tv The Claman Countdown FOX Business May 12, 2022 3:00pm-4:00pm EDT
of cash, you can start to really slowly put that to work if you are indeed a long term investor i want you to think about this a lot of stocks that you might sell right now at a big loss, you'll be tempted to buyback six months from now a year from now at a much higher price. the amazons and apples of the world so at the very least you may have to just grin and bear it. here is the good news. you've got the best of the business to take you over the next hour. liz claman. it's on you. liz: [laughter] second-best, you. all right, great to see you. do you know what here is a question, charles already knows the answer. when there is this much fear and uncertainty, the first thing to go are risk assets and the crypto right now is about as risky as you can get at the moment and many of the coins from bitcoin to ether to cold and stable stablecoin shows serious fracture, the question is will the damage from this area be contagious and systemic, equities taking
another beating as april produced inflation numbers remain near record highs the dow by the way on tap for its sixth day of losses tumbling to a 14 month low down 541 points at the moment the nasdaq has dropped 30 % below its record high back in november of 2021, today is not a pretty moment here we're down about 1.6% down 185 points off the lows, believe it or not of the session. we've got our fox business experts lined up to interpret the market action, gil luria, and our floor show traders are ready to tell us where to put your money in a risk-off environment. inflation, the war in ukraine, china covid closures and a broken supply chain all adding to the worries. one of the biggest problems and we talked about this , semiconductor shortage. the new ceo of arm, the chip architecture giant that pretty much every semiconductor company relies upon, is here, first on fox business, to tell us if he
sees any easing. you've gotta hear what he has to say plus we are just two weeks away from the unofficial start of the summer travel season, and suddenly, wall street's flashing the warning lights, the ceo of travel search trivago company site is here in a fox business exclusive on whether the summer vacation will indeed begin, after memorial day. let's get to the breaking news. it's sort of the moment that the buffett and the munger of the world predicted something resembling a run on the bank investors in a mass-simultaneous retreat appears to be occurring in one crucial segment of the cryptocurrency world, which in turn is causing systemic damage throughout that sector. at this hour, stablecoins, which are named as such because they're supposed to be pegged to the u.s. dollar, are now de coupling from the green back and plunging well-below the one for one equivalent. terra u.s. dollar crashing to as low as $0.23 yesterday, has pretty much yet to recover any stability, right now it's at
around $0.38 but the earthquake in stable coins is shaking the foundation of bitcoin and et her. overnight bitcoin plunged below 26,000 to 25, 400 we're at 25, 254 at the moment, so we've seen a bit of recovery but right now, we are still down about 2.3% for the token of record. the meltdown hitting crypto exchange coinbase while shares reversed from a session low of about $41.80 they are still slightly lower at 53.68 and shares have gotten smashed 48% week-to-date. the volatility has many investors selling first and asking questions later. d. a.davidson analyst gil luria says the crypto down cycle has more to go but still believes crypto technology is here to stay particularly in the financial services world. gil, let's start macro the overall crypto meltdown. how much further does it fall? >> well we've had a few large
corrections in crypto in the past. if you think about 2013, bitcoin went from 1,100 to 200, in 2017, 2018, it went from 20,000 to 4,000. we're only down 50% right now from the peak, so clearly, it could go lower, very hard to pin down just like it's hard to pin down the market right now, but that doesn't change from the rest of the big picture which is the development and the technology that advances that are being made around crypto assets and crypto technology will continue, even if bitcoin does continue to go down. liz: okay, but if we look at bitcoin, which is going down about 582 bucks we're at 28, 375 , flip it over to ether. the second-biggest crypto is actually suffering a more painful implosion. according to coin geek o, while down about 9.5% over the past 24 hours, ether lost 32% over the past seven days. gil, this makes a lot of people
nervous and i don't know which came first the chicken or the egg. is it the market in stability overall and equities causing the crypto problems or are these crypto situations worrying equity investors? >> well for the first time, those two things are related. if up until this year, crypto assets were really uncorrelated and that was part of the value proposition. that's no longer the case, especially on a day-to-day basis we see they are behaving like risk assets and when risk is being taken off the table it's being taken out of crypto assets as well. it's not too complicated to think about the fact if you lost half your money in netflix and you're getting margin call, you're probably selling some bitcoin and ethererum to pay for those margin calls thus driving prices down and vice versa, and so the assets are starting to become more correlated and they are just looking like bets on technology, a bet on microsoft, on google, netflix, a bet on technology, so
is the bet on bitcoin or ethererum. liz: that sounds like systemic damage to me but i have to ask you about coinbase. coinbase is the stock, the brokerage, the crypto brokerage of record, pretty much why do you still have $135 price target on coinbase when right now, it's at $54 and change and on top of that, i found this extremely sort of lehman-es que worrisome. the ceo brian armstrong tweeted last night "we have no risk of bankruptcy." why are you even bringing that up? and then he also said in the event of bankruptcy, the crypto assets we hold in custody on behalf of our customers could be subject to bankruptcy proceeding and such customers could be treated as general unsecured creditors translation, anybody whose got a crypto i guess account in coinbase, that's not protected. that made me very nervous. why are you still looking at a triple digit price target for
