Transcripts For CNBC Worldwide Exchange 20240711

Bitcoin once again now a major u. S. Asset manager taking a closer look. And a brick and mortar bust. New black friday data could signal a major win for amazon, target and walmart its monday, november 30th, 2020, and youre watching Worldwide Exchange on cnbc good morning, everyone hope you had a wonderful Holiday Weekend. Im seema mody in for Brian Sullivan stock futures right now on this monday a somewhat mixed open the s p lower by 12. Dow jones lower by 153 and the nasdaq turning negative down just about two points. This coming amid whats been a record month for november. The dow is up 12. 8 . The s p 500 talking with the dow on track for its best month since january of 1987. The s p and nasdaq both coming off record closes friday and up more than 11 this month on track for their best month since april. But the s p 500, this isnt the first time weve seen a record on track for his 26th record close this year. The nasdaq at 45 as hopes for a vaccine continue to grow but lets not keep the small caps out the russell 2,000. Yep, another record close on friday and up more than 20 just this month on pace for its best month on record actually going back to 1984 so the gains have really been wide based on that news, though, one story certainly catching the attention of investors this morning is a developing stroir out of china the Trump Administration is getting ready to add chinas top chip maker, smic and offshore oil and gas producer to a black list of alleged Chinese Military companies to limit their access to u. S. Investor and escalate white house tensions with beijing just weeks before the Biden Administration takes over. Seeing how this news all played out in asia overnight, lets take a check here we are. Shanghai composite down by half a percent. Japanese nikkei had a strong november as well slightly lower by 1 . Turning our attention to europe, 2. 5 hours left in trade there and you can see a mixed rate but germany and france, germany and the uk are trading in positive territory up just fractionally on the day now to this mornings top corporate stories including promising news on the vaccine front. Frank holland is here with the details. Frank, good morning. Thanks a lot, seema set to approve the Covid Vaccine within days they say the first injections there could come as soon as next week. They have an advisory meeting scheduled for next thursday and the shipments shortly after an announcement from the u. S. Regulator. Two high profile ipos, door dash expected to begin its road show with reports saying it will target 25 billion to 28 billion valuation. Airbnb set to launch its road show tomorrow with valuation expected around 30 beiillion to3 billion. The health of pension funds. Survey looked at 158 plans across 17 countries managing a total of 2 trillion in assets the report found 9 out of 10 pounds participating among the reasons sited, the financial effects of the pandemic and ultra low interest rates. Seema, back over to you. Very interesting there. Frank, thank you. Back to the markets we go. The dow trying to cap off its best month since 1987. Our next guest says the rotation from momentum to value well it should keep playing out. Joining me now is ceo and cnbc contributor. Jeff, good morning tell us why you think this pivot from technology to more cyclical sectors will continue to play out. Good morning, seema yes, we continue to see the rotation you brought up the small kaps and what a phenomenal month they had. Look at some of the names like boeing or Berkshire Hathaway you see names like that that have really been laggards. I know the bigger narrative has always been growth to value. But you are seeing a rotation out of growth. You are seeing profit taking by no means are we walking away from the tech sector interesting to see salesforce and that software component. But the tech sector will track assets in 2021 but only prudent for Financial Advisers to book some profits and broaden their exposure to your point but whats interesting is that you are seeing some of these names, these blue chip names always been around in the part of the portfolio fallen out of favor. Look like waste management, some of these names that dont attract assets youre seeing the rotation and saw a huge, Huge Hedge Fund out of korea over the weekend book some profits and reduce their exposure to technology i get excited about owning some of the blue chip names in 2021 on top we want to own them in equal weighted manner. Equal weighted will come back in vogue. Thats a longerterm play. Sizing up the gains in november, best performing Sector Energy right in your wheelhouse, up about 34 in november im curious, major catalyst is this a sector investor, should start to look to given the not just the outperformance in november but obviously follows a pretty down beat year for energy and oil prices. Well, energy still the worst sector in the s p 500. But to your point and even on our sector rotation model, all technicals we owned in the month of november. It was tethered to 40 