Sometimes it takes a different approach to help you unlock your true potential. With Capella University's Game Changing Flex Path learning format, you gain relevant skills you can apply to your career right away. Earn your degree from an accredited university and be confident in the quality of your education. Imagine your future differently at Capella.edu. Capella University is accredited by the Higher Learning Commission. Learn more at Capella.edu/accreditation. Market moving insight and analysis join Jim Kramer, David Faber, and me, Carl Keintzaneer on the opening bell hour of CNBC's Squawk on the Street. Good Friday morning. Welcome to Squawk on the Street. I'm Carl Keintzaneer with Jim Kramer, a post-9 of the New York Stock Exchange. David Faber has the morning off. Futures are trying to bounce after Thursday's decline, and as March jobs, crush estimates 303,000 employment rate falls, so does annual wage growth, lowest in almost three years. Our roadmap is going to begin with that report, the strong payroll number, providing some new challenges, perhaps for the Fed. The Treasury Secretary is in China delivering a stern message about that country's treatment of U.S. businesses, and some healthcare M&A, J&J, striking a deal to acquire medical device maker Shockwave Medical in a $12.5 billion cash deal. Let's begin, though, with the market reaction to this jobs number, Jim. Unemployment down to $3.8. LFPR, up a tick, or two. That's nice. Yeah, I didn't mind this number, because in the last few weeks, the narrative had come that maybe the consumers got more frugal, maybe there's not been a lot of spending. And you've seen that the retail stocks all come down. This number says, "Look, don't worry about that." It's not going to be a precipitous decline. I think that the whole narrative of when they cut, will they cut? We've got to kind of get away from that. What we have to say is, you know what, economy's healthier than we thought, because next week, we're going to be talking about profits. We're not going to be talking about the Fed. And this number gives me hope that profits will be okay at the consumer level. Where I was beginning to work. We are going to talk to Lil Brainerd later on this morning about the jobs number. But quickly, some forensics on yesterday, you did not buy that this was a Koshkari-driven sell. Oh, no. I mean, it was $1.38 that you saw this sudden shoot-up in oil, which seemed to be very much related to stories from the mid-east. And then we had a huge flight to quality. And then Koshkari spoke to it, it actually was the opposite. It was, interest rates were reacted to flight to quality. And it became Taiwan and became Ukraine. But it was always, I think, the undercurrents mid-east. And the fact that oil is almost at $100 barrel was considered to be worrisome, not from the inflationary point of view, but from the point of view that we feel something could happen this weekend. Which is why I still don't trust this number. I really am worried about something happening. Does that mean you would not necessarily want to go long into the weekend? I just think that, no, the people won't want to go long. I think they were almost oversold. I think that if oil starts ticking up again, even though we have a lot of supply, that's worrisome. When you have oil ticking up and yet there's a lot of supply, and we do have a glut right now in our country, when you had interest rates going the wrong way, and then you had Koshkari and Koshkari was not a factor, you would think that maybe interest rates would be going up on Koshkari. It didn't happen, it went down. So it's world events versus these numbers. And if we didn't have world events, I think that when people would say, "You know, we can rotate back to the areas that we've been selling for the last few weeks." Right. Interesting piece in the journal today about energy. Gasoline inventories, for example, down five-year low for this time of year. You got gasoline average 360 here. Nice chart out of Piper looking at when energy leads, equities. Mark, multiples tend to suffer a bit. Yes, they do. I mean, it's really interesting, by the way, Exxon had a miss. They pronounced, and the stock was up anyway. Chevron has had just a huge move here. The massive limited partnerships are going up big. And yet, when you look at the actual inventories, we're okay. It's the refiners that are making all the money. This is a Valero-red lead rally. I don't like those, because those are the least value added. I mean, if you ask me which is the most value out of the AI, the least value out is refinery. All they do is just, I mean, you know, there's two kinds of refineries. There's the booze refineries. So all refineries. They're both pretty simple products. I just think that, I'm just worried about nitties. Right. I am, because that's what is controlling the dialogue, not fed government. So your take, then, generally, about the jobs number is, all right, there's one thing we don't necessarily have to worry about. Exactly. Some yesterday argued, jobs number is the appetizer to the on-trade next Wednesday, which is CPI. Yes, and I instantly heard that. We're always going to get banged on anything housing rent. I mean, I wonder whether the oil brand will talk directly about what happened to rent in this country, which is that you have so many immigrants come in, and so many people have to be housed, that the slack is completely taken up when it comes to rent. Even