Transcripts For CNBC Closing Bell 20240713

All of faang higher with names like paypal up 5 today. We have two bad final hours of trade over the last two sessions and we have sold off over the last couple of hours off the session highs as we stand. Ahead on todays show, well speak exclusively with Thomas Barkin on the heels of another massive jobless number why he says we may be at the bottom of the downturn he just said that on a podcast about an hour ago. Plus, former treasury secretary, jack lew, will join us to discuss the governments tuss efforts and whether cash is going to the right places and the countdown to another big afternoon of earnings. Uber, roku, dropbox and trip adviserme adviser. Well bring you all the numbers you need the know as soon as they hit were off the session highs. Dow high was 430 points. Up 206 just shy of a percent s p 500 and nasdaq still up more than lets focus on the big stories mike is tracking the market rally. Meg has the latest on moderna jumping on news surrounding its vaccine candidate, but first, the broader markets. Its been pretty sticky in this range kind of the upper end of the range weve been in for a few weeks. Actually, you mentioned a late day fade weve had a couple of days this week we topped out today exactly where where did on the s p 500 two days ago on tuesday at the 2900 level not sure if theres a grand significance there last week, we got up to around 2950, but it seems as if the rallies have lost steam around that zone k but still very much in the upper end of the range weve been in since the march lows at this point i did want to look at the equal weighted s p versus eck wii the that track the rest of the world markets. It shows you theyre in sync theres a lot of comment here, why is the u. S. Stock market acting as if it can shrug off the awful economy. Its basically the same as the way the rest of the world is is truting it neutralizes the huge Growth Stocks and it shows you that thats really the source of whatever outperformance weve got and you mentioned the nasdaq going to 9,000 finally, a glimpse at sentiment because its been stubbornly pessimistic if you look at Retail Investors a weekly poll shows the biggest spread with bears exceeding bulls since february of 2016 and thats despite fact that the market itself has seven weeks and 32 off of those lows from march. So that would say on a contrarian basis its hard to have real big immediate losses if people are already bracing for something nasty. I think some would take it hard that it does seem right now theres still a will the of skepticism about this rally. Of course the other big point we hear about as ta who justifies the market being where it is relative to the economy is the scale and size of Central Bank Stimulus and again, that also speaks to why the u. S. Has been a bit stronger than the rest of the world not that any central banker is not stepping up to the mark, but the speed, the pace, the scale of what the fed has done does stand out also without a tout. Doubt. Movement from before the crisis to now, the incremental stimulus efforts. The trillions theyre putting out there. Going to zero and now even a very shortterm treasury and trading with the suggestion that maybe we get below zero. Well see about that, but yes, no doubt thats been a distinction acrossthe world, too. All right, mike see you in a little bit. Well turn now to the battle against the coronavirus. Moderna shares jumping after news surrounding its vaccine candidate. Meg. Hi, sara, the new ss that theyve gotten the news from fda to move ahead and do a phase two Clinical Trial of their vaccine candidate for covid19 as theyre also finalizing a protocol for the phase three study, which they say they expect to begin in the early summer of this year. Thats months ahead of what they said just a couple of weeks ago which was then to start it in in the fall if all goes well, they should have Regulatory Approval in 2021 if you look at the timeline for this, this is something weve never seen before. They started the trial in the middle of march and we still havent seen the results theyre moving into phase two based on what theyve seen in the safety in that study and we hope to see those results soon, but theyve moved very quickly through this establishing a Manufacturing Partnership and now with those plans to move into the bigger study. Its going to enroll 600 people. Half of whom who are young er, 8 to 55, then older. Theyll follow them for 12 mo months but not wait for the year to move ahead with studies these are going to be stacked on top of each other, guy, moving at unprecedented speeds and well have to hope it works and well see a vaccine next year, but a lot of questions until we see the data right then theres a lot of optimism out there about this kind of information, meg theres also a lot of studies coming out, or a few coming out showing that covid19 has mutated. There are different strains. Maybe europe is different than china. New york is different than the west coast does that complicate efforts to make a vaccine is this the case where its like the flu shot where you dont quite know if its going to be the right strain every year . Thats a really important question and something that all of the people working on both vaccines and antibody drugs targeting the virus are looking at and they tell me it is important, but at least the papers that have come out so far observing mutations in the virus dont affect the projects that are ongoing. Moderna says that if mutations did affect what they were targeting, they could move quickly to get around that because their technology can move so quickly. Regeneron, which is developing antibody drugs says they specifically selected antibodies that arent affected by those mutations and they have back ups in the clinic, too, or not in the clinic, but they would get ready to potentially put into the cling if mutations affected the drugs theyre developing, but youre right this is something to close ly watch. So far, the mutations dont seem to affect the projects that are ongoing. Well thats encouraging thank you. And by the way, the ceo of moderna will join a slew of other industry executives for our cnbc healthy returns Virtual Summit happening next week, may 12th register at cnbc. Com healthyreturns. Has the economy reached a bottom well ask Thomas Barkin about what hes seeing in his district as some states reop. Plus, could twilio getting a major pop of earnings citing an uptick in Contact Center and tele Health Business well speak with the ceo about how the company is managing to deliver strong results ahmed the pandemic across america, Business Owners are figuring things out. Finding new ways to serve customers. Connect employees. And work with partners. Comcast business is right there with you. 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. Under 50 minutes left of the session. Dow is up 250 points lets check individual Market Movers shares of lyft surging after the Company Posted an increase despite the pandemic it was downgraded calling the increase in dead mohannad a head fake up 21 today peloton also rising on shutdown related demand shares jumped 66 and its seeing heightened demand for its bikes even from customers who hadnt considered buying one its up 15 . Jpmorgan email has gone out to staff from their executive committee saying they dont have a specific time frame for returning to the office yet. Its quite a detailed email outlining theyre setting up a task force and some of the key criteria as for when they do go back, but just an indication theyre still some way from s seeing those companies that are able to work from home change direction of that though theres a line to say selective return to offices in asia has begun but for the u. S. Offices at least still seems some way off the stocks up b about a percent today. One of the best performing sectors there. Yeah. You could work from home but also large concentration of offices in the northeast and in the new york area, which was been hard er hit on the economy, more than 3 million americans filing for unemployment claims last week. This as we brace for aprils jobs data out tomorrow nonfarm payrolls are estimated to fall by more than 21 million jobs Unemployment Rate, 16 our next guest believes were at the trf of this downturn tom barkin joins us now on the phone to talk about the path forward for reopening the economy. President barkin, good to have you. Thanks for phoning in. Thank you for having me so, wanted to pick up on those comments sounds like you just made this afternoon in a web cast in South Carolina talking about the bottom is that what we think were seeing well what i was seeing is we shut down the economy about seven weeks ago and you see a lot of states including South Carolina at the gibrink of bringing people back its not surprising you look to data as of today youd see it about as low as its going to go well bring in the like in the coming weeks and months. And i expect it to go up from here how long do you think the current level of stimulus, the current level Government Support programs can off set the negative impacts on the economy that were seeing at the moment if things persisted at this for longer than you expected, how long before wed have to see significant upping of stimulus or extension of Government Programs well, i do worry that when this was passed is that we would have what people call the downturn wed go down sharply and come back up sharply. We did go down sharply i just fear its going to take a while for consumers and personal interaction businesses in particular to get comfortable interacting. So i think comeback is going to be slower. And that does mean were going to have individuals and Small Businesses you know in need of some help. What we then do about it i turn it back to the congress, but i think were going to have individuals and businesses that arent going to just bounce back to where they were before the downturn as quickly as we might have hoped what time frame months, years . How long is this recession going to last . Well, depends very much on the sector youre in i think there are sectors that come back fas tos. I talked to someone whos a cyber adviser today and their business is still working great. But i think in a lot of sectors, the one and in particular, the ones that require personal in r interaction to get a sale done i just think its going to take a while for consumers to be confident enough to interact at scale personally when we look at weekly jobless claims again, a number above 3 million and yet were in the month of may almost the middle of may and the ppp program for example has been in action for quite some time and many, many businesses should have got their loans and their dollars over a month ago does that concern you that the programs as designed perhaps