>> it's always the walmart/nvidia, but it's always who the walmarts/nvidias are at that particular time i wrote a few years ago that it was a tale of two cities and i was the loser as the active investor there's a huge difference between walmart and nvidia >> which are investors going to focus on the brightness of the consumer or the dimness of what's happening because of trade >> how about stocks versus bonds instead of that argument you're making we have a bond market that's pricing extreme volatility and a stock market that's actually acting fairly normally from a volatility standpoint, down 5 points some percent from its high but the bond market is indicating some stress and i would argue that that might be a false positive. and the reason it's a false positive is because it's structurally based from some of what you're seeing overseas. so i don't know that it indicates an underlying tension, especially as it relates to u.s. markets. it is forcing the hand of the fed to potentially deal with some agita that's happening overseas and therefore our markets are starting to price in cuts

. >> also ahead, shares of nvidia and applied materials, both on the move after reporting results. noti those conference calls kicking off. that one, bige fraud than enron. allegations about the company, ge, having its worst day in more than a decade after a whistleblower, a high-profile one, called it bigger than enron fraud wise we will have the full fall-out we begin with the topsy-turvy thursday for your money, wild market swings on wall street she is down, she is up, she is down, she is up. many investors left with their heads spinning falling yields china headlines, consumer data, all driving big moves. how should investors navigate all of the volatility? guy, i will start with you it has been a week where we begin with 10% tariffs coming in, market goes down the president then says, well, i'm going to postpone for some, the market goes up yesterday the yield curve goes negative today back up. >> first of all -- >> how do you deal with in >> great to have you on board? >> nice to be back. >> the cheapest thing you can do, tyler, you weren't here a week or so ago but pedro was

still it come here on the closing bell, nvidia shares up 6% after hours find out how you should trade that stock ahead. >> and ge having the worst day in more than a decade following fraud accusations. what that means for the stock atd the company's future ler on the "closing bell." >>> welcome back tech names reporting earnings after hours bucking the recent trend given that semis have been doing so badly applied materials shares are higher after beating wall street earning estimate and nvidia spiking after profit and sales results, that stock is up 6% for more on the nvidia results we're joined by chris. thanks for joining us. what is the standout for the numbers across the board beat or some sub sectors in particular that stand out. >> yeah, so i think first of all this is a better than feared report i think sentiment was low. it is underperformed the stocks going into this print. and as we look at the different sectors, they've really only announced results in which gaming and auto are good data center was a tad bit disappointing and if you look at guidance for next quarter and we

nvidia says it is doing well gaming wise. the s&p 500 up 1.3%. 28.84. -- 2084. 1.56 is not high, given that are low -- up a few basis points. considering this is going to be a recession at some point down the road, we did get consumer confidence data which suggests consumers are getting just a bit less confidence. the vix is down below 19. let's take a look at solve movers. general electric has overtaken nvidia as the best performer after a massive drop earlier in the week. the gold index is down. gold miners are a little bit lower on gold. it is above $1500 an ounce still. chevron is down 1% for the worst performance in the dow. guy: let's talk about next week. central bankers gathering in jackson hole, wyoming. investors will be listening very closely to policymakers for any hints about the outlook. bank of america ceo brian moynihan talked about the fed and negative rates. brian: what they should do is continue to watch the data and make choices. i think people are over reading the negative side. it is more than need to he

nvidia day >> it really is. it is setting a positive tone in terms of chips this morning at the open, it looked like chips were going to be positive for the week nvidia with a beat and raise that is moving up. we have a little bit of a drag in that space in the chip equipment sector applied materials, had a more muted tone towards whether we are starting to see a bottom and we'll see a pickup in demand so the chip equipment makers are getting dragged a little bit there by applied materials as far as this week, most of the sectors as along with the nasdaq itself on pace for the third straight weekly loss we're going to watch chips to see whether or not they will end up even on the day software lower, communications, hardware, though, set to snap a three week losing streak part of the reason there is that apple, among the only faang stocks and the only megacaps that is actually up for the week one thing to note, scott, we did see the russell 2000 this morning veering near the june lows most of the indices have man

just kidding led's talk about nvidia. what are the numbers this noon. >> we're looking for data center to miss, around $20 million off so around 650 and we think game lg be in line, and benefit from $25 million of cryptocurrency mining and then finally for the guidance that is where the expectations are low for the july quarter but anything close to in line will be enough as long as the gross margin are close to 60% for the guide. >> so in line a a-plus in your view, basically? >> i thinkin line is good enough considering the results from intel and the other i.t. providers and cisco. expectations are low this is a consensus short into the print. so if that is the case, it means expectations are well below where the street is now. >> why is the stock suffered so much over the past year? >> over the past year it is primarily the cryptocurrency they talk to doing $600 million in cryptocurrency and we have a revenue of $1.2 billion and that ended up causing negative preannouncements back in january and i think the october fra

