The print papers revenue. Mark thompson, one of nigh favorites will be here for an inclusive interview. Power lunch starts right now vaccine hopes and more stimulus on the way is helping Investor Sentiment loes that weve seen, the moves today, the s p 500 roughly there abouts is now, get this, roughly just 2 away so it may not be at records just yet one other place that was giving that stock a big boost off the session highs. And capri holding, the Company Formerly nose an michael kors are reporting sales that may be getting back to normal biff, both of those stocks well off the highs of the year. The gdx ticker there that tracks is up far more than prices, so, yes, gold continuing that run. Back over to you lets take a check of is the bond market. The cme, hi, rick. We had some powerful data and what did that do it gave us one of he rare bounces. But its all about Foreign Exchange asdom pointed out and they you aro seems to be king they seems to have gotten their issues in rough order. Look at the dollar versus the offshore yuan. The dollar is suffering a bit here, lowest levels since march, but flip it around, its hovering around here best levels in six year. Kelly, back to you. A lot of great stuff in there, thank you, sir. S jack, what will you be a buyer every . I would do it in a technologyneutral way, given that the s p 500 has roughly 27 dedicated to tech, annual only about 8 or so if you can do it and keep that tech exposure intact, youll get into a is it cheaper market with a tailwind of a weaker dollar behind you. My team and i tend to look at this in two distinct time frames those leveraged to stay at home will continue to blow away their earnings those should continue to experience tailwind. When we look at post election as we play a cyclical recover in sector sectors so well have evaluation support and surprising Earnings Growth thats a unique situation. So we like for the long term to look at those sectors that are cheap. Its a great point. Much better earnings than was feared you know, the momentum is on an upswing. Why not go for u. S. Stocks. I think its where we are in the cycle. Their economy is coming back in force much quicker than ours also, theyre trading at a discount, so you might as well buy growth at a cheapers valuation. I think you can still own foreign names and keep the technology weightic the same all in all its been a pretty good trade trading between 6 , 7 , probably higher than the major peers and some of the currencies probably 10 , the end almost 20 . So, greg, before we go, i do want to minks, its a tricky one. Obviously as soon as we do get the breakthrough news, you can see this massive pentup demand being release d so here, too, yo have to look at two time frames. What we are seeing now is restaurants that ares structured, have at this point attracted the attention, as they should things that are levered to an a. M. Mix have been out of favor. Things that are levered to more of the lunchtime and dinnertime, and that are built for and on a platform of delivery, theyve been able to thrive in this environment. I think youll continue to see that as you rightfully point out, once we are past the vaccine, and once we have attained the herd immunity we are looking for, theres a lot of pentup demand i think youll see powerful Earnings Growth in the rest of the group in 2021, so the question is when do investors start to Pay Attention to that 2021. Thats the big quick. Thank you both for talking us through these markets. That is the best background i think ive seen. The haircut wasnt bad, either hes looking pretty hot there. Rackspace and bigcommerce, who Tech Companies from texas, leslie picker has more on these companies. High, leslie. Both companies, youre right, they are tech sass, thats software as a service. Thats about where their ipo similarities end take a look at shares of bigcommerce, that stock tripling this is a austinbased competitor to shopify, and then apollobacked rackspace. Plummeting after pricing at the low end of the range so what manx bigcommerce soar while rackspace sours . There are many factor, but it largely comes down to growth rackspace had practically about the same revenue but bigcommerce jumped 22 even though rackspace has gone toward a recent transformation, it seems like they have seen the rackspace before especially during these uncertainly times, guys. A question by followup rockmortgage expecting to trade tomorrow. Rocket companies, thats the apparently company for quicken loans, rocket mortgage, as you mentioned, they are having pricing discussions right now, according to people familiar with the matter. The conversation they have shared is that, you know, demand is lower than expected they have already lowered the price range. He didnt have a filing on this. They communicated a lower price range to investors at 18 to 20 a share final decisions will be made after the close today in a brings the size of the deal down to about 2 billion, which is down about 60 from what the were targeting i put this in the camp of rackspace. Theyre just having trouble getting the demand out there. Coming up, the dow and s p 500 higher for the fourth day in a row. Materials and industrials leading the way. I havent said that in a long time New York Times beating earnings this morning. The stock is lower even as the digital revenue tops print revenue for the first time outgoing Ceo Mark Thompson jns usex nt. Oi you say the customers make their own rules. Lets talk data. Only Xfinity Mobile lets you switch up your wireless data whenever. I accept. 5g, everybody is talking about it. How do i get it . Everyone gets 5g with our new data options at no extra cost. Thats good. Next item, corner offices for everyone. We just have to make more corners in this building. Chad . Your wireless, your rules. Only with Xfinity Mobile. Now thats simple, easy, awesome. Switch to Xfinity Mobile and save up to four hundred dollars a year on your wireless bill. Plus, get two hundred dollars off when you buy an eligible phone. Shares of New York Times are down a bit despite a Second Quarter earnings beat. The newspaper giant added 669,000 total digital subscribers. Ad risen dropped by double digits for the first time digital revenue overall outpaced print risen. Here is Mark Thompson, the ceo and president of the New York Times. Welcome and congratulations. Youre stepping down in a couple months to be replaced by your c. O. O. Congratulations on a good run at the times. Thank you. I know one of the things you wanted to do is push the times into the digital present or the Digital Future how would you say its gone . Now youre leaving with digital revenues greater than print revenues. Its a big watershed moment for the company. We dont think its likely well go back from this moment the times is a physical paper. Its a great newspaper it remains pretty strong, which is why its taken a while to see this crossover point, but digital as grown enormously over the last eight years when ive been chief executive Something Like 360,000 digital subscribers, and were getting close to ten times that, 5. 