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But one question can Nvidia and AI excitement fuel further gains as we get under way for the second half? Plus Boeing agreeing to buy its supplier Spirit Arrow systems in a 4.7 billion dollar deal and meme trader Roaring Kitty adding fuel to another big stock move. Chewy shares surging as Keith Gill reveals a more than 6% stake. All right, let's start with the markets. Of course, as we kick off the second half of the year, I was not here for the last two weeks of that first half. I can't say that I'm sorry I wasn't. But of course following Mike, all the ups and downs in particular, some of that bit of a sell off in Nvidia and the like. But the talk has been and will continue to be much of the same I would assume in terms of the power of AI, what that will mean for these biggest, the big companies that we follow so closely. Yeah, I mean, we held it together somehow, sort of the market with your gone David. But honestly, it really is one of the better halves of a year, 15% plus total return for the S&P per unit of volatility, right? The extent of the biggest pullback was 5.5%. So, yes, a lot of that was due to the not just technology, but I would call it just the quality megacap sector of the market, the quality S&P 500 ETF up more than the S&P this year, up 16%. I wouldn't say it's been only that though. It's not as if tech is kind of throwing a shut out against the rest of the market. The equated S&P is up 4%. That's kind of no big deal, but it's a 9% annual compounded rate. So, it's not as if it's completely being left behind. The other things I would note, the cyclical parts of the market are still hanging in there against the defensive part. So, if the market were narrow and it was these defensive-type sectors that only benefit from a poor economy that were leading, that would be a little bit more of an issue. I do think the seasonal effects are on everybody's lips this morning in terms of first two weeks of July being the strongest, among the strongest of the year, historically. And then also, what happens after you have a big up first half? And usually you get upside bias to the fall through. I will say that the final two weeks of June were supposed to be bad based on history, so that didn't happen. So, I don't know how much you defer to the seasonals. You just say, "Hey, in a strong market, even the times that are supposed to be poor" end up being, "Okay, earnings hurdle I think is a big question. How high is the hurdle for earnings expected to be close to 10% with the standard beat rate?" And you've seen some stocks get punished like Micron last week when they were kind of slightly less than completely optimistic. And finally, the yield move. I mean, after the first quarter, we finished on a high, everything was at a record. And then, treasury yields crept up toward 4.5% on the tenure and then beyond. And we had that old debate of can the economy handle it? And we have seen since, especially the debate on Thursday, yields going up and also global yields are pushing a little bit higher. So, not alarming, but something that I think might get the market's attention at some point. Yeah, it does really feel like an inflection point. There was a piece from Goldman's Prime brokerage desk this morning which talked about how alpha generation of performance is really stagnated in recent weeks. And it's created this dynamic of kind of what's next for portfolio construction. And this idea of do is now the time to really be truly diversifying away from some of the key winners that we've seen earlier this year. And it goes into this whole dynamic of, you know, breadth versus the narrowness that we've seen and is now kind of the time to really mix things up. Or do you risk being left behind because the strong momentum-based winners of the first half, if you weren't in those, there was that journal piece that quoted a portfolio manager who happened to not be an Nvidia. And he said that every day it is like getting a root canal without Novocain. And, you know, you kind of think about this idea of taking Nvidia off the table right here. Although to your point, Mike, if you, you know, equated S&P, let's call it, annualizes at almost 9% gain, coming into the year, most people would take that. Exactly. Obviously, you're going to lag though if you don't own Nvidia for example. It's exactly how you frame it. Is it just, I need to keep pace or beat this index, and therefore I can't. Or is it unnerving to, and it is to a lot of people, that the aggregate dollar amount of value being added is so lopsided toward a handful of companies, right? So it's like a third of the aggregate market gain is just Nvidia. I mean, that doesn't seem, I mean, you'll write to people. You should, well, it's something worth pausing on because it is stunning. I don't know if we've ever, I don't know that you have the historical references, but I can't imagine we've ever seen that. I don't think so. Certainly not this scale. Like you've always, there's always been the hot secular growth stock that was up a couple hundred percent in a year, but it usually isn't one of the biggest. So, yeah, it keeps saying we, you know, we are in a market that the defensive, the quality, the faster growth, the most reliable earnings momentum, all that stuff is represented by the same relatively small subset of stocks. And so therefore you have all these multiple reasons to, to buy them. What's interesting too, Leslie, though, is that because the surface of the market