Investors are shrugging that off as stocks look to rally at the open. One name that may not rally is zoom. Shares of zoom are sinking yeah, in the premarket, work from home stock taking a hit from a rising free user base and increasing cloud costs and we have vaccine optimism, moderna and pfizer filing for emergency use and Vice President pence says vaccine rollout expected to begin in two weeks carl all right jim, i guess the question of the morning is whether that rotation, that worked historically well in the month of november, still applies. I think were running out of gas in terms of the oil and gas and focusing on exxon. Stock may not go down, giving the dividend, it says, look, were at wits end and the big Exploration Development period for exxon, market leader, u. S. Leader, is i think now over. We are following were following europe and japan and i think that we forget that you come in today, and you look for all sorts of reasons why were up and up strongly except we dont look at germany, which is doing incredibly well we dont get the ftse, we dont look at japan, these countries are well on a better course than we are, on today, and i think there is strength that beckons to say there is a worldwide rally. David, it is not just here there is a belief a relief rally on the fact that we have a vaccine, but it is also not starting in america. It is starting overseas. It interesting, yeah were the best performers over the month of november and all Energy Related you mentioned exxonmobil briefly, watched the stock maybe up a bit we talked about it, this move in oil as well. Occidental downgrade today. There is devin those moves were incredible. They were off lows that had not been seen for most of the stocks in ages, if ever but on exxon, you know, we talked so often about it, in terms of their capital allocation, in terms of how much theyre spending on exp ining n i think ultimately there were some recount went up again this week. What happens when the rig count goes up is that opec plus then decides, you know what, were not going to make it better for the permian. But i think more than any other energy company, the dividend is a religion at exxon. And theyll do anything to preserve it and thats why when you see the writedowns, you dont get negativity you get a sense that, wow, they threw the kitchen sink at it and were fine when i look at stocks these days, carl, i look at them for income and i look at them because i kind of have given up on the idea that the yield curve is going to move when you hear what chairman powell is saying, you say, im going to keep rates as low as possible. Everybody is look for bitcoin, or Something Like exxon, it seems like the dividend might be safe despite whats going on dividend and bitcoin are the storks. Well, safe and sacrosanct might be the words that exxon would use. Your point about yield is so key. Everybody taking stock of the month of november, best month since 87 for the dow. Best month ever for ge, best month ever for the russell 2000. Tenyear gave back what it got after the initial pfizer news on the 9th. I think that were in a halcyon moment and it shouldnt be and there are a lot of people who are very upset that you could have so many deaths coming the lead story in the New York Times was an opinion piece, an opinion piece about how poorly washington how poorly President Trump handled the pandemic and yet what is the lead story the russell has been incredible. Thats america the dow has been incredible. Thats big industrials so it comes back that, like i had michael dell last night, michael dell is having dell is having an amazing quarter amazing. This big shift from the Central Office to the home and were going to talk about zoom in a second, is driving a lot of what we see and it is i got to tell you, it is like nothing we have ever a wholesale shift in america. Maybe not in other countries, but were seeing the russell is a reflection, the russell i think is largely a reflection of the fact that we have to rebuild where we do our job. And where we study what do you mean when you say rebuild . It is your house. Michael dell said something really incredible. He said you cant have one pc in the house when you have kids and you got to have multiple. Multiple. But thats big. Yeah. Thats why dell could have blowout must bes numbers in a. Why apple is grossly undervalued in a pandemic. Well get to zoom jim, to your point about this sort of i heard this word again, goldilocks, hard to imagine, given what is going on with the virus and the hospitalizations and the deaths that are taking place. But thats the way it is being described right now. You got yellen coming in at treasury powell staying, well hear from him shortly. Dovish fed, clearly, going to be the case some stimulus we would imagine, though again there is debates about where well end up there m a, strong, companies, the old i mean, my god, how many times, but looking for growth. And where are they going to go it would seem to set up for a potentially low volatility, strong stock market. New money coming in you can look at it every morning. And cohort that loves to speculate. They do they love to buy carnival and buy norwegian. Palantir. I watch carnival. Every time it gets to a new level, they do something dilutive that is a term that eludes the younger investors. Im not kidding. Dilutive you and i think, wow, theyre seeing a lot of shares they think, yes, more shares they havent been clued into the earnings per share idea yet. That number goes down, the more shares there are, maybe they need to that needs to be explained. Or maybe they just dont care. Carl theyre saying, hey, all right, i like carnival, people will go on cruises. They think once the things start, who knows where they go look at american airlines, they did an incredible deal, well below, they need more money than than they could they got to get they have to do another Capital Raise rather fast if you listen to phil lebeau and you know what, theyll