the orders, as Phil would tell you, unbelievable coverage as usual, that orders are coming down. I suppose I saw that a musket cut again. I mean, muskets really just-- Muskets. You must have a lot in the report, so the muskets trimming the cost of at least the Y, the SUV, by five grand. I know. As we know what happened to inventory in the last delivery report. Miller, Hertz is trying still to get rid of its inventory. Hertz is a team-- I don't think they're in the fight for the life, but they got to get rid of that, because that was a bad bet. So, I mean, autos, we see the switch over to hybrid. We don't have anything that's really spiking to me, other than gasoline, which can be ephemeral, and rent. Right. We talk about the Tesla price cuts. Everyone's talking hybrid. Now with some manheim numbers, let's get to fill the bow on that. Hey, Phil. Good morning, Carl. Good morning, Jim. Let's talk about used car prices. And that market, this is new data from Cox Automotive looking at what they saw in March, and their term for the month, "tep it." Not anything great out there that has people say, "Yes, I have to buy a used vehicle right now." We'll explain why in just a little bit. Here are the numbers from Cox Automotive in terms of what they saw in March. Overall, pricing down 11.4% compared to the first quarter of last year. And remember, that first quarter of last year, we're still dealing with a big surge in inflation pricing within the used market. 3.1% increase versus February. They were expecting closer to 3.4, 3.5%, because they prices usually firm up in February and March as more people get into the market. And they are calling it "tep it demand" right now. Take a look at CarMax and Carvana. Couple of things to keep in mind. Used auto prices. They continue to fall. And the big driver of this, guys, this is less a reflection of the economy overall, and more a reflection of the supply of new vehicles that are out there. As you take a look at some of the other dealership stocks, keep in mind that what you have is greater new vehicle supply coming into the market, especially at lower price points. That's why when you take a look at what JD Power is reporting, the price of a new vehicle, average transaction price, down more than $1,600 in the first quarter. And I wouldn't be surprised if that continues to fall in the second quarter, because they have the full complement of chips now that they didn't have over the last couple of years. The automakers can no longer say, "Well, we only have the highest trim level. That's what you got to buy." Oh no, the consumer is saying, "We want the lower trim levels, and that's the supply that's coming into the market." This question just went on. You answered it. One of the things that I think we've all discovered is, COVID's shadow was much longer than we thought. And the idea that we're just now getting supply chain normalized. Absolutely. And that's what these numbers reflect for the use market. It's becoming a much more normal market. It was not normal when you saw prices jumping up six, eight, ten percent, year over year, over an extended period of time. It's much closer to normal now. And most of that, Jim, is because of the supply that is out there in the market. We didn't see that over the last three years. Incredible. Back to normal. Phil, appreciate that. A lot more to come. Of course, next week, Phil LeBeau. Speaking of autos, Jim, we know it's an industry heavily influenced by Chinese exports. Right. And Yellen is on the ground in Guangzhou. Sarah's going to talk to her Monday morning. This take about, she's calling him coercive moves. Not necessarily against the U.S. but against the global account. Well, we'll stand for it anymore. It was one thing when they were doing this because they were manufacturing power. Now they're doing it because of how bad the real estate market is. A lot of countries say, "Listen, don't wreck our country because of your real estate market." I think that Yellen will be forceful that I can't wait to see what she says to Sarah because she's right in her face. I mean, and then typically, I'm speaking with a student with George Kurtz from CrowdStrike. I mean, China's just going nuts with cyber terror. I mean, these guys are just outlaws right now. And she's going to the kingdom and basically calling them outlaws. And I don't think I think it's much more disruptive than people think. We look forward to Sarah sit down. But in the meantime, take a listen to what the Treasury Secretary has said so far. We've seen the PRC pursue unfair economic practices, including imposing barriers to access for foreign firms and taking coercive actions against American companies. I strongly believe that this doesn't only hurt these American firms. Ending these unfair practices would benefit China by improving the business climate here. Meanwhile, the EU opening a probe of at least two Chinese solar panel makers, Jim. So, U.S. is not doing this alone. It's the oldest. I mean, they're back. It's really incredible. Now, first solar's got very low cost. That's the one. Don't buy sun power. Don't buy plug power. You've got to be very careful. A lot of speculative stocks have been attracting younger investors. We really don't want that because those balance sheets have been. But we are under assault like we haven't been in some time. And other countries, too. But we've got to focus on Mexico because as Phil has just demonstrated over and over