Transcripts For CNBC Power Lunch 20240712

Government the talks right now on ice and well hear what leadership from both sides of the aisle is saying without that stimulus money, major cities in the United States are kind of stuck between a rock and a hard place and a new report lays out how bad things could get power lunch starts right now it does welcome the power lunch. Tech continues power ahead with the nasdaq leading the way near its record high which it hit on august 7th one tech stock not joining the party. That would be cisco having its worst day since 2011 even though the s p isnt there yet, its pretty close but not there yet. Check out the names hitting record highs tyler, back to you the stimulus stalemate in washington continues today threatening to further delay payments to struggling americans and failing to provide much of a boost to the u. S. Economy. Lots of big names on cnbc talking about the issue today. Lets go to eamon for more. Reporter its a total stand still. While theres not a lot of real negotiations going on, theres a lot of rhetoric and it took place on cnbc earlier in the day. Lets start with kevin brady the congress and the economic adviser who are both on cnbc earlier today laying out the republican and white house perspectives on whats going on here you get a sense listening to them of just how far apart the two sides really are here they are. Theyre asking too much money. 3. 5 trillion. We already spent over 3 trillion so much of the democratic asks are really liberal left wish lists. We dont want. Voting rights and aids to aliens and to forso forth thats not our game. The president cant accept that. I would start over. Rather than start over and stuff spending into that, what do we really need . Reporter kevin brady saying there he would start over in these negotiations that gives you a sense of just where we are basically, nowhere in terms of putting together a deal. The democrats are at 3. 4 trillion in their proposal the republicans are somewhere around 1 trillion and the two sides cant seem to meet in the middle jack lui was on cnbc today explaining why he thinks the stalemate is so dangerous. I have to tell you that were at a moment of crisis and the stalemate is playing with fire as jim said in your last half hour, we learned in the Great Recession that if you dont continue to respond forcefully in a crisis you pay the price in terms of lower Economic Growth and more pay reporter no indication here of whether both sides will be able to get to a deal here or whether they simply throw up their hands and say we will take this to the voters in november and let them decide. Does the falling number of jobless claims, now below a million, which is nothing to crow about, does that take any of the pressure off the congressional negotiators to strike a deal . Reporter i think it does if you can paint a picture saying things are Getting Better we dont need to rush so fast. We dont need to be so intense in our efforts, sure the other factors are out there affecting americans in terms of their daily lives. The school year restarting at the end of this month and so many students not able to go back to school that hamstrings parents who are trying to work from home or get out to work and they dont know what to do with their kids i would say the College Football system falling apart adds a social element to this as American Society so used to the rhythms of fall, were realizing e ining that school a football are not coming back in the way we think they are. I think that adds to the level of anxiety in society that this problem is not being solved. I think that does put some pressure on negotiators. The question is whether those things trump the Political Considerations that both sides are weighing here in washington. All right thanks very much despite no stimulus deal in sight, stocks are still near record highs our next guest is shifting away from the high flyers on the phone is russ koessterich. Russ, always good to hear your voice. Why moving away from tech. Has it gotten away from you, so to speak were trimming it a bit we remain overweight i think the goal right now is to think about you do have an improving economy. As you just discussed, its not out of the woods but we are seeing improvement and are the parts of the market whether here, in europe that are more geared to that expansion where you get a bit more leverage in places like transports, capital goods. Some of the Higher Quality names in industries and those are places were seeing opportunities, its a margin were trimming a bit some of the growth this would be a move into classic Economic Cycle tied cyclicals . I think thats fair were really still emphasizing quality. Were thinking about the companies that are profitable and have earning consistency, manageable debt were not chasing some of the more speck speculative plays. What are your allocations around the globe and where are you seeing the best opportunities right now . Were still very overweight in the u. S if you look at our global allocation, it hasnt changed that dramatically since before the crisis we still have a significant overweight to the u. S. Where you see the best companies, the best Growth Prospects we still have a modest overweight to companies in and around china the one place thats shifted and goes to the theme of a little more cyclical exposure is europe we were fairly flat. A lot of the same types of companies that spoke about in the u. S. Machinery, industrial companies. Europe has done a reasonably good job of managing the virus as well. Those are three reasons weve been adding a bit to europe. We dont know what the affect of president trumps executive orders last weekend will ultimately have, how much of the capital will get allocated and to where, how quickly and so forth. We dont know what might come out of the fiscal side of things the one thing we do know is that the fed is going to be buying a lot of stuff and thats going to backstop stocks one way or another. Youre exactly right. The fed will be buying a lot of stuff. Its not just the fed. Its the European Central bank and the bank of japan and one of the factors that is backstopping this market is this wall of liquidity. You can park your money in cash. You ask generate a 6. 