for nvidia, china made up about 20% of the company's revenue. the other huge chunk of their revenue comes from the broader asia-pacific and taiwan. these concerns represents about three quarters of nvidia's revenue. that is why that stock is under pressure. if you look at semiconductors, the stocks index down for the fifth straight day. index,ember of the sock including individual names like micron, all down 5% or more. in addition to these esoteric trade concerns about what ongoing tariffs could mean, we did get data from the industry association showing semiconductor sales were down 17.7%. those sales declines are accelerating and continuing our headlines that semiconductors were facing. when you overlay these trade concerns, it does not look like a good picture. guy: what else is being affected? which other sectors are under pressure? kailey: several sectors are under pressure. as we see this rush out of stocks into bonds, deals are going lower. also industrial companies like caterpillar and boeing, which are heavy exporters. you also think a

deserves to twitter, big gap up after earnings and guess what, that gap held throughout the volatility nvidia has been bottoming for months, now starting to turn higher and guess what the two best performing sectors are performing today u you have retailers, acting really well, and look at energy stocks, more money has been lost in energy stocks than any other set, worse than the banks, i have never seen anything work so bad. having a risk on day and a risk on day where everyone plays,eniplays i think it's constructive. now, oversold, we're down less than 4% from all all time high how can you make that statement as an adult, and expect to be taken seriously afterward. we're nowhere near overdone. tariffs that go into effect on september 1st, and whatever they c concoct next, i'm telling you, we're not overdone, the market is going lower the market despises anything to do with increases on tariffs. >> your firm says wait until september to buy it. that's when the time to buy is >> yeah, and the rational for that is we know what august liquidity is like. there has been so much escalation that w

again, nvidia is one of the top performers today in the s&p 500. it's having its best day of 2019, in fact. analysts see gained strength. guy: as you've just shown us, equity markets a little higher today. as we were hearing at the back of the last program, no big headlines today. the market feeling much more stable, and a more stable session on both sides of the atlantic, but what a week it has been. the stoxx 600 in europe down, down, down, getting a lift today. we are down 8/10 of 1% on the week. let's show you some other asset classes. the german ten-year kind of stable today. we are moving by one basis point , still -70 at the front end of the curve. we are watching may be an effort to unseat boris johnson. the market likes that, up 6/10 of 1%. dkk, the danish krona -- the danish kronor, because apparently the u.s. president wants to buy greenland. vonnie: financials had a bit of a tough time as rates have started to come down, and again 1.50% at10 year below one point, you know banks are watching this. the s&p financials index is up 9/10 of 1

nvidia makes cryptocurrency chips while nvidia did beat estimates, the company's revenue dropped 17% year over year in the second quarter. its biggest segment which is gaming saw revenue drop 27%. >>> and we've got to look at deere because it is very much an economic and trade-sensitive business. deere gaining after missing on earnings and lowering guidance for the second consecutive quarter so why is it up nearly 4%? well, results seem to be better than some investors had expected. they were really dreading it, considering the trade and wheth weather disruptions farmers have faced but third quarter results reflected the high degree of uncertainty that overshadows the agricultural sector. we are 56 minutes away from surviving this insanely volatile market week. remember monday and tuesday, oh, my gosh. just take a look at the dow moves this week. monday, we lost 389 points. tuesday, a pop, up nearly the same amount, 372 points. wednesday, a cratering. the dow down 800 points. yesterday, the dow gained nearly 100 points. here we are today. it may be friday but let's spin it forward. d

microsoft is giving mine craft game more graphics by chip maker nvidia. nvidia shares jumped 7% to 170.78. >>> chinese social media company weibo topped earnings estimatess itincreased its full year revenue outlook. it jumped 14% to42.31. >>> pg&e fell after a judge decide jury could whether the utility is responsible for a massive wild re that killed22 people and damaged more than 5,000il ngs two years ago. the company could face up to $18 billion inamages as the blaze was the second worst wildfire in california history. pg&e lost more than 1/4 of their value closing at 10.67. >>> twitter closed 900 accounts it believed was connected toa. ch it said it would no longer receive advertising from state controlled news media entities. shares rose more than to 41.70. >>> and after the bell vidu results topped expectations as they saw an increase in the daily app users. shares initially rose in after hours trading and they closed the re nlar session uprly 8% to $104.22. >>> google made big ak cquisitis in the first 15 years but the if next 15 may bere. >>> vari

but look at nvidia it's basically half of where it was a year ago don't think that that can't happen to amd, no matter how great their chips are. nvidia's chips are great >> okay. >> public service announcement >> you're allowed to make that let's kick around apple. katie huberty is publishing today, and she's thinking about once again the impact of tariffs and these consumer focused, if you will, tariffs that go into effect on september 1st. she says she expects apple to take multiple steps to limit that impact. yes, she's not, you know, naive to the earnings hit that you could have, but they'll figure it out by working with their supply chain and this is a stock that's like a battleground stock now >> well, it's a battleground stock because you're concerned it's going to become weaponized. >> right >> i'm not necessarily sure given what the actions have been from apple in terms of buying back their stock that you should have that concern. listen, i don't own the stock anymore. i traded it awfully. i'm stepping out i'm the one person on the desk that doesn't own it. i'll allow every