this company? >> yeah, let me try to answer both parts. so the first one is easy. we believe crypto is a category as an economy as a technology will do very well over the last, over the next year, five years, 10 years one, and two, we believe coinbase is the gold standard company in this space, and therefore, it is certainly worth the investment to look at a company that can succeed in an industry we think is going to boom going forward and is now trading at a fairly reasonable multiple especially of trailing, of peak earnings. the second part in terms of the communication from mr. armstrong, i would question the wisdom of tweeting something like that. making a point that people should be aware of, which is not your private key, not your coin, the whole crypto assets is that you can own the asset directly without anybody being able to take it away from you in order to do that, you have to hold the private key, the 32 digit he
xadecimal code. if you have a service provider whether it be coinbase or other exchanges that holds it for you, if that company goes away, your crypto assets go away, and that's something that people should be aware of. it's part of the risk of crypto assets, part of the value of crypto assets, you can hold them in a more-secure way than any other digital asset, but if you choose to leave them on an exchange and give the exchange control of that, you don't truly own that asset and people should be aware of that. liz: well, yes, indeed and that's why we say the first thing to go in market sell-off like this are risk assets and cryptos sure looks risky at the moment. gil, thank you very much, look at the dow jones industrial folks we are losing about 555 points right now, investors highly-sensitive to headlines right now, particularly the worrisome ones, and it really isn't just cryptocurrency , right? as you look at the stocks at the moment in a big indices, the s&p , remember on tuesday, when trader scott redler said
the next support level he was looking at be around 3,800? we're not far from that. we're at 3,867 at the moment and let's look at the intraday for the nasdaq. nasdaq, well it was the lost leader a few seconds ago now the s&p and the dow are the bigger percentage loss leaders but the next stop for the nasdaq floor looks to be about 11,000 we're at 11, 173 right now. the catalyst for the overall sell-off, aside from the crypto mess, today we got the manufacturing version of the consumer price index number, inflation at the producer level in april went parabolic rising 11% year-over-year. that's hotter than the 10.7% expected, and you can see from the vix, the volatility index, that fear is being propelled by all of these headlines up about 5% right now to 3,425, so which of these headlines do you need to pay the most attention to, and how far did the tentacles of each one reach when it comes to dragging the markets and perhaps
your portfolio down. let's get our floor show traders in here john bagliardi and tom h ayes. john, your most worrisome headline and what you're doing. >> we're seeing some at the top of the s&p starting to peel away and sell-off and a lot of this is all about the fed and the funny thing is everyone was interested in disruptor s and it looks like the disruptor s were disrupted with two rate hikes and we've got two big ones on the way, one in june and one in july so we could expect a lot more of this is really the short story. where does this go and where does it end? my indicator i told other folks, my best indicator right now is july. in july, we'll have a much more clear picture of wherein population stands and what the fed plans to do next and this is the most transparent fed we've seen in decades so we're getting a very clear picture
that rates are going up. liz: tom very few things are working right now i'm checking all of my screens here, europe was pretty ugly today, overnight china, everything was bad, and then you look at say for example , the metals, gold, silver, platinum, palladium, everything is down, palladium which of course is the substance that helps make catalytic converters convert, a big auto play here down seven and one- third percent so talk to me about the headlines you see as most important. does currency really cryptocurrency make a big dent in the psychology here even if people don't own crypto and what do you buy for a portfolio as far as insurance is concerned >> yeah, well there's an ancient chinese proverb, liz, that says he who picks bottom gets stinky fingers so we have to be careful here but as the 10 year has sky rocketed from 137 in just december, 137 to up to 319 earlier this week, and now back to 282, i don't know if it's so much of a crypto winter
as it is a margin winter, and that's what i'm watching. you've seen the air come out of crypto stocks, innovation stocks , tech stocks, biotech, and china tech. this is all due to higher cost of margin, people are getting margin calls as long duration speculative assets come down in price, and it's a cascading effect that has to flush through the system before we find a bottom; however, now that yields are stabilizing, they stopped going up so quickly and they backed off to 282, we're seeing something unusual. it's like it's opposite day today because biotech is actually green, and biotech is an interesting sector that we're looking at number one, it's near the low end of all its historical multiples and number two, i think pfizer may have lit animal spirits earlier this week when they bought biohaven for 11.6 billion. the pharma companies have patent clips coming up but they have a lot of cash and biotech is trading at multi-decade lows whether you look at price-to- book, price to free cash flow, price-to-sale and now
