at all . Yeah. I dont cover chesapeake so i cant comment too much on them directly but its very painful for a lot of companies and if you dont have a stronger Balance Sheet the situation is pretty precarious right now. Theyre not really sure. And i do know that even for very Large Companies like the ones that i cover theres significant cash flow thats putting a lot of pressure on it. So where do you think it heads off jason . Well, i think that the market is still in significant oversupply prices are going to remain pretty muted i dont think that that will be the case until the Fourth Quarter so i would expect that prices would stay high 30s to low 40s until we get into it next year. Now i do think that if opec plus is compliant with their production targets theres a real possibility that we could get inventories back to normal conditions by next year and thats when you start to talk about it okay. Is there anybody that benefits not from chesapeakes bankruptcy per se jason but the idea that so Many Companies have had to hunker down whether its chesapeake and others in bankruptcy protection that collapsed on a weakening Balance Sheet and are not spending any money. Are there companies that you cover that in this damage they might be able to actually grow orpik up some assets on the cheap . I think overall its right for that and having less access to capital is an important part of rebalancing the market over the medium term. And it is generating a lot of Free Cash Flow as ben fitding from as benefitting from the overall situation and second of all because this is ultimately the path that this is a more Sustainable Oil price for the medium term. Who is the best Balance Sheet company in your coverage universe both of these are well under 20 . Okay. Any other companies that you are recommending to investors aside from them . The only other one is onb in europe and its similar characteristics. Very Balance Sheet leverage. Dont worry about it. Thank you very much. Adding a touch of home to it thank you. I appreciate that. Did you know what the most expensive s p 500 sector is . I had no idea. Dominic, the father of one or at least two beloved hounds joins us with more. Two youre right hopefully they are upstairs still curled up in my bedroom and not barking at me either but it is Consumer Discretionary. If you take a look at the performance of the Consumer Discretionary sector over the last year it tracks closely to the overall s p 500. Now the s p 500 slightly outperformed but i want you to look at this chart and for listeners out there, were showing just how closely correlated that were talking about that trading relationship. Now the forward price to earning rashs o ratio, its in the next year based on forecasts you can see there, 48 times forward earnings is what they trade at right now you can see it times forward earnings at the overall s p 500. That makes Consumer Discretionary the most expensive sector what is driving that it may be no surprise here but amazon is by far one of the biggest drivers of the sector and its driving the valuations as well. Amazon currently trades according today at a around 86 times forward earnings the big Apparel Company behind brands like Tommy Hilfigger and cavliv so its one to watch. Its getting a little bit more richly valued as you can see there. All right double dog dom when we do those valuations do we have any idea what that denominat denominator, the e for earnings is going to look like in a year . No. So heres the deal its always based on predictions from analysts. Now theres questions about whether they can get it on a consensus basis. Its even worse now because of everything else. What you have a situation where theres no clarity about what earnings are going to look like down the line. As you look at the forward multiples its something to keep in mind. If no one really knows what companies can make given the virus trajectory then its hard to make a forward price attorneyings so thats what you have to focus on now because no one knows what its going to be you have to focus on something. And its very hard right now a pleasure good to see you. Good to see you. Take care, buddy. Still on deck, talk about a fall from grace. Why shares from underarmor may drop more this morning theyre down or were 4 until a few minutes ago. Well get you more on the underarmor story as well futures are up 127 points. Were back on Worldwide Exchange right after this dear fellow Business Leaders and technologists, i see all the Amazing Things you have been doing. You are transforming business models, and virtualizing workforces overnight. Because so much of that relies on financing, we have committed two billion dollars to relieve the pressure on your business. As you adapt and transform, were here with the people, financing, and technology, ready to help. Welcome back and good monday morning. Dow futures looked different than on friday im not saying that theres a bounce back happening right now but were in the green with futures up 133 points although it is of course very early just about 522 here on a monday morning. Lets get a check on this mornings other top headlines, particularly those outside of the world of money and business. He is in new york now with those. Good monday morning to you. Good morning to you, brian. Theres growing questions about an alleged plot to have u. S. Service members killed lawmakers on both sidesof the aisle want to know what the president knew about reports that russia was offering the taliban bounties for killing american soldiers. Overnight, President Trump tweeted that the Intelligence Community did not find the information credible and therefore did not report it to him. The Mississippi State flag is getting a make over after more than 120 years after weeks of mounting pressure and protests state lawmakers voted to remove the emblem from the state flag the commission will design a new flag that will keep the slogan in god we trust. Voters will be asked to improve the new design on election day finally courses say that new England Patriots have signed quarterback cam newton to a one year deal with a relatively low salary but plenty of incentives. The first draft pick of 2011 will replace tom brady news of the deal came the same day the patriots were fined 1 million and docked a third round draft pick for filming the bengals sideline we have news to start off our day. Is there going to be football thats the news that we want to know. We have to keep making moves and im staying hopeful and staying optimistic thats all that we can do these days are you a texans fan . I am. By the way, my team the chargers, theyre used to not playing in front of fans so they might actually have an advantage. It wont be weird at all for them. No, its just another home game everyone is cheering for the other team. Thats right. Thank you very much appreciate it, buddy take care. Straight ahead, facebook and social Media Companies underfire as the list of Companies Saying they could boycott the platforms grow she is here to explain the fall out. What it could mean for facebooks bottom line were back right after this. Surging virus cases but stock futures taking it in stride for now, they are up 130 facebook and other social Media Companies facing the heat as more Companies Say it will boycott the platforms unless they clean up their acts and their ads and teslas decade of disruption ten years after the ipo. Were breaking down with the company and its stock maybe next its monday, june 29th, this is Worldwide Exchange right here on cnbc all right welcome back or just welcome and good monday morning, everybody im Brian Sullivan i hope you had a nice weekend. Thank you for joining us heres how your money and investments look as were halfway through the 5 00 a. M. Hour stock futures are rebounding off of friday and were seeing stock futures up 130 points right now. Of course this comes after fridays more than 700 point sell off at the dow. The dow and the s p 500 by the way on track, at least now, we still have a couple of days left to snap two month win streaks although like i said, we have two days left. Tech also taking a tumble on friday but still on pace for one of the best quarters ever. In fact, the 5 fang stocks up 35 since april first but overall the markets do appear to be growing more nervous about a surge in covid cases across hot states like florida, arizona, california, texas, everybody is crammed back inside because of the heat texas, hospital capacity, its largest city according to one report icu utilization in the houston area is currently at 97 with two weeks of capacity remaining. Something to watch another developing story on this monday morning, Chesapeake Energy filing for bankruptcy protection late yesterday. The move comes as the company and the industry have broadly been rocked by a drop in Natural Gas Prices and crushing debt load as part of the restructuring 7 billion in debt will be wiped out. It has secured 925 million of socalled debter infinite possessi