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FedEx surging after posting that Q4 beat, reversing six straight quarterly sales declines. And there's Rivian soaring on this Volkswagen plan to invest up to $5 billion in the EV startup. Let's begin, though, with the markets. The Dow is coming off the worst session of the month, and video shares continue to rebound. Jim, are you thrown by Australia's CPI running hot at four? Is that what this is about? I do believe that what we're stuck with is this endless running hot. There's always some component. And it's wear some because we know that as long as there's one component, then you're not going to get the need to make a cut. If you don't need to make a cut, then you have things like what happened with this pool court yesterday. I mean, this is a $12 billion company, but it just reverberated throughout housing throughout everything in a house, throughout everything in a house. If it weren't for the fact that you had carnival, you would say the consumers in trouble. Now, it just looks like, well, the consumer narrative is not spending in their house. They're spending on trips, but they're not spending in their house because they can't sell their house. They don't want to sell their house because they can't buy another house with a little more. It's a very long conundrum, which just says we still have inflation in the system around the globe and central bankers, if they talk to each other, they're going to say, "No, not yet. Not yet." That said, we do have mortgage rates at a three-month low today. We did get DA Davidson upping depot back to hold. I thought that was a good piece because it did say you have to buy it at this point, at this juncture. It just usually doesn't have this discount to its high and discount to its all-time high. Look, I like the piece because I like Home Depot as a concept, but I don't think that this market likes you to buy a stock that isn't at its last bad quarter. You don't have it. I mean, I think that yesterday's pool court was devastating for Home Depot. There's just too many aisles of Home Depot that get hurt. Yeah, Mohawk. I mean, the list went on and on. Oh, my God. You know, furniture brands got hurt and masks got hurt. And so what you find is, this is part of the Nvidia problem. Okay, you want me to go beyond Nvidia? Well, let me go into housing. Can't cut off. Well, let me go into bags. Whoa, man, the regionals are in trouble. Well, tell me, let's go to foods that, ooh, General Mills misses. I mean, you know, you have to have something to do. Well, you can't just say, "Oh, it's going to broaden the video." That's why FedEx was such a story last night. Oh, my God. Okay, so FedEx was like a gift. I mean, it just said, "Wait a second, before you throw away everything, before you decide that what matters is a Southwest number cut." This was a tour de force, Raj Schubermanian, total real deal. And what he's doing is he's putting together whole divisions that used to have CEOs separately. He's thinking about whether to put up the truck business. The freight business, because the freight business is selling internally at six times. Maybe he can get 13 times. I don't think we have to make too much of that. I think the analysts were shocked about that. What you have to make too much of is how much money this company can make with a little bit of revenue growth. So let's say you get two to three percent revenue growth and get Mexico kicking in and India kicking in a big way. You got to stock it. It's not going to be 2022 for earnings. It's going to be 2728 for earnings. I love the story. I was jealous of it. Really. So it coming because Raj is so great, just let it happen. You didn't do it in it. JP Morgan today goes to overweight. They were at $2.96. They go to $3.59, Jim. And then this freight stuff. Can you explain how it rhymes if it does with the UPS move the day before? Okay. I think the UPS move was starting out of desperation. I think that that was a good business, the logistics business. And they were selling it at a trough. I don't think that actually disagreed with me at all about that. They want to look at the freight business without this because the disparity is so great about what they could sell it for. So you have, this would, I think, be what FedEx would say. You've got count to may UPS selling a business at its trough. You have Raj considering selling a freight business at its peak. And Raj is enough of a financial guy to say, you know what? Maybe it's just worth it to monetize it somehow. But the way this man thinks is extraordinary. Without ever compromising on the unbelievable, and I review Fred Smith vision, he created it, of the mode. What he's doing is taking out what airplanes say. He's got enough flexibility in the system that you can get rid of these very expensive planes, including Boeing 757s, which are much more expensive than I thought. And be able to use the slack to be able to take a look at this. I mean, to be able to get in and save some money on the planes. Understand, they're going to lose the post office contract. That was agreed. There's going to be 500 million coming out like that. And so everyone should know it. There's a couple of fewer days next year. Everyone should know that. But what is he doing? He's buying back stock, which shows you that the balance sheet is a terrific shape. He's just, I think he's taking very big share. UPS, by the way, apparently, has kind of slowed down, don't as many days rural. America, you don't get the same, you don't get the same level of service and rule. I think that this is the rubric of the industry. FedEx gives it to you. Europe