The bill nar has the blews these days he will explain why his businesses are struggling and the things that could get worse beyond that and what hes trying to do about that power lunch starts right now yes, it does the nasdaq hitting another all time high today. Its on strachan for its sixth straight day in the green. Bob has more for us. Modest weakness on the day. That tends to mean tech will still out perform. Thats happening today. Its airlines under perform and transports and Logistics Companies like jb hunt and fedex tend to out perform. This has been going on since the coronavirus issue back in february and march and again you can see that happening today. Ben carlson pointed this out the top ten stocks by market caps are up 10 so far this year the top 50 are up 2 but look at the bottom 50. Down 39 thats not a typo. Thats a huge disparity. Its true big stocks tend to be important. They always move the market. Bottom line is they have never been more important than they are right now. The trends are pretty typical of july fairly narrow trading ranges like volume and breadth unimpressive william, what a treat. Two days in a row i get to see you. Thank you, bob. Three more. Hopefully. Despite be outperformance of the big tech stocks, that was an incredible stock, blackrock is getting more caution they have downgraded to neutral due to rising coronavirus cases and because of stimulus running out. Its more pain ahead of investors with earnings season around the corner. Larry adams is at Raymond James and Nela Richardson is here. Larry, do you share this caution on the stock market . So, longer term im opt mitsic mit mystic on tequity markets its issues sentable to some disappointments and just to give you a couple, if you look at, you talked about the covid19 increasing its debt starts to hamper Economic Growth we have 20 and 10 gdp growth factored in for the third and Fourth Quarter of this year. When it comes to the fiscal stimulus package, we think it will get done by the end of this month but if its delayed or comes in smaller than expected, that could be a disappointment we think that you get a limited. If its only 50 effective, is that really the pen sanacea tha gets people back to normal activities i think you have to be caution here we talk about whether its the v or u shape you have a k shape this thing is so complex, larry. I dont know how to get into it. Boil it down for me. Where do you think investors should be positioning here well, i think the problem with the v and a u is they are one dimensional. I think the k is the best letter that youll have a economy that different sectors will be recovering at different pace and magnitude. If you think about the upper level of the k, those are sectors that werent impacted by the pandemic such as e commerce and medical devices. Thats technology and Home Improvements would you share a lot of what larry is talking about and how do you feel about valuations in the stock market if i were to spin off larrys case scenariscenario, i dont k we have the right letter but lets go with that one i think he makes a great point that different sectors will rebound and recover at different rates. If you look at the sectors that are performing well, we tend to look at the Health Care Sector and technology but within those sectors were looking at industries that goes to your question on valuation. Were looking for deals within sectors and not just sectors broadly speaking when we look at health care, we see a sector that is on a valuation trading at a discount to be overall market we know that health care is defensive stocks its a good play to be right now as we expect there will be pull backs in this market and Health Care Adviser to be needed in good and bad times and the demographics support health care over long term. Perhaps populism and deglobalization that could be an out growth of this pandemic. Its really focusing on those industries that are built to perform regardless of whether we get vaccine this year or middle of the year nec year nela, reading your notes, you say you should position yourself defensively and offensively. I guess this is how youre trying to do that. You have to be very choosy in how you choose those industries that are both either defensive or offensive, right . Thats correct. Thats why the north star has to be strong Balance Sheets and companies that can grow their dividends over time and regardless of sector twothirds of s p 500 firms have withdrawn their guidance for the year theres a good consensus it will be a rebound in 2021 thats part of the reason we have seen stocks perform so well our caution here is even in a normal business cycle, it typically takes earnings to three years to rebound from a trough in earnings the market is somewhat priced for a disappointment even if the long term trajectory is upwards. All right thank you both for your thoughts today. Appreciate it. As we have been saying texas and florida both now cumulatively more than 200,000 cases of coronavirus following the fourth of july weekend meg joins us with her daily look at the rising hot spots and the race for a cure. Meg. The numbers are a bit wonky coming out of the july 4th weekend as testing gets delayed. The positive rate up to 8. 