Transcripts For CNBC Closing Bell 20240713

Year high as the coronavirus layoffs start to show u. And Oil Rebounding crude on track for its biggest oneday gain ever. Absolutely. Its up 26 though still down 17 for the week as a whole. The dow was up 500 points. Now only up 235. Lets focus in on the key stories were watching mike is tracking todays Market Action e meg is covering new developments from the Pharma Industry and kayla has the latest on proposed bailout, but mike, lets kick things off with you. Thanks. Obviously seeing a general pause in the intense selling weve seen perhaps had a wave of that liquidation pass us by and the big old Growth Stocks are leading the way. That hasnt changed through this whole sell off especially sed soed if you look at a one yore chart starting with the nasdaq, 100 the leader, s p 500. The equal weighted verse then the small cap russell 2000 you see that distinct tearing on a oneyear bases in terms of what has worked better if you just focus in on the last month, by the way, one month ago today high for the market on february 19th. Its exact ly the same layering of returns so if you thought at the peak of the market in february the main issue with stocks was that the index was too concentrated in all the big Growth Stocks, that really hasnt really helped you to be underweighted in those areas you thought were overdone. So that just shows you yet another way this whole plunge weve had has been from a different direction than almost anybody saw coming and has really not left any area of the market victimless but old leaders have continued to outperform i guess, mike though, if you look at the way the russell has underperformed during this sell off on the way down, theres also a of fundamental explanation for that because of its heavy weighting towards the energy and banking sectors with oil and Interest Rates plunging. Absolutely. All those things, as well as the fact that they just tend to be more leveraged they have less resilient business models. Theres not as much as a cash cushion in a lot of the Smaller Companies and those are the attributes the market doesnt want now when youre having difficulties in credit all right mike, well talk to yu in a bit. President trump today outlining the latest for a push on a coronavirus treatment. Meg, how much optimism is there . Theres cautious optimism it was a bizarre briefing this morning. When the president seemed to imply they had all but approved two drugs to treat Coronavirus Infection. Those are cloer quinn and rem des vir then the fda commissioner took the podium and clarified that while they are optimistic about the promise for these drugs to potentially help, they are not yet approved. Gilead saying rem des vir is not approved globally and has not been demonstrated safe and effective. Gilead is supporting five Clinical Trials which are enrolling patients in the United States to determine the safety and efficacy for treatment for covid19 nothing has really changed based on the announcements this morning on where these drugs stand. We are waiting for gileads data in april everybodys hopeful that will work, but well node need to wait bayer has said its donating 3 million tablets of its cloer quinn for use. I was going to ask how widely are they being used and what kind of patients are being treated with em them how severe with the symptoms i believe the more severe patients who would get this kind of experimental treatment. Gilead hold us hundreds of patients have received it on an expanded access was ibasis. Outside of Clinical Trials, when you have a a very severe condition. Thats the setting in which it has been used. So we dont have a lot of data on how well it works we have limited Patient Experiences here and there, but until we see the Clinical Trial data coming out of china april, we really wont have a good grasp. Chloroquin as well weve heard data saying its promising, but we still need more data to really know thanks so much for that and dont miss our interview with a Top Executive from Pharma Company on how his company is working b on a treon a treatment thats 4 00 p. M. Eastern time. Now to the response from washington as more industries seek bailouts from the government kayla. The initial outline proposed by treasury allocated about 1. 3 trillion but that is to balloon as lawmakers work to put pen to paper on what this stimulus will look like. So far, industries have asked for relief in more than 500 billion. That is more than double what treasury had proposed for these Hard Hit Industries that would see relief take a look at what some of these companies and industries are asking for hotels, 150 billion restaurant, 225 billion and that doesnt even include casinos, cruises, movie theatres and municipalities, but one company that could find itself in washingtons cross hairs is boeing lawmakers according to my sources, are increasingly wary about bailing out a Company Whose precarious position they largely view as one of its own making in private conversations, they compare boeing to aig, the insurer that netted the government profit, wu not without a ton of Collateral Damage for lawmakers along the wayment this is not to say boeing wont receive any part of this stimulus funding. Only that the white house will have to make a compelling case on capitol hill as to why theres a strategic imperative to rescue boeing at this stage also expected if it happens, it will be more on government frueniendly terms versus shareholder. The sentiment towards boeing is not happy on continental im sure all sorts of companies will be focused on that wondering what it implies for the governments broader approach to potential bailouts why according to the conversations youve had are the government reticent to help boeing because of the 737 max issue and specifically that or because like in and so many others in precarious positions had taken part in buybacks and paying dividends, things like that over recent years boeing pursued buybacks, but it is not alone in that effort the 737 max issue thats been playing out is what has deteriorated its stock price and its cash flow and has really caused the consumer and the American Household to become aware of some of the oversight issues at boeing they feel that boeing because of what its gone through, is relatively Toxic Company at least in many of these districts at home. Now remember, boeing has massive operations in south carolina, which is a politically important state. So its unclear exactly what will happen here but boeing is being talked about at something of a unique scenario here and the aig comparison is certainly not a good one for the Company Based on how poorly people looked on that company during the financial crisis and the years afterward. Even after it made the government money kayla, thank you. Up next, the big three automakers taking the extraordinary step of shutting down their north american factories. Jim press will tell us what that means for employees and suppliers. And weve got an analyst who says were living through the greatest retail disruption of our lifetime hell join us with a look at the companies that may not survive and initial jobless claims surging by 70,000 and the Philadelphia Fed index falling by the most on record in march to minus 12. 7 from plus 36 in february so starting to show up in the data this economic sudden stop. Well be right back. We see engineers simulating the future to improve today. 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Dont get mad get e trade and start Trading Commission free today. Dont get mad get e trade and start trading every time it takes care of something for us, we celebrate. How often does that. Got it. Servicenow the smarter way to workflow. Weve got about 48 minutes left until the closing bell. For an unexplained reasons, the dow industrials had faded a little bit now still up by about 72 points b, but the gains had been higher just moments ago the s p higher by about twothirds of a percent. The nasdaq Still Holding on to a nice gain of three and a quarter percent, up 231 point. The big winner today, the russell 2000 up 6 lets check on some individual market movers. Gilead and regeneron both hitting 52week highs today after President Trump said he is pushing the fda to fast track antiviral treatments for patients with coronavirus. Both are working to develop drugs that treat the virus and the shares of dollar tree are much higher after the discount retailer was named a quote catalyst call buy. Catalyst call buy at Deutsche Bank the firm points to elevated sales as demand for cleaning supplies and Household Essentials skyrocket Deutsche Bank predicts dollar tree is one of the few retailers on track to hit its original 2020 earnings target wilfred, over to you thanks so much for that now roller coaster day for the dow as tyler just pointed to the index swinging 1200 points our next guest says he still Sees Opportunities globally lets bring in mark mobius he joins us now by phone mark, great to have you join us as always. I think ill start if i may with those intraday moves that tyler just referenced. We were up as much as 500 points, close to 3 and weve really slipped when you think of how much Central Banks and governments are throwing towards the markets in stimulus, does it concern you when these types of rallies fade i dont think we can expect that i think we can expect more and more volatility and i think what the Central Banks are doing are not really effective the spres rates [ inaudible money has to go into the hands of people directly so i would suggest that the fed treasury you get 1,000 to every single man mark, apologieses, the line is breaking up significantly well work on that and see if we can get you back as we stand, s p 500 is is up about a percent. Of course weve got 45 minutes to trade about half the sectors higher. Half lower energy the winner. Oil holding on to its gains some 24 while the rest of the market has slipped somewhat sara 45 minutes left of trade. Gm, ford, fiat, toyota, honda and nissan all temporarily shutting down their north american factories some companies are considering shifting production from autos to medical equipment elon musk tweeting quote, well make ventilators if theres a shortage lets bring in jim press, former chrysler president first, jim, a complete detroit shutdown what happens to all the thousands of workers well first, id like to send props to you and the rest of your crew. Through all this, the changes, the timing of new information is so important youve been delivering it and it helps those of us that are try ing to make decisions. So thanks. We appreciate that. Thanks from all of us thank you, jim. To close all the plants, obviously. Its a huge situation. Its not just here, but also youve got to remember the european plants are shut as well globally, the manufacturers make about 100,000 cars ta. In the u. S. , its a million workers that are no longer going to be getting a regular pay eck che check. They get about 75 of what they would normally get the manufacturie ining process e dealerships are all impacted about 1. 