The tech giants continue to open their books as executives warn their books are not immune one stock that seems to be weathering the storm completely. Thursday april 30. Worldwide exchange begins right now. Good morning, good afternoon, good evening and welcome from wherever in the world you may be watching here is how your money and investments are looking right now just after 5 00 a. M. On the east coast stock future showing more possible gains after a surge with the dow and s p jumping the nasdaq, technology continues to outperform on optimism on technologies the key job claims we say that because this is a number showing millions filing for unemployment every week yet the market keeps moving higher lets staft your day with a remarkable stat get this the russell 2000 on pace for six straight gains that has happened only one other time go all the way back to 2000 to find the last time small caps gained 1 six days in a row. If you like that stat, stay tuned for the back half of the show when we bring you Something Else that is random but interesting and good if you own small cap stocks not only the United States markets higher around the world and Manufacturing Sector taking a hit from singapore we did have a sharply firmer session. Some weakness and looking at these numbers. South in new zealand, that market was low pretty much all of asia is up for may 1. Take a look at the shanghai composite with gains there the official pmi number coming in at 51. 8 down from that number in march remember everyone was scratching their head we did see a pull back as to the private sector the number coming in at 49. 4 in japan, we are watching soft bank that Company Making gains despite saying it expects a bigger loss. Flagged an 8. 4 billion loss most coming from troubled investment in wework dbs, southeast asias biggest bank the drop in the q 1 profit with a drop in Loan Loss Provisions we know what has happened in oil and gas. The Company Confirming most of the exposure with stateowned companies. Brian, back to you matt taylor, thank you, buddy. Whatever stocks are doing worldwide does not take the pain away from thousands of American Families dealing with sick loved ones those souls lost because of this terrible disease but there is some hope this morning. Here is the latest. Dr. Fauci says an experimental drug to treat coronavirus has shown to have effect trials involving Gileads Remdesivir showed that the trial time of 11 days versus the 15days in the Group President trump working as quickly as they can to treat coronavirus. Making the drug available as quickly as possible as appropriate. Jay powell says the economy will need more help to keep the country robust powell said yesterday, there is still plenty the fed can do. We are committed to using a full range of tools in this challenging time well use them aggressively, proactively until we are confident we are on a road to recovery and to ensure that that recovery when it comes will be as robust as possible. As long as needed, well use them following the latest policy meeting, the fed pledged to keep rates near zero until full employment returns and inflation gets back to about 2 . Lets stay on a bit of optimism because we can all use some founder and ceo of research. He joins us now it is tough talking about equity markets when expecting 4 Million People to file for jobless claims help us try to square exactly what is going on between equities and economics. Good morning. It is i challenging situation to say the least. That that was contracted that is the tip of theiceberg. We are obviously seeing versus what we might see as a zrupgs of the capacity of the economy. Will the shortterm issue become a longterm problem. Right now, if we are able to get the economy open in the next month or so based on the experience we have seen in other countries. It is likely we see recovery there. It is important to focus on the light at the end of the tunnel april was a month in the bottom where we are up over 30 the market doesnt wait for all the stars to align and neither should investors are there really two economies . As bad as the numbers are, it appears the majority of the job losses and pain are really centered around hospitality, travel and leisure, hotel, airlines and anything to do with us and discretionary income. There are americans working who are saving money because they are not doing those things is the stock market seemingly pricing in maybe a quicker recovery than some and the most dire estimates believed . It is definitely the case the market seems to be pricing in the rumor and it is jumping and trying to hang on to any positive news it can get if you look at the overall economy, the rate will basically skyrocket when we get the april report obviously the initial jobless claims will be terrible. The question goes back to how quickly can the economy reopen the jobless claims will be short term or furlowes especially as you point out in hospitality based sectors or discretionary based sectors. We have to remember as well too, and as bad as things are. Im not taking away from the 26 million that thought theyd be out of a job theyll be some what made whole and helped from state and local governments with the hope that theyll return to work there is between the federal reserve, treasury and congress at least a bit of an economic backstop and it feels like the market is reflecting some of that no p thats right. Showing that government in all its forms trying to keep its economy on life support. They are using a full range of tools