Strategy right now, less is more i dont think you want to be aggressively making adjustments to your portfolio. Myself, personally, i look at my Energy Exposure and look that i have a high correlation to the price of Oil Moving Higher i also have one oak. I suggested in the last couple days exposure to refiners. If the price of oil is going to move higher, im wrong in that suggestion what i have done is i have added sun corps. Why did i do that . Because if there is a need to tap production outside the middle east or United States, we look up north. The canadians have that. A canadian oil play. The chinese can access that, as well i think thats the right strategy i sold out of capital one. Why . I dont like where were sitting right now in terms of yield and the ism manufacturing, that was not a good number. So, too much exposure to financials gave up capital one. Took that cash and put it into suncor but less is more. Lets focus the impact of what we had overnight in the middle east. Joe buys suncor as a direct relation to that an energy play. And you bought some halliburton calls today for the same reason. Yeah, i did there was aggressive buying in halliburton and we were just following coattailing, if you will, judge, the smart money in there. And yesterday we had xle as unusual activity that particular etf that is the subsector of the s p 500 focused on energy was up 1. 5 and its flat right now so, this tells you an awful lot as well as the market comeback, judge. Not all the way back but the market comeback from a 50point s p selloff to, you know, we were hovering right there around 20 an hour ago as far as the down side of the market it harkens back to that september 14th, 15th, 16th when the saudi facilities were hit. Again, by iran there was not a response to that but there was a response in the Energy Markets dramatic response. 20 pop in crude and then 10 just three days later. And then it was gone two weeks later. So, im just putting this into context versus that saying, im not buying halliburton because i think, oh, my gosh, this means everything is great for energy i just think that particular one Pulling Energy and servicing energy i think those will do well Domestic Energy stocks that pete has talked about conoco, marathon and the like, you know, theres a whole host doing well. Im sorry to jump on you there. Whether halliburton which, josh, you bought in december or bought earlier this week really tells a story. Here you have a day where oil is kind of everything and the focus of the conversation. Yep you have what was, give your definition of a spike. I mean, in prior years you might have had a much larger move. Now some of that is fading these stocks, josh, cant get a boost almost no matter what. Yeah. This is a representation of that today if you look at the charts sure. One thing the market loves to do is remove money from the pockets of people who overreact to headlines. If you came in this morning and you saw futures prior to the open, you would have thought today would have been a huge day for oil and gold and a very negative day for the market. Meanwhile, the high print of the day was 16 were back at 13. 3 stocks are incredibly resilient. Large cap got bought from the open and well see where they close. In the meanwhile, no areas of the market are really getting hammered you only have ten stocks in the s p 500 that are down more than 3 on the day. And, as you mentioned, that big oil pop and oil stock pop has already faded. So, i think when you see these geopolitical events, you see these headline scares. Oftentimes the correct thing to do is not to jump on the band wagon because we see how quickly that kind of thing gets faded. Now, turning to the question of the oil stocks themselves. A very good reason these stocks cant catch a bid even on a day like today and that is the u. S. Energy company complex has 200 billion worth of debt that they must repay in the next four years. 40 billion of that debt comes due in calendar 2020 it cant raise money in secondaries without crushing their stock price. They cant do many debt deals. That market is closed to shale producers. That is why the rallies and these names fade so quickly because people cant wait to get out. I did buy slb. I think its very distinct theyre doing the opposite of shale. Theyre focused away they took a 12 billion write down to get out of that stuff. Theyre focused on international energy, technology on the oil field itself and they are not heavily involved in drilling some of the areas that are producing. So, i like halliburton and i like slb and technically they both have the same chart and i think they look great. It was goldman someone came out with a target of 56 bucks and you have a 5 dividend yield while you wait. If that is half write, a total return in the high teens and low 20 range. Im in the name, but not going nuts on oil producers. I dont think were out of the woods. I agree with joe and john. If youre looking at names like exxon