arent really working . Ive talked to a lot of Small Businesses that have gotten their ppp loans and are putting into effect and i think quite appreciative of it and as you can tell, theres just a big cue to get those loans out. So as best as i can tell, the money is is is going out people are just very focused on where do you go from here. Wanted to talk about the Market Action today. Were seeing some action in the bond market. The fed funds futures rate has gone negative today. Record low rates on the two year and five year. I know that chair powell has said that the fed isnt looking to go into negative Interest Rates in terms of a policy what do you think the market is trying to say there though i cant speak for the market, but i very much agree with what he said there. I think negative Interest Rates have been tried ain other place and i havent seen anything personally that makes me think theyre worth a try here when we take a snapshot today, president barkin, of the nasdaq positive year to date, in fact, its just gone negative, but essentially flat year to date and tomorrow, probably see unemployment confirmed at above 20 . Did you fear massive longterm political backlash to the current shape of capitalism in america and the way in which governments and Central Banks bail out economic downturns . I think this is a different downturn than the one we saw 13 years ago, 12 years a ago, where we saw the bailout i dont think this is about bailouts this is about a Health Crisis. And Health Crisis weve decided were going to try to handle through social distancing and social distancing creates issues with a set of businesses who didnt necessarily commit any sins theyre shutting down so that the hospitals have capacity. It just feels to me like a very different conversation than the one you just put on the table. And so im hopeful that were going to get through this and get to the other side and im hopeful that people in the country will align with you know how those in leadership have chosen to handle this, states and otherwise. South carolina as you mentioned was one of the first states to reopen end of april with retail. What have you heard talking to some of the members and what have you seen in terms of early indications of how fast that activity is coming back . I think on the whole, the its still quiet you know there are people who have reopened. When people do reopen, you tend to see in the first couple of days some pent up demand of people who come back, but like i said, i think its going to be a slow rebuild on the consumer side there are a lot of people who have hunkered down with their families for a significant period of time are just very cautious about infection risk if they emerge into the personal side of the economy. I also think there are certain things you know think grocery delivery, that if you try them, you might want to do them again. So i just think people are just going to be cautious coming back i see a slow rebuild on the consumer side. For perspective, ive seen some shopper track data that suggests that three months after they closed, china, south korea, after they reopened, are are still 40 plus percent down from where they were and that just underlines i think the challenges of getting consumers to get back into the marketplace at scale so if its slow and this is with us for a while, i wonder how you think about what else is fed could do and what the bar would be for the fed to take even further action . We talked to vice chair clarida earlier in the week and he said the fed can do more. The Balance Sheet can expand even farther so for you, what would you have to see to take more action well, i would agree with rich we certainly have capacity in our Balance Sheet. We have capacity in our lending programs i believe very much in targeting what were trying to do to accomplish a means youre trying to get to. And so it happened that the real issues in markets we faced six weeks ago indicated that intervening would be a useful thing to do and we did it. Congress passed the cares act and very much immediate kneaded by businesses in need so were buckled down to try to do that for me, my hurdle is can we have a positive impact within the scope of our legislative mandate and if we can, id like to do that president pabarkin, thanks s much for joining us. Thank you pleasure to be with you. 40 minutes left in the session. Up b about 1. 1 on the s p 500 up next, shares of twilio rocketing higher on the back of earnings with the cloud companys ceo saying on the Conference Call in many ways, twilio was built for this moment its up 42 today and well discuss those results, the stock move and much more with the ceo right after this quick break right now, theres over a million Walmart Associates doing their best to keep our nation going, while keeping us safe. Weve given masks to all our people and were helping our customers practice social distancing in stores. Weve implemented shorter hours, so we can sanitize our stores from top to bottom while also restocking our products. But if anything, these days have reminded us why we do what we do. Because despite everything thats changed, one thing hasnt, and thats our devotion to you and our communities. Were working together, instore and online, through pickup and delivery, to make sure you can still get the essentials you need. And as we move forward, know that our First Priority will always be to keep you and our associates safe. I know thatays be to keep you every time that i suit up, there is a chance that thats the last time. 300 miles an hour, thats where i feel normal. I might be crazy but im not stupid. Having an annuity tells me that im protected. During turbulent times, consider protected Lifetime Income from an annuity as part of your retirement plan. This can help you cover your essential monthly expenses. Learn more at protectedincome. Org. Shares of twilio are around 40 who see the stock as a coronavirus play after yesterdays strong earnings. They provide in app communication like messaging and calling and is seeing new covid related use help its bottom line joining us now is the ceo, jeff lawson chlgt thanks so much for joining us thank you you said on the call, i mentioned it in a tease, that twilio is essentially a Company Built for this sort of environment. Tell what you say you mean by that in terms of the level of increase of interest youve seen well twilio is a Cloud Communications platform. Used by Software Developers and companies to build commu communications into the products that we all use every day. And as covid has emerged, whats become clear is that twilio has three things that Many Organizations need we have dingital engagements communications technology. We have agility of software. Able l ty to build quickly and reinvent on the fly as needed and cloud scale. Because this hasnt been a time when people could do capacity planning and racking up servers. They need to build something, turn it on and they need it to work so twilio has provided those things to companies, nonprofits, even to governments through this period of time as we always have throughout the course of twilio i mean jeff youve got 57 Revenue Growth last quarter. I dont think any other company had seen that kind of growth which industries and which type of Companies Drove it . Well we see a broad base of customers. Twilio has a highly diversified cust ber base. Over 195,000 active customers and they represent everything that you can imagine so were seeing obviously strength in certain categories, for example, as commerce has turned from physical in person commerce into curb side pick up or delivery. Theres been a lot of work flows that need b to be invented as food has turn ed from sittin down in a restaurant to something being delivered to your door. Food delivery has been an area of growth for us weve seen new strength in te lrk e medicine and health. It was a fortuitous coincidence we announced hippa workloads in february and turned out that was just in time for the onslaught of tele Health Initiatives that Many Software companies and hospitals and medical providers were putting in place to address covid and so across the board, weve seen a number of use cases that have grown in relevance because of the need for social distancing where a lot of people stay home and one of the biggest areas weve seen also is in the context. We have a product called flex. A cloud based Contact Center and contacts are ageing and work from home instead of going into the office, flex has enable aed organizations to keep those workers safe and enable them to continue serving those customers during this time if you had an xesing partnership with a company and they had seen a massive increase in the usage of their services, do you get to share in that pick up or is is it a flat rate and you just have to deliver the product even though theres significantly higher usage good question we have a usage based price. Which means when a company is just getting starts, its very Cost Effective because they pay very little but then it has a rollout for a solution and gets used by more end users the pricing model means the company typically pays us more so during a period like this, that gives a lot of flexibility to customers to expand during this period of time which represents the business for us but they can also contract the workloads so that flexibility is pair mount for companies who are dealing with crisis, who are building very quickly and who are growing their products and changing and recon fkocoreconfii businesses even in normal times, continually reinventing how you engage with your customers and Building Service sochlt that usage base model is very flexible for customers they love it and great for our business because it means that as Companies Use more of our services, our revenue grows. So jeff, you mentioned some of the areas of growth were seeing right now Online Education telemedicine Online Grocery how do you think about which ones might stick and become more permanent even after this pandemic great question. I mean i see a lot of the nic initiatives going on right now actually arent new or invented. These are accelerations of digital road maps that Many Organizations have that because of the circumstance of covid needed to bed i think about tel a lot of hospitals have experimented with it theyve done a few visits here and there, but because of covid, they moved a substantial number, in some cases, almost 100 , of their medical visits to virtual ones now you think about when its time to go back to life as normal, when we get there, god willing, do we think we need to go back to wanting to drive across town to visit a doctor when we could just fire up a web browser and see the doctor in 30 minutes . Why would you take a day off wo work or retail. When now were doing curb side pick up. And we