again, that's the back door to our country. And I know that you've got people like Bill Ford worried. You've got Jim Farley, CEO of Ford worried that somehow our country's not going to be rigorous enough and allow Volvo to come in. Volvo is the Chinese Trojan horse. So, I'm worried about what China's doing. I'm worried about the Middle East. These are these unfortunate narratives that are not the Fed that are very hard to gain. And I just, going into earnings, don't want to see CEOs talk about how we're being undercut by China. That's just a terrible narrative. That is interesting that you're arguing that the Fed discussion is being supplanted by broader, global, political, military concerns. Yes, military. And I think, by the way, if we go back to what Phil said about used cars, you're seeing at a certain level people misjudging. And this is why I wanted to see employment be okay. Lamb Weston was the stock that was down horribly yesterday. I'm not talking about really bad stuff, 20 points. And there were two things wrong. They had this ERP. And a lot of, they had this enterprise resource plan today. They can't execute it. But they have weak demand for French fries. Okay, now, let's think about that for a second. That just means fewer diners. And we have not turned on French fries. I mean, you can give everyone GOP-1. It doesn't matter. French fries. But... Yeah, they're commentary on restaurant traffic. Was it that it was not great? No, and that, again, that's why I wanted to see this number. Because I was concerned, well, wait, maybe people aren't dining out. But then I kind of, I kind of aggro on yesterday saying, listen, people are back in the frozen food aisle. They're not cooking themselves. Not cooking themselves. Not to serve men a cookbook like them. But I just find that this number is so important. Because what it says is, don't freak out about tepid restaurant. Don't freak out about tepid supply chain-induced use cars. We're fine. Provided that there's nothing going on over here. Right. It's weird. For every lamb, there's a, there's a conagra. For every Ulta, there's a Coles. I know! I mean, that's Tom Kingsbury Coles. Remember, they brought in Sephora. Sephora's LVMH, arguably the company that is doing better than anyone in the world. They're up against Ulta. I will always take LVMH against Ulta any day. When we come back, as we said, some M&A in the mix today, closer to look at J&J's $12.5 billion deal for Shockwave. Nice batch of upgrades today. Eden SoFi, AXP, Pepsi. We'll see if these gains can hold throughout the day, given some of the concerns Jim has outlined so far. We're back in a moment. You seek the key. But first, you must learn the ways of precision, craft, and performance with Acura's all-electric ZDX, with a premium bang and olives and sound system up to a 313-mile range and a Type S variant with an estimated 500 horsepower. The ZDX is their most powerful SUV yet. Unlock the energy when you visit Acura.com to order yours today. At Morgan Stanley, old-school hard work meets bold new thinking. At 88 years old, we still see the world with the wonder of new eyes, helping you discover untapped possibilities and relentlessly working with you to make them real. Old-school grit, new world ideas, Morgan Stanley. To learn more, visit morganstanley.com/yus, investing involves risk Morgan Stanley Smith Barney, LLC. I was supporting the interest of the company, not my personal interests, and defending what the company and the board was doing, as opposed to defending myself against criticism from Nelson and the people who were backing him. Disney's Bob Iger yesterday telling David Fabery stressed what was best for the company when it came to the proxy fight against Nelson Peltz. This was the story, Jim, until the sell-off yesterday. Yeah, look, very actually, it's kind of prorian, actually, because you do have people with big egos. I think everyone would say that both sides had egos. I do think that the lesson of this is that Bob Iger's really tough. He did not just sit there and take it. When you talk about distraction, he really distracted himself. He was not going to lose this. Money, his own time. He's tougher than it looks. The index funds, I thought, were going to roll and go with ISS and go with Peltz, but I think Iger was incredibly persuasive, very, very rigorous guy in the end. Now we need to stop her. I was going to say, almost got to 120-ish. Can you separate the decline from the tape yesterday? Yeah, look, it was flirted with 120, 121, and I think people felt that my interview with Nelson, it didn't sound like he was dumping the stock. Now, last time he had this and he got out and was on the show, boom, sold a lot. Now, there's always this how much is really trying, how much is like pro mutter, but I don't think this had any to do with Nelson. I think people kind of felt that, you know what? Iger's means business, and Iger actually has a plan, and therefore Peltz would be wrong to dump, but I think Peltz stays. I think Iger stays, like pro mutter. The stock was doing well, and it was just a sell-off that took everything down. Jim mentions the discussion about how Ego played a role in the proxy fight. In his chat with Nelson Peltz yesterday, take a listen. The ego in the room didn't allow for it, and you've seen that over and over again as I have. And once people get ego and check, good things happen. And I want to tell you, David Taylor at P&G, who they fought me tooth and