lap it up. These young buyers say, yeah, thank you. Company is going to be Even Stronger and i dont know, how do we doubt these guys and in the meantime what happens . Micron raises guidance i remember everyone hated micron at 45. Suddenly what happens with micron commodity producer, for heavens sake but the demand is so strong that there is just micron update that is just blowout. How the heck is that you were talking about it positively a week or two ago on mad dash and said it was the key to the market. So good call good call, jim cramer. How do you remember because i remember things every so often most of the stuff gets by me every so often something sticks. The backbone of all technology is the dram. It raised the view theyre talking about adjusted Gross Margins unbelievable, a lot of guys are recommending this is right here, right now, carl you look at the futures, you say why are they up, other than europe and why are they up on japan . A company like micron isnt everything, whether it be automobiles, whether it be any device, internet of things, pcs, cell phones, bingo i rest my case. Your point, jim, all those countries that you mentioned, japan, france, germany, the uk, had pmi beats this morning and well get some of our own later on today, jim. You talk about stock record highs a lot and we will. But one in eight Americans Still say they did not have enough to eight in the prior week. Half of residents and some states are worried about grocery bills in the month to come we got some news about potential Compromise Solutions on stimulus which well talk more about this morning. That is a topic for powell for sure today. This is where secretary mnuchin, i think, could say, you know what, thatman money i want to take back that will go to the most impoverished, lets get together, lets give it to the people closing the restaurants, not their fault. Lets go back and do business interruption, lets work together, can you imagine secretary mnuchin did that, im not saying he would be a musical. There is other treasury secretaries that we say, hey, he may griffith the gbridge the ga thi things i thought paul oneill did great things some will say he and powell helped save in march and april. His last act his last act, taking the money back and continuing to say take the 455 billion in unused funds and use it, okay, great. But it requires action on the part of congress to make that happen i could broker that deal in a nanosecond. I dont think you could and im not underestimating your persuasive powers, but i just dont think so have you ever gone face to face with Mitch Mcconnell not that you would want to, but seriously . I had him on a couple of times on Kudlow Cramer yeah, whoa maybe cant get it done in an hour it will take a little time. My contacts in washington are severely limited by the fact i have no political judgment but i do believe that this is secretary mnuchins chance to seal the approval of im not the one i work with everybody. Wow. Can you imagine . Listen, it is needed. Again, the Congress Goes back and forth or it goes back and forth in terms of what the number might be but it is needed, you know that, without a doubt, to carls point, in terms of people going hungry in this country right now. Enormous amount of money being spent on the local and state level to deal with covid at this point. Just think about in new york, they increase testing in the Public Schools dramatically to try to keep them open or the Elementary Schools that all costs money not sure where it is coming from remember, Goldman Sachs did if we all wore masks it would save a trillion dollars. The president was not pro mask let me tell you, those of you who tell me, there say mask mandate, heres what you do. You bang the people if theyre not wearing them it is like, my daughter went out the door in spain during the lockdown, it was 800 euros if she got caught well, that keeps you inside. It does thats not america well, david thats spain. True. It is not america. But it would be great, but our president hey, dr. Atlas left yeah. That was a guy i call him an outlier. Got that going for us. An outlier. Yeah. Yeah. All right, carl. Sorry. Got a little heated there. Trying to make a deal. Secretary mnuchin, call me, well get this thing done. Get this done. Well talk more about white house staffing as the president elect is expected to introduce his Economic Team shortly after noon east coast time today well get to a lot of the calls that david and jim mentioned as well, the downgrade of oxy moderna, argus, barclays takes fedex to overweight and the treasury secretary and the fed chair at Senate Banking. Well take q and a around 10 30. Features strong. I will send out an army to find you in the middle of the darkest night its true, i will rescue you oh, i will rescue you [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. Europes chief drug regulator says both moderna and Pfizer Biontech applied for respective Covid Vaccine candidates to be approved in the eu after moderna filed for fda emergency authorization in the u. S. If they received enough data, could decide by december the white house is summoning the fda chief to explain why theyre not approving pfizer faster. Well, look, i think that the system is ready. Im not a scientist about knowing what is going to happen, but i think that there is an imperative at the nursing homes, longterm care, imperative i think the president is right in the sense that there is a sense of urgency david, this thing is out of control. It is out of control with dr. Gottlieb says 50 going to get it, that goes back all the way to when this started when there was a series of articles in lancet, which said, look, everybody is going to get it, it is novel, but were all going to catch it. If we can hold it to absurd as this is hold it to 50 . Thats still i dont know, thats still a lot more people were not going to get to 50 , jim, come on thats 160 Million People. I dont think they will either theyre saying that there