interesting about qualcomm is it's such a massive player in the hand set space. when you break down the revenues, for example, for qualcomm, you get somewhere in the neighborhood of 40 to 50% of revenues that are associated, even more than that, that are associated with the hand set so it's like -- in fa funny way it's like turning a ship around. it takes a long time they're having great sesuccess iot, tremendous success in automotive those businesses are tiny compared to how much of a player they are in the hand sets. we do believe that in the next four to five years they'll be a very strong player in non-hand set related things, but it's just requesting to take tame gu given the exposure to hand sets. >> we started the show on that note as well it's going to take time. thanks so much for being with us, harsh kumar of piper sandler. >> after the break, chegg surging on results, ceo dan rosensweig is with us with that stock still up more than 24% don't go away. at humana we believe your healthcare should evolve with you and part of that evolution means choosing t

-- for qualcomm. as my colleague has a reported extensively, apple has to use qualcomm right now. they do not want to they have been working to replace qualcomm modems with their own. what they confirmed yesterday, that we reported earlier, that they cannot do it, the next iphone that will debut this time next year will also be majorly dependent on qualcomm modems. that is a win for qualcomm technology and a bit of a black eye for apple. kriti: 30 seconds, will put you on the spot, i believe qualcomm has a hiring freeze, walk us through the implications of that. guest: here in san francisco there are those that say, on times are over, we see twitter, lots of the social media and e-commerce related companies already being aggressive. that is the concern here, that, you know, silicon valley will steeply reduce hiring. probably going the reverse direction pretty aggressively. kriti: something we will keep an eye on, bloomberg's ian king we think you always. still ahead we will hear from the earlyer inter

haidi: su keenan with the latest on qualcomm. regarding north korea, we have seen this morning another unidentified ballistic missile being fired towards the sea, confirmed by the korean joint chief of staff, saying this is happened, following the biggest barrage of missiles ever under kim jong-un, yesterday on wednesday, 23 of these missiles -- at least 23 missiles were fired including diverse ballistic missile to fly over's north korea -- over south korea. triggering an air raid alert east of the coast. we heard conversations are being held with the u.s., with antony blinken and south korea and the u.s. sides, holding discussions. this comes about a day or two days after pyongyang threatened to take powerful measures of the u.s. does not hold the military drills underway with partners including south korea. let's get back to the markets now. the topic of twitter and what it looks like going forward. cathie wood says elon musk? subscription add model for twitter is a very smart move. she told us she thinks a social network could

he's the qualcomm president and ceo. and remember, this stock was down huge and it made its way back just like amd did because that's about the inventory correction getting better macro, very hard to tell "mad money's" back after the break. >> announcer: coming up, the season's nearly upon us. but this elf is work hard all year long. eyes, lips, and fat profits? cramer brushes up with e.l.f. beauty next the new iphone 14 pro is amazing. the camera is incredible. and you'll get our best deal. nice, but i can't accept it. unless every business gets the best deal. on every iphone. uh, actually... we already do that. the plumber with the ascot! big bjorn, little bjorn, too! the caterer who really cares. every business should get the deal! we make a good team. every business gets at&t's best deals on every iphone. including up to $800 off iphone 14 pro. (♪ ♪) ♪♪ the only thing i regret about my life was hiring local talent. if i knew about upwork. i would have hired actually talented people from all over the world. in

qualcomm, what's the set-up? >> let's talk about qualcomm you just mentioned the stock was down over 35, 36, 37% right now. a lot of that has to do with the fact that it is highly exposed to the consumer end market two major factors for this report is that you are seeing a slowdown in a 5g adoption. the second major factor too is that china shipments have declined these are smartphone shipments down 19% year over year for the september quarter. we talk about some positive for the companies. 2023 had samsung as one of his high end consumers it announced that it's making chips for its handsets to it tablets. we may start to see that reflected in the march quarter apple still a big question market around that it will still be customers will apple continue into 2024 with qualcomm chips? if so, that could be a positive. the third positive is the automotive segment, which accounts for 3.7% of q3 fiscal revenue. the company's narrative is that this is going to be a majo driver that they see this market as $100 billion t

we'll start with qualcomm. plunging after getting a worse than expected revenue outlook and slumping smartphone shipments at play. we'll have more on that quarter later this hour. you can see those shares are down 9%. robinhood lowering its operating expense forecast for the full year those shares are popping 5%. roku, getting rocked saying it expects advertising revenue and sales of its devices to fall in the current quarter, the holiday quarter. roku is down 15 now. down 80% year-to-date. >>> let's get to the fed this morning. another interest rate hike delivered yesterday. that was not a surprise. perhaps the signal there's no pivot coming any time soon has surprised markets, that's the way it looks given where the s&p was and is now our senior economics reporter steve liesman has it all for us. >> it was an interesting day, david. there was this hope for a pause that lived for about 30 minutes yesterday. the fed's statement comes out at 2:00 p.m., with the impression fed might be more on cumulative tighteni