look at wti, tethered to 40for quite some time and now we see demand its really component or tail wind of the vaccine news we continue to get great vaccine news and every week we look at the demand potentially for oil and focussed on the demand out of asia. Crude oil, theres a light at the end of the tunnel in conjunction with the u. S. Dollar weakening. The u. S. Dollar go under 92. But energy have not wanted to own it all year long but the month of november has been quite rewarding. December, jeff, traditionally a positive month for stocks going back to 1985 but, the news around a vaccine, do you think all of that is priced into this stock market . I dont think it is to be honest with you. The fed continues to articulate their message of a riskon environment. I think a lot of people will be breaking out their christmas list early and buying names they want to hold for 2021. Look at the 10 year note back under 85 bases points. This riskon environment may not feel great up here in the s p 500 above 3,600, but the fed is telling you to take risk yeah. That is part of the narrative from those latest fed meeting minutes. Jeff, always a pleasure. And we turn to washington, d. C. Now and whats likely going to be a very busy day for the incoming Biden Administration president elect joe biden expected to meet with white house coordinator, dr. Deborah birx good morning, tracie potts. Good morning. Hes doing it in a boot. The president elect twisted his ankle while playing with his dog over the weekend the doctor said hes got some hairline fractures he is starting these two very important meetings hobbling around a little bit. We have big Economic News expected to happen this week reporter president elect biden and Vice President elect harris get their first president ial daily brief today and, their Coronavirus Team meets this week for the first time with the White House Task force as Health Experts worry about the impact of thanksgiving travel we expect unfortunately as we go for the next couple of weeks into december that we might see a surge superimposed upon that surge that were already in. Three, four and ten times as much disease across the country. Reporter scientists warn travelers to isolate and get tested drug makers are expected to apply for emergency vaccine approval in the next three weeks. Sources tell nbc the first doses have already arrived in chicago. Cdc advisers vote tomorrow on who gets it first. Im a doctor. When they tell me i can get a vaccine, i will be first in line. Reporter Congress Returns this week with little progress on a coronavirus stimulus. It has the money thats needed to distribute the vaccines. We need to do this. We need to do this now. Reporter and as President Trump continues to complain about failed election lawsuits well, were trying to put the evidence in and the judges wont allow us to do it. Reporter president elect biden named an historic allfemale Communications Team and is expected to announce his Economic Team this week. Which could include another first, former Federal Reserve chair janet yellen as treasury secretary. Those are what sources had been telling nbc. That announcement official some time this week. Very interesting indeed not only janet yellen but the talk of Jared Bernstein as well. Tracie, thanks for bringing us the latest from d. C. Tracie potts when we come back, watching oil ahead of the key opec policy decision meeting what investors can expect coming up. Plus, bouncing back. Details behind bitcoins latest move back into record high territory. Later a recordbreaking black friday mainstream to gain access to the lucrative market a very busy hour ahead when Worldwide Exchange returns announcer cyber monday has arrived, so get iphone 12 on the 5g americas been waiting for. This new iphone plus verizon 5g is incredible. announcer unlimited plans start at just 35, and now iphone 12 pro max is on us when you switch. This is 5g from americas most reliable network. [whats this . ] oh, are we kicking karly out . We live with at t. It was a lapse in judgment. At t, we called this house meeting because you advertise gigspeed internet, but we cant sign up for that here. Yeah, but im just like warming up to those speeds. Youve lived here two years. The personal attacks arent helping, karly. Dont you have like a hot pilates class to get to or something . [ muffled scream ] stop living with at t. Xfinity can deliver gig to the most homes. Welcome back oil prices under pressure weighing whether or not to extend its record supply cut agreed to earlier this year amid the pandemic or move forward with 2 million barrel boost set to take effect today dan, over to you reporter as you know, Oil Prices Falling right now on reports of disunity among the opec group as we come into this critical twoday opec meeting. As you flagged, these ministers were meant to increase output by 2 Million Barrels per day in january. They looked at the new lockdowns across the uk and europe and of course the virus trajectory in the United States and they said that adding oil to this market