Stock is surging to an all time high well have more on teslas big move in a bit. Right now, power lunch begins. Yes, it does the nasdaq at a record high today. The s p is about 7 below its all time high. Lets get to dominic for more. The markets like that camera, were higher. They are coming down now but still in positive territory. At the highs of the day is dow is up roughly 469 points they are up 277 right now. Pretty much 1 gains across the board. The s p 500 hovering right around 3150 and the nasdaq, well put a star next to it here because its created a new record intraday high two places in technology that are really moving. Check out these Etfs First Trust dough jow joan inte. Every single one of these tech oriented etfs has hit a record high some of it is covid related but watch those moves. Both of these showing pretty strong gains opinion surging in todays trade. Good time for some companies tyler, to be in the ipo market back over to you thank you very much lets talk about todays big job numbers with steve it was a stronger than suspected report but widespread pain in the jobs market and the economy and a tough road back. The estimate was 2. 9 million nearly a couple million more than what we expected. The high on that was 14. 7. Average Hourly Earnings down as lower paid workers came back into the work force. It was the initial jobless claims kind of defining this idea of people going back to work with claims still high at 1. 4 million. Lets do the covid19 score card 22 million jobs loss total thats from the february number. Oxford economics writes the healing process will be a multiyear development with Downside Risks from the renewed infections where were the jobs . 2. 1 million jobs gained back retail back strong we saw doctors offices open and manufacturing with some of the audiotape toes started up their plants again the data continue to show its important to note minorities have been hit hardest by the covid19 job losses. The africanamerican Unemployment Rate is come down but its still 5. 3 Percentage Points higher than the white Unemployment Rate and thats highest level or highest gap we have seen since may 2015 tyler. Thank you very much well talk about that gap between africanamericans and the rest of the work force kelly. Stocks are cheering the jobs report today dow is up 250 points despite the concerning surge in covid case, the s p is on track for its best week in a month. Kevin is president and chief Investment Officer the durability of this market surprise you yeah. Ive been overly cautious for kwiets so quite some time. I didnt think selling was a good idea if you owned quality equity and fixed income instruments. I dont see much difference in prior forecast i think the market is a bit over its skis stay at home, shelter in place, big tech, all of that. Some of these employment numbers will get choppier given the flair ups we have seen in 30 states and the tamping down of reopening may affect employment levels got a huge backdrop of liquid y liquidity. Would you stick with the new normal basket . The stay at home stocks. The big winners or would you look for the deep value plays elsewhere in the sectors hardest hit by the pandemic . One thing we see resonating is the theme of Innovation Companies will need to innovate and adapt to new societal norms and Shopping Behaviors that are likely to come out of the covid19 pandemic. Those areas include technology but not big cap. More so cyber security, artificial ntelligence we we still like bio tech to not only treat but to cure fatal diseases such as covid19 and riding out the ecommerce trend what do you think of everybody piling into these same kinds of themes. Absolutely, you want want to be where the real growth is is everybody hiding out with the same names its a good question. I do agree with ron. I think the markets have rallied too high too fast at this point in time. You can look at the pe of the s p 500 right now versus ten year average you have to be a lot more selective to find Growth Opportunities looking ahead. If you look just beyond the large cap names that have led this rally into some of the more smaller cap bio tech names or even other companies that sitz within the ecommerce eco system i dont think the amazons of the world such as the credit card companies, payment processors and warehouse and Distribution Centers can provide growth and opportunity for investors. People want to look for growth where ever they can find it on the one hand certainly acknowledge that i know ive been saying it for three or four weeks, i am concerned by the level of speculation in the market. Its tough to use this as a timing tool. Just from a historical perspective, what we used to call back in the 80, the cat and dogs on wall street, the low stock, penny stocks, ipos ripping, all of these different vehicles that are retail trade other yentsed, just from a his kol tar perspective, it makes me nervous. Kind of hard to time getting in and out. In the Second Quarter there was 170 billion worth of issueance of new equity. That changes the supply and demand balance since buy backs are on the wane. Hard to time got to be careful and selective. Sticking with discipline and grave at a timing toward kault thank you thanks lets get back to the better than expected jobs report for the month of june and what it signals about the pace of the recovery former mayor of new orleans and president and ceo of the National Urban league. Great as always to see you good to see you thank you. Its wonderful that we added nearly 5 million jobs, which is 40 more than that expectations were these numbers, if theres a nit to pick, its these numbers were plucked from the middle of the month before we started to see major rise in case count and some of the slowdowns and backing off of reopenings around the country. You make an excellent point these numbers do not accurately reflect the pain the American People are feeling