Transcripts For CNBC Closing Bell 20240711

Comes to the coronavirus adding more than 150,000 new cases on thursday alone President Trump is expected to give an update on operation warp speed in just about an hour. We will take it for you live 59 minutes left to go in what has been wilfred a wild week of trading of one that is higher. Higher for the week higher today as well up 1. 3 on the dow coming up on todays show we will speak with chicago mayor lorie light about her lockdown advisory and the potential economic fallout as cases surge in the state of illinois plus it has been a big welcome back for the bank stocks with the kbw bank stocks up 10 the ceo of kbw will join us to discuss whether there is more upside ahead for the sector. First the big stories. Mike santoli is tracking the market meg tirrells that latest on treelts and vaccines as we await an update from the president and Steve Liesman is looking at the impact of the coronavirus surgeon the economy. Mike, the market up 388, and the dow having been up 400. You lock at this chart and you say lets not overthink it the market is pushing up towards its closing high it would be the second straight weekly record high because that other september high was not an a friday these things matter to some people if you bought the opening print monday morning you are down 1. 5 simply because people were so excited about the vaccinest news here we are at the upper rail this trend it looks obviously pretty good if you break above it because you have got this nice long three or four month long base settling in here it remains to be seen whether this reopening trade Leadership Group continues. Look at the one month relative performance of the s p home building, Cloud Software and ipost. They are all struggled coming off strong levels yet the. Is staying positive on a one month basis. Retail embraced this rally look at the fun flows. A surge in inflows to stock funds. B of a has this data 2018 theres a correction there. I dont think you can generalize and say all of a sudden too many people love this market. But it continues to do well. Gekz has an index of the latest favorites. People chase the hottest stocks. It is hard to tell retail they are the dumb money when their stocks are beating the margaret to that degree on a i dont remember to date basis. S p 500 value for the week is up nearly 6 with growth down slightly what stands out to me is that value has outperformed growth so much in a week when the dollar is higher,. 6 on the wee as a whole which dot suggest this is all based ultimately on day one of hopes of a vaccine as oppose to practice that let to value out performance of late like hopes for a stimulus. Thats right. Most of it was in the opening pop on monday morning. It retained most of it it hasnt dissipated thats a important point we dont know if the market is being disciplined and forward thinking, resolutely keeping its eye on the reopening and ignoring the shutdown knows or if this is a rotation into laggards, unowned stuff and some of the factor pingpong we have been playing for a while between momentum and value. Mike, thank you we will see you soon. President trump expected to give an update on operation warp speed in just about an hour from now. We will take you there live as soon as it happens in the meantime lets get to meg tirrell with a look at where things do stand on the treatment and vaccine front. Meg, what you will be listening for from the president we are really at a Pivotal Moment in terms of all of these treatments and vaccines for the coronavirus that we have been talking about since january and february we are finally at the point where we are seeing some of these getting onto the market and seeing some of the phase three results from the vaccine pfizer and by on tech had their 0 efficacy showing on monday with their vaccine next week after they get the safety milestone of two months followup they will file for emergency use authorization if all looks good moderna is right on their heels. We are expecting to is he their data from their phase three trial, their top loin results any day now. Of course Johnson Johnson and astrazeneca also in phase three trials in the u. S. Their data is expected around year enor early 2021 the vaccines are moving really quickly. J j, there are headlines earlier satisfying they were starting a trial of a twodose vaccine here in the United States they are the only one of the front runners thats testing a single dose vaccine. Just one shot. The others all require two shots a few weeks apart. Thats not new news. We knew they were testing a two dose regimen in a trial sponsored by the uk government it is that these trials will also be run in the United States alongside a trial testing a single dose. Thats the news on vaccines on therapeutics, they are moving ahead quickly. Remdesivir already on the market in terms of the antibody therapeutics, this week lily getting emergency use authorization for its of the antibody drug for people just diagnosed with covid19. Regeneron is waiting on fda for a similar indication for its antibody drug. There are other antibody drugs in the pipeline, including one from merck thats one that people are excited about learning more about. It is a pill so that would be very different to take potentially than one of these antibody drugs which require iv infusions so much work going on. We are financially at the stage where we are learning if all of the work is paying off. It cant come fast enough we are also dealing with supply issues as you have been covering as far as the president speaking next hour, is there anything he can say on that front . For instance can they pump more money into operation warp speed to get the monoclonal antibodies out . Is he going to be talking about vaccine rollout . That are some of the biggest questions as we face the next steps. Some of the questions of course are about supplies pfizer has said there will be 50 million doses available of its vaccine by the end of 2020 the question is, how much of that comes to the United States . How much goes to other governments that have made deals with pfizer as well. Secretary of health alexei czar said they made a deal for 20 million month coming starting in november does that mean we get 4 5th of pfizers total supply. Once we get news that they work, we have to though how much there is going to be, and when we dont know what the president is going to say, whether he will break the moderna news for example. Operation warp speed didnt get the government funding for the reference but it did benefit from the frakwork of operation warp speed. If pfizer could have come out with its monday update sooner than we did what do you think pfizers response would be. We add asked the ceo about this on monday he said it wasnt driven by politics it was driven by science they, with the fda decided not take that look so early at 32 days because they wouldnt be able to file with the fda until they had two months safety data anyway, which is next week then cases accrued quickly and we got to 94 it was more cases than we expected to see at this first look it is raising political questions about the timing given pfizer said they expected to have data by the end of october. The director said they are driven by data and thats how they make those culls. Meg thanks. What does the latest wave of coronavirus cases mean for the economic recovery here in the u. S. Steve liesman joins us. As cases surge the u. S. Economy is going to struggle to bridge to a time when a vaccine is finally available the very large rise in covid cases puts a question mark on the ability of the economy to weather this period, the words from a seth. Heres some questions. Businesses that made it this far, could they be pushed over the edge millions will be losing benefits over the next several months and also face evictions. The chase credit card spending tracker declined steadily over the past several days. It is now down almost 7. 5 frommier earlier jp morgan writing today says spending declines have been somewhat larger in states where covid19 is spreading most rapidly, but almost all states have seen some decline jp morgan said the declines as well had been broad based across industries Goldman Sachs though on a note said the pace of recovery will get worse before it gets better but added there will be growth in the spring. It is sticking with its forecast for 5. 3 growth next year . I am interesting in the jp morgan note. I was having a look at that earlier today. I feel like the headline saying down 7. 5 in november perhaps is a bit more scary than if you really break it down yes, we saw from the chart it is heading in the wrong direction that could mean in the months ahead it gets a lot worse. But to have spending lower than the same month a year ago is probably to be expected of maybe not 7. 5 it was on a couple of months, when you look at each of the cards spending data slitly higher year over year. Maybe it is more a plateauing as opposed to down sequential 7. 5 as it were. This is the high freakily data we have been watching you want to be careful about how you look at it the chart is back up the problem for me right there are twofold. One is the stalling. Pace of recovery in general in a normal economy we are higher year over year almost all of the time the other thing is looking at that track down at the end you step back and it is a good comment you make, wilf step back, watch it. If it stays going down thats the time to worry. This is one. First signs that we have seen give their commentary that the covid crisis or the resurgence is showing up this the data . Steve you talk a lot about the covid crisis we also dont another stimulus plan the first one was front loaded it doesnt look like there is political will to get anything done right now what kinds of fiscal drive are we looking at with the economy i think you are right you may describe this period as without a net, sara. As we go forward last time we had a big shutdown and we had a big stimulus the stimulus was so big it created most forecasters underestimated the strength of the recovery i think maybe they are overestimating the are ofry right thousand because peoples savings are going to run oust there is some savings in the economy. Christmas is coming up thats a problem for a lot of American Families trying to get presents under the tree, make ends make, feed themselves without job and maybe with new lockdowns come. For now it doesnt seem like the margaret is too worried about it having another strong week, up another 400 points Steve Liesman, thank you. I cant look at the market sara i have to do the economy the market has been on a mind of its own relative to the economy. It had it right that things were going to get better. I think it may have underestimated the latest downturn or latest upturn in the up next, the stocking up sequel americans are starting to load up on groceries and essential production as covid numbers rise how retail remembers preparing for a surge in demand this week. You are watching closing bell. Dow is up 375 points you can go your own way its time you make the rules. So join the 2 Million People who have switched to xfinity mobile. You can choose from the latest phones or bring your own device and choose the amount of data thats right for you to save even more. And youll get 5g at no extra cost. All on the most reliable network. So choose a data option thats right for you. Get 5g included and save up to 400 dollars a year on the network rated 1 in customer satisfaction. Its your wireless. Your rules. Only with xfinity mobile. 