Burning documents, not shredding them burning them, China Threatens to retaliate and feels and looks like a new cold war. We have a significant turn in the fight against a virus, President Trump says its going to get worse before it gets better. A clear sign that the economic effects will drag on past the election. However, the trump team signed a contract with pfizer with 100 million vaccine doses. America gets the vaccine first, they pay pfizer 1. 1 billion and the cost to you, 0. Two stocks, got to watch them all day long, microsoft and tesla, the Financial Results reported around 4 00 oclock eastern this afternoon, in advance of that those stocks are on the upside. By the way, as of right now tesla is the most valuable car company in the world worth more than gm, ford, and honda combined. And microsoft at 1. 5 trillion is the second most valuable company right behind apple. We have big news on real estate two, applications for mortgages to buy a home of 19 over last year. Refi applications of 122 from a year ago. One hour from now the big number, will find out how many existing homes were sold last month. It sure looks like were starting a real estate comeback. Varney company is about to begin. Stuart this is a really big day for earnings, not just microsoft and tesla but how about this, aaa which is really changed its Business Model because of the virus, whirlpool and other big names to report after the bell. Look at big tech stocks right now, we have something of a pause in the rally that we seen recently, facebook is down to apple and amazon on the upside premarket this morning. How about tesla, that could be the stock of the day, right now tesla is up 27 up 51597 a share. What do you say, i hear a lot of people saying tesla is a bubble, forget the other big tech stocks for a Second Period a bubble, what do you say. I think you gave your perspective when you said the value of teslas equity is more than all the other Car Companies combine, i think that speaks to the bubble issue that tesla faces. I think stock is way overpriced, it makes a lot of sense and will continue to go up because its driven by the cycle of a lot of players setting against the stock and constantly having to short cover and take the stock higher, the top position right now is about 10 of the stock. If they had anything to defend in terms of earning, they want to cover. This is a cycle driving the stock higher, investors dont realize how few shares outstanding and how few shares of tesla stocks in the market. Stuart if tesla comes in with solid results this afternoon, i know exactly how much that to do, through solid results, they go to the s p 500 and thats a very big deal wash. It remains to be seen, standard forces will take a look at stock price and especially whether they should put that in there. As it trades, its a speculative stock, the company is probabl probably the debt is large and thats not a reason not to put in the s p 500 but theyre going to have to look at it and say is this going to add to volatility in the s p 500. Stuart look at the other big tax, amazon, microsoft, apple, google, are they in bubble territory . Absolutely not, they look on a valuation metric by comparison, they may look expensive on a valuation basis, they are not, investors are smartly paying up for the increase in earnings or profitability, these companies are constantly producing, we will see microsoft today and will see the rest of the tech stocks, the prices that investors are paying that are justified by the Earnings Growth these companies possess, have a common ecosystem, and around their businesses, they make sense. Stuart it is not 1999 in other words. Stay there for a Second Period i want to turn to another bright spot turning away from stocks for a second, real estate, housing, lauren, tell me all the numbers on mortgage applicatio applications. Lauren applications to buy a home rising 4. 1 as rates went under 3 . The Mortgage Bankers association noting continued Strong Demand for summer. The spring selling season was somewhat down, that is going into summer, its recovering and then some. There is a desire to move the low rates powering refinancing, refi up 5 last week of 122 from last year. This is a market that is hot. Stuart it sure is. I wonder if theres money coming out of stocks and going into singlefamily homes, will discuss that later on as well. Another positive for the market, good news on the vaccine, the federal government under government tapping pfizer and biontech of 100 million doses of the virus and if and when its approved. If we get a vaccine this year, and is proven and is delivered, is the market just going to go straight up like 30000 on the dow for example . Depending on when we get it the market will probably get there before the end of the year. The market is looking to leg higher, earnings have been positive in terms of everybody knocking down the expectations and we understand what the economy is going to in were in a recession and we understand were climbing out of it. A vaccine would accelerate and motivate and jump back into stocks including all the stocks that are technically beaten up. Stuart what im getting at, is the market vaccine dependent . No, it is not been vaccine dependent, the market