has been so calm, very low volatility at the S&P level, it's because of this divergence underneath. And so hedge funds and many other traders are saying we're just going to bet on that continued dispersion and low volatility. And that's a very popular trade right now. You don't have to get into the weeds of it except to say index level, calm, under the surface you have slightly more volatility and kind of divergence among stocks and there's a way to capitalize on that and it seems like it's become pretty popular and it's fine until it gets turned upside down by a market that responses some kind of stress and everything moves at once. Well, because another thing too is we talk about seasonality. I mean, this is a pretty low liquidity week, you know, given it's July, but as we move ahead, the presidential election becomes more in focus. A lot of people have said that kind of in those years that can create an additional spurring of volatility and then earnings expectations as you mentioned. And David Costen had a note out about this that it's the highest earnings bar in almost three years for too cute, just kind of given the expectation, single stock analyst predicting profits at S&P 500 firms to rise 9% in the April through June period. And the estimates were not revised down over the course of the quarter as usually happens. So that's a positive sign in the sense of people think they have visibility into these, you know, pretty good growth stories, but it does not sort of reset the hurdle lower as often happens by the end of the quarter. So we'll see by the end of the week while it is a little liquidity week that can work in both directions. I mean, pre-holiday trading tends to actually have a little bit of an upward drift. And finally, just in terms of historical references, Mike, you may have already mentioned this quickly, but first half versus second half and what it does typically imply when we've seen the kind of gains we have. Something like better than 75% after you've been up big in the first half, let's call it 10 or 15%, you're all up in the subsequent six months. That's a little bit better than the historical average of just all years. And the actual returns, median returns are like the high single digits were close to 10%. This is all depending on how you slice it and what time period you cover. I will say though, the three months, like from here through the end of the third quarter are a little choppier. In other words, you've kind of made a lot of those gains in the latter half of the year. We all know the cadence, right? It usually is. You know, certainly last year we peaked in late July and then had a proper correction in the fall and rebounded. So something like that wouldn't be surprising, but that is the cadence that, you know, just the almanac says we should expect. Yeah. Of course, we do have an election too. Yeah, exactly. Yeah. And in fact, this is, I believe, the best first half of an election year. Is that, I mean, you know, if you have to go back really far to find a better one than this. All right, let's move on to a little M&A this morning. We have Boeing finally getting that deal done to buy its supplier spirit error systems. It is an all-stock deal. It's valued at about $4.7 billion. There's actually a collar that will preserve that value down to $149, I believe it is, on Boeing's stock price. The commercial jet maker, of course, is grappling with safety issues, Philippo joins us with the details on the deal. We've been waiting for some time for it, Phil. Yeah. Four months. Four months ago when Boeing said, you know, we're interested in buying spirit, and a lot of people thought it would come together quickly. Well, there is a big component of this that involves Airbus. We'll talk about that in a little bit. Here's how the deal is structured. Boeing will be buying roughly 80% of spirit error systems, including three plants in the U.S. We'll talk about the most important one in just a little bit. Airbus gets most of the remaining 20%, including spirit error system plants in the U.S. and in Ireland. The most important plant, the one that gets the most attention when it comes to spirit, error systems is in Wichita, Kansas. That's where they build the 737 MAX fuselage. Boeing wanted to buy that plant and buy all of spirit so that it has better quality controls because so many of the problems that have hurt Boeing over the last couple of years, many of them originated at the facilities in Wichita, as well as the other spirit facilities. Boeing now believes that it can improve quality control. As you take a look at shares of Boeing and spirit year to date, or actually over the last year, keep in mind that Boeing is also assuming $3.5 billion of spirit error systems debt, and the deal is expected to close in the middle of 2025. So about a year from now, which means a lot of people in the market will be pivoting to the next big story involving Boeing, which is who will replace Dave Calhoun, the CEO of Boeing. He has already said he is resigning at the end of this year. A lot of focus will be on Pat Shanahan, who is the current CEO of spirit error systems. Worked for many years was a high ranking executive's well regarded at Boeing, and many people have said is he possibly the next CEO. He's widely believed to be in consideration, but whether or not we get some type of indication about the CEO search over the next several weeks or months, that remains to be seen. Finally, take a look at shares of Airbus. I mentioned that there's a component