clearly qualcomm has a good product portfolio but for a company like qualcomm is 80% mobile, autos is still 5% off the overall revenue and so it will take a while to diversify and i think that's the challenge they have. guy: do thing apart -- alix: do think a positive outcome is depend on china functioning? mandeep: i thing the high end android market. have a high exposure to china so clearly china reopening will be an element. the problem is they are already over shipping to the channel and so because the oems are carrying a lot of the inventory it will be interesting to see some esp pressure because once you have a lot of inventory it takes a while to burn through that inventory. even if you launch a high end check, partners aren't willing to pay the higher prices and i think that's where you will see some pressure for qualcomm in the next two quarters. guy: great stuff, apologize for the difficulties. thank you. let's stay with the tech landscape. another company definitely struggling today is peloton. delivered a soft forecast joining us now. bloomberg's ed ludlow. they talk about

that means it is bigger than a qualcomm issue. there are planning for a continued decline in the smartphone market. fiscal revenue at least $2 billion less than expected. that helps to explain the sharp drop, shares down as much as 8.5%. earnings will be 245 a share best. on the conference call qualcomm said it is coping with the slowdown partly through a hiring freeze. they will take more cost-cutting actions if needed. they said the build up of extra inventory, the chip glut may take two quarters to work through. qualcomm has mentioned blamed the macroeconomic environment, so it ends in china for weakening. they are one of the latest companies to see a consumer downturn in demand. they had earlier just three months ago/there projections for smartphone shipments. you are looking at suppliers, year-to-date they have already had a tough road, qualcomm down 38%. the only silver lining is the company expected apple to start replacing most of its qualcomm 5g funds. apple will continue to rely on qualcomm throughout 2023. also on the c

. >>> qualcomm is getting crushed on a warning with a big impact 'ltepple wel ll you the details when we go inside the market zone, next well, we fell in love through gaming. but now the internet lags and it throws the whole thing off. when did you first discover this lag? i signed us up for t- mobile home internet ugh! but, we found other interests. i guess we have. [both] finch! let's go! oh yeah! it's not the same. what could you do to solve the problem? we could get xfinity? that's actually super adult of you to suggest. i can't wait to squad up. i love it when you talk nerdy to me. guy, guys, guys, we're still in session. and i don't know what the heck you're talking about. the hiring process used to be the death of me. but with upwork... with upwork the hiring process is fast and flexible. behold... all that talent! ♪ this is how we work now ♪ power e*trade's easy-to-use tools like dynamic charting and risk-reward analysis help make trading feel effortless and its customizable scans with social sentiment help you find and unlock opportunities in the market with powerful, eas

when i read the note on qualcomm i heard them, say, it's the most exposed to cellphones. which we know is in the dump right now, but a question of when does it come back do they see it coming back sooner you said something a second ago that caught my ear it peaks my interest >> that's why i'm nervous sitting over here. maybe it's taiwan semi, maybe it's the space but here's the notable part. he's been sitting on cash for a long time. he's been sitting on a lot of cash for a long time and started to deploy it i think it's a question whether nvidia, qualcomm or the semiconductor space do you believe we're going to have a soft landing or crash landing. i think the strength of this economy, what you're seeing with inflation that the odds of the soft landing are increasing, and i think that's why some people when they're diving into the space, you can't dive into this space if you think there's a brutal recession next year >> okay, in the few minutes we have left in our first segment let's talk retail, right, because obviously one of the biggest stories in the market today is

qualcomm, roku, just to name a few. only in the last 24 hours speaking of layoffs, it was strike this morning. still a private company. really known as a darling here in silicon valley, and a note to staff, the ceo pointed to big tech earnings last week as evidence of all these macro factors that they're feeling in the private markets, that their public counterparts are feeling, and sectors we thought were safe like cloud, cybersecurity, how resilient are they really? the etf, the cybersecurity etf, it's down nearly 8% this week. i can't stop thinking about this idea cramer brought up that we may no longer be in the early inningsof cloud. >> i think we're still in the early innings of the digital transformation that's affecting enterprise software. i have been saying it for a while, cloud is a useless term at this point. is it platform as a service, is it software as a service, is it infrastructure as a service? now we have dev ops to think about. we have got enterprise services. that sort of flavor that stretches acros

and qualcomm again last night is saying this is a six-month problem, it's a two quarter problem. maybe it is longer, josh and mean we all have to entertain we don't know what tomorrow is going to be let alone six months from now. i think six months is a long time to elongate a cycle that's already been elongated. maybe that news gets worse than is already priced into the stock, but i do believe at this price there's a heck of a lot of bad news priced into this stock, my opinion only, josh. >> mentioning the slow down in growth also weighing on these chips. >>> energy the top performer today with one big oil stock hitting all-time highs the company debates whether the run can continue and the top plays in the group that's coming up on "halftime. stay with us of the things that matter to you most. i promise to bring you advice that fits your values. i promise our relationship will be one of trust and transparency. as a fiduciary, i promise to put your interests first, always. charles schwab is proud to support the independent financial advisors who are passionately dedicated to hel

qualcomm has a hiring freeze and could make further cuts if necessary. the ceowill be on "mad money" with jim cramer at 6:00 p.m. you had amd yesterday and you have qualcomm today. a lot of chips covered on "mad money. traders look as an indication for the tech sector. >>> as we head to break. history in the majors during the world series game four as christian javier and astros combine to throw the second no hitter in world series history 66 years after don larson's perfect game for the yankees back in 1956 this series now tied 2-2 with the phillies hosting game five tonight. what a pitching display by the tros good job we'll be back after this break >>> no pivot no pause that's the message from fed chairman jay powell. >> it is very premature to be thinking about pausing so people when they hear lags, they think about a pause that is premature to think about or talking about pausing our rate hike. >> he is contradicting himself putting the kibosh of anything resembling a pivot >>> investors seeking safety with stocks off the sharply lower session yeste