4 Million People in the dealerships. The thing to remember is a man fakihturing plant is a cash flow machine. And it generates the cash, maybe 100 billion a day for these companies if you look at their total manufacturing thats not going to be there. And thats a huge impact on the economy. But its about 3. 5 of the gdp so its unprecedented and its going to have a huge impact. Jim, does stopping production help the companies does it sort of stem the ble bleeding of cash to an extent it protects them or not not really. It doesnt the expenses go on and the cash stops. You buy your parts and you, you sell the finished product hopefully for more than what you bought the parts for and in this case, the bills keep coming. Expenses are there theyre going to maintain their workforce and fixed expenses so the cash flow is really the lifes blood but if you really compare that yes, im sorry no, no, finish your thought if you really compare it in temp interprete terms of the interest of their people, the fact retail demand is collapsing. Inventory wouldnt be sold any way, manufacturing is really the place of the last resort, but its the place where they need to go donow to stop the bleeding jim, i was just going to say when you talk about a group like this, becoming the next victim of this crisis, gets deja vu takes you back to 2008 how different is this industry than it was then in terms of cash balances and how much u the restructuring has gone on and just how much pain theyre going to be able to take without themselves needing help again. Thats the key question, sara weve been to this party before. Not just in 2008 but in 84 weve had a couple of these. The fact of the matter is the manufacturers are in much stronger financial situation than they were then. The underlying strength in the market the cause of the reduction is not economic its the battle we have with this virus and so the companies are already strong theyve got expenses under control. Good cash i know ford is one where people have been talking about what theyre doing and of course they made a change today on their dividend policy the first thing you do in these cases is plan for the worst and hope for the best. You stop letting the cash flow out you dont need to. Cap ex, dividends, buybacks. Theyve got i think like 50 billion of cash at ford on their Balance Sheet, which is going strong and i think theyre in very good shape. The jims there have it under control. Really quickly, how easy is it for them to shift these manufacturing plants from making autos to making ventilate eors . I know mary barrow was one of the first to offer that. The government is is trying to redirect the Defense Activities are being employed to direct manufacturing and in this case, they have facilities that are idle especially from plants that are idle and they can use them for manufacturing. Theyve got the shell. Theyve got all the infrastructure necessary and if necessary, the workers could be trained in making airconditioning systems and small heater moteers and things like that are pretty similar to ventilators. In china, theyre makes masks at some auto plants, so its a good way to deploy the workforce. It would be amazing to see. Jim press, thank you for joining us today my pleasure thank you. We have 41 minutes 40 minutes left of trade now the s p just above 1 as we stand. After the break, well take a deep dive on the hard hit Retail Sector a top analyst will tell us why she thinks the pandemic will have a prolonged impact on consumer psychology. Plus analysts are making huge cuts to their gdp forecasts. Bank of americas u. S. Economist will tell us why she thinks were already in a recession were back in a couple of minutes. Legendary terrain in telluride, 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. Welcome back were up about 1. 4 on the s p major retailers have been announcing temporary closures of certain stores due to coronavirus. Including macys, nordstrom, gap and nike our next guest says after this, the Retail Industry may not ever going back to the way it was dana joins us now by phone good afternoon to you. Thanks so much for joining us. What do you mean by that the point it will never go back to the way that it was do you think this accelerates the shift from bricks and Mortar Stores to online i think it does accelerate that shift i also think theres an impact on consumer psychology for this prolonged period of time may last longer more than just two weeks digital to discretionary typically is around 20 of sales on average people are going to get used to doing more things at home, over their b mobile phone and frankly, being able to connect more with people through that mobile phone will become more impactful i think physical stores when they come back, theyre going to need to show theyre new and different and personalize their offerings and communication to get these feet back walking in the stores before this krcrisis even began, retail was dealing with bankruptcies and store closures. Whats going to happen to the Department Stores that were already weak and now have to permanently are not permanently, but at least 14shut down the stores permanently whats going to happen to them permanently . Inning one of the things were going to see, ive been speak wg retail companies, i think its about the letter b. Bad earnings bankruptcies the weak are going to be weakened further its about Balance Sheets. The strength of everyones Balance Sheet and basically accelerate the demise of the weaker players i think the Department Stores overall is it going to accelerate the number of some of the anchor door closures and only the best stores will survive at the end of the day. Get iting them back opened and p will be certainly it doesnt just happen overnight because that takes time, too these companies, a lot have debt and i think it makes them accelerate the closures of some of the doors youre still going to have Department Stores in some of the best centers out there, but it accelerates the downside what does 1,000 checks to everyone achieve. Has them focus on basics. If youre having the part timers, which is such a great percentage of the retail employment population, if theyre going to be out of jobs after the two weeks pay that ret retailers have guaranteed them then another two weeks of severance, theyre going to focus on essentials. Go to target, walmart and some to the Dollar Stores and am ipg thats for must haves not nice to haves to get the nice to haves back, we need people working and were going to have a pile of inventory to go through at markdown prices as we go through this tremendous reset. Thanks so much for joining us thank you weve got some news here on air bnb. Diedra has that for us hey, sara im hearing from two sources familiar with the matter that air bnb is considering raising money in the current environment after fielding what both sources call Significant Interest from a number of different investors across the private equity, Sovereign Wealth Fund spaces this comes as the travel industry takes a major hit from the coronavirus outbreak and air bnb itself has had to expand its refund policies. One source said theyre in listen mode. Not because it needs the money, but because it sees this as an opportunity. They have 3 billion in sh cash on its Balance Sheet and access to 1 billion in a line of credit im told the valuation is still being discussed. The company was last valued at private raise at 31 billion, but given the destruction in travel multiples, it could be lower than that last private market valuation i also spoke to an angel investor, ron conway, an early air bnb investor, he said he has been referring many calls to the company what he calls a lot of very astute and large investors. He says theyre telling him i hope theyre raising right now because i want a seat at the table if they are and guy, weve seen this in the past during 08 and 09. The financial crisis we saw milner get into facebook at a much lower multiple so for system of the high quality private market companies, they are seeing some interest i heard that its not just air bnb, but there are about a dozen or so that investors are getting interested in even given the current market climate back to you. 32 minutes of trading time left and a bit of a rally on wall street as the dow gains about 1. 5 a little less than that. Nasdaq is up 4 as you see right there and russell 2000 up more than 7 . There youre looking at the s sectors doing well discretionary and energy on whats been a record setting day for wti crude. That barometer up 4. 