Total request fast money copping yocop coming your way at the top of the hour tweet us all your burning questions. New guidance from the cdc on when we can expect a coronavirus vaccine. Meg terrell joins us with the developing details. This information comes in the form of a letter that dr. Robert redfield sent to governors we have confirms this letter and have a copy of it. He tells the governors that health and Human Services and the cdc are, quote, rapidly making preparations to implement large scale distributions of covid19 vaccines in the fall. He asks that as they make these preparations, that they consider waiving requirements that would prevent any facilities from becoming fully operational by november 1st my understanding of this from folks ive been talking with in the government is not that they are saying a vaccine will be ready by november 1st. Were showing you the enrollment progress in phase three trials for pfizer and moderna what that deadline really is, is to encourage states to start getting ready now. Theyre not saying absolutely we will have a vaccine to start rolling out by then. They just want to make sure the states are starting to get everything in place in order to be able to start rolling it out even if only limited quantities are available and available on an emergency use authorization basis to limited groups. Theyre not saying theres going to be a vaccine november 1st theyre just trying to put everything in place in case were lucky enough to have one in a limited way that early. It makes sense to plan ahead but at the same time the context of this is it happens the day after the nih and the fda seem to have differing viewpoints on convalescent plasma. Theres a real question about the politicization of this process for treatments as well as vaccines. Yeah. That politicization in recent days has only seemed to get worse, sort of splintering in Government Agencies over that data the fda commissioner was really criticized for how he overstated the data supporting convalescent plasma for covid19. Still they issued that emergency use authorization and days later the nih came out and said their data werent Strong Enough to support its use for covid19 i was talking with an expert in Public Health who said this is not good for shoring up Public Confidence in the government response right now. Meg tir rel has been following all of this. The fact that we are getting ready for a vaccine to be deployed, thats a good sign, i guess. Thats the way the markets took it, at least. The market interpreted it that way its good to be prepared without question but its interesting, the headline for these types of things and weve seen many of them now the last few months, always above the fold, first page, bold letters then the backtrack is typically third section below the fold, nobody pays any attention to it, at least in terms of the market. Thats probably what were setting ourselves up for now i havent believed this rally for a while and i still dont believe it quickly go back to the february highs where we made that alltime high the s p 500. I think it was 3393. The vix was trading with a 14 handle we have blown through those levels today you saw vix actually higher on the day, closing with a 26 handle. One of the rare days for karen where her long positions did really well and her protections did really well. If the airlines believed it, if the cruise lines believed it, i think, despite the move to the upside, those stocks would have been up 710 and we really didnt see it. You know, i dont know what to make of it its great news if its true, but again, label me a skeptic. Di heard the word skeptic and i immediately thought dan nathan. Listen, i mean, if this is coming from the white house, you know, we know that they lie, cheat, bully, corrupt. Everyone and everything, every institution that has been in their way, and theyre clearly doing that with these health organizations, the fda, the cdc. This is a joke no ones taking a trump vaccine any time soon, not in 2020 if the market is teeing off that sort of sentiment, that doesnt make any sense but i think going back to what guy said, the fact that you see the vix rising with the s p making new highs every day, it is telling you there is some skepticism out there i would mention, though, that to see tesla and apple sell off the way they did right out of the gates but then see the market broaden out a little bit without having all those epicenter stocks, the hardest hit names from the pandemic, you had a lot of participation today, which i think is pretty different than some of the breadth that weve been talking about its pretty weak on the day the s p made a new alltime high about two weeks ago, only 6 of the members of the index made a new high. That was something that really caught people off sides, yet we made a series of new highs were up probably 5 since then. Thats true in terms of the new highs. In terms of the sectors that have finally participated, technology was not the sector that led us to new highs in todays sessions it was industrials, financials thats all got to be a good sign and maybe a sign its time for this rotation to take hold i dont want to turn this into a political conversation, but the notion is that election day comes, trump wins and this sort of rotation will be put into motion Even Stronger than what were seeing right now, the rotation to value and cyclicals. I mean, i guess that is definitely possible. Maybe the other part of the rally that was vaccine driven was also sort of, if that were the case, a vaccine would really be available, then that would increase the likelihood that trump wins and therefore i guess the market likes that. I agree with dan and guy on the skepticism about the notion that this isnt political, but yet theyll probably be ready by early november thats just ridiculous i do think the breadth was good because some of the froth has just gotten to absurd levels then theres some value stuff that hasnt. Like the banks today, i mean, it was nice, it was a rally, but it wasnt as strong a rally as i would like, of course, because theyre still down huge for the year, understandably id like to see more of a rally