qualcomm holiday forecast down $2 billion it was 2 billion short of estimates. the stock is down 38% year-to-date and getting hit to the tune of eight according% selloff on qualcomm right now. a quick break in the white house is ramping up tax on republicans now accusing republicans of big oil. scott. here to weigh in on that next. stay with us. ♪ a you could manufacture a whole new way of manufacturing. disrupt buying habits before they disrupt your business. and fuel the search for what comes next. so...what are you waiting for? at fidelity, your dedicated advisor will work with you on a comprehensive wealth plan across your full financial picture. a plan with tax-smart investing strategies designed to help you keep more of what you earn. this is the planning effect. xfinity rewards is a program whose sole purpose is to say "thank you" with experiences big, small and once-in-a-lifetime. sometimes it's about cheering hard enough to shake the stadium! sometimes, it's as simple as movie night right here at home, on us. you mean the world to us. so we're bringin

qualcomm, your board member, our viewers have seen that because it's at the bottom there, moving much more aggressively into the auto, connected vehicles, excellent vehicles, what the snag dragon digital chassis. are you fully endorsing that as a board member, and do you believe that does represent a significant potential profit area for the company >> absolutely. when you look at a christiana ar man, the ceo, they just did their recent investor day, obviously the addressable market for automotives is quite attractive when you look at the expertise that qualcomm brings, not only just the basis of the infotainment they've been supplying automakers with for quite some years, but as you look at the systems on the chip and 5g kanlts and you think about adas or driver assistant features going forward, i think qualcomm is very well positioned and have a good reputation for delivery for the ouautomakers which, as you know, as software becomes more important in terms of the contribution to the vehicles in terms of the content and the value. they're looking for very trusted partners so, yes, w

an estimated 90 percent of the world's super advanced computer chips for tech joins like apple and qualcomm for more. let's bring in that the w correspond. and sarah lee and ty pay a sarah warren buffett investment firm does not normally make big technology bets, but it often does prefer companies are perceived to have a competitive edge. what does this investment mean than 40 s m. c. okay, so it's definitely great news for a t as and see and is shareholders. so after the news came out, the share price of tiers n c a d r roles by over a 10 percent and he has n z o. so told a local media that called it welcome, all investors who wish to buy in how is shares in the long term, unquote. and they also boost confidence in tiers and sees prospects. so some expert pointed out that is not very common for warren buffett to choose tier simsi over until just when the u. s. is trying to build up its own semiconductor industry. and 2nd on the warren buffet is a very legendary investor. he tends to, on invest in grade businesses that are currently trailing on for a lower price than our, their true value.

qualcomm sales at 10 times earnings business is slow with the scell phones that will end. this will be a company 30% to 50% higher we only are good about stocks when the news is bad 12 months, you are kicking yourself with not buying more. >> you are a bold person picking a chip name after all of the ups and downs in that sector i'll get to another pick usb. >> the banking group is one of the few group was better than expected earnings and outlooks the stocks are down 25% to 30% usb is paying 4.5% dividend which is going up. it is under ten times earnings they are about to close on an acquisition. you are buying at a great price. banks are a group in the sweet spot if we have a recession, it will be mild and banks come through well get a multiple expansion on it get your buying at great prices. >> looking ahead obviously another fed meeting coming up. before that, another inflation report this week how do you see the fed playing into the markets and how does it impact your thesis with a 50 basis point hike or 75 basis point hike >> whether the fed raises 50 or 75, they are

you don't need this crap >> qualcomm earnings out these shares also dropping on a weak outlook citing smartphone demand earnings in line withe estimates >> well, the weak outlook shows the market is eroding faster than expected. they say covid lockdowns like in china are adding to that demand weakness as well as excuse me as elevated inventories management says this will take a couple of quarters to work itself through the call is still going on, but the ceo says they are willing to keep cutting expenses. listen in. >> we have implemented a hiring freeze and planned spending reductions across more areas to fund diversification >> qualcomm has tapped into the high-end smartphonemarket with samsung and saying they would supply the majority for iciphon. that means the apple relationship is still in tact for next year. tune in to "mad money" tomorrow because there's going to be an interview with the ceo back to you. >> thank you guy? >> so this was a fourth quarter. the quarter wasn't bad first quarter guidance midpoint here because i can do that math. $2.35. street was looking for $3.45

we saw it from intel, amd, most recently qualcomm. how can you be sure that your customers aren't doing some of the same things that you are doing building up inventory and then as the economy slows down they will push away from the table and say no more please for a while? >> we have been under shipping demand for quite some time even in september. we left behind more demand that we didn't ship than we did ship. so opportunity for inventory growth is not that high. there could be some of that going on our inventory largely grew in materials and work in progress, not so much in finished goods. and our inventory is in products that have 10, 15, 20 year lifetimes. >> on the call you talked about some of the variability in lead times. and i wonder if you've seen this much variability across vertical silos in your experience in the industry >> we're going through an unusual time there are parts of the market which are getting more in balance, there is a lot of the market that we're in that is still in balance and so our lead times are all