right now might be too much too soon so, the conversation within the group over the next two days is going to be around whether or not to extend the current production curbs and for how long well see an extension between two and three months so far. But as we often see there is some disunity among these ministers. You have players like iraq, for example, saying this one size fits all approach to Oil Market Management isnt working for us anymore. Then you also have players like iran and venezuela say we dont know what oil output is going to look like under a biden presidency for us. We need more time. Then you have key players within the opec like russia suggesting they would like to see oil output gradually increasing from january onwards. Then you throw in in the United Arab Emirates say theyre still undecided and flagging the possibility of leaving the opec group if they dont get their way. So clearly some tough conversations to be had over the next couple of days. And analysts that weve been speaking to over the past few hours have said that clearly negotiations arent going in the right direction as this meeting gets under way the market could also be on track for a disappointment given the fact that weve seen prices rising for four consecutive weeks now. It seems like traders have certainly been pricing in the possibility of extension to this output deal. If we dont see that happening, we could see oil sinking back towards the low 40s. Back over to you, seema. Dan murphy in dubai thank you. For more on what to expect from the upcoming opec meeting, were joined by managing director for Energy Research at truist securities. Neil, good morning to you. Four consecutive weeks of gains for oil in the last in the month of november. What does that tell us about what the street, what investors are expecting opec to do. Good morning. What investors are expecting is really twofold one, analyst just said earlier, i think just on the supply side they were expecting some cuts at these meetings either today or tomorrow you know, right now you have 7. 7 Million Barrels voluntarily cut by opec. Its almost 10 of demand. So i think theyre either counting on one, this extension or kick down the road at least majority of that and number two, with the vaccines we heard about in the last few weeks, i think the thought is that the demand is going to come back sooner than expected so we really have to see these two things both the supply side of opec plus with the voluntary cuts but also the demand coming back and i think the market is starting to price in both to a degree is there a chance that opec leaders are not wanting to make a decision right now because theyre still unsure what Bidens Administration will look like, who he will pick as Energy Secretary which could play a big role in the role that the u. S. Plays Going Forward in Energy Demand and, you know, continuing the imports and exporting of gas and other commodities . Absolutely, seema thats a good point. You heard about Different Things on federal acreage, the International Oil companies could find themselves at a slight advantage from a pricing aspect maybe i do wait if im some of them again, these u. S. Companies we have seen a lot of capital discipline, but they could be forced to have even more capital discipline if lets say on federal acreage either offshore or somewhere on shore you have additional cost placed on you. It will make it more challenging for some of these u. S. Producers. It might be beneficial for some internationals to wait and see what kind of policies that the administration and cost the Biden Administration places on them. Top pick in the Energy Sector in terms of gas and Oil Producers . Right now for oil Conoco Phillips they just about to wrap up really their deal i think theyre in the drivers seat again, they can flex their operation as needed depending on pricing. Balance sheet great. Production great thats number one. Number two, Eog Resources both these companies to me have tremendous acreage in whats key for both is they can make money all the way down to the low 30s, high 20s a lot of other enps cannot make a profit last topic the assassination of a Top Nuclear Scientist in iran and the prospect of retaliation, how are you squaring that news and what it could mean for energy . Well, you know, that was kind of a key coming in with Biden Administration of how the policy and what theyre going to do or how friendly to that again, iran could certainly bring more Oil Production as suggested they bring more Oil Production back online so, again, if you have tighter policy against those two, maybe the one affect on oil could be continued scrutiny on those two which would limit what they can produce. So a net benefit for pricing overall. Yeah. Certainly going to watch how iran responds in the meantime. Neil, thank you for joining us today. Thanks, seema. Still on deck, much more on the renewed u. S. China tensions putting the markets win streak in jeopardy. A live report from beijing when Worldwide Exchange returns dont go away. Announcer todays