43 minutes left of trade rising covid cases and Restrictions Mean people are stocking up again, although not at the extreme levels we saw last spring. The numbers, though, are rising. Suppliers this time around say they are better prepared General Mills for instance which makes Betty Crocker and cheerios said it added 45 additional manufacturing lines, 25 to 30 incremental capacity in platforms that were tied tyson foods the meat producer spent hundreds of millions on strategic testing and creating a chief medical officer position to prevent short ans that we experienced last time around when surging cases inside meat plants forced them to shut down. Toilet paper charmins Parent Company proctor and gamble says we are not forecasting another shortage supply chains are more normalized than they were and retailers are replenishing inventories. Kimberly clack which makes scott and cottonel says it accelerated production levels and took steps to cut down on product variations to prioritize the key items in demand. Grocery chains like kroger and stop and shop limited the number of key items as well kroger limiting toilet paper, wise, soaps, to two per have it. What is the bottom line here suppliers have had a lot more time to prepare and they have learned important lessons on safety and supply. But there is one big difference between now and that first wave. This is a risk worth watching. Covid hot spots are everywhere General Mills has its two biggest plants in iowa and tennessee states and roy moores wilfred that are already seeing high infection rates thats whats different. So far, General Mills has been able to keep those plants open as with many other Food Producers but they have to make sure that the factories dont become sources of spread themselves in the commune. So they have to invest around a lot of Safety Equipment and letting people take a lot of sick days. It is such a fascinating story, important as well, linked back to our last discussion with steve. I think, a, the level of preparedness from companies. And b, the likely row action from people does mean that the Economic Impact should be quite a lot lower this time. Do you remember the sentiment in march and april . You would be kind of scared just to go out of your apartment and walk around your block i mean, new york was a total ghost town that is just not the case this time around. Right. And people are better prepared to be able to go out and do basic thing without it being a big risk back then we were all franticly washing our hands. Now if you are wear a of course ma you can go to the stores and do basic thing, which i think as worrying as it is that we are going into semilockdowns again and the cases are spiking but i think it is encouraging that there wont be as much of an Economic Impact. We saw suppliers have to play catch up with basic items like food but they have done that and ultimately there was no major food shortage. We were able to get toilet paper and paper towels out you are right, knowing that makes them a lot more confident which is why we are not seeing the extreme kind of levels we saw last time. The other thing i would tell you is people are sick of lockdowns. There was a recent gallup poll a few days ago that showed less than 50 of people would comply with lockdown orders half the population. Which is why we keep saying and hearing from politicians around the world there is not a lot of appetite for that to happen again. After the break we can discuss this theme further particularly as it relates to chicago, with mayor lorie light who has asked residents to cancel thanksgiving as part of new stayathome orders. She will join us after the break to discuss no signs of slowing down with 30 states now hitting record sevenday averages in new cases. Illinois is one of those states, reporting more than 12,000 new cases and 43 deaths yesterday. Current hospitalizations in the state also setting a new record with the sevenday average higher by more than 32 . These latest stats coming as chicago issues a new stayathome advisory effective monday the city is strongly advising its residents to not have guests in their homes unless they are essential workers and avoid travel as well as cancel additional thanksgiving celebrations joining us now to talk about it is chicago mayor, alreadiy lightfoot. Mayor, thank you for joining us. My pleasure here at cnbc, we are trying to gauge and understand that the economic of all of this. Help us understand what an advisory is. Because it doesnt sound like it is the shutdowns or restrictions that we saw last time around that essential low closed businesses. No. I think im mindful of the previous segment i was listening to you we know a heck of a lot more both about the virus, but also about the impacts on our economy than we did back in the spring what we are trying to do is use more of a targeted approach, a surgeons knife more than kind of a blunt ax. So what we are asking our residents to do. We are saying look, heres whats the reality in the last month, since early october we have seen test positivity go up three times we are now at 14. 5 . We have seen cases start to balloon. Three times the number of cases, three times the number of hospitalizations, icu beds the most startling piece of information that motivated us to issue this advisory and the other components is that if we do nothing between now and the end of the year we are likely to lose 1,000 chicagoans to death thats not acceptable. And certainly not acceptable to me or anyone else on our team. So we are saying to folks, look, we know you have got covid fatigue. We know that you are tired of the different restrictions but we must do this for you, for your family, for your loved ones, and for the entire city of chicago. So we are doing this advisory. It is 30 days. In addition the telling people they should stay home except for work or school or going to a medical at the same time something hike that, something essentially essential. Not to let people in your home where we are seeing a lot of our case growth is in these private settings people let their guards down at home they are going to weddings and funerals, and they are also still having parties and thats where we are seeing a lot of the case growth dont get me wrong we are seeing it really across the board everywhere, but a but these private settings is really the toughest thing to regulate. You mentioned you weighed the economic costs here, mayor lightfoot. What will be the impact on the citys restaurants, bars, retailers, movie theaters, everything that was starting to open up again in some limited capacity do they have to shut down now. No, they are not shut down. But for example, our governor issued a new order last week because of the trends in the cas cases and the test positivity. Our Indoor Dining is now stopped of you can still do it outdoors but we are mindful of the fact we are chicago ask the reality is, it gets cold here its already starting to thats going to have Significant Impact on our restaurants and bars we are not shutting down any other businesses but we are being much more diligent around enforcement. And weve issued some warnings to our retailers, our biks box retail evers you look at those stores and their parking lots, its like the eve of christmas the stars are full but there are no lines at the doors. We are worried that they are not imposing the restriction asks guidelines we are worried about that. About gathering in other spaces, airbnbs, hotels being used as party places we are going to buckle down and be more diligent about getting the word out look, we may have to get to a point where we do a stayathome order as opposed to an advisory. But psychologically, as you reflected in your last piece, thats a big step for folks. They are tired they are angry they are frustrated. So we are hoping we can educate them into compliance. Mayor, you mentioned at the top and throughout that we understand the virus much better than we did in the spring and that you are being more precise with your restrictions rather than broad and blunt as the last time around. The other flip side difference compared to the spring is of course the stimulus was huge then and now it has run out i mean, how have you weighed that up, that decision that businesses dont have the same level of support, individuals dont have the same level of economic support as they did back in april and may . And how do you weigh up the quality of life argument versus the quantity of life argument . Well, look, we have a very good close working relationship with all of our business sectors. We brought them along with us on a journey. They have given us very productive feedback. All of the industry guidelines that we have in the city were done in partnership with those industry partners. But there are certain sectors that have been absolutely definite at a time strauns, bars, Hospitality Industry and Small Businesses that struggle with cash flow on a regular basis. We have put out now over 150 million in grants and loans to fill the void that was left even with the monies that came from the federal government its still not enough. We are going to keep pushing and advocating for a stimulus bill we are obviously following the back and forth and the partisan divide very, very closely. But im hopeful when president elect biden then becomes the president he said his top priority is getting a stimulus and i know that he understands, as does speaker pelosi, that providing money to state and local government is absolutely essential. Now, we bullet a budget on the assumpti assumption we are hot getting those monies but we are hopeful it will be coming