5 return thats a fantasty today. Part of what investors have to think about is where can they generate a reasonable return given an environment where the policy rate is zero. Shares of im sorry that was yours to take away. Im so used to doing the exchange where theres nobody else simmer down i got this shares of vroom are falling nearly 20 they are still up huge since june ipo predicting a bigger than expected loss. Well show you back to beginning of march why are we showing you the beginning of march the pandemic was picking up momentum businesses were shutting down or not going to be open to the Public People said nobody will buy cars the big three said were shutting down production that was the bank that said to investor buy into the auto de dealer stocks because it will be limited quantity of new vehicles it will be a market that will take off and boy have these markets taken off. Three things have contributed to the auto dealer stocks. They have gradually been expanding and as they have expanded, their revenues and profits have been growing as well the average auto dealership right now, about 17. 5 million thatincludes the underlying real estate and it depends on the location, the brands youll be selling and also the carvana trade continues to be red hot. This is an online trade that has really worked well in terms of online sales of automobiles. Bottom line is a lot of people when they focus on the auto industry, they only focus on the auto manufacturers you have to look at the auto dealers now. Does that benefit some of the other names like auto zone thats one we have seen in the analyst notes thats benefits because people are keeping their older cars they need to buy parts to service the cars and people are taking more road trips this summer because not a lot of people want the fly. Right they are putting more miles on the vehicle in that regard they are taking care of them thinking i may have to hold onto this vehicle longer than expected vehicles are getting older were at a record age in terms of the average vehicle on the road thank you coming up, while the s p nears record highs, the number of countries around the world are also near their all time highs. Weve got those details plus u. S. Cities from coast to coast on the brink as money runs out as stimulus talks are at a stalemate. The new report from the National League of cities lays out how bad things could get more power lunch right after this break 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. Welcome back new york city and san francisco, the homes of wall street and Silicon Valley both getting hard by the fall out of the pandemic. Lets start with robert frank on the hit to new york City Real Estate hi, robert the number of new leases in manhattan falling 23 over the last year. Rent is falling by 10 that was the largest decline in history. The most troubling sign for the nations largest rental market is the number of empty apartments there are now 13,000 apartments listed for rent in manhattan thats an all time high and more than double last years total. This especially bad news for new york since july and august are usually the strongest month for rentals as families prepare to go to school its still expensive in manhattan. The average one bedroom rents for 3500 a month. With so many people leaving the city, landlords are offering 1. 7 months of free rent just to get tenants. About half of all apartments in manhattan are owned by Small Business owners. Without the rent, they may be unable to pay their workers and property taxes and since property taxes in new york are the largest source of revenue, these rental declines could start to affect services which could affect the attractiveness of new york and lead to even fewer rentals. Its a bit of a spiral right now. Thats interesting. Robert, i would imagine that more of these Small Business owners, especially if you have fewer tenants it becomes harder to pay your mortgage pay your mortgage and theres some forbearance there the big issue is on the city revenues and the work force and the entire economy in new york that is built on real estate its sale, rentals, management it really probably is the first or second most important city. Financially for a city thats facing a 10 billion deficit, this is getting to be a problem. I have to wonder, is this something you expect to be perhaps short term or is this something that might be long term i know a lot of friends in the city talking about leaving and they have no plans on returning. Initially every one thought this was temporary maybe for the spring and maybe the summer now more and more people are putting their kids in school in the hamptons and connecticut and the hudson valley. About a half Million People left what you asked is the big question how many of those 400,000 people will return to new york city and we just dont know yet all right thank you. Another thing that new york city is facing a fall off in tourism both doe messiahmestic d foreign. San francisco is grappling with the same thing the numbers are just staggering tourism is san franciscos top industry sf travel is projecting the city will lose nearly 11 billion in pandemic related losses to local tourism and says that sf tourism will not fully recover until 2025 the Market Organization says the number of visitors this year will be cut in half from about 26 million last year to about 13 million this year. Visitor spending projected to be slashed by 70 down to 6. 