and chevron, what gives. If these stocks cant get a bump when crude is the headline on most shows on cnbc. If this happened in 2005, joe would agree, oil would be up like 15. Thats my point these stocks would be going bananas. Or because that september when we saw, again, 14, 15th, 16th when we saw the massive pop on the saudi facility. Had we not seen that, judge, a 10 pop today. Will it hold well have to see what the iranian response the difference was ten years ago the u. S. Was producing 5 million a day and now its 12. Nothing more that needs to be said and thats why youre not getting the reaction we all grew up with. I keep talking about High Yield Energy debt and josh brings up an excellent point a significant amount of maturity this is good an oil price around 60 to 65 is good for a lot of these shale players ability to actually role the maturities forward. I like that. I think that is one of the reasons why youre seeing high yield and Investment Grade moving higher today. This is also good for the russians and the brazilians. That lends itself back to the emerging market story. The u. S. Is an important part of that. And Spare Capacity in saudi arabia and russia and other elements within opec part of why youre seeing a tempered response. Joe mentioned on the demand side, that picture is still choppy were in that bottoming process. From the supply and demand process, you have some of the headwinds to oil and energy stops that are tempering the response beyond the oil complex, not surprisingly at all defense related names are on the rise today. Lets bring in our jim labenthal. Are you there . Yes, im with you, scott. You added to one of your positions today, which one northrop grommen and one i mentioned on the show in the last few weeks first with the announcement of the space force but now ive got it because its clear that we are escalating in the middle east and military hostilities in the 21st century is not landing on the shores of tehran and not going to be submarines taking out military vessels its going to be missiles. Its going to be drones. Its going to be satellite surveillance these are all the sorts of things that Northrop Grumman very compelling on its own you look at the chart and you realize this thing has been stuck. As a value investor, this is what you love and wonderfully priced stock with an unfortunate catalyst and i just want to close by saying, look, im not a war mongrer. I dont wake up every day hoping for bullets and missiles to fly. But very clear they are flying and they will continue to fly. Unlikely that yesterdays strike is going to be unresponded to. Some experts on the air, in fact, making that point that this is a game changer, jim. And stocks like this and others, you would expect to continue to keep working i would you know, another name in this space is Lockheed Martin heavy in satellite missiles. Take a look at rathian theyre duluting with the United Technologies acquisition the best of the bunch is Northrop Grumman i would stay away from huntington engles. Its not ships that we need right now. Its missiles, satellites and the like and i say that without any joy hey, jim, josh brown. So, Lockheed Martin has been in an uptrend pretty much since october. Today it is, obviously, having a big move up 16 bucks a share. Another alltime high, made an alltime high yesterday before anything happened. But if you buy a stock like this today or ratheon or any of them, frankly, are you kind of like buying right at the point of z maximum enthuseyism and they fade and maybe you have a better opportunity if you didnt jump in or enough power here to what is going on in the secular trend that it is worth buying on price spikes like today . I think you make a very great point. There could be a little bit of fading and, frankly, in Lockheed Martin that is certainly the case the stock has been a home run. And i keep finding myself chased out of it by the accelerating price. With Northrop Grumman, if you look at the chart, it hasnt gone anywhere over two years it hasnt gone anywhere. With the attractive valuation, i feel comfortable buying even on a day its up 5 i still have some dry powder and i will see what next week brings but im comfortable buying it today. Jimmy, we appreciate you calling in sharing this wisdom with our viewers. Have a good weekend and well see you on the other side. You, too. The other area i wanted to hit is airlines. Again, if youre worried about crude having a prolonged move and, look, ive seen some forecasts this morning that are suggesting 80 a barrel after what has taken place especially if you get a longer lasting escalation delta is down, united is down and anybody holders of these stocks and making any moves or would you make a move on a stock that is down today because you think its unfairly lower and you think that its not going to be a big, long spike if we get that quick comeback, like i said, two weeks was all that 20 spike, judge, in september lasted less than