. >>> and qualcomm fell after the earnings were 13 cents a share revenue grew 22% the guidance came in below what the street was looking for the company expects the handset volumings to decline by double digits qualcomm cited the rap id deterioration in demand. the company said it implemented a hiring freeze at the beginning of the quarter that stock off 8.3%. qualcomm ceo will be on "mad money with jim cramer" tonight at 6:00 p.m. >>> and shares of etsy report the earnings of 58 cents a share. that was better than 36 cents by the street revenue boosted by the hike in the transaction fee that etsy charges sellers. fourth quarter guidance came in higher than the street was expecting. that stock up 10.8%. >>> coming up, the attorney general for washington d.c. is view suing kroger and albertsons over the proposed merger he will explain next >>> programming note don't miss our coverage "business on the ballot. we will discuss the results and how it impacting your money. that is tuesday night at 8:00 p.m. eastern time. we'll bei right back after this can he stand on his own... once he's al

we will get qualcomm earnings after the close including zillow and ebay and robinhood and qualcomm is interesting given some of the chip shortages and the glut and the fact that we are seeing a real deterioration in the outlook by a number of chip makers. at what point does this impact apple and the highlight the tension in the broader economy or is this a moment for an industry that benefited during the pandemic and now is facing the other side? jonathan: let's get into the earnings with peter oppenheimer. everyone is talking about the step down for the federal reserve from maybe 75. to 50 what is the step down you were expecting in earnings from 21 to 22 to 23? >> absolutely, i think this will be a crucial factor that investors will have to take into account. we've seen the optimism building up again about the prospect for the rate rises to start to moderate but on the others, we are seeing a deterioration. it's not a disastrous burning season but not as strong as we have seen previously and the key thing that is happening is that margins are starting to come under pressure as a res

tsmc makes semiconductors for the likes of nvidia and qualcomm and is the exclusive supplier of apple�*s custom silicon chips. now, let�*s turn to japan where its just released data to show the worlds third largest economy unexpectedly shrank in the third quarter. gdp contracted at an annualised rate of one point 2% between july and september. like many countries japan is dealing with rising imports costs and weak consumption but its also grappling with a very weak yen that has slid to a three decade low against the us dollar. joining me now is seijiro takeshita, dean professor school of management and information at the university of shizuoka. good to talk to you, seijiro. thank you. good to talk to you, sei'iro. thank you-i good to talk to you, sei'iro. thank you. just for our global audience _ thank you. just for our global audience can _ thank you. just for our global audience can explain - thank you. just for our global audience can explain why - audience can explain why japan�*s authorities, in particular the central bank, is doing everything it can to stop the end getting

earlier, 4.5%. >> not if google's going up by double digits, right we said, you know, google, he said qualcomm is going up by double digits, double digits returns on the table i don't want to be making 4.5% andrew >> it depends what your appetite for risk is, right, steve. >> entirely, i mean, but you know, the question always becomes if it's money you're leaving in the bank it's okay to put it in a one-year or two-year treasury i invest like i fish -- >> often >> often, no, if it's one year, two years, the tide is coming in, it's okay. >> because i know you're out in a like canoe >> now i have a boat, i grew up a little bit >> guys, you want to take a stab at investing in crypto. >> no, no. >> some people think you're going to get returns bitcoin at 16,500 this morning and ether at 1,91. >>> bertha is joining us live from target in northern new jersey, what's the hot item, bertha >> there's plenty of them, but, you know, the scenes from the movies and from years past you saw people lining up overnight, kind of jostle their way into the early door busters, that went all away with the pandemic.

watched the president speak live with a $20 billion investment in ibm and ai and quantum computing and qualcomm spending $100 billion in the eventually the jobs will materialize but not for a few years now and the president making the case through the chips act that will jump start the manufacturing of technology here in the united states with covid shutdowns, it has really revealed that vulnerability of the u.s. not being able to have that manufactured here in the u.s. and have shortages that were shown during those covid lockdowns because as you know, still those chip shortages still affecting car makers. back to you. liz: i think it's great to bring that back here to the united states finally. so we're not dependent on other countries that will pull the plug at any moment. pull the chips. edward, thank you very much. that money from the chips and science act should start getting meated out next year. wolf speed is a semiconductor manufacturer that no doubt is gearing up to apply for some of the funds. you have to solicit or apply for them. the stock is up 3.7% on this, announcement of new pa

qualcomm robinette spent -- robinhood, etsy and booking. alix: tomorrow there is the boe decision. how do they look at the outlook when they are still uncertain when it comes to the budget and we also get the s&p services pmi. will we see more persistent price inflation. u.s. durable goods and the g7 foreign ministers will meet in germany. olaf scholz will be in china and that is a bit controversial. before that, here at home you had your dinner and put your kid to bed so you will watch the chief future officer show at 8:30 p.m. i went to duke energy and met with the cfo, brian savoy. there are a lot of interesting things going on for this guy. first of all i got to go to their control center, renewable control center where you had three guys monitoring all of the wind and solar assets throughout the country and the technology is so advanced that if the wind shifts they can shift the turbine. if the sun rotates they can shift a solar panel and it is here -- and it is key. guy: if the sun rotates, i imagine the sun would move. alix: if there is a cloud over one section they could ch