is going to big cost cut, plus take out. Change in management in Europe. Europe is going to be incredibly good. There are no flies on this story and this drive. I call it overdrive. I know that Raj calls it the drive. Reformation for FedEx is the overdrive reformation. He is consistently under promising and over delivering. It's a thing of beauty. It is one of the best transformations I've seen in my lifetime. It is a far, it's a big leap from where they were maybe three, five years ago. What we ever knew was that if revenues went down, earnings were crushed. That's all we had to know about these guys. You get a 1% decline in revenue. You swing the loss. Now you get a 1% increase in revenue. The delta is incredible. By the way, not going to have 1%. It's going to be 2%. It'll be 3%. This is at a trough for revenue growth. The e-commerce is still very strong. By the way, B of A takes Amazon to 220, reiterate top pick. In their view, Jim, there are five efficiency metrics. They think the company's got a lot of runway ahead. Wow, that was an important piece because they basically said look. Before you think that Amazon has done everything it can out of retail, there's going to be more coming. The margin leverages it. Brian Alsopse, the CFO, he's fantastic. People don't talk about CFO's enough. We have CFO council, by the way. This seems to be the word he decided he was going to be president. Let's hold off on that. I do think that when you look at what they're doing at Amazon, they are bringing down the cost of a package, which means they can do more same day, which means look out CVS, which means look out Walgreens because what they're trying to do is make it so every aisle that you have in those stores, you can get same day. Remember, they're able to do a tremendous number of units. One of the things I'm shocked about Amazon is right now there's like 17 different old spices per Kyoto, there's like, you know, like Teton Mountain and then there's like Everest and then there's like, you know, Captain Morgan. I don't know these silly names, but everyone of them is covered by Amazon. So, and I'm being facetious, but what Amazon has told me is we don't just have the basic Costco. We can do all these units and if they can do the same day, why would you go to the store and the way home when it's at your door? Right. And that's what this is about. At your door, more cheaply, same day, that has been the Holy Grail of Amazon, the pulling it off. Jim, I'd love to get your reflections on NVIDIA's day yesterday, that's since 2021. Today, canner goes to 175 from 140. Got an upgrade of Apple over at Rosenblatt. Oh my God. And the upgrade of Apple. We should just start with this part in Crockett. I always enjoy him, you know, ex-journalist. So he always, you know, gives you a kind of a literary approach. I like, I like good writing, so to speak. And he's talking about conversational AI subscriptions can grow, but he's got, he goes, he's very matter of fact, Crockett. I love because, oh yeah, there's 15 new features that are going to make it so you want the smartphone really 15. I mean, Tim Cook doesn't know that they're 15 for heaven's sake, CEO of Apple. So I like the piece. And one of these, Tim told me that it's driving me crazy. I said, do you think that you did Chachi BT? Is that it? It was, oh no, stay tuned. I've been staying tuned and nothing happened. But don't stay too much longer because he says they're in talks with the anthropic and alphabet, which would mean you have all these companies willing to, wanting to be at Apple. And it's an Apple, half cake, eat it two story. Because without having to spend anything, they're getting the best of all these guys who are spending all this money on data centers. Because people didn't realize when you have two billion customers, it's worth giving your product away just to get them interested. So yeah, the point out of Rosenblatt is, hey, two things. One is that consumers want privacy and AI. Oh my God, thank heaven, that was right. And Apple's push there will give it leverage. And then this notion that they are immune to some kind of cost pressure is from the hyperscalers. Yes, well, one of the things that, again, I referenced my conversation with Cook because we were both kind of flabbergasted the stock was down on the WWDC because the emphasis was privacy. And one of the things that Cook has said is, listen, that's what this whole generation's one is privacy. Why weren't people talking about it? Well, Crockett got religion and he talked about it. That was very, very important. I think that that's probably the most important story that people don't realize versus Joanna Stern's piece today about how, listen, you don't have to buy anything this summer. I disagree. You can buy the max pro. You can buy the pro max to 15 and you can still get all this AI. I like that story. But I do think that there's, this thing's got legs at 165. They hated it. Maybe the most important story this morning, Jim, is what Micron will say. There's a lot of chatter about a name 70% for the year and implications for Nvidia tonight. I think that, all right, let me just say this, first of all, Sanjay Marotra is the most unsung CEO in semiconductors for non, you know, obviously chances not unsung. But you look at what Sanjay did. When, back in the, in the summer, he called the bottom. The way he calls bottom and when you do de-reims and say, listen, you know what? There's actually inventory at a low. And he reiterated that in December, you still can catch a double. I think he's going to reiterate it again. I'm, I think he's going to say the business is accelerating and