start o why would i go back to the store when i could just click a few buttons and drive by and have someone put it in the car theyre making our lives more convenient and so i think the invention with this acceleration of the digital work flows that companies have been building for a long time, these trends are here to stay its a pretty bullish forecast for your own business the only question is then why did you suspend guidance thats a good question. Obviously we have a very strong q1 and we guided to a strong q2 and but when we look at macro picture, this is a Macro Economic environment unlike any one weve had probably in 100 years give or take so in that kind of world like peering into our crystal ball and giving guidance for extended periods of time, just didnt thing like the thing to do we feel l our products are incredibly relevant to the world as theyve always been and now even more so, we dont want to guess what the Macro Economic s environment is going to bring in other periods. We think the most prudent thing to do is to leave your visibility into the quarter and thats what we did thanks for joining us thank you very much for having me. Time now for a coronavirus update with sue herera hi, sue. Hello, everyone heres whats happening at this hour the malaria drug touted by the Trump Administration to treat covid19 has failed to help patients during experimental tria trials a study funded by the National Institutes of health and published in the new england journal of medicine showed hydroxychloroquine did not decrease ventilator use or death during those trials. A defense official tells nbc news that a pentagon memo saying military recruits will be permanently disqualified from service if they have tested positive for covid19 is actually quote, interim guidance the official says those who have recovered may be able to get a waiver to serve. A group of truckers are line ing the streets outside the white house hoping to catch the attention of the president the group is there to raise awareness about a lack of protective gear and the decline of freight rates in the Trucking Industry and it is official tiger woods, peyton manning, will tee off against Phil Mickelson and tom brady on may 24th the Charity Golf Tournament will provide 10 milli 10 million for relief efforts looking forward to that. As always, you can get more on the coronavirus coverage by heading to cnbc. Com. Im sure theyre going to make a whole heck of a lot of money, sara oh, yeah. Lot of people want to watch. Especially right now sue, thanks. Zblncht ahead, the count down to Earnings Reports is on uber, roku, trip adviser, dropbox and many more names. And an exclusive interview with drew houston a quick check on bond. Yields making a big move lower tenyear below 7 yielding. 62 two year and five year are at record lows and the fed funds rate which sort of tries to mroy what the Federal Reserve is doing goes negative. Well be right back. [music] [music] especially in times like these, strong Public Schools make a better california for all of us. After the break, aaron levie joins us to discuss his companys teatn thingriowi zoom and how the pandemic could transform the tech landscape back in a couple of minutes. Thank you, sir. Looking for 6. 6 over there do i hear 7 . 7 in the front 7 going once. Going twice. Sold to the onion lover in the front row next up is lot number 17, a spinach and artichoke dip, beautifully set in a hollowedout loaf of sourdough bread. Dont get mad get e trade and get more than just trading investing. Banking. Guidance. 24 minutes left of trade box launching a new layout today. New features include the able toy Work Together on documents in realtime and a deeper integration of zoom video. The ceo joins us now for more in a first on cnbc interview. Welcomeback to the show. Good to have you thank you, good to be here. So you announced all sorts of new projects for your customers today, which you already help with cloud storage, in trying to view what theyll need i guess in the work from home future what is your vision here yeah, so box serves nearly 100,000 enterprises that globally that need to be able to securely access and share their data from anymore so when they moved into a work from home oriented way of working, they quickly needed to be b able to get access from their files from are remote work locations. Theyre obviously spending way more time on video like zoom or webex or teams and they need to be able to access their data from those conversations, cl collaboration with their colleagues across their supply chain. So what we did was going back about six weeks ago, we decided to accelerate and pivot our product road map for this year to make sure that we could rapidly support our customers with these use cases so todays announcement is one of f biggest updates that well start rolling out to customers, but its a new faster simpler way to use box to organize your files securely and collaborate inside organizations customers are familiar with. Well be working with zoom more where we can launch into zoom meetings from box, but youll see core functionality that continues to integrate with products like slack, like webe like Microsoft Teams and many more to come. We want to make sure you get access to your data. Why now for this, aaron sure ly this is the type of service youve always been offering maybe the usage has gone up, but why couldnt you have done this six, 12 months ago yeah, so what this was really is an acceleration of our product strategy and road map so many of the things were announcing today were planned products throughout this year so we decided to really pull them into the beginning part of the year and we prioritize some other initiatives that are maybe less immediately impactful to customers. So what we did was really pivot our strategy and road map and help our customers with their secure remote work and initiatives and a lot of this due to the growth and collaboration in sharing and usage of our integrations that were seeing across the Customer Base today but do you see customers having a willingness to spend right now . What do you see in terms of corporate spending and i. T. Budgets during this tough time when many are cutting and laying off workers . So this is obviously a really difficult time for many sectors of the economy many types of businesses i think as youve seen from at least the Earnings Calls that have happened recently, there are parts of the economy that are still growing and in fact, some parts are growing faster. So if you think b about Digital Initiatives in retailil or healh care or federal government or life sciences, these are spaces where theres an increase in growth rates in the amount of conversations and demand for Digital Technology that these organizations need so twilios earnings being just a recent example from yesterday so this is definitely a situation where some businesses are going to pull back particular ly in areas like cap. When you look at Digital Transformation initiative, often time s, these are about better serving your customers and making your company more productive and being able to find growth when you need it most and thats what were seeing more conversations and i think youre seeing that from at least some of the Earnings Calls that have happened this far whats the feedback been like from your customers . Have they found work from home a revelation or just a temporary way around what is a problem for nehme . Do you think some stays forever . I think its causing companies to ask a lot of really important questions of wait a second, were actually more productive we can make decisionser. We can get on a meeting with people all around the world with people where normally that would have been scheduled two or four weeks out. I can instantly collaborate with people in real time. So theres a will the of productivity benefits that we are seeing from mcustomers. Were having conversations with customers where theyre trying to figure out what does the new normal look like once were in a Health Situation where we can go back to the office, do you still allow people to work from home do you have Workplace Flexibility . But almost universally, the customers im speaking with cios, ceos, are seeing gains happening now at least from their knowledge workforce where people are more productive, theyre able to move businesses forward faster that being said, obviously theres part of the economy that are totally disrupted right now and we have to get those people back to work and move the economy forward. So i think this is going to be an important moment where many work styles transform because of this and many Business Models continue to move more to work digital platforms and being able to serve customers digitally why are you pushing a closer integration with zoom when theres been so many security and privacy concerns with using it is that not a concern for you . This is a Company Whose leadership rapidly went and dedicated their time toward the security and privacy issues they were running into and many of our customers used them actively so we wanted to make sure we could integrate and support these use cases and at the same time, many of our customers used technologies like web ex or teams or google so we want to make sure we can integrate with all the technologies our customer rs using the first of these integrations, youll see continued innovation with our broad partnering system going forward. Our job is to be the worlds best way to securely manage content and files no matter where your employees want to work aaron, as always, thank you so much for joining us good to see you were going to take the final commercial break before we approach the close as we stand, we are higher, but off the session highs off about 1 now on the s p 500. The market zone when we return there are times when our need to connect really matters. To keep customers and employees in the know. To keep business moving. Comcast business is prepared for times like these. Powered by the nations largest gigspeed network. To help give you the speed, reliability, and security you need. Tools to manage your business from any device, anywhere. And a team of experts here for you 24 7. Weve always believed in the power of working together. Thats why, when every connection counts. You can count on us. You should be mad they gave this guy a promotion. You should be mad at forced camaraderie. And you should be mad at tech that makes things worse. 