through and we need it because our business sector has just been crushed by the covid19 central impacts. Madam mayor, i have to ask you about schools because chicago is one of the few that did not ever open for inperson learning now new york city is considering closing down again on monday i guess my question is, why . Why is it more important that bars and restaurants open than schools when there really have been no major studies showing that schools are really spreading the covid19 virus and even in europe, where they are tougher on some of their new partial lockdowns they are not closing schools. Why are you going this route well, look, i agree with you 100 i think it is really important that we build a pathway to get our young people back in school. For me, it is a question of equity if you look not only in chicago but across the country we are seeing significant challenges with Remote Learning it works fine for some but clearly it doesnt work well for others our youngest learners, our preschool, kindergarten learners, our special needs students Remote Learning isnt working for them they need that extra support that School Provides they need the social Emotional Learning that they are not getting from staring into a screen so we are working very, very diligently to build a pathway to get back into schools at least on a hybrid basis. It is a difficult conversation however, to have when we are seeing our case rates soar in the way that they are and we are predicting very dire concerns and consequences if we dont get this virus under control. You are right. We have 40,000 students in private schools here in chicago that have been either fulltime or in some hybrid version since the beginning of the year. And they are doing fine. They have got the protections. Where they are staggering the amount of kids in the classroom, or the teachers are moving all the thing we know that are incredibly important to build a protective bubble within the schools. We will do contactually those thing. But first things first, custom is we have got to get this virus and the spread under control. Mayor, thank you for joining us my pleasure mayor Lorie Lightfoot joining us there. Time for a cnbc news update. Sue herera has it for us. I do, indeed. Wilf hello, every heres whats happening at this hour the final two state races called, and president elect biden is projected to win with 306 electoral votes versus 232 for President Trump. It is the same margin of victory as President Trump had in 2016 General Motors is recalling more than 68,000 chevy bolts due to the risk of fire effecting the 2017 to 2019 models. Gm recommends owners dont use granls and carports until their cars have been serviced. Supreme court judge alito saying stressed he is not down playing the severity of the pandemic he also says culture conservatives are being percent you cuted. In japan, nissans civil days against former Ceo Carlos Ghosn has begun. The car maker is seeking 95 million in damage force ghosns alleged misconduct you are up to date thats the news update this hour will i have, i will send it back to you. Sue thanks for that. Interesting timing there on nissan, wilfred, going after carlos ghosn on a week where he has been vociferously talking about how they turned on him. Was the release timed for today. It was. But the fact that nissan is doubling down against carlos ghosn right now, its just interesting timing. Absolutely. Again, well worth going on line to check out saras interview with carlos ghosn from earlier in the week. Still ahead, it has been a big bank for the big banks the kbw is up 10 . We will discuss with the ceo. A on bonds moved higher during the course of the week,. 97 was the peak on the tenyear a couple of days ago. 895 on the tenyear back in a couple of minutes. See yourself. Welcome back to the mirror. And know youre not alone because this. Come on jessie one more. Is the reflection of an Unstoppable Community in the mirror. Up next the ceo of nucor joins us to talk about the outcoming of the president ial election closing bell will be right back first up is this exquisite bowl of french onion dip. Im going to start the bidding at 5. Thank you, sir. Looking for 6. 6 over there do i hear 7 . 7 in the front 7 going once. Going twice. Sold to the onion lover in the front row next up is lot number 17, a spinach and artichoke dip, beautifully set in a hollowedout loaf of sourdough bread. Dont get mad get e trade and get more than just trading investing. Banking. Guidance. Get e trade and get more than just trading keeping your oysters growing while keeping your business growing has you swamped. you need to hire i need indeed indeed you do. The moment you sponsor a job on indeed you get a shortlist of quality candidates from a resume data base so you can start hiring right away. Claim your seventyfivedollar credit when you post your first job at indeed. Com promo at morgan stanley, a global collective of thought leaders offers investors a broader view. We see companies protecting the bottom line by putting people first. We see a bright future, still hungry for the ingenuity of those ready for the next challenge. Today, we are translating decades of experience into strategies for the road ahead. We are morgan stanley. Welcome back steel stocks on a tear in the last six months, up double digits across the board despite economic uncertain nucor saw increased demand and their ceo joins us now in thank y thank you for having me. Industrial stocks are up 13 this month to date you say thats on hopes of a Major Economic rebound and homes for a stimulus as opposed to something you are already seeing in underlying demand over the past month or two . I think as we have come out of the Second Quarter and things have begun to loosen up, automotive is certainly coming back nonres construction has been row sillient this year woe see that strengthening as we look at backlogs year over i dont remember we are up 35 nucor is are the to capital eyes on that as well as in position for a brekt administration as we move forward how do you see a president elect Biden Administration influencing the Steel Industry President Trump campaigned on revitalizing the industry and made good on that promise by imposing the 25 tariffs on foreign steel. Was there a steel renaissance as a result in this country. A few thing nucor is investing currently 4 billion in growth projects to add capabilities that really change and provide a differentiated Value Proposition for our customers as well as our shareholders so things that i will continue to be a tirelessed a volk for as well as our industry are thing like infrastructure. We have to have a significant infrastructure bill. We are driving on roads and bridges designed and built during the Eisenhower Administration things like trade. We have to have a level Playing Field in the United States that ensure that illegally dumped and subsidized steels cant make it into the shores of the u. S finally one of the Silver Linings of covid is the American Population recognizes the overdependence on things like china on things like ppe, and that we have got to be a nation that makes and builds things again. Is your industry, whether talking about tariffs or environmental measures, is your industry one that has benefitted from the Trump Administration and might suffer under a Biden Administration no, i dont see it that way we have done well under both administrations, whether democratic or republican nucor is incredibly well positions. We have managed through these pandemics and crisis because we serve a cyclical marketplace and woe understand the markets and understand the customers we are sitting on 3. 4 billion of cash today. We have a strong Investment Grade credit rating. 1. 5 undrawn, a 175 billion undrawn revolver other access to capital to invest in the down turns to going to propel us the higher highs and lower lows. Thank you for joining us for joining us to talk about it. Good to have you here. Im sorry, sara, i didnt catch the last part. Thanking you for coming on the show we have got to run into the close. We appreciate your time. Absolutely. Thank you as well. From nucor. Coming up next, draftkings surges, door dash surges to meet the public market. 470 point gain right now for the dow. President trump set to speak at the top of the hour. We will take you there live as soon as that begins. Well be right back. I made a business out of my passion. I mean, who doesnt love obsessing over Network Security . All our techs are pros. They know exactly which parking lots have the strongest signal. I just dont have the bandwidth for more business. Seriously, i dont have the bandwidth. Glitchy video calls with regional offices . Yeah, thats my thing. With at t business, you do the things you love. Our people and network will help do the things you dont. Lets take care of business. At t. Hey, son no dad, its a video call. You got to move the phone in front of you like. Like its a mirror, dad. You know . Alright, okay. Hows that . Is that how you hold a mirror . [ding] power e trade gives you an awardwinning mobile app with powerful, easytouse tools and interactive charts to give you an edge, 24 7 support when you need it the most plus 0 commissions for online u. S. Listed stocks. Dont get mad. Get e trade and start trading today. 