nvidia recorded a second reporter profit of $552 million. wall street finished in the mix yesterday after suffering big losses a day earlier. the dow rose 99 points. the s&p 500 gained seven while the nasdaq fell seven. did ge cook the books? a whistle blower says the company has been misleading the investors. investigator accused ge of e engaging in accounting fraud worth $38 billion. he said ge is hiding for bankruptcy and is hiding $29 billion in long term care losses. ge called the claims meritless. he's known for warning investors of schemes. shares of ge slumped more than 11% on the news. >>> cbs is facing a possible boycott after a public fight with a birth control delivery startup pill club. the companies are feuding over how much cva pays pill club to send to its customers. they are, quote, at risk of their birth control being disrupted. some shoppers and pill club members are calling for a boycott. cvs says the accusations are extremely misleading. >>> toift aat&t and t-mobile ar teaming up to fight robocalls. >>> previously call v

doesn't remember nvidia. he's not a genius either >> that's l rialght. >> not all dogs can be geniuses. >> no, no. >> thank you we'll see you in a few minutes and unrivaled network to work. the united states postal service makes more e-commerce deliveries to homes than anyone else in the country. e-commerce deliveries to homes announcer: only fidelity offers four zero expense ratio index funds directly to investors. and we have zero account fees for brokerage accounts. at fidelity those zeros really add up. ♪ maybe i'll win ♪ saved by zero >>> we are look like we are -- actually, these turned in the red, just briefly. s&p 500 off about -- we'll call it two points for now. we sort of -- a little post mortem on the conversation with the secretary. but we'll talk more about that tomorrow join us tomorrow, "squawk on the street" begins right now ♪ say good-bye to hollywood say good-bye my baby ♪ ♪ say good-bye to hollywood >> good tuesday morning. welcome to "squawk on the street." i'm carl quintanilla

plus, on the nvidia call, do you know what the machines can do now? let's say -- david said something really mean to me, has been known to do that and does the arm thing, he says get out of town. currently computers would say i got to go across the river new artificial intelligence internships, it would interpret that maybe you were skeptical. >> they would pick that up >> might be some skepticism on my part. >> david, go jump in a lake. >> you know, computers would have you go in new jersey and lake hopatcong the new jensenships say i'm questioning his judgment. >> that's a big advance. they are getting closer and closer >> they're there you could actually be a simulation and no one would know, why does nvidia go up ever since that quarter why does it continue to go up? it is called inference they have the ability -- the computers now with jensen's chips have the ability to confer that's incredible. >> what do they say about macy's, the chips. >> they got the wrong merchandise and people don't want to go to the mall >> ei'm thinking about macy's gene

>>>let's check some of the big stocks on the move nvidia's second quarter profit and revenue fell but still beat forecasts. the graphics chip for video games is bringing the business back to normalized levels. this comes amid the backdrop of a slowing industry nvidia shares are higher by 5% in the early going. >>> applied materials third quarter revenue topped forecasts but the chip equipment maker doesn't see a recovery in the memory chip market spending by customers was lower in the quarter than a year ago that stocker is higher by 1%. >>> and shares of dillards are down sharply the department store's second quarter revenue missing forecasts. same-store sales fell 2% as higher markdowns and lackluster sales for women's apparel cut into profits dillard's shares down almost 10% premarket. >>> still to come, president trump says the trade deal with china could be over quickly, but our next guest says not so fast. >>> and much more from cnbc's exclusive sitdown from ray dalio. his take on interest rate cuts and why they may not be enough to stave off another u.s. recession. "worldwide e

nvidia the good earnings news today. deere not so much. europe is green. the ten year bund now yields a record minus 72 basis points back home our 30 year yield hits a record low of 198. road map begins with

and the nvidia is foreigner, and the eu are the problem in this process. not the government and what it has done in the past. the guardian saying that you remain unconvinced by boris move. and boris has himself said our friends and partners on the other side of the channel are showing a little reluctance to change their position. it is a nice understatement. otherwise known as a giant german and french shrewsbury being blown and these proposals. he is off to see them this week, so interesting chats when he turns up. he has all these meetings coming up in the next few days, hasn't he, with some interesting encounters to come. angela merkel, who i have seen and known for some time, she is massively unimpressed by chancers, she disdains donald trump, thinks he isa she disdains donald trump, thinks he is a complete pillock or the german equivalent of that. i haven't worked that —— heard that word for ages! it's fantastic! nobody takes him seriously, borisjohnson, it's fantastic! nobody takes him seriously, boris johnson, making it's fantastic! nobody takes

