tv The Exchange CNBC November 4, 2019 1:00pm-2:01pm EST
>> you said that before on "squawk" the other day >> the yield curve continues to steepen. federal reserve is telling you not so much that they are not going to cut again but they will not raise for many years to come we got leave it. thanks so much thanks for watching the prom the xchange begins right now thank you. welcome, everybody here's what's ahead. from industrials to tech to financial stores hitting all time highs what got us here, what pushed us even further and is there still value out there. under armour having its worst day in two years there's a revenue cut and weak sales hit the stock. a look ahead of what's in it for the company. retail sector worst enemy may be the calendar we begin with today'srecord breaking rally >> a lot of positivity out there. there's a reason why you're seeing a lot of green on the
screen i'm putting stars next to all of these. the dow jones gets one, the s&p gets one and the nasdaq gets one. they all hit record highs. specifically with the dow we're off our session highs. we're up 54. see if that sticks technology and industrials those both showed some signs of life and those become the big ones we want focus on today because they were at record high levels take a look what's happening overall with the s&p let's show you what's happening with energy stocks they are surging today energy far and away the best performing sector. higher oil prices along with higher natural oil prices because of a deepening freeze that could take hold in the next couple of weeks. chef von shares up cimarex energy up and sl
schlumberger also. >> the record breaking rally is where we begin today we got all thiems not just in the indices its but across a wide range of sectors. investors are calling for a recession is quieting down the fed and earnings that weren't as bad as feared let's bring in manage director of private expect. welcome to you both. what's notable about today as well as on friday we're seeing these sectors that are these value sectors that have not been loved, financials, energy, materials and they are picking up >> i think that we came into this week sustained by last week it's sort of everything has come out reiterated a very bullish stance so the last number of months has felt like there are two ways to interpret all of the data you're getting and some people are interpreting it to the upside
and positive consumer and bottoming story and other people pointing to global gdp slowing, et cetera. i think what happened on friday with the jobs numbers and what has continued to happen today with the earnings numbers is the interpretation really playing into the bullish story we've had more today what has come out on trade at least we've had some commentary regarding autos and europe and japan and so it is all helping bolster the fed and earnings position which is a consumer driven economy, continues to be and everybody is feeling good >> the fed last week and what is notable there could be an argument to be made we're in a goldilocks environment if you do believe the economic data is looking better, if you do believe that trade is, you know, at least the fears are abating at this point and the fed -- it's going to take a lot for them to raise again, then we're in a pretty good place >> seems like the base pace is
good the fed has talked about the base economic profile looking solid, strong, things like that. mr. powell and friends have been concerned about cross currents trade looks better it's a very tough thing to handicap that can change in one tweet but it seems the progression is better and better. that's a plus. brexit as far as being a u.s. risk is off the table for a few months you put those two together with better data pretty good recipe for the fed. >> also for if first time we're seeing some selling in the bond market we hadn't seen that in terms of the risk on move in stocks you saw stocks go higher we saw a bid in bonds. today the tlt is down by a percent. where do we stands now >> people are taking risk down it's interesting at the same time you see yields going up and volatility has gone down it's a pretty decent barometer fears aren't as intense. it's dropped with respect to
volatility we think it's a measure that hey the trade situation looks better brexit we talked about that. hong kong. take a couple of other global risks. seems the range of bat outcomes is narrower. in addition to that if you think about return of sector bisector, phenomenal year. in the bond market, whether in treasuries or corporates, those things have done very well why should many investors take a lot of risk right now? they shouldn't yields are going up. >> what should we buy especially when the trade situation can turn on the dime, on a tweet and it can certainly change december 15th >> yeah. absolutely i think part of the market reaction in this sort of indiscriminate move high is that the best case scenario is probably priced in to the market and any sort of downturn or deii
t -- that's worked well in october and this quarter and this year. but stay with consumer staples, consumer discretionary parts of tech that you feel comfortable with financials is interesting. telepho telegraphing from fed has helped even today i feel clients that have a lot of money on the sidelines and there has been this sense of not wanting to put money into the market. the there hasn't been a lot of activity i think people are starting to feel like going for a little bit of yield, making some very specific investments, makes sense because there is as you said whether you call it goldilocks -- we've gone from half empty to half filled people steam be very excited about what the next two traditionally strong months have to bring. >> thank you