hours before it was a 10 spike. Before two weeks later september 30th, 29, Something Like that. Back down below prior to where it was on the attack on the saudi facility if you think Something Like that plays out. Certainly lufthansa down 7 , i think theyre overdone based on that if you see any stabilization rather than just a huge zoom to the upside out of these Refined Products thats where you saw the biggest losses in the airline complex was overseas yep some of the more European Airlines and else where were down sharply almost double let me do this. Lets broaden it out then to the market at large. We had a big day yesterday we did. We come in today and its a different picture. Now, weve cut the losses by a large amount s p im looking is down 14. 5 . One of the stronger exercises you could perform today is looking at the market and identifying stocks that are actually moving higher in this environment. So, facebook alphabet and i think it was josh who mentioned alphabet in 2020 might lead the market higher alphabet is now higher on the day. That is exciting to me you have names like chipotle and best buy which i own they are higher on the day some of the housing names like lennar are higher on the day you dont have to act, but you take notice and understand in a down take what is moving higher. Also what is moving lower unfairly that is sort of the point that kramer was making earlier. A lot of stuff is going to be down take a look at not necessarily by today wanted things to be down and dont be in such a rush to buy but things that are going to be hit that you look at and say, this is not related in any way, shape or form to what is happening. So, i had a reit store capital go exdividend and the first day of the year down 3 yesterday. I saw it would be a down, it has absolutely no bear on the street and literally buying real estate from hair dressers and leasing it back to them in st. Louis for me, thats an obvious way. The reits and other quote unquote bond proxy sectors have cooled off in december as the tenyear yield rose. But now if were going to get back a little bit of fear into the market, youll see that tenyear yield fade. Youll see the stocks start performing, again. I think im already up on the trade, not that it is really a trade, its an investment. A great example of a scenario, this is a name i wanted to be bigger in and now i have an opportunity and it has nothing to do with the underlying opportunity. Apple is hanging around the flat line, as well that stock was one that was in focus yesterday for us because it topped 300 bucks for the first time it closed above there and now its a touch lower but price target raises today and two of them, in fact. The same 330 at rbc you know. This is the stock that has driven the train yeah. Its still that these stores that they have on the retail side, scott, continue to rock. As far as the 5g i wont even continue with that. Its going to be huge. But the services i mean, if youve picked up an 11, you know, their newest model phone. You cant believe the amount of storage that youre going to use with the three camera set on that pro amazing how much extra storage youre going to have to have that all goes straight up to the cloud because even with the 256 gig phone, you cant hold it on there. Especially if you do any videos and thats the temptation with all of these multicamera phones apple has figured that out and i think the analysts are exactly right. The stock will be higher the question is, you know, do you violate the greater pig theory not the greater fool, the greater pig. Thats why i was lightening up on my call. The greater pig theory. The greater pig theory. He just invented that happy new year, we havent seen you in the new year you, too. How do you feel about the market what are you telling your clients . Were telling them not to overreact to anything theyve seen in the last 24 hours per joes point. Were overweight equities. Were taking that in International Developed and u. S. Small cap over large and i think one of the things weve seen over the past month or so is a bit of broadening of participation. What you might get from todays oil pop and maybe some of the Higher Energy names is perhaps some of that bid for value, that lagged so much over the last few years. Im not calling for strong outperformance of value over growth, but there is an opportunity to diversify away a bit from what has worked so well and to get more into areas like u. S. Small cap that have certainly done well over the past couple of months but if you look on a longer time frame, there are cheaper versus u. S. Large cap and they also lagged so, i think there are opportunities there and the international space, as well were constructive i think the broader picture is really about what happens with this cycle and i dont see while it is going to play out probably over months and even years rather than days in terms of what is happening in iran, i dont see that as being the end point for these