of this involving Airbus, where they get just under 20% of spirit. They're being paid to take those operations where spirit was building parts for Airbus, $559 million. But again, the deal is finally done, or at least it's done in principle. We'll see how it shakes out over the next year. It's going to take about a year to be finalized, guys. Yeah. And as I pointed out, a bit of a complex deal in the sense of it's all stock, as you well know, and it's got this collar that I pointed out earlier. So you get .25 at the bottom of the collar, .18 at the top. Correct. Obviously, if the stock runs beyond, I think it's 206.94, then you get, you stay at .18, but you gain value, and conversely, you lose it below 149. Boeing shares, obviously, at 182. So that would be a long way to go to drop, not that we haven't seen it. What are you hearing on, beyond what you shared? I mean, I guess Steve Molinkoff, right? He's running the committee that's going to pick the successor to Calhoun, the former CEO of Qualcomm, who's on Boeing's board. Well, there has been speculation that they might be moving to a point where the surge will take up a little bit more momentum. Now that they've got this out of the way, theoretically, the DOJ case might be to a point where there is some resolution. There were reports over the weekend that the DOJ, after meeting with the families of victims of the 2, 7, 3, 7, Max crashes, told the families, "Look, we want them to plead guilty." Overall, basically extended to deferred prosecution agreement. The families aren't happy with that. They want a much harsher penalty for Boeing. And they have until July 7th, David, which is one week from yesterday to make some type of a decision Boeing does, or the DOJ does, and we'll see what Boeing says here. I mean, Boeing could come back and say, "No, we're not going to plead guilty for a variety of reasons." Does it mean they can't bid on government contracts? If there's a guilty plea in there, that's a big unknown at this point. There's probably more negotiations going on this week between the DOJ and Boeing. So that's the next big one. Once that gets through, then I think you're going to start to see real momentum pick up in terms of the CEO search. Yeah. All right. Well, we know you'll be following me closely. Phil, thank you. Phil Labo. Coming up right here, the Supreme Court will be in focus. We're going to get its decision on former President Trump's community claim that it's expected in the next hour. Plus tomorrow at the ECB Forum in Central Portugal, Sarah Eisen is going to sit down with Fed Chair Jerome Powell, EC President Christine Lagarde, and the head of Brazil's Central Bank as well. That is a program you're not going to want to miss. And it will be right here on Squawk on the Street. At EverNorth Health Services, we believe costs shouldn't get in the way of life-changing care, and we're doing everything in our power to make it possible. Behavioral health solutions that also keep your projections at their best, it's possible. Pharmacy benefits that benefit your bottom line. It's possible. Complex specialty care that cares about your ROI. It's possible. Because we're already doing it. All while saving businesses billions. That's wonder made possible. Learn more at EverNorth.com/wonder. Support for this program is provided by Chevron. Demand for energy is projected to continue rising in the future. To help keep up, Chevron is increasing their U.S. oil and gas production. And they're innovating to help do it responsibly across their operations, including their Gulf of Mexico facilities, which are some of the world's lowest carbon intensity operations. Helping supply energy that's affordable, reliable, and ever cleaner. That's energy and progress. Learn more at chevron.com/meetingdemand. Welcome back in today's sector. Let's take a look at the top performing sectors for the first half of the year. Not surprisingly, tech. That was the dominant one. Thanks to the AI Rally Information Technology. Surging by almost 28% with communication services, posting a 26% gain. Financials rounding out the top three up nine and a quarter percent for the first half of the year. Financials doing not too bad there. Holding their own. Non-bank financials a lot of it. What's in that telecom? Communication services. It is. And Netflix. That's important. Same thing. All right, let's talk a bit about the Supreme Court. It is about to wrap up its decision or all the decisions for this term. A ruling on former President Trump's absolute immunity claim, expected to be revealed. That would be in the next hour. Amen, Jarvis, of course, following it closely for us and has more on what we can expect. Damon. David, that's right. We're about 45 minutes away. We expect a blockbuster day at the Supreme Court here. Today is the last day of the session. And we do expect decisions, as you say, on all the cases that are remaining now. The court will finally rule on former President Donald Trump's claim of immunity from prosecution for at least some of his actions in seeking to overturn the 2020 election. Even before a decision is rendered, though, the court's handling of this case has been controversial because it failed to rule on an expedited basis, causing a delay in Trump's case that now threatens to push it past the November election, rendering a court verdict moot if Trump wins the presidency again in November. The trial, remember, was supposed to begin on March 4th. And also, remember, Trump has been charged here with four counts for