there. The first part of today, though, was rates were actually negative, more negative, going south. So that multiple for equities is going up when that keeps happening. So that was really what was driving it it was, you know, that equity risk premium we talk about coming down, meaning the multiple is higher thats what i think was the first 200 points of today, which isnt a great thing to have. Id much rather have the economy heating up and see that real rates are actually starting to move toward the positive some of the things were nice to make money on, but i didnt think it was a great day. Bonawyn, what did you make of todays action im really trying to channel my youthful exuberance im struggling to do so. You see the adp number less than stellar. You have some positive manufacturing numbers. Now this vaccine news. It just doesnt seem genuine theres been a bit of a push and pull between the cdc, the white house and how information is being distributed, but the notion that we have breadth of a rally based on a predescribed date thats not necessarily coming from the most competent of places definitely gives me pause here i mean, it seems like were looking to reenforce positive news and then discount any negative news. That seems a bit disingenuous to me color me a skeptic im in with the rest of the group. Wow i mean, guy adami, i dont want to be pollyanna here but i feel like i have to because of the way you guysare talking about the market we are at new highs right now. Weve got positive news toward a vaccine. If you do not believe in science, then go ahead and bet against the markets. If you believe in modern science, why not go with the market thats fair i said for a while would you rather be right or would you rather make money . Trade the market you have, not the one you want all those sayings come to pass now. Ive said for months i dont believe it ive tried to find stocks i thought were going up. Sometimes right, sometimes wrong. The Broader Market to me is extraordinarily puzzling it goes up on bad news, it goes up on good news. It double counts and triple counts some of these news cycles josh brown mentioned that in the previous show. Its wonderful to be long and its very easy to make fun of people like myself who try to poke holes in it and point out what could possibly go wrong i look around and i dont like what i see other than the fact that the stock market goes up every single day again, i think it is worth mentioning and bonawyn spoke to this a few weeks ago, at a certain point somethings got to give i think the vix here with a 26 handle that spent most of the day in the green is really trying to tell you something, that maybe people are buying protection maybe thats a good thing. I just think the vix is telling a much different story than the Broader Market i will say this, you know, an hour ago just as the market closed, President Trump tweeted out the Dow Jones Industrial just closed above 29,000, youre so lucky to have me with my president. With joe hiden, it would crash again, the market is what theyre running on without question theyll conflate the market and the economy. To his credit, he has said for a while that the market is the report card for his administration under those auspices, hes done extraordinarily well the higher the market goes, the more chance that hes going to be reelected the more chance he has to be reelected, the higher the market goes. You, like the panel out there, might be worried that things have run a little bit too far too fast our next guest is eyeing some opportunities in things that have rallied hard. Todd gordon, what are you looking at first we could start with the indexes. Lets start with first earnings. We see signs theyre bottoming, recovering obviously the stayathome, work at home names in q2 and the nasdaq has exploded. In the nasdaq, is it overdone or is it in bubble territory . One indicator i watch is average range. You normalize it with percentage to compare apples to apples. You take a look at the trailing 20 months in the nasdaq. The average month over month range over the last 20 months is 9 the tech bubble of 2000 got up to 15 before we started to turn lower. In terms of expansion, were still a ways away from that. We believe a reopening is occurring here you should see signs of that in q3 q4 earnings you look at the s p. Youve seen two major corrections since the credit crisis holow. This one is different. This one is tracing higher highs and lower lows this is expanding volatility thats why were starting to see a meaning version from a very low volatility range moving up we should continue a higher vix. That doesnt mean that the market has to sell off with that range, closing bell 3600 in the s p on a month over month basis, i would say the s p correction is over were cautiously optimistic. One name thats no surprise is zoom, very overbought. We trimmed the portion position yesterday. We bought it in march. Were still bullish with the new work at home dynamic i think its our reality for a while. Even if covid retreats, we still like the zoom name from the corporate side we have a lot of stayathome stock, zoom and peloton and others we dont have a lot of covid names in our portfolio now one name that we did add yesterday that we have held is disney we dont think its overbought or oversold. We did close disney in march we think it can fall back on streaming, strong libraries of content, movies coming out and competing with netflix if the parks reopen with the vaccine, theyre going to regain a lot of lost revenue. Which do you like there was no would you rather. Which do you like, bonawyn, zoom or disney . In terms of a company, ill go with zoom go with zoom i mean, disney, honestly i need to give credit to tim. Hes been early to this thing. Im inclined in terms of what i expect to be the shortterm participant to the upside. I expect it to be disney only because it has a multiple that i dont need guys slide rule to pull out and calculate zoom is going to be more of a mainstay youre seeing profit taken today and i would probably get in a bit lower. Guy and your slide rule, what do you have to say i take it with me everywhere. Its wonderful to have especially at times like this. I think zoom, i mean we talked about it yesterday, the quarter was extraordinary. We didnt say anything negative about the quarter. What we said was you look at the revenues theyre going to do, 2. 