nail, David Taylor never allowed his ego to get the best of him, and he and I wound up to be great friends. The company did phenomenally well, it went from the 70s to 160 while I was there, and while he was CEO. So let me tell you, the ego is the issue. Point, are you looking to see in June how password sharing develops? Can they recreate some of what Netflix has done already? We told people to sell, we sold some, Chappell Trust on Monday. Yeah, we told them to lighten up some more, we weren't allowed to, because of our restrictions. Told them to sell into the strength yesterday, get your position lower. Not because of anything having to do with Eiger versus Peltz, but because it's about a lousy market for linear TV. Sometimes it doesn't matter how good you are. Look at how Warner Brothers, I mean Fox was up great today, but this is a horrible group. And I think this is a best house, yeah, arguably I can't guess where for them. These are good houses in neighborhoods that really are hell. So I just said, listen, you can, as good as Eiger might be, and as tough as he might be, it's a theme park play. Because I don't know whether they can turn around to ESPN. What happens if Andy Jassy says, you know what, if we take the NBA contract and just bid it up, you won't even notice that they'll bid it up. Maybe more people will tune in and they'll be great. Well, that is not the discussion they have with these other places, they're existential. Andy Jassy is saying what? I like basketball. It's like a plaything. It's a plaything. Meanwhile, Pivotal today takes Netflix to a street high, 765. You know, Apple plaything, Amazon plaything, Disney, existential. We'll get Kramer's mad dash, countdown to the opening bell on this final session of the week. As we said, coming up in about 10 minutes, NEC Director, Lael Brainard with first reaction from the White House about this morning's jobs report. Don't go away. Sometimes it takes a different approach to help you unlock your true potential. With Capella University's game-changing flex path learning format, you gain relevant skills you can apply to your career right away. Earn your degree from an accredited university and be confident in the quality of your education. Imagine your future differently at Capella.edu. Capella University is accredited by the Higher Learning Commission. Learn more at Capella.edu/accreditation. Let's get Kramer's mad dash as we countdown to the bell. Karl, the tomatoes might really come to love because they come on and I just turn this out on because they're so good. Stacey Raskam from Mercy is one of those very thoughtful person. He was as savage as I've ever heard an analyst be about Intel this morning. Called Intel CU in 2030, which is when they say that things will be good. I just want to read this one sentence if you don't mind. He goes, "Why do they do this themselves?" Intel's story over the last several years, and this is the Pat Gelsinger year, has been one of dashed expectations from our latestly bullish targets to keep product delays to rampant channel stuffing leading to an eventual abject collapse. I think you want us to hear clear of this. Stacey represents the now conventional wisdom, but he's willing to tell the truth, which is the Gelsinger's is just simply one of the most suboptimal CEOs we've seen in some time. Is he on the wall? Yeah. He is. Yeah, I've got to put him on the wall. Really? Yeah, I think I have to. I mean, this is an extraordinary moment where they've just stopped caring after making incredible claims. And I've been back and forth with them. I'm just, I don't know what to say. This Stacey piece is the, this may be the last nail. I don't know what to say. I read this piece and I said, "I read it three times." I said, "No, no." I mean, those things are what an executive should never be doing, and it's got the whole litany. I think we have to break out the wall. I mean, maybe this weekend I'll talk to her with my wife, because she says, "You've got to be, you've got to be a little more upbeat, kid." But you'll last time, I'm serving tricks, and I have my Nvidia hat on. It's just take that hat off. That stock does not mean but go down. Nvidia, Nvidia, you should have your look at it. If he goes down every day, come market. Why have you done for me lately? That's great. We'll watch, we'll watch Intel. There's some Samsung news as well regarding their investment in Texas. Don't forget, you can catch us anytime, anywhere. Just listen to and follow the Squawk on the street opening bell podcast. J&J, taking steps to ramp up its cardiovascular portfolio. The company's agreed to require medical device maker Shockwave. $3.35 a share, $12.5 billion in cash. Deal expected to close in the middle of this year. Jim sort of ups their exposure in the cardiovascular world. Right. Now, a dilutive, actually pretty terribly dilutive. But one of the things that Jensen Wong from Nvidia told me is that J&J wants to own the operating room. And this is perfect for J&J. They are filled with AI. It's a very good move if you want to own the operating room. Because these guys bust basically hard arteries going into the heart. It's an exciting bit, an exciting bit of technology. At the same time, J&J stock has been a horror show. And this will not help. People are just going to say, "Well, what are they doing?" They haven't been able to clean up the lawsuits with TAL. And now they're doing this. And we're not getting our bank for the