speaking with qualcomm. lauren: down it goes to $10 at 102 right now and it's a primary provider of chips and modems and smart phones and their forecast not so good. they expect smart phone sales to fall double digits that year and blaming the slowing economy for that. take a look at under armour here moving in the opposite direction. stronger revenue, stocks going up 13%. really positive comments from the ceo on the conference call and they're not seeing cus custs cancel orders and they have a opportunity to increase prices. good for shareholders and not for customers. they didn't specify however. another winner and ebay has a strategy selling they focused on cheaper luxury and it's working. ashley: ebay up 5%. nearly two-thirds of donations, this is interesting of senate candidates coming from out of state contributors and the flood of money drowning out issues at local level. we'll have that story coming up. border agents find over 100 migrants crammed into a tractor trailer heading towards the southern b

qualcomm, the stocks really leading the way. that has to do with the warming of relations between the u.s. and china and the hope that some of the tensions in the chip space could decline. as for some of these bottoms we are seeing, yesterday we were talking about the fact the dax was set to go into april market. that is true for a number of indexes, but the nasdaq 100 not there yet. up 12% off of its bottom. the hang seng, over in hong kong, up 25%. the sox, that recovery nearly 30%. we need to put these moves in the context of the drought -- of the downtrend. i'm not sure if that is truly able market, but it is bullish. two big movies on the day, walmart and home depot reporting. walmart absolutely soaring. the best day going back to the spring of 2020. am depot up .9 percent, reversing an earlier loss. these companies put out good quarters, but home depot if you look into it, inflation a big piece of the results there. what traffic actually down, inventory is higher, walmart just stellar. double-digit beat. inventory is going

the nasdaq winners, align, qualcomm, atlacian corp.. the 10 year treasury and yield coming down to 382. earlier you were at 376. that really helps big tech. price of gold down a couple of bucks at $17.74. bitcoin and all its crypto swirl it's actually holding just below $17,000 per coin. i'm inclined to believe that if we get rid of the wild west and we go towards a regulated more corporate environment, bitcoin goes up. that's my theory. what do you get? the price of oil, where is it this morning? $80, $90 a barrel? $84, down a buck. nat gas on the upside? no, down below $6. how about that. price of gasoline, regular that is. $3.75 on average and diesel holding at $5.35. wow, what a day. coming up, what's next for the border after democrats win the senate and there's only a slim gop majority in the house and tom homa n said more migrants coming across the boarder and he'll be in studio next hour. larrey kudlow said republicans winning opportunity of the house is a opportunity. i'll ask him, a opportunity for what right after this. ♪ >

than expected numbers last night take a look at lattice up 4.5% amd reports at the bell today while qualcomm is out with results tomorrow both companies are forecast for higher revenue amd cut guidance last month due to weaker sales in the pc division it is a rough go philadelphia semiconductor index is down 40%. the decline amid a pullback in consumer and business spending on electronics and high inflation and supply chain issues and that u.s. export ban on sales of high-end chips and chip equipment to china. let's talk about this and how you make money with jason pompeii at fitch ratings jason, it has been a tough year for the chip sector. we got nice earnings last night from rambus and lattice. >> good morning, seema i would say in general, you know, we remain constructive on semi conductive industry over the longer term. the secular will drive solid growth over time the sector remains cyclical and really what we are looking at right now despite bright spots, we are very much of the belief that we're in an inevitable inventory correction that really follows two years of robust revenue gro

bernstein says qualcomm share's valuations are among the cheapest in history right now. the company should pick up high end orders from its customers samsung and apple may hang around a little longer than expected as a customer heading into 2023. that's pointing to a better setup for next year. but investors may have to endure some short-term pain that we'll get over the next quarter. guys >> all right we'll be watching those results after the bell we know you'll bring them to us, kristina partsinevelos, thank you. >> thank you. >> as we head to break, here is our roadmap for the rest of the hour another rate hike expected this afternoon. former dallas fed governor richard fisher joins us to talk about what comes next. >>> should the u.s. ban tiktok we'll discuss that and a few other things with fcc commissioner brendan carr later this hour. >>> pair mount shares slumping more on why one analyst is earecasting even more weakness ahd. we have a lot more ahead don't go away. >>> welcome back to "squawk on the street." communication services spiddr ef ticker xlc is falling

disappointing quarterly results from qualcomm, roku, and peloton contributing to a nearly 2% loss on the nasdaq. lyft shares finished down 2% as the company announced her plans to lay off some routine percent of its staff in the face of looming recession. german chancellor olaf scholz is on his way to china for a controversial visit, the first by a sitting g-7 leader since thpandemic. china is germa's second largest export destinatio some observers worn berlin has become too economically dependent on the chinese market, a potential echo of its now very troubling dependence on cheap russian energy supplies. last week, the government approved a deal allowing a chinese shipping company to take a nearly 25% stake in germany's largest work. the u.s. has worn berlin not to allow china to take a controlling stake in that work, a stance beijing denounced. >> practical cooperation between china and germany is a matter between two sovereign countries. the u.s. should not meddle in such cooperation. u.s. officials are still complacent about interfering in other countries' affairs, including the