from all time highs to one of the worst performers today that's under armour. shares are on pace for their worst day in two years down 68% from their all time highs and this comes after the company said the sec and doj are probing its accounting practices. it also cut full year revenue guidance sales in north america were down 4% last quarter. for more let's bring in the senior research analyst for susquehanna analyst group and our retail reporter lauren thomas sam, i'll kick it off with you does this -- you've already been at a sell rating i gather this doesn't materially chang your outlook for the company. >> no, it doesn't. sort of a little bit a surprising new information, but nothing fundamentally has changed either despite the fact that they beat their numbers by a little bit they lowered the fourth quarter and we just don't see any room, anyway they can drive the upside
growth built into their, the top line growth built into their five year plan >> lauren when i read the news, i like many other people who read the news thought is this why kevin plank stepped down should we make a connection. >> totally today listening to their conference call post earnings, kevin plank came out and said, reiterating what he said when they announced the transition or the ceo transition that, you know, this was my decision this has been in the works for quite some time. but i think you're totally accurate to kind of wonder if there is this connection that can be drawn there's still a lot of thing up in the air right now he some of the things that we want to know and that investors want to know is when did the board find out about this. and, you know, for how long will this probe, i guess, continue. obviously there has been a huge reaction sell off in the stock as of friday the stock was up 20% inquiry to date. i think today it's hardly
holding on to 1% gain for 2019 so there has been this sell off and reaction to the probe and itself and we had this earnings report come out this morning where they cut their outlook for 2019 their sales outlook >> sam, as an investor should i trust this company this has been going on for two years and they didn't find a need or an occasion to disclose this why is this coming out now and not two years ago or a year ago or earlier >> well you bring up a very good question that's one thing we were wondering. we were also wondering what the management meant by, you know, in answer to a question on the call, we're prohibited from discussing it. who is prohibiting them and why? but no you certainly bring up a good point we want to know why we're finding out about it now and not a while ago. transparency is always a good thing. in this case i think that's why the stock on top of the lower revenue guidance, that's why the stock is down.
>> this is an interesting stock in that, you know, it's one of these -- it's competing against nike and adidas but this company has had they cfos between 2016 and 2017 hasn't had the most stellar track record in beating the street yet it's under this accounting probe. so can you connect any of these things with what's going on today? can you go back and say you know what if i take a look at all of this i'm piecing together a company with a truck accounting past >> what i can tell you is that i think that underlying everything that goes on with under armour is that kevin plank believes firm lly under armour is a grow company and wants to get back there quickly. and, you know, i think that was built in sort of what he talked about on the call regarding his
new position as executive chairman and so look, this certainly doesn't -- it doesn't smell good but i don't want the to just come up with reasons what could be there's lots of things that could be and hopefully we'll find out soon what they are >> lauren, sam is already ready to sell. in reaction to this specific news what is the street's reaction >> i think it's still mixed. when the earnings report came out this morning they beat on both the top and bottom line maybe a few bright spots were the fact they've been working on inventory, cut down virngs down more than 20% this quarter and apparel revenues were up slightly 1% but also some huge cause. footwear sales were down 12% when you compare that to any key, footwear revenues were up 11%.
under armour was down 1% so mixed, you know, reaction a few bright spots but they did beat on the top and bottom line. looking to the future and especially with this probe still a lot of uncertainty >> one thing the question really is, can they take share and they think of their product as performance driven and i don't think they realize that performance and fashion and function work well together and i think that's why they don't lose share to their competitor >> taking share with spectre of a probe isn't much easier. we'll leave it thank you both we should note that under armour has a statement to cnbc the company began responding in july 2017 to request for documents and former relating primarily to its accounting practices and related
disclosures. here's what else is ahead on "the exchange. >> bombing up, biotech posted its best month since january out performing all the major averages we'll take a look at whether that continue and what you should be buying >> plus 28,000 flight attendants sending boeing a letter outlining their big concerns why they may refuse to walk on the plane. and here comes uber. the company set to report results after the bell can they right the ship? this is "the exchange" on cnbc i didn't know what was happening... so i kept it in. he started believing things that weren't true. i knew something was wrong... but i didn't say a word. during the course of their disease around 50% of people with parkinson's may experience hallucinations or delusions. but now, doctors are prescribing nuplazid.