romaine: back to breaking news on nvidia come out with earnings. they did beat on second-quarter numbers on revenue and eps. the guidance for the third-quarter revenue they are saying $2.9 billion plus or -2%. , thestimate was for 2.90% compass annual return stock, shares of 6% after hours. caroline: another company able to navigate through trade war's, china exposure come and beat, even though they are seeing revenue decline. joe: the inverted yield curve has more than market watchers worried about recession. politicians are getting frantic. it could spell trouble for president trump's reelection. how bernie sanders is looking to capitalize. we will hear from his senior advisor next. this is bloomberg. ♪ >> i am mark crumpton with first word news. move to omar says the block her and rashida tlaib from visiting the country is an insult to democratic values, and denying intrigue limits our ability to learn from israelis, d territories. said israel blocking her from entering is a sign of weakness. a member of the palestinian executive committee agr

under particular pressure, amd and nvidia. both of those companies have gaming. china a big gaming country. nvidia revenue coming from china. -- they shares down 67% receive 67% of the revenue from china and are also looking to diversify away from phones. 60% -- 16% of are their chips are related to cars. the timing of this is bad for some investors because the chips are often a leading index and investors want in or out based on what they thought. last week, take a look at this chart in the bloomberg. ox, lastows into the s week the biggest inflows in the year. some investors do not anticipate this trade war spat coming back up which seems surprising. vonnie: who knows what this afternoon will bring? why would investors piling into a sector that has done so badly? abigial: is baffling. you have to think it is fear of missing out. the chips have read on the way down, they have let on the way up. investors do not want to miss out in case they will continue to lead. up more than 30% on the year. there are a lot of investors that think the chip sector is bottoming o

sox, theook at the x major outperform or, broadcom, nvidia. broadcom gets 50% of the revenue from china. nvidia 20% to 25%. speaking of sentiment, let's flip up the board and take a look at bowing. boey stock -- a look at ing. boeing's outperforming and rising as analyst say the recertification of the 737 max seems to be in place four to six weeks out according to the faa. boeing has not revise their guidance to say it will be out early fourth quarter. boeing getting well needed good news. kevin: thanks, taylor. coming up, we have kyle convict year. 2020 election.he this is bloomberg. ♪ kevin: this is balance of power on bloomberg television. i'm kevin cirilli in washington. shery: and i'm shery ahn in new york. we turn to mark crumpton first world news. mark: president trump says he would be willing to meet with the iranian president if "the circumstances were correct" to discuss their standoff over the 2015 nuclear deal the u.s. president abandoned. emmanuel macron said during a news conference with mr. trump that he hoped to arrange a mee

nvidia up more than 6%. it's best to-day again in two and a half years, after microsoft and activision blizzard said that they would use some of nvidia's chips. certainly, all of these stocks getting a big boost today. , as we know it, when the yield curve inverted thursday, we had a massive selloff on the s&p 500. friday and today, more covering back to where we are. a steepening of the yield curve again today. recovering after the week that was. we still have a long ways to go, so we will see how this continues. another big story we are watching is back within the bond market. we know the president said he wanted to cut 100 basis points on the short end. i wanted to look at the long end. we know the 30 year had dipped below 2% last week. now back up above eight basis points, 2.08. you are getting the curve steepening again as you get sentiment, global inflation growth expectations, perhaps better than the sentiment we saw last week. , i'm sure you are sick of hearing me talk about it, but at least the 30-y

that's why i wanted to talk to you today about nvidia. that's a pretty good number last night because everybody has been saying watch china with these chip makers but here's nvidia apparently doing pretty well. what do you think? >> it's wonderful. you look at nvidia, they have a specialized chip used for artificial intelligence, autonomous vehicles, gaming, and they've got a cool niche that's hard to beat which is why everybody is coming after that. they had a bit of a miss. people have been worried about them with the china situation and broadly across the board. the semiconductor issue with china is a huge issue, especially given the fact that china's focused on made in 2025 which means they want to do 60% of domestic production. connell: you would rather be some of these other names. where do you stand on all that decoupling stuff? which is basically to say in the future, forget trade deals and all that kind of thing. we could be going in two separate universes where instead of china buying stuff from us, especially chips, they just s

nvidia, we have really seen a rebound it looks like for gaming chips. sales increased 24%. they beat on the top and bottom line. that sent the stock up almost 8%, the best day since october. applied materials on the other hand, they were pretty decent. they match expectations. however, they did not just match expectations. executives came out on the call in the aftermath and said they are not yet ready to call the bottom in the semiconductor cycle. that is what set the stocks lower. mike: well, numbers can work magic in markets sometimes and there is no number more round than zero so when the spread between 10 year yield and to year yield dipped below zero on wednesday, it all beastly because all sorts of fireworks. we saw a massive selloff in stocks. what is interesting is the inversion did not last that long. only a couple hours on wednesday and a couple hours on thursday. most of that was outside of regular trading hours in the u.s. since then, we have seen the curve steepen by about two basis points yesterday. almost for basis points today. -- four basis points today. s