5 now. This according to ever core isi. The fastest growth in the past week were seeing South Carolina now jump ahead of florida in terms of showing the hot spots charleston, South Carolina, now the area in the country with the fastest case doubling time you are seeing jacksonville, florida still there along with sacramento california. I believe this one is from yesterday. New york and new jersey adding three new states to their tristate quarantine list thats the list of now 19 states from which travelers need to quarantine for 14 day ifs they come into the tristate area. We are seeing just this spread across the United States continue its try to fund and accelerate the vaccine projects that will support them through late stage Clinical Trials and ramping up production with the goal of producing 100 million doses by the end of 2020. We talked with ceo about their timing this morning. Here is what he told us. The scale of starting already and well plan on start shipping the 100 million doses in the Fourth Quarter and be finished during the First Quarter of the year guys, that timing is a little later than we heard from some of the front runners in the race but thats not stopping novavax shares from being up 33 on the news this is giving them a huge boost. Kelly and bill meg, before you go, the question, regarding the growing list of states that new jersey and new york and connecticut want to have people quarantined, when i talk to family and friends and other state, the question im always asked about that is how do you enforce that. Im not sure that i know the answer i dont know if you do either. I know there are penalties that are incured if somebody gets coronavirus here and then they trace it back to somebody who came from another state and didnt quarantine. Theres a penalty there. Other than that, how do they police this thing. Do you know . Thats the knock on it. Everybody says its just almost impossible to enforce this kind of quarantine because its sorts of depen dent when Governor Cuomo announced it, it was depending on the public selfpolicing. Asking people to do this or to tell on their contacts, if they come in from another state and dont quarantine the old honor system which were all so good at thanks see you later. Kelly. Coming up, Energy Financials and real estate leading todays declines you can see the whole sector board. Theres only about three sectors in the green right now theres one growing trend in the Real Estate Market that investors are gloflocking to. Who benefitted from the Paycheck Protection Program . Well follow the money right after this break you say that customers make their own rules. Lets talk data. Only Xfinity Mobile lets you switch up your wireless data whenever. I accept 5g everybodys talking about it. How do i get it . Everyone gets 5g with our new data options at no extra cost. Thats good. Next item corner offices for everyone. Just have to make more corners in this building. Chad . Your wireless your rules. Only with Xfinity Mobile. Now thats simple easy awesome. Switch and save up to 400 a year on your wireless bill. Plus get 200 off a new Samsung Galaxy s20 ultra. We know the goal of the ppp was to save jobs, literally to protect paychecks. Now that we have a lot more information about who got the money, maybe we can figure out if the Program Works kate rogers is looking at that part of story for us we saw every one from kanye west, to pf chang listed on this disclosure 650,000 plus names were disclosed on this massive spread sheet. The vast majority of the resip yentss of ppp wont be released. One important question does remain here. How many jobs did the program save as the forgiveness process has just begun you need to use 60 of this loan on payroll in order to be forgiven whats more, just under 50,000 businesses listed zero jobs retained on the data that were released yesterday how did firms that cancel or did not receive ppp loans even make the list cnbc asked the sba to clarify how this is possible because cancelled loans of which there are about 30 billion were not supposed to be included in the disclosure one more thing to remember as we mentioned yesterday, the program has been extended through august well be seeing another data dump according to Administration Officials once that round closes of loans once again bovr 150,000 back over to you we know this program was designed to help Small Businesses whatever the definition may be but you have found as most of us have, theres some businesses that sort of stretch the definition of small in that regard banks have been the gate keepers in this. They are the ones that help their customers apply for these ppp loans. Is that where the break down occurred how did some of these larger entities find themselves receiving money that was supposed to be earmarked for Small Business all of these companies were able to apply under the law as it was written this was rushed out of the gate in order to get aid into the hands of Small Businesses that truly needed it. We talked about there being enough blame to go around between the government, the banks the businesses that stretched the limits you had to apply with the bank and fill out a much shortened sba application to get the money out the door quickly in terms of larger entities, some of them could file under separate, smaller entities thats how were seeing names get the money. Up to the public to decide if they feel this was properly done we had a feeling there would be surprises on the list, for sure. Thanks very much. Speaking of spriedurprises, thet of people and businesses in washington that received ppp money may surprise you kayla has that part of the story. Among the 700,000 recipients of those large ppp loans, some boldface names stand out Family Businesses associated with some trump Administration Officials did receive loans. Maritime, a shipping company one by transportation secretary family received up to 500,000 a d. O. T. Spokesman said she is not affiliated with the business and have no idea how they got the loan a Trucking Company founded by agriculture secretary sunny purdue received up to 350,000 a spokesperson for usda says the loan was roughly 182,000 supported 27 jobs and complies with all ethics rules. Separately, a media company, hotels and a school with backing from the Kushner