, boardrooms across america and big pharma have been put on alert. if you don't buy these cheap companies, pfizer or someone else will, your competitor will, so i think there maybe some opportunity there that you can start to nibble into slowly here , we don't want to pick the bottom but we want to ease in at these level of valuations. liz: i think so and that's what we're hearing from a lot of smart traders, tom, john, great to have you thank you very much. so much is happening right now, folks and we still aren't at the lows of the session, but still a significant sell-off and you know, this brings us to this question last year, everybody said we were supposed to see the hot summer where everybody gets out there because they are vaccinated and spending money on travel. didn't entirely turn out as people thought, but now, as the masks are really off and travel is back to pre-pandemic levels, why when the annual summer vacation boom is widely expected across the globe is wall street suddenly going cold on travel demand for the rest of the year?
the ceo of travel meta search trivago joini ng us next on a fox business exclusive on what he's anticipating seeing. closing bell 47 minutes away we're watching crude oil it's up hard to find things in the green that's one of them but the dow down 565 s&p lower by 67 the nasdaq down 187 the "clayman countdown" a lot ahead don't move. meet jessica moore. jessica was born to care. she always had your back... like the time she spotted the neighbor kid, an approaching car, a puddle, and knew there was going to be a situation. ♪ ♪ ms. hogan's class? yeah, it's atlantis. nice. i don't think they had camels in atlantis. really? today she's a teammate at truist, the bank that starts with care
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liz: airbnb shares down about two and two-thirds percent after bank of america slashed the price target of the home sharing giant by $28 to $160 a share. never mind that it's well-below that at 113, bank of america says wall street is turning negative on consumer spending and the risk is now starting to affect the travel industry, bank of america is looking for lower summer bookings as a possibility now. so at 113, airbnb right now is down, i want to say let's say year-to-date it looks like it's a loss of about 32%, but you know, ceo brian chesky told us two weeks ago he's expecting the biggest recovery in travel
since world war ii. what does wall street see that travel companies is not at least until now seen? let's get a read on what's happening in realtime with axle haystackfer, ceo of trivago joining us in a fox business exclusive from germany. axle, one minute it's travel as the hottest search on google and now they are getting cold feet. are they right? >> i don't think so. we are very excited and we think the summer will be very very strong and in fact we just finished a consumer study where 83% of consumers expect the best summer ever, so i think wall street is wrong. liz: where are they getting that and i started to think and maybe they are triangulating from something very real and that is the worst inflation we've seen in decades. people at first were saying you know what? i'll pay these prices but suddenly, we were looking at some of the components of the consumer price index, inflation at the consumer level. airfare. airfare prices jumped 18% plus month over month which to me,
was pretty shocking. that was the biggest jump since they began keeping records for consumer inflation. that was back in 1963, so i'm just wondering are you still seeing consumer out there willing to pay these prices as they continue to rise. >> absolutely, and i think the one thing that the wall street is underestimating is the strong need for really a summer break and we've seen that even in 2020 and 2021 that coming out of lockdown period, that consumers around the world just need a break and they just need to travel to get a break and more flexible in terms of destination where they go to. it doesn't have to be a long trip. it can be a bit closer by, and so that, i think, will counter the inflation argument or overcompensate the inflation argument and to be honest from our business model perspective, if there's more cost consciousness that is good, if you help people to compare prices. liz: what are some of the
biggest trends you're seeing on your site? >> what you're seeing is that for summer, it's clearly again beach and then depending on where urls a mountain destination so the classic summer vacation, very very popular and big, big bump and strong demand, but we're also seeing that the top destinations like dubai, london, et cetera, are coming back. more slowly -- liz: let me just jump in here what i was going to see is we've started to see the cruise industry showing real signs of robust bookings. we had carnival announcing really strong bookings a couple of quarters ago, and now, the stocks are fluctuating mostly down, so how does that part of the industry look? >> to be honest with you i don't have anything with the cruise sector but it's not a
surprise to me. if you don't see the pandemic in daily life anymore, it's not a surprise people are more comfortable to go back on cruise ships, but we don't have any business relationships with the cruise ship business. liz: so you have a big investor and that be expedia. obviously, they are in the same industry as you. overall in the aggregate, what is the highest number you expect when it comes to travel bookings and the search for big packages and opportunities to see the beaches as you put it this summer. >> so far, for beach destinations i do think that in most destinations you will see volumes that are higher than 2019. for cities we do expect that it will take a bit longer to get back to 2019, for trips in new york, et cetera. business travel as a last segment will lag even further but depending on the business mix you'll see different recovery rates. liz: we'd expect that. axle, hang in there.