8 utilities, Consumer Staples and health care are todays laggard, but as you notice there, about eight out of the 11 sectors are higher here are three things driving the action governments around the world are pumping money into the Global Economy including action from the ecb, the bank of england, as more industries seek multibillion dollar bailouts around the globe jobless claims surge to a two and a half year high as the coronavirus layoffs start to show nup the data and just wait. They are really going to come fast and furious beginning now Oil Rebounding from yesterdays historic plunge. Crude as i mentioned on track for its biggest one day gain ever sara tyler, lets get the latest on the coronavirus now what we know with sue herera hi, sue. Hello, everyone heres what we know at this hour unit United Nations secretary general is warning a global recession is a quote near certainty. He says Current National responses to the pandemic will not address the severity and the complexity of the crisis he is urging nations to coordinate their efforts and expand their plans to fight the coronavirus. The indian Prime Minister addressed his nation urging his country men to observe social distancing he is calling for a peoples curfew on sunday where indians will stay home from 7 00 a. M. Until 9 00 p. M modi announcing no commercial International Passenger flights will be allowed into the country for a week starting on sunday and a grim site in italy one of the hardest hit regions i t Italian Military trucks escorting coffins from an overloading Cemetery Police vehicles escorting 11 trucks to crematoriums across the country. Italy has become the hardest it hit country with more than 3400 deaths for more on the coronavirus, you can always head to cnbc. Com. Sara sue, thank you. Weve got just about 29 minutes left before the close ing bell and stocks are coming off of their worst levels and their best of the day. We were sharply lower. We are higher across the board up 1. 8 on the s p nasdaq taking the lead tech charging the lead and russell up more than 7 . A real catch up trade today. Still ahead, the former ceasers ceo will discuss the hit to the casino industry. Plus, a Top Executive from Pharma Company joins us with the latest on the work this company is doing to find a treatment for the coronavirus. And as we head to break, a quick check on bonds for you treasury yields ticking lower today. Tenyear treasuries still hovering above the 1 level. Around 1. 1 . So you are seeing lower yields buying back of bonds our breaking News Coverage will be right back. 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But youre not mad, because you have e trade, whos tech makes life easier by automatically adding technical patterns on charts and helping you understand what they mean. Dont get mad. Get e trades simplified technical analysis. Doprevagen is the number oneild mempharmacistrecommendeding . Memory support brand. You can find it in the vitamin aisle in stores everywhere. Prevagen. Healthier brain. Better life. Tto examine investmentgo opportunities firsthand, like innovations in agricultural research. Because your investments deserve the full story. T. Rowe price invest with confidence. Weveryone, looknk isntat your phones. The design thinking, the digital engineering, security, blockchain, and we will be first to market yes. When we do we launch . Unfortunately, in 2 or 3, hours. Why the delay . Cognizant is helping banks use Digital Technologies at scale to advance speed to market. Welcome back breaking news from washington. We have two pieces. The first is about the stimulus package thats expected to be well north of 1 trillion. Nbc news is reporting that Mitch Mcconnell is expected to make an announcement later today as which hes expected to unveil the legislation that is is essentially the proposal from Senate Republicans mcconnell says hell be negotiating with the top senate democrat, chuck shumchumer, aft that then the state department has announced a travel ban for all u. S. Citizens. Officially confirming that it is recommending that all u. S. S citizens do not engage in any International Travel if you are a u. S. Citizen living overseas, the state Department Suggests that you get the first commercial departure home to the u. S. As possible and then if you are living overseas, you should not travel internationally to other countries besides the United States. For those americans living currently here in the United States, do not travel outside the borders of the country, that is what the state department is now saying wilf in terms of you know the Airline Stocks and so on and so forth not seeing much reaction to that announcement, even if this is a step up in terms of the formal rulesin effect, people werent traveling almost anywhere already that is true, wilfred, and this, the expectation of this news was reported over the last couple of days so this is something we expected the state department to dom com out and say and it would really be a piece of bad news for the Airline Stocks if the president went forward with Domestic Travel restrictions. Yesterday, the held a call with ceos a person tells me domestic was not discussed. So at this time, that is not on the table. Kayla, thank you. Dows up about 240 points here 20 minutes left of trade our next guest says its not a question of if or when well see a recession, but in fact, its already here join iing me now is michelle meyer, mike with us as well. Michelle, must be hard as an economist now to make projections and forecasts on numbers. You guys are doing it. What are you looking at right now that tells us were in recession and the its going to get deeper sure. So were looking at High Frequency data were looking at what were seeing in markets. Financial conditions are extremely important in terms of being able to determine what we think we might see in the outlook so werelyi relying on sentiment shifts and try to take into account potential moves in policy as well and what numbers have you come out with . So unfortunately, we think its a recession and we think were already in the recession so what were really focused on is trying to understand q2 gdp we think its going to be a large decline. Were looking for a 12 drop on a quarter of a quarter analyzed basis in q2. That would be the biggest in post war history so it sounds severe and it is severe but the good news is that we think it will end up being somewhat short lived and we do look for positive growth to start in the Third Quarter so for the full year, we think well see minus. 8 . So it will be painful. Certain ly in the next few months, but if we have aggressive and targeted policy, we think well be able to pull out of this. Mike, 12 decline in Economic Growth in the Second Quarter i think jpmorgan is down 14 in the Second Quarter are these kinds of numbers and economic destruction factored into the market . Its hard to map the market response so r far to a particular gdp forecast. Obviously were down 30 in the s p 500 in one month if you go back through history, 30 is roughly where a lot of recession na recessionary bear markets got you to the problem is i think the duration of this and the matter in which we come out of it and even the matter going into it are relatively unprecedented i think its tough to map that specifically i think duration and how much attrition in terms of business wear and tear. Business failures. Defaults things like that, that are knock on effects of this very sharp sudden stop in the economy are what the market is trying to sort out now, but i think if its a one quarter event, the depth of it might not be that important as opposed to the Collateral Damage and how fast it comes back. Michelle, clearly, theres a huge amount of stimulus from Central Banks and governments all over the world including here in the u. S. Being announced every day now it seems can that halt the size of decline in q2 or if it bleeds into q3 or is the government and Central Bank Stimulus only something that has a chance to affect the shape of the rebound from being a v or a u or an l . Its a very important question and i tend to think its more of the latter. In a sense that the reason the economy is falling as rapidly as we think it is, is because of the containment efforts that are being put into place state and local governments are going out and effectively shutting down large cities shutting down the economies. Particularly the service economy, with hopes that it will prevent a bigger crisis and it will prevent the spread and so shortterm pain for hopefully lo longterm benefits now during that period of time, if you see targeted fiscal policy that off sets some of that income shock, once we get past the spread of o the virus, which hopefully is in short order, then the economy can resume to a more normal function because you have this off set from fiscal policy. Also importantly, when it comes to central bank, the federal reserve, theyre acting in an extremely important way trying to maintain market stability make sure that theres liquidity in the market. Theres a flow of credit and theyre successful there as well, then you can see how the recovery could occur, but to me when i look at fiscal policy, Monetary Policy, its the, the efforts i think are designed to try to get us out of this big shock. Michelle, i dont understand how any economist or strategist or investor can make a projection about a Third Quarter. Are you guys talking to epedemiolo gis ts . Yeah, i know youre right i mean its, theres a big air band which i think we have to be really honest about when were making these forecasts now what we can do is try to es estimate the drag in a fairy precise way by doing a bottoms up estimate thinking about how travel related spending might be see if we can get a sense of the magnitude of the downturn but youre right, its the upturn thats really hard to reconcile. Were doing our best in trying to understand whats happened elsewhere. Look at whats happeneded in n china and how they were able to resume higher growth factories were able to open. In china, its more of a goods economy so its more of a a sharp rer move than here in the u. S. Where its more services based. The other thing is psychology. How are analysts spirits chan changing how are peoples perceptions about work and living changing we cant control for that. We have to just do our best. Well check in with you when we know more thank you. Mike, i wanted to follow up in terms of the Market Impact with all these difficult to make predictions on the economy we know the market always moves ahead of the economy, but in this current unpredictable environment, do you think we need to see a month or so of Economic Data bottoming out before the market will feel confident of rallying . Its unclear. Well, depends how much we overshoot to the downside. Before we get that month i think theres a possibility of seesawing around in the dark in a sense without getting too much of a sense of what the run rate of a macro picture looks like. I think something that some clue as to how long the shutdown is going to be is probably necessary. The market right now its interesting. Its at least show iing very tentative signs that its sort of slowing down that very forced kind of headlong liquidation we were in for a while. Only one or two days now cant really generalize about this point but they want to make sure stths is not going to be this open ended stall in the economy so i dont know what data wed be looking for were a long way from getting anything that i think investors would view as indicative of where were going as opposed to where weve been as were looking at the stock screens, we are seeing this sort of mild rebound in the markets now. One thing that everybodys talking about is the stronger u. S. Dollar and its making another move higher by about 1. 