Better than 1 move for the dow. Nasdaq record highs. Big tech taking a bit of a break. You see facebookdown as well as amazon amazon, netflix and microsoft lower. If its tuesday, it must be tilman frittia calling on americas governors to show some real leadership and tell us where the goal posts are on reopening. Power lunch starts right now tyler, thanks. Its Energy Leading the way today. On track for its best day since june 5th it might not matter as much as it used. Bob has more technology stocks, 27 of the s p 500. That doesnt include google which is really a tech company or amazon which is a consumer discretionary. All together top Six Companies are 25 of the s p 500 just about. Its approaching that. Its crazy the rest of the sectors are shrinking. Let me show you what the sectors are today. Energy is only 3 of the s p 500. Now it used to be 5 a few years ago but financials have shrunken dramatically for example, it was 15 of the s p just five years ago. Industrials were 10 now its down to 8 materials were 3 to 4 tech keeps growing and Everything Else keeps shrinking. Thats a bit of a concern for the people who want some kind of diversification in the market. They are taking a day where they are selling some tech names and using them as sources of funds to buy other things. Energy with oil over 42 banks are up even though they have been quite choppy industrials modest to the upside dont kid yourself todays rally many the energy stocks, long term stocks jumping today. We had some nice jump in prices on tuesday lets not kid ourselves. Look at whats been going on year to date many of them down 30, 40, even 50 or more. Remember the downturn started in 2015 bank stocks also down 30, 40 or 50 . Just make it a point about diversification in the market. Guys, back to you. All right thank you very much. With technology mostly driving the market gains recently. Should investors be worried about how dependent the market is valerie grant is Senior Vice PresidentPortfolio Manager at Alliance Bernstein and mark lehman is in securities. Lets start with you valerie, are you concerned that there is narrowness in the market leadership, technology making up a huge percentage of the s p 500 and an awful lot of the gains in the s p 500 are attributable to handful of those companies right im not particularly concerned about the concentration in terms of whats driving the market upwards. What people have to understand is that Technology Companies really create the foundation of our economy right now. Some of the classifications can be a bit misleading. While we think about financials, perhaps as being a smaller portion of the market, there are some Financial Services companies that are actually cat g categorized within i. T. Services five stocks constitute 23 of the market value and for which a lot of the gains can be attributed were you or not . Amazon touches every part of our lives. You look at venmo or square cash and look what they doing those are categorized as tech stocks but they are financials i remember jamie dimon saying venmo is one of the things they missed i agree the cat gorizations are tough. You have five companies that are huge part of the market this year that is worrisome any time you have that. The minute that foot is off the accelerator well see losses in the market that are out size like we seen the out size gains. The vix is going closer to 20 than 30. Valley, i take your point that technology is not a monolithic sector at all your stock picks in that sector are testament to that. They are alphabet, paypay and the Semiconductor Manufacturing company asml tell me why you like those above all. Its important, as you mentioned to stay well diversified even within Technology Three of our Core Holdings are the ones that you mentioned. Paypal, ill pick up where i left off there this has been aphenomenal company in terms of its role in enabling payments for consumers as well as merchants the thing that we like about it in addition to the growth characteristic is that it really does well on Corporate Governance we concluded they really are best in class. That makes a tremendous difference in times like these when people are focused on covid19, calls for racial equality i think paypal was able to step forward and play a leadership role in committing half a billion dollars to black and other minority owned businesses and other companies within Silicon Valley followed suit asml, we can pivot there to Semiconductor Manufacturing. They have fantastic technology which enables you to put very, very small and intricate designs on very small chips. Im simplifying something complex. Thats the Value Proposition they offer what we found is they are committed to using Renewable Energy sources they committed to zero Carbon Emissions by 2025. They have already increased their use of renewable electricity from 70 in 2017 to 97 in 2019. This is the company we like for a lot of reasons both esg and fundamentals those esg things, you and i talked about on air on prior occasions. Let me turn back do you, mark. Its obvious they are not paying you enough looks like you are jp securities there. Theres nobody else there, mark. Theres nobody there yes i think manning the fort clearly underpaid you like facebook which im not sure would, in terms of governance that valerie would applaud but you like facebook, amazon and docusign, why those three . Its hard to call it laggard. Its lagging as it relates to the megacaps we talked about i think well have a lot more eyeballs and the advertisers on facebook and they have some work to do. Mark zuckerberg is some of the advertisers thats been well documented the pace of thosebated a bit going into an election cycle, they will have a good second half amazon we dont need