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. Welcome back weve got 13 minutes left in the trading day. Commercial free coverage of all the action mike is here to break down these crucial moments and toe, weve got stephanie link with us as well lets kick things off with the broader markets. Stocks trading higher but, near the session lows dows up nearly 211 points the session for the dow have been up over 400 points. The low is 172 nasdaq outperforming, on track for a positive close for the fourth day mark lazry called in today on the Halftime Report and gave his outlook on the market. I think its great the markets come back and its positive but things are going to take a lot longer. When people have been talk iing about we have to wait for earnings, theyre going to be a lot lower. Weve had some fast closes over the last two trading days weve lost steam throughout the session. A few days in a row where youve had a gap higher at the open market traded higher most of the day then a fade everyone seems to know what mark said, which is were not seeing right in front of our eyes any improvement in the economy its going to get worse before it gets better on the ground and also Everybody Knows these huge Growth Stocks that have carried the indexes up here, maybe theyve gotten stretched relative to everything else. A day like today, its more of a mixed leadership picture, but the overall picture is s p kind of flattened out stalled here and its unclear if it can has used up all of that sort of cautious sentiment that is just prevailing out there in the near term or what. So i do think that its underable why the market is hesitating at these levels, but to me, doesnt say that somehow the markets been ignoring economic markets in a new way. A new high profile backer today. Paul tudor jones buying crypt o currency he reportedly comparing bitcoin to investing to gold in the 1970s in a recent Market Outlook note stephanie, sort of unlikely, more prominent, sort of mainstream name into bitcoin which we dont often hear. We talked to mike novograts who runs a bitcoin fund. Does that make sense with all this money printing and inflation and stimulus do you think it might be a hedge against that yeah i think you can play the inflation or reflation trade in a lot of different ways. It could be bitcoin for sure, but it could also be in gold it could be a basket of reflation kind of names. You want to own a basket because theyre volatile names like ppg, dupont, dough, they would benefit if you see higher inflation i think you have agood chance of seeing some inflation if you look at all the fiscal and monetary policies that have been put in place around the globe, its 22 of gdp thats a lot thats a lot so im watching tips copper, commodities, not so much oil. Its in its own world at this point, but sure. I think you can play it and its just whatever you choose to, which way you want to play it. Mike, gold had a nice jump today as well. I guess the question here whether paul we need to get him ton to explain it, but bitcoin hasnt been tested in the same way that gold has through generations as a hedge against things like inflation. But both of them share the same aspect no fundamental underlying reason why the hedge would work necessarily. Right no, exactly synthetic dingital gold, which s something other people treat as having value, it produces no cash, therefore when real Interest Rates are low or negative, you know the cost of owning and speculating on it ar pretty much nothing. So i do think thats where those things are connected right now. I also think its interesting that the conventional wisdom about crypto that prevaileded at the beginning of the craze is almost 180 degrees wrong and im glad i thought this was the case, meaning that its not really about the block change. Its about the instrument thats had more of a life in terms of an investment thesis where its going to continue or not. I think everyone has to acknowledge, it was a game thafthat was created a decade ago to be a speculative instrument and you can have any store you want behind it. I dont see mi inflation in the world would increase the value of bitcoin shares of paypal. Youre a believer, mike sorry, sara sorry nope just going to say its had a nice run since that march low along with risk assets like stocks its nearly doubled exactly so maybe its not another hedge afterall moving on to paypal surging on the back of Quarterly Earnings the Payments Company missed earnings on the top and bottom lines but said it expects a strong recovery in the Current Quarter as more people shop john line the ceo joineded us earlier to discuss the changes. Youre seeing dingital payments move to a must have essential service. Were all going to be very cognizant of hygiene, of health issues, of social distancing so i think were at a Tipping Point in e commerce. I think weve accelerated where we were going to be maybe three to five years in months have jumped ahead stephanie, where do you stand with the relative pricing with the likes of paypal and fen Tech Companies and the classic older banks and where you stand at the moment on wells fargo, whichnd youve been positive on. It continues to underperform the rest of the big banks ooechbd today when banks are outperforming, its sold off a lot and is only up 0. 6 compared to morgan stanley, citigroup, up 4 today first, ill take the easy one first. And thats paypal because i own that one and i actually pitched it as a last chance trade a couple of quarters ago seems like a lifetime ago. But i thought that the quarter there were some positives there really to think about. Constant currency revenue of 13 in this kind of environment is very strong in my mind you have improving take rates. You have the tpv total payment volumes up 22 in april and that was encouraging thats why the stock was up today because everyones excited about what the comments were the last two weeks of april. Theyve got a total Addressable Market of 5 trillion and they dominate in their space. This is one with the multiples expanded from 31 times when i pitched the name to 39 times, i think the growth is there and justified. This is the harder one this is also a turn around story. As you know, wilf, and i really think this new ceo is going to be able to make a difference hes going to be able to reduce overhead their efficiency ratio is sky high at this point, in the 70s so i think they can bring that down we have a lot of questions still but i do think the Balance Sheet is very good and i think the 7. 7 dividend yield is safe so ill take it and stay patient. Lets hit uber set to report earnings in a few minutes. Uper shares are urging on the back of lyfts better than expected results, but there are some key differences to prepare for. First, ubers reach is international so it felt the effects of the pandemic earlier than lyft. It is more diversified with a significant food Delivery Business remember it has stakes in other ride sharing firms around the world that are also struggling amid the pandemic. Like lyft though, investors are going b to be looking for any commentary surrounding the last few weeks, whether theyve seen any kind of rebound albeit from a low base and what its outlook is is for the rest of the year thank you what are you looking for mike in uber especially teeing off of the price action and i wonder what youre making of it for lyft and just how relevant this past quarter is for these companies because isnt it the Current Quarter where theyre really going to feel the pain for sure. I dont know really that last quarter does have a lot of relevance. I think you want to hear uber say maybe what the weekly incremental changes are in rider and what they foresee in terms of rider driver economics from here on out. Its fascinate tog remember that you know there was a big bullish push in uber all that stuff is off the table. The stock is exactly between the high price its traded at in the year its been a Public Company and the low price. Hard to see an edge here although what your seeing in the market today is at least a residual willingness to believe in a lot of these concepts although theyre the ones with a little more momentum behind them like a peloton or perhaps like a paypay or square stephanie, where do you and on these names im not involved in either but if i had to choose, uber would be the one because you do have the uber eats which i think is is actually benefitting from us being at home, right. So and weve had actually some Interesting Data about delivery, food delivery. Qsr gave us some interesting information earlier in the week. So i feel like if youre going to go there, this is the one i would do but i still struggle with the valuations. I always have, and the cost vukture. I like that theyre going to lower their employee count its not good news, but at least it will help them. But i still feel like theres a lot of questions in these Business Models. All right just about three minutes left of trading. Mike, what are you seeing in the market internals today as we yet again fail to get to the session highs here into the close. Theyve stayed positive about three quarters of it has been to the upside all day its a more mixed leadership picture here you have a lot of that Disruptive Tech but along with it, insurance is bouncing. Some other financials are bouncing some energy as well. A little value version you can see that here in the momentum etf intraday compared to whats calleded the pure value etf. Verystatistically cheap stocks out there, which has been an awful performer. Weve had a couple of efforts here in this direction of a mean reversion type move in this direction. Volatility index, its continued to receive getting down toward 30 if you look at the vix futures, theyre starting to get a more normal shape so slowly as the market hangs in here, we are seeing a little bit of that. Anxiety premium bleed away and also the markets been calmer with the sub 1 moves several days now steph, the three days in a row of slippages into the close, still nicely higher today, is that something that concerns you . Do you think theres a will the of people out there that are selling on any little positive bounc bounces . Well i wouldnt be surprised. We were up 30 from the lows, so not a surprise but i actually thought this week as a whole was is good one. Very constructive. We had every reason in this world to sell off on monday from buffetts xhaents to the china trade heating up again and we ended up on monday, we ended up green and were up for the week, so i think that that speaks to people getting a little bit more encouraged on the reopenings partially. The treatments, the vaccines that sort of thing but again, it goes back to what i made comments about paytall pal on the number of commentary. We have had a number of companies talking positive about a pick up in april wendys, paypal, lyft. Even costco and target talk about their Digital Sales rebounding nicely. I think that suggests that maybe april and may day for the economy is probably the bottom if you will. The trough we have got just 30 seconds left of the session. Mentioning oil, which was up 5 today. Down 3 . Also improved intraday it was flat and now up 2 . Equities have slipped. The dows now up only 200 points thats about 0. 