you can see the leaders here, folks, netflix, intuit, biogen, qualcomm and i don't want to ignore oil because it's been the big driver of inflation and there's a much bigger than expected bill -- drive -- sorry, draw down actually today for inventories for the week. so it's not a surprise to me that crude oil is up at the moment, 3% in the after market. we now have it above $80 a barrel at $80.62. what about all these people who say that oil names, whether they're the integrated oils or some of the refiners are the place where eventually we'll go back to $150 a barrel? >> well, i think -- you know, i've always mentioned the energy sector as a sector to be in. i still feel that way. also i think the insurance stocks, they're big beneficiaries of high interest rates and interest rates aren't going down, they're going up and perhaps more slowly but they're going to go up so i think you want to have exposure to a sector that benefits from that and the insurance, the insurance companies in particular are great places to be in a period of higher interest rates. the energy sector, i think en

you know, qualcomm says whatever it wants about apple, which doesn't make sense but they do it they have 100% of the business until the end of next year but, i do think that the idea that apple can just forever say, you know what, we have to make it in china, for china -- >> well, the vast mo jurorty, carl, iphone pro and pro max 14 are made from this facility. hundreds of thousands of workers at this facility. >> it's apple town. >> we were reporting on this last week. of course we had that video of the workers leaving the facility or trying to escape essentially. so not a big surprise that there would be a slow down in production from this place >> again, but they made sure that you knew over the weekend that, believe me, that it was no demand problem >> well, that's sort of the interesting part about that. let's get to eunice yoon in beijing to talk about apple, foxconn and some of these restrictions, eunice, whether this was in some way apple's attempt to register their dissatisfaction with industrial policy >> reporter: well, apple was saying that they are working very closely with

luicality >> not as much though as -- i don't want to paint any brushes over a stock but for example like a qualcomm or a so-called old tech stock like that relative to the microsofts or apples of the world. >> yes, so these are i would say newer tech stocks that i think have become more central to the economy. i wouldn't necessarily compare them apples to apples. >> so you sold alphabet and you bought more microsoft. >> i did so microsoft's not a big position yet you know, i've gotten out of just -- or i did get out of all it based upon what we'd seen in europe which was complete moratorium on what we'd seen in the cloud. buy more 200, maybe a little lower, and it's basically because i've got such a low equity exposure i thought that would -- to his point these are cyclical companies now you can only grow so far you're in meshed in that scyclicality. in this case the gonzalez family is accusing google of basically helping to kill their daughter, that can be retroactive in terms of lawsuits that come after them i don't know when they're going to hear it that's potentially a disaster. >> obviously th

products anymore other firms are stuck with large purchase commitments due in the next 12 months or so qualcomm owes $13 billion just in the next 12 months. that accounts for roughly 70% of the cost of goods sold see other names on your screen right now. nvidia, a.m. d, marvell, all having commitments due in the next year. what drove this oversupply of inve inventory? companies overordered during the pandemic to guard against any sup ply shocks now, we're seeing demand weaken, and the consumer end markets, all while manufacturers are making smaller and better chips. these levels, too, i've been talking about done account for the major push across countries, around the globe, to localized supply chains. think the chips act. that could mean even more supply in the next five to ten years. analysts right now seem to agree on the street that levels should improve by the second half of next year. >> all right so what about investors who are worried about high inventory levels and potewrite downs that could cost companies millions? >> i'll take wells fargo for example. they suggested to stick to softw

commitment because they didn't need the chip products other firms stuck with large purchase commitments qualcomm has over $13 billion due in the next 12 months accounting for 70% of its cost of goods sold. you can see other names on your screen like nvidia, marvel they have large, you know, 20% more commitments just due in the next year or so so for those investors watching right now worried about stock piling or write downs, wells fargo suggests software and ip chip stocks like kay dens is outperforming the s&p 500 year to date. they are also bullish on names with smaller purchase commitments and larger exposure to the auto sector like on semi and wolfspeed. the auto sector is considered to be holding up better than end consumer segments like pcs and smartphones. jon? >> thank you >>> the chip industry facing a pc slump, stricter controls on what it can export to china. amd is diversifying its approach katie has this deep dive on lisa su's momentum and bets on a new approach to design. >> known for commuting but now it's branching out, its chips inside tesla, the mars land rover, 5g cell towers

flow returns on investment on 45% on enormous capital expenditures the likes of, well, intel, apple, qualcomm, their latest and greatest isn't even possible without the size, scale and scope of taiwan semi >> right. >> you're right, the stock has bounced off the lows it's only trading about 13, 14 times next year's earnings >> the chart on the screen shows it above 81 bucks a share. i was looking at the wrong ticker there yes, directionally, the chart looks there. what tows this mean for enterprise there's mixed signals about the health, i think, of the enterprise overall spending seems to be going well in a lot of different areas. it seems to me enterprise lags consumer at what point do you look and want to see whether weakness in consumer spending ends up translating into weakness in en enterprise area. >> we always ask ourselves, jon, what's in the stock. the stock got ahead of itself, no question about it when you see how low it's gotten at the low it was trading 10 times earnings it was basically pricing in earnings growth basically just flat over calendar 2023. that still may come to pa