buck. And I do like technology. I know that they have a lot of really good AI in the operating room. Another $13 billion. What's up, buddy? Get 'em. Stock has underperformed peers lately. We'll watch that to see if this works any kind of magic. Let's get the opening bell here in the CNBC real-time exchange. At the big board, it is Gene Maker, Levi Strauss & Company. Celebrating the listing anniversary. And at the NASDAQ, it's Mexican hotel developer Milano, global investor. Lisa Listing is that. Levi, we talked about earlier in the week. This was a remarkable quarter. Now, somebody come on our network. I'm not gonna mention it. The recommend sorting the stock was one of the worst goals ever because they didn't realize that there were denim cycles. And right now, we are in a denim cycle for not just bottoms but tops. It's extraordinary. Levi's is ready. Michelle Goss had the right inventory. Europe has been incredible for them. The misread here was that people said PBH. Well, there we go. Yeah, Levi. PBH, Mr. Lee Bandley in Europe. Well, these guys crushed it. Congratulations to Michelle for a correct read of the consumer. And the direct-to-consumer business here is extraordinary. Dad, who knows the chip burn-to? Because Michelle just took it over and chipped it a remarkable job. This is a terrific situation from putting out nicer people. The stock was a very big yesterday. So don't take it as weak this year. But congratulations. They read the consumer correctly and PBH did not, including Europe. Right. Interesting. We mentioned some of the upgrades we got today. The upgrade of AXP got some attention regarding the consumer release. Yeah? Well, look. They've been a great read. One of the things that happened when that stock was about $1.70 and $1.60, they had a week. Steve Square is fantastic. He's giving you up-to-date information about the month of October. And then the rest of the months were very strong. And so, boom, they've been a great indicator. Travel's still good. Bookings.com is good. People still want the airlines. They like Delta. And Royal Caribbean is the winner when it comes to cruise ships. Meantime, things that are working at the Open here, Jim. Some gains in Amazon today. I'm on our-- our-- Mizuno, top pick 230. That was a nice piece. What can I say? Stocks been weaker of late. Shouldn't have been again. That's part and parcel with the market coming down there. This MAG-7 is just completely lost to anybody. We got to stop talking. I mean, I was a big MAG-7 guy early on. I think it's just hope-- it's a jailbreak. So, it's a field run. These stocks are not correlating at all, including Alphabet. Every day, you're doing something. Alphabet's why HubSpot rumor? HubSpot is a very overvalued salesforce.com. Formally, good partner. And what is going on with the company where they actually let people seem to know that they're going to buy something? Oh, that doesn't make you pay more. I wonder whether Alphabet's in somewhat a bit of an existential crisis, too. Well, there's the HubSpot stuff. There's the debate about whether charging for AI search is good or bad. I think that's the worst one. They've got the bullet. Jim and I are so boring. It's like it's a PowerPoint. You know, you've got a Claude. Claude is, like, conversational. Actually, better conversation in a lot of, like, you know, some of my close friends. There's some think pieces on the tape today, arguing that YouTube is 30% undervalued and deserves to stand on its own. Well, if they could tell the story and if they let you know how well the NFL is doing, and if they stopped running pictures of cats in the fourth quarter, that's what they did in the commercials. They run pictures of cats. Hey, I like cats. I got another. I was once Perina's cat's book person, so I'm only in cats. But, I mean, really, is that what they do? I mean, CBS is charging, like, a million dollars for 20 seconds, and they run pictures of cats and playing down to stress. Right. We'll watch Alphabet. And then you mentioned in Mag 7 World, Apple, this filing, revealing some layoffs of 600 plus. We think it's related to Titan. But then I see that Foxconn might be doing more, more building. Now, last night, I had a charter, a Karen Barodin, who was really not like Apple, saying we're catching a, you know, don't laugh. Fibonacci bottom. I happen to be a believer in Fibonacci, a medieval Italian mathematician that did develop things like the, like, on cauliflower, believe it or not, there's. Oh, yeah, of course. Yeah, that makes sense. Okay. Yes. Sea shells have it. The cauliflower, Lib Bernardin, is incredible. But that doesn't mean you're, like, racing to buy this dip. No, I just, I gotta, like, let's get through this stupid weekend. And I just, I mean, it's almost happening in the Middle East. It's just terrible. I don't like to comment on politics or any other stuff, but I just think there's, like, we got powder cakes everywhere, we got Russia back full strength. We got this narrative about, about the East part of Taiwan and whether that's been hurt and whether the Chinese are, are going to make a move while Yellen's there, because that was what they did with, with Jean Remondo. She was over there, a great secretary of commerce and, and they were busy attacking a cyber while she was there. So the tensions are a little too great for me and I will be, I feel better at 5 a.m. when I wake up to watch Sarah speak to Jim. On Monday. Yeah, there's, I mean, in terms