5 today which has a big move when you talk about currencies been a 5 move in the matter of days and the fact this could indicate some alarm bells going off. Not only for the whole crisis mentality, but a real dollar scramble where you have countries and governments around the world and companies around the world trying to get into dollars. On some sort of liquidity crunch what are you hearing about that and what are you seeing in the rest of the credit market and system that tells us how stuck were get iting in terms of thi dash for dollars yeah, i mean youre seeing it apply a lot of pressure to various parts of the market and it both reflects the fact theres that squeeze, that forced move to get investors hands on dollars and a rush for dollar based cash in a way and you are seeing things like even the Municipal Bond market, various parts of you know the less kind of credit worthy ends of the corporate debt market theyre still unsettled. I wouldnt say theyre in crisis mode, but all that stuff the if you put it on the dashboard so to speak of what is guiding you, what theyve figured out, i think that this vertical increase in the value of the dollar is not helpful to a call that were about to calm down. Its daytoday, but i dont think thats necessarily what youd want to see. All right mike, thank you for that we have got now 11 minutes left of the session and were now in the close iing bell market rs commercial free coverage of all the action heading into the close mike, the cnbc markets come taiter itater still with us to break down these crucial moments and weve got stephanie link lets kick it off with the Broader Market for you stocks are rallying today but the future of many u. S. Corporations does remain in question ray dahlo estimated the total losses today on cnbc listen p b we estimate right now that the corporate losses would be in the vicinity of in the u. S. About 4 trillion. Globally, probably about 12 trillion there will be big losses and those are corporations also individuals who have very big losses and individuals who cant afford the shock theyre going to have. So theres a need for the government to spend more money a lot more money 4 trillion in corporate losses stephanie, as an investor, what do you do when you hear him say that 4 trillion is definitely reasonable to be even higher than that, especially if it goes on longer than what we expect. I think its really though important to focus on. Its not going to be just fiscal policies that are going to help this its going to be monetary as well on the fiscal side, if it is 4 trillion, that one trillion package thats being floated around goes much, much higher and there were rumors today, 1. To 2 trillion so well have to see. But again, its also going to be important for Monetary Policy to fix the plumbing i think you need to both combination to gain more confidence for investors and Small Businesses and corporations mike followed bill ackmans yesterday and clearly two very bearish outlooks from high profile hedge fund managers. Could you spin that in a positive way in terms of peaking of fear . Well, i think that its emblemmatic of some of the, of some of the attitudes or worst Case Scenarios that are in peoples heads in particular, in the heads of people with a great stake in the markets and a lot to lose, so i dont want to say guess what, these guys just rang the bell at the bottom of the market but i do think it tells you how open ended the risks seem now and it helps explain by the way that kind of rush to sell and that liquidation activity because guys in that real m who are thinking in those terms didnt come on tv then start to get conservative with their money. They were probably selling before so i think it explains a little bit where we are were down Something Like 9 trillion in market value in u. S. Stocks since this started. So that doesnt necessarily mean guess what, weve priced in 4 trillion in corporate lszs, but its not out of the real m, coming as a surprise today to the markets. With seven minutes left, we are slipping s p 500 is only up a third of one percent. Social capitals calling in to cnbc earlier making the argument that the volatile swings in the stock market should be partially attributed to high levels of corporate debt and stock buybacks we have a bunch of companies who frittered away tens and hundreds of billions on buybacks when they should have been saving it for a rainy day, investing in rnd or doing something much more important than what they did there needs to be consequences for those actions. Mike, i mean even if there arent political consequences, is what hes implying there and what he said for the rest of the interview that any Corporate Board thats approved to buyback over the last say three years has to sort of admit they timed it pretty terribly sure. If in fact their goal was to get a bargain on their own stock price and you know, and prepare for dire times that came suddenly i think that its a very cyclical thing every single cycle, companies have excess cash flows times are good they dont feel they can put to work productively and it has become the norm to allocate that to buy backs for many reasons. Now i dont think necessarily that says they were always wise or they were always ill advised. It does mean thats what happens in cycles and i would also say i dont think hed want the economy and stock market in boom times you would have if every company was hoarding cash in preparation for disaster i wonder if dividends will have a renaissance when we do eventually come out the other sifd this. Meantime, doug parker gave a sobering warning about the Airline Industry to phil lebeau and phil joins us with some of those comments this conversation with doug parker really paints a picture for just how dire the situation is for airlines. He said that the crisis right now that is hitting not only americ american, but all of the airlines is the worst he has ever seen in all of his years in the Airline Industry and he says demand continues to drop in fact, he says you talk to any airline, they have yet to see a bottom when it comes to demand thats why he believes the 50 billion bailout that is being discuss ed in d. C. Including 25 billion in grants that would go immediately to the airlines that they would not have to pay back and another 25 billion in loans, thats critical for those carriers it would sustain the industry at least for six months and thats if business does not get any worse. He also understands that that money is key to the airlines being able to avoid layoffs. One last thing as kayla was reporting earlier and i can confirm in our conversation today, he said look, nobody in d. C. Nor have any other the airlines ceo suggested they shut down the airlines. That they stop making flights for a week, two weeks, whatever it might be. Ive had a number of people that said why dont the airlines shut down for three weeks nobody in the Airline Industry wants to do that and theres no suggestion in d. C. That they do that Airlines Getting hit again today. Thank you. United just going positive uber shares are soaring today after encouraging comments from the companys ceo. The stock is up almost 39 diedra thats right. Earlier this morning, they held a call to reassure investors and judging by the sushlg, thats what it did. At least for now the ceo said that even in a worst case scenario, which he said would be an 80 drop off in gross rides in the booking segment this year, they would still be able to survive that. They would have 4 billion of cash on hand that include as shortterm credit facility. He also said that uber eats is still growing. Food delivery is prove iing to strong point he also said hes seeing recovery in hong kong, although many of their major market, san francisco, l. A. , new york and others havent seen the worst of the outbreak yet back to you. Thank you weve got under three minutes left of trade. Mike, what are you seeing in the market internals today looks all different. Somewhat encouraging. I wouldnt say the New York Stock Exchange really shows a rough to buy aggressively, but a net positive on a relatively calm minor rally day the lqd is what im watching it is still down in price. The volatility index it has eased back, which is welcome baugh only because the market itself has been calm, not even moving 2 in terms of the s p right now, guys. Weve got a mini rally going on, but the leerd energy and discretionary, not defensives which we have seen on some of these recent upday days. What does that tell you . Thats for sure i dont necessarily think that energy has the right fundamentals to continue to go higher maybe its a short squeeze maybe its a couple of day trades but i think theres just two much overhanging on energy on discretionary, some of these stocks have been hammered. I was looking at uber today and thats not a kind of name i would be investing in because im looking at a mcb donalds down 30 in the last month, its now yielding 3. 