5 billion from 13. 5 billion last year driving those losses, 40 conventions have been cancelled this year and next in the city those estimated losses are about 700 million googles next force are among some of the cancels events sf travel says Convention Room night booked are down 90 from a record high of more than one million last year. The head of sf travel says its the biggest decline we have seen in the history of modern travel and tourism, of course, in san francisco. 300,000 employees in the bay area travel sector have been laid off or furloughed back the yo you guys thank you very much fleeing residents and weak tourism arent the only issues facing cities. Severe service cuts, extensive layoffs, furloughs and roll backs all increasing and according to a new report from the National League of cities, nearly 90 will be less likely to meet fiscal needs in 2021 here is the discuss is the chief economist at moodys who helped to work on this report we know cities used their sources of tax revenues to create their budgets what sources are most likely to be the hardest hit sale s tac s tac s taxes. All those tourists that arent coming to cities income tax people are working less hours and suffering pay cuts that means less income tax revenue. The one thing that is holding up at the moment is property tax. Thats tied to the price for homes and commercial real estate values that will take a bit of time to work through it will. The prices will come down and that will hit property tax revenue but thats something for another day. Right now its about sales and income tax does it seem like there hasnt been a ton of reporting on this issue. Maybe its because as you point out it hasnt been impacted or felt just yet. What might we start to see trickle down as far as services that might be cut off or that sort of thing . How might this affect people at home it already is state, gotvernment have laid off 1. 3 million workers. Its teachers, fire police, emergency responders, hospital workers. People will feel that when they need the services and that help. Then, were going to see other Services Start to get cut back everything from trash service to sewer, water and those things that government does for us that we take for granted until we lose it. When we lose it, we really feel it because these are necessary things theyre not luxuries these are things we need to just live or daily lives. Mark, because everything revolves around new york city in a new yorkers mind. How long will it take for new york to come back to where it was . I think this is a game changer for new york i think its going to be diminished i think new york is a world class vibrant city always will do well. Its going to do less well 5, 10, 15 years from now as a result of all of this. I think a lot does depend on how we approach globalization. New york is a global city. Relies on global trade, immigration, foreign investment. Governments have been trying to protect their populations from virus. A lot depends on getting those walls down again and getting trade back up, tourism, travel all those things that make new york great future policy makers work hard to engage with the rest of the world. New york will be okay. Theres a lot of head winds here are there certain areas that stand to benefit the worst or benefit the most or we just heard you say new york city but robert mentioned that people are moving to connecticut and moving to the hamptons. Might some municipalities benefit from this . In the long run it will be a lot of juggling around, shifting around work from home is real its a fundamental shift i know many others wont either. That will have lots of imp implicatio implications its a process its not going to be a Game Changing event its not like the whole world is changing there will be some parts of the country that do benefit from this and some parts of the country that dont urbanized area, big urban centers are more at risk other parts of the country where costs are lower and living is easier, theres not as much traffic and commute times. Schools are good it will be an interesting thing to watch thank you, mark. Appreciate you being with us today. As we look at the dow at its session low, the s p is hesitating right below its all time high. Energy and real estate and financials those are key sectors under pressure only one sector is in the green. Well hear from the ceo of fazolis after this break. Its a fast casual Italian Restaurant thats reshaped its Business Model amid the coronavirus pandemic he will explain how enwh power lunch continues after this break. Welcome back to power lunch. The s p 500 less than 1 from records. Its not just the u. S. In the race south korea, japan, china and germany all marching their way back to 52week highs to discuss whether theres better opportunity beyond our borders lets bring in the trading nation team. Nancy, were looking at the s p 500 trading at 23 times earnings you could argue that valuation wise the u. S. Market is starting to look a little bit more expensive. Would you start to look for opportunity outside the u. S. Markets like germany, south korea and china . Yes absolutely theres been a lot of head fakes on tglobal market. My partner took a position at the end of june in china though its run up about 18, 19 since then, he owns the local a shares were still very optimistic about china as a trade Going Forward. Youve got the leadership is supporting tariff targeted companies with lower