broader cycles so, lets formulate that into a debate then here on the desk josh, i just want your view of small cap versus large cap better value in small. Going to outperform large cap. Im not necessarily sure you agree with that. You tell me if im right or wrong. I would say that it absolutely could happen. I just wouldnt frame it in a market cap size because what it boils down to is a sector bed. And im sure youll agree with that if you think about the trend in financial stocks going into the end of the year, very powerful and its not a coincidence that finally the russell started to catch up with the qs and the s p 500 and the dow. Its very heavily tilted towards financials i think the second most popular sector among the russell 2000 is industrials. I could be wrong but youre betting on reflation of the economy the one caveat, credit quality among small caps is adding wide disparity to credit quality in the s p 500. Now, it always, there always is some disparity but now its wider than it has been in a long time that speaks to the industry break down to some extent and also just the fact of life its extraordinarily easy for an s p 500 component to raise money. They could do it with their eyes closed right now never been easier maybe in history. Its not the same for small cap. Now you say thats the opportunity. I think those conditions will get better for smaller cap stocks and thats whyi i have no problem. The other thing we heard from you yesterday, joe, buying overseas buying eem and what was the one you suggested he buy iemg. If youre an investor, youre going to pay a fraction of the basis point. But the point is, looking for better opportunities overseas. Joe seems to think youre going to find it megan seems to think youre going to find it you have been a fan of overseas investments, as well but youre still overweight in the u. S. Relative to the rest of the world. Im overweight. I have been for two years. This is across Strategic Asset allocation models at my firm the bet is not, oh, the world is a better place to invest in the u. S. It is about valuation and perspective returns. We know what has gone on in the last ten years one of the most in recorded history. Its not, oh, the roulette wheel hit red ten times im betting where are the better returns you could end up in a scenario in 2020 with doubledigit growth i dont know that you could say that for the United States so, and its not blanket im not like excited about japan the same way i am about, you know, em countries or europe as i am about, but if you are thinking about the nextfive to ten years, youre buying cheaper stocks in many cases with higher dividen dividends. You could get the benefit of a tailwind if the dollar continues to be on the weaker side than it has been in recent years go ahead. I would just add to that when youre talking about valuations. Dont expect it to play out over the next month or even maybe inneith next six months to a year. These are at multiyear wides and these type of predictors tend to be better over the longer time frame. Five years, ten years. We recently updated our long term asset class return expectations and Asset Allocation adding more to international because of that longterm view by country 12, 13 times earnings and the u. S. Is 20 and somebody says, yeah, but they have corruption there. Do you not turn on the news here yeah, but, theres the risk of war. Oh, were you not watching what went on last night we understand this a lot of that is priced in lets think about what possibly could happen thats better than what a lot of people are expecting. So, thats kind of the idea of owning both the u. S. And overseas a tactical allocation play and that is really what i have done i did, by the way buy emng. Did you take the advice and do it . I have both good advice is good advice no matter where it comes from the opportunity now for some fiscal policy initiatives we saw that the other night from the chinese. Youre not going to have any fiscal policy initiatives here domestically in the u. S. Youll find those opportunities outside of that. The other thing that is compelling is there is durability in the spend from emerging market consumers. So, if you look at Consumer Staple Companies those with the highest revenue exposure outside of the u. S. , they actually performed well in 2019 and that was crediting the ability of the consumer to continue to go out there and spend and now you get fiscal policy makes sense. What im Hearing Support for emerging markets and we Like International develop. Europe. Europe, japan and even the uk some risks have subsided definitely over the past year with the global slow down. You want it to be in the u. S you want it to be away from the international space. But quite a bit of sick cyclica and theyre much more dependent on exports than the u. S. They got hitter by the trade war. Almost collateral damage. You didnt expect them to get hit so hard. With trade damage receding and Global Growth to pick