lets put these numbers in more of a historical context. At 11 , that Unemployment Rate is higher than the highest Unemployment Rate during the Great Recession of ten years ago. That 11 does not count the six million americans who are working parttime who want to work fulltime or the four million american who is had their pay slashed. The number does not even if we look at the context of four million jobs, what does that mean with last month and this month, were still just one third of the way back to where the economy was in february. The hoopla is not well placed. The economy is still suffering well see gdp growth declines of significant level in both the Second Quarter and the Third Quarter and now we have spikes in 30 states which will slow down the recovery. What does this mean . Additional stimulus by the Federal Reserve and mainly the congress is absolutely essential. As enhanced Unemployment Benefits run out and cities and states that are prepariing budgets for next fiscal year face significant layoffs if you look at the four million in isolation but if you look in connection with the other things ive shared, this economy is in difficult shape. If there are major budget cut backs in, for example, new york state, california, other states around the country and layoffs in the municipal work forces that could bring another wave of major unemployment i assume you would favor the passage of the heroes act. The heroes act should pass for two reasons. Number one, municipal employees and state employees have been essential employees, front line workers. They are people in education, health care, people in law enforcement, people in Public Safety, firefighters, Police Officers many of the most important Public Safety and Public Employees we have. We dont want to see layoffs imagine the impact it will have not only on their families but also on the ability of the economy to come back when it is safe for the economy to begin return i think it has to be looked at multiple caveats with respect to what were facing. Its tough the look a Health Care Worker in the eye to say they will assist businesses having liquidsty challenges. The Federal Reserve help financial sfrss firms and clean up their balance sheets. Then what are you going to say we dont think we should do anything for you theres a moral issue here theres an equivalency issue here with the nation in the shape that its in to do the right thing. Im going to make an observation that may have a question embedded in it the United States has learned or been con fronted by many of the fa sells of inequality over the past six to eight weeks. Theres another facet and that is that unemployment for black americans remains four or more Percentage Points higher than for whiets americans we learned about inequality in health care and about residential living and housing and we learned a lot about inequalities in criminal justice. Do you think were learning lessons that we will really apply and make changes on the economic front, on the housing front, on the criminal front as a nation we must make changes. The numbers that you outline are the definition of Structural Racism and inequality. The fact that theres been no instance in the past 50 years where the black Unemployment Rate has equalled the white Unemployment Rate. No instance in the last 50 years plus and im using that context because thats the emergence of the availability of really good numbers. The Health Conditions of or life kpa expectancy of that equated that to whites. Thats the definition. Do we tolerate that as normal in do we make excuses about it as a nation or do we confront the fact that fixing it and repairing it is not only good for africanamericans, its good for the nation at large. It improves the economy. It creates gdp and productivity. Thats what i think investors and Business People have to understand tackling this issue is not only a social good, its an economic good its so critical that we do it because in the last several weeks these inequalities have laid bare. Lets con front this lets deal with it can great nation with an economy, with the intellectual capital that we had, can it position itself. Can it tackle these issues i want to believe yes but its going to take tremendous good will more than a conversation its going to require action thank you the conversation continues good to see you. Well see you next month thanks very much happy fourth. You too coming up, while america tries to get back to business, coronavirus cases are spiking. Hitting a record high of 51,000 and in some states testing is falling behind we have a special report will a summer of uncertainty lead to fall at home for kids . Theres much more power lunch right after this when the world gets complicated, a lot goes through your mind. How long will this last . Am i prepared for this . Are we prepared for this . With fidelity wealth management, your dedicated adviser can give you straightforward advice and tailored recommendations, with access to taxsmart Investment Strategies designed to help you keep more of what youve earned so youll know youre doing what you can for your family and your future. Thats the clarity you get with fidelity wealth management. For your family and your future. Now is the time to support the places you love. Spend 10 dollars or more at a participating Small Business and get 5 dollars back, up to 10 times with american express. Enroll now at shopsmall. Com. Welcome back we have a news alert for you from the cbo on its tenyear Economic Outlook the nonpartisan Congressional Office just out with its outlook suggesting the Unemployment Rate will peak at more than 14 . It will come back down and end the year at 10. 5 . Next year the Unemployment Rate would end the year at 7. 6 2022 could be at 6. 9 . Importantly, the cbo does find that the Unemployment Rate will remain elevated above pr prepandemic levels throughout the tenyear window. As for gdp, the cbo projecting that gdp will end this year at negative 5. 