at their disposal. We just dont know what earnings and cash flow. Getting back to a more normal level. The final point here, bull markets are very different from bear markets extremely painful. They lost five times longer on average rather than 35 . For every day investors, it is important to focus on getting through this crisis initially. Yes lets hope people go back to work sooner than the market believes james, be well thank you. When we come back, as bad as things are economically, people are still buying new cars. That is the good news. Coming up, well talk about how much those numbers have dropped. The nfl the latest company to make major cost cutting efforts. And has the economy seen the ttreac a bk right after this these days staying connected is more important than ever. So were working 24 7 to maintain a reliable network, to meet your growing internet needs. Were helping customers who are experiencing Financial Difficulties stay connected. Were increasing internet speeds for low income families in our internet essentials program. And delivering selfinstall kits to your door. Nos comprometemos a mantenerte conectado. Were committed to keeping you connected. For more information on how you can stay connected, visit xfinity. Com prepare. Welcome back it is 5 14 in new jersey stock futures are higher after a remarkable bounce back for stocks shares of qualcomm Second Quarter results beating top and bottom line. The company, which is the leading maker of chips for the latest 5g technology is warning of a roughly 30 drop in phone shipments compared to previous expectations. That is actually a little higher or less bad than some estimates. Thats why the stock is up about 3 a different story at ebay. Shares down by more than 3 . The classified business there taking a big hit particularly from temporary car dealersh dealership closures and advertising. As we head to break, dow futures are up oil is higher as well. Comeling coming up, well talk about whether the oil industry will get the bailout it has been looking for when Worldwide Exchange continues. Announcer todays big number, 31. 4 . Thats how much the s p 500 has jumped from the lows hit in march. The index is on pace for its best month since 1974. Feed a healthy lifestyle, with pure protein. High protein. Low sugar. Tastes great high protein. Low sugar. So good. High protein. Low sugar. Mmm, birthday cake. And try pure protein shakes, with 24 vitamins and minerals. Welcome back is a bailout coming for oil and gas. Privately in washington, lobbyists have been pressing on the issue and it seems to be working a bit. Joining us, chris. Great to chat with you on a very touchy subject i know you are dialled in to people in d. C. Do you believe oil and gas will get some kind of bailout and what it will look like if they do oil and gas industry is under something theyve never seen before the best scenarios we can go through. Secretary mnuchin has suggested maybe a new Credit Facility they could ask for that congress could put together probably the least likely. The second being a pabipartisan movement that may suggest a oneforone oneforone assisting. The third whether where they decide from march 26 to march 6. They want to turn back the clock i guess. A version of the old bad joke. If you owe the bank 10,000 youve got a problem if you owe the bank 10 million, theyve got a problem. Really more of a debt bailout . There is a high likelihood washington has to step in. Also the mortgage industry as well we cannot withstand the challenges that would fall to the United States and our economy if we dont have a vibrant set of companies in these two sectors and many others listen, you know this talking about a state which some people fear it might be going blue as hard as it is to believe about texas. Youve got 10 Million People unemployed i would imagine this is a sensitive discussion happening now as well. Look, this issue galvanizes both sides you have some on the left that really embrace the Green New Deal and elements of that. My former colleagues known to favor more traditional sources of oil and energy or the overall above approach at the end of the day, when i was putting together deals on these kind of issues on the last end of the year tax packages, we were able to find some what through this to do almost a one to one approach allowing for both green and brown energy or renewables to Traditional Energy to both succeed and make sure we both benefit from Anything Congress does. The easiest thing will likely be the lowest hanging fruit is the fed to do something. Listen, chris, im going to make a projection. It is way out there. If the oil and gas industry gets any relief, bailout or whatever. There are some people on the internet that will be upset. How is that for a bold prediction the common phrase these days trying to navigate on lockdowns and the one big cap tech stock that may help you sleep a little better at night if you own it even geniv the volatility we have seen in 2020. 