up thats an area of opportunity. The next question before we go to break, i get the feeling none of you is making a Bigger Picture decision on where you think the market can now go relative to where you came into the year thinking it might go because of what happened last night escalating tensions in the middle east. Dare i say a war between the u. S. And iran. Whether likely or not. Two things on that. We can go back every year in the last ten years and find a moment of some sort of geopolitical fright and then we can measure what the market has done post that event, pre that event. Very rarely any major difference and i think that is something that we lose context because we see the one day reaction and thats what sticks in our mind we rarely think about what happened over the last six months the other thing is, when i hear markets fall on tension in the middle east, its like, oh, the tension that has been going on in the middle east since the 7,000 years of tension or just this week. Like tuesday which is the big fright. So, you will never, ever enjoy a period of investing where things are calm in the middle east. We bring it full circle to where we started the difference is because of the way the oil supply and demand equation is today relative to decades ago, you dont get the massive move in oil, thus, you dont get the massive whoosh down in stocks fretting about a huge spike in oil. Its just different. Its never been this way. We are the saudi arabia of natural gas, the u. S. And canada and the speed with which oil field new assets can be deployed is rapid versus even ten years ago. And its not going away. We will take a quick break. Here is what else is coming up on the the Halftime Report. Straight ahead, one analyst is saying bank of america stock may stall after big run last year the desk debates in our call of the day. Plus, the Investment Committee is ready to answer your questions to reach us, go to cnbc. Com halftime or tweet us using the askhalftime Halftime Report with scott wapner and the traders is back in two minutes on us. The unparalleled landscape of park city, or the famed peaks of whistler, youve faced the hassle of lugging your gear through the airport. With ship skis, youre just a few clicks away from having your skis, snowboard and luggage shipped from your doorstep to your destination. With unrivaled pricing, real time tracking ship skis delivers, hassle free. Ship ahead and go catch those first tracks on fresh snow. Ship skis. Your skis. Delivered. I am totally blind. And non24 can make me show up too early. Or too late. Or make me feel like im not really there. Talk to your doctor, and call 8442342424. Beyond the routine checkups. Beyond the notsoroutine cases. Comcast business is helping doctors provide care in whole new ways. All working with a new generation of technologies powered by our gigspeed network. Because beyond technology. There is human ingenuity. Every day, comcast business is helping businesses go beyond the expected. To do the extraordinary. Take your business beyond. Welcome back, everybody. Im sue herera here is your cnbc update thousands of worshippers took to the streets of tehran after friday prayers to condemn the head of the quds force qasem soleimani. Part of an investigation into how nissan chairman passed through turkey on his way to lebanon. They appeared in court in istanbul those detained were four pilots, a Cargo Company manager and two airport workers. Hong kong educators turned up at a Central Square to rally against the government the protests come as the citys authorities criticize teachers for their involvement in antigovernment protests and Grammy Nominated rappee dababy was arrested on a Battery Charge last night in miami after arguing with a music promoter. After Police Arrested the rapper whose real name is Jonathan Kirk they found a warrant for his arrest from texas which was also on a Battery Charge. You are up to date that is the news update this hour ill send it back down to you, scott. Thank you, sue herera bank of america is up, a lot of the banks have surged the stock has run its course and downgrade it the evaluation call and interesting in the sense that a lot of these stocks have run a lot. People still view them as cheap. Not like having massive, you know, valuations what do you do with this call, doc . At the Goldman Sachs conference just a couple weeks back, they were talking about Investment Banking results being up 3 to 4 . That was viewed very positive and part of this jump that weve seen Consumer Spending by their customers was up 6 year over year and rbc moved their target up just a couple days ago, i think, from 35 to 38. So, this is an outliar call, scott. Time will tell if this particular analyst is right. I thought it was odd, also, that the call came out at like 9 00 last night i dont see a lot of calls coming out upgrades or downgrades that far after the market has closed so, again, there is a lot of interesting things about this