his efforts to overturn the 2020 election and the January 6th, 2021 attack on the U.S. Capitol. He's charged with conspiring to defraud the United States, corruptly obstructing an official proceeding, and conspiring to do so, and conspiring against the right of Americans to vote. He pled not guilty to all of that. Now, Trump's immunity claim was rejected by the lower courts, which is why he and his legal team have taken it to the Supreme Court. It could be a favorable venue for the former president. The court has a six to three majority with three justices that Trump himself appointed to the Supreme Court. Special counsel Jack Smith argues that presidential immunity goes against just about everything the founding fathers wanted and would raise American presidents above the law for future generations. But Trump himself took to social media yesterday with a long post urging the court to do as he asked, writing in part, without presidential immunity, a president of the United States could literally, literally could not function. We also expect decisions today, guys, on cases involving social media companies and challenges to federal agency rulemaking, so there will be some other headlines here coming up starting at the top of the hour. Back over to you. Ayman, what does this ruling mean as it pertains to the campaign season for Trump, both from a dollar standpoint as well as a time management standpoint? Well, look, Trump has obviously had a big week with the debate. He is writing high right now. The Biden campaign is sort of wallowing in questions about whether Joe Biden should continue as the nominee, so all of the momentum campaign-wise is on the Trump side right now. You look at a ruling here that gives Trump immunity broadly. That simply takes a lot of the legal wrangling off of the former president's plate as he campaigns. I think it energizes donors. I think it energizes supporters. It certainly will energize the former president himself. And all that momentum will continue. If you get a ruling which says, blanket, no, forget about it. There is no such thing as presidential immunity. That's ridiculous. Then I think you see the former president looking into what his options are at court. That becomes a distraction. It's a time management issue, as you suggest, going into the fall. But the idea that it has taken so long to get to this ruling does seem to indicate to court observers that they're coming up with some more nuanced take on this, some kind of test saying, "Well, there is presidential immunity, but only in certain circumstances, and we're going to spell out the circumstances." That would be the kind of thing that would require this lengthy delay as they sort of hash through what kind of immunity would be given on what kind of a basis in the future. But anything like that would be seen as a win for Trump. Yeah. Obviously incredibly important, Ayman, but from a perspective in terms of impact on markets or business, I would assume you'd agree. The Chevron ruling from late last week, much more salient when it comes to those. Yeah, absolutely. I mean, the Chevron ruling, people outside the Beltway don't necessarily focus on the arcana of the inside the Beltway regulatory agencies, but removing all of that power from regulatory agencies and saying, "That's got to go back to Congress." That's a huge win for business, right? We also saw rulings earlier in the week against the regulatory state, so to speak. So I think this court's term will be defined by this Trump ruling. No question. But the lasting legacy for business, I think, will be this question of regulatory agencies. What kind of power they have, whether the SEC, for example, can operate its own in-house court, so to speak. That is vitally important to businesses. They tangle with regulatory agencies here, and the court is clearly on business's side there. Yeah, Ayman, thank you, and obviously we'll be seeing you in the next hour. Thank you, Jabers. Still to come right here, wedbush Dan Ives. Is that with a new note, or what he thinks is ahead for the second half when it comes to technology stocks? And tomorrow on this program, be sure to watch Sarah Eisen's conversation with Fed Chair Powell, ECB President Lagarde. She'll also be joined by the head of Brazil Central Bank. That's live from the ECB Forum. It's held in Cintra, Portugal, and Sarah is there, and will be with us. Take a look at futures one more time. We get started with the second half of the year, stop trading, about seven minutes from now. We got a lot more squawk on the street straight out. At EverNorth Health Services, we believe costs shouldn't get in the way of life-changing care, and we're doing everything in our power to make it possible. Behavioral health solutions that also keep your projections at their best, it's possible. Pharmacy benefits that benefit your bottom line. It's possible. Complex specialty care that cares about your ROI. It's possible. Because we're already doing it. All while saving businesses billions. That's wonder made possible. Learn more at EverNorth.com/wonder. You can see there the potential mass that gainers as we get ready to start trading four minutes from now. Constellation, largest owner of nuclear power plants in the country. Yes, that really is a data center play/ai play is what you're seeing there. And you saw, of course, the first half performance of that company stock was extraordinary as well. We got an opening bell in just a few minutes, and don't forget you can catch us any time and anywhere