12 1 2 minutes left in the trading day. We are now in the market zone, commercial free coverage of the market heading into the close. Mike santoli is here to break down the crucial moments of the trading day. We have today we have dot chris barone from stra teenlist as well strategist. Stocks rallying into the close session myhighs, the dow and s p on track for big weekly gains. The nasdaq is still lower on the w week where are we positioning wise and send men wise. We discussed this earlier in the week as well but how overbought are we getting hitly so in the shortterm i would say although there has been evidence over the last weeks of genuine buying urgency out there broad rally days you have being fund flows into equity funds all those things suggest people are embracing a sent of certainty that we have gotten past the election and what happens with the vaccine what is fascinating is if you waited for that real sense of comfort that things that were uncertain are thousand being resolved you are buying them 10 higher than you did a couple weeks ago. Thats just the way it goes. Right now the market one definition of a bull market is it is more sensitive to the good news than it is worried by the worrisome news what do you make of the action today industrials is the best performing sector. Everything is Higher Technology is lagging. It is hard to call it a stayathome versus value versus growth cycling. The reopening trade is ripping today. Airlines are flying, so to speak. Its very much that case you have to wonder why if it really is just people saying look we can tough out the next couple of months. We are basically underpositioned in the stuff thats going to benefit from a liberated economy. Whatever the definition, or if its just kind of squeezing people into parts of the market that they havent been exposed to whatever it is, thats been the team today, it is dissonant though given the momentary news flow. 3, 589 at the on the s p 500. What are the key levels you have been watching this week. If we close above or below thats on a friday whats the significance. Whats impressive is when you start looking under the hood the move has been remarkably broad. Earlier this week you had 70 of the s p make a one month high. Thats one of the best readings in history when you get surges like that it is reflective of participation really broadening out. We have been talking about that for monday and months. Where you see it is down the cap scale. Small caps outperforming the value line has also started to outperform. Any index at that looks to measure participation is really starting to get in gear here when you start seeing those spikes in new highs your forward returns over the next three and six and 12 months tep to be really strong. We like with we are seeing under the surface. We think it is more important than at any level. Our best guess is s p push in into by year end. Cisco hit on both top and bottom line. Chuck robbins was on squawk box this morning comparing their product to zoom. I think the overall market has certainly expanded webex has deny a great job when people go back to the office, every meeting is going to be hybrid when you start looking at High Definition video in Conference Rooms we are the leader tightly integrated with webex. We think that will continue to create a tail win for that business. Nice move in cisco today. Hasnt done much over the last year looking a the chart of. What do you make of it and the stayathome trade right now. It hasnt been a great chart. It hasnt participated with many of its peers what we find most interesting about the quote stayathome trade is as a virus count has gone up and we have seen lockdowns in europe and here stayathome index peaked on october 13st weeks ago. The market is interpreting this wave of the virus very differently than when we saw in february and march and april names like netflix and zoom and amazon, which were really the bellwethers of that stayathome trade have been underperforming the last month when you look at the riskon names, expedia and lvs and the mgms, their strength suggests we will get beyond this virus encouraging for the bulls here. How quickly could that unwind if we dont get another round of stimulus or are you lipping to conversations like we had with the mayor of chicago and feel this isnt going to be as damaging of a lockdown. It is not on pins and needles. We have moved on from that we will hope for something in the new year if that makes sense. I think it is more of a tentative conclusion that the market is trying to draw to. We know how to flatten covers we have done it before. We feel like we can suppress a lot of these surges and it probably wont last terribly long if your typical him horizon is a few months the margaret seems to look about that far ahead of the windshield then you are within that zone of when this probably comes under control. I do look back to june when we had the burst of enthusiasm and the value trade worked and it unwound very quickly as we did get that surge but we are in a different stage of things. Draftkings shares surging after reporting better than expected Quarterly Results Contessa Brewer has the details for news investors raised guidance for 2020, delivered an optimistic outlook for 2021 and explained some tough questions about its big Third Quarter marketing spend. 191 million, when it only saw 133 million in revenue. Much of that marketing spend was on launching sports gambling in illinois the ceo said earlier on squawk on the street look these are data driven decisions with predictable returns on investment. There were so many new states that hadnt been exposed to Sports Betting prior to this nfl season and there were so many people staying at home that had pent up demand for sports. We had incredible response is nice fish sees and returns on our investments this year. Braft kings is diversifying, golf revenue is ten times what it was last he year. Now the company says it is the fourth biggest sport while daily Fantasy Sports is still a big driver of revenue Pay Attention to i gaming, on line skein games draftkings and its competitors are offering now in three states it could be the real revenue generator in the future here sara all right then we will watch contessa thank you. Food Delivery Company door dash filing to go public deirdre bosa with details. Food delivery remains a tough business in terms of competition and profitable but door dashs s 1 made it clear it leads the pack here it has been a beneficiary of covid habits this year also showed profits in the Second Quarter thats something uber hasnt even come close to looking forward as they get to embark on a virtual road show, there will likely be questions of sustainability once the economy reopens and expansion to all local business in the current economy. Where is wall street on these types of stocks. It has been skeptical until now. We didnt have the numbers from door dash though to see a somewhat more high performing Business Model i think there has been a wait and see. I think there is a Silver Lining that uber is at least involved in this business at this time when ridership is down so much i think it is fascinating. They need the make this seem as if there is an unlimited total potential market here. All local services, anything that can be difd as opposed to deliver me food while i am shut in my house during a pandemic. If i put it back to the broader markets, this week we have seen both value rise and the dollar rise. Do you think that relationship can hold for a long time i believe so it goes back to yields here. What i have been encouraged by despite bad virus news, you have tenyear back above. 75 and. 80 it is game on for value and riskon trade. We talk about ipos they are the arbiter of riskon appetite we talk about draftkings and penn gaming. I am curious that on good news draftkings is on the lows of the day. On bad news lvs and mgm are on the highs of the day another example of where the margaret is rewarding the reopen or risk on trade i think thats a good sign. Just under two minutes left in the session mike, what are the volumes saying. The split might be better than it shows right here about three to one to the positive side. Plenty good. Anywayo, the ev maker is a huge downside volume generator for the new york stock exchange. It is skewing this number a little bit and then if you want to take a look within the market on a week to date basis what the average stock in the s p has done on a equal weighted basis relative to the market cap version there you see it more than doubled the equal weighted nasdaq. Volatility index has been smacked down into the low 20s, down to 23 it was lower today thats understandable on a rally day on a triwhen you have a lot of the known uncertainties behind us. Its starting to normalize a little bit back toward that 20 figure sara. Just over a minute to go before the close we have got every sector higher right now in the s p 500 looking at a gain of 1. 4 . For the dow, up 417 points, near session highs. As far as what is working best, energy, real estate and industrials are the best performing Sectors Technology consume discretionary the worst performers the only sectors down on the week are toneck following and consumer discretion father discretionary. Some of the best performing names this week were in the Banking Sector or in the industrial all 30 dow stocks higher cisco is the leader. Boeing is doing bell walgreens, american express. The idea that travel will return airlines mopping the best performing sbds industries right now and for the week equipment, auto stocks all doing very well. The russell 2000 index of small caps up 2 capping off what is a very strong week not just for all the major averages wilfred, which are set to close higher on the week but especially for the small caps there is the bell. Positive week fueled by optimism around a vaccine. Welcome to closing bell. Im wilfred frost along with sara eisen and mike santoli, senior markets commentator the dow closing just shy of 400 points higher. It ran up to 479 points higher, pulled back a fraction into the close a. Steady positive gaining session. Up 1. 4 at the close up 4 for the week for the dow the dow best performer of the three major averages the s p 500 was up 2 for the week and 1. 4 today. The nasdaq was down for the week rotation from growth into value very much a theme week just past all 11 sectors were Higher Energy the best performer, was up 4 . And up 16. 