big number 62 million thats how many households watched netflixs the Queens Gambit in the first 28 days the show was available that makes it the streaming services most popular limited scripted series ever should auld acquaintance be forgot and never brought to mind should auld acquaintance be forgot and Auld Lang Syne well take a cup of kindness yet for Auld Lang Syne next customer please. Global stocks closing in on their best month ever but the futures right now pointing to a negative open. Dow jones down 159 nasdaq off by 3. The dow laggards, theyre the bigger names, multinationals chevron, jp morgan and goldman sachs. Financials right now as you can see jp morgan down by 1 . Coming up, new tensions between the u. S. And china were going to head live to beijing for the latest plus, this is supposed to be the most wonderful time of the year for retail. But will the pandemic continue to pressure consumers from spending early numbers on Holiday Shopping weve got that for you worldwide exchaeilrern twong wl tu for skin that never holds you back dont settle for silver 1 for diabetic dry skin 1 for psoriasis symptom relief and 1 for eczema symptom relief gold bond champion your skin calling it the Stranger Things rally stocks are about to do the first thing since 1987 with futures pointing to a lower open. China on notice. New tensions between the u. S. And beijing as President Trump looks to give his chief trade rival a parting gift. Bracing for cyber monday how main street is looking to get on the recordbreaking ecommerce action its monday, november 30th, 2020 youre watching Worldwide Exchange on cnbc. Monday, monday, so good to me welcome back im seema mody in for Brian Sullivan. Here is how stock futures are looking halfway through 5 00 a. M. Here on the east coast. Stocks coming off whats been a november for the record books. The dow currently, though, pointing to a lower open were down by 163. But taking a look at the monthly performance, just check this out. The dow is up nearly 13 since the first of november and on track for its best month since january of 1987. Its not just the dow. The s p, and the nasdaq, both coming off record closes friday are up about 11 this month and trying for their best month since april. The s p seeing its 26th record close this year. The nasdaq its 45th. Take a look at the small caps. This tells you that this rebound is wide ranging. The russell 2,000 up about half a percent on friday, closing out a record high and up more than 20 in november on pace for its best month on record outside of stocks, were keeping a close eye on other commodities and also the price of bitcoin back above 18,000 after sinking to nearly 16,000 ahead of the thanksgiving Holiday Weekend news this morning, Guggenheim Partners is eyeing the crypto currency, reserving its right for 5. 3 billion Macro Opportunities Fund to invest in the Gray Scale Bitcoin Trust the trust is solely invested in bitcoin and tracks the Digital Assets price, less fees and expenses ill talk much more about bitcoin later this morning tyler and cameron on squawk box. Now reuters reporting that the Trump Administration is getting ready to add smic and National Offshore gas producer to a blacklist of allege e ed chines military companies eunice yoon tracking this story in beijing the response so far from chie . Thanks so much,seema. They are apparently among four new Chinese Companies a total of 35 Companies Added to this blacklist. Smic had been flagged earlier this year and reiterates it has no military ties with, of course, beijing. The big oil play here, cnooc is believed to be targeted because of the drilling that its done in the disputed south china sea. Cnooc says it hasnt received notice from the u. S. But the stock did plum met in hong kong because cnooc has shares listed in new york, partners with Global Players like exxonmobil and relies on American Software as well as other technology. Now Chinas Foreign Ministry urged the u. S. Not to create obstacles future cooperation between washington and beijing, but seema that is kind of what a lot of people believe the Trump Administration is hoping to do because, of course, they have a hardline stance and they want at least the belief is they want to make things really difficult for president elect biden once he comes into power. Yeah. And eunice, whether its tariffs, the blacklist or sanctions, what do you expect the first issue the chinese will bring up with president elect biden when hes confirmed in january . Well, i think it will be a whole laundry list of items as you had well noted but i think whats interesting is that people are really wondering what the Biden Administration will be able to do with all of these hard line policies it appears the Trump Administration is putting into place. Theres been a lot of guessing that president elect biden would be able to lift some of those policies if he so wanted to, but the Biden Administration is expected to have a tough stance of its own and might end up using some of those hardline policies as leverage on the chinese. Very