is the fact that dr. Gottlieb would mention that number. Were in a strange time now we all any that as we watch moderna shares continue to rise dramatically and you were talking about it at the end of squawk box where we have the line of sight to the vaccine coming, very close and in fact dr. Fauci saying something very positive things in terms of in the spring, younger people being able to walk in. Lets listen to dr. Fauci, he echoed in some way the optimism that jim shared yesterday on the vaccine. Take a listen. By the time we get to april, there would likely have taken care of all of the high priority and then the general population of the normal healthy young man or woman, 30 years old who has no underlying conditions can walk into a cvs or walgreens and get vaccinated i would think as we get through april and may that we likely would have the for those who want to get vaccinated, the overwhelming majority of the people that want to get vaccinated can see all the emotion that zuckerberg showed at that exciting news. But theyre making millions of doses. Thats what pencils millions of doses they havent tested on that many people, we know that but millions of doses, i think this is and pfizer is making even more. I think the issue is we got the logistics, lets get it out, i agree with the president that, geez, cvs is ready, were ahead of europe. I think walgreens is ready and i know that the theyre going to give they got some 20,000 different places youre going to be able to get the darn thing. To your point, things are unfortunately we got to get between now and then, we got some dark days ahead yes and you can risk we bring on the hospital administrators and doctors every day on the show. And none of them have a particularly good news to share at this point. Look, there is very concerned about what the coming weeks are going to bring. I want secretary mnuchin to be like secretary morganthou, got to shut the restaurants. Got to shut them you cant wear a mask. The viral load inside a restaurant is too great. The air doesnt circulate unless youre in certain restaurants that you and i both know have spent fortunes, and, look, i wouldnt i have a chance to open my restaurants and have a few customers. I said, no it is too risky. People keep going out. They go to bars. Give me a break. Shouldnt even go to stadiums. They shouldnt i cant argue i cant argue with you but, carl, the good news again, were getting closer and even though zuckerberg may not have been excited about it, i was excited to hear dr. Fauci say those things zuckerberg was not how many times have he interviewed fauci . What is that some sort of man to man i dont know zuckerberg looks like the cardboard figures you see in the stadium. Oh, man in history zuckerberg. Dont go anywhere hes booing the eagles now. Labradoodles, cronuts, skorts. its a skirt. And shorts the world loves a hybrid. So do businesses. So, today theyre going hybrid with ibm. A hybrid cloud approach lets them use watson ai to modernize without rebuilding, and bring all their partners and customers together in one place. Thats why businesses from retail to banking are going with a smarter hybrid cloud using the tools, platform and expertise of ibm. Do you have a Life Insurance policy you no longer need . Now you can sell your policy, even a term policy, for an immediate cash payment. We thought we had planned carefully for our retirement. But we quickly realized that we needed a way to supplement our income. If you have one hundred thousand dollars or more of Life Insurance you may qualify to sell your policy. Dont cancel or let your policy lapse without finding out what its worth. Visit conventrydirect. Com to find out if you policy qualifies. Or call the number on your screen. Coventry direct, redefining insurance. Very nice. Look at this fancy shot we got here why not a mad dash, opening bell in seven minutes from now kohls. This is a selfhelp story kohls today announces a major longterm Strategic Partnership with sephora, okay omni channel partnership, sephora is this is the scale out of jcpenney. Look when this i bring this as a kind of an analog to what happens in this market, micron announces good news, kohls announces good news. Things that would not go up on good news are just going nuts. You have not been a fan of kohls you lumped them in you changed your mind . Michelle gosk came on our network and was very compelling. A very compelling story and this is big news because what has happened is that kohls was in an existential situation but now they got, good they build out their omni channel more, theyll be a survivor. What turned it for them im not following . Is it omni channel, their ability to yeah, but they also had low prices that worked and when the nonessentials were aloud to remember that ridiculous essential nonessential turns out when the nonessential ban was lifted, a lot of customers came back to kohls. And this, though, is, again, news that as you say, the market is responding to news that three months ago might not have at all. This is the sephora partner. Thats right. And kohls announced in the last quarter, one thuing i like, theyll bring back the divide dividends. This is almost like what elon musk talks about 2023 will be some great year, david. I cant wait. What a year thats going to be thats the year that the eagles win the super bowl, the year that the mets take the world series. Yes they got an 2023, i think you could rely on that. Sephora is basically transferring its business, rolling over from jcpenney so, just, whether it be micron, david, whether it be the drug cohort because of how many because pfizer may be saving the world for all we know. For all we know right but one name that isdown an were going to get to around the bell is zoom that is down after strong numbers. But well explain why. We have a lot more for you on squawk on the street. It is going to be a rally big show. Good. Opening bell is coming up next shares of neo this morning, going to ap