so i think there's upside from here >> nvidia is not one that's recorded earnings. guys thanks for checking in. for more, head to our website or follow us on twitter at trading nation >> thanks. stocks are continuing their major reversal the dow is down 226 right now. all the major averages down. more on what is going on with your money, what's happening with tariffs when we come back after this quick break don't go anywhere. that's it, that's exactly why i hate working with you. mr. arson here only knows how to blow sh... up. no offense, she hulk here only knows how to smash. [ screaming ] look at the two of you. the fate of the world is in your hands and you can't even get along. what do you think i'm stupid? of course i think you're stupid. woo! i got him. no i got him. no i got him. >>> here's you're cnbc update. the judge has ruled there's no criminal case against a man who left his 1-year-old twins to die in a hot car while he went to work a grief stricken juan rodriguez said he just forget they were in the car. >>> republicans on the senate judiciary committe

gaming component nvidia has come back lamb reach, 218 today. incredible turnaround. >> guide wire last night >> guide wire is a name i own. turnaround there sears it up about 20% today. >> who is their biggest customer >> there you go. >> apple >> within technology there's stories that are being told here that are fundamentally driven that i view as favorable >> all right coming up, options bulls, so says pete, are betting on metals and mining today he has two new trades coming up. first a check on the s&p sector. a big snapback day for the market s&p is good for about 28 points. 3 3,008 is where we sit. we're back after this. mely happ. there's also angry. i'm really angry, clive! actually, really angry. thank you. and seat 36b angry. you're clive owen. and you're barefoot. yeah... there's also apprehension... ...regret... ...relief. oh and there's empathy... ah, i got this in zurich! actually, what's the opposite of empathy? but what if your business could understand what your customers are feeling... and then do something about it. you can t

. >> what about nvidia, josh brown? >> i don't have any strong views on it. >> why not you used to. >> i'm long. because i think that this is a company that let investors off the clip with guidance a year ago. they've gotten much more conservative that's helped. the stock has held up relatively well i think you have a global semi conductor problem right now. a lot of it has to do with trade. a lot of it has to do with demand in parts of the world where the economy is slower. it's not like nvidia can do anything about that. i think within semis, they address some of the growthiest markets. they're not in the wrong markets. >> that itself the good news the bad news is they cannot be -- they cannot be immune from the weakness that we see that's either trade related or economic slow down related. if are you a shareholder like i am you have to live through these periods of time. >> i'm in the semi conductor world. broad koym, is attractive. their shares are outstanding the ca acquisition is more synergistic than expected. a

chipmakers, jumping on a read across from strong earnings at nvidia. infineon on is a gainer, as well. this is bloomberg. ♪ matt: welcome back to "bloomberg markets: the european open." 10 minutes into the trading day and we see the ftse still closed. it has not yet open for trading. we are told by the lse we will get an update soon on the trading issues, the delayed issues that are keeping us from seeing u.k. stocks trade. mib, otherc, ftse indexes are gaining the we don't see massive gains. 45 points up on the frankfurt in kic -- index. the most likely watched part of the treasury yield curve inverted this week but historically, there has always been a significant lag between inversion and recession, between six months and two years. what have we learned from the past six inversions? it is not until the curve restatements -- resteepens until a recession kicks in. how long until that happens? what can policymakers do? blackrock told european toldrities that -- bloomberg that european authorities should consider cash handouts. what we are proposing i

chinese company claims it can process more data in a faster amount of time than industry leaders like nvidia and alphabet. how much ip theft went into the development of this new chip? that question is unanswerable. joining me now is cybersecurity expert morgan wright. a former senior advisor in the state department's antiterrorism assistance program and always a pleasure to talk to you, morgan. thank you for being here. a lot of people are worried that huawei is going to win the chip war against u.s. companies. what do you think? >> china has a stated strategy that by 2025, they are pouring 56 billion dollars into the development of artificial intelligence. it goes back to what a colleague or friend of theirs said, vladimir putin said whoever wins the ai battle wins the world, owns the world. huawei has invested in this. it is not just huawei. it is also the chinese government. you don't -- there's not one without the other. and there's the complicity of all these american companies, google, microsoft, name them, that are working with them on, guess what, artificial intelligence and then we

another quebec one, nvidia, nvda, talked about very short term trade they bought the weekly 170 skauls now with the stock today 171.65. those calls went from 70 vents cents last friday to $3.90 today. we got out of the bulk of ours at $3 today. nonetheless, great trade most of those have been liquidated and/or rolled out to next week, mem, people want more upside on nvidia >> we were talking tim cook getting love from the president. what is the flipside like? ford is under fire the risks and rewards facing ceos and their stocks straight ahead. >>> president trump taking aim at another ceo this time attacking formed for fought backing the administration's plan to roll back the obama fuel efficiency rules. eamon javers joins us from the white house with more on this. ro the president's got ceos he favors and ceos that are out of favor. >> that can make difference with particular policy outcomes they want tim cook the latest example. i asked the president yesterday whether he has a better relationship with tim cook of apple than other technology ceos the president says he does, tim cook m