9 but rebound in 2021 to 4. 8 real gdp over the course of the next seven years would hover around 2. 1 to 2. 2 below what they expected during the prepandemic time period this just shows you how long the impact of the virus could stay with us. Thank you u. S. Coronavirus cases just hi hit a record high. Testing in stiemome states is getting pushed to its limts. These are record numbers of new coronavirus cases that were seeing states reporting more than 50,000 across the whole country and florida, this morning reporting a record more than 10,000 new cases in that state you can see this is list of hot spots. The top three places seeing the fastest case doubling times, jacksonville, orlando and tampa. Thats putting strain on the testing systems. Around the country were seeing a strain on these. This is video from sunday in florida at a testing site. What were hearing from the biggest testing providers quest and lab corp. Is the demand for testing is pushing the turn around times for returning the test ever longer quest saying three the five days for those that are not prioritized like people not in the hospital or Health Care Workers with symptoms. Lab corp. Saying the time doubling to to to four days. We have increased capacity were now over 600,000 tests per day. Thats double what it was in beginning to middle of may that is not enough you can see here that almost no states even meet the lower mitigation target level which they say would require more than a million tests a day. Almost twice what were doing now for suppression just a few sfa states like montana, alaska and hawaii, they say we need four million daily tests. Still a long way to go yeah. The numbers are very, very sobering still ahead, tesla surging to a fresh record high as the electric car makers delivers for the Second Quarter the stock is up nearly 200 this year can anything stop this ride. Tesla not the only auto stock kicking into high gear avis budget up 20 after an upgrade from Morgan Stanley as the used car market is on fire well explain the connection and the details, next. Feeling stressed . Try new natures bounty stress comfort. Three unique gummies for your unique needs. Find peace. Boost mood. Sleep well. Stress comfort comes naturally, only from natures bounty comes naturally, youre first. First to respond. First to put others lives before your own. And in an emergency, you need a network that puts you first. That connects you to technology to each other and to other agencies. Built with and for first responders. Firstnet. The only officially authorized Wireless Network for first responders. Because putting you first is our job. You should be mad your neighbor always wants to hang out. And you should be mad your smart fridge is unnecessarily complicated. Make ice. Making ice. But youre not mad because you have e trade which isnt complicated. Their tools make trading quicker and simpler so you can take on the markets with confidence. Dont get mad get e trade and start Trading Commission free today. Welcome back to power lunch. Summer vacation is looking different this year with americans opting to drive for the fourth of july weekend rental car searches are up lets discuss with your trading nation team today. Great to see you both. How would you play it . Here is how i play it i look at this upgrade on avis and make a couple of o observations the stock is up off of the lows. I see this i look at the track record of the upgrades id rather be fading this upgrade than buying it at this point in time. Its uch about 65 off the lows. You have another 5 to go to get the major over head resistance level. Im buy a break out above that and buy o rerilly before avis nancy, how about you . First, i love your jacket yours too craig and i did not rehearse this i picked oreilly out of the stock for fundamental reasons. Margins are greater than 50 they grew sales in the march quarter year over year by about 2 the Free Cash Flow yield is 5 i think the avis play is done. If you make some money from here, it will be a riskier trade from this level. We think it should be given a second look. What about carmax its a great company. Its a great space in the car segment. I dont have an opinion on it. We have never owned it im sorry. Same question to you craig. This is the high flier name. What do yo u thiu think about cx in. I think the best riskreward opportunity is with o reilly. It looks like thup grade is late to the party thank you enjoy the fourth we appreciate it today head to the website or follow along on twitter ahead, facebook under pressure again today will the company eventually fold under the weight of an ad boycott . Tesla blows away estimates with its delivery numbers can anything stop the worlds most valuable car maker and some parts of the country are a little more than a month away from a new school year will children go back to the classroom . What will they find when they get there . All that coming up on power lunch. Plap you cant predict the future. But a resilient business can be ready for it. A Digital Foundation from vmware helps you redefine whats possible. Now. From the hospital shifting to remote patient care in just 48 hours. To the university moving hundreds of apps quickly to the cloud. Or the City GovernmentGoing Digital to keep Critical Services running. You are creating the future on the fly. And we are helping you do it. Vmware. Realize whats possible. Welcome back here is your cnbc news update. Federal prosecutors say a key associate of accused sex trafficker Jeffrey Epstein should be detained she was hiding on a farm in New Hampshire that she purchased for cash using a Shell Company to hide her identity. She faces up to 35 years in prison for her alleged crimes. Maxwell was amoung epsteins closest associates and helped him exploit girls who were as young as 14 years old. In some case, maxwell, participated in the abuse