the high bandwidth memory. Now he got, they corrected me when I said that that was going to be the whole company. So let's remember, remember high bandwidth memory is really one aspect, but high HBM will be considered a proxy for what we think Nvidia is going to do. Now a lot of people are saying that maybe today, Jenson Wong at the shareholder meeting. Oh yes. Might say something. Yes. Now typically shareholder meetings have not met much. I was just talking to Santoli about this. When did we start making a big deal on meetings? I said when Jenson started coming through. No, I think if there's a, if there's a robot in a leather jacket, I'm taking my numbers up in Nvidia. I mean, but, but Jenson is, by the way, there are a lot of people who are starting to say how many Jenson's are. Because Jenson's in every company. He's in every company. Amazing snow flight. Well, I heard he might be virtual snow by all way. He was in service now. Well, wait a second. He was in HPE. Well, he was in Dell. How does this man do it? Now I remember when I was out there, there was little Jenson. They had Jenson. They had Jenson. They had little Jenson. But can Jenson be at all these places and be at the shareholder meeting and take great things if there's one person on Earth that can do it? It's Jenson. Oh, yeah. There's going to be a lot to watch at the meeting end with my girl. But he has Sanjay. Everyone loves Sanjay. If you don't like Sanjay, come see me. I'll say just right. We'll see what happens if Nvidia has lost some of it's a pre-market bouncy. Oh, no. We'll see. After the break, there's Rivian. Shares surging some 40% today following the big Volkswagen investment. We're going to take a closer look at that. See what it means for the auto business as we do await some delivery numbers out of big players next week. Futures are still in the red. Squawk on the streets back in a moment. Walmart Plus members save on meeting up with friends. Save on having them over for dinner with free delivery with no hidden fees or markups. That's groceries plus napkins plus that vegetable chopper to make things a bit easier. Plus members save on gas to go meet them in their neck of the woods. Plus, when you're ready for the ultimate sign of friendship, start a show together with your included Paramount Plus subscription. Walmart Plus members save on this plus so much more. Start a 30 day free trial at walmartplus.com. Paramount Plus is central plan only. Separate registration required. See Walmart Plus terms and conditions. My dad works in B2B marketing. He came by my school for career day and said he was a big row as man. Then he told everyone how much he loved calculating his return on ad spend. My friends still laughing at me to this day. Not everyone gets B2B. But with LinkedIn, you'll be able to reach people who do. Get a $100 credit on your next ad campaign. Go to linkedin.com/results to claim your credit. That's linkedin.com/results. Terms and conditions apply. Linkedin, the place to be. To be. Volkswagen planning to invest up to $5 billion in Rivians sending shares of the EV maker soaring today. Volkswagen is going to begin with an initial investment of $1 billion. The additional $4 billion expected to come by 2026. The word game changer being used a lot today. Oh, look. I think that one of the things that people, I've read a lot of financial notes today, but I think that they're missing the point. There are a lot of people after the cancellation of the Georgia plant or on hold on the Georgia plant started thinking, you know what? Why am I going to do buying this if there is no Rivian? Why would I buy it until you say a little north of 50,000 beautiful vehicles? You can test drive one by the way locally and Brooklyn is terrific. Really? Yeah, absolutely. We went. I just thought it was great. But the objection has been, look. You can't buy a car if there won't be a network to fix it after. And we see it, by the way, how hard it is to fix it. A Tesla's, you know, that we swim up, no from Hertz. Well, that's off the table. No one's going to say now, well, wait a second. I can't buy a ribbon. So, I think the stock is not up enough. Now, be careful to convert. So, one in time, people shoot against converts. That happens once more. Yes. For Rivians. I mean, meaning that they sell the common. They short the common, they'll loan the converter. But I will make this point that if you take the survival of Rivian off the table, which is what you had to do, you were worried because where was Amazon backing them up? That didn't, they needed to find someone to place Amazon. And they got a company that I think the shareholders are Volkswagen. It may not be all that happened because they got a very, very good deal, Rivian. Yeah. But Rivians. I think the W's down. Yes. But Rivian, their survival, survival of the table. That's going to really help sales. A little bit of a halo for names like Lucid today. Active, Jim. Yeah, exactly. People as down nine as Volkswagen might not need a lot of third party software. Well, the one of the things that the first thing that they said was that the iteration of the software that they use it, Lucid is going to be, you know, the result is that this is the Mr. Ben Said. I do not know. I mean, it's the Chief Software Officer of Rivian. They do talk about how the stack, the, there's a terrific software stack. And I'm presuming anybody saying this. Listen from now on, that's going to be Volkswagen's software stack. It's a very, very positive conference call, by the way. All right. And this was one of the great kept secrets in the world. Yeah. I mean, I was dealing with these guys and I was