8 . The s p 500 up 1. 1 . Nasdaq up 1. 4 financials, the best performing sector of the day, have slipped significantly into the close health care and consumer staples, only two sectors in the red at the close s p 500 up 1 . Interestingly for the week as a whole, the dow is only up 0. 6 with the nasdaq up over 4 and the nasdaq just goes positive welcome back take a look at how we finished up the day an wall street. Certainly not near the highs of the session. More towards the lows. The dow did manage to close up 211 points got a tick up there into the close after losing steam up 1. 5 . Sectors were higher on the day, but two notable losers health care and consumer staples. Those have been b outperformers lately more defensive and financials and materials topped the list. The nasdaq, the big winner, up 1. 4 , closing below that 9,000 level, but closing just positive for the year that was a big talking point in todays session. Just shows us how much weve climbed back from this hole we were in in march now about 9 off the record high for the nasdaq russell 2000 index of small caps with some small rer gains today as we saw with the overall Market Investors are now ready for another busy earnings after hours session featuring results from dropbox, uber, trip adviser and zillow well speak with dropboxs ceo about whether theyre seeing a jump in customers with more people work from home. And then well ask former treasury secretary, jack luw, whether he thinks the government is effectively allocating Coronavirus Relief funds joining us, stephanie link is still here first though to you, mike, on what was f a cyclical bent to todays rally. If you look at the groups that stood out, financials and materials is very different flavor to what weve been seeing late ly with some of the more defensive names doing better what was that about . You know, i dont know if there was really a theme developing here or if it was a reaction to any kind of data point. You cant tell me unemployment claims coming in zais disastrously high. I think the market is comfortably stuck as a whole if you look back a few weeks, its about at these levels no real net damage now were still within a couple of a percent of recent highs you have a lot of tactical rotations. Charts making the rounds about how growth has exceeded value performance over the last x number of years by the most in history virtually except for the year 2000 and it seems like everyone thinks there should be an impulse in another direction and on a one day basis, weve gotten a few of these. Ive seen a market rotating to stay still is theme weve seen for the last couple of weeks weve got our first Earnings Report book holds and our numbers reporting earnings of 3. 77 adjusted well below the estimate of 5. 64 revenue coming in at 2. 29 billion. That is above street consensus, but still down 19 year over year we also want to look at the ceo is saying here we have taken immediate steps to stabilize the company by reducing costs and bolstering our Liquidity Position the pandemic has profoundly impacted our economy and the entire travel industry another number to take into account is bookings. Thats a key metric to watch 12. 4 billion. Thats down, just emblemmatic of the challenges the travel industry is facing key question now is how is a reopening of certain states and economies aross the nation going to impact travel plans for americans and how much is a return to travel tied to testing and a vaccine . Today on hiltons Earnings Call the ceo saying a vaccine will be a game changer the ceo will be joining me exclusively on squawk on the street at 10 30 a. M. Tomorrow to further discus when we can see more americans head back out there. For now, the tok stock is down fractionally back to you. Thank you very much looking forward to that interview tomorrow stephanie, are you investing right now . Putting new money into any travel stocks . Airlines hotels any of these names look cheap to you . The only one ive been a adding slowly has been wynn resorts and i was encouraged by the commentary on their Conference Call. They cut the difr dend, eliminated it, but i think their Balance Sheet is much better they also offered, just went into the debt market and got some cash there, too so that would be the one i think this quarter wasnt really that surprising a negative 50 in terms of gross bookings, that actually is what we were hearing in the rumor mill and what expedia has been seeing, too, so i feel like that number isnt a surprise. Its going to be key of what they say on the Conference Call. The stock rallied 23 from the lows into the print. So i see why its selling off but there in the eye of the storm, its not a comfortable one i feel is worthy of an investment lets hit dropbox those earnings are out dropbox hitting a milestone here reporting its first ever gap profitable quarter shares in the afterhours are up about 2 but remember it had gain ed about 7. 5 in todays session. Gap earnings per share was nine cents and it hit that earlier than expected. It had first outlined to hit it at the end of the year adjusted eps was 17 cents. That was a beat. Revenue also a slight beat 455 million versus 452 expected increeds to 4. 6 million right in line with estimates. We are looking for usage numbers because it would have seen the benefits of the work from home trend towards the end of the quarter. They just put out a blog post outlining that ill bring anything relevant back for when we talk to drew houston. Thanks r for that roku numbers just crossing eps a loss per share of 45 cents. Revenue, nice. 21 million forecast, 307 million. Seeing active accounts of 39. 8 million. That was a little bit ahead of forecast of 39. 5 million 24. 4 per users. Thats just ahead as well. Streaming hours, fractionally behind for this quarter at 13. T13. 2 in terms of whats happened since the end of the quarter in march where streaming hours are up 50 year over year for q1 theyre saying in april that was up 80 and active accounts continue to grow fast in april quite a lot of wordy commentary about covid and what has happened in this time since the end of the quarter but seems like that is encouraging commentary as well as was the numbers themselves in the First Quarter but seeing it slip a bit its been a decent stay at home work from home cord cutter type of performer really strong rebound from march lows want to get to uber because those earnings are out share rs dropping in extended hours about 3 in the first number that i want to get to because it is a big one. Net losses double what the street was expeblcting. 1. 4 billion. About half of that is what analysts were looking for and it looks like ubers investments in those ride sharer, that accounted for more than 2 billion of those net losses. Uber did warn on this a few weeks ago thand perhaps thats why youre not seeing the stock drop more than 2 . Gross bookings were hit by the ko crisis but still managed to grow 8 because of uber eats rides, they declined 5 year over year. Revenue, excuse me, that came in at 3. 5 million and that is is 3. 5 billion, excuse me thats in line with estimates. Investors going to be looking at this massive loss number but key will be when we hear any commentary about what they have seen in april if theyre starting to see any kind of rebound like lyft outlined though from a very low base yesterday. Back to you. What was the active rider did they break that out like lyft did which was a nice surprise for lyft . It was a nice surprise. Let me continue looking for this and ill bring that back to you. Okay. Thank you. And quick programming note ubers ceo will be joining squawk box tomorrow to talk about these results. The stock is down about 4 it jumped 11 off those lyft results. I mean how do you think about what we just heard i mean it was up 11 today. Tough set up its gone from 14 to 31 from its lows to now. I think gross bookings were better than expected at 8 i was thinking more like six im looking at uber eats at 50 growth i was thinking in the 40s, 45 level. If im going to own either of these two, at least you have a business that favors them at the stay at home environment so but im not involved because i just cant get my hands around kind of the Business Models and all the spending theyre doing and the amount of losses that theyre putting up its really tremendous interesting move there. Uber after hours down 3. 3 of course that and lyft benefitted in the session today. Zillow numbers are out and dian oleic has those for us yes, zillow reported a loss of 78 cents a share. Shares are down about 2 in afterhours trading that is right along guidance of 1. 005 billion on revenue revenue guidance for q2 was much lower in a range of 577 to 620 million versus estimates of 627 million. Premier agent annual Revenue Growth accelerated to 11 from 6 in q42019 Traffic Group increased 16 annually driving 2. 1 billion visits during the quarter. Thats up 5 year over year. In its offers program, which was suspended as the economy shutdown, its i buyer program, it sold 2300 homes bought 1400 and has 1798 homes in inventory the ceo said they are actively starting to restart Zillow Offers likely within the next few weeks. At the end of q1, the company had 2. 6 billion of cash and investments on its Balance Sheet, the highest in company history. Barton said real estate is resilient and people still need to move and dream of moving perhaps now more than ever back to you guys thank you weve also got to get to live nation concerts getting hit pretty hard as well. Julia with those results thats right. The companys adjusted earnings are coming in at a loss of 94 cents. Thats a larger loss than analysts has been anticipating just a hair light at 1. 