vats. Banking system is no longer being used to prop up stocks youve got a new economic plan lastly, it was first open and demand for the rest of the world. We think theres a lot of room to go in china an interesting correlation between the weaker and the weaker out performance in certain global equities, where would you put your money to work in. I agree with with nancy we originally warmed up to south korea for several reasons. One as you just mentioned. The weakening u. S. Dollar has translated nicely into korean one strength you also mentioned earlier valuation. We have the s p at 23 times. South korea has been one of the better countries in terms of their handling of covid. The most reason we like south korea is the fact the chart is breaking out to multiyear highs. For the south korean etfs, the next level of resistance is 13 higher theres plenty of room to run. Finally, the fakt thct the rela line of south korea versus United States has reversed longer trend to down trend thanks for joining me today thank you ahead, adopting to the new normal this fast casual italian chain is shifting to drive through service as the Pandemic Forces more reopening roll backs. Well speak to the ceo racial and gender diversity are key issues in Corporate America right now but how are Companies Working to close the gap . Well explain. With markets record highs, what should you buy . Well be right back. You say the 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 400 off when you preorder the new Samsung Galaxy note20 ultra 5g. Rhode island voters will able to cast mail in ballots its the first time the Supreme Court has ruled for a pandemic related v related voter relief measure the all male military draft has been found to be constitutional by a federal appeals court. The u. S. Is barring private charter flights to cuba in an effort to admit tourism. Only authorized flights will be allowed to continue. The suspension goes into effect on october 13th. Thats the birthday of the late cuban leader thats the cnbc update for this hour back to you. Thank you. Lets take a look at the markets now. The dow is down more than 100 points closer to 107 points the s p lower. Retreating from those record lowers, the nasdaq hanging onto gains there. Lets turn it over to the oil market thats closing for the day let geese to lets go to dom chew oil prices are lower on the day with wti crude prices 42. 25 thats 1 decline there. World benchmark brent crude futures. The International Energy agency lowered its forecast for Global Oil Demand citing travel restrictions around the world linked to air travel Oil Consumption is expected to fall by 8. 1 Million Barrels a day. This follows opec lowering its forecast as well the next data point for a lot of traders will be the baker hughes active oil and gas rig counts out tomorrow restaurants facing a lot of challenges now as the result of the pandemic in some cities theres still no Indoor Dining allowed. Many states, like connecticut have limited dining capacity to 25 from 50 our next guest runs a fast casual chain based in kentucky called fizolis. They have 228 locations in 28 states their recipe for success has been shifting to drive through carl howard is the ceo mr. Howard, welcome. Good to have you with us thanks for having me on i think the greatst thing that caught my eye in my reference notes about your company is while people wait in their cars for their drive through orders to be fulfilled, you hand out complimentary bread sticks thats genius. Thank you so much our bread sticks are the g. O. A. T. We put people out in the drive through. It was surprising and a really good move. It worked out well for us. Talk to me about how your business mix has changed from dine in, carry out to drive through. How much bigger a proportion is driver through today than it was six, seven months ago. It was about 35 and its moved up to 60 . We have seen a spike in delivery we put and shifted a lot of our sales to off premise whether its drooi throuive through, cue delive delivery its a significant part of our business its over 75 of our business now. Are most people doing drive through, are they ordering on site or preordering by app and coming to pick up which is another way which is really carry out . We have pretty much every known possible way a consumer can order our product. They can order ahead on their mobile app, pull in their curb side and well run it out to them they can note on their app they will go through the drive through and pick it up that way. Majority of our people, they still come through the drive through, place the order we also have added a person outside with an ordering tablet so were going back five cars deeper than we used to keeping the consumer in the line what is the average ticket price and has it gone up or down our average price is about 7. 50. Its went down by about 8 ill tell you why. We have been promoting extreme value. I think its one of the three keys to really survival and thriving in the market we created items like the 19. 99 super family meal. We have taken off and the branch exploded how many people does the super family meal feed it can feed four twice day. A whole pizza, two buckets of pasta. Alfredo, 16 bread stick, a gallon of tea. Its a lot of food for 19. 