interesting and coinciding a better economic story out of china only country g10 set to see growth in 2020 the pandemic not slowing down u. S. Consumer spending ahead of todays cyber monday. According to Adobe Analytics Consumer Spending 9 billion online thats a 22 increase over the same day last year and the second largest oneline spending day in u. S. History behind cyber monday 2019 lets see if we can top that today. Bertha coombs with a preview of cyber monday good morning, bertha. Good morning, seema one of the things you have to watch for is memberships Video Services get us to subscribe with mustsee content. Retailers the holidays are like a block buster membership event. Its a game amazon has played to its strength for 15 years now. On its way to over 150 million prime members worldwide who executives say have spent and bought more during the pandemic. Targets shipt has a holiday promotion, half off its 99 a year membership. They have seen over 200 growth for three consecutive quarters analysts estimate its on pace to drive 1 billion in sales this year. And walmart is offering a 15day free trial of walmart plus which launched this fall as the pandemic has boosted digital sales. Walmart plus is also priced about 20 bucks less than amazon. Now, it provides free twoday delivery with a minimum 35 purchase, including same day service on grocery scanning app for instore shopping and 5 cents off per gallon on gas. Meantime, prime includes free twoday including pharmacy now and same day delivery. A minimum 35 purchase for fresh twohour service from grocers and discounts at whole foods as well as prime music and video. Now, analysts estimate that walmart could sign up more than 10 million subscribers by the end of 2021 which could add over 12 billion in sales, but initially they could come at a price, seema, of about 2 operating loss when it comes to membership, its not about dating. They want to be in a longterm relationship with you. I hear you. Bertha, still a huge question around shipping. What are you hearing from some of the shipping giants, ups, fedex, among others . You know, thats the problem. Theyre dependent on that when it comes to delivery at home apart from the same day. And as we get closer to christmas, its very difficult to guarantee that youre going to get those packages on time certainly after next week its going to get iffier. They dont have on the wish list can i buy it now and deliver it on a specific day. They dont have that capability and sometimes if you wait closer to the holidays they do sell out on some items. Ive had that happen to me i dont know about you. Yeah, absolutely. Four weeks to go until christmas, well see what happens this time around bertha, thank you. And after a black friday that saw Record Online sales this year, this year revealed how important an Online Presence is for small business. Joining us now is ceo of wicks. Com, a Website Builder that also offers Business Solution tools they host more than half a million Online Stores and demand, well, it seems to be surging along with the stock up more than 100 this year good morning thank you for joining us youve got a unique lens into customer data. So what did you see . How strong was black friday for the ecommerce players . Well, we actually seen a massive increase over 120 up on black friday i think that a lot has to do with of course the pandemic and weve seen shift the kind of product. So food was much higher. But also everything that can help you, exercise at home went dramatically up. A lot of it has to do with it. You know, your website allows many your company allows many Small Businesses to create websites, use different tools, excuse me, to market their products to consumers. What does that tell you so far about how businesses are using your website to build new websites, how theyre responding to the pandemic . Well, what were seeing is that there was of course a massive shift in the way that people work during the pandemic and actually their life habits my parents which are 74 years old are now doing everything with ecommerce, something they never did before and we showed the businesses taking the other side of that and moving a lot of what they do online so anything from doing yoga Classes Online of course to restaurants moving so much more to deliveries. So this is something that weve seen during the pandemic and during the pandemic the demand was really high. We have seen a lot of businesses started to realize that a huge part of their brand is actually how theyre being presented online and this is something that i think took a long time for businesses to start. Were seeing people making sure their website looks great, works great and presents their products or vision or their mission. And some things we can meter and measure, we can say that doing that actually helps you not just in conversion in the shortterm, so more people will more visitors will end up buying, but also on how many people will come back and buy again. The other thing that were seeing is that a lot of Small Businesses are struggling