herself. Former president ial candidate herman cain has been hospitaled he attempted trumps rally in tulsa on june 20th and traveled to arizona but we do not know how he contracted the virus. Youre up to date. Back to you. Thank you very much. Lets check on the markets right now. Highs after the jobs report this morning had the dow up more than 400 points were still hanging onto some decent gains of more than 200 for the blue chips better than 1 now the s p and nasdaq gaining over 1 . The russells are lagging check out the big names that are driving the move they wont surprise you. Amazon, microsoft. Nvidia hitting a fresh record high today tyler. Thanks, kel. A big issue many parents face right now and over the coming weeks especially working parents is whether schools will open in the fall and if so, under what circumstances. Ylan is taking a look at what might happen to the covid class of 19. Its clear that classrooms will look pretty different this fall think about socially distant desks and teachers Wearing Masks and lots of sanitizer everywhere all of that comes with a cost. The average School District with 3700 students is projected to spend 1. 8 million on just the Public Health measures alone multiply that by 17,000 School Districts across the country and the price tag could be as high as 30 billion to keep our classrooms safe. Thats not the only cost the School Systems are facing. They are looking at investing in technology in order to help kids learn online they need extra academic support because some students might have fallen behind and theres the budget cuts that are in jurisdictions now being strapped for cash education officials says that means that the total costs for reopening schools this fall could reach 245 billion many parents are divided whether to send kids back. Only 32 say its safe for kids to go back to school 47 say its not about a fifth of parents say they are not sure. They dont know what to do i dont think im speaking just for myself when i say parents want some clear guidance and not really getting it from education officials, elected officials or the Public Health officials. Back over to you all right thau thank you very mump. Some stats like new jersey, connecticut, massachusetts already announcing plans to reopen Public School for inperson classes this fall. Just a short time ago, new yorks mayor said they are moving ahead with plans to reopen schools in september. Our next guest is out with a recent oped pushing for more schools to be open she argues we cant get the economy going if we dont reopen schools. She says that keeping kids out of classroom will do them considerable harm. You make an interesting and i think persuasive case there will are risks to health, to Educational Development and personal and social development from not opening the schools we heard that 47 say its not safe i think parents looking for guidance im glad to see the momentum is shifting and a lot of the state officials are saying we are going to do our best to get everybody back in the classroom but for months they have been saying stay in your homes no matter what and children are at risk too your family could be at risk if you send your children out i think parents have taken that message to hareart and now every one is scared stiff to send their kids back to school. The messaging will have to change over the summer and people will have to be clear about what the specific risks are and that children are frankly at the lowest level of risk you believe that parents basically are being over over worrying the situation is that too big a leap i think thats true they are taking the message from Public Health firofficials and School Officials and politicians that have said we need to just stay home as mump as possible. I understand their concerns but i think we live in a society where we try to minimize all risks for children and that is influencing this we just live in a world where were trying to minimize that risk and this is a very scary virus and parents want to minimize the risk but a lot of parents have to make some very hard decisions about the fall i terms of their own economic output you have Young Children i have a teenager who is starting high school in the fall how do you social distance in kindergarten how do you create a safe space among the primary grades like that where theres a lot of interplay between children how do you keep your hands to yourself they cant do it under normal circumstances. How do you force a 5yearold to wear mask all day . Its impossible the cdc put out these recommendations. I read them and said has anyone ever met a 5yearold. These were ludicrous they wanted kids to not only keep their hands to themselves, stay apart, put on masks, never touch the same toy that somebody else touched wash their hands for 20 seconds after they use a tissue. I dont know any Kindergarten Teacher who will be able to manage this kind of insanity t there will be risks. Some kids will get it. We have to be realistic about this we cant look at the my concern is you look at the guidelines and some districts will throw up their hands and say we can never manage this so we better stay online until theres a vk seen. As you move into the higher grades, what about a hybrid approach where some days the kids are doing distant learning and some days they are in the classroom to foster the kind of social distancing that we think we know mitigates the spread maybe you can handle that at the High School Level to some degree a lot of kids have not been checking into the zoom meetings that happen this spring and will parents be able to stay home even if they dont have to monitor every bit of work, theyll have to make sure the kid is getting online and listening to the classes instead of just goofing off at home. Thats one concern Online Learning has not been proven to be effective parents are very upset with how little their kids have learned over the