has gone the perspective of any progress without on a vaccine or treatment. The market has gone up based on the fact that we will come out of the back end of the recession better off than we are going into it were in the middle of it. That is well to stocks. Companies have adjusted to what they need to do in this environment. So investors get that, the bidding of the stocks it makes sense in making correct adjustments, and the market is reflecting what investors see happening on the backend. A vaccine would only accelerate a climb out of the recession. Stuart thank you very much for being here today. I appreciate always. Look at united airlines, they lost a lot of money during the height of the pandemic. We know that. Actually, any other positives of any kind that came out of the Earnings Report . Ashley i could dig for a day. Any positives, maybe they reached rock bottom, maybe only one way to go from here. Maybe that is a positive. Revenue is down 87 yearoveryear, its been the same story including delta, 1. 6 billion net loss, no big surprise there. The biggest metric is there trying to reduce the cash burn. The daily cash burn. It has been around 40 million. It is remarkable is it not. Theyre going to try to reduce that number 225 million a day in the third quarter. About 6000 employees have taken up early exit packages, that does not account for the other 30000 who received a potential for low notice in the last couple of weeks. They may fly about 35 of capacity during the summer and those planes flew in the Second Quarter were about a third full. Revenue code auto 50 compared to 2019 levels until a vaccine is widely available. Is there a bright spot, it is tough to find right now. Stuart you dug deep, you really dug down there. Well done. Thank you ashley back to you in a second. Stuart im calling a new cold war like everybody else. The u. S. Ordering china to close the consulate in houston, texas. Susan, has china responded. Susan threatening retaliation as the houston Chinese Embassy, that would mean the u. S. Embassy in china will likely be closed and retaliation and this is after the abrupt order to close, theyre sending them into order note under notice to get out of houston, Chinese Embassy staff is bringing papers and documents in the courtyard local residents and called in and said that they saw smoke billowing from the interior, the order to close came after two hackers in china accused of targeting american firms to steal Coronavirus Vaccine research and millions of dollars of Sensitive Information around the world. I Houston Embassy was the first Chinese Embassy to open in the u. S. Ahead of the one in d. C. , this is after the country established diplomatic relations in 1979. The reaction to the closure, the order closure, stock market in hong kong in the chinese currency dropped off of the reaction and another clear sign of deterioration in the u. S. China relationship and doubts of the phase two trade deal. Stuart thank you very much indeed. Here is what we got coming up for you, first of all will take you to wall street at 930 this morning where were expecting a modest loss for the dow and s p in a modest gain for the nasdaq, thats a futures point at the moment, take a look at this number, 41 of blackowned businesses have closed permanently because of the pandemic. Now compare that to 17 of white owned businesses. Why the big gap, will discuss it, we are on it. Hours after chicago accused the president of terry raising her city by sending in federal troops, 14 people shot in the south side of chicago at a funeral. More on that coming up. Here in new york city, restaurant seen the pain from government lockdowns and regulation, some are finding loopholes like selling cuomo chips to survive. We will explain that. W motorcycle riders love the open road. 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Retire better so you can. Welcome to camp tonsafun on xfinity its summer camp, but in your living room. Learn how to draw with a minions expert. How to build an indoor Obstacle Course plus. Whatever shes doing. And me, jade cattapreta. The host of es the soup camp tonsafun. Its like summer camp, but minus the poison ivy. Unless you own poison ivy. In which case, why . Just say summer camp into your xfinity voice remote to join. Stuart free delivery but only for one week, grub hub partnering with Hard Rock Cafe with free deliveries through next tuesday. Grub hub unchanged. How about verizon walmart, this is interesting, tell me how they are teaming up for grocery delivery deal. Lauren is an industry first, if your yahoo email user, you can grocery shop from walmart, fill your shopping cart from your inbox, your email with discounts and recommendations brought directly to you, however, users still have to go pick up their food from walmart so theyre not delivering it yet for you. Verizon owns yahoo but aol, some people still have aol mail and we dont know if this is an option for aol users yet but for yahoo it is in its first. Stuart got it in our we want to say its a delivery story, its a pickup story but were sure walmart excels. Restaurants struggling during the pandemic and government restrictions on Restaurant Operations are not helping, for example bar owners in new york cannot