when it comes to understanding how to do appropriate marketing and doing Online Marketing is always tricky its always changing using Artificial Intelligence for marketing. This is an amazing thing more businesses should try. Youre not alone in this fight. You talk about ecommerce, we tend to fixate on amazon on that note, how do you view amazon, avishai, is it a partner or a competitor . We dont compete with amazon. A lot more partner and even more its an amazing channel for some of the businesses we have. So some of our customers, talk about a product. Can create everything you need but they do a lot of their sales on amazon. For some other businesses its not really the best solution but for those that it s i think its a great tool and should be used if your margins are high enough and your product is diversified enough that you can be noticed on amazon without paying massively on marketing, yes, you should use that. I was just going to follow up by saying any signs that Small Businesses that use your website will cut back on spending if they dont receive a stimulus check by january i actually think its the other way around i think that if we look at a very global view operating in 190 countries. So, we saw that the more that people are pressed to achieving themselves, they actually tend to be spending more and work harder in order to make their business to make their business more available and income but i think that without a doubt, the stimulus check is super important within the economy and americans always tend to work hard. Maybe it will have a smaller effect. Got it. Avishai, really interesting insight. Thank you for joining us today the ceo of wix thank you now to washington. President elect joe biden set to announce some of his top economic officials this week and hes also setting himself up for a budget battle with his own party. Ylan mui more on that story. Good morning. Thats right president elect joe biden is fielding a team of economic advisers all pushed for spending big in response to the pandemic. Two sources have confirmed to me that biden is expected to pick neera tan den. She serves a the head of the center for American Progress which is a leftleaning think tank and previously very close adviser to Hillary Clinton and someone who helped shape the Affordable Care act. Ive also confirmed that cecelia rouse, is expected to be tapped to head the council of economic advisers and that economist Jared Bernstein and Heather Boucher would serve on the team as well. One Common Thread is that they argued loudly and very forcefully for another comprehensive covid relief package says matches the size and the scope of the problem and that now is not the time to worry about the debt and deficits in fact, rouse and boucher spearheaded a letter over the summer with ben bernanke insufficiently bold congressional policy unnecessarily stunted Economic Growth congress should not make this mistake again. They called for more unemployment benefits. State and local aid. Policies that help keep workers attached to their workplace as well as some kind of fiscal stimulus but all of these positions will have to be confirmed by the senate and already theres some push back from republicans, particularly against tanden, seen more political figure and seema, ill point out all is playing out even before biden formally named these picks later to happen this week. Bidens team says they want to spend big out of the virus, really out of the gate in january. What does that tell us about spending down the road reporter yeah. So biden says he is running on one of the most aggressive agendas in recent history, more than 5 trillion in new spending hes been proposing setting up some sort of controversy within his own party because progressives want to ensure that he doesnt put people in place who are so worried about the debt and deficits that they start small and sort of move the needle back and dont pursue some of those bold items that the progressives have been looking for, but then theres the reality, seema, as we mentioned of what can actually pass through the senate that could perhaps be under republican control who could actually get confirmed and some of those people who believe in bigger spending, bigger government, may have a harder time getting confirmed and actually reaching into idens Economic Team. As his Economic Team is being built, any sign or any sense of what tax policy will look like under biden in 2021 . Reporter yeah. So he has put forth a range of proposals. Majority of his tax proposals would increase taxes on the top 1 hes promised he would not raise taxes on people making less than 400,000 and that will be necessary if hes going to try to offset some of that 5 trillion in spending that he has proposed on things like education, infrastructure and rnd and healthcare so the question will be for his team how much does need to be paid for how much new revenue needs to be raised in order to enact that agenda that will be back and forth and interparty fight the next four years. Top question as his Economic