we like microchip, on, we like micron we're avoiding high valuation names like nvidia that's trading at 30 times earnings there's more risk there in our view >> steve, what about huawei. we have that short-term exemption that's set to expire in the coming days we'll see how all of though plays out. but that's not involved in any of this trade and tariff news that we're hearing today how big of a risk is that still for semiconductor stocks >> still a bit of a risk perhaps the surprise during q2 is that a number of companies began to ship again to huawei. older product, 28 nanometer. so, in fact, for a number of chip companies, it wasn't as bad as expected, because i think investors thought it would be completely cut off but again, while distributor inventories have improved, particularly for microchip, inventories on balance sheets are still 30 days above normal and intel is indicating that cloud demand probably does start to come back in the second half, but enterprise and government business was down 31% in the quarter. and they and a number of other companies don't see a second hal

take a look at nvidia. a nice move here. nvidia jumping six full percentage points. micron right behind it up 3.33%. we have on semiconductor better by 3% and intel up 1.66%. >>> this breaking news. i tell you, there's a lot going on on this monday. the first major event taking place at the site of the federal reserve's annual sposium in jackson hole, wyoming this week is happening right now in jackson hole, and when you see the attendee list, you might be able to deduce that the pressure is on for the fed to cut rates. team trump has descended on what will be the center of the federal reserve universe for what is reported to be a lunch fundraiser to support president trump's 2020 re-election campaign. again, this is a lunch happening right now. we understand the lunch location is under wraps but here's who's there. ivanka trump, jared kushner, of course, adviser to the president, white house chief of staff mick mulvaney, rnc chairwoman ronny mcdaniel along with republican donor and billionaire founder of td ameritra ameritrade, joe ricketts. and former vp dick chene

it includes the world's biggest retailer including walmart, nvidia, alibaba and jcpenney and tapestry. ford is recalling cars in the u.s. it is to fix the problem that could stop seatbelts from holding people in a crash. there are reports of at least one injury from the problem. ford is also extending warranties on 560,000 small cars. the company has faced several lawsuits and complaints about six speed automatic transmissions. the move covers 2014 through 2016 model focuses built from november of 2015 as well as 2014. meantime, federal prosecutors say a woman charged in that massive data breach at capital one appears to have hacked more than 30 other organizations. she was arrested last month after the fbi said she obtained personal information from more than 100 million capital one prosutors said servers found in thompson's home contained data stolen from more than 30 other companies, educational institutions and other entities. investigators are still working to identify the effected organizations. >>> and controversial facial recognition technology, recognition can now detect fear

some of the top losers included nvidia, universal display, lam research and amd and micron. and the smh has its worst day since the beginning of the year down more than 4%. goldman sachs recently putting out a note listing the russell 1,000 companies with the greatest exposure to china and qorvo, qualcomm, micron and nvidia are among the top six companies on that list chipmakers are affected by the tariffs in a couple of different ways first these companies rely on huawei, which uses their chips for smartphones and laptops. huawei is on a blacklist that prevents u.s. companies from selling its products to the chinese firm also in the latest list of proposed tariffs the largest categories include smartphones, pcs and game consoles all of which use chips. analysts are taking note mizuho chimed in on last week's announcement by the administration saying it does not leave much time for suppliers to build inventories or pull in meantime some ceos of chip manufacturers are also speaking out about the trade impact micron ceo sanjay mahotra said during the company's most recent earn

likes amd and nvidia taking on the chin in today's trade. high risk, high reward name he could call out would be micron, if the economy takes a turn for the worse it will sell a lot less units all that matters for investors more broadly too semis often lead the market on the way up and the way down. back to you. >> thank you very much josh lipton. citi, bank of america, jpm and wells fargo are among the hardest hit today. are there any buys in this wreckage bill baruk and erin gibbs both join me. bill, i'll start with you. they say crisis like this can be the best time to invest. but did the signs just keep getting worse if you're an investor in the financials here? >> interesting angle from the start of 2017 in through this june, we have futures that were bullish on the treasury complex one main reason was the massive mounting of a record number short position in the complex. in the future. leverage this was a ticking time bomb it was going to explode at some time and it is exploding now we're seeing capitulation. we're seeing recordo yield