particular call. And time will tell i would not be getting out of bank of america based on this call anybody think it is time to reassess where some of these names have gone. Bac included look, i began the show by talking about selling out of capital one. Thats consumer finance. The reason i did that, i just have too much financial exposure with jpmorgan, kkr, wells fargo, just too much exposure i dont like what we saw from ism manufacturing and i dont like what we saw from yields and that directly teendz financials. The ism manufacturing it is but i am going to stay committed to these financials. Im going to listen. I think trading revenue on a comp basis is going to be very strong in the coming quarter i want some flexibility. I want to take a look at maybe a Goldman Sachs or a Morgan Stanley or t. Rowe price or schwab and i just want to create a little bit of cash in the sector how about the banks were neutral financials right now and i think that the call and what we would agree with is a relative story looking for those banks that are best able to execute and have the best grip on technology and tech spending is a huge part of the Financial Sector. Im thinking back to what you said at the top of the show. If youre neutral on financials, how could you be neutral on financials if youre positive on small caps which are dominated by financials . When were thinking about sectors, we think about our sector strategy which is a u. S. Large cap strategy and within that were neutral to financials but i do think that the momentum youre seeing from the economy will help those Smaller Companies and, yes, the small cap does have more of that financial, more of that industrial bend. More of that value type of exposure we think that will do well in an economy that is not going to see a recession over the next 12 months, which is our base case ill give you a financial here that we dont talk about enough it has just broken out, i think, if the financials stay weak for a couple days, it will retest that breakout at about 220 here is in my view one of the most perfect ways. Youre bullish on banks but you want a little bit of a hedge berkshire massive stakes in every major bank, including wells fargo, which is its biggest. U. S. Bankcorp they own all the best ones. 20 times earnings with i think 20 of its market value sitting literally in cash waiting for something to happen in the market where they can actually deploy that cash so, its almost like a builtin hedge. In the meanwhile, insurance operations are doing just fine and they have this put where they have raised the limit in which theyre willing to do stock buy back they have barely done any. They have this authorization and they just dont use it if there is a big market event, all that cash. They can pretty much have the flexibility to do whatever they want everything from an incredibly poignant acquisition to a buy back i like this name and the fact that it is broken out and even if this breakout fails stocks should hold up better than the Financial Sector so, for that reason, i would right here to joes point about ism. Ism, joe, is going away. The reason i say that, even though its been around a long time, scott, the other, the market group, they do theirs with a forward look that they wait for heavily to joshs point when he said the ism is bad and it was. For ism versus the ism. Are we talking about the banks or what are we doing consumers and how they feel about the economy are influenced by things like ism and market and no, theyre not i think they are. Find me a consumer on the street who knows what ism is. The actual numbers are. To your point, what is happening with ism the ism says, hey, things are slowing down. The worst in five months meanwhile, consumers are spending like crazy because that is measuring the past and Market Measures the future. Im saying they weigh that more heavily, scott thats why i say its going away who cares about what is in the rear view mirror you suggest manufacturing its because of what josh said its because of what josh said about boeing and thats because its from everything up to that point. Its not the forward look. So, if you asked those same people because these are both diffusion indexes. If you asked those same people from the ism what is your forward look, thats what market does and that is what gets weighted more heavily in theirs and thats why it set records and keeps moving up rather than the negative that you get out of ism. Im just saying watch. Watch this one okay. Six months from now, a year from now im confused as to why were doing that but coming up, some options bulls are making bets on a midcap energy stock johns latest trade is up next rs ausual activity fit, check on the s p sectors. Were back after this. Memory support brand. You can find it in the vitamin aisle in stores everywhere. Prevagen. Healthier brain. Better life. Welcome back to the Halftime Report. Im seema moody. Cybersecurity stocks over a possible attack over