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With a network that helps give you speed, reliability and security. And enough bandwidth to handle all your connected devices. Voice Solutions Like remote Call Forwarding and readable voicemail. And safe, convenient installation. When every connection counts, you can count on us. Get the connectivity your business needs. Call today. Comcast business. Welcome back it is 5 26 home you are having a good start or end or middle to your day here on april 30th im Brian Sullivan are americans finally seeing a little bright spot economically. Well talk more about this and get the latest on Technology Earnings oil prices are higher. Isnt it nice, its april 30th that the 417 days of april are finally coming to a close. Tomorrow is may, which we are told only has 62 days in it this year i think you get our point. Welcome. Thank you for joining us im Brian Sullivan here is how your money and investments look stock futures are indicating some gains at the open we are keeping this retracement or bounce back rally on all of this coming on more gains. What is new continues to be the outperformer up. We had one of these for you at the top of the 5 00 a. M. Hour. The s p 500 has had as many 1 higher as 1 days lower this year the s p has jumped 1 22 trading days it has fallen 1 just 24 trading days of course, the drops have been larger why we are still down 9 9 on the year. Showing the bounce backs weve had. Well talk more about that in a few minutes. Lets talk about the world Oil Giant Shell doing something today it has not done since world war ii plus what is lifelike on the other side of the pandemic lockdown . Well get to Julianna Tatelbaum first in london with a no good, very bad story for shell bsolutely it is an historic move from royal dutch shell. First let me point out the broader session. It has been choppy the first few hours. Household goods, telecoms. Banks, weve seen negative earnings coming through. Chemicals down and oil and gas down about 1 . The key stock there royal dutch shell. Lets show you how shares are trading in shell this morning. Down before 5 weve bounced off the ultimate lows this morning. Shell has slashed its dividend for the First Time Since the 1940s in the effort to shore up their losses theyve also suspended the next trunch of the share buyback. Share holders in this company have been in this stock for its dividend it goes to show the severity of the impact that not only the coronavirus lockdowns are having on the company but also the plunge in oil prices weve seen. Back to you. Getting squeezes there. Thank you. Lets go to beijing. Eunice yoon joining us from china. Theyve got some Economic Data talking about life returning to a semblance of normal. What does Economic Data look like it didnt look very good. There are two surveys that come out. Unofficial and official one. It showed that chinas factories didnt fair as well as many had happened pmi activity showed that it had expanded slightly. Looking at small and Medium Sized Companies contracted showing net or new export orders shrinking. That was really important because it shows how Global Demand has dried up as people have been holed up in their homes. Services and construction have perked up to offset the weakness gaining momentum though a pick up in demand is still a big question mark because of the concerns of unemployment here. Hopes are rising because leadership will be announcing more measures ahead of the congress an event that usually happens every year it was postponed we have a new date for that. May 22 for the past couple of months, well been bringing users data from tom tom, the gps service showing the traffic flow if you look at shanghai and beijing compared to one year ago, it does look like from the data, you live there, that we are monday to friday, pretty much back to mostly normal you live there what does it look like it does look like it is mostly normal in that people are going back to work a lot of people feel that they have to and then on the weekends, there arent as many people that are out. What will be interesting, brian. Is what happens this next weekend and over the next several days well have an important gauge of consumer confidence. It is the may day Public Holiday that runs from may 1 to may 5. We tend to see this as a big shopping and travel time the ministry of transport put out some numbers saying they expect the travel numbers to surge even though it may only be a third from last year beijing had lowered its Emergency Response level for the virus, which means people like me here in beijing can travel out sie outside of beijing and come back without having to be quarantine for 14 days. Also it means people might want to come to beijing from lower infected areas the forbidden city Just Announced it managed to sell 20,000 tickets, all sold out in 25 minutes im prying into your personal life when is the last time you went to a restaurant and what did it look like . I went to a restaurant yesterday. It was pretty busy still again, social distancing people were at different tables about two meters or six feet apart. The dusishes were wrapped in plastic. I was handed a little bottle of sanitizer. It is not totally normal or as though everybody feels comfortable when they are out. But at least you are going out. Something all of us here hope to do again some day soon eunice yoon in beijing always a pleasure. Lets get back to the markets and your money it is a huge day for technology results. Facebook surging in the premarkets on the hopes that its business on the ad side have seen the worst from lockdowns. Telling us after a steep drop in march, things have begun to stabilize a bit. Also teslasurviving another quarter in the black although musk has put Profit Guidance on hold and delaying semitruck deliveries another year that program now two solid years behind schedule. Also microsoft hire even as sales surge 15 . Manufacture you may be using Microsoft Teams more than you used to. Customers using the cloud more than ever, saying the Company Still does face some companies