. >>> nvidia tonight of a rescue near grizzly bay in solano county, a coast guard helicopter hoisted a 66-year- old man to safety after he was recorded missing for more than 20 hours. the man called authorities yesterday telling them his friend went out jet skiing on saturday and never returned. crews found the victim stranded in a cabin suffering from mild hypothermia. he was taken to the hospital, and is expected to be okay. >>> new at 11:00, san francisco eyeing a new location for another homeless navigation center. industrial park on the waterfront, i-280 in the bayview, and tonight, kpix5's joe vasquez reports some neighbors have their doubts. >> reporter: the city wants to build its newest homeless navigation center here in the lot owned by caltrans. there does not appear to be intense opposition but not everything since a great idea. >> we want to know our streets can be safe. >> reporter: a community meeting tonight, neighbors of the proposed new navigation center had questions for city leaders. despite how is this navigation going to stop if they refuse those services on sit

so that's the crux i think i feel very comfortable aboun share next year, particularly versus nvidia and intel in the meantime, when do you go in before that happens you know, obviously we have the back half of 2019. maybe the catalyst is you don't wait until january 1st of 2020, but you wait until you at least in the back half of '19 hear about some nice product design wins, which will result in revenues with some certainty, and i think the time to act and double down on that stock is maybe in the next couple of weeks, months, when we get some design win announcements i think they will be coming. >> paul, good to talk to you tonight. enjoy the weekend. talk to you soon. >> yes, sir. >> that's paul meeks joining us there. >>> when you look at these names, square, i love the stock. it was a home run for me it was a grand slam. owned it as an early teenager at $12. ran it up all the way to 100 and i gave a lot back because i still believed in the story. i wound up selling it in the mid to high 70s. when i look at it, i'm out of the name when they start to change the narrative off gross

up and looking at some of the components, the big chip names that are hit hard, look at names like nvidia, lam research and amd, down 6% here. apple, another name we talk a lot about in the trade war even though tim cook has a good relationship from what we understand with president trump it is in the middle of the tug of war responsible for 36 points to the downside right now on the nasdaq 100 hasbro's the biggest loser here in the nasdaq 100. not directly related to the trade war but announcing $4 billion to buy entertainment 1 after the close yesterday, and so that's a little bit of pressure back over to you guys. >> thank you. >>> joining us for the entire hour, nancy tangler. so you have powell and then the series of tweets now you have every sector in the s&p lower. what do you do as an investor on a day like today >> short term i think this -- in the long term, i think this is an opportunity to add to holdings if you need to be long stocks i also think the president needs to understand that it's real simple if ceos are not confident and cap x slows we have seen that in the gdp numb

i'm looking at nvidia down nearly 7%. so the chip makers are really down for the count at the moment. how does this shake out tomorrow? can we spin it forward with the dow down 767, nine minutes to go before the closing bell rings? >> i think people are looking for that 10% level. that's about 24,600 on the dow. also, crude oil is hanging in there pretty well. that's one market that really didn't move much at all today. watch crude oil, see if the $50 level holds. liz: can we punch up crude at the moment? i'm looking at it. you know there's a problem with the markets when my screen isn't working. crude oil is down about 1.5% and it is, well, you could call it slightly off the lows during the regular session because folks, we are in the after-market session. when we talk about china, we've got to look at chinese stocks. e-commerce giant alibaba, no surprise, taking a dive that even jeffries new buy rating couldn't help. it was actually a new buy rating on alibaba. back to jackie on the floor of the new york stock exchange,

nvidia was a darling until the whole thing -- all of so-called bob at $0.10, all of that stuff, it is all ruins on the floor the point is this has stalled. it is rolled over. its relative performance is terrible and it has distinct patterns of distribution they all suggest a great champion is faltering. >> i want to make one last point. a lot of viewers out there use ap options to hedge long positions to define your risk in something you want to hold on to this strategy lessens the premium outlay you would have. if you were hedging your portfolio or individual stocks, it is a huge drag. you will hear mike talk about this all the time. what i'm doing here is selling a call and using the proceeds to help buy a put for minimal premium outlay i think it is an important strategy investors should think about in periods like this you don't want to buy puts all over the place for stocks you own. >>> for everything "options action", check out our website "options action".cnbc.com. while you're there check out our newsletter here is what is next >>> a number of big retailers are on deck to repo

chipmakers up because of nvidia so that is giving got a lift. banks have had a painful week. finally getting a little bit. caroline: a little lower today. interesting, the bloomberg scoop. the likes of jamie dimon, moynahan, all on the phone with trump. capital goods, transportation, even autos up there. scarlet: the inverted yield curve. crazy. joe: it is crazy. i love that theory. scarlet: on the downside, you got safe havens of choice. staples, theyd are up but not as much as the rest of the market. you put it altogether and it has been a pretty straight line higher. caroline: for once -- scarlet: the russell 2000. caroline: finally the upper former. scarlet: it has lagged behind everything. be innot a good time to this stage of the cycle. we are moments away from the close. seven minutes to go. let's take a closer look at some of the action in the markets. jessica, what are you watching? jessica: i'm taking a look at crude oil because it has been a whirlwind of a week. fluctuating between gains and losses this week. if you take a look at my chart, closed below $50 a barre