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biotech is seeing its best month since january. up 8%. biogen, veritex and amgen up in double digits. can biotech continue its big run? i would love to go through some of these big movers. do you stick with these numbers going through the move number. starting with veritex the excitement is their triple combo cystic fibrosis drug >> good question vertex is one of our large cap
ideas. the stock broke out above 200. 2020 is one of the biggest years for that stock because of that cystic fibrosis drug which was approved five months early set to be an $8, $9, $10 billion drug >> they have three other drugs is it going cannibalize those sales >> a portion of those sales are cannibalized this new drug replaces those old drugs. the new opportunity, 40% more cystic fibrosis patients they can treat. above and beyond what's going to be cannibalized. >> let's move on to biogen they had two binary surprises this year when it comes to the same alzheimer's drug. for investors be prepared for another binary outcome in the year 2020 when the fda gets the application. >> yeah.
so we're more cautious on the biogen that's been pretty much a roller coaster. had a major announcement that the alzheimer's drug failed. six months later they announced wait a second no, we think it works. we'll file the drug to fda and that got everybody back into the stock. our view is that data is very murky, it is very mixed, and really it's going to come down to a political decision, in our opinion as to whether the fda feels political pressure to approve that drug. there should be an fda decision later in 2020. we're advising people to be more cautious on biogen >> is it one of these fda hearings and decisions where families are lobbying the fda. we have love ones hurting. please fast track this drug. >> we absolutely think there will be and one of the interesting read throughs as to whether the fda, of course, knew and knows that's probably going to happen and whether they open
themselves up to any political or public pressure to aproift. if they didn't and -- we're not going to approve the drug why bother accepting the application. the fact they will accept the application and review it, they know there will be a lot of political pressure >> we have to leave amgen for now. it's up 11%. great speaking with you. thank you for your time. coming up leon cooperman's war of words with elizabeth warren and it took a very emotional turn why he says the wealth tax is a bankrupt concept plus they fly for a living but association of national flight' tannedants 28,000 members refuse to get on a plane that is not safe she will join us next. don't miss an exclusive interview with david calhoun on "squawk box" at 7:30 a.m
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president of the association of professional flight attendants laurie, what convince you that the plane is safe if it's not the faa saying it's safe >> well, we're going to, of course, look at every, all the information from all stakeholders that's going include not just our airline but our pilots union, apa the federal and global regulatory agencies for airplanes. we'll look at everything and boeing of course, i would like to have another face-to-face with boeing before we even think about putting these jets back into taxpayer >> if i read between the lines it sounds like you do not trust the faa? >> well trust and confidence are two of the biggest thing that we have right now in line with what's come out in the last week and during the congress hearings with boeing's ceo muilenberg and our flight
attendant spend the most autonomy of time with our passengers we need to know that these airplanes are safe to fly and we need the facts in order to answer the questions that we're already getting from our passengers >> why write a letter as opposed to the ceo of your own company american airlines? >> i had a meeting with our ceo, doug parker about a week prior i voiced those exact some concerns with our top and senior management and they already know where we stand. also i spoke with the pilots union again this morning we're on the same page as stake holders and air crew that's the last line of defense on this aircraft, our focus is on the safety, not only of our crews but of our passengers. >> if your pilots say that they think it's safe, laurie, then will you say to your 28,000 members i think it's safe at well
>> that's one of the pieces that we'll be look at we'll also be speaking with the faa. we want to see what the global regulatory agencies will be doing. we'll talk to our own airline and boeing as well that's one of the pieces we have a lot of trust in our pilots we have some of the most highly trained pilots in the world. >> do you see a scenario where your 28,000 flight attendant members may not fly because they don't feel the plane is safe even if the faa and american airlines pilots say we're going fly the max. is there that scenario >> the airplanes can't carry the passengers without our flight attendants there's an faa regulation where we have to have a minimum of flight attendants on board we're a very important stakeholder in this process. all the information i would gather relay to my crews and flight attendants are version member and they will know
everything i know before we make a determination. we won't make a determination until we hear from the various agencies and companies >> laurie, keep us posted. thank you. now let's get to sue herera for cnbc news update >> hello here's what's happening. a federal appeals panel ruling that president trump's accounting firm must turn over eight years of i had personal and corporate tax returns to new york city prosecutors. it is a setback for the president's attempts to keep i had financial records private. the case appears headed to the supreme court. a roadside bombing killed at least eight civilians in afghanistan, six others were being treated at a local hospital after being countdowned. no one claiming responsibility but the area of the bombing is under taliban control. protesters in lebanon blocked main streets and highways connecting the north and the south to beirut in a move to pressure ruling politician to comply with their
demands. hundreds of cars were stuck in traffic jams >> iran is commemorating the 40th anniversary of the 1979 student takeover of the u.s. embassy in tehran. and the subsequent 440 day hosta hostage crisis you are up to date that's the news update at this hour back to you. here's what else is coming up on "the exchange. ahead fast food shake up what the firing of the mcdonald's ceo means for the burger battles >> why the retail sectors worst enemy this season may be the calendar and will uber's results vegi investors more hope about its future staffing a small business is challenging.