sell alcohol to customers who dont buy food. Theyre getting around it Creative Ideas like theyll sell you 1 dollar cuomo chips, that puts food on the table and therefore you can have a drink. Ive seen nine drinks for 1 dollar, thats another round for this restriction precoming former ceo of ckd restaurants. Is the government hurting restaurants as much as the actual virus, what do you think. It would be tough to determine whos hurting it worse, the government and certain cities is doing everything that he can to restrict what people can do and restaurants and how businesses can survive, you have about 85 of independent businesses are threatened with closure by the end of the year, you have things like cuomo chips although i understand that he said chips wont work so we might have to move to cuomo crackers and maybe its not that big of a reach but restaurants are going to find a way to get around this. Stuart careful what youre saying there. Watch out for that. Im not in favor of that kind of language. But i put it to you that apart from government restrictions, i think theres been a change in our culture, we have the restaurant culture up until february an early march of this year but i think it has changed, i think fewer are prepared to go to a restaurant these days where you can eat inside or outside, i think the culture has changed, do you. I do and i think until we get an effective therapeutic and it sounds like were making progress from that respect or a vaccine, i think it will stay that way, even though for weeks weve had only about 2 of the people tested in new york city testing positive for the virus, i think people are still nervous about going into a restaurant because if you dont know if summit in the 2 is going to be in the restaurant. You are seeing a change in its going to take a therapeutic or a vaccine to turn that around. Stuart also you are interested me, chipotle will report later on and this afternoon, they really adjusted their Business Model, they opened up quite a few restaurants, than a large number of restaurants with drivethrough lanes. Thats not what i associate with chipolte, thats what theyre doing, theyre really going all out to change the way that they do business, to keep themselves in the forefront of the restaurant business, is it going to work . It should, it is working for brands that have drivethrough, if you had a drivethrough and maybe it was half of your business and not any more significant percentage, you can really ramp that up, it is happened with the number of the Quick Service brands, all of which are doing pretty well. And starbucks is adding a drivethrough pickup window. This is certainly something that will be important until there is a vaccine well see if that continues afterwards, i think chipolte is doing the right thing, just into the circumstances and those are the companies that are going to survive. Stuart everybodys going to have to just because things are not going to be the same for a time to come. Put the stock up on the screen for you, they are suspending accounts to fight misinformation. Susan, what theyre really doing is going after conspiracy theories. Can you explain that. Susan harassment and safe news according to twitter, twitter said little stop recommending accounting contents related back to the far right group in limiting circulation of the groups content in places like the trends tab and search and this will likely affect around 150,000 accounts according to twitter saying they have already taken down over 7000 of these linked accounts just in the past few weeks and breaking what they call twitter rules on harassment, there have been multiple incidents of swarming or brigade he by members of the group that they say were individual, usually celebrity or somebody wellknown bombarded with according to campaign of negative messages or tweets, in the meantime on the tech firm, we had a Technical Glitch and has some concerned initially that conservative sites like the daily caller were being censored and theyre not leaking users back to the website at all but later clarified by google saying it was a technical problem for everybody in President Trump has accused google of political bias of conservative voices in their initial concerns with negley tappan. Stuart thank you susan, take a look at slack and microsoft. Slack has filed an antitrust complaint against microsoft in europe. They accuse microsoft of the illegal and anticompetitive practices when it comes to their workplace software, another big American Tech Company under scrutiny over there in europe, no effect on either stock price. Overall we will go down on the market, wednesday morning, a lot of red but not a dramatic loss, down 80 for the dow, six for the s p and seven for the nasdaq. Back after this. Every time a fund manager sells a stock it triggers a Tax Liability for you. And the higher the turnover the more you have to pay in taxes every year. Thats why you want to own low turnover funds. The less you pay in fund fees, the less you pay. To listen, is to hear more than whats being said. And offer the answers that make someone feel truly heard. I understand, lets get started call a Dell Technologies advisor today. 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