8 . Starbucks down 29 never owned chipoltle. Its down 41 in the past month so theres a lot of companies out there that really high quality blue chips we talked about Balance Sheets, Free Cash Flow thats very, very important and all those companies i much prefer as an uber, but i think way overdone on the discretionary side weve got about a minute left s p is only up a third of one percent and nasdaq holding on to bigger gains Bertha Coombs has a look at movers there apple now slipping into negative territory and if you look at the faang names longer term, amazon and netflix had been the laggards are now the leaders among the group and some of o those big momentum names today are swinging big ulta up 16 from a low yesterday. And small caps seeing that major mo move look at that move today from a low. Over to you. Stocks looking winded just seconds before the closing bell. The major averages trading higher but the dow still on track for its worst week since 2008 despite todays roughly 1 gain the leader is oil, energy. Wti posting its best day ever. Laggards include utilities, consumer staple ls and health care and representatives from the New York Stock Exchange and nasdaq are ringi ining respective bells today. I guess we dont have a camera to show it, but both exchanges are attempting to limit outsiders. Nyse closing its Trading Floor on monday. Take my word for it. Theyre ringing the bells. Wilf thank you very much, tyler and warm welcome to anyone just joining us sara, tyler as you saw both with us here after the bell rings and mike of course, senior markets commentator alongside us, too. Take a look at how we finished up on wall street did get an up day, but barely. We lost a lot of steam toward the close. Theres the intraday look towards the dow. There was recovery from some early weakness closing higher by 1 , which seems like a relative ly small move compared to recently. S p 500 ending the day higher by about half a percent and also losing steam there into the close. We were positive we were negative still pretty indecisive action overall and this is an index, the s p, thats still down 11 this week. The nasdaq was the star of the session. It was higher all day. We saw some tech names getting love some of the chipmakers, the faang names were a little bit higher after being beaten down hard recent ly nasdaq chloer higher just an hour ago, it was a lot higher, up about 60 and the russell 2000, index of small caps, having a strong day. This was the big loser lately. Today, it gains almost 7 , but again, were looking at major averages that are so sharply from their highs now for the s p, its b about 25, excuse me, about 30 off recent highs for if nasdaq, down 27 from recent highs. The russell outperforming banks which did well today but also to Energy Oil Prices are a real standard but still down 17 even after that just this week. Highlighting the extraordinary moves weve seeb in the oil market joining us to talk about the market, senior managing director at efficient market advisers and stephanie link, cnbc contributor. Mike, to you first of all. I guess one of the key factors in the last week or two has been fears about overall liquidity. Whether were looking at the u. S. Treasury market or the dollar and even though we had a positive day in equities, we didnt see significant improvement in some of the indicators for things like the dollar and treasury liquidity. Yeah, not too much. It really was a little dicey in those qulareas and really is a matter of an ill liquid backdrop also, lots of redemptions in retail its really causing a big mismatch and lots of rocky conditions in those markets. That being said, most of the day in equities if we were to restrict our purview to what happened in stocks, it was mildly encouraging a small step in a positive direction partially because the move was so modest at least it seems perhaps that maybe were kind of coming off the boil a little bit and this again is very tentative. Only one day and also there was a lot of separation between winners and losers a very Strange Group very k very big cap Growth Stocks that led the way up into the peak of the rally, but some of the trashed areas that were heavily shorted and just getting it balanced. I would point out were only down in the s p less than 3 since last thursday so it seems like a market has been really heaving lower for the last week or so. Its mostly just been chop iping around in this general area. Weve had sharp rallies in there as well. Stephanie, as far as what moved the markets and what headlines investors care about, i thought it was notable that President Trump came out and talked about therapies and tests and trials being underway to treat coronavirus. Did that give you any encouragement . Did you think that was important for investors to hear . I do think it was important for investors to hear. Any kind of progress we can make on the health care front is going to have massive implications you know what i think moved the markets is qualcomm and the ceo interview on air today i thought the commentary about their business, their orders, about 5g, all really solid if we add that up with cisco, what chuck said a couple of days ago and what starbucks said last night on jim cramers show all about china, all three companies are saying theyre clearly seeing a stabilization to a gradual recovery so we are still 13 days into this thing they went 28 days before they saw a flattening of the curve. I think we have more volatility to happen here and to see but i am encouraged that at least outside of the u. S. , theyre starting to see little green chutes so thats the thing i think was really rallied technology and people felt a little bit better but were not out of the woods of course everyone points often to the speed of the fall in equity markets being so much sharper than in 2008, 2009 but i guess on the flip side if youre looking for a positive, Central Banks and governments have got to a respective whatever it takes type mantras much, much quicker as well than they did last time is that something that will significantly support equity prices in due course once we get over the peak of the fear . If thats for me, yeah, absolutely whatever it takes is what were seeing not only from the fed. They have put the third policy in place we also saw from the ecb which was quite drastic reversal, by the way. And weve seen it from the bank of australia where they cut rates as well so youre having this global coordinated effort a sense of urgency to keep the plumbing in line to keep it going. Theres more than they can do then you have this fiscal stimulus thats coming so i think this one two punch will provide nor confidence but that said, i think we have to get to peak numbers on not only the virus, but think about the initial claims next week and now how ugly thats going to be and the next couple of weeks so when we dont go down substantially on a bad initial claims number of, that might be something of a tell as well. Herb, what are you guys telling your clients at efficient markets advisers as far as what kind of bear market were in and what to do . Well, weve said all along theres three types of bear markets. First and worst is structural. Thats like what we had after the dot com bubble like what we had after the housing crisis the second, less severe, is a cyclical bear market this is a cyclical bear market usually driven by the fed hiking rates. Not the case today the third is something that comes from an exogenous shock. Clearly, this is an shock. If you think four week ago we were look at backtoback months of 273,000 new jobs. Is Service Sector picked up to 57. 3 on the ism. Manufacturing had gotten back above 50 and everybody was excited about all the new trade agreements that were going into effect all this was happening and it hit. Typical typically bear markets are sharp. Theyre more shallow, although were at 30 , but the recovery tends to be more v shape pd and if you compare the policy response today to the policy response in 08, not only is it faster, its faster, but its much, much bigger. Both fiscal and monetary not just in the u. S. Its global. Want to talk about oil. Wti crude oil soaring today more than 20 best oneday performance ever. Despite todays rally, its been a brutal month for oil still down 44 for march lets bring in helima croft. Was this just a bounce after relentless selling or has something change d in terms of the thinking for oil i dont think anything has fundamentally changed. The outlook still remains incredibly difficult you still have the saudi russia price war. Both countries are poised to ramp up production the demand outlook still looks very, very depressing for this year so this was a good day for oil, but the trim line still looks very negative and again, were going to see in the coming weeks just how much oil saudi arabias prepared to put on this market is saudi arabias swengs intention just to lower prices for oil for as long as it tacks to cripple the u. S. Production or is there intention to lower it just for a short period to get russia back to the negotiating table to potentially together cut production and boost oil prices i think its the lat r telatr i was in saudi arabia after the opec meeting and saudi officials were really clear that what theyre looking to do is really put the pressure on russia to come back to the table so essentially saying to russia, if you dont want a regulator for the oil market, look where prices are going to fall so they want the russians there. They want them for a big cut, but the russians on the other hand seem to be signalling they would like the u. S. Shale producer to balance the market they want the shale producers to cut before they add any additional barrels into any type of effort to rebalance the market thank you extraordinary percentage moves. Well leave it there thank you so much. Well get you back soon. Lets now go to bob whos looking at the stocks that have led the comeback today, bob. Energy up, utilities down take a look at this possible discussion with putin. Slumber jay, huge rally. 