because of the lockdowns ultimately, microsoft is not immu immune from what is happening broadly in the world in terms of gdp growth at the same time, if there is going to be economic activity, i would claim digital would increase we are not immune to this crisis we did see a steep decline in advertising the beginning of march. We did see recent stabilization. Caller there is an impact on the economy and we are not immune from that the product of our teams has been very robust now with joel from wedbush. Have you and your team liked what you have seen as guidance from these companies so far . Yeah. I think the debate continues to intensify. Increasingly, march numbers are good you are seeing one company pull their q 2 guide and the full year getting a pass for that as far as technology goes, weve heard from google 36 hours ago and from facebook last night signs of stabilization in april. That was the unknown within tech, some pockets have been insulated look at microsoft. They are firing on all siand on the new workfrom home trend in place. These are secular growth names you want to own. What has been tricky the past six or seven sessions has been the unwind out of growth and value out of big growth in recovery reopening of names like cruise lines, movie theaters, retail. As far as tech long term, it will remain the most overweight sector for the for seeable future kind of before coronavirus existed, everybody was buying the same five or six stocks. They are going back to what they knew in the past is that going to work in the future it has been working so long i struggle to get my head around what is going to change that mentality. It is fairly simple. Winners are going to win names like amazon, arguably the most crowded work from home team nate on planet earth will the focus of amazon really stay in the q 2 operating guide and what their aws momentum looks like people will be buying the dip. They came out of the financial crisis a decade ago more wellrun than before you are seeing them really manage the crisis. Tim cook was kind of the poster child of that during the trade war. You are seeing one ceo after another take the lead and implement similar policies now can you help us explain tesla booming . Elon musk going on an rant on the Conference Call with bleep this and bleep that and the cars cost that start at 40 it will be tough to get a tesla for 40. Yet they are still delivering cars are they immune because the Customer Base is well off enough that they are not going to be impacted as much i wish i could tell you ive done a bit of superstar trading in this stock. Missed 300 to 400 points in the past month or so it is incredible as far as elon musk antics, yesterday, it sounded like he was going after those. I kind of put that in the Rearview Mirror and think, elon is going to be elon. The key impact is 11 or 12 . Margins above three basis points do i think it is stretched here . 100 , i do would i put my money in it i do it is clear, guys in on the short side will feel the pain. The road is littered with people that have been run over on the short side from tesla, certainly. Joel, we are going to have to leave it there well get you back on soon thank you. Thank you speaking of mr. Elon musk, call this the clash of the big tech titans. Musk taking on zuckerberg over the national lockdown. First, shares of Norwegian Cruise Line is soaring but not on the kind of news you want to hear we are back after this feed a healthy lifestyle, with pure protein. High protein. Low sugar. Tastes great high protein. Low sugar. So good. High protein. Low sugar. Mmm, birthday cake. Pure protein. The best combination to help you stay fit. The number of confirmed virus cases continues to tick up day by day, more and more companies are looking to stem the blunt of the impact. Frank holland is back with more. Salesforce is canceling all major in person events through the end of the year including the dream force conference one of frafrs largest business events and typically draws roughly 200,000 people it will instead host that conference virtually the nfl implementing costcutting measures. The league announced plans to furlough some employees, cut salaries and decrease contributions to Pension Plans though it will maintain pension packages the commissioner did reduce his salary to zero and is hopeful furl owed employees will return to work in a couple of months. The lockdown meant to stem the spread of covid19 analysts on respective earnings calls, musk calling the the call, quote, fascist and undemocratic. Zuckerberg saying he is concerned they are opening the economy too soon and fears an outbreak you left out all the colorful words musk used. Not Family Friendly a lot of bleeps there. The impact to the lockdown is felt everywhere, particularly automobile dealership lots across the country despite big discounts, friends and family, rates, a big drop is expected but by how much . Joining us now, former chief economist for ford and served for chief economist for the Commerce Department under the Obama Administration i was chating with a friend who owns a big car dealership here and he told me he sold five cars last weekend i thought, thats five more than i would have thought what is your estimate for car sales right now. Hard to believe but people are still buying cars right now. It is amazing but still we are looking at an economy and industry that will really be under pressure here. Sales that are well below the run rate we saw prior to the on set of this health crisis. So net, it will be tough youve got a lot of cash burned and challenges ahead for the industry if i go to any ford, dodge, gm, all i see is 84 month, zero percent financing, cash back as hard as these are, there are 130 plus million americans who are still working who if their car isnt working, theyll need to get a car in some ways, do you think we are overstating how bad it will be or will it be a year to forget no. The speed as this has collapsed has been tough to take one of the areas also we are seeing Capital Spending plans get pushed the industry was in position to move towards electric vehicles weve seen tesla but also rivion, ford and gm move to evs. If that gets delayed, well be at a competitive disadvantage here in the u. S. Compared to europe and china is 1. 