to discuss. Docusign is a good example. Were doing everything over here im sure everybody is doing it thats what people are doing all right mark, thank you very much. Keep manning the fort there. Kelly. Investors are anxiously awaiting the next round of stimulus out of washington as democratic nominee joe biden unveils more details about his economic plan. Kayla has more for us. Kelly, at this hour the treasury secretary Stephen Mnuchin and chief of staff are in the process of wrapping up a luncheon with all republican senators where they are trying to present so far. It could include about 105 billion for schools. Direct checks. Incentives for large and Small Businesses retain testing. The white house is still pushing for a payroll tax holiday. That remains unpopular on Capitol Hill SenateMajority Leader Mitch Mcconnell on the senate floor said the u. S. Economy doesnt need the cares act but its not ready to go back normal. Our country is in a complex middle ground between those two things we cant go back to april. We cant snap our fingers and finish the vaccine overnight we need to carve out a new normal reporter democrats also support stimulusr cast castle, delaware talking about this plan. It would be paid for by increangmoving other tax loopholes. Tyler and kelly. Whats the time line on this . When do they hope to get it done reporter well, it depends on how soon they can reach a deal we have about two to three weeks between now and the end of this work period for members of congress, but many of these programs, expanded Unemployment Benefits run out this friday they are definitely racing the clock and it at least a week or so, i would say, in washington time frame we saw with the cares act they were able to move at breakneck speed coming up, kmcheck out that stunning move. Technology, as we mentioned lagging a bit there in the red the only one of the 11 this is tvs fall line up could be at risk with production ill mostly shut down but live sports coul music anncr give customers access to precisely what they want, when they need it the most. With adyen, the payments platform that delivers convenience for all. Adyen. Business. Not boundaries. Welcome back the traditional media stocks have struggled this career production of the fall tv line up has been put on ice due to the pandemic streamers have seen record subscription growth. Sports could bring record live tv ratings for these beaten down media tv companies lets bring in laura martin. Shes managing director at needham and company. Its good to have you back listen, we all hope youre right. Theres a lot of difference in the experience of the game just because people are krai craving competition, unscripted. People are really tired of reruns we dont think movie cinemas will open in the second half nor will there be tv production that will allow new content i think people will get sick of looking at this Library Product on netflix and hulu. It will be refreshing to have 7 proleagues will be competing which is a lot. Youre right who do you think, which sports do you expect to be most popular. Which companies will benefit the most as a result the largest the nfl 16 billion a year which eight billion is media rights. When you look at disney and viacom and fox by far their biggest payments come to the nfl and it starts on august 13th with the two new york teams i think that could be a really big driver of people reconnecting to the tv eco system just because its going to start dominating the headlines all these match ups and games and i think that will on board a bunch of people into the tv eco system that were lapsed because theres no live sports on are now looking for something new that isnt news we were talking about video games and the incredible numbers. The demand and so forts. I do just wonder if theres a whole generation that grew up watching, playing video games thats not as interested in watching live sports think about nascar hit by the financial crisis and literally never recovered. They saw a bit of a bump but not much who is to say the nfl, the other major sports leagues arent going to go the same way whats so say there will be this permanent level of societal interest theres too much money at stake. Theres 47 billion of direct revenue that go to these sports. 46 of value and just roll over and play dead. No way nearly every league, the players share between 47 of total net revenue. These players arent going to let that happen. These are competitive people they will try to on board those young men playing video games too. Im hungry for sports to come back ill watch a game. No fans. Lots of fans i know kelly is a sports fans. Wants it coming back too i wonder whether well get into a situation where we go from a dirts of Sports Products to a glove. This will be the First Time Ever when the nhl, nba, mlb, major league soccer, the nfl will be competing for mind share and eyeballs at the same time. Totally great point i love it. Once you subscribe, because you want to watch your core product like lets say youre an mls fan. Its easy to turn the channel and start dabbling in nascar which is starting or the nba which is starting. These things are seasoned. You could sort of subscribe for a certain number of weeks or months for the season and you stopwatching now its going to be super easy to sample all these competitive game set which is will be better for the sports in the end. Its great do have you. Thank you so much. We hope youre right ty still ahead, the airlines most lly higher today. The stock is down 50 . The traders will tell you what to watch a new report says onethird of new york city Small Businesses could shutdown because of the coronavirus tilman is here with a message for governor cmo reow lchs xtuo [narrator] this is kate. Hey. [narrator] she takes two prescriptions. Kates son jack, takes one too. Kate works hard, and thought she had good insurance. But she still pays too much. Thats no good. So kate downloaded the goodrx app. Now she can compare prescription prices, to find the best discounts. She even beats her insurance price. Good for you kate, good for you. Goodrx, stop paying too much for your prescriptions. Download the free app today. Welcome back, everybody. We have some breaking news out of washington. Reporter the Senate Banking committee has voted on party line 1312 to advance the nomination of judy shelton to serve on the Federal Reserve board. Shes a controversial pick by President Trump more than a year ago because she advocated a return to the Gold Standard and criticized the Federal Reserves action and faced tough questions from the committee in recent months over whether she truly believe the Federal Reserve should remain an independent regulator. She has provided questions in writing according to the Senate Banking chair that she does believer in the feds independence she does not advocate for a return to the Gold Standard and won the support of the committee and will advance to a full senate vote. That is judy shelton, the nominee to the Federal Reserve thank you very much now we go to seema mody. United airlines reporting earnings at the bell that will provide a fresh look at how the industry is fairing when air travel is softening as covid cases spike in some parts of the United States the trading nation team today is scott gordon bori, i know youre not fan of the airlines but is there something unite could say after the bell that would perhaps make you bit more optimistic . I dont think so. They are trying the best they can. Theyve had a big bump return back in passenger models but at this point, if you think about the Airline Business, 10 of travel is Business Travel. Those have to travel are opting for fractional jets and other ways to transit because they are afraid of covid. What youre left with is the lowest common denominator. Ais the whole Airline Business is going for the Spirit Airlines quality momentum given where you have to chase the lowest common denominator. Southwest which never really has to rely on that Business Travel or paycheck. I just cant see how they can make up in volume what they are losing in profit margin going forward. Its a tough road ahead todd, youre taking broader approach what did you find . Were avoiding this space they have high fixed costs very little pricing power. Boris mentioned jet blue we think delta is best in class. We do expect bankruptcies across the industry from covid. The work at home, stay at home environment will only exacerbate that were struggleto hold that 15 dwlr support after the short kweez up to 22 jets or airlines are moving lower at a faster rate than the s p. They are scrambling to cut costs. They are likely to continue to burn through a significant amount of cash until this demand picks back up. Warren buffet sold his entire position in u. S. Airlines. For now were staying away got it. Thank you. For more trading nation head to our website. Back to you. Thank you. Up next, its power lunchs weekly special tilman tuesday he has some choice words for state and cities putting restaurant openings on hold. He joins us next come on in, were open. All we do is hand you the bag. Simple. Done. We adapt and we change. You know, you just figure it out. Weve just been finding a way to keep on pushing. New jersey and connecticut have added another ten states to their quarantine list. They also took off minnesota new additions include indiana, virginia and washington. There are now 31 states on the quarantine list. Representative alexandria ocasiocortez says that House Republican ted yoho hurled verbal insults at her on the steps of the capitol she says he called her a quote he did not call her any names. Texas republican Roger Williams was present but said he wasnt paying attention to the exchange he says that williams also insulted her youre up to date. Thats the neez ws update. Theres a reason for quotes. Thank you with our news update lets check on the markets now. The dow has been the strongest all day. Its up 1 the its up about twothirds and the nasdaq is trying to turn positive. It was down about a percent earlier but only down a couple of points now. The oil market is closing up for the day. Energy has been the strongest sector oil is settling in positive territory today. Wti setting up 2. 3 . Closer to 2. 5 for brent optimism over reopening especially in other countries has helped prospects for demand. The eu 750 billion dollar euro stimulus package is helping. Aid could spur fuel demand and spending thats it. Its been a tough few weeks for oil. The last three day winning or losing streak was a month ago. Well have to see if the gains are here to stay wti closing at its highest levels back to you. Its tuesday its about 2 30. 2 32 in the east you know what time it is its tilman tuesday time business has levelled off at down 50 in california by 60 and in new york, now down 70 where Outdoor Dining is less available welcome back in the notes you take issue. I have to say i have some sympathy with you here with the idea that politicians in new york, probably in new jersey, have not been forthcoming in telling you where the goal posts are. What will it take for you to be able to reopen sounds like an easy enough thing to do. What are the metrics so that you can plan ahead we love to complain about leadership on a National Level and some state levels but nobody knows what to do everybody wants to blame d. C. Right now. Were sitting here in new york and they cant even give us the metrics and say if the pandemic o