by listening to and following the squawk on the street, opening bell podcast. We got about 40 seconds before we get started with the second half of the year. It is July 1st. Mike Santoli, great to have you here on the desk, actually. I mean, anything in particular this morning that you're keeping an eye on? Yes, I do think it's the move in the bond market. So the 10-year treasury of that about a three-week time, 445. As it's gone up, the equity futures gain has been a little bit mitigated. So I think that's where we are, and that's sort of a toggle. Plus, of course, where is NVIDIA going to open? It's the eternal question. It actually looks flattish at the moment. Okay, and here it is. Come on. Right. [CHEERING] And if it's out here, it can take a look at the 15th and the 15th and the 15th and the 15th. It's a big word for one half. It's a big word for one half. It's a big word for one half. It's a big word for one half. It's a big word for one half. It's a big word for one half. It's a big word for one half. It's a big word for one half. It's a big word for one half. It's a big word for one half. It's a big word for one half. It's a big word for one half. It's a big word for one half. It's a big word for one half. It does be honors as we take a look more green on the board as you see at our real time exchange. And as Mike said, NVIDIA kind of opening more or less flat right now. Yeah, it's still in this mode of, yeah, we put in this like really aggressive peak a couple of weeks ago. All the momentum stocks had a sharp little pullback last week, sort of a week bounce. And I keep comparing it to what we saw back in March. It was a very similar kind of rush higher in NVIDIA that sort of had a crescendo. And then the rest of the market had to kind of do what it could to keep things together. Morgan Stanley is trading this morning more or less giving the market credit for weathering this pretty well. Showing it kind of a firm bit and sort of sneakily software stocks have sort of gotten a little firmer. They had been considered the AI loser. So for now the market's ability to sort of rotate around and hold the indexes together has been a net positive. You wonder how much more that we can expect for it to operate perfectly in that direction. But so far it's doing fine, especially in answer to those who said if NVIDIA stops going up, what happens to the overall index? And so far it's been okay. Yeah, I think it's telling that you mentioned both NVIDIA's print as well as what's going on with bonds. It's kind of the biggest indicator of what we could see with the equity markets. And I think we've seen kind of a toggling back and forth between the two, which one you check first. Is it the 10 year? Is it NVIDIA when you wake up in the morning and decide kind of, okay, this is the directionality. This is what the market is focused on. No, for sure. And that's been the rule. If you look at actually what's working today, you mentioned constellation David as well as Vistra. You know, these stocks, they're kind of the go-to as well as Tesla. I feel like you've got these sort of people who are activated on these short-term thematic type. You know, I wouldn't say speculative, but kind of like the world-changing trade gets, runs together. It is fascinating. I mean, if you come into this year saying constellation was going to be one of the best performers, you would have probably had a number of people look at you funny, or as you said Vistra as well. But this goes to what we've been talking about for months now, which is essentially the data centers that are going to be running, all of these generative AI models, the enormous computing power in those data centers, which needs a great deal of power. And today the Wall Street Journal reporting, for example, has something I've been talking about as well, hearing it from infrastructure bankers and lawyers who are working on these kinds of deals, essentially taking all the power from a nuclear power plant will Amazon Web Services do for one of its data centers. And the numbers are staggering when you talk about hundreds of thousands of homes that similarly could be powered or equal to the powering of one data center. It gives you some sense. There is beginning to be some concern, perhaps, that if you're taking that off the grid and it's only being used for one data center, what is that going to mean for the overall ability, capacity of the electric power generation, but we need a lot more of it. And that's another reason why you've seen these stocks in particular benefits so greatly. And what does it mean for rates? What does that mean for inflation? I mean, there is kind of this broader societal implication as well. But I also thought that journal article was interesting in terms of kind of going direct and doing these deals directly to make sure that you can. Again, I've been hearing same. We're going to see more of them basically saying we will take all of the output from this particular unit. And in this case, you know, they want to be carbon free and nuclear is really the answer. But then the question becomes, well, what replaces that capacity will probably have to be natural gas, which is obviously far cleaner than coal, but not what a lot of these big, the biggest companies might have made these commitments. These carbon free commitments. It is true. I mean, on a linear level, that's the obvious reason. And the market is going to have to kind of create this huge premium in these stocks to make it seem like a great investment so