like panicked. Yeah. We were going to go to Georgia to do the show. Really? I mean, why am I going to go to Georgia? What are we going to do? You know, go see the Falcons? No, thank you. Come on. Check me out. I don't want to go to see the Falcons. If I want to go see a bad team, I'll go, you know, there's a lot of bad teams. I'll go to Chicago. Big implications for their, their SUVs all the way into 26, the R2. Meanwhile, Jim, cyber truck now over at Tesla. This is the fourth recall. Yeah. This is a plastic rim that can come off the car. There's been some stories this morning on how they may lose their majority in the U.S. next week as delivery numbers come out. You know, they make, they sell more in the U.S. than all others combined. That may change, finally. Well, wouldn't shock me. By the way, the F-150, which a lot of people are comparing, cyber truck to F-150. I think that's wrong. You should compare it to the Lamborghini, not the F-150. F-150 sales are fantastic. There have been a series of raids done on Ford saying that the F-150 sales have weakened. It's completely untrue. You said this yesterday? Yeah, because yesterday, because I saw it again. I saw it again in the fours, having a week's summer. Now my travel trust, I was going to talk about it tomorrow at our investing conference, but it turned out to be a little tough market anyway. And, you know, you go in and you're musk. Why, you got, if you shoot the king, you got to kill the king. And the king is F-150. And they have, that's not happening. I mean, they're wanting to make the, I used to have a super booty. Yeah, they have to have 15 years that they go, they get that to their time. But anyone who has to F-150 is not looking at the cyber truck. The cyber truck is for very rich people who are in Silicon Valley and don't go anywhere. We did get another month of deflation year on year and new cars. We're going to talk some more about the CPI. We're going to talk some falling prices as we look at Southwest's warning today, pricing over at General Mills. We had Kramer's Matt Dash and count down to the opening bell in a moment. Walmart Plus members save on meeting up with friends. Save on having them over for dinner with free delivery with no hidden fees or markups. That's groceries plus napkins plus that vegetable chopper to make things a bit easier. Plus, members save on gas to go meet them in their neck of the woods. Plus, when you're ready for the ultimate sign of friendship, start a show together with your included Paramount Plus subscription. Walmart Plus members save on this plus so much more. Start a 30 day free trial at walmartplus.com. Paramount Plus is central plan only, separate registration required, see Walmart Plus terms and conditions. Dr. Kramer's Matt Dash as we count down to the bell. I know I sound like a throwback defending Ford. Now I'm going to talk about GM. Now yesterday GM crews named former Amazon Microsoft Xbox executive. By the way, he also worked at Sonos. I've really been terrific. And I think that his name is Mark Witton. We may not know him, but I checked him with Mary Garabar this morning. You know, I'm like a big bar fan. Well, you know why I'm a bar fan? Her stock's up 30%. By the way, I test the stock down 27. So that makes me a fan. I'm pretty abjective. If you make the playoffs I like, you're going to make the playoffs I don't like. I'm very excited that Mark is joining crews. He has the leadership and the expertise, the lead crews, advanced technology and improving the safety and convenience of how we move. He is the right person. Why is this so important? Because it was when CalVOTE laughed. There was a belief that maybe Cruz is really foundering. But they're back. They're back. Surprise drop in Phoenix, Houston, Dallas. And I just want to point out that Mary Garabar is not going to lose any more money from my point of view for Cruz. They've spent a great deal of money. Remain convinced that she will continue to buy this stock because she thinks the moldable is ridiculous. I remain convinced that Ford must do the same thing or else it's going to found her 12. But this has been the hot stock is GM. And we all seem to act as if, wait a second, let's talk about the Hagnale Tesla. How about the major movie? Look at this. That day that we're here, he would even see the reverse head to shoulders. He'd be saying, Jim, you've got to get a word. Best performing OEM of the year. How do you like? Meanwhile, I think I saw a headline that Waymo is now offering rides to basically anyone in San Francisco. You just open the app and go. Why would I want to do that? I just kidding. Waymo's a very, very good company. I remember kidding. Ruth Porat, now the president. Like, when are we able to buy a share of Waymo? When you look at the past station of Google, you still seem way too much advertising while that's YouTube. But Waymo was the one that had the most mileage. Where? What are they doing? You know, Alphabet gets no heat whatsoever. Why is that possible? Well, you see, don't get heat when you're stocks like that. Instead, we say, oh, you're Waymo. Love Waymo. Love Waymo. I was going to take a Waymo to the Super Bowl and the Eagles were in it. You could take it from the airport. You had to stop at Glendale and then hell, a regular cap. No. I'd like to go right to the Super Bowl. Straight to the internet. Well, watch that. A lot of car news today. The opening bell is coming up in just under five minutes. Don't go anywhere. Southwest shares are moving lower in the pre-market as the airline cuts its Q2 rasm guidance, revenue per available seat mile gym. They did say, operationally, 99% of flights are