5 for the week as a whole. Bank stocks staged a rally this week coming up, kb works ceo kbws ceo and President Trump is ready to give an update on operation warp speed. We will bring you that live as soon as it begins. Pictures of the rose garden at the white house. He is expected to come out and speak at any moment now. Chris rome stays with us and elena joins the conversation mike, in terms of the Weekly Performance looking at that, energy up 16 or so. A small weighting these days but shows the room for some of the year to date underperformers to rally. Yes it was a shock for those who came into the week riding the stayathome trade that was up ended on money at the open with the vaccine news i wanted to point out the s p 500 closed high but closed lower than it opened on month. Because you had a huge emotional pop at the beginning that shows you both sides of things the market is eager to embrace this idea it is when, not if we get a vaccine. It is when we seat a new consensus president , not if we do it. All of that stuff filtered back into the market. To me the question is how much of it is already reflected in prices that we are riding that upper rail of where stocks have been ever and first got there three months ago chris, russell 2000, 1744, a record high for the small caps, up more than 6 on the week. Is this their time to shine . Would you stick with them . It has been 555 trading dates since russell 2000 last made a new high this was a threeyear bear market small caps did not peak this year they peaked in late 2017, early 2018 it has been a tough stretch for small cap investors. They are breaking out 7 to 1 advancers over the last seven days thats strong breadth. As you look at how it remade itself over the last several years, less of the bad stuff and more of the good stuff i think it is setting the stage for small cap leadership in 2021. Elena, what is your take whether you want to be exposed to the cyclicals in the next few months do you think they have run up too aggressively these past couple of weeks. I think there is going to be rotation as mike santoli just mentioned i agree with the rotations and the reasons. We not good news out of pfizer we are expecting moderna to also bring us news in the next couple of days. Also, in addition to what mike was saying i think it is also positive news that the Biden Administration has clearly said this will morning that they are not looking into a National Lockdown they are going to do it in more geographically targeted ways what i will caution though is i think investors have to position themselves with a very diversified portfolio, right there are still other uncertainties in the market. We still on the know when and how big the fiscal stimulus package is going to come right . We dont know how the Biden Administration is going to tackle our relationship with china, which could lead one way or another to inflation. We dont how big this wave of coronavirus is going to be and what thats going to do to Consumer Confidence therefore spending, there is still a lot of uncertainty we would like to play it with a barbell diversified portfolio that can perform on any path . Where do you go for the protection if you are worried about all of those risks that you just laid out . Right, in regards to inflation we continue being overweight real assets, inflationlirched assets and gold we have seen that perform. We are going to continue with that in our performs we are no, no. I was asking about protection you said there were risks including stimulus and covid cases and those thing that woe worry about and talk about. Right. Where is the best place to hide if you want to balance it out. I dont think you hide. I think you want to be invested but i think you have to be diversified. Where i started mentioning you know you want to be in potentially performing inflation trades right . You want to be in different market sectors that can perform different ways because yes we have seen a different on the rotation quickly but i agree with mike that we cant get overjoyed by this performance and good news from the last several days because there is still a lot of uncertainty we have to think about inflation when we are going to have the economy finally come back and close the output gap that we are still seeing in the job market and in terms of demand in this economy. I think you continue overlaying in your portfolio different points protecting for low years for longer protecting where the lower end of the curve might start to rise. We are adjusting which sectors we want to be. We usually do that in stress testing portfolios but we are looking at potential sectors that perform with the long end of curve rising also with kinds of an accelerated Consumer Confidence and participation in the economy once we get over this and we hopefully get a more widespread delivery of the vaccine sort of middle of next year. Mike, in terms of whether or not the market here can look through any potential spikes in cases or further lockdowns, i guess as an encouraging sign coming oust europe the stocks 50 up 16 month to date as europe went into more lockdowns. Right. I guess suggests that the economy will make it through the lockdowns that the markets are willing to look through. Treasury yields have kind of kept their gapes for the most part they have not really shown a huge safety bid. Credit similarly incredibly strong reasonable recently he is those are the thing where you would see cracks if it was a prolonged period of economic weakness that people were starting to get worried about. It was certainly a volatile week on wall street. Lets get to bob pisani to break down some of the biggest winners and losers. The important thing is we are still seeing the dominance of the value, slash, skillcal story overgrowth the market really wants to believe that the reopening story is going to go well in the spring tooime. You can see this in two groups hem show you refiners. I have never seen a week hike this for refiners overall. Up 25, 30 this is a play on future driving and future gasoline consumption overall. An amazing story driving more how about shopping more. Did you see the reits this week . 20, 30, almost 40 gains, in pimco these are the biggest reits that are out there i didnt put up some of the other ones its basically all the same. 20, 30, close to 40 gains that tells you they believe in the reopening story. Meantime, the stayathome stuff of course that we are always paying attention to netflix, even clorox was down 5 this we are. This rotation is staring you in the face and happened all week as for the mega cap tech stocks, almost flat. Amazon had separate issues out there with regulations and things like that but thats not that bad considering what is going on overall. Wall street is trying to look over the valley the covid spike this winter to the spring. The earnings situation, if you take a look, not the Fourth Quarter numbers but the First Quarter of 2021, the numbers are really starting to rise now. And we have so far almost 20 no, 16 for the First Quarter of the subpoena earnings on the upside it was only 10 or 11 a few weeks ago. The margaret is anticipating things will get better in the spring, then it starts really jumping up in the Second Quarter of 2021. You can argue airlines are going to take a while to recover but the market is starting the believe that large sections of the competent, not the airlines but large sections of the economy really are going to start opening u. Lets hope thats the correct way and thats the way it is really going to unfold. Right now, amazing week. Guys, back to you. Bob, thank you for running through all of it with us. Okay. Fact that the nasdaq did close down for the week, the fact that stocks like netflix and facebook and microsoft, all the high flyers, were down for this week, thats a pretty stark reversal do you expect that to continue first of all, they have been off their highs since early september. So they have definitely been this this kind of retrenchment bull pullback mode for a while then they have had bursts of performance to the upside on a couple days, couple weeks basis since then i dont know if we can expect it to be an all or nothing market where it is either the big Growth Stocks or the cyclical value stocks at work it could be more of a blurred situation where things kind of dont go according to that particular vector all the time one thing that is worth keeping in mind if you really believe in this forceful rotation it is going to be a little bit tougher for the s p 500 to make very rapid progress if those stocks dont at least hang in there and participate. Overall you have to say the s p has done a great job of absorbing that surrender of leadership so far . Chris i wanted to finish by asking what you thought about gold it has hovered around plateaus for quite some time. What is the charting the you. We had a good correction in gold down 11, 12 from the highs. The enthusiasm around goldman was so robust two or three months ago i think that has been eradicated gold looks timely here in this 1850, 1825 range i would be buyer here. All right we will leave it on that note. Chris, elena, thank you for joining us thank you. Thank you. We are still awilt waiting remarks from President Trump any moment now on operation warp speed. We will bring you there as soon as it begins up next, dr. Scott gottlieb weighs in on whether more lockdowns are necessary to curb the krirs spread we are seeing across the country we are back in just 90 seconds we are awaiting President Trumps remarks in the rose garden he is expected to talk about operation warp speed, which is his administrations push to put billions of dollars into Vaccine Research and development, treatment as well. We will be eager to hear what the president has to say about that interestingly, it is the first time we are hearing from him in eight days since he falsely claimed he won the election. We will bring you up to speed and bring you the president when he speaks in washington. This comes against the backdrop of a spike in cases across the United States. For the First Time Ever more than 150,000 new cases in the u. S. As hospitalizes, and deaths continue to rise as well joining us now, dr. Scott gottlieb what would you like to hear and learn from the president as far as an update on operation warp speed . I think one of the things we might learn is more details about their plans to distributing the vaccine when it comes out. They have built sort of an elaborate system how they are going toing a kate to it staits states and how it is going to be distributed throughout the states resources they will be pushing out to the states. My guess is that he might address that i dont know there is any updates on the vaccines themselves beyond the niece we have gotten so far this week this might deal with how they are going to make the Vaccines Available when there is a emergency use authorization eventually for one or more of these vaccines. Meantime, we are seeing cities and states and counties going in Different Directions when it comes to partial restrictions, advisories like we got from chicago, potentially closing of school in new york city what do we need right now given the fact there is not a ton of political appetite for a full shuttown but cases are surging and hospitals are filling up what do we need in terms of restrictions in this country what you want to see is governors, cities trying to get ahead of the spread because we know this builds very quickly. Once you have exponential spread it builds quickly. We should be taking steps right now, closing congregational settings, restaurants, bars, nightclubs trying to figure out how to keep schools open putting mask mandates in places where you see spread increasing. All the things to reduce the velocity of the spread we should be doing those things to try to get ahead of it. 67,000 people are currently 4079ized for covid thats a record, eclipses what we saw in the spring and again this the summer. 