that we can build the capacity and maybe so it becomes a bubble that ultimately busts. Because that's what happened with broadband. Everybody thought we were never going to have enough and you couldn't invest enough, you know, 25 years ago, and then those companies didn't do well, but the system did great. I also do wonder, I mean, you hear Jensen Wong at NVIDIA talk about how much more efficient each iteration is going to be in all these other companies. I mean, you can solve for two different ways. More power or make them want more power efficient over time. Make the actual data centers more power efficient. So I do think, you know, at some point it doesn't, maybe it's not as easy as, yep, prices of electricity going up. You're going to need a lot more of it. But in the short term, there's no other solution. No. And as they become more power efficient, you just put more and more of them in the data center, which ultimately overwhelms the idea of more efficiency in a sense because you're just doing even more computing. At least at this phase, when all we're doing is just throwing, you know, money and capacity. You know, Raymond James, I think raising his price target on meta today. Part of it is, they say, we're the street high for next year's CapEx number for meta, $50 billion. And that's the bullish case, right? Is there going to invest even more and faster in these kind of AI capacities and kind of have this internalized AI system? And that shows you the thinking. And that's why the market as a whole has really, you know, kind of bought into the whole premise because you're taking cash on the balance sheets of like a meta and an Amazon and all these other companies that otherwise you'll just be sitting there buying back stock, you're handing it to Nvidia, 50% of it goes to the bottom line of Nvidia. The market says, I pay $40 for every dollar of earnings, right? So it's like, that tells you why the overall market is able to kind of capture so much more value as this, you know, as this process becomes kind of a virtuous cycle in the short term. Yeah. Also exacerbates just the idea of the beginning even bigger and having these unique advantages in, you know, the current environment because if you don't have the cash to put $50 billion in CapEx, it's been a pretty CapEx light company up until this whole AI revolution, then that benefit just continues its cycle. Yeah, it only, right. It's only, if you, only the largest can actually participate, so to speak. I mean, those numbers are just staggering, $50 billion that we're talking about. Microsoft is saying going to potentially some, at some point in the next few years, 100 billion in CapEx. I mean, they're inconceivable, the numbers. And again, it can only be these companies that generate so much cash and have enormous balance sheets. I did want to come to a couple of movers this morning. One we mentioned at the very top of the show, Chewie, which is not up nearly as much as it appeared to be in the pre-market, but the stock is still ahead by some four plus percent. One Keith Gill, otherwise known as Roaring Kitty, files with a nine million share position. That's 6.6 percent of the outstanding. It's about 240 odd, $243 million worth of stock. For an individual? For one guy, of course, we know him from GameStop, and we know that in this most recent go-around in GameStop, he clearly came out well. Chewie was founded by Ryan Cohen, who runs GameStop, but Cohen's not on the board. He's not part of management now. Of Chewie. Of Chewie. He sold it to PetSmart years ago. And took it public. Listen, I think many market participants are marveling at simply the number here. Now, I don't know how much of it is margin. I don't know how much financing he's getting or what derivative component here. We're not getting that from the filing, so a lot more questions and answers. I don't have access to Mr. Gill. There's no way you can't trace it back exactly. You don't know what he monetized out of the GameStop options position after that stock pop. He does fit the profile, not just because of the Ryan Cohen connection. It does seem like kind of meme stock mad libs. You know, we have a Ryan Cohen piece of this. It's a 15% short position in Chewie, so it feels like that kind of feeds into that us against them. Let's get the shorts type of story. Chewie as a stock and as a business has been a very interesting path, right? It's like kind of this e-commerce growth at all costs. We don't care about the bottom line story for a while. Boom bust in the stock. And now it's supposed to be moving toward the free cash flow type story, trying to follow the airbnbs and the door dashes and the ubers. You know, when you went from, you know, just top line to the cash flow, it's kind of with mixed results so far. Leslie, nice to have you here because, you know, themes that we've been discussing in the first half, certainly private credit, private markets have been one of the key ones along with, of course, the growth of AI. We have a deal today. BlackRock is buying a company called Prequinets in the UK, total purchase price about $3.2 billion in cash. But this company is basically an independent provider of private market data. And it seems to be perhaps a deal that is more important in terms of what it says about BlackRock's ambitions, particularly when it comes to the private markets and what kind of products it may be able to create. They're paying pretty hefty multiple to revenues here. 13 years worth of revenues is what they're paying on a $250 