of Israel, the IDF, just missing some commanders on the death of these WCK workers. If, if though, Jim, there was some move to create more civilian safety, create more passages for aid, would that be necessarily equity bullish? You know, I hate, it's like human life versus, yeah, it would be. But it would be reflected as oil going down. And if oil went down, I think it would be, that would make people feel like, wait a second, we're overdoing the worry. I know that OPEC+ has been very good. I'm trying, I have Rusty Brazil on TBRBM because the US producers have been holding back. What is that about? Why don't they just go full on production? I want to know. Now, a lot of people are very mad about the, about Biden and the LNG. Yes. 2028. People cutting back on that. But I think oil is front and center. If oil goes higher today, you can't buy it. Because oil is saying, if we're not going up because of demand here, we're going up because of concern about supply. Right. So let's get, let's get oil to where it has to go. That's what I'm mostly worried about. I'm watching oil and go home because that destroyed the issue. More discussion this morning on WTI. A golden cross for since August. Last one we had. You saw crude jump about 20%. I know. We are on pace for the second weekly gain for oil. We mentioned the journal piece today. Although, Shell, upping their Q1 gas production guidance today, Jim. I don't know why I had this name. There's no, there's not a single pipe in the West. We had some good stuff, people's steven had good piece yesterday, which is about this notion of natural gas. There's just surfed. That's not the Eastern hub. That's just a bad market. It's just a terrible market. Of course, 30% of our electricity is powered by that. We know that from a stock that came and went, which is a turnover, which is a stock that I like GE. But there's just the difference between that gas and oil. It's never been like this. I wonder maybe we'll ask Lael Brainerd in a few minutes about whether the SPR belongs back in the conversation or whether you can jawbone producers or jawbone OPEC instead, if some are driving ends up being difficult. Yeah. Well, I just want to know why we know that the Permian is -- can do 14. Can do 14. I want to know why they're not doing 14. And we got to 13. Yeah. I mean, look, the relationship between the president and the oil company is the worst I've ever seen a president in the oil company. Although the oil companies have made tons of money under Biden, it's -- lot's been written about that. That's absolutely true. But they don't speak that much. I mean, Biden is committed to climate. It doesn't seem to realize that so Chevron, so is Exxon. And not the climate. They're not committed to climate destruction. They're really spending a lot of money on carbon capture, Exxon being a leader. So I don't know. It's a fractured market. But the main thing is that we can pump 700,000 more. It would be great if it did. Pretty market-consuming. Watch Uber today. One of the top gainers up almost 2%. Jeffries today, up to 100. We mentioned the Netflix Pivotal Street High 765. Snow. Rosenblatt, up to buy 185. I question that. Now, Rama Swami is in there. He's terrific. He came from Google. Absolutely top notch guy, but not a salesperson. There were people that narrative going around with a snowflake was that they don't have AI. This is a data bricks private company against what Sloopan developed in snowflake. But I think it juries out. You've got to find out. I mean, this is not new CEO. No, he's not Gelsian. New CEO. Very confident technologically. We don't know about sales. And that's a sales job. Get to sell. We've been talking prior to the sell-off yesterday about market broadening. This is the third positive call this week that I saw Jim on Eden as RBC goes to outperform Barclays' upgraded Monday. Deutsche Catalyst by Tuesday, I think, or Wednesday. It's a big position for our shareholders. Really? Yeah. And because they're in -- they're in-vertive, which was at $1.3. That was the fact that Dave Cody took charge of. But, Eaton is 15% data center. And that's really what you need to know. They're 15% data center. They have five mega-cap trends. All of them are exactly where you want to be. Whether it be aerospace, whether it be the grid. They're fixing the grid. And they're doing data center. And they are in the sweet spot. And they're in Cleveland. And they're not promotional. Right. And all I want to do is get them one. I want to get them one. Because they are the Nvidia of metalbending. I was going to say, is it an example of us moving from electronics and shovels to a broader set of providers and suppliers in the sort of AI data center universe. First page of their deck is about re-industrialization. Reshoring and re-industrialization. They are at the heart of what CSX would say are the 300 mega projects that are going on right now in this country. Of which use projects. And it's kind of like what China used to be like. We're growing like them. We're doing a lot of things. We need employment numbers. We need data center. You're going to have 5% increase in the grid use year after year after year. And it's one of the only companies that seems to understand what we've got to get on the case. Caterpillar too. They understand. Right. We mentioned Samsung earlier. That's an interesting chart. Big piece in the journal. Doubling their investment in Texas. Big step in terms of the US