26year low. Big rally today. Banks rally. Key corp. Down more than 50 all the regionals had one of the best day theyve had in the last month since the crisis began thats encouraging Simon Property group, biggest mall landlord in the United States announcing theyre closing the malls and yet it rallied today that stock down 50 . Attempts to buy bottoms here thats a little encouraging. Did you see these utilities . All having a tough time. I think theres a realization that any bailout might include a moratorium on bills and that might include a moratorium on utility bills and ability for them to disconnect people not paying thats curious thats been floating around for a couple of days back to you. Thanks. To Rick Santelli for a check on how the bond market traded today amid a new wave of central bank action. Absolutely. Every one seems to be trying to throw the kitchen sink ooechbd Christine Lagarde seems to be getting more aggressive. Look at all the way back to the day we established the all time intraday lows. March 9th. Look at twoyear basically flat sitting down seven tenyear you can see its rising. Its low that day on monday was 31 four times higher than that. The dollar index is surging ore a three year high and at the expense of the euro and yen. Sarah, back to you rick, im going to pick it up, actually, but thank you very much for that. Hud morgan coming back to you, you mentioned the letter v which is important at this time and its encouraging to hear it. Do you feel like markets will be able to bounce meaningfully just because of things Like Central Bank and fiscal stimulus or do we still need to wait until the fundamental numbers relating to the virus have bottomed . I think both and they may happen along the same timeline think about what the fed has done 150 basis point cut. 700 billion in announced qe. Restarted the commercial paper facility restarted the primary dealer credit facility. Weve announced an 8. 3 billion fiscal package a 1. 3 billion fiscal package then i heard about another phase three. L 50 billion in state of emergency funds. 50 billion in liquidity in extending the deadline to pay taxes. Australia, hong kong, china, south korea, the u. K. , germany, france, italy, japan and canada all announced stimulus imf, 50 billion. World bank, 20 billion how can it not v wow when you put it that way, thats a lot of stimulus. Well leave the conversation there. Thank you. Herb, stephanie. Good to see you both coming up next here on closing bell, the president of s vaccine sissbune will talk b about the treatment using antibodies of people who have recovered from the virus closing bell back in 90 seconds. Especially by Something Like your cloud. Its a problem. But the ibm cloud is different. Its the most open and secure public cloud for business. It can manage all your apps and data from anywhere. So it can help take on anything, from rebooking flights, on the fly to restocking shelves on demand. Without getting in your way. But inside every etf. There are untold hours of careful construction. Infinite what ifs . And contingency plans. Creating funds that help target gaps in client portfolios. Tap untapped potential. And strengthen confidence in you. Flexshares. Powered by over a century of investment expertise before investing consider the Funds Investment objectives, risks, charges and expenses. Go to flexshares. Com for a prospectus containing this information. Read it carefully. For a prospectus containing this information. Thats what happens in golf nothiand in life. Ily. Im very fortunate i can lean on people, and that for me is what teamwork is all about. You cant do everything yourself. You need someone to guide you and help you make those tough decisions, thats Morgan Stanley. Theyre industry leaders, but the most important thing is they want to do it the right way. Im really excited to be part of the Morgan Stanley team. Im justin rose. We are Morgan Stanley. Lets get to meg for more. So in the president s Coronavirus Task force briefing today, he seemed to imply that he had approved two new drugs to treat covid19 his fda commissioner then took the podium and clarified no, these are not yet approved this could be potential promise, but they need to be tested the two they were focusing on were one called chloroquine and remdesivir gill add said this has not been approved to treat any condition. It is in five Clinical Trials to treat covid19 in terms of chloroquine, there were updates bayer said theyre donating and mylan said its ramping up production at its West Virginia facility to potentially treat 1. 5 million patients weve been heari ining pripescrn of this drug were going up already just based on the data that it could be helpful both are still in Clinical Trials it is not proven that they work and the fda commissioner saying they need to be proven to work before they can be used broadly for this we should get gileads data in april and everyone is waiting impatiently for that lets hope that we get that meg, thank you another company in the race to create a treatment for the coronavirus outbreak is japanese pharma giant, takeda it recently Began Development on a plasma derived treatment for the virus. Joining us is the president of the global vaccine Business Unit so explain where you are on coming up u with a treatment relative to some of the other names that meg just mentioned. Sure, we are fairly far along in term of our capabilities. Were one of the top three producers of plasma related treatments and what were doing here is leveraging something we do every day, which is to pull antibodies out of plasma and give that to people who would benefit from those antibodies, like for example, people with immuno deficiency syndromes. Theyre a key component of the immune system. So the approach were taking here is to go to individuals, patients, who have recovered from a Coronavirus Infection and collect their blood and isolate the antibodies in that blood then give it to individuals who have severe Coronavirus Infection. Thats the goal and we believe that based on data weve seen with other viral infections and some data from china that this is a very promising approach for people that are very sick with coronavirus. And you said youre probably further along in the development, which is encouraging to hear. How far along are you . I would say we have the platform, the technology to do all of the work necessary. At this point, were in the process of finding patients that have recovered from Coronavirus Infection. Were talking to several governments and countries in asia and europe and even here in the u. S. So thats the earliest stage of the Plasma Product Development process but well be moving quickly to develop the solution that i talked about which is the concentrated antibodies from many donors then begin clinical testing. I would say between nine and 18 months from bringing the product at scale to people who need it so have you or other Companies Used this kind of technology and these kind of drugs to treat for sars or mers which are often compared to this covid19 disease absolutely. Theres good evidence from the sars and mers outbreaks that taking plasma with antibodies from individuals who have recovered and giving it to people who have those diseases can be helpful theres also good data in other diseases, viral infection, including influenza, so we have a high degree of hope this is going to be effective. Have you assessed whether there are multiple different strains or if you just find somebody and theyre antibodies theyve produced to get over it themselves, will that likely work for everyone around the world . Well thats what well be looking at in our Clinical Trials but the benefit of taking antibodies from individuals who have recovered from the infection is that you get a mixture of different antibodies that attack different parts of the virus and so that cocktail if you will of different antibodies should be useful to any individual thats newly contracted an infection with this virus and is significantly ill. Keep us posted and thank you for joining us still to come, find out how the wild market moves over the last two weeks rank among wall streets most volatile periods in history well be right back. This is totally customizable, so you focus only on what you want. Okay, its got screeners and watchlists. And you can even see how your predictions might affect the value of the stocks youre interested in. Now this is what im talking about. Yeah, itll free up more time for your. Uh, true crime shows . British baking competitions. Hm. Didnt peg you for a crumpet guy. Focus on what matters to you with thinkorswim. Can we go get some ice cream . Alright, we gotta stop here first. From smarter atms, to after hours video tellers comcast business is connecting thousands of banks to technology that turns everyday transactions into extraordinary experiences. Hi there. How are you . Do you have any lollipops in there . laughing no, sorry. Were helping all kinds of businesses go beyond customer expectations. How can we help you . Over to mike for a look at how the volatile swings compare to other times in history, mike. Yeah, there are really only a very small handful of times that compare with what weve seen over the last couple of weeks in terms of the average daily percentage move in the s p 500 this chart is from macro charts. It basically shows now the tenday average. Thats either up or down and right now, its 1987, its 1929, so two crash periods or 2008 in the fall now though were not at ultimate u market bottoms but near the end of the initial vertical decent phase of really nasty downturns so we can hope were hashing out a shortterm trading range or low before too long i want to look at a longterm valuation. The schiller cyclicly adjusted pe its down to about 21, 22. Not cheap by any means, but i would observe even in the financial crisis, it never spent much time below 20 since 1990 so that might give you an idea of where perhaps a long, slow measure of valuation might sit with this market okay, mike, great stuff thank you very much for that we finish ed up about a sent on the dow today. Still ahead, sarah keterror says the market meltdown has created the most compelling buying opportunity since the financial crisis find out where she sees the biggest bargains and later, amc ceo discusses the possibility of a government bailout for the movie industry dont go anywhere. Now through march 31st. Get 0. 