99, ive received so many viral reach outs on facebook and linkedin and thanking me because its able to feed their family twice in one day its a lot of people on a tight budget we will be right over definitely great bread sticks i do wonder with you increasing the value options which is working quite well, you also had to spend a bit on sanitation stations and making sure you can run them safely. How are you balancing out the cost of increase expenses with meeting the demand right now were higher in labor costs whether its sanitation, masks andceeding any of those costs through our traffic. We have been up double digit traffic for the last 12 weeks. We are serving the consumer and its offsetting those costs. Our ebitda has been up about 30 . Thats helped us overcome that it wasnt for the traffic, it would be a real opportunity. I do wonder, you said for your locations that didnt have drive through locations, you had to close them. Correct me if im wrong, if someone is at home and they are a Restaurant Owner and dont have that option of installing a drive through, what might some other alternatives be to try to keep their business alive. You really have to focus on convenience and having a drive through or some type of curb side pick up, its really important. If theyre not offering curb side service, that would be something i would do you have to provide every known way for the consumer to order your product and every known way to receive your product. Have you had any trouble finding workers . Yeah. Especially at the beginning. When you think about the 600 a month weekly federal benefit looks like we lost the feed there with carl howard i think he was answering the obviously the 600 Employment Benefit was in some ways an impediment to hiring workers we thank mr. Howard for joining us today tyler, any time you want to go half on those bread sticks, apparently the g. O. A. T im there. We all know on some more serious issues about the gender pay gap but its more dramatic for women of color black women are 62 cents for every dollar earned by a white man. There are signs of progress. Stick around power lunch will be right back with that. Businesses are starting to bounce back. But what if you could do better than that . Like adapt. Discover. Deliver. In new ways. To new customers. What if you could come back stronger . Faster. Better. At comcast business, we want to help you not just bounce back. But bounce forward. Thats why were helping you stay ahead and adapt with a network you can count on, 24 7 support and Flexible Solutions that work wherever you are. Call or go online today. 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. Its totally not the same without you. Were finally back and cant wait until you are too. Universal orlando resort. Buy now and get two days free at the parks. Restrictions apply. We have a news alert on uber and lyft a california judge has rejected uber and lyft request for longer stay of that preliminary injunction we reported on at the start of the week within just a week now the Ride Sharing Companies either have to turn their drivers who are currently independent contractor into full employees with the benefits an protections that go along with that or risk further legal actions against them we have heard from both uber and lyft they have said they would it was a real possibility they would shut down their apps entirely then move forward with making over 100,000 drivers employees. We get a step closer to that Inflection Point however, i should note that they can still appeal that can happen very quickly and the stay could be extended due to what happens there. Whats your betting on whether they might, indeed, shut down for a time . Tyler, its a good question look at how uner hber has been operated he came in tried to play nice guy with regulators. That hasnt worked i dont think they will bluffing they could really shut down the apps show california legislatures what that means if they are pushed to it which means every one loses. Life without uber and lyft inconceivabl inconceivable. Thanks today is black womens equal payday that means that for black women to earn as much as a white woman did, she would have to work all of 2019 and the first seven and a half months of this year well, Companies Like to talk about diversity and inclusion. The numbers are still pretty weak especially for black women. Currently, the average woman earns 79 cents earned for every dollar by a white man. For black women the pay gap is greater. They make 62 cents for every dollar earned by white men it starts at the board level we decided to take a look president black woman account for 3 of Board Directors at the top s p 500 companies. Over the last five years, representation has only improved 1 percentage points. We took two industries as a sample banks and technology here is what we found. Jpmorgan, citigroup and wells fargo have a black woman on their board. Bank of america and Goldman Sachs do not boa and goldman have diverse boards apple and microsoft have zero. Companies in the dow have black women hold 16 of the 345 board seats according to our recording and facts data coke, chevron and United Health care are notable stand outs with two female blackBoard Directors each Many Companies though from walgreens to travelers, to m mcdonalds have none boards are interested in adding black men and women according to executive search firms we talked to board level diversify is so key. John rogers who is on the board of nike and mcdonalds has said. The board is the real boss directors can hold management accountable to live up to closing the gap on equal pay and hiring during this moment of change make sure they are held accountable for these promises they are making right now in this environment its a really good story and very interesting story in light of everything thats happening to put a fine point on what you already reported its even worse in certain states. Aye seen reporting in louisiana it exchanges to 48 cents for every dollar its really interesting to see the boor changes that are happening. That will take time to trickle down for workers, what recourse do you have what should you do to stand up for yourself i think there is big push to have more transparency and have companies. Citigroup has put out numbers showing the break down by diversity and what people make so they can be held more accountable. The reason we keep coming back to boards is because they are in charge they cannot just hold companies accountable, they can put ceos in this place. There are zero female black ceos in the s p 500 only three black ceos. All three are history, there in two in the history of the s p 500, two black women ceos. So thats why i really say it starts with the top and then can trickle down clearly, it has to happen on every single level of the employment process definitely. The lack of numbers speaks volumes. Coming up in power movers, one big bet on gambling is turning into a big payout for investors. The s p 500 is down. 3 . Were watching that level. 