50 gas and the economic slow down going to clip the cord for evs or do you think that will move on regardless . Brian, that is a question of when, not if the industry will move that way. We have to make sure we take that policy out. The risk we are not measuring adequately it is a question of when the chinese you probably saw, theyve extended their subsidies another two years. Europe is really marching ahead with co 2 emissions requirements we cant lose the plot over here there are 4 million jobs in the auto industry. Another 3 million that depend on those 4 million. It is a huge industry. We have to be globally competitive going forward. It is tough listen, if you do believe evs are the future how much does the trade in value depend on the future if im going to buy a trade in value car, theyll be a large portion of drive ability some wont want to buy the internal come buston car, it will add a lot of value. You are right if you look ahead for the government if they start to encounter challenges the demand will be key and consumers will hopefully take advantage of that really good discuss there auto sales out today really good to have you on a lot of friends in michigan be well. On deck, the violent bounce back for stock continues we gained 25 in two weeks the big question is why and how much longer it can run given that there are 26 Million People unemployed well talk about that next welcome back good morning stock futures are higher oil is higher. The snap back looks to continue today. Markets up more than 20 in just the last two weeks gaining 2. 5 to 3 . The question is why when there is 26 million unemployed and 4 million more expected today. Joining us from invesco. A simple question. The market and the economy going in very Different Directions lets remember the u. S. Stock market went down 35 in a month. It was pricing in a lot of damage it would have gone down further had it not been for the policy respond. A massive response from the fed and the government on top of that, you started to see a modest improvement in the number of cases and hospitalizations the market moved on the feeling it would get better. There are a number of Large Companies driving the market that are well positioned for all of this. It is very common when you get to extreme levels of sentiment and volatility, the market puts in a bottom and you get the nice retracement period these periods are not uncommon not uncommon. In fact, im sure you know but from the viewers perspective. When we have these big declines, always, the market will come back 60 to 61 before moving lower again. Is that what is happening now, brian or is it a steep bottom that well slowly try to get back to where we were . I think we are following the right pattern. Everyone is talking about do you retest it is common to head lower we had eight of the markets. About half you go to a low and about half, you dont. The average return over the following three years following the initial low is plus 56 . Investors are watching this while they are watching this uncertainty and trying to figure out the next 100 points in the market i think we need to start thinking beyond that three years beyond the session where markets will do very well. What this will entail here is to continue to see the number of new cases decline. We are going to need to see that policymakers will need to support and we are all starting to reengage with the economy this may take some time. There might not be a new catalyst for markets to go meaningfully higher. I suspect we have gotten to the bottom and bpolicy support is providing support here it is remarkable. History says it has happened before just be careful have a great day to you and yours. Dow futures are up more than 70 points. Oil is up as well. A lot going on a heck of a week with earnings well see you tomorrow, the first day of may, thankfully squawk box picks up coverage now. Take care. Servicenow. The smarter way to workflow. Seeing the break in the clouds before anyone else. Together, well weather this storm. And. L music fades in . Hey hi good morning stock futures are up again after yesterdays 500point rally for the dow. The s p could have the best month since 1974 showing again how little about what it takes to make the market move. Well have a slate of reports in the next few hours breaking overnight, california governor to order all state parks and beaches closed to avoid a repeat of last weekend and tesla on the call, elon musk dropping the fbomb in a rant against stayathome orders it is april 30, 2020 effin squawk box begins now. Good effin morning im becky quick along with joe kernen and andrew ross sorkin. Markets rose sharply on the remdesivir news. You watched the markets take off instantly. The fed will continue with the stimulus program