9 apr for 60 months on all 2020 models. Experience amazing at your lexus dealer. Doprevagen is the number oneild mempharmacistrecommendeding . Memory support brand. You can find it in the vitamin aisle in stores everywhere. Prevagen. Healthier brain. Better life. Every time it takes care of something for us, we celebrate. How often does that. Got it. Servicenow the smarter way to workflow. The markets closed with small but welcome gains. Nasdaq was up 2 or better and russell 2000, wow, wow, wow, it has been beleaguered, but today, up nearly 7 sara tyler, well get to sue now for the latest in the coronavirus and what we know sue. Thank you very much, sara and here is what we know, everybody. Israeli Prime Minister enja min netanyahu says the government is ordering all citizens to stay home the order goes into effect today and will last for a week some workers deemed to be essential will be exempt theyll still be allowed to shop for food and medicine. A plane sent by medical plahas arrived in france. It includes more than a million surgical masks and gloves. France sent china about 17 tons of equipment after the virus first broke out in wuhan and drive through testing has begun this houston, but officials warn they dont have enough kits or gear cars lined up for more than a mile outside one hospital. Texas has confirmed more than 80 cases and three deaths from the coronavirus. For more on the virus itself, head to cnbc. Com wilf, back to you. Sue, as ever, thank you so much now our next guest says that the global stock market meltdown is one of the best Investment Opportunities she has seen since the 2008, 2009 financial crisis. With more buys than capital to allocate sarah is causeway capitals ceo and fundamental portfolio manager. Named morning Stars International manager of the year in 2017 sarah, were very excited to hear some more of this optimism that weve read in your notes. Just frame it for us at the top. Do you think there are some very compelling buying opportunities. We do and i speak on behalf of the entire causeway management team. We all think this is the best buying opportunity weve seen since the Global Financial crisis and in some parts of the market, the most hard hit sectors, it might be even better its all to do with cyclical stocks theyre the ones that have underperformed the most overall and theyre the ones with the greatest amount of upside, not dissimilar the what we saw from february of 2009 through 2012. February 2012 and those three years, cyclical stocks outperform ed defense by five Percentage Points a year m we think theyre going to do more in anticipation of the next recovery i think the problem is that we just dont know when thats going to be and how deep the bane is going to be. Ive heard people use the d word for depression not to be too doomy and gloomy, but weve never seen anything like this, have we, in terms of an economic sunday stop for the u. S. And much of the developed world happening in europe as well so how do you know that you want to be buying cyclical stocks right now . It seems pretty risky given the outlook. Youre right. You dont know if we did know, the stocks wouldnt be nearly as inexpensive, but the question is how much risk are you taking in some of the worlds best Companies Like here, our general electic, good old ge, the stock price is below 7. That company is not going away and they are part of them very geared to aerospace. Aerospace will come back its inevitable. Just a question of when. So why not accumulate shares in these Great Companies now. Zemans would be their european cousin another fan tas ik business thats halved over the last year to date. The stock has fallen 50 thats half off on a business that wasnt u overpriced to begin with and you get that inkrcredible health care busine with diagnostics and imaging if you cant buy now, that means when it is obvious that the cases have peaked and markets bottom, something we put on our website, this is what happened in china peak cases, market bottoms then the shanghai index turned up u that will happen here as well. That will happen in europe, but you have to buy the stocks beforehand even if it seems scary. They are in fact lower risk now than they were at the beginning of the year because they have fallen so much just quickly, you mentioned europe i know its on your list of stocks you like one airline there and one automaker continuing the theme of your bold calls that youve just been mentioning which are those . The airline the bold. Its air france klm. The both the france and the netherlands own a big stake in that company it employs 83,000 people were convinced neither country want to see their flag carriers fail and this is an exogenous shock the company will have its taxes postponed. Land iing fees the governments will do whatever they can theyll help pay labor costs to get this company through the next couple of quarters. Aviation is coming back and even though it has been hit the hardest, it will have the greatest rebound thats why its so interesting we think these stocks can triple if not more and theyre not going out of business. And as for automotive, volkswagen, this is a company that knows how to deal with crisis remember deiesel gate in 2015 volkswagen makes half their cash flow in china. Theyve already dealt with covid19 they have over 21 billion ur you are you areuros of net cash and theyre at the forefront of electric vehicles. This isas good as it gets. Wow, some very bold calls we hope youre right and well have to get you back in a month or so and see if you are up next, the former ceo of cease ceasers. Hell give his prediction. And a live shot from washington, d. C. This is the National Mall on the east side of the u. S. Capitol building where daily life has ground to a halt lbeig bk ren cnbc do you have concerns about mild memory loss related to aging . Prevagen is the number one pharmacistrecommended memory support brand. You can find it in the vitamin aisle in stores everywhere. Prevagen. Healthier brain. Better life. We sunleashing the promisegas of clean energy. At emerson, when issues become inspiration, creating a better world isnt just a result, its a responsibility. Emerson. Consider it solved. Get it. Get it. 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Our next guest has turned his focus to health care with his new company well dot to help improve Health Care Costs he joins us now to talk about how the coronavirus has impacted both sectors and we know youre an economist as well so perhaps first give us a sense of what well dot does and is doing to help people manage coronavirus. Well we take information about Peoples Health history and we compare their current state of health to the level of health that is available to them given their clinical and demographic circumstances. And then we also ask what it is theyre interested in that their health and we work with them to overcome any barriers that may exist. Now with the onset of covid19, weve focused a lot of our attention on helping our members consider the three issues that are really pair mount here the first is prevention. What actions one can take to prevent being infected with this virus. Second, what to do in the event you believe you have been infected, how to handle the Behavioral Health consequences of the anxiety produced by what everyone is living through right now. So were focused on really on three categories talk us through gary the third one as you said its perhaps getting less focus what are the key things piece of advice you give to some of your clibts and soents ab bd some ofe questions youve been hearing . Theyre very concerned about how theyre coping with the level of anxiety these circumstances generate it comes in two or three forms one is simply the anxiety of the potential for illness, the inability to work with family members who may be afflicted with this virus and of course the general ice laigs that people are experiencing now as theyre settling into a lifestyle thats very different. So our counsel to them is to do a few things ch first is to take advantage of the services that their employers and Services Like ours provide to get professional assistance through digital means or otherwise to get help to talk about this ainge 150i9 and to deal with it in many cases in a manner that one can do on ones own then second to participate in all kinds of social connection that remains available to us. You can help out a neighbor. You can look after an elder. You can engage through chat and other means with your friends. You can remain socially connected. This helps anxiety considerably. Gary, i know youre not necessarily involved anymore, but as the former ceo of ceasers, whats going to happen to vegas well i think you know this is really the big question that comes out of this event. We have the immediate consequen consequences of the cessation of activity in many sectors, particularly the hospitality and Gaming Sector then i think the bigger question is what becomes of peoples habits after a the kris i abates. Will people still wish to be in crowded and active places like las vegas . Will businesses still hold conferences there . Will entertainment still be as much in demand as it was his r historical historically if the answer is yes, the xwa companies will go through a bit of ali quidty crisis but then there will be a stabilization that will follow aingd youll see some return to normalcy. My guess is that is the longterm outlook for the industry but theyre going to go through some pain in the near term as their Balance Sheets are pushed to the limit gary loveman, thank you my pleasure still to come, the trucking turn around. While coronavirus has weighed on much of the economy, it looks like the Trucking Industry is benefitting in certain ways. The details of that story ahead. Plusmo, vie theatre owners asking for a bailout as the coronavirus hits their business. The ceo of amc will join us exclusively coming up. Side ever. There are untold hours of careful construction. Infinite what ifs . And contingency plans. Creating funds that help target gaps in client portfolios. Tap untapped potential. And strengthen confidence in you. Flexshares. Powered by over a century of investment expertise before investing consider the Funds Investment objectives, risks, charges and expenses. Go to flexshares. Com for a prospectus containing this information. Read it carefully. For a prospectus containing this information. Yes im stuck in the middle with you, no one likes to feel stuck, boxed in, or held back. Especially by Something Like your cloud. Its a problem. But the ibm cloud is different. Its the most open and secure public cloud for business. It can manage all your apps and data from anywhere. So it can help take on anything, from rebooking flights, on the fly to restocking shelves on demand. Without getting in your way. Tomorrow right here, big guest. 