37 billion. But the key thing here is really what the company says about the future the company did announce how u hard it would be hit in the quarter due to the shuttering of all live events, but what they say here is looking forward out, further out given that 80 of shows have been rescheduled rather than canceled and we note all fans are holding on to their tickets, we believe 2021 could return to show volume at levels consistent with wa weve seen in recent years so no commentary about things restarting this year, but they seem confident about things coming back to prior levels next year so 2021 is the year there. Thanks for that mike, another very busy after Hours Earnings session with some significant movers again and i guess once again were seeing that the even without clear guidance going forward, the backward looking quarters are making a difference for certain stocks the notable one there. Right i mean partly because the stock prices in general have moved around so much so basically, the tactical action beforehand is has set them up in a certain way you have a good illustration of whether you want to say let me take a bet that these businesses basically at a a standstill like a live nation are going to come back sooner than not which would create upside because nobody really expects much or Something Like a roku where the benefits are essentially known and it gets credit for it up front and also nobody really cares about bottom line earnings so those are the two ways this market has traded on a given day. Not sure were going to get a verdict after hours today exactly how its going the play from here, but the uber number, yes, a bad set up. Yes, most of the loss that was not expected was just write downs of f those overseas investments, but i think thats going b to be an important big market cap on peoples willingness to look through this period theyre also showing huge growth in eats and freight in terms of the breakdown of uber diedra has more information on the quarter. You asked me about active riders uber calls them monthly active platform consumers so that covers its ride sharing business and uber eats, 11 in the quarter, but remember that uber would have started to feel the effects of the lockdown in the final weeks of the quarter, but again, uber eats proven to be b a strong point in terms of growth, its still losing money. Heres an interesting number i want to pull out asia pacific revenue grew 32 in the quarter. Now unlike north america, uber would have been feeling the harshest effects of the pandemic in asia pacific so the its interesting that was actually up 32 . Back to you. So now that youve looked through it, whos weathering this better . Lyft or uber i think its a hard question because they have very different Business Models. Lyft is focused only on ride sharing here in north america. Uber has this user eats business i know we keep talking about it being truongenistrong, revenue quickly. So at a time when uber is trying to cut costs, they may have a more difficult time doing that you saw this in the results, too, with other Ride Sharing Companies around the world so you have to wonder if its more difficult for them to pull levers in such a diversified and larger business. Thanks so much for that just want to bring out one other line of discussion in the roku report which says that changes brought about i knew youd go back there. By the pandemic may even accelerate rokus path to greater platform scale in the years ahead, we believe the vast majority of tvs will use a modern tv streaming operating service to connect to the internet stephanie, clearly, suggesting here that not only are they benefitting in the shortterm, but it will speed up up a theme we knew was out there in terms of cord cutting. Whether it feels in comcast or disneys numbers benefit. Theyre more insulated from the advertising weakness and thats whats plagued so Many Companies so thats in their favor. But this is what this market is. You have the stay at home stock beneficiaries like roku, like a dropbox versus these companies in the eye of the storm like a bookings holdings, uber, and you have to decide as an investor where do you want to go, where do you see the value you have to have some of the stay at home ben fas beneficiard you want to own some of the cyclicals and some recovery stocks because theyre going to recover more than the first group and youll be happy that you have some exposure there julia, youve got more on roku for us. Yes, i think its really interesting pointing out here how roku is both suffering from covid and also benefitting from it particularly in the advertising pace they say in this letter to shareholders here that they saw an increase in video ad campaign cancellations or delayed starts through u march primarily from categories hard eest hit includs travel, quick several re raunts, theatrical and automotive. On the flip side, while they suffered from those cancellations, they said that they believe that as the traditional Advertising Market shifts away from the tv up front system and shifts away from pupsing traditional tv ads theyll move more ad dollars on to the roku plat r form, but i think one of the reason we see shares down over 5 is because they are feeling a little bit perhaps more impact from covid than analysts may have anticipated. Interesting point julia, thank you thank you, stephanie link for joining us that was an intense after hours session there and mike stays with us. Still ahead, much more on todays earnings bonanza as we catch you down to ubers earning call well also break down dropboxs better than expect results and well ask jack lew about renewed trade tensions wh initcha are threatening hopes of a recovery. Thats all coming up u on closing bell when the world gets complicated, a lot goes through your mind. With fidelity wealth management, your dedicated adviser can give you straightforward advice and tailored recommendations. Thats the clarity you get with fidelity wealth management. To deliver your mail and packages and the peace of mind of knowing that essentials like prescriptions are on their way. Every day, all across america, we deliver for you. And we always will. So were working 24 7 toected 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. Shares of uber moving lower after reporting results just moments ago. Big, big loss. Though some growth beneath that in businesses like eats and freight. Joining us to break down the numbers, tom white and edal from bushsecurities along with mike here as always so tom, First Impression of the numbers and the share price reaction actually come back from some of the losses and had a pretty strong day today in the session. Yeah, look, i dont think the headline numbers look that bad to be honest you know consensus estimates kind of are a pretty wide range at this point. You just had people trying kind of react to how quick the Health Care Situation is evolving but if i had to nitpick a little bit, looks like a rides business is maybe a little bit light on gross bookings that might raise questions about what ubers market share position in some of its major markets was entering the pandemic you know in the press release, dara kind of hinted that maybe they were seeing some kind of green chutes or in the markets that are starting to open up well see exactly what that means you know lyft also last night talked about pressure on their business moderating, but in their case, it was the difference between negative, down 75 for the month of april versus down 70 kind of exiting the month. So not too much to get excited d about but well see what uber has to say kind of on these markets that are starting to open up a little bit on the ride sharing itself, compare or contrast uber and lyft over the past 24 hours for us well i think we have more to learn from uber on the call. The other thing b about uber is its international so it saw the impact from covid earlier. Given that, the fact that bookings were only down 4, 5 , i think thats a president obama otive. The overall numbers werent that bad. What we want to learn on the call which is what we learned from lyft yesterday is is what the demand the demand is like in april. You know lyft saw demand about 70 in the u. S i would expect something similar somewhere to uber. So what we want to see is what demand looks like in april how theyre trending there when you look at their results yesterday, put them tokt, combined, i think things are more encouraging than people were expegting just a few weeks ago. Mike, uber eats gross bookings, surging 52 . People ordering food, Restaurant Delivery at home does the stock move on the eats business is it big enough or just those ride sharing numbers, which are obviously way down as a result of the crisis . I think its necessarily big enough to move the stock whats interesting is that if you look back, wall street sentiment was pretty negative for the eats business seen as a bit of a drag on the overall performance and it was a complicating factor. I think long er term its an interesting kind of case, uber is, because wuf a lot of things that can maybe cause adjustments to the longterm investment case, the Business Model whether it be like i said the rider, all these unemployment people out there making it easier to pull in drivers and to essentially maybe not subsidize rides quite as much. Does it make it easier to find riders if people are unwilling to do Public Transportation r or are people going to buy r cars who dont have them right now to stay isolated. I think a lot of stuff is in the mix. Also though, the economics of the eats business. Its perceived as not really being in the sweet part of the food delivery food chain simply the delivery, the distribution r part of it. Tom wrrks do you stand on that longterm question as to whether this opinion opinion will change peoples tastes between wanting to get in a car, sharing with someone, own a car or public transport . Thats a question investors are really struggling with i dont want to hedge, but i think the jury is still out. You know obviously uber and lyft kind of the pitch from day one and certainly during the ipo road show was all b about replacing car ownership. Last night on the lyft call, you had their Management Team makin the claim that you know in a period of economic uncertainty, consumers are going to be unlikely or discouraged from making these kind of high fixeded cost investments like buying a car and also simultaneously theyre going to be square d scared awa from Public Transportation due to sanity issues then again, a report by ibm today suggested that a lot of people were interested in buy ing a karrer for those reasons so you know, its a a very big question unfortunately, its not a question were probably going get an answer to tonight on the call, but its something folks will be wrestling with for the next several months. Thank you both for joining us thank you trip adviser numbers are out. Seema has those for us a pretty weak set of results from trip adviser. Seven cents adjusted versus the consensus of 19 cents. Revenue well below street consens consensus. The Company Estimates daily bookings declined year over year general ly by more than 90 during late march and this trend, the company says, continued through april. The ceo saying quote, we believe we are currently going through the darkest days the company is implementing Cost Savings Program including a workforce reduction of 23 of its workforce. The company did announce that about two weeks ago, however, also, furloughs of an additional 850 employee or 22 of its workforce coming clearly taking steps here to address its liquidity concerns youre looking at the stock down b about 5 and it was already down about 40 year to date. Thank you up next, we will ask the ceo of dropbox whether hes eiseng a jump in users and how they ensure data is safe from hackers. Well be right back. Dropbox just out with