million basically revenue base. The analysts who follow BlackRock, at least a couple of reports, are seen positive on it in terms of what it could mean. That revenue number is growing quite quickly, excuse me, $240 million. But an interesting reflection of how seriously they're taking the potential for continued growth and democratization of private market products. Yeah, I think they said on the call that they would look to do some sort of indexing with private data as a result of this transaction. They also expect Prequinet to be a standalone product as well. And I've used it for years. I'm sure you've used it for years just to get insights into kind of what alternative managers are doing. Alternative managers also use it for insights into fundraising, insights into deals and the like. And so for a BlackRock, which has done several deals now in this private markets world. They've done, they did GIP, general infrastructure partners. In January, that was $12.5 billion. And then Creos, a private debt manager, last year. So this is kind of this next iteration. They also see data as being a key tailwind as well with significant, I think it's like an $8 billion TAM for private markets data alone. And so this is kind of feeding into BlackRock's whole push into alternatives. I think this one in particular, given the data side of things fits both into its alternatives mantra and just the overall growth you see in private assets. But also it's a Latin system. That's the software for portfolio construction, portfolio management. They see this as a way to kind of fit into that portfolio management software. The technology there and help its clients in a very fast growing organization. The roots of BlackRock in a way is the analytics and the risk management software. And they built the asset manager along with that. And they're very skewed now if you look at AUM and kind of low fee commoditized ETF stuff. This is obviously a way to get it. And they're pretty significant as you see. They're saying they're going to do for private markets. That's the COO, what they did for public markets. Perhaps at some point Mike will barely be able to tell the difference between the two. No, 100% yeah. In the way that like index is overtook active and now private is kind of countering. Yeah, I know. If we can just get some charts, we'll start talking about them a lot more. Absolutely. Because we need charts. I mean that's what caught my attention more. Indexing of private markets. We don't have a network. Alright, let's move on here and turn to our next guest. He predicts the NASDAQ will have another strong second half. Tech stocks will be up as much as 15% for that period of time. For value he says lean into software names such as sales force, top picks. Include Microsoft and Apple. Yes, he's Dan Ives, Webber Securities Analyst. And he's right here at Post 9. I think you've outdone yourself today. We're going to have to get a full shot at some point. Including the Japanese, the sneakers. Painted in Japan I believe. Yeah, from an artist in Japan. So we could do the full shot. We'll get to that in a minute. But let's talk about why you continue to see and be the bullish Dan Ives that you have been for quite some time. Look and it speaks to our view going to the year. NASDAQ 20,000 is ultimately where I think we had. Tech stocks up another 15% because even though this has been led by Godfather of AI, Jensen and Vidya. The multiplier. If every dollar spent on a video chip eat to $10 going through the rest of tech. Software, infrastructure, semis. And I think now consumer AI revolution with what's happened in Apple. In my opinion, it is 9 p.m. in the AI party that goes to 4 a.m. And I think this tech market, bull market's going to continue. How long does it take to get to 4 a.m. though? I think there's a two, in our opinion it's a two year tech bull market. Because I think the next phase is second, third, fourth derivatives. It's about the use cases playing out. Of course you see what's happening. Microsoft hyperscarrals, Google, Amazon. But then next, it's going to be named like Palantir, MongoDB. I think what McDermott is doing is it's service now. You could Oracle. If someone told you Dell was an AI named six months ago, they'd say there's no way. Look at it today. And I think this is, it's a 1995 moment, not a 1999 moment. I think numbers go up significantly going into next year. And it speaks to our view where the bears will continue to yell in their caves about valuation with their spreadsheets. By then this tech market continues to move higher. Are you even saying it's '95 for two years Dan? How long does 1995 last? So I think, look, a 1995 old one becomes '96, '97. Of course. But the difference here is that, you talk about the cat-back summetta 50 billion, what we're just saying, Microsoft 100 billion. As someone that covered tech back in the late '90s, this is not a bubble. This is not a '99 here, it comes moment, which is, I think now it's about really a fourth industrial revolution. It's about that multiplier. Now it's software. And I think when you look at consumer, that's why Apple, it's going to be the renaissance of growth that starts as AI driven super cycle from Apple. And that Apple, Microsoft NVIDIA on the enterprise side, that's where I think it's a get out for a moment in our opinion for tech stocks still, 15% higher. And even when you're sometimes negative on names, you seem to still be positive on them, I think of Tesla. Which by the way, you were right to stay positive