efforts to make the US a maker of leading at shifts. They know how to build. And they also know how to call lamb research. And they know how to call applied materials. They know how to code KLA. But one thing that people don't understand, other than ASM. ASML. We own the intellectual property. It's the last thing in the food chain. If you ask Morris Chang. Great. Taiwan. Well, why do you make it in America that's so good? And so we make the capital equipment, semiconductor capital equipment. And Samsung seems to know how to do it. We'll wait to see what Intel knows. My sources indicate they don't know. Even with all of the tailwinds they've gotten from US industrial policy. Well, I think that I don't want Secretary of Monder to be on a hot scene about this. But Intel wanted to do it. And Intel was a great manufacturer. But that was a different Intel. It was just a different Intel. They used to have a couple of people on the SWAT team that could put plants anywhere. I used to be an Intel Hulk. I went to the Israeli plant on Saturday where no one works. Which is pretty amazing. And then I went to the opening of the Irish plant. And they just knew how to build. These guys, not so clear. It's a construction project. Right. And then after that you bring in lamb, you bring in ASM. And it seems like Samsung goes with the do. And Taiwan sent me a really nice do it. Samsung's a great ally. Great. Great. What they're doing. Yeah. Really great. Boeing's an interesting story today. Jim Reuters has a piece that they and Airbus are just exploring ways to divvy up these spirit operations. Well, I mean Dave Calhoun was very good at expressing that Boeing has to get control of the fuselage. Which means they have to get control of spirit. Now I remember when, unfortunately, I'm old enough to remember when they spun in spirit off. Which is that spirit was a low margin business that they didn't want. So now they have to take it back. Because the quality of spirit is obviously second rate. And I think the regulators. Well look, if you work in spirit, they're not going to say that. But I say obvious meaning that this was the door issue. Boeing has to find a way to be able to pay for that without really hurting the stock. And I don't know how they do that. I think they have to do the stock. They don't have to balance you. Right. Yeah, it's been a difficult challenge for Boeing. And as we mentioned, Calhoun not running for re-election on the board of Caterpillar. Gaines holding here at the open. S&P's up about 21. Dows up almost 80. Watch bonds as well. Not so much data today after the jobs number, but plenty of fed speak yet again. Collins already on the tape, Barkin, Logan and Bowman. They're paid by the word. That's when I was reported. These people must be paid by the word. Before we get to the end of the day, 10-year off of the morning high, still 4367. We'll be right back. Joining us outside the White House today is National Economic Council Director, Lael Brainerd. Director Brainerd, great to have you back. Good morning. Good morning. We've covered the headline number quite a bit. But I have to imagine you're happy. Not just with annual wage growth near a three-year low, but participation highest since November. Yeah. I think this is a really very encouraging report. It suggests that the U.S. economy can continue expanding with the labor market in a really balanced way. We've now surpassed the 15 million new job milestones since President Biden has taken office. And we're doing it with unemployment down below 4% for over two years. Inflation having come down dramatically over that time. And as you said, the labor supply has expanded. Labor force participation is really strong, up relative to pre-pandemic. Those are all really good outcomes for American workers, the American economy. Director Brainerd, Jim Kramer, thank you so much for coming on. You've got tremendous breadth of knowledge, including your Fed work. And I wanted to ask a question just narrative-wise. Are we emphasizing whether the Fed will cut or not way too much versus what is really just a fantastic economy? For those of us who've been around since '78, '70, '90, '70, '80. Yeah, how much won? You've got good job growth, not a lot of inflation. Why are we focused on rate cut? Should we just be focused on the fact that this is a good job market with good profits? Yeah, so as you know, I'm very cautious to respect the Fed's independence. So I don't comment on their policy, but I will agree with you that this is a really nice economy with good, strong job creation in the context of ongoing moderate wage growth and moderating inflation. So that's the kind of economy where I think you can see the sort of soft landing that people did not think was possible just a year ago. And there's every reason to think with productivity as high as it's been, with business investment, with growth, with jobs creation, inflation coming down, that the economy can continue expanding, creating jobs and opportunities in a balanced way. Do you recall any time when we get healthcare adding good jobs, government construction adding a lot of jobs, leisure and hospitality adding a lot of jobs, social assistance adding like retail. I mean, this is the most balanced slate of hiring I can recall. Yeah, this is a very broad based ongoing growth story in the U.S. economy. We're continuing, of course, to seeing investing in America in important areas that will build for the future like