completed even with the weather. That was the only bit of good news. Oh, I can think of this. What's going to, what are they going to do over LA part? I mean, you got a company that still feels like you can't shoot straight. I mean, when you go into yesterday, Phil will vote there. I wouldn't even see the Google, it would be a Delta interview. Oh, man. Delta is profitable. They're doing everything great. I can stay at the lounge. I mean, and then I got Southwest and said, well, everything's great. Don't worry about the financials. Look, I'm not a travel agent. Carl, we should buy Southwest because I really got a good deal on that. You said fair? No, no. It's about profitability. That's unfortunately still a part of the prop. It's not just about running an airline, about profitability. Right. This is about actual pricing models, right? Given that the backdrop of travel is still incredibly robust. Yeah, but they did the revenue. They minus four. We were looking for minus 1.5 to minus three and a half. I mean, you just can't screw up when you're in there and Elliot is staring you down. I just don't get it up, but I do think that I don't want to buy it. I don't want to sell it. You haven't called for Jordan's dismissal, have you? No, I've not. I think it is. There's still a lot of issues. I wish I'd put it this way. If you think he should, then you should say the whole approach you want. Because he's fulfilling what the board wants. Now, you can say, well, wait a second. Not a great board. Let's get the bell here at the big board. Meridian Capital celebrating the recent IPO. And at the NASDAQ, it is aerospace and defense contractor Aerovirons. There's going to be one, man, money. And I have felt that one of the things that is really big, that people behind the season of Pentagon, they say the same thing, which is that we're still geared toward really expensive drones versus, say, Iran and Caboose drones for nothing. Aerovirons producing drones for very little. I remember going on their site. I wasn't trying to use a switchblade, which is the right way. All the drones were priced very cheaply, and yet they were really fantastic. Cheaply versus, say, a javelin, which is a very inefficient weapon versus what Aerovirons has. But they weren't getting the orders. The Pentagon sees to be biased toward big hardware. By the way, nothing new. Nothing new for decades. That's the way the Pentagon goes against our enemies. By the way, I don't mind calling Russian enemy. Who are really addicted to the cheap. And you can always win a war if you've got cheap and good versus really expensive and okay. You're doing state visits to North Korea. That's your general. That's very important. Speaking of some of that, Jim, oil hovering close to some two-month highs, even though the API inventories were not bullish. Right. And again, war. The premium was $5 in the South. Now it's going to be $5 in the North against Hezbollah. And I do think that when you look at the map of Israel, Israel, I think feels, if they're going to pull up, this is one of the decisions not to be true in the weeds about Israeli politics. But the Supreme Court did say that the people who are, I have not had to serve because of religious reasons will have to serve. All I can tell you is you do not get that kind of thing if you're just going to have calm in the North. Yeah. I don't see that. I've been a related note, dollar, close to some highest to the level since November. Yeah, I was thinking. Which generally isn't a sign of great stuff. No. And yes, I saw Procter and Gamble down as a travel trust name. And I said, oh God, they're going to raid the darn thing because that is the most dollar sensitive of the big package goods companies. By the way, General Mills is not the most dollar sensitive, but holy cow, I don't know. There were a lot of people who told me that it would be saved by yogurt. But yogurt's only 7% of the company. This is the food that you want to eat more with GOP-1, I'm told. Organic down six. Street was looking for down three. The only unit that had positive organic was North American food service. I know. And I thought that Jeff Harman was really, you know, the stock had been doing better than most in that cohort. Coca-Cola has been the one to watch in that cohort because again, people just look at these things and say, who has snacks, who has sold these stuff, who has thought that people are going to eat Pepsi versus Coca-Cola. First time, very big disparity. Coca-Cola, about eight, Pepsi down a couple. But I just think that General Mills, I was counting on them. They did raise a dividend. You're selling something with almost a 4% yield, but that was bad. Yeah. And I was thinking that that was going to be possible. Now we're building a list of positive macro, negative micro. General Mills pricing, Southwest. You've got, as we said, mortgage rates, three-month low. Well, I mean, target cutting price. We haven't heard from the Federal Reserve of Kalamazoo. And I'm waiting for the Federal Reserve person to think Sky Montana. See, we can make them up. Well, it doesn't matter. Right? There's like a gazillion of them. I hear the Federal Reserve from the Springfield Montgomery County. Not Delco. I do find that what happens is that you're going to get this complete, this group of stories versus say what happened when you listened to the Lenoir call and the KP Home call, which they're not going to take the bait. They're just not built a lot of homes. Right. So you need to have something happen with this mortgage problem that makes it so that, like, if one-third of things are bought by cash and if nobody can, once they get