last few months theres going to be huge amount of slide you already see slide over the summer in terms of academic outcomes a its the worst for kids who are at the bottom youll see more of that as this goes on and on i hear your point and i agree with you i think theres a Technology Gap between better off families and those who are less in making sure that all kids have the technology to hook in. Theres a big gap between rich and poor its not right its also a big gap in terms of Parental Monitoring even if you have the technology, a lot of upper class parents can be at home they can stay home with their kids they can help them with whatever glitches are in the zoom meeting or printing out things or helping monitor the kids work. Parents that are in the service industry, what are you doing to do leave the kid at home and say figure it out for ourself. Totally agree with you on that theres a lot more process involved in distance and computer learning than there is in a regular classroom let me tell you, lots of process doesnt work with 14yearold boys one of whom is standing right over there now thanks very much we appreciate it have a good weekend. Kelly. The list of Companies Joining the facebook boycott keeps growing. Will the company fold to the pressure well explore that an electric car Company Riding today after reporting record delivery numbers it aint tesla well tell you this name after the break. When the world gets complicated, a lot goes through your mind. How long will this last . Am i prepared for this . Are we prepared for this . With fidelity wealth management, your dedicated adviser can give you straightforward advice and tailored recommendations, with access to taxsmart Investment Strategies designed to help you keep more of what youve earned so youll know youre doing what you can for your family and your future. Thats the clarity you get with fidelity wealth management. Welcome back we start with spotify thats been one of the hottest stocks around more than doubled. Today its rising up more than 5 spotify is considering adding streaming video features in other words to compete with youtube. Spotify almost 273 a share now. Tesla isnt the only electric car company reporting big delivery numbers nio shares are up 18 today. Well end on mu skin which is soaring after raising revenue guidance people are getting more comfortable with buying products, including skin care, online nuskin is up 25 today ty to the bond market we go rick santelli. The treasury market closed a little early today about 45 minutes ago if you look at tenyear note yields we settle with 66 basis points up two on the week. We came off our best levels around 70 basis points due to better than expected jobs data if we consider the Federal Reserve has a lot of fire power. One of the areas its concentrating on is Investment Grade in high yield corporate securities look at an lgd one week chart. Its about 135 its had a good week when you open it up to 18 years when it all started in 02, today looks to be an all time new high close for the Investment Grade etf its diverge frd from the high yield. They are all doing well. We like to say happy birthday america, 244 years old tyler, back to you have wonderful fourth of july weekend Mark Zuckerberg and elon musk two of the best known ceos in america right now musk is celebrating a huge success and soaring stock and Mark Zuckerberg is facing a major backlash both of their stories coming up on power lunch as consumers are trying to figure out whats gonna happen next in the market, can i get rich quick . , companies are saying we dont know how we are going to be doing in the next couple of months. Were withdrawing our financial guidance. So, there seems to be a massive disconnect between whats going on in Corporate America and what investors are believing is going on in Corporate America. The message to you dont trade because you think youre gonna get rich quick. Because you think. Facebook, the company, has been under a lot of pressure from advertisers, but facebook,. Its 4 away from its alltime high it set last week. Julia boorstin following the facebook saga for us julia. This week facebook southeastern executives are busy calling the brands boycotting them facebook trying to tell them about the steps theyve taken in the past week to crack down on hate speech. The organizers for the stop hate for profit boycott said more than 500 Companies Including target and unilever committed to pause something social media advertising. Mark zuckerberg takes these matters seriously and dont benefit from hate but said were not going to change our policies or approach on anything because of a threat to a small percent to our revenue or any percent tonight our revenue. Facebook has a track record of responding to advertiser pressure it responded to Procter Gambles demands it remove violent and offensive content in 2017 and to targets demands that it remove the sale of Illegal Drugs and broad demands for independent verification of advertising views on the platform while facebook shares are down about 1 today, pretty much flat over the past five days, laura martin with a hold rating on the stock lowered her estimates for earnings and estimates for facebook and says the ad boycott could last until november. Do you think zuckerberg gets it is the financial pressure getting through to him when he says were to the going to change our policies, no how, no way for any percentage of our revenue . Look, i think he wants to get credit for the fact theyve taken huge strides over the past several years since they had issues over civil rights theres an issue where they were starting based on racial characteristics and had to stop doing that and agree to a civil rights audit and announcesed changes in the past week he wants credit for the fact that they were addressing these issues and doesnt want to look like hes folding to pressure. Thats part of the issue here. We have to remember that facebook has 8 million advertisers, no single advertiser, not even these 500 are going to have as meaningful an impact as if say all the Small Businesses in the world wanted to boycott. Julia boorstin, thanks very much have great weekend you too kelly shares of tesla continue their tear over 1200 a share now. Thats a new record high of course up now more than 8 today. About 25 this week. Ceo elon musk is trolling the short sellers on twitter tweeted who wears short shorts with a couple of laughing crying emojis there you can see it up next were going to talk to an analyst whose price target is below 1,000. Looks out of touch now does he think the stock has run too far too fast well dig into that. Watch or listen live on the go on the cnbc app. Were back in a couple first up is this exquisite bowl of french onion dip. Im going to start the bidding at 5. 