3393 is the all time high. Doesnt look like were going to make it today. As the s p 500 has been flagging just a bit stay with us to the bond market we go Rick Santelli . What a wild day its been look at the intraday chart you see the big pop at 1 00 eastern. That was ha really horrible yiel auction. Do they want to go up . I do want to buy it here thats what you see. Were up three or four basis points were giving up a little as stocks give up a little. Make it a month to date chart, can you see the last time we were up here, its about two months if you look at the tens minus two spread, its at 55 basis points the banks are really liking that and as you look at that month to date, shifted back to june 1st because its a two month high trading at 55 basis points tyler . Mr. Santelli, thank you very much with the s p 500 inching closer to record highs though not at this very moment, investors are rotating out of technology and into value stocks. Our own steve grasso will join us to share three stocks to buy that are near all time highs including one chip name he says you should have in your portfolio. Please dont forget. You can always watch or listen to us live on the go on the cnbc app. Will we brit cklle ghba when the world gets complicated, a lot goes through your mind. How long will this last . Am i prepared for this . Are we prepared for this . With fidelity wealth management, your dedicated adviser can give you straightforward advice and tailored recommendations, with access to taxsmart Investment Strategies designed to help you keep more of what youve earned so youll know youre doing what you can for your family and your future. Thats the clarity you get with fidelity wealth management. As the markets brace for a record high on the s p 500, what can you still buy at these levels if you missed the rally joining us now is steve grasso, the managing director of institutional trading at Stewart Frankel and a fast money trader. Thank you for being with us. Hey, how are you . I love your mask there. Quha are you putting your name in yes, im in value names i think you have to have a balance in your portfolio. I own apple will forever i owned microsoft for a long time you might want to take some chips off the table and rotate into value plays which is what i did. And today were going to talk about a couple of different names where you still want to own growth but you want to sprinkle in some value as well speaking of chips, whats your first move . So nvidia is a favorite of mine for years this is a name that is really specific to where all the growth is right now specifically with shelter in it place, weve seen gaming stocks just explode to the upside this one 50 of their gpu space or sector is derived from revenues from gaming then you have the basically the data centers are 25 all the other sexy things that people want to be in, artificial intelligence, driverless cars, internet of things, this is where this Company Thrives Raymond James put a price target on the stock of 500, moving it up from 370 you have nice room for profitability still Going Forward there. I think earlier this week it was bank of america that raised the price target to 520 and reiterated a buy yeah. They keep chasing each other there. Dont know who the street high is i thought it was around the 500 level, the more you get the price targets raised, the more people chase the numbers eventually for the most part things get to where those price targets are. The. Okay. Lets get through the next two quickly. What is your second pick sure so Home Builders think about it this way. With everyone with shelter in if place, people are looking for residences outside of city centers. Home builders have been on fire. Whats the major head wind to Home Builders though lack of supply d. R. Horton is a spec builder. They build without a buyer in mind so they have supply where others dont. I would buy them at all time highs rather than go to something that is weak the other play is united rentals. T it gives you flexibility with starts and stops of economy where you can rent the equipment instead of purchasing it all right thank you. Nvidia, d. R. Horton and united rental tyler, back to you all right its been a pleasure spending the hour with you. Ill see you again tomorrow. The Dow Jones Industrial average sliding just a bit here. Now down about 160 points. I cant see anymore. You have to guess. Theyll tell you on closing bell as power lunch says goodbye for now see you tomorrow thank you welcome to closing bell, everyone im sara eisen with wilfred frost. A choppy session lets look at what is driving the action initial jobless claims coming in under one million for First Time Since march. Were still way above prepandemic records. Another official cause of a stalemate, no movement in washington and another stimulus bill and relief for the millions of unemployed still not much movement