look at qualcomm today. ceos are telling us that things are about to get rocky in the year ahead. >> the key word i continue to hear over and over again and i think we'll continue to hear over the next several quarters is deceleration. deceleration, hiring freeze, layoffs. you're hearing that and to your question earlier, like when is that actually going to be reflected in the jobs numbers? it seems super odd that all of these big fortune 500 companies are freezing hiring, they're laying people off. yet, we're adding jobs every month? i think part of the issue there is with the bls numbers, they're counting second jobs. so if i can't afford to buy groceries and i go and pick up a one night a week bar tending job or i get paid a minimum wage, i'm a w2 employee, that counts as a job. when you look at the household sur you vairks that's telling a -- survey, that's telling a different story. that's saying people working multiple jobs is at an all-time high. they're struggling to survive off of one job. big dispa

the earnings parade continues with key results from amd, qualcomm, coin base and more expected tomorrow we will know for sure what the fed intends to do for rates at least for this go around, and we will get guidance what it might hint at for the coming months and that's the key thing for the markets, and then we will get the october employment report and that will give us more of a hint on what the fed might do next time around let's bring in the president and ceo of thornburg investment management, and jason, it's nice to see you here on set >> good to be here >> let's talk about the setup. earnings matter maybe more than what thought they did, because we thought everything was driven around the fed but the numbers we have seen lately, especially with the old economy industrials have been super impressive, and that powered things. >> and with banks, and so as you say, the value of stocks, the more cyclical names are coming in okay, and the new economy surprisingly came in poorly but it didn't matter, right? the market power drew. and we have gone through most of the earnings and they

semiconductors and also contributing to some of the biggest laggards right now on the nasdaq 100 nxpi, micron, qualcomm down 3.5% and wolfspeed is another name, down about 7% right now but running contrary to that china narrative is the chinese e-commerce firm up 13% and the biggest winner on the nasdaq 100 after a strong q3 profit and revenue beat just hate one-year high. can you see it climbing on your screen and jd.com, another tech firm rising in sympathy as well. we do have some names, not many, but some names in the green on the nasdaq 1 is up ross stores could be some bleed over from cyber monday, black friday and lululemon in the mix as well as amazon, but notch those names are even half a percent higher >> thank you, kristina. >>> it has been a positive month so far for the tech sector but not for the ipo market down 7% and with rights rates and fed tightening what's next joining us is the co-founder and are manager of bracket capital you're the perfect guest to talk about the interplay between the public and private market because of your time at the credit desk and what about the nervousness

come off its low, it's down 401 point the nasdaq is down about 1%, as well speaking of technology, qualcomm down they gave weak guidance and revealed they started a hiring freeze this quarter. the stock hitting its lowest level since july of 2020 roku, it's down again. company saying fourth quarter financials are going to come in moreau e below expectations send rogue coup to its lowest level since july of 2019 this was a pandemic favor. a nearly $500 stock, it's now at 52 bucks it's not all bad, i guess. robinhood is higher today. results beat estimates, thanks in part to higher rates and lower expenses that stock having its best day in two months, but robinhood is still down 85% from its all-time high of 85 bucks a share now let's get a cnbc news update with frank holland >> here's what's happening at this hour. israeli prime minister has conceded defeat to benjamin netanyahu in this week's election lapid constructed his office to prepare for an organized transition of power. in pakistan, protests sparked after imran khan was injured in a shooting attack. khan had been leading a protest c

you own invid you also along with qualcomm. >> i think you're absolutely right, josh. in terms of trading probably time to get out, but in terms of long-term holding it's very hard to get out now if they do not actually hit numbers and stock goes up, then we're off. the market is looking at some of the stuff and look at the margins of this company, that's when you own it. you're owning it for three to five years not just for the next quarter. >> i think the bigger risk is guide downs versus bottoming on bad news my read on the way these stocks have traded all year, i don't think we're there yet. >> you're not worried about a guide down >> i'm actually expecting a guide down every company they've called into have called a slow down the stock reacted down already it's come back up in the last couple of weeks. >> if they guide down and the stock goes up it's very telling. >> i'm not smart enough to time that >> if the stock goes down a substantial amount tomorrow do you buy more you declared yourself a longer-term investor >> for those clients that don't have a full posit

. >> what stacy likes, amd and nvidia and qualcomm. do you like those, guy. >> nvidia has rallied now 65% since the october low. 65%. that is not insignificant. and it is still 50% lower than where it was a year from now that is math i took that in school. i think you sell nvidia, i think it is a rally you have to fade so i love the company but i don't like the stock here. >> steve >> yeah all of the semiconductors are in declining trend line going back to the late 2021. with the exception of qualify com, that underperformed and broke out of the declining trend line but to dan's point, texas instruments looks like the best stock in the space right now currently, that is still another declining trend line this is something where stacy is right. you went from a drought of chips to a flood of chips and there was a lot of overordering and we have not got through that supply and there is going to be a recession. agree with guy i think you have to sell these -- their peaks and valleys and you have to sell the peaks in the semiconductor. >> t