13,000 people in icu beds. There is 100,000 icu beds counting surgical and nonsurgical icu beds. We are feeling up our capacity, thats the biggest problem we are not going to be able to create new beds. You are not going to have extra Health Care Personnel to move into a hot zone. Every place is going to be a hot zone thats what we need to watch is beds filling up. Thats going to put pressure on the policy makers. Is there evidence from europe that partial lockdowns being put in place there this fall and winter as opposed to the full lockdowns that we had in the spring, do they work are they enough . I think we have a proxy for this for what happened in the chertime in the south. There was a lot of spread. When people decreased their molt we saw google mobility data start to decline and we saw Mask Policies put into place and governors closed things like bars and restaurants you started to see case decline. They didnt decline as rapidly as they did in the springtime when we had the full lockdowns in effect. Those are costly, socially, culturally, economic they have Health Impacts if you can start to reduce the spread by doing this targeted mitigation thats what we should be doing right now states like new york do very aggressive mitigation on a regional base. If they have an outbreak they will attack it aggressively. That causes conturnation but they have taken aggressive steps on a very localized basis. Thats another way to try to deal with it we have to eventually take steps here to try to slow the spread because the Health Care System is event ulgly going to be pressed. Doctor, i wanted to talks about vaccines you aran the board of pfizer earlier in the week the ceo of pfizer said their vaccine was a game changer i wondered whether you would use such strong words . Were you always expecting that at some point late this year and widely available by middle of nexter with we would have a vaccine that was very effective. Ie, great to have it confirmed but largely one of the companies could come out with Something Like his. I think the data that we had. It is interim data we have to acknowledge it is interim, early date. I think the efficacy showed beyond what we were expecting. The benchmark for approval by the fda was 50 . When you start the see more than 90 effectiveness in the Clinical Trial that holds out the promise that the vaccine may be effective at preventing covid disease but it may also be effective at preventing transmission of the virus or slowing transmission of the virus, perhaps preventing some people from betting infected and when people do get infected reduces their chances they would go on to ining if other people it has more Public Health impact because it could actually slow the epidemic or bring the epidemic the an en thats what we are going to be looking for in the full data set when it is available and when the vaccine is ultimately made available to patients thats what we are going to be looking at in the real world, to see if the vaccine is actually preventing transmission of the virus that becomes a important Public Health tool beyond just reducing covid disease, which in and of itself would be very important . One question that i have that i havent seen answered anywhere and i know a lot of doctors have this question as well. On the pfizer results, the 10 where it wasnt effective, do you know if those people got severely ill moderately ill did they develop antibodies . What do eknow about them that would tell us when we get vaks ated hopefully we are not in the 10 . We dont know a lot everything that was known to the company was briefed to the board and was made public. The company had the top line result and also had an indication the safety profile of the product was no different than what was seen in earlier studies. There is an indication there isnt an imbalance that you are not seeing a cluster of severely ill patients in the 10 that still got some symptoms of covid disease eve though they were vaccinated that probably would have been made known but we dont know we wont know until we see the first data set it is difficult to speculate i think it is a good interim result, this level of effectiveness in the Clinical Trial. Dr. Gottlieb thank you for joining us. Thank you still ahead we are awaiting comments from President Trump on operation warp speed we will bring you atth conference as soon as it begins. Well be right back here on closing bell. Im searching for info on options trading, and look, it feels like im just wasting time. Thats why Td Ameritrade designed a firstofitskind, personalized education center. Oh. Their awardwinning content is tailored to fit your investing goals and interests. And it learns with you, so as you become smarter, so do its recommendations. So its like my streaming service. Well except now youre binge learning. See how you can become a smarter investor with a personalized education from Td Ameritrade. Visit tdameritrade. Com learn test test. Kayla tausche is with us able to give us perhaps what we can expect from this anyones guess i guess exactly what the topic will be stuck on kayla, what are some of the thing you will be looking out for . Well, this is the first time wilf we have heard from the president in an official setting since his remarks in the Briefing Room last week where he said the election had been stolen and there was widespread evidence of voter fraud which many state officials came out and aid was not the case certainly the president has liked to use the rose garden for many of the rosier announcement. Today the Trump Campaign sent out an email fundraising with a picture of President Trump against a backdrop almost exactly like this. We hope to learn more about plans for the remainder of the funding for operation warp speed and vaccine candidates after the pfizer news. Heres the president. The past nine months my administration has initiated the single greatest mobilization in u. S. History, pioneering, developing, and manufacturing therapies and vaks eensz in record time. Numbers like nobody has seen before no medical breakthrough this scope and magnitude has ever been achieved this rapidly, this quickly. We are very proud of it. I had tremendous help from the military generals, admirals and many of the great people at the white house. Operation warp speed is unequalled and unrivalled anywhere in the world. And leaders of other countries have called me to congratulate we hefd helped many countries with the ventilators and all the problems they were having i would like to congratulate everyone involved in this evident. Its been an incredible efrlt. As a result of operation warp speed pfizer announced on monday that its china virus vaccine is more than 90 effective. This far exceeds any and all expectations nobody thought they would get to that level and we have others coming, which we think will be at equal level, maybe more if thats possible n. July my administration reached an agreement with pfizer to provide 1. 95 billion to support the mass manufacturing and distribution of 100 million doses with the option to purchase a total of 600 million doses shortly thereafter our investment will make it possible for the vaccine to be provided by pfizer free of charge pfizer said it wasnt part of warp speed, but that turned out to be an unfortunate misrepresentation. They are part. Thats why we give them the 1795 billion. And it was an un the 1. 95 billion. It was an unfortunate mistake they said when they said that. We will work to proture an emergency use authorization which should be coming down extremely soon my administration will then coordinate the distribution of the vaccine. And it will be approved, i think, again, it will be approved very, very quickly. We hope. The average Development Time line for the vaccine, including clinical test asks manufacturing can take eight to 12 years through operation warp speed we are doing it in less than one year if you had a different administration, with different people, what weve done would have taken, in my opinion, three, four, five years, and it would have been this the fda forever. This is five times faster than the fastest prior Vaccine Development in history five times faster. Say it again, five times faster. Nobody can believe it, actually. Three other vaccines are also in the final stages of trial. They will arrive within a few weeks and they will also be mass produced and the delivery will be very rapid. Were ready to go. The vaccine will be distributed to front line workers, the elderly, and high risk americans immediately. It will be very a matter of weeks, get out very, very much ahead of schedule. Any schedule that i said, we are going to be far ahead of that. We know that this virus primarily targets older populations and those are Underlying Health conditions well over 99. 98 of those under the age of 50 make a full and quick recovery by giving the vaccine to hirisk individuals right away, we will dramatically reduce hospitalizations and deaths. Case levels are high, but a lot of the case levels are high because of the fact that we have the best Testing Program anywhere in the world. We have developed the most and the best tests and we test far more than any other country. So it shows, obviously, more cases. By vaccinating the elderly and the high risk we will effectively end this phase of the pandemic and allow seniors to reclaim their golden years, the golden years of their lives, which is so incredible its about time that they can have those golden years. Again, this process is starting right away millions of doses will soon be going out the door they are all ready, waiting for the final approval as soon as april, the vaccine will be available to the entire general population with the exception of places like new york state where, for political reasons the governor decided to say i dont think it is good politically i think it is very bad from a health standpoint but he wants to take his time with the vaccine. He doesnt trust where the vaccine is coming from these are coming from the greatest companies anywhere in the world, greatest labs in the world. But he doesnt trust the fact that it is this white house, this administration. So we wont be delivering it to new york until we have authorization to do so that pains me to say that. S that very successful, amazing vaccine, at 90 and more but so the governor, Governor Cuomo will have to let us know when hes ready for it otherwise, we cant be delivering it to a state that wont be giving to its people immediately. And i know many i know the people of new york very well i know they want it. So the governor will let us know when hes ready. He has had some very bad editorials recently about this, this statement and what happens with respect to Nursing Homes and his handling of Nursing Homes. I hope he doesnt handle this as badly as he handled the Nursing Homes. But we are ready to provide it as soon as they will let us know they will actually use it. Again, it is a very safe and a great vaccine. Already we have among the lowest case fatality rates, our country, anywhere in the world, the entire world and we have performed significantly better than our peer countries as far as thats rightics are concerned. My administration has also made critical investments in therapies that have helped reduce the mortality rate by 85 . Thats to me one of the most exciting things. It is incredible, some of the antibody vaccines and others that have come out and really helped people. 