the u. S. Air strike on pace for it Third Straight day of gains and sitting less than a percent from record highs. Some of the etfs most heavily weighted components are outperforming at this hour crowd strike up 3 fireeye up 2 and one sector to watch as we await irans response scott . All right, seema, thank you target resources under pressure looking for a rebound. Looking for that trade the stocks to outperform over the next few weeks we sent john to to the telestraighter this one had unusual activity stock was 2 lower than where it was now. You know pete and i love to talk about stocks that basically somebody smart bought a big position, cashed out and then stayed in that same stock. Thats whats going on in targa right now. Jenny harrington, hats off to you. So, targa. February 42 calls. They bought these rather aggressively almost 8,000 or 800,000 share equivalent i bought these calls, too. They were trading around 1. 20, which i think is a great risk reward again, on the risk side, ill cut that if that falls to 60 cents, scott im looking for upside here, scott. This is one of the stocks that provides it. A couple quick updates one that is not so good. Lulu lemon even though i love the stock 237 buying calls, scott, but buying with them for an expiration for lulu today even though the stocks are up, those options are already dead i think i paid 1. 50 and got out of them for around 75 cents. Not so good. Second trade worked out much better snap january 16 calls the stock was through 17, almost 17. 5 today those calls were 28 cents. They went to 1. 25 today nearly a four fold return on those and its always good to exercise your discipline i am out of these now. Okay. Good stuff doc, come on back over because well answer questions next on st, cocoalibaba. Were back in just two minutes some things are too important to do yourself. Get customized security with 24 7 monitoring from xfinity home. Awarded the best professionally installed system by cnet. Simple. Easy. Awesome. Call, click or visit a store today. All right. Lets answer some questions now. First up for you, joe. Tina in texas costco has pulled back from recent highs is this a good time to buy more . Buy more implies that you already own costco i would not be buying more it did not respond after earnings in december your next Earnings Report is on march 5th. The stock peaked out in september. I still want a main exposure to costco because very hard pressed to find exposure to Consumer Staples in a company that has the dividend and growth metrics that this company has. Doc, here is a really good question and its about a specific stock but the lessen perhaps or the advice can pertain to anybody with anything. Anthony in philadelphia, okay, im up 25 on alibaba. I read conflicting infoon when to take profits. Should i sell or hold . Now, there are a lot of stocks that are up at least 25 last year what do you do i think you could take profits here, scott, on alibaba. Do you take all of it off . Most of us on the desk would say i would scale. I would sell 50 thats my particular discipline when it gets to a preset level in my head i take that profit off the table, scott thats what i would do here. If he needs to or, you know, if it makes more sense for him to take all of it off with the trade negotiations, this one makes a bigger move later in the year. So, right now i think youre getting a pretty good spot to take some profits. Good stuff. Thank you. Meghan for you from vincent in birmingham, alabama. Should i invest in etfs. I am pretty sure you will say yes given your answer in the beginning of the show. International develop rather than emerging markets. There are opportunities both there. You have an improving growth picture and the dollar is really important for u. S. Based investors. You should always bring it back to the dollar terms. When we see international growth, that might be picking up at a more accelerated pace than the u. S. , that is usually a recipe for a weaker dollar which would help your international returns. Josh, so, just continue on that then. Give me two foreign etfs that vincent should take a look at today. I mean, i guess start with the whole world. Start with vti, vanguard, total world and then work outward from there is the easiest way to do it good stuff. Last question goes to you from michael in detroit is it time to exit the itb time to exit . Yeah, this was the trade of last year when yields came down and Mortgage Rates came down threeyear return, 64 oneyear return 47 . If you have been in it, you have done very well maybe you can. I dont know your specific situation, but if you had it as a trade, the trade worked and now these stocks are moving up thanks, as always, for the question. Some of the biggest calls on wall street today. Well take position on humana and wingstop first, dom chu has a look at what is coming up on the exchange. Markets rattled following the u. S. Killing of a top iranian general and theyre bouncing back right now