green energy and in areas like high technology semiconductors. So the broader picture, as you say, I think is very encouraging. I wonder, Director, how you're thinking about immigration. The Fed Chair did mention it. Goldman has a report out today. Two and a half million immigrants last year, close to a two decade high. Obviously, it is helping the labor force. But how do you perceive it when it's so politically loaded right now? Well, look, we are seeing just a very attractive job market with loads of good opportunities. And that's why we've seen participation increasing. A lot of that's come from people coming off the sidelines back into the labor market because wages have been stronger. And we've also seen a lot of people moving between sectors for good opportunities. We're doing a lot of investing in good jobs and apprenticeships and pathways to the middle class that are inclusive of but don't require a four year degree. And so there are good opportunities. Of course, immigration is always a part of our labor market's dynamism. We've got pathways to legal immigration that are so important for our labor market. But will you please disclose how many work permits you've issued? We don't know. The economists don't know. We also don't know what's the real numbers because the Census Bureau is not accounted for immigrants properly. Can you give us a sense on work permits right here right now? Yeah, so I can't give you any specific numbers. I'm looking at the jobs market from this morning. You're looking at the same numbers. What we see is that the employment to population ratio is very strong, close to record highs, labor force participation, the number of Americans that are participating in this really good labor market under President Biden very high. And that allows the economy to keep growing businesses, to keep expanding consumers to remain resilient because those paychecks are better than they've seen. So all of those things bode well for the continued expansion in this economy. Finally, Director, I'm sure you know the oil has gotten the market's attention. Year-on-year gasoline, retail prices no longer negative going back 12 months. To what degree are things options like jaw boning or the Strategic Reserve entering the conversation again? Yeah, so gas prices at the pump are so important for American families and a big focus of President Biden. We are pleased that gas prices have come down by $1.40 relative to that peak that was caused by Russia's invasion of Ukraine. But as you say, we are watching carefully to make sure that those gas prices at the pump don't go up, don't squeeze Americans. And you know, we're going to continue monitoring and making sure that we see the continued strong production here and around the world that's going to be necessary for that important price at the pump in the months to come. Director Brainerd, on energy, immigration, of course, the jobs number today. Have a good weekend. Thanks so much. Good to see you. Good to see you. Thank you. Well, Brainerd. Market holding in there. Dows up 110, 51-75 in the wake of yesterday's decline. Don't go anywhere. Let's get the gym and stuff. Talk about things like eating. Looks good. Mark's best of good. Here's what they don't want. They don't want PepsiCo. Jeffries comes out and makes a franchise pick. They basically say, "Look, it's never been this cheap. They can't recall." Europe's very strong. Price targeting two and nine. And the dogs won't eat it. Incredible. They just don't. And when I see that, what it says is, "The economy is good, so don't buy Pepsi. Go buy something else with the economy." And that's the narrative that I want to have. I felt that Director Brainerd could have run a little more with that, but I don't have to do her job. She has to do her job. That's right. We speak at an oil, which we spoke about with her. You're just going to talk about it tonight. Yeah. Rusty Brazil, RBN. I think the foremost energy consultants. And I've got to ask Rusty what's going on. And then remember, we have to worry about April 8th, when it comes to solar. In our country. Yes. That's actually not a joke. Have you seen maps of the country where the Airbnb's are fully booked? We're just a huge strip going across. All I care about is that solar somehow works that day, because we got a lot of solar in this country, and it better be windy. Maybe that's what we do. But thank you. Have a great weekend. You too, Jim. We'll see you tonight. Mad money. 6 p.m. And when we come back at Goldman's Yacht Hotseus on the road, but going to join us, talk about the jobs number and what's at stake for the Fed when we return. You've been listening to the opening bill on CNBC's Squawk on the Street. All opinions expressed by the Squawk on the Street participants are solely their opinions and do not reflect the opinions of CNBC, NBC Universal, or their parent company, or affiliates, and may have been previously disseminated by them on television, radio, internet, or another medium. You should not treat any opinion expressed on this podcast as a specific inducement to make a particular investment or follow a particular strategy, but only as an expression of an opinion. Such opinions are based upon information. Squawk on the Street participants consider reliable, but neither CNBC nor its affiliates and/or subsidiaries warrant its completeness or accuracy, and it should not be relied upon as such. 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