rid of their 3% mortgage for a 6% mortgage, well, that means we need to have a, we need to have homes. Well, that was interesting, by the way, while we still take care of buying more homes. Yeah. Some multifamily, right? I think that makes it harder. Well, it's harder. Hard to folk take care of it. They've been true at the whole time here. Right. We did get the 30-year fixed down to 6.9.3. That's three straight weeks down, even if it's just one basis point, Jim. Look, I don't care. I need supply. I do not need lower mortgage rates. I need supply. Because what should happen is we should get to a point where you build a marginal house and then suddenly you realize, "Oh, my God. I don't care. I got to sell my house. The price is too great." And that doesn't happen. Again, that's defies. I'm sure Jay Powell was sitting here saying, "Listen, you know, we'll have a tipping point. This is the cycle that has not been like any other housing cycle." Yeah. It's just not. It's confounded. Yeah. You mentioned General Mills. We did get an upgraded Campbell today out of JP Morgan. They go to overweight. Well, when I spoke to Mark Klaus, he's a terrific CEO, by the way, and a huge Eagle fan. He had the Jason Kelsey Stew, which, you know, by the way, very good. I didn't want to open it because I liked it so much. But then I was in in jams. My wife was around. Whew, whew, man. That stuff is great. But here's the story with Campbell's. This Rayo's acquisition is working. And by the way, the line extensions, either Rayo's chicken soup the other day, you know, it tastes like coming home, which was the name, which was like the, it's the pure saying that I like. But yeah, it tastes great. And I think that one of the things that he's done is say, "Listen, this Rayo's acquisition, it's going to pay off from the first year. Most acquisitions do not do that. Witness the Hostess Twinkie acquisition for Smucker." Speaking of M&A, it looks like Cedar Fair and Six are going to get that closed. And then there's this Reuters piece about Whirlpool that Roche is giving them the look. Stock was up 15. Let me just say something. I went to get the Whirlpool. How did I get a low price to Whirlpool? Why? I footballed with the guy. I said, "Listen, I'm going to buy the Bosch if you don't give me the Whirlpool." And he said, "But no, it will give you a best deal on the Bosch." If I'm playing them off, do you think that the FDC is going to bless that deal? I mean, that's got to be the least likely deal that has come across since Kroger Albertsons. Even though I can make a case for Kroger Albertsons, I don't forget Capri. That's very important. You can't breathe tapestry. You have to have competition when it comes to toe cleavage. And you know that. Speaking of Jimmy Chiu and the metric there is toe cleavage. Yeah. There was also this piece in Reuters about DoorDash and that they had looked at this delivery in the UK as a possible takeover target. But you're right, Jim. A lot of these things get looked at and then just sit in the wings. Yeah, well, look. I remember when you see these different companies like Halbert and Baker use it. And you know, companies want to get together. That's the bankers assuring them and the higher gun warriors assuring them that they're fine. Now, you see in the old days, I would call you that these are charlons, these lawyers and bankers. Now, I just say, you know, they'll advise you. Speaking of banks tonight, stress tests. A lot of chatter about how the industry managed to bend some of these rules to their advantage. And yesterday was a big throwback day. Holy cow. They went after the Wells Bank of America. It's a little note out today about that interest income may not be which one. But Bank of America has been the horse right now. Isn't that interesting? And about time. You know, Brian Moyn has quietly done a great job. But he's the least. I have to be his promotion man. And it never thought it was going to come to me to do that. Especially during the period of 2008, 2009, when we had a screaming match every day. And I now regret that because I didn't handle myself well. There is a stable of CEOs whom you wish were more promotional. I'm thinking of Pinterest. You mentioned B of A. It's funny. I want to promote Raj. But I don't have to. Superman. But he's Superman. It's Rob Supermanian. Look, there are people who might just marry Laura. I've become her press agent. You know, it's very difficult. She has no press agent. So I put her on the roll. I take no money. I provide him. Sure not. No money whatsoever. Those of you who think that that's, no. Some of these people are so great. I think, look, for 10 years, I was Jensen's press agent. That's a good point. And everyone laughed. I thought it was what makes Sammy run, you know? You like Broadway Danny Rose? Yes. Yes. I was Bert Lancaster. Oh, she's in harm. I know you saw this Wells note about Disney cruises, really. I love this. I mean, they've doubled capacity since '19. And when you were in the wake of carnival, I just thought of that. In the wake of carnival, when you see Disney and you see that they have a huge number, that's what the huge number ships have, eight ships, it becomes the experiential company. And maybe you have to reserve for the rides. You know what should happen right now with Disney? I've been thinking, what would be great? Well, what I would do is I would have you, Johnson come out. This is like three days in a row. Well, because it's a great story and now people are saying the quarter's going to be good? Yeah. Good, getting an upside surprise. And I guess I'll have to be on that call too. I'm going to be one busy