what you're saying that wall street is wrong on this , and i suppose the numbers will play out soon. axle hefer of trivago. the tech wreck has one wall street analyst thinking the favorite online trading platform of the reddit levels and meme stock investors has fallen so far it maybe primed for a takeover, but is robinhood ready to hold the fort or at least let go of it? details straight ahead closing bell 37 minutes away dow has just paired a good 200-plus points of its losses we're still down 33 oh, 0 points but maybe we'll see firming here we're coming right back. if you used shipgo this whole thing wouldn't be a thing. yeah, dad! i don't want to deal with this. oh, you brought your luggage to the airport. that's adorable.
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no word on which company would step up to acquire it so right now, that's giving robinhood a bit of a lift here of four and one-third percent stock is still at $8.50 but citi did cut hood's price target to 13 a share from 24 a share, yes, that would make sense considering the stock has lost about three-quarters of its value since its ipo last summer tough times certainly over the past several weeks for hood but could any of the big brokerages step up and buy robinhood? td ameritrade owner charles schwab, e-trade morgan stanley, interactive brokers are all busy dealing with their own issues so all three stocks are moving lower right now. luxury name tapestry is actually on pace for its largest percentage increase in two years , up 15.6% after the owner of the coach handbag brand said it's confident demand for its products in china will bounce back after covid-19 curbs ease. the company did cut its annual profit target on china weakness
but third quarter revenue and profits topped estimates. amare it source berg en is on base for its largest percentage decrease in more than two years after walgreens boots alliance reduced its stake in the drug distributor. walgreens sold 6 million shares at $150 each, that's right where amerisource bergen stands and said it would use the $900 million in proceeds to pay off debt and support its strategic priorities. abc is up 35% over the past year , walgreens boots alliance down about 1.25%. and love is in the air for bumble investors after the dating app operator reported 211 million in revenue for the first quarter, that beat estimates. the company said it saw a 7.2% increase in paying users for the quarter, paying, that's key. bumble up 25% to $22.07. dutch brothers plunging to a record low after the company warned that inflation is now impacting sales growth. the drive-thru coffee chain said
it expects full year same-store sales to be flat for the year versus a previous forecast of mid single-digit percentage gains dutch brothers down 27.9%. one thing we have learned over the past couple of years, semiconductors, chips run the world, from virtual reality to autonomous cars, smartphones, laptops, arm design, the foundation for most semiconductors, that are power ing the tech revolution now , and guess what? arm has a brand new ceo taking the helm as the entire semiconductor industry faces its biggest test in history. renee haas says he's ready joining us first on fox business next, closing bell 29 minutes away, the dow down 419, the s&p at 3,891 is lower by 43 points the nasdaq down just under 1% we're coming right back. ♪
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liz: japanese tech telecom and investment conglomerate soft bank telling investors this morning the company should be playing defense right now, and it's actually started by defending a disappointing quarterly report. the world's biggest tech investor posted a net loss of $13.2 billion for the fiscal year happens to be the largest in its history, currency shares of soft bank down about 5.6% but the ceo might be thanking his lucky stars for one company under softbank's umbrella, arm. this is the largest chip architecture company in the world delivered record revenue and profit for the fiscal year. the company tends to be a very solid gauge for the health of the semiconductor industry as a whole, and as you know that industry is struggling with the most challenging headwinds in more than a century. arm's new ceo renee haas is joining us first on fox business renee, welcome to the show. thank you for being here.