5 to 3 billion of revenue you talk about a company that at least yesterday had 129 billion market cap the math doesnt really add up whatever growth you think is going to happen, disney i understand the reasons to be bullish especially now if this news is true 150 was the level it popped out at back in december. Im more inclined to think zoom is going to test in the low 300s and disney is going to get back to that 150 level. Tesla posting their worst day since july thats after more than a 4. 5 drop yesterday as momentum coming out of this stock of course, tesla announcing the biggest Capital Raise here karen, i dont know what you make of this i know that the bonds went up, which makes sense. Right i think its a really smart thing to do, right it seems like its been a couple of months, at least four or five months since the question about the Balance Sheet has kind of been put to rest good for them for taking advantage of this crazy market to really shore up the Balance Sheet. That makes sense thats a smart thing to do in terms of the message it sends to the market, is tesla expensive here the market doesnt seem to believe tesla when tesla says its stock is expensive what was that 700 or 800 in there . I cant remember anymore a little bit of froth should come off of that and apple i think it was somewhat of a buy the rumor sell the news on the split. Trimming their position but saying they remain a longterm shareholder in tesla, belief in the company. Does this sort of represent, bonawyn, the momentum especially in a day like today where we saw cyclicals really outperformed some of these growthier names. Do you think this is a permanent state here in terms of this shift . I dont if you look over the last few days of trading, youve had a month in theres going to be a lot of rebalancing and reallocation that comes along with that i think some of these rotations tend to be a bit short dated in nature it would take me a bit longer to observe trading over a long period of time before i say i expect this trend to continue. Im a bit skeptical about the fact that were past the worst with this virus. Flu season is coming up, the winter is coming up. We might see a retrenchment of that virus i would expect some of this to come off actually from the highs. Coming up, is it timeout for tiktok the virus video app facing new hurdles as it hunts for a alde first there is no i in team but there may be a lot of profit for one tech stock at leaf blowers. You should be mad your neighbor always wants to hang out. And you should be mad your smart fridge is unnecessarily complicated. Make ice. Making ice. But youre not mad because you have e trade which isnt complicated. Their tools make trading quicker and simpler so you can take on the markets with confidence. Dont get mad get e trade and start Trading Commission free today. Check out shares of microsoft hitting a fresh high today after a bullish note from evercore which says the video platform could be on the way joining us is kirk materne thank you for having me teams is monetized through the office suite so teams is part of a broader bundle youd wbuy from microsoft. Teams with the Collaboration Technology that its bringing to bear, when you partner that up with office, theres an opportunity for microsoft to upsell its enterprise customers onto a higher skew of office bundles. The uplift on that can be anywhere from 5075 when you think about more and more enterprises having to think about the work from home paradigm and how your employees are going to collaborate, the idea of bringing in new technologies that teams brings with it is really compelling i think this is going to become really microsofts Front Office Cloud. Its going to be the key to microsofts Front Office Cloud offering they were up beat about it in its very early days but we think microsoft has a very strong position in this part of the market. In terms of the functions that microsoft can up sell, what are they and what are your assumptions in terms of how much more can up sell and how much more corporations will need to spend . Because you did also raise your price target on microsoft, so im assuming theres some mass behind this will contribute even though its bundled as part of office. When you think about what teams brings, when you start bringing in video and security and an littalytics, that would a 5075 uplift. If you have a portion of your Customer Base upgrading every year, that is really going to drive the broader Office Product suite at a 10 plus growth rate over the next couple of years. I think the key here is that we think about the office suite, which is a 30 plus billion business and how thats going to continue to grow also the supporting technologies behind that, whether its security, analytics. Kirk, let me congratulate you. Youve been a bull on this for a long time. I think i read a piece in february where you had a 212 price target which seems aggressive but no longer when you get to this new price target, how are you getting there . Youre looking at 2021 numbers and what kind of multiple do you put on that . Sure. Like everything in the market, multiples are becoming a little bit more relative given the Broader Market multiples coursing higher as well as rates so low were using a 37 times pe multiple if we had thought about that two or three years ago, that would have seemed unrealistic. I think whats going on is our confidence level in the durability of microsofts growth, both in terms of the top line and bottom line coupled with the fact that microsoft has 70 plus billion in cash on its Balance Sheet, plus the fact that 70 of its business is recurring in nature. Visibility makes us belief that the premium that microsoft is garnering versus the Broader Market is sustainable. That doesnt mean microsoft isnt due for a bit of a breather it might be at some point over the fall but this business is built for the longterm. When youre thinking about large cap or Mega Cap Tech