earnings the company reporting its first ever profitable quarter. Were joined by drew houston in an exclusive interview thanks for that and drew, its great to see you and your first gap profitable quarter thats quite a milestone you guys reached that as much of north america was going into lockdown measures. Thats set to continue for some time with facebook announcing its going to let employees work from home through the end of the year m im going to ask you about your role at facebook later, but what are you guys doing to capitalize on the continuation of this trend for the next year . Well first this shift to work has been about as dramatic as you could possibly imagine and so its been really reward tog see customers relying on dropbox to help with that transition weve seen everything from a hospital in boston using dropbox to coordinate their response to lenders to help Small Businesses with their loan relief applications so weve seen record trial volume record ngagement the number of trials is up 40 so were certainly seeing the demand and how do you plan to capitalize what are you guys doing to get some of those Bigger Enterprises on to the platform well i think that this shift to remote work is going to last well beyond when we physically go back to the office. I think its a huge opportunity. Because right now, all the tools were using werent really designed for this environment so were really thinking about what if they were although were not physically together and even though we have plexab flexible ility and a hybrid mod how do a i get a sense of the people around me and whats going on in my team. These are the things were thinking about in terms of design standpoint. How do we help our customers with both this transition work, but all of the problems that today are unsolved because theres a ton of room for opportunity in that experience and this is and being a dlab rater, just being able to work effectively where you are is a huge opportunity you guys are seeing increased gaugement on the new desktop a. M. App i wanted to ask you b about you new role with facebook you joined in march. That was a move Mark Zuckerberg consolidating power among the board. How do you see your role there and do you think with the current board, facebook can hold itself accountable for some of the issues its faceded for a while in privacy and misinformation facebook is a transformtive company. It reaches billions of people around the world its hugely influential on all of us and its been a really great opportunity to get involved on a lot of these is e issues that i really care b about with some pretty incredible responses around the table. Its sara just back to your business so many large and Small Businesses we report on every day are really suffering were likely in a deep recession. How tough do you think its going to be to maintain both customers and pricing in this period well, i mean yeah, covid19 has been challenging for everyone and the human toll has been heartbreaking and our customers are suffering, too that can impact our business and any business fortunately, people need to clab b rate around content and they need to work and distribute and dropbox enables that it also represents a huge opportunity and if anything, weve seen more demand for dropbox with all the increases both in terms of more demand for dropbox and as you pointed out, our engagement is up we have more than 60 using our new app in the last couple of months and a need to have better tools to work in a flexible way. Has it intensified the competition though, drew we add aaron levie of box on earlier. Clearly the likes of google and microsoft and others are all trying to offer similar options to work from home. Do you think its attracted a bigger pushback against what you were doing already well i dont think, a competitive environment is anything new to us to get that flexibility and be able to work from everybody where and want a solution that can work with all the different ecosystems and tools were using because you might be using office but more and more, we see our Customers Using g suite and slack and zoom and this period has really validated that approach our zoom integration engagement is up 20 times normal volumes and i think theres a real demand to pull it all together and i dont see anyone else doing that quite the way that we are. Hey, drew, slack raised money last month to sort of take advantage of this moment and youve been hint iing at this, too, and talking about how this move cloud has just sped up. Is that something you would consider at dropbox, how are you if youre going on the offensive, make sure youre getting a piece of this market thats coming online at a much faster pace and competing with the boxes throughout yeah, well as i said, were pretty well positioned and a lot of the investments weve made to build strong fundamentals and now profitability leave i think are put us in a better position. So weve got a strons Balance Sheet and are going to continue to run the business and invest to get after the opportunity thank you stocks up more than 2 after hours. Thank you thank you and thapnks to drew. When we come back on closing bell, well ask jack lew about increasing trade tensions with china and how a new trade war could impact the economy and geico loves helping riders get to where theyre going, so to help even more, geico is giving new and current customers a fifteen percent credit on their motorcycle policies with the geico giveback. And because were committed for the long haul, the credit lasts your full policy term. The geico giveback. Helping riders focus on the road ahead. The treasury announcing this week it plans to boar renearly 3 trillion this quarter to support the economy. More than twice it borrowed all of last year according to a report out of the new york fed, less than 20 of Small Businesses have been approved for ppp loans meanwhile, 55 of maSmall Businesses in nebraska exexpect to receive funding so funds getting allocated effectively. Joining us now is jack lew, good afternoon to you thanks for joining us. Good b to be with you, wilf i thought id start on a broad point about the economy. Well get the Unemployment Rate tomorrow all expectations are that it will be at or around perhaps above 20 . I mean gauge for us how shocking that number and whether its realistic to be hopeful that it can fall quite quickly through the second half of the year. So its shocking but not surprising we shut the economy down because we had a Health Crisis so that its not a surprise that we have an enormous number of people out of work. It is a shocking number. I think that the challenge we have is the recovery will be dictated largely by the Health Situation and our ability to respond to it. None of us know precisely what level of return to normal well be able to go through and still stay safe. I think the best were going to be able to do is getting part way back to where we were. I dont see people filling sports arenas or airplanes or crowding into restaurants anytime soon so we know that there are going b to be parts of the economy that are slow to recover even if we come out of this well thats a little different than when it started. When it started, there was the hope that because we went down immediately because of the Health Crisis, we could come out immediately. I think the best were going to do is a slow recovery. I think when you look at the cbo forecast, theyre showing unemployment averaging 10 in 2021 and ending next year at 9. 5 so we are facing a long haul and i hope that as Congress Responds in this next round of the legislation, they put measures in place that provide critical relief like extended unemployment benefit that is go until the economy recovers, not just to a date certain, which is way too short. So it sounds like you think mr. Secretary were going to need a lot more help and stimulus from congress yeah. I think that as long as people cant get jobs because the economy is on partial recovery and the if were looking at Unemployment Rate thats in the neighborhood of 10 , we need these kinds of extraordinary measures my own view is we should keep things like extended Unemployment Benefits until we get say within twopoint of where we were before the crisis. We were at 3. 5 unemployment so until were at 5. 5 or 6 unploit. Were a long away way from there. I think you can see from the character of the political debate its getting harder and harder to get these things done. So when they do business in these next couple of week, they ought to be looking ahead not just the next three or six months, but they should put a mechanism in place that keeps the relief there while need and they need to turn their taepg to the terrible problems that state governments are having theyve lost are on the pathway towards losing 650 billion of revenue and they have expenses piling up because of dealing with the covid kriss congress has appropriated 150 billion. Thats not enough. Thats why the Bipartisan National Governors Association say iing theres a need for 50 billion of additional relief and that goes to states all over the country. I hope that this does not get to be politicized because what will happen if the states dont get relief is well be seeing layoffs of Public Employees and those are the same people were depending on now to keep Emergency Services going and it will hurt the economy if we have layoffs at a time when we need to be struggling to get people back to work so clearly you think more needs to m co. M from the government but what rating out of ten would you give mnuchins handling of this so far . I think the response early on was slow from the administration to embrace the severity of the Health Crisis. And frankly, to weigh the balance of economic and health risks. The economy cannot do well if people cant go to work because u theyd get sick so i think getting our hands around this earlier would have been better for the health and economic trajectory at the moment when they engage a time to get an economic package in place, i have to give everyone credit for moving quickly. Everyone knew it wouldnt be perfect. I have my criticisms and questions about some of the provisions, but moving with the speed ha they did is admirable i think in the execution, we still need clarifications of things like ppp. It was not a secret that small main street business did not have banking relationships that would giet them to the front of the line there needed to be guidance to get them to the fronted now. Weve been showing graphics from our states of play survey that cnbc has done polling about how people are feeling. Whether theyre feeling safe and whats interest iing is theresa stark contrast between republicans and democrats we found when it comes to whether they feel its safe now to go to hair salons, whether they feel its safe to