85 . Last month the fda approved remdesivir and we have secured enough remdesivir to treat 850,000 patients my administration finalized an agreement with eli lilly to purchase the first doses of their antibody therapy, which shows amazing results. This treatment will be available completely free of course to patients 5,000 units have already been shipped and many more are going out the door as we speak we also reached an agreement with astrazeneca for the largescale manufacturing of their antibody treatment which is excellent we expect to issue emergency use authorizations for a number of additional treatments in the near future. Tremendous promise but remember the 85 number thats an incredible, incredible number but we have some tremendously promising drugs on line and ready to come out. We have insured that our front line workers have all the tools they need. My administration invoked the defense production act and related authorities over 100 times and have made an historic investment into your Industrial Base all states that requested ppe from the federal government have received the ppe almost immediately upon request. Every american who needed a ventilator has had access to a ventilator think of that. Very complicated piece of equipment. Very expensive and we havent had one person in this whole country that has requested or needed a ventilator that hasnt had it every single request has been immediately filled so that was something. That was a great job now we are helping the rest of the word with ventilators because it is a very hard thing. We are producing them thousands thousands of ventilators a month. The federal government has 22,000 beds medley available for states and jurisdictions that need additional capacity but we think that it is going to start going down, possibly very quickly. We will see what happens but with the vaccine, you will see numbers going down within a matter of months, and it will go down very rapidly. As we continue to combat the virusings our economy is rebounding beyond any expectations the stocks is up 400 points again today. It is ready to break the alltime record. The job numbers are incredible. In the last six months we have created over 13 million jobs and slashed the Unemployment Rate by more than half last quarter we witnessed the fastest Economic Growth ever recorded in the history of our country. 33. 1 . It is a number that is more than double our highest, that was in 1952 and we more than doubled it. The United States experienced the smallest Economic Contraction and the most rapid economic recovery of any major western nation we went down less, and went up more, which is quite a combination of facts while healthy americans are gone back to work and to school, we continue to spare no expense to protect the elderly and the vulnerable according to some estimates a National Lockdown cost 50 billion a day, and hundreds of thousands of jobs every single day. Ideally, we wont go to a lockdown i will not go this administration will not be going to a lockdown. Hopefully, the whatever happens in the future, who knows which administration it will be i guess time will tell but i tell you, this administration will not go to a lockdown there wont be a necessity lockdowns cost lives, and they cost a lot of problems the cure cannot be you have got to remember, it cannot be worse than the problem itself. I have said it many times. When you look at what happens during a lockdown, i say it loudly it is horrible what happens, with drugs, alcohol, depression, loss of jobs, business closures its a terrible thing. So this administration will not go, under any circumstances will not go to a,down, but we will be very original is atlantic, very careful it is a complicated disease but we understand it very well we ask all americans to remain vigilant especially as the weather gets colder and it is more difficult to go outside and to have outside gathering. With that i just want to ask some very talented people to come up and say a few words. General perna and dr. Slaoui have been incredible the general is really Getting Started right now. What people dont know, he started putting this all together six months ago. You are going to see some real action general, maybe you will start it off. Then doctor, you will go right after that thank you very much. And then we will finish it off with mike pence. Okay thank you. Please thank you. Sure thank you mr. President hi, everybody. So operation warp speeds mission is to enable and accelerate the development of vaccines and therapeutic to help control the covid19 pandemic and save lives on may 15th, almost six months ago to the day, we stated the goal of the operation, which was to have vaccines and therapeutics available and approved for use in the u. S. Population by the end of the year 2020. We said then that while very challenging, the goal was credible, and therefore was worth trying our best to achieve it today we are almost six months later and i think we can say that significant progress has been made. And while we are not there yet, we are close to the objective. Let me share with you some facts. If i look at the vaccine side, we have selected a portfolio of six vaccines using three different platform technologies and we elected to have two vaccines from each Platform Technology first platform is whats called messenger rna. Two vaccines using that platform were in the portfolio. One by pfizer, and one by moderna. The second platform is using whats called live viral vectors. And we had one vaccine from j j and one vaks enfrom stroz in partnership with Oxford University the third tlorm was the recombinant proteam platform, novavax and another from a partnership between scioneaux fee and glaxo smith klein. Four of these vaccines are in phase three trials of those four, two have effectively completed enrollment in the phase three trial and one of the two has announced on monday to i think thrill information that they had 90 efficacy that was the pfizer vaccine, demonstrating that vaccination is possible against covid19, that the kind of choices we have made in terms of the antigens selected was effective and made us optimistic this other vaccines may also be effective on wednesday the same week, just this wednesday, moderna, the other company with a vaccine using similar Platform Technology, messenger rna announced they have achieved the number of cases in their trial to allow for first enter minalities and i would expect shortly, maybe next week we will hear what i would consider to be a very good information regarding he have kaegs of the vaccine. The two other vaccines in phase three trial, those that are using the live vector platform, the j j and the stroz vaccine have recruited already a few thousands subjects in their trial. I would like to take this opportunity to invite as Many Americans as possible who would like to participate in these clinical strils, as thats the only way we are able to achieve a demonstration of the safety and the efficacy of these vaccines the last two vaccines are planned to start their phase three trials within the next few weeks. Those are the recombinant protein platforms. We also invested significantly in the manufacturing of these vaccines in such a way as to when we have the clinical efficacy demonstration with these vaccines, we would also have vaccine doses to be able to immunize the u. S. Population so the two vaccines that are completing their phase three trial are likely to be filing their files with the fda for potentialal emergency use authorization within the next few weeks. Hopefully, if approved, they could be used for immunization in the u. S. Population in the month of december. And we have we plan to have enough Vaccine Doses Available for use in the u. S. Population to immunize about 20 million individuals in the month of december and another 25 to 30 million per month on an ongoing basis from there on. And as of the month of february or march, if we have more vaccines approved such as the live vectored vaccine, we may be able to immunize a large number of americans on an ongoing basis per month. Operation warp speed didnt only focus on vaccines. We also looked at therapeutics and we have worked with a number of Companies Developing monochromal antibodies in particular that are able to neutralize the virus as mr. President said, we have announced partnerships with eli lilly w regeneron, and with stroz. On monday, eli lillys antibody was granted an emergency use authorization to treat patients that are infected and at risk of hadntization. The regeneron monoclonal antibodies have been also filed for emergency use authorization which is currently under review and is potentially reaching approval within the next few weeks. Finally, astrazeneca just in the last few days has received a green light to start two large phase three trials with their monoclonal antibodies supported by operation warp speed to prevent the acquisition of covid19 disease in vary frail subjects or in very high risk subjects as a protective alternative to a vaccine so potentially two vaccines and two therapeutics may be granted emergency use authorization before this end of this year i think its a remarkable achievement within a period of six to seven months. It is important to note that this progress has been achieved without any political interference i said it many times and at every step has been and is being judged by independent expert bodies, whether it is when the fda grants the adrian light to go into Clinical Trials or whether when the data safety monitoring boards review the safety of the studies on an ongoing basis, and sometimes put them on hold, as im sure you have witnessed with the astrazeneca vaccine for instance and these same data safety monitoring boards are the independent board of experts that analyze the efficacy of the vaccines and the safety vaccines and tell the companies