dollar. Wells thinks that cruises could be 10% of experiences operating revenue by 26. And if you go back on the carnival call, which by the way was just a tour de force. You know, they were like taking numbers up for 20-39. I mean, that was one of the greatest calls. But Josh Weinstein is saying that there's not a lot of ships coming on. That has been the bulk case for a long time. And Disney's got three of them? Right. Disney has to stop talking about anything that was talking about. Yeah. I mean, if you can answer some of these longer-term legacy businesses, then you can really turn your attention to DTC. I can worry about experiential. And I can just say, oh, experiential is terrific. I don't have to worry about movies that are that horrible. I mean, where they had a hit. Right. Disney stories coming together. But Disney itself with a CEO, like a permissio, that would be good. Yeah. Jim, we spent a lot of time sort of wringing our hands about the labor market. The paychecks quarter was kind of in the middle of the range. Yeah. Yeah. Guidance a little bit above the midpoint. Well, I mean, this has got to be the first time that the stock isn't down for after they've ever been worked. And then they have to come on. They have money and we have to like take the stock. Remember, this is small and medium-sized business. And that's been a very good sweet spot of the economy. That was a good number. You know, this is one -- it's not a like company. Versus, say, automatic processing. People love ADP. They love ADP. It doesn't matter what happens. ADP that they take the stock on. But I think paychecks is undervalued. Interesting print, your eyes. If you look at Chipotle today, your eyes do not deceive you at 63. No. Okay. So this is really important. This is what I'm talking about. Initially, people get excited. This stock was up 60 cents in pre-market. But the whole morning, it was up 60, 70 cents. But what I'm telling you is that when you get 50 shares, you're going to sell 10 of them. And that's okay. You have a churning process. Didn't we not have a churning process? NVIDIA, some say that it would -- that it overly churned. But I do -- NVIDIA should be down by now. We'll be serious. Yeah. Okay. That's what happens. Yeah. You can't have these giant moves and not -- People don't want to take profits. Yeah. Interesting headlines out of the NTSB regarding Norfolk Southern, that the company threatened the board, sought to manufacture evidence regarding this derailment in Ohio. Well, I'm going to manufacture evidence. I'm going to say that there's going to be more class action suits. Anybody who has even like a rash is going to sue these guys. That was horrible. Yeah. My lawyer Bruce Biernbaum and Paul Weiss would say to me when you come in, he said, Jim, bad set of facts. Yeah. Bad set of facts. Which means basically, let's start writing checks. Yeah. We thought it was bad before. Oh, geez. And you'd be at an activist in there. Yeah. Alan Shaw came on, defended himself pretty well. And I thought the East Palace team might be in a rear, rear mirror. But that was one of the most damning press conferences in the world. Yeah. Interesting. The NTSB report is an important read today. Yeah. Nice chart out of B of A on utilities, Jim, where exposure between long-only and head funds for 14-year high. And yet, at the same time, they talk about the concentration. Now, most of the 40% of the funds have just a handful of stocks. I mean, it's kind of like, it was like a barbell. On the one hand, let's own American Electric Power. And on the other hand, let's own Amazon. I thought that the, I always thought that the mega caps were underrepresented in these big funds. And maybe something's changed. That certainly didn't say that. But utilities have been terrific because they're a growth story for the first time. Do you, I was going to say, do you consider them a defensive or an offensive, like? Well, it depends on whether you have low cost power. I mean, the constellation is barely utility. That's the one that is all clean. And I am still waiting, by the way, for a mega cap to buy a net gas company. Now, it doesn't help them in terms of what the sticking point has been, doesn't help them toward their zero emission goal. But I do think that utilities are in play as exciting. Right. Exciting. Whether, well, whether it's the heat today or the energy demand tomorrow, there's a couple of big stories and utilities over. Yeah. There's a lot of rotation about who's doing well. I know that you get to really cheap power when you go to a dominion. But I do think that Exxon's doing well, Con is doing well, but that's not data center. Exxon may be really interesting by, because he's a 4%. And I've had Calvin Butterworth, I think, to tell a good story, but you have to always watch. There's some cities that regulate and the cities have not been highly detailed. We went through a few of the upgrades today. We mentioned Campbell's, Apple, Depot, the two we missed Jim were Hood as Wolf goes to outperform and Shopify as City adds it to the focus list. Accelerated revenue growth, they said. Now, when we at Harley Figglestino, and certainly was not the case, and Harley, if you remember, was to really talking about there were issues with gross margin that they were spending more to get goods. It seems like that's over. Shopify is probably, I don't want to ever say that's stocks cheap, but that's a decent buy. I do like Robin Hood. They have to broaden out from just being options and crypto. If they could do that, then I think the stock good, 25, 26. Then Jim, we have Moderna today, I think down about five, the company says the RSV