Council is formed. Ylan, thank you. Coming up on Worldwide Exchange, how china is giving tesla another leg up ahead of the open. Plus a complete u. S. Exit. How one bank is taking a drastic step towards cutting costs were back after this. Academy Sports Outdoors started as a tireshop in San Antonio Texas in 1938. Our vision is to be the best sports and outdoors retailer in the country with a mission to provide fun for all through strong assortments, value, experience over the years, weve given customers not just great products, but outstanding experiences. We cant wait to have customers nationwide have fun out there. Welcome back to Worldwide Exchange. Making headlines this morning, hsbcs reportedly considering an exit from Retail Banking in the United States. The ft reporting management plans to present a plan to the companys board in the coming weeks. Now hsbcs north America Business has struggled stock is currently down about 2 in premarket trade. Lets pivot to nikola. They listed on the nasdaq in june, today early investors will be allowed to sell their stock no word yet if nikola founder and former chairman will sell any of the more than 91 million shares he holds. The stock down about 3. 6 here in premarket now, china giving tesla an important ok the electric car maker will now be able to sell its shanghai model y suv in china shares up about 1 s p global is nearing an all time stock deal to fellow wall street data provider, ihs market the wall street journal putting the price tag at about 44 billion. This would be the biggest deal of the year by price so certainly one to watch on this monday. On deck, the s p coming off its 26th record close of the year so what should investors expect as we head into december were going to ask one top money manager next. And a reminder, you can always watch or listen to us live on the cnbc app cnbc is back in a moment vo verizon 5g is here. With the coverage of 5g nationwide. And, in more and more cities, the unprecedented performance of ultra wideband. This is the 5g americas been waiting for. Only from verizon. For skin as alive as you are. Dont settle for silver gold bond champion your skin americas been waiting for. So get the 5g gold bond verizon 5g is next level. Unlimited plans start at just 35, with entertainment the whole family will love. Switch now and save 700 on galaxy s20 plus. Only on verizon. Welcome back futures are lower on reports that the Trump Administration is considering blacklisting two key Chinese Companies, chip maker smic and cnooc but despite that weakness, the u. S. Markets, well, theyre set to wrap up a very strong november on the back of promising vaccine news and clarity on the president ial election the dow is on pace for its best month since january 1987 nasdaq and s p 500 on track for their best month since april to learn what december will learn for us, lets bring in lee baker. Lee, good morning to you i know youre bullish on this market, but how do you justify sectors like industrials up 17 in the month of november, banks up 19 you know, are these gains sustainable . Good morning, seema happy to be with you the justification for those sectors being up is just being very future looking. Youve got a lot of pentup demand from people being on lockdown and a lot of those industries not being able to generate revenue like they would in normal conditions the news about vaccines looks so promising, 90 plus percent effective rates its looking forward and rotation and a lot looking to happen for a long time. Your thoughts on the Trump Administration continuing to stay active here until he passes over the reigns to biden and blacklisting two Chinese Companies. Is that a concern for you as an investor who has holdings abroad in china you know, its a concern. But candidly i dont know that theres a good reason for anybody to have expected the Trump Administration not to continue to be active. Theres an old sports analogy you keep playing until the clock strikes 00 so, i would expect the Trump Administration to be active until january 19th. All goes to plan, a vaccine will reach some americans by the end of this month. How could that change the narrative going into 2021. I think it changes the narrative because it gives hope. During this christmas season, this holiday season, hope is what we look towards many instances and including in my own family, we have situations where people are in Nursing Homes and as i understand it, our front line workers and people in Nursing Homes will be the first ones to be vaccinated. Thats hopeful but in a time where people are unable to see their loved ones or have what i like to describe as skinny thanksgiving holiday gatherings, its a sign of hope and looking forward to the future in the meantime, were watching these economic appointments expected to come in this week under biden. Neera tanden, Jared Bernstein, potentially janet yellen what does that stack up for investors. What are some of the key questions you want to get answered once those appointments are confirmed . One of the ways it stacks up for investors