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ceo steve easter broke for violating a policy by having a consensual relationship with an employee and chris kempczinski is the new ceo. he's walking away not empty handed >> he did go through his severance package. nonkpeept noncompetes are interesting. next two years no chipotle or star buck. yum brands or wawa, all these place you wouldn't think of. chris kempczinski has been selected he brought him into the company. he referred to steve as a mentor he's been running the u.s. business for the past two years and heavily involved in this big turnaround while wall street seems split,
some analysts are saying nerves vou -- investors shouldn't be too concerned. david fairhurst is leaving today. no comment on why. >> from spring to summer where we kept talking about record highs that mcdonald's kept hitting. then in the past few month, record crash it's been on a steady decline. the big thing about mcdonald's was a momentum story about the changes they are make but they are not the only like fast food or restaurant kind of chain that has been falling off is that consumer theme playing out a little bit or at least rolling over a tad bit that's the key question for investors. it was a winning trade for such a long time. chipotle still is. >> i think, of course, so many layers to this story of course for investors but we're all talking about the idea of the these consensual
relationships that work and i guess you have to follow the letter of the company policy if this was the company's policy and he violated it and ceo -- >> you're the ceo everyone reports to you even if it's a consensual relationship it doesn't violate the policy >> the ceo will not have any relationship with any employee >> a lot of these n nonfrateniization have clauses it's a broader topic they were moved to take action even though it was a consensual relationship >> the going gets rougher for retail mastercard holiday season forecast south it's stoet grow 3.1% compared to last year's 5.1% this is the shortest holiday calendar with six fewer days
the sales started before halloween. >> exactly i do think that's funny the calendar is something a lot of executives and companies are focused on and i think they will try to get the messaging out to courtrooms so we don't p procrastinate. he's hoping it will even out the season mastercard's forecast is interesting. 3.1% is not nothing especially if we're talking about an economy that slowing but propped up by the consumer not as bullish as some of the other forecasts but out a lot later. you're closer to the season. does that mean you're more accurate and can sort of factor in other macro economic data perhaps. 3.1% is not nothing. that's a decent holiday. >> what's interesting when it comes to certain type of consumer in which power the
holiday season, it comes down to whether or not there's a certain spectrum of spin they feel the market at record highs they want to feel more i'll bank it now and not spend or i'm more cautious because i think it's due for a bit of a pull back. those things are weighing on the scentsments picture. president trump is talk about how you're going to go out there and spend the money you made it comes down to whether or not folks believe this is the time they should be spending the money for this holiday shopping season >> we're all deal shoppers >> we're all deal shoppers >> you got to do it all year round, guys. all year round >> then have your gift closet going. the other thing i would point is almost all of them had these big caveats, well this is our forecast but honestly anything can happen there's a lot of uncertainty
turn now to a passionate leon cooperman talking about what he calls vilification of billionaires and the proposals of bernie sanders and elizabeth warren won't worker. >> the wealth tax is a bankrupt concept. it's a nightmare the for 50 years we've been promised, you know, simplification by the irs. this would be a nightmare. a nightmare. every year you calculate your net worth and give 2% of your net worth to the government. it's ridiculous. gold would surge because people would find gold as a place to hide their wealth. it's the wrong idea. >> later in the interview cooperman tears up because he cares so deeply. will this win everyone on wall street over? >> so leon cooperman -- first of all i respect leon cooperman he's a lightning rod
but he didn't grow up with a silver spoon in his mouth. he's self--made. had a fantastic career and got wealthy. i don't fault him for his success. he's interjected himself into a very contentious debate in america about whether it's okay to have a wealth gap between the richest of americans and least well off of americans and what he's done -- i don't believe -- you don't get to a spot like leon cooperman without having a thick skin but i'm not sure his skin is thick enough to endure criticisms and vilification he's gotten because he's weighed into that discussion. >> i don't know for the debate is that there should or should not be this wealth divide. it's,000 solve that wealth divide >> he's targeting specific policies and one person in particular and that's elizabeth warren and that's the lightning rod that got him burned. >> she will say she made him cry