>> thank you, liz. liz: well, forget the frying pan you're kind of starting off right in the fire. we know supply chain issues are problem child number one for the industry but are you seeing easing right now of the tangled supply chain? >> yeah, it's an interesting time that we live in, because semiconductor products as you know have been historically quite cyclical and if we just take the automobile sector for a moment which is increasingly full of technology and actually arm technology, you have increasing demands in terms of products, supply chain, et cetera, but now what's happened during the pandemic is you have so many other aspects relative to logistics shipping ports et cetera that i do think we are into some complex times. we don't really have a model for what we've looked at today and again, if you think about an automobile which is so complicated to build, steering wheels, tires, glass, a couple small diodes not being in place at the right time means you can't ship a car, so i think we're in an unprecedented demand
situation for semiconductors which is great, but i also think the supply issues are with us for a while. liz: we thought it was really interesting nissan ceo today came out and warned that the shortage will "be the new normal." then you had intel ceo pat gel singer a couple weeks ago saying the chip shortage which was expected to hopefully be over end of 2022 beginning of 2023 now going to stretch into 2024, whose right here? >> i do think the chip shortage is going to be with us for a while. again, when you think about these complex semiconductors going from seven nanometer to five to three nanometer the equipment required to go build those there's a lot of investment required and long lead times and then at the same time these complex chips they have packaging, they have substrates, there are lead times around that, and then again, when you just get into the logistics of moving products across the globe in this pandemic it's quite unpredictable, so i think it's going to be bumpy for a while, as far as the shortage lasting a
year or two, ifng to be complicated for a while because we're seeing just again huge demand for products across all our sectors. liz: i think you really helped our viewers understand something when did you call them nodes? just a few unable to be sourced, setting off an entire chain reaction that really holds up an entire system that helps people visualize where the real problems are, but you just became ceo in february and it was around that time that nvidia 's acquisition plans forearm fell by the wayside, because of regulatory issues and the regulators simply wouldn't let it happen. what do you look forward to with arm as we go forward? you had been at nvidia, i know, as well as temp silica, so what's the next opportunity to grow forearm? >> yeah, so you know, my background well, so thank you
for the background there. its been 90 days since i've been in this seat, its been a very busy 90 days. we're very excited about the future. you talked about our results, record revenue, record profit. one of the things we're most pleased about is our licensing business what we call our non- royalty hit levels we've never hit before over $1 billion , and that is a harbinger for future demand forearm technology which we're seeing again across hyperscalers , automotive, iot, and of course mobile so we are very very proud of the results we've achieved but looking forward, we're going to be really really busy and i think for us, really the next step is moving forward to the next phase of growth for the company, but for us, i couldn't be more happy about a, what we've achieved and we've got a lot of things to work ongoing forward. liz: and for people thinking well nvidia is a competitor, intel, no, no, you build the platform, the architecture upon which a lot of other chip
companies build and customize for that and then obviously, there's the licensing business. i need to talk about what's happening in washington d.c. because today, as lawmakers are working on negotiations on a measure that would fund $52 billion in the semiconductor industry, we're still not seeing that actually come to fruition. how important is that, because these fab plants, these fabrication plants, are so expensive, take forever to build , and it's really what would give us that edge over china when it comes to the semiconductor industry coming back to the united states. how important, if you had president biden's ear, and congress' ear, would you tell them this is. >> you know, i think generally speaking, because the fabs, which are really the heart of the semiconductor industry relative to building products, having a geographic diversity is a good thing. just like the large cloud vendor s don't have their data centers in one geography, think of fabs the same way, you don't
want them in the same part of the planet, same part of the globe, different areas that might have different climate kind of issues so generally speaking and not taking a political position on this i would just say geographical diversity is really good for the semiconductor industry particularly on the manufacturing side. liz: okay so i'm hearing you say that we don't need to go heavy into building out these plants here, stateside? >> well again, i'm not going to kind of dip into what i might tell president biden if we ever have the time to speak to me but i would say again, having geographic diversity, plans and other parts of the planet, it's a good thing, it's really what you want to have because they are the fabs are the life blood for making the industry go. liz: forgive me if i don't know the very latest on whether arm be spun off by softbank, but is that something that you see for the foreseeable future, near future at least? >> can't really say too much about what we're doing forward.