Family also received loans on capitol hill, access to ppp was bipartisan it went to a wine ri in which devin nunes has a stake. Family businesses of two Oklahoma Republicans received money and a former employer of Democratic Senate candidate got aide. Fiejly, among dozens of law firms listed were three smaller shops that employee President Trumps impeachment defense attorneys. J those firms got up to 14 million. Bill, there are dozens of law firms, even more lobbying shops and private schools with the deep endowments and political ties that got money. There are simply too much to include in a minute of air time. Bill and kelly, back to you. You gave it the old college try. Thank you. See you later. Kelly. Still ahead, billionaire tilman is ahead. Theres no v the stock hitting another record high today it has more than tripled this year its up 220 even the analysts are throwing in the towel we have the tas,ex osdeil nt. Welcome back tesla is on a tear notching its fifth straight day of records ar bull case today. Teslas 259 billion market cap now makes it larger than 97 of the s p 500. Todd gordon. It just keeps going higher day after day. You said it yourself its been very fun to watch. Thats all weve been doing is watching which is not all that great. It doesnt make money yet. Its very difficult to do so the shorts start to win a little bit and everybody thinks they will go out of business, thats been the traditional buy point if you want to be a buyer of tesla, i think you have to wait for that pull back and be very careful here todd, youre watching the technicals is there a pull back in store and if so, when . Not sure when that pull back might come we agree on the fundamental point of view. Valuation is high when using traditional metrics but Growth Stocks command a higher p e. We believe tesla is the leader in the large cap universe. The first inning was a massive we are looking at earnings next quarter, july 22nd highest value car company in the u. S. If they beat, it will be 4 con sec tifr quative quarters. Its widely accepted in china. We continue to hold tesla. Competition will be key especially in Growth Markets like china good discussion. Thanks for joining me. Thank you. Still ahead, as covid19 cases surge, state and local governments across the u. S. Are forcing some businesses to close again. Billionaire tilman says uncertainty and indecision from political leaders is making things much worse. Its tilman tuesday when we come back stock slices. For as little as 5, now anyone can own companies in the s p 500, even if their shares cost more. At 5 a slice, you could own Ten Companies for 50 instead of paying thousands. All Commission Free online. Schwab stock slices an easy way to start investing or to give the gift of stock ownership. Schwab. Own your tomorrow. Schwab. Wow. Jim could you ipop the hood for us . . There she is. Turbocharged, right . Yes it is. Jim, could you uh kick the tires . Oh yes. Can you change the color inside the car . Oh sure. How about blue . Thats more cyan but. Jump in the back seat, jim. Act like my kids. How much longer . Exactly how they sound. Its got massaging seats too, right . Oh yeahhhhh. Oh yeahhhhh. Visit the mercedesbenz summer event or shop online at participating dealers. Get 0 apr financing up to 36 months on select new and certified preowned models. Welcome back, every one. Here is your cnbc news update at this hour. In new jersey, huge lines that stretch for blocks as that states Motorcycle Commission reopened its offices today in newark, police were called in to help deal with a crowd of hundreds and they were told to disperse when one Office Closed after hitting capacity new details from mary trumps tell all book on her family the New York Times reports it includes an acquisition that President Trump tweeted on his college strans test by paying someone to take it for him in richmond, virginia, another confederate statue has been removed. The monument was to general jeb stewart but its the third major statue to be taken down in the formal capital of the confederacy. Bill, back to you. Thank you. See you later. Lets get you caught up on the market mixed day. Down day for the dow and s p but nasdaq has been trying to hang in there with a gain its turned negative in the last few minutes. The likes of the apples and the amazons and some of the other big tech giants have been hitting all time highs again today. His business is now down more than 50 year on year. With the surge in cases the past two weeks, he has seen demand driep dry up and the people disappear. Welcome back talk to us as many people are going, you dont oerpts in just one state. You have city by city and state by state patch work of decisions that is causing all of these haw headaches. Whats the right answer here in. I think its some point the federal government has got to take it away from the states and youve got to have clarity this is so hard on businesses. Its so hard on our employees. Just like yesterday, were told today that were closed in all the san diego restaurants and all of Southern California we lose another 12 restaurants you already brought in your big orders in for the week you already have the food. You cant send it back they dont give us a 24, 48 hour its all the counties. We cant even oerpperate when we went back to 50 , if your county had this percentage of cases, youre fine. At some point we have to take all the politics out of it and the federal government with all the experts because every state, every city has their experts and we know about the practice of medicine lets get all the best in one room and lets come up with a plan for the United States of america. We asked them to get off of unemployment they get to come to work for three days and theyre off again. It