on cnbc. she will seize on that even if that's not where he was going. he says he believes in paying more for tax but this isn't it to what dom is saying -- >> he doesn't believe the government should be giving away his money. he should be giving away his money. >> i think most people, those have a lot of money in this country do believe that there's something that could be fixed. we haven't come up with the perfect solution there's a lot of assumptions to be made in that wealth tax that elizabeth warren is putting forward. >> let's talk about airbnb the company is banning party houses after a deadly shooting in california at a halloween party at an airbnb company it will have manual screenings
of high-risk reservations. and remove users who violate this new policy. if this sounds almost impossible to enforce -- >> because it is >> because the property owner said that the woman said she was having a dozen people in a family reunion family reunions can get big. this is a huge party very tragic situation. it seems impossible to actually crack down how you can confirm how many people will show up. any houses, it could be a party house. >> what it does is raises the triage scrutiny, right that airbnb might face in these neighborhoods where houses are rented out who wants the possibility of a party house especially when the company can't enforce away party houses >> i know someone who has a house and has several homes for rent in the nashville area if the tenants don't disclose what they are holding there.
he did shut it down because neighbors complained too much. he didn't want to upset the neighborhood seems hard to enforce. airbnb is trying to do something. i'll give them credit for coming out and do it. >> i grew up in california fairly higher class neighborhood higher class town. upper middle class what it does do is put all these municipalities on notice. we have to be proactive on monitoring airbnb. we better put regs out there >> what kind of discount valuation should airbnb get when it goes public because of this that's the question for all these unicorns which many have turned into donkeys. >> horse without horns >> exactly now this is something we can all
get behind microsoft yap experimented with four day work week giving employees fridays off for a month. what did they say? productivity jumped 40%. operating costs fell as employees had fewer and shorter meeting, virtually rather than in person. the experiment went so well microsoft plans another work life challenge this winter >> this is awesome >> this is awesome of course if you know it's an experiment and you know it's a temporary amount of time won't you do your best to make sure it looks like this is a successful experiment >> one day from home studio for myself >> no studio at home >> obviously 40% boost in productivity is something else fewer meeting, we can all get behind that. >> there's been this huge movement for a long time about adding a few hours to your day and then working fourer days
during the week so every week could be a -- i could get behind this i would have no problem working like 50, 60 hours a week if it meant i could have an extra day off. i have a problem because the paradigm won't be changed easily employers got so used to five days >> not everybody does it how do you get -- >> it could be a selling point >> and a lot of, i think more offices are thinking about flex time you can work from home on fridays. they love it because they don't have to go into the office on friday >> you move to four days a week and people go back to surfing the web and doing their online christmas shopping and all those things that eat up a lot of time >> management, we don't do that. >> never no no as i shut down my browser. thanks manufacturing slowing down across the country with the
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on all 2019 models. experience amazing at your lexus dealer. factory activity slowing for the third straight possibmonth. kayla tausche traveled to pennsylvania, ohio and wisconsin all critical swing states to see how businesses there are faring and what it means for president trump's 2020 chances >> reporter: this machine shop in pennsylvania is still humming and sawing but it's quieter than it used to be. what about the people who used to service these >> they are not working any more >> reporter: how many were there? >> we had about six people have been laid off. >> reporter: that's 15% fewer workers at ameriservice metals
a third of its machines are idle >> we want to replace machines faster >> reporter: that's due to $3 million in tariff costs because kwuf customers are buying less. >> a year back that the manufacturing sector recession started. pennsylvania lost a big chunk. >> reporter: that trend is emerging across the rust belt. once blue corridor of heavy industry won over by president trump's manufacturing friendly message. >> we've now gained nearly 10,000 new factories under my administration >> reporter: that early renaissance has started to reverse in these politically critical swing states which lost 25,000 factory jobs this year. that's largely thanks to major multi-national companies exposed to the slow down overseas. and their weakness is spilling
over u.s. manufacturing activity declining for three straight months, with a sharper slow down in the midwest where order backlogs are touching financial crisis era levels. in wisconsin in cherch meadow spinning, drew's to-do list is getting shorter. >> january in through may this was completely full. i couldn't write any more. it's toned down a little bit >> reporter: he makes components for engines, plastic molds and playgrounds. the president says he's still investing for the long haul. >> i think there's still optimism among people like me out there that it will be a blip >> reporter: there is some impact now >> our quarterly bonuses are lower than they were people aren't necessarily getting 45, 50, 55 hours per week their overtime is down >> reporter: in ohio timkin is