arm is preparing for an ipo so i think that i'll leave it at that , but that's what we're really looking for in terms of the next phase of the company post the nvidia acquisition. we're very very happy to be an independent company once again, we think our growth opportunities are quite profound arm's a very different company than we were pre-softbank. softbank bought us in 2016. the world sort of knew us as a supplier to the smartphone industry. coming out the other side, we're growing in hyperscalers, growing in networking, growing in automotive, growing in iot. it is a very very different company going forward. liz: yeah, well it is huge and just about everybody watching right now has something in their home or in their hands that has arm architecture in it. rene, please come back, thank you very much. >> thank you, my pleasure. liz: as the u.s. markets struggle and yet we're still struggling although off the lows of the session at the moment wie have ceo's and bank executives living it up on royal invitation from the prince of whales himself, fox business has just
learned about a secret royal esg gathering across the pond. charlie will break the details here, next. and how did a college dropout turn winning a class contest into a multi-billion dollar business? this guy did it and he joins me in my podcast everyone talks to liz. the youngest ceo of a publicly traded company, his name is alex rodriguez he shares how he started his autonomous trucking company from his garage with a couple of friends, and has now become a multi mill on area at just 26 years old. his story is really into detail. you get to find out how he did it on my podcast, it's available on apple, google, spotify anywhere you download your podcast closing bell 17 minutes away dow down 277 we are coming right back with the one and only charlie gasparino.
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liz: a top secret esg conference is underway in england right now , and the next in line to the throne is hosting but nothing secret from our charlie gasparino. charlie: is that prince charles, i believe? lovey, could you pass the salt? liz: you have to learn how to do the cufflink thing. charlie: come over here and serve me my tea, brian, you think you're the ceo of bank of america, you're really one of my subjects. liz: [laughter] charlie: listen, nobody knows this , but i mean, it's fascinating somebody that was at goldman sachs tipped me off to
this , so to speak, that there was this secret meeting that occurred between top executives at all these banks, including the ceo of bank of america brian moinahan, with prince charles they hung out at buckingham palace, went to st. james palace, ate some good meals, and in between all that, they talked about esg and like how to make the world a better place. of course they all kept it a secret because they were flying on their private jets which, you know, adds that carbon footprint of the world, but i can't help myself, they didn't exactly take freighters over there. liz: like the auto ceo during the bailout. charlie: but they spent two days having a good time eating some sustainable hopefully sustainable food, using some sustainable energy, talking with prince charles. i wonder if he talked to them
with all of his medals on about sustainability. what's interesting, liz, is the context is big and that's why nobody wants advertisers. we talk to people like goldman apparently the head of goldman's european operations somebody from morgan stanley, brian moyni han, bank of america had a ton of people. liz: they wanted the free food. charlie: must be they like mutto n. liz: the sandwiches, the tea sandwiches. charlie: what's in those? liz: watercress. i'm named after the queen i know this stuff. charlie: of course you are the queen, the queen of fox, and i'm the king, right? ha ha. [laughter] but anyway-liz: it's a royal jes ter. charlie: while this is going on and this is why they aren't publicizing it so i called up his heiness, and i got flack. liz: so the prince? charlie: i mean the prince. he's got a flack and she did
confirm the whole thing. she goes how did you find out about this and i said well, you know? liz: seriously? charlie: i swear to god. you can't make this up it's so bizarre. i think the reason why they are keeping the lid on it is because esg is now coming under such pressure here in the u.s.. liz: environmental social government. charlie: the whole notion of reducing your carbon footprint immediately if you're a company, if you're an asset manager forcing your investments, everybody is for this theoretically obviously we want the world to be a cleaner place. the problem is if you do this as they're doing it now, you're going to get higher oil prices because you're going to prevent oil companies or just make it difficult for oil companies to drill, and that's what we have now, given the fact that russia's out of the market and things of that nature, so i think that's why they kept it quiet so we called up goldman, apollo management had some people there, fidelity they had people there, interesting larry fink didn't go. liz: not invited? charlie: tells you something about mr. fink. he's a very smart man and he is
changing his esg position, as he told us on your show the "clayman countdown." liz: [laughter] he comes here but he won't go to the queen i like that, thank you , larry. charlie: he's a good guy but they are keeping it mum. that's what the they call moms, right? the mothers are mums. italians call their mothers mommy, just so you know. liz: okay. charlie: so anyway, i'm getting confused between my accents, my bronx accent and my english accent. they're keeping it quiet because they don't want us to know about it because they know it's coming under pressure here but they still want the free mutton. i hear the music. liz: yes, and i'm looking for my portable -- charlie: why don't we play brita nia ♪ liz: charlie,
thank you very much, we're all refreshed and challenged by your point of view. charlie: yes, thank you, sir. liz: boring is back in vogue according to pod's countdown closer he will tell you where you should put your money to keep your portfolio calm amid wall street's wild swings closing bell seven minutes away now the dow has paired its losses to just 177, go ahead. charlie: keep calm and carry on. . . lemons. lemons. lemons.