is candidly a return to what most of us would consider normalcy. Markets like stability seeing names like yellen and some of the others are the types of names that people can find comfort in that some of the old play book will return. And reflect an easier path if you will for economic decisions and making Investment Decisions along with that. When you take a look at some of these picks or at least whats floated as some of these picks, its people that have great experience both in d. C. And economics. And so, it is something that i would describe as hopeful for the longterm. At the same time, should investors think twice about putting money into this market when we still dont have clarity on bidens Economic Policy and his agenda well, you always want to be careful under any circumstance, but when you take a look and say, hey, listen, how are we expecting things to shake out over the longterm if youre looking into the possibility of how markets might perform over the course of 2021, i would say its probably safe to go ahead and make some of those stock picks. But if youre concerned about what might happen in the next two to three months, you want to be really careful. I think the next few months will continue to be bumpy, but longer term i think were looking to be in pretty good shape. Looking at a company like apple, despite the big moves in november, its actually underperformed, the s p and other Technology Peers im curious if investors should be reading into that or given the Strong Performance it had in 2020, this is just sort of a weaker month for the stock. That candidly, seema, thats all it is, i think you might want to look at somewhat of a reversion to the main, but a company like apple and some of the others in the Technology Sector have done exceptionally well over the course of 2020 it cant be expected that theyll continue to do that. Theyve benefitted from our stay at home economy, if you will but i candidly would also say there has been a permanent shift in terms of how we use Technology Zoom is not going to go away the acceleration in the price of the stock is one thing, but the way that we use these technologies and the ability for many of us to continue to work have these team meetings, youve got grandmothers that have learned to use zoom and be able to communicate and see their grandchildren a lot more i dont think thats going to go away. The second wave of lockdowns in october and november, they havent yielded the same Economic Impact we saw back in march and april. But l. A. Issuing new stayathome orders, demanding all restaurants to shut down how concerned are you about this im not as concerned because the lockdowns arent as broad. The other thing is i dont think the lockdowns will be as long. You know, weve learned some things the shortage of ppe that we experienced back in spring, were not in that same space anymore. Some things along the line of what we learned about how to manage this disease when people are afflicted with it greatly improved again, just the fact that it wont be as widespread early on, things were widespread because it was so unknown. But we know a lot more now than we did eight, nine months ago. Yeah, we certainly do although still waiting for word on stimulus. Lee, pleasure to speak with you today. Good speaking with you as well, seema. Enjoy your day. The dow now lower by around 145 points for today thats pointing to a lower open for stocks. Nasdaq back in the green up about 8 points in premarket trade. But its been a strong month for stocks remember the dow on track for its best month since 1987. And the gains have been widespread the russell 2,000 also higher on the month and about to track on its best month on record thats it for Worldwide Exchange. Thank you for joining us today squawk box is next its down to the wire, the teams been working around the clock. Weve had to rethink our whole approach. Were going to give togetherness. Logistically, its been a nightmare. Im not sure its going to work. Itll work. I didnt know you were listening. Good morning futures pulling back as investors wrap up what has been an historic november for the markets. Trade tensions today the Trump Administration reportedly looking to add a China Oil Giant and a chip maker to a blacklist a live report from beijing is straight ahead plus, two High Profile Companies set to hit the road this week in the race to go public we will talk doordash and airbnb, some big valuations. Its monday, november 30th squawk box begins right now. Good morning, and welcome to squawk box right here on cnbc. Im Andrew Ross Sorkin along with joe kernen, who is back from a muchdeserved vacation and melissa lee. Happy thanksgiving, everybody. Becky is off today as joe mentioned, lets show you u. S. Equity futures at this hour and where things stand right now. Looks like were going to open down right now the dow off about 153 points nasdaq looking to open up marginally higher, seven points higher and the s p 500 off about 12 point should mention today is the last day of trading for november. Here is how th