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. Get e trade and get more than just trading if youve had the coronavirus, youve got a lot of fight in you. And youre in a special position to help us fight back. The plasma in your blood can literally save lives. But we need to act fast. Please donate plasma now. Please donate. Donate. Donate. Donate now. You fought for your life. Now lets take the fight to covid19. Go to the fight is in us dot org to find out how to donate. Shares of tesla hitting a record high as the Company Beats delivery targets for the quarter and the stock up nearly 500 from its 52week low phil lebeau joins us with a closer look at the numbers hi, phil. Tyler, this was a blowout quarter for deliveries no matter how you look at it nobody was expecting them to come in this strong. Might have been an outlier but the consensus they were going to deliver 72,000, a number of analysts thought it might be closer to 80 or 83,000 they ended up delivering 93,650, the majority more than 8,000 being model 3 and ys they dont break it down in terms of country they were built in they have the factory in shanghai and plant in fremont. Can they hit their guidance of delivering at least a half million vehicles this year in order to do that, they need to deliver 322,000 vehicles in the next six months. As you look at their market cap and i know weve talked about this over the last couple days, yes, it is the most valuable automaker with a market cap of 225 billion, but i find this more incredible, in the last year the market cap is up 182 billion. Thats whacky stuff. 182 billion market cap improvement in one year. Up by that much. Yeah. We dont say it that often. Stay there shares of tesla up 20 in the last four sessions its been on such a tear its left price targets in the dust theres quite the spread the highest priced target is 1525, the lowest at 275. The average 750. Its been a fast and furious rise for the companys stock lets bring in colin rush, managing director and Senior Research analyst at oppenheimer. Where are you on the stock i know four days ago our price target was and were as we look at grappling with the stock, certainly things are shifting around with the amount available and inflationary pressures but underlying on tesla specifically its trying to get the right production model. As we look out to 2024 our valuation numbers are based, we see as much as 40 or 50 upside to those production numbers if they execute on some of the plans they talk about and add a little more to some things theyve put in the cue. To be clear, youve got i believe 986 price target on the stock which looked bullish, now looks too low. If youre focused on the production numbers what do the recent quarters run rate tell you about whats feasible now . So theres two things one the facility at the end of the day, the Financial Model has a ton of operating margin in it from the manufacturing market. So thats going to be the number we look at as they report numbers later this month where are they and how fast are they driving down costs. Certainly, you know, view into the china factory has been the design for the factories we get a better view on whether their overall cost structure i will say in addition to that i think there is a couple of iterations on their power train and the Battery Technology that can come out and we think thats also going to with the Gross Margins over time. Phil, let me turn to you, one of the things colin mentioned is the importance of china. How important is that for teslas future especially at a time were highlighting how well also doing. Dont compare the two neo makes vehicles far different automaker and size in terms of where its at right now. China is massively important not just for tesla, but for the entire Auto Industry biggest auto market in the world, electric Vehicle Market in the world and a government that is intent on pushing people to electric vehicles you combine all three you have the potential for huge growth there and thats why people are going to be so focussed on whats happening in china in terms of tesla deliveries. All right phil lebeau, colin rush, thank you on another big day for tesla. Tyler, what are your weekend plans . Were going to take a few days off head out to the beach on long island and ill see you after a few days have a great weekend. You too happy early fourth, everybody. Dont go anywhere, closing bell starts right now it does thank you. Tyler, kelly welcome to closing bell. Im wilfred frost with Morgan Brennan in for sara eisen. A positive but volatile day on wall street. Whats been driving the action, more jobs added and a better than expected picture of the labor market in the u. S. That sparked a big rally at the open as you can see just there but we lost steam as new data showed the virus surging in parts of the country questioning the economic recovery and whether it can continue at the current pace and focus is turning to future stimulus from washington will these key packages be extended past looming deadlines towards the end of this month