the very latest on what could happen next. Could geo political tengs change the feds Interest RateRobert Kaplan joins us, hes a Voting Member this year. As the u. S. Braces for retaliation from iran, how likely is a cyber attack and what could be the primary target that is all ahead on the exchange. The Halftime Report is back right after this through the airport. With ship skis, youre just a few clicks away from having your skis, snowboard and luggage shipped from your doorstep to your destination. With unrivaled pricing, real time tracking ship skis delivers, hassle free. Ship ahead and go catch those first tracks on fresh snow. Ship skis. Your skis. Delivered. Welcome back some analyst calls that were following today. Just want to hit some more stocks with you guys humana doc, added to tell conviction buy list at Goldman Sachs one that cramer highlighted this morning on squawk on the street. Reiterated by 425 bucks the price target for humana. Youd be hard pressed to find somebody in the healthcare space thats better at virtually everything they do than this one. So im not surprised to see em add it, scott. I know this is a favorite of my brothers as well. And i see no reason to disagree with goldman on the call. Okay. Joe. Yesterday, you picked wing stop as your final trade, right i did. Upgraded today to outperform from neutral at wed bush if theyre watching. Price target goes to 105 from 88. I will, by the way, buy this and put it in the portfolio. Goldman sachs conviction buy list youre talking about 10 . Wait a minute you recommended it yesterday and you didnt buy it yourself i did not buy it yesterday. Now, you waited for an 8 move i will buy it ill get it in there. Im going to teach you how to go shopping. Okay you actually shop before the 8 mark. You did a good job with that one. Well talk after the show. But 10 same store sale grower tremendous opportunity youre talking about freshcooked chicken josh, just sit there frozen. But tremendous opportunity to gain market share from the pizza market. Okay. To expand here, domestically. This is a company that really can expand itself and has flexibility on the Balance Sheet to do so. Okay. And lastly, josh, to you you hated on l brands yesterday. L brands upgraded today to a buy at bank of america thats the one with the 8 wing stop was 3. 5 . Are you kidding me . No. Doing this right now. The stock was 70. Okay. I just brought it up i wanted to bring it up. You hated on it yesterday. I think what i was trying to say was that the company is very out of favor with its core consumer were in a woke culture. Yeah. And hundredpound women walking the runway is like not whats in vogue right now. The brand is struggling. It may not be forever. They also have the taint of the epstein stuff, which i really dont want to get into with seven minutes left in the show its an ugly situation so listen. I hope it works out. I dont hate it. I dont hate i dont hate any stock. I dont hate any stock like nancy pelosi said, i dont hate anyone. I pray for l. Brands still, i pray for l brands i hope things go well and they turn the company around. Well, doc, you own it. I own it. Im happy about it i think it goes through 20 i think some of the recent targets, scott, were up around 22 by some of the brokerages that have upgraded in addition to this one. I think it gets there and i think it gets there in the next month. Are you buying it already. You think theyre going to pay that 6. 35 yield over the next year . I do. You do hate by the way. Yeah. But i appreciate you praying for it. I dont think theyll keep a 6 dividend. I think they need to reinvest into whatever the future of the companys going to be. I think it would be a mistake to keep that yield. Its a big dividend. Its absurd there was no retailer in america that should be paying out that percentage and i dont know what percentage that is of their aftertax income, should not be doing it should be reinvesting in the future of the company. Its a huge miakste. Okay. Well do final trades straight ahead. I love the new myww program, because its tailored to you take the personal assessment and get matched with a proven weight loss plan. Find out which customized plan can make losing weight easier for you myww. Join for free lose 10 lbs. On us. Josh brown. Store capital. Megan. Industrials. John. Kkr. Okay. And joey. Dominos pizza. Good weekend, everybody all of you as well stocks off their lows right now. The exchange begins now. Thanks very much, scott. Welcome to the exchange. Im dom chu. A developing story as the United States kills a top iranian general in an air strike what happens next . And what could the retaliation be markets rattled by the news overseas but should you be making moves in your portfolio or just stay the course . And an exclusive interview, dallas fed president on the feds next moves he is a big one there. Hes a Voting Member on the fed this year. But lets get right to our top story. All right. The u. S. Killing irans to