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and when you book and pay throug yothese aren't just shipments.s they're promises. promises of all shapes and sizes. each, with a time and a place they've been promised to be. a promise is everything to old dominion, because it means everything to you. in one second, sara. yes! will get a job offer somewhere sunnier. relocating in weeks. weeks? yeah, weeks. gotta sell the house. don't worry, sell to opendoor, and move on your schedule. yes! when life's doors open, we'll handle the house. ♪. liz: four minutes to go. we have lopped off just about 400 points from losses of the dow which is down 209. s&p lower by 18. low of session, loss of 86. we're climbing back here. russell 2000, small caps doing better than the big names. russell has punched into the green right now up just under 1%. bore something back as far
as investing is concerned. so says "countdown" closer and consumer staples still have quite a pulse. he has stock picks he says prove you need to keep some of these names in there to keep your portfolio alive with a heartbeat. joining me wall street alliance group partner. give me the names that you like and why will they be immune to what we know now is the real thing, that is serious inflation and consumers waning and, winnowing down their budgets for their household. >> great to be with you, liz. so no matter what happens as far as the economy is concerned people are still going to buy toilet paper, people are still going to buy toothpaste. that is why we like consumer staples over here and one of the companies we think is great in that space, costco. we call them anti-amazon. they make their money through brick-and-mortar retail. they keep it simple. prices are low.
they're efficient. execution is well. they have subscription model with renewals 90% range. we really like the stock. liz: it is down about 14% year-to-date at cost. you're not buying it at a high. costco at this point i love it. i look at that store, that company, so many people depend on, low end, high-end but amazon has pulled back to more than two years lows. why not amazon? >> i think we should have a barbell approach. amazon is actually a fantastic company which is benefiting tremendously from the cloud business but the stock is down more than 30% year-to-date. fundamentally the story hasn't changed n a diversified portfolio we feel there is room for both. you know it is time for bargain hunting, liz. people have been pining for bargain hunting for the past three years. now you're getting the opportunity and i think amazon looks very interesting over here.
liz: adil, that is exactly what warren buffett would say. now is your chance. you like visa and jpmorgan chase. where do they fit into your theory that the consumer will still lean on these companies, therefore their stocks should be resilient? >> well the banks, liz, have been hammered because of recession fears. we are in the camp, because of the strong consumer spending, banks, you know will be resilient over here. and, they're going to benefit from higher interest rates, net interest margins are going to improve. as recessions subside, investment banking activity will pick up. we like jpmorgan, it is best-of-breed over here. we also think that people are now ready to travel and splurge on traveling. we feel visa benefits tremendously from cross-border fending. as parts of asia open up from covid restrictions, cross-border spending will increase and we think they will benefit from
that. liz: thanks for talking to us about investing in a challenging environment. speaking of challenging, difficult to anticipate. the nasdaq turned positive. it erased more than 255 pints of losses. [closing bell rings] the dow can't make it a go. loss of 130 points. six down days in a row. significant losing streak. that will do it for us. larry kudlow is next. ♪. larry: hello, everyone, welcome to "kudlow," i'm larry kudlow. so you would think with yesterday's cpi rising 8.3 and a 30% jump in energy, and today's ppi rising 11%, with a 40% increase in energy prices you would think that the biden administration policymakers would support more oil and gas supplies, right? well, no. you would be wrong. instead the administration canceled one of the most high-profile oil and