furloughing employees. bob harper is lobbying lawmakers for the steelworkers he represents in stark county, ohio where voters swung for trump in 2016 after three elections backing democrats. harper says based on the economy it may well swing back >> everything he's promised us is not there you know that's how he went after the midwest, the rust belt, ohio, wisconsin, michigan and all that not working. >> kayla, what the is the white house's response >> reporter: we reached out to the the white house for comment. they didn't respond as of today. trump campaign did not respond to the trend in these specific states but the communications director for the trump 2020 campaign points to the net national gains since president trump has been in office and said manufacturing is a big part of the economic rebirth and if democrats pass
ism c that would be more good news the white house has yet to sends ism c to capitol hill for that vote to be scheduled clearly if you look at the travel schedules of president trump and vice president pence these are states they care deeply about winning again next year >> thank you uber is on deck to report results tonight with the company one pressure to prove it can generate sustainable profits shares are down 30% from its ipo. is there more pain ahead or will it surprise the street that story is coming up. ♪ ♪
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shares of uber falling 30% key numbers due out after the bell today that is next , she's the next mozart. as usual we were behind schedule. but sophie's enthusiasm cannot be dampened. not even by a run-away donut. we powered through it in our toyota prius. because a star's got to shine, no matter what. it's unbelievable what you can do in the prius. toyota let's go places.
so servicenow put your workflows imm-hm.cloud, huh? your employees must love you. thank you. ah, you could say that. so how are things with you guys? great. thank you. thank you, sir. lunch next week? terrific. say hi to the team. will do. call my office, i will. -sounds good. alrighty. servicenow. works for you. the market bracing for
uber's result after the bell it's supposed to be another ugly quarter. shaving more than $20 billion off its market cap investors growing skeptical of when the ride hailing company will be profitable joining us now with more is the managing director and head of internet research. great to have you with us. >> thank you >> it was interesting to watch the stock react to when lyft said they would be profitable earlier than what analysts forecast should inkpesvestors make that extrapolation? >> i think that's right. if you look at what they did with estimates, they took them 2.5% contribution 5% and crash flow loss by 24%. i think the narrative is there yes, i think when you look what the the industry is looking for
you have a chance of coming out of uber and kind of raising the contribution profit and some of the losses >> how about the other businesses that investors had liked for so long. the moon shot business, so to speak that don't make money either >> where the bulk of the losses is really on the automated driving side, as far as on the commercial shipping business and on the bicircle, losses are small. the company did roll out to try to bring all those activities in one. they can talk about how that is beneficial to the fourth quarter. the bottom line is you really have to lock up on it. you have the quarter and what happens after the lock up. >> what do you think happens
with lock up it's estimated roughly 90% of the total shares outstanding are eligible for sale on that day. that's a lot >> it's give or take that amount look if you look there are a number of 4% or more older than this we would really be surprised to see some of those in the open market we think the company knows this and there would be a lot of focus on the fundamentals and really coming out with their best foot forward. >> the bar will be high what he tells investors about profitability. they don't want to be part any longer of companies that don't make money that's just the sort of the
trend in the market right now. >> the wework fall out >> exactly >> i think investors want to see progress for this company, it's platform contribution profit. they with show a glide path. we think investors want to be there. the valuation is already discounting a lot of bad news. the fundamentals will rule and maybe it take a week at the end of the day if this company can prove to the street that the overall industry is
more disciplined with wdiscount, they are managing the regulation they are dealing with. there's less capital to fund competition. investors will be receptive longer term. >> thank you for your time that does it for us here on the exchange we'll join scott in a minute on power lunch that begins right now. see you in a moment. i'm scott walker here is what's new at 2:00 the record rally rages on. the dow hitting an all time high since july our market panel weighs in on that the ceo of mcdonald's out after a consensual relationship the ceo is here to explain what's behind this under the radar retail boom. power lunc