get kids back at school really big differences why do you think theres such a partisan divide on these issues now . You know i think the national level, things have gotten very partisan i think if you look at the states, republican governors, many of them are dealing with this situation in a manner very similar to democratic governors. You compare ohio with the governor to california or new york. So i dont think its simply party line im not a political analyst. I dont do opinion surveys i think people are influenced by what they hear from the leaders that they respect. And i think it takes leadership for there to be an embrace that we need to do hard things in order to avoid worse outcomes and better results i dont think that leadership has been coming from the white house. Its been the opposite has it been coming from Vice President biden . You endorsed him on our show a few months back. Do you think this whole crisis has increased his chances of win winning the election in november look, as i said on your show many months before anyone knew there was going to be a Health Crisis, the, in my view, Vice President biden is the best qualified candidate for president. And the one most likely to win in a race against president trump. I still believe that today i think if you look at what hes said about the Health Crisis from the very early days in january, hes been saying all the right things i know how he manage d a crisis when i worked with him in the Obama Administration he was the person running the recovery act he knew how to get things done you have to deal with reality. You have to do the hard blocking and tackling of Getting Congress and the governors and private sector into the right place to get things done. He knows how to do all those things i think he would have performed in a dramatically different way and you know apart from governance and policy, theres moral leadership i think the empathy that he shows to people who need help is so strikingly different than the lack of empathy that we see today. Ive never seen it from a president of either party in my lifetime i dont know if youve been following the twitter war between treasury secretary mnuchin and p axel rose, probably the biggest thing in the last 24 hours, but axel rose took him on. Not going read it fully because it involves a curse word then mnuchin shot back saying what have you done for this country lately i guess we wanted to ask you if there were any famous rock star that you would have a twitter feud with, who it would be well, i didnt have a twitter account thep and i dont have one now so im the wrong person to ask fair enough i dont think its an improvement in Public Discourse that policy is debate and made over twitter got it. Understood thank you. Good to see you. Good to see you that one at least wilfred was entertaining for all of us still ahead, rokus Earnings Call set to begin in a few minutes. Well ask an analyst with a buy rating whether he is concerned about a surge in ad cancellations which seems to be pressuring the stock as jewulia pointed out. Now down almost 6 after hours i had good health insurance. Why isnt this covered . Well, then they started getting bigger. Eighthundred dollars. Eighteen hundred dollars. I saved for this. But not that much. Im glad i had aflac. They gave me money when i needed it most. Thats why aflac is here, to help with the Expenses Health insurance doesnt cover. I love that aflac duck. Aflac get to know us at aflac. Com i know that every time that i suit up, there is a chance that thats the last time. 300 miles an hour, thats where i feel normal. I might be crazy but im not stupid. Having an annuity tells me that im protected. During turbulent times, consider protected Lifetime Income from an annuity as part of your retirement plan. This can help you cover your essential monthly expenses. Learn more at protectedincome. Org. Breaking news on yelp. Don chu. We have yelp results out right now. Yelps stock right now moving at least about 4. 5 to the down side, about 110,000 shares worth of volume. Were looking at some of the results right now just preliminarily and it looks like we do see a miss on the earnings numbers and then the revenue numbers, my computer is stalling out. Better than expected and were looking for some of those comments out right now, but for those yelp shares they are moving in the aftermarket session on fairly decent volume, down 4. 5 and it looks like a miss on earnings and a beat on revenues for right now well bring you more, wilfred, as we know more. Thank you up next, shares of roku after reporting results moments ago and well dig into those numbers and discuss with an analyst when we come back im searching for info on options trading, and look, it feels like im just wasting time. Thats why Td Ameritrade designed a firstofitskind, personalized education center. Their awardwinning content is tailored to fit your investing goals and interests. And it learns with you, so as you become smarter, so do its recommendations. So its like my streaming service. Well except now, youre binge learning. For a limited time, get up to 800 when you open and fund an account. Call 8663009417 or visit tdameritrade. Com learn. Across america, Business Owners are figuring things out. Finding new ways to serve customers. Connect employees. And work with partners. Comcast business is right there with you. 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 getting some news on uber. Deidre bossa has that for us deidre hi, sara. Take a look at the share prices. They have turn around and now they are positive this as the call is kicking off. Theyre up more than 7 . Almost right off the top the ceo said that hes seeing some green chutes in the ride sharing business he says theyve seen week on week growth and this week is tracking to be the fourth consecutive week of growth he also said that he believes the u. S. Is now off the bottom so that is providing some optimism, and it echoes similar commentses that we heard from lyfts Management Team yesterday. Back to you. Fascinating turnaround. Up 7 . Roku shares continue to slide after hours, down about 6. 5 tom forte, and also with us mike santoli. Whats your take on why were down so much, all relative after a good run despite an earnings beat. First, thanks for having me on hope everyone is doing well there. First the comment by management that theyre seeing some pressure on their advertising business so to be clear, they still expect their advertising revenue to grow this year, but they are seeing some pressure there as they saw some of their advertisers scale back their efforts in march so that one what i would attribute the afterhours weakness to. If you think, mike, about the stock and the moonshot its been is it as simple, and i guess not with the advertising, but it seems as simple as people cut the cord, people switch to streaming which weve seen accelerate during these stay at home orders and especially as their pocketbooks get hurt as a result of rising unemployment by roku roku benefits. Yeah. I mean, its the intuitive successor to the bundle. Its almost like the streaming bundle whether through hardware or Software Services so its pretty much as simple as that the question is how big it gets and how fast it gets to be pervasive and can they make the economics work well, right depending on the price point of the device, getting embedded into television, so the whole story, i think, is very much in tune with what investors want to see in these times its the alternative to play internet tv besides netflix, and its want supposed to be profit until until next year. What is your take on the longterm view on roku and whether this crisis speeds up any shifts from traditional media to new media like roku does that apply here or not . Absolutely, wilf. So when you think about ecommerce youre seeing a rapid shift to ecommerce from physical retail and youre seeing the same thing in over the top video consumption that this is rapidly accelerating it and while this could play out well for roku is the movement in ad spent to ott from Linear Television so youre seeing the potential for a change in which Television Advertising is sold and maybe the end of the up front, and i think that roku stands to be a huge benefactor of that. What is, tom, their total Addressable Market and with adding user growth relative to the competition. When i think of the total Addressable Market i think of the 70 billion ad spend in Television Advertising from the user standpoint i think of them as a 30 million sorry, 30 million account platform with the opportunity on the global basis to have well over that number, potentially 100 million over time. They just started their international expansion, for example, launched in the uk. So from an account standpoint, i think they could have 100 million and from an advertising revenue standpoint its playing in that 70 billion Linear Television add market as it moves to ott tom thank you. Stay well appreciate it you, too. Another coronavirusrelated disruption macys delaying preliminary results on may 21st and june 6th. The recent outbreak on covid19 has had and will continue to have a significant negative impact in the decision to furlough the majority of its workforce has slowed the quarterly close process and wewill have a full Conference Call on june 1st theyll have to wait longer to know exactly how bad. Nonfarm payrolls are 21. 5 million compared to marchs decline of 701,000 it could be the highest employment Unemployment Rate on record. Estimates coming in around 16 , quite a wide range, though thats the medium estimate 8 30 a. M. Eastern time is when that will come out on the earnings front, we will hear from Marriott Vacations mike santoli, clearly slipping into the close wells fargo in particular, the banks are the best performing sector and a big, big selloff throughout the afternoon such that wells only closed higher by 0. 5 yeah. Its all the action on the upside has been before the market opens and we have gapped and then faded away. I think comfortably stuck i keep saying where this s p 500 is just below the highs and there will be a massive, perceived contrast between that devastating jobs number we get tomorrow and where the market is interesting, the market has been living for seven weeks with historic levels of unemployment claims and aside from super low treasury yields how this will even be reflected in the financial markets. We are out of time here thanks for watching. Fast money starts right now. Im melissa lee, guy adami, tim seymour, Karen Finerman and dan nathan uber making a giant uturn and what they said on the call thats got the stock moving higher one top technician says a major low is in the market and how hes betting on a breakout and later, the one man who sent a giant shock wave through the entire cryptocurrency market