3 00 p. M. Eastern. Mcdonalds ceo his firstinterview since takin the top job late last year and as the company like everyone else deals with the faout fwr t coronavirus, do not miss it here tomorrow the coronavirus while taking its toll on industries all over the world but it turns out trucking has actually benefitted in certain ways. Frank holland has that story for us trucking demand increased 18 last week from the previous due to the coronavirus response. The nations largest trucker and others with large Domestic Networks outperforming the Broader Market this week thats largely due to demand for van trucks that deliver about 70 of consumer goods. That jumped by 31 think Hand Sanitizer and toilet paper. Food and perishables spiked by 33 . The American Trucking association also warning following partial closures of rest stops in pennsylvania, at least half of all rest stops need to remain open in order to keep sanitizer and toilet paper in stores. Our drivers need to know where they are hours of operation, they need access not only to fuel and food, but restrooms and if we know where those locations are, we can structure the routes. Morgan stanley saying trucks deliver 75 of all goods and rest stops are a crucial part f o the supply chain we thank them for what theyre doing. Thank you. After the break, movie theatre stocks have been slammed amid the outbreak, but getting a boost today as operators ask congress for a bailout the amc ceo joins us to discuss it next. 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. 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Amid all the bad news surrounding coronavirus, there are stories of companies and communities that are rallying together for the greatest good and we try every day the share some of these stories with you for instance, nike says it is committing more than 15 million to support communities where its employees live and work. That includes donations to the Oregon Food Bank and Community Foundation and the covid19 Solidarity Response Fund under armour the pledging 2 million in relief. Big banks are also donating. Jpmorgan chase committing 50 million to investments, including millions to food and humanitarian relief and 8 million to assist Small Businesses bank of america committing 1 million to support local communities using that money to help with medical response, Food Insecurity and access to learning as schools close and citi is providing 15 million to Global Relief efforts. Smaller businesses pitching in as well where they can sweet green says it will deliver free salads and bowls to hospital workers in many major cities and new york restaurant the fat radish workers stock up from its supply of fresh fruit, vegetables and dairy. Box Ceo Aaron Levie is committing half a million to support bay area relief efforts. Plenty of good news still out there. Plenty of good news and good for all of them and our thanks to them for that the movie industry has been hit hard amid the coronavirus outbreak and getting a lift today is theyve asked congress for a bailout. Amc announced earlier this week it will be six to 12 weeks before they open their doors again. Joining us exclusively is adam aron good afternoon to you. Thanks for joining us. Wilf, its nice to be with you although good afternoon seems like tough words in these unprecedented times. Well, sure. I think thats fair, but as we just read the last segment, there are some Silver Linings and some light at the end of the tunnel. And were and i just want to say were doing that, too, we have perishable food at all of our theaters and we encourage our employees to take that food home these are tough times for everybody. Our minds are very much on our customers. A million a day who cant go to the Movie Theaters rate now and our 27,000 American Employees who have nothing to do because we are shuttered and closed. It might be less healthy the food rather than the fat radish. Anyway, lets get back to the serious matter, adam how serious of a hit is this as far as how this will be to the bottom line. How long do you think you could stay shuttered for before the gove government given were the largest Movie Theater chain in the country the reality is we need relief right now and there is a simple reason why we have fixed costs and you can be sure we have the fixed costs and literally every Movie Theater in the country, were shuttering there are no revenues coming in the door and the countrys Banking System is just overwhelmed with Companies Seeking additional liquidity at the moment so were going to have to get liquidity from some place if we all in our industry, if we all have expenses and none of us have revenues. Adam, what are you doing for your workers right now are they still being paid . Do they still have their full benefits and how are you communicating with them as to when you might open again . Were paying weve got 27,000 employees in the United States were paying them as much as we can possibly afford to pay them. For those with the health plan, were keeping them in the health plan where the benefits are active for the full time that we are shut, but my focus is as much on making sure theres a company for them to come back to as i said, just amc alone is 27,000 American Workers and id like to make sure that this company that is strong for a helped years in the United States stays strong and we can reopen when the government says its safe to do so from the public our focus is having worked for those 27,000 people two or three months now when we can reopen. Adam, what have you heard from the government . Are you hopeful of getting the help you need imminently i dont know if we lost adam. I didnt hear anything, but im here quick final question, what have you heard from the government are you hopeful of getting that help imminently . I think we may have well lost the connection again, but anyway, i tried a couple of times and maybe well get an email. Another volatile day for stocks today and what could be to tomorrow and well break down the charts when we come back. B11 is that . Steve harvey . Give me b11 isnt bingo just an ok use of your hosting abilities . Its like getting a Samsung Galaxy s20 5g, and not getting it with at t. Americas best network. Bingo no, you cant have bingo. I just called out two numbers. You do this every week get the most from your revolutionary Samsung Galaxy s20 5g. Switch now and get one for 10 a month from at t. Building 5g on americas best network. Doprevagen is the number oneild mempharmacistrecommendeding . Memory support brand. You can find it in the vitamin aisle in stores everywhere. Prevagen. Healthier brain. Better life. But in my mind im still 25. Thats why i take osteo biflex, to keep me moving the way i was made to. It nourishes and strengthens my joints for the long term. Osteo biflex now in triple strength plus magnesium. Welcome back some breaking news on tesla. Phil lebeau is up in chicago teslas plant in fremont, california, will be stopping production and that will happen at the end of the day on monday the 23rd thats next monday you may remember that there has been a bit of a debate going on between the Sheriffs Department for Alameda County where the fremont plant is located and tesla about whether or not essential workers only should be in the plant which is the Standing Order for the county out there. Tesla has said that they will now comply with the requests of the county to stop production at the plant because, of course, theyre trying to keep the spread of coronavirus limited out there in Alameda County. So again, tesla after going back and forth with the Sheriffs Department will comply with the request to shut down the plant except for the bare number of people and that will happen at the end of monday the 23rd back to you. I noticed that elon musk on twitter had a bit of a back and forth with new york city mayor bill de blasio about the need to manufacture respirators. Can these automakers really quickly turn into factories for medical equipment . Well, the ones that have space i dont know which space tesla has available, but elon musk has said if we can help out, we can help out and the question becomes how quickly can we put together some type of a Production Facility and Start Building these ventilators musk has said building the ventilators is not terribly complex and complicated, but you have to have the machinery in place. Some people said gm will retool its plant to build ventilators gm, ford and tesla have said if we have extra Space Available and expertise in manufacturing wed love to help out if it works out. Phil lebeau, thank you. Wilfred, we had a bounce for the s p doesnt do much and were still looking at a week with pretty brutal declines. 11 for the overall market as the news flow continues to focus on what the white house response is to this virus, what the numbers are going to look like and whether enough people are being tested and whether you can see anything like a peak or anything over that and it just doesnt feel like were getting that and uncertainty reigns in the meantime. Absolutely. Great to see those gains in the s p 500 including being led by sectors like Consumer Discretionary and in light of the enormous Central Bank Stimulus, we still have the treasury market and the yields elevated and the dollar is still pretty strong, as well and well have to see that calm down, as well were out of time here that does it for us. Cnbcs coverage continues of the markets in a time of crisis and another record breaking day on wall street in mean ways. Good evening, good afternoon, good morning, wherever you might be, everybody. Im Brian Sullivan thank you for joining us on cnbc perhaps a glimmer of a positive sign in the stock market today the major averages closed higher and not by much, were not going to overdo it and compared to what we had in the last couple of days it was a sigh of relief for many and the dow