because the stocks come back. But on the negative side, you do right, the losers are going to be, and this revolution will be the tech players that get squeezed out of sales cycles, technology driven platforms and future growth opportunities. Because they don't have the tools, tech or software engineers to compete. So what does that mean, and who is that likely to be? You've seen some of the disasters, UI path and some of these smaller players that have been squeezed out of sales cycles, what's happening across software. So I think what's going to happen is across software, across semis, those, it's not just saying AI 40 times in a conference call. Now, to Mike's point, now the next six, nine months, it's about execution. I think strong gets stronger. I think a lot of the smaller players get squeezed out. Ultimately, then there will be massive consolidation in terms of that phase for software. But I think any sort of hiccup that these companies, you'll see these stocks down 20, 30, 40%, which in our opinion is you focus on the themes, you focus on the winners, the Microsofts, the apples, and then even go like midcap. I think in cyber security, and I talk about value, I think software in cyber security is where I see just massive value, names like crowd, strike, Z scale. Palo Alto, continue to be that as a cable pounder, even though many in Koon, New York City capture, it will bearish on Palo Alto six months ago. It speaks to what we're seeing with this cloud AI revolution. All right. You're going to let us know when 99, 2000 is coming though, right? But right now, you won't be able to do that. It's too bullish. But the point is it's 9 p.m. It is not midnight. And I think this thing goes to 4 a.m. And this is a man who knows how to party. You know the old saying, the clocks have no hands. I mean, he's ready for the club right now. Damn, thank you. Thank you. All right. ISM and construction spending data do out at the top of the hour. First though, manufacturing PMI. Let's get over to Rick Santelli for that, Rick. Yes. Thank you, David. S&P Global PMI. This is manufacturing. And this, of course, is going to replace the mid month read, which was 51.7. Now gets finalized in permanent marker at 51.6. It remains the best month over month positive change since March of this year. And do recall, this is the sixth read for 2024. All six are in expansion above 50. Whereas last year in 2023, we only had two of 12 above 50. We continue to look at all the ISMs that are becoming out as David pointed out. And do look at the 10 year and two year, which have really sold off a bit this morning, especially pre-opening of the equities. We see that yields are up about three basis points in the front, about four basis points in the longer maturities. And squawk on the street of return after a very short break. That is a live shot of the Supreme Court of the United States. Final decisions do out in the next hour that will include the blockbuster ruling on President Trump's absolute immunity claim. We, of course, will bring you that once we hear what it is. We're back in just a moment. Welcome back now on to the Presidential Fundraising Blitz following last week's debate. Meghan Cassella joins us with those details. Hey, Meghan. Hey, Leslie. So the Biden campaign spent the weekend in damage control mode. And some of its biggest donors were reevaluating the best path forward. After that debate performance last week that alarmed some supporters. The campaign says it raised $33 million from Thursday through Saturday, with about $26 million coming from grassroots donors. Officials said Thursday and Friday were their two best days ever for grassroots fundraising, which they say shows that the voters are still with them. The Biden also needs the wealthy donors. He had three big fundraisers this weekend. And I spoke with attendees who told me they were reassured by how the president seemed at those events. He was strong and healthy. One described the mood in the Hamptons as "concerned enthusiasm." Another said people at the New York event were resolved to do more to help Biden win after Thursday, with one donor giving an extra $500,000 on the spot. A third source said the debate was a "cold shower shock" for Democrats, and many are now more engaged because they're more worried about losing than they were before. But even still, some of Biden's biggest donors recognized the challenge ahead. Reid Hoffman of LinkedIn sent a long email Friday on my replacing Biden would be a bad idea. And his donor advisor Dimitri Melhorn told us the debate makes it more difficult to convince some donors to contribute. So if there is a donor who was hesitant because they weren't sure Biden was going to win, those donors are definitely not opening their wallets this week. It makes that work harder, but the work continues. The upshot, guys, is that there's a lot of frustration with the candidate that the Democrats have, but replacing him is seen as risky, and donors for now are standing with the party. David. Making thank you. And Mike, thank you as well, of course, for joining this hour. Any parting thoughts for us? No, we're sort of wavering, as I thought, as we watched the bond market. So this is the game we're playing so far in July. Mike Santoli. All right, you can catch him all day long, everywhere. You've been listening to the opening hour of 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. When 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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