shot, which we've talked so much about, 50% effective at 18 months, 47% effective at 24. That's heads or tails. I want a little more than that. That moved the stock up very, very big. That's going to step on, but it's not going to be loved today. Although up until now, the general take has been that they were able to leverage the post COVID environment and production base better than Pfizer. Yes, but we didn't want flagging vaccines for things that are not lethal. The goal, and this is the step I'm going to tell me when the stock was at 17, 18, was a personal vaccine for immunology so that if you had a disease of certain kind of cancer or you had genetic exposure, some kind of cancer, you got a vaccine. That was the Holy Grail, and that's what we want. We don't want to meet two, but we don't want RSV. We want life safety. Now you can say, "Listen, Jim, people die of RSV," but no. The idea was that this company was going to make it so that cancer was maintenance. That's what we want. Boy, that would be great. Yeah. A little bit of a setback from or during this day. I'm a believer in the idea that they're smart people, obviously. If you remember, in the end of February, the year of COVID, they actually had the vaccine, but people want immunology targeted, let's say you get a certain kind of cancer. It isn't stopped immediately, then you don't want to go to conventional chemo. You want what Moderna is supposed to have, and the medicine would never mutate, but that doesn't happen. Right. We'll get Stefan. I like Stefan very much, and it's really hard to do what he was talking about, but he says it. This is what his goal is. Yeah. Overall, Jim, kind of a challenging tape, not many sectors in the green. There's some chatter today about this Russellry balance on Friday. What's going to happen is it maybe gets a little less tech heavy. When have any of those rebalances been any good at all? Yeah. I don't think you need micron. Oh, my goodness. Micron reverse big. I don't want to remember. Please don't reverse big. Yeah. Reverse big. Micron was up four and now it's down, so people are getting a little nervous. They're getting nervous. I don't know. There was enough positive research that the market should have been up to. Yeah. Yeah. We had at least half a dozen upgrades, but at least a bit of a soft open here. Yeah, it is. Let's hope that it's funny he started today with FedEx. Does FedEx really have this few legs? I guess so. I guess it doesn't have any legs. Yeah. No pin action when I was bowling. Unless you hit the lead, you know, the number one pitch, you're not going to get it. Yields may have something to do with this weakness for equities. You got the 10-year... Oh, they all shoots coming up. Uh, we're pressing back up against four, three yards for us when I need them. My treasury guy. Yeah, there it is, four, three on the nose as we do look for new home data coming up in about 13 minutes. And as Jim points out, a busy week for auctions overall. Back in a moment. It's time for Jim to stop trading. It's not as hard as always as being an always bargain a member of the always army as being the best place to be able to buy closeouts. Uh, and Matthew Bossa does a terrific job in retail over JP Morgan reminds me that he recently put out a note about big lots, which has a huge amount of overlap, uh, and had a going concern learned, by the way, more than 1,300 big lots, that that could be a huge opportunity for Ollie's back to be able to expand overnight. You mean in the way of share donation? Yes. And in the way, perhaps, if it's going concern about even some closures. So I just think the Ollie's story gets better and better at the time when people just think this is this new legality, uh, that the rich, I mean, one of the things, one of the things that the Ollie's called was that people who are $100,000, make $100,000, $50,000 going there. Are you kidding me? People make a lot of money going there because it's just ridiculous how cheap it is. I always stop there. You have to look at your folder on. And it's interesting, by the way, appliances, be careful of the Whirlpool are really for sale air conditions or sale on my, uh, in my most recent flyer. Interesting. You got to read the flyer. That's, that's what got me out of that. Newell. Newell was like a 15. And I just, it's like basically everything that they were making was available at Ollie's. If it's available at Ollie's, believe me, it, it's in trouble. Jim, what's on tonight? By the way, the water damage books that Ollie's are dynamite. Because when you read a book, do you really care what's water damage? What do you do? Tonight, I got paychecks. And I got a Levi. Now, by the way, Levi, Michelle Goss, has been on fire. Member denim is incredibly hot and she's exploiting it to the fullest. I think that that stock could have a good, a great number. And paycheck, like I said, it's just so and slow and steady does win the rice. Look at that Levi Strauss, up 40. Ah, for the year. Yeah. Yeah, that is a. Yeah, look out, Jensen. Yeah, between that and gap, kind of hard to find. Oh, with your diction. I mean, people don't understand. There's like people doing great things all over the place and I have to be everybody's present. I'm getting tired of that. I mean, you know, it's so that I mean, let's just talk about the Philly. I'm Bryce Harper too, by the way, my, my late job. Jim, we'll see in six, a mad money, six p.m. eastern time. When we come back, we do have some new home housing data coming up after the break. Don't go anywhere. 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. 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