whether they should progress with the filing of an emergency use authorization or not so its not the companies. Its not operation warp speed. Its not the u. S. Government it is independent experts that assess the safety and the efficacy of the vaccines that are being tested and when the fda will review these vaccines and these therapeutics, they will also have theed have the advice from boards, verpac, the Advisory Board to the fda after vaccines reviews to make the transapparentsy of all the information they look into to help the fda determine whether or not they approve the vacciner in the approve it. The vaccines and therapeutics we have developed and helped accelerate will be judged independently and if approved should be used by all in the population i believe vaccination is likely to be the cornerstone among all the other measures we have to take to help us really control this pandemic. I will now pass to my coleader, general pearna who will tell but the support the operation has provided to manufacturing of the vaccine and also to their distribution thank you very much. Mr. President , thank you for allowing me to continue service of our great nation as the coleader with dr. Slaoui on this mission. Let me start my emphasizing for me what is operation warp speed about . It is about saving lives it is a Herculean Task that the president put us on many months ago. And as dr. Slaoui just laid out we are making steady progress, and we are ready to execute. Through the whole of american approach we have leveraged the best of nation in federal government, local, states, industry and academia to expand the capacity and capability to achieve our mission. It has been powerful we have capitalized on the best contracting, logistics, and planning experts available to synchronize and integrate all phases of the operation, from development of the vaccine, manufacturing of the vaccine, and finally, distribution of the vaccine. Six months ago, the capacity did not exist in our nations pharmaceutical Production Base we went to work building brick and mortar manufacturing facilities bringing in the right specialized machinery and equipment and prioritizing supply chain materials through the defense production act today we we will continue to monitor the general there. But you heard the gist of it President Trump updating the nation on some of the Key Developments that have been made specifically on the vaccine front as a result of his operation warp speed to help fund the research, development, production, and distribution of vaccines in the fight against covid19 reiterating what we heard from pfizer earlier this week, that they have a vaccine candidate with 90 effectiveness says it will be delivered the americans by april also suggested that new york will not get delivery of the vaccine until Governor Andrew Cuomo agrees or authorizes that, citing a political fight that he has with the governor. Lets bring in our Kayla Tausche for a little bit more. Kayla, including to me, this was a speech on vaccines to counter the narrative thats out there that the president is to the doing anything aggressive or on top of this rapidly rising covid19 pandemic and crisis with 244,000 americans now dead, and hospitals filling up again around the country it also appeared, sara w the presentation by dr. Slaoui and the general right there that it was also an argument to try to combat some of the fear has the vaccine has been politicized by the white houses involvement. They went to Great Lengths to says that not, in fact, the case President Trump did make a little bit of news saying he expects the emergency use authorization for the Pfizer Biontech vaccine to come very soon it appeared to be closing arguments and a victory lap for the herculean effort that didnt exist seven months ago, the pace of a vaks that we have never seen before in this country. The doctor implored americans to take part in j j and astrazeneca trial. The only way out of this pandemic is to have candidates and the only way to get there is to have americans participating in the trials to get those results. It was a remarkable display of unity and confidence in the program as it has been developed and the results from the multiple candidates participating as weve learned this week, from the multiple candidates participating as we have learned this week. Stick with us let me bring in meg. So much coming out of that i just wanted your reaction as well on the fact that we heard 20 million could be immunized by december and 20 to 25 million per month after that was that more than we were expecting . That pace was news to me. I think we have heard from alex azar, the health secretary, that we were expecting 20 million a month from pfizer, but to hear from d from the doctor and he said both pfizer and moderna may be authorized he said february and march, if more are approved, more people may be able to be immunized per month. He also, like dr. Fauci set expectations pretty high for modernas data which are expected any day now, probably next week. They said similar to pfizer. We will see if they hit that 90 bar. The only other piece of news i think people were eager to hear what would come out of his mouth he didnt say anything about the election, but he did say this administration will not go into lockdown then he said who knows which it will be. He did not go further down the path but i thought that was interesting. We were all wondering if he was going to concede it comes on the heels of North Carolina being called in his favor. His advisers have told him privately there is not a path forward. Before he began speaking i was texting with an official whether there is an on ramp for the Biden Administration to work seamlessly and this official said there is a plan being developed behind the scenes for that transition to take place, but it will not be put into effect until the gsa ascertains the election or makes a definitive call that president elect biden. That indicates that he is coming to terms with what is happening. He also said the Vice President would be speaking next just one quick question for me you said nothing of this scope has ever been achieved before. Is that a fairway to frame things certainly he was right about the speed. I dont know about five times faster than anything in history, but the fastest we saw a vaccine was four years in 1967 for mumps. This is less than a year we have seen vaccines get developed. I also thought it was notable that regenerons cocktail could get authorization in the next few weeks. Hopeful on the treatment and vaccine front. Thank you both for joining us through that breaking news we will continue the conversation with the advancements the third element of all of this, doug, testing and treatment and vaccines, where are we as a country now that we are seeing 150,000 cases per day in terms of getting the right test to the right people that need them and getting the results quickly . How are we doing i think we are doing great. Just in our own company we are convinced that testing will be needed, testing, treating and tracing will be needed as far as an overall part of the strategy, we were quite excited to hear about the news of the Strong Performance of pfizers trial. I think there will be masking, testing routinely and contact tracing. Because of our strong belief, we are continuing to ramp up production, making a lot of effort around that i know that my colleagues in the industry are doing the same. In particular we are ramping up for one by mid year. Those test cartridges being available to about 240 million tests per year on an annualized bases. We also have one called quick use sars much like a pregnancy test that could give an individual at home a test we expect 50 million tests per month at some point in 2021. That product is under active review of the fda currently. I will sagan that i have a lot of colleagues in the industry that are all working on all of this i do know that the numbers are big and look daunting, but i think our industry is rising to the challenge and doing a pretty good job doug, the flip side to that thought process as it relates to stock prices, if all does go well, if we reach herd immunity, presumably the demand for testing cant last beyond that moment, this Time Next Year if all goes well, the demand for tests will collapse again. I am not an expert on market psychology, but perhaps in reacting to news, some investors may not have considered that there will be for several years a need to test, treat and trace individuals. We just heard about a therapeutic rej therapeutic regeneron. The antivirals is dramatically better i suggest the same will be true for covid19 so we need to find those quickly so therapeutics will work. Not everyone will have access to vaccines, but when they do, there will be selected pressure for a mutated version to pop up and become prominent and these rapid antigen tests, not just ours, look for the protein those will continue to be useful in identifying infectious individuals. I think clearly the virus is here to stay doug, just very quickly clear up the accuracy rate of these rapid antigen tests. Ie lelon musk has more than 320,000 likes on a tweet that he had four tests, two why negative and two were positive with coldlike symptoms i shouldnt and wont comment on another manufacturers product. Right if he were to call me i would say be careful my first read is he may be a low level positive and you are seeing results around the cutoff if he were to call me, i would say be careful i hope you are not positive, but lets be careful 24 hours from now run another test you could run a pcr or you could run another antigen test if he were a low level positive giving an unequivocal result, 24 hours later because of the virus, he should have another test if you are low level positive, run another test in 24 hours, because then you will be positive if it is low level. Doug bryant, we are out of town thank you for joining us quidels ceo the weekended positively for the market i guess we will see the developments on covid vaccines developments next week incremental new vaccine and medical news that will maybe validate this aggressive grab for risk we saw this week in the stock market russell up 6 , do you up 4 , and stocks across europe stocks up 7 for the week. Fast money starts now. Im melissa lee and this is fast money. Tonight pumping for profits. Energy handing in its best week ever did big oils just turn the corner break out the credit cards because we are going to shopping key names that need to be on your radar and why a breakout has b. K. Feeling less bullish than he has been in