, micron, amd, all under serious pressure look at nvidia, down 7%. and on semi-conductor down nearly 11% >> the oil market is closing for the day. let's go to dom chu. >> energy markets up front and center oil prices have been lower all over the place today they did take some peaks at positive territory for both west texas intermediate and brent crude prices, but wti off by almost 2%, $54.66. present crude down, no surprise what's driving the action lower, like tyler was saying, the escalation in the trade conflict, war, whatever you want to call it, between the u.s. and china. a world flowing with oil and the prospects for slowing global demand outweighing the latest reports that iran has seized yet another oil tanker in the persian gulf region. if you look at prices, they did rise intra day for u.s. based wti crude, after they said gen scape estimated a drop in the oil prices at the oklahoma storage hub. it comes from weekly oil data from the american petroleum institute that comes out tomorrow afternoon, 4:30 eastern time, and then the official u.

they held companies like nvidia, qualcomm, intel, companies that are sensitive to trade headlines. lisa: thank you so much for that. ubsl with us, jason from wealth management and bloomberg's luke kawa. isn'tare range bound, why that an argument for income? jason: it is not a bad environment for carry strategies. we went overweight emerging-market. they give you pretty good yield. if we get a risk off environment, rates fall. gethey rally, then you spread compression. in an environment where you will be range bound, -- it can be tricky. things get worse, credit spreads and widen quickly. caroline: you are liking some emerging-market currencies. the u.s. from an export perspective remains a dirty shirt on a clean hanger. what about the dollar. does the u.s. dollar remain higher now? thing thatbiggest will draw the dollar near-term is not as much rate for rental. we have seen that when the dollar strengthens, the rest of the world slows down. globally synchronized acceleration, that is when the euro rallies strongly. if europe keeps getting lower in the data keeps getting worse, that

a lot of chipmakers such as nvidia, advanced micro. it also includes stocks like tesla, apple, monolithic power systems. a lot of ground to make up before people are confident that this rebound is for real. s&p 500 bounced back after yesterday but the bulls for oil are still out to play. you'll see that brent slid 1%. that puts it in a bear market from its april peak. all of the u.s.-china trade tensions really does threaten to expand into a currency war. investors are worried about the damage this could do to crude demand. forecast.ent forecast.nt tobias reducing his forecast, as we will discuss in a moment. curvethe yield conversion, of course inverting deeper into negative territory yesterday, he a lot of people worried about her session once again. james bullard made some comments today about the midcycle adjustment phrase. luke: it came off a bit hawkish and james bullard is one of the more dovish members. yield curve, all the adjustments we have seen during this risk off episode, when has never been a time they said they needed t

think about nvidias. the large cloud platform because they are providing infinit levels of compute and the al r gore rhythms they've captured a ton of information to be able to level and provide new and innovative solutions to customers there are a lot of areas where it is not going to be a big boom where we'll point to, that's an ai-specific company. but we'll be able to point to those as well. >> you mentioned volitility before one area you point at is nbx in the nasdaq 100 >> that has been fascinating the spread of the nasdaq versus the vax. it has been steadily climbing. that pred has been falling, falling. it is interesting. the megatech in the foreground it is also interesting in that, you are looking at the nasdaq, we are getting into the heightened risk. what will go up will go down i think it is also telling you as it relates to the broader regulatory production. there is a lot of distance between an angry elected official and actual policy when it comes to reengineering those business models. >>

we saw chipmakers leading the gains, after we had positive results out of nvidia. there was also positive sentiment out of europe as officials there hinted they would come to the rescue if the region's economic data deteriorated further. that gave a boost to investor sentiment. 1.7%.sdaq gained there was a lot of volatility still with those things -- swings on the s&p 500 with more than 1.5% intraday. this week the focus will be on jackson hole as we will wait to hear from a fed chair powell making comments later in the week. let's see how we are setting up in asia. place: the pieces are in for a risk on session. in china that pboc is said to liberalize its interest rate system by lowering borrowing costs. checking more details on that on august 20. the boj is expected have more data this morning with july trade figures like this showing week exports and slowing asian man as well as yen strength. on currency this morning the yen holding onto a two day decline. we have it trading around 106 106 spot 44 against the dollar. in new zealand, you've kiwi 10 year yields j

cisco and nvidia report their profits this week. markets keep looking for a place to stop. much lower again on a variety of concerns. no deal with china. hong kong is a mess. argentina and its debt now a factor. futures calling for yet another lower open. as we've discussed before, the news tends to focus on equities. the stock market. real danger signals are coming from the bond markets. yield on the government debt is fading. meanwhile, there's a lot more government debt. the latest figures from the treasury department show the budget deficit is $866 billion. that's up 27%. from this time last year. that's what we're overspending. what we owe is much more, around 22 trillion. candidate trump promised he would use his business skills to balance the budget. he said they would get it done within two terms, eight years, and start working on the deficit. when he made that promise, the deficit was $4 trillion less than it is now. >>> back here at home, we're waiting on an invitation from the next apple event, traditionally takes place in september. new iphones, this would be ip