pain at this hour so we're talking about names like western digital, broadcom, sky work solutions, qualcomm, but china is not apple's only problem. to connell mcshane and the apple elon musk spat developing over the last 24 hours. connell? connell: it really has been developing, liz, it's personal, a series of tweets over the last couple of days from elon musk going after apple, and tagging the apple ceo asking what's going on here, tim cook? and that was a replay to this. apple has mostly stopped advertising on twitter says musk and then asking, do they hate free speech in america? now if that's true they stopped advertising, bloomberg says we're talking about more than a $100 million per-year in ad spending, but the real battleground of this back and forth, might very well be the apple app store, with musk claiming apple's threatened to remove twitter. no confirmation of that from apple but we do know the company tightly controls its app store, charging as much as 30% of revenue on things like twitter subscriptions, and tim cook's apple has kicked other companies out of the store in the p

have to do is look at the nasdaq laggards they are pretty much except for biogen all tech including qualcomm and nxp semi, micron, as we continue zoom as well is on that list, and so on. great to see you both. we got to rap here, kenny, scott , good stuff here. there's a new low for the session on the dow jones industrials a loss of about 502 points keep an eye on that. i'm telling you guys "the situation" is very fluid in china just as kenny and scott pointed out. as we continue to watch one eye overseas we've got the code that may have just been cracked on tesla's mysterious model make over. a new report blowing the lid off the secret of changes about to be made to one of its electric vehicle models making it more appealing and yes, cheaper. but where are all these ev's going to charge? we're about to show you look at that jetson style solar powered off-grid charger which has millions of dollars in u.s. government contracts already flowing its way. will it be the charging game changer? with the closing bell ringing in 48 minutes, the "clayman countdown" is going to show you the ev ark and

earnings from qualcomm, robinhood and others we will get to them as they filter in. we begin with our talk of the tape a post-fed selloff after chair powell says the tightening campaign still has, quote, a ways to go even if the pace of rate hikes eventually slows. stocks down, buying yiel u

some larger drives here in market, qualcomm, volumes are not there. it's thanksgiving week we are moving into this lull. in between we have the fed coming out, arete -- a fed decision out of korea. the dollar is largely on offer. the trade is with the hong kong dollar, given just the gyrations and the pullback. yields are pulled -- pushing higher. equity features are stable. 20 more ahead. -- plenty more ahead. this is bloomberg. ♪ >> it is almost 11:00 a.m.. welcome to bloomberg markets: asia. i am juliet. rishaad: fed officials are opene hikes. this is in a test of beijing's attempt to curb outbreaks. with the book of genesis set a one this to raise cash. you can see juliet there. party struggling to strike a deal. we have a hang seng which is down. that is affecting stocks related to that. we're also looking at what the federal reserve officials have been saying about interest rate hikes. on top of that, we have seen the dollar strength of late abating if you will. the dollar index is down. this is 3/10 of 1% after the big gains we saw in the las

of course, semiconductor giants, qualcomm, nvidia, analog devices. and apple, china being its second largest market, accounting for 18% of sales, looks to diversify its supply chain, bringing lower cost iphone to india. the commentary from these companies will provide a critical read of what exactly is happening on the ground and if easing restrictions will help kick start productivity. next big economic report will be industrial profits this friday back to you. >> seema, thanks so much >>> coming up after the break, we'll talk with former goldman asset management share jim o'neill and get his thoughts on the market action around the world as dow up 285. don't go anywhere. ♪ ♪ wow, we're crunching tons of polygons here! what's going on? where's regina? hi, i'm ladonna. i invest in invesco qqq, a fund that gives me access to the nasdaq-100 innovations, like real time cgi. okay... yeah... oh. don't worry i got it! become an agent of innovation with invesco qqq at fidelity, your dedicated advisor will work with you on a comprehensive wealth plan acr

that time period today credit suisse laying out some topics for the short term analysts say micron, qualcomm, skyworks and global foundries have time. if you have a longer term time line, get into amd, nvidia and marvell. you can read more about it this thing, it's making me get an ice bath again. what do you mean? these straps are mind-blowing! they collect hundreds of data points like hrv and rem sleep, so you know all you need for recovery. and you are? i'm an investor...in invesco qqq, a fund that gives me access to... nasdaq 100 innovations like... wearable training optimization tech. uh, how long are you... i'm done. i'm okay. >>> we're at session lows for the major averages right now you can see the s&p is down .8 of 1%. the nasdaq is down 1.6%. the dow is down fractionally retail earnings, a big piece of the puzzle with advance auto parts leading the declines for the s&p. we're going to be speaking to advance auto parts on "power lunch. that's going to do it for "squawk on the street. tech check starts now. >> good wednesday morning, welcome to tech check. we're live from rbc's globa

want to see weakness, that's your list i mean, again, hewlett packard, hp, they were the ones -- well, qualcomm is inexpensive but you can't be in semiconductors yet it's too early >> the best you can say is that hp and amd had similar views on the recovery of pcs. >> when you're down 18%, 19%, that means there is a lot of inventory stock. and it's hard to get through, because there's no natural buyer. here's what i think they got wrong. i think a lot of people felt that that new office at home would be -- it would be wayfare and williams sonoma. it would be a second-rate pc and then an upgrade. totally untrue williams sonoma, still one more piece this morning saying the edifice is cracking, whatever the heck that means. there's no doubt that the whole concept that the home office is going to be better than it was last year, it was a false thesis >> interesting also, regarding work from home, "times" piece over the weekend about business travel, meaning we are sort of returning to travel, corporate, but the cost-cutting element now going into year-end is making it very hard to read for airlines