7, i think digital subscribers. And total subscriptions are four times what they were indeed as much as much larger than the glory days of print times. So weve made progress and increasingly a very big audience, we reached 240 Million People in a single month that makes firps and foremost, most of them get on the smartphone many will never have seen a copy of the fill paper. More and people do consume it online and i guess im one of the oldschool types that gets the print paper. I also spend a lot of time on my telephone, probably more of my news product on my telephone than sitting down, except on sundays when i have more time for that lets talk about ad revenues those were down. Whats going on . We performed a bit better on the digital side than we thought we would, but essential what we are seeing is the very significant nearterm impact of covid19 the whole industry is feeling that were certainly feeling it because of the changes we have made in the Business Model, though, advertising is a quarter, in some quarters less than a quarter of our total economics, so above the advertising the losses are significance, but looking at the profitability as a whole, the picture is much more mixed what the market has seen is the underlying engine of digital subscription growth, with really quite spec take lars yearoveryear gains. Lets talk about your goals for subscriptions overall. I think if im recalling quickly, you set how achievable is that and by when . Well, i set that milestone for the company not more than 18 months ago, early 2019 when i said companies should aspire to 10 million total subscribers by the middle of the 2020s. Inside the building, people were saying, mark, how will you do that here we are 18 months later. I think we have 6. 6 million, so were pretty much two thirds of the way there with another five years to go i have to say handing over the reins, i think 10 million is inevitably achievable, and if anything, the company is ahead of schedule. I think we should reset our idea of how big a subscription for a News Organization could be the past few years, some would say ironically have been remarkably good for the New York Times despite the assaults on the times reputation in many quarters, including from the white house, the failing New York Times, which clearly it is not, are among the refrains that we hear. You have spent a career in journalism how healthy is journalism today, in your view you can talk about the times, more broadly youve worked at the bbc, print journalism here, what do you think . How healthy . Well, dickens line from the tale of two cities, its the best of times, the worst of times. I think you can have a fabulous profitable business, but elsewhere were seeing threats to journalist particularly at the metro left in the u. S. These are organizations that often had the scale to get the engineering, the computer science, the Digital Product people in to create really fabulous digital experiences theyre seeing the print businesses, even their existing Digital Advertising under pressure so i think there was a reckoning coming, and i do think that the Public People in the media, our industry, the regulators, and in some cases even will have to think quite hard we need the public the world needs great journalism now more than ever, to finding sustaining model will be even more important i think well see more failures than successes, im afraid to that extent New York Times is the exception that proves the rule, i think. I know you just said the world needs great journalism, but the watershed moment for many people vab the collapse of free speech and stead thought, the resignation of barry weiss, in her departure intellectual curiosity is now a liability at the times, standing up for principles puts a target on your back does the New York Times really stand up for great journalism still . I believe it does barry was an opinion writer, and shes certainly got opinions the obviously, in our news pages, online as well as in the paper, the times always striving to be objective. As for opinions, this is an incredibly polarized time in this country and the world, and some of that polarization and some of those arguments inevitably happen inside our building i think it would be rather weird if New York TimesOpinion Department was entirelies insulated from the anger and tension thats there honestly i have agreed admir for our outgoing head of opinion, and a. G. Salts burger our publisher i believe are all passionately implied to expressing a broke broad range of views, perspectives from the right as well as the left, and from every kind of diverse walk of life. I still believe thats part of our an important park of our mix s ime. Im just not sure that the broader public believes that i think in her her as well, she says a new consensus has emerged in the press, but especially at this paper that trust isnt a process of but orthodoxy already known for an enlightened view, and most people see New York Times opinion section in particular as leading this entire move in society. All i can say is im a journalist myself of four decades standing i grew up in a completely impartial environment in the bbc. I absolutely do not believe what the New York Times either does or should do i recognize theres a debate around the boundaries of what is acceptable in political discussion, and discussion on difficult and painful issues around race and diversity and so on i believe the times should be a platform on which that debate takes place, and, you node, within sensible bounds, you know, perspectives, intelligent contributions from every position should be represented. I want to turn the conversation maybe 20 degrees to port here, and talk about the fact that not only the New York Times, many, many News Organizations including our own, nbc and our parent, were perceived to be and probably were in 2016 way, way, way out of touch with the country we didnt get it right in terms of polling, in terms of analysis, in terms of a lot of things that were going on in the United States do you feel confident that the New York Times is now better positioned as a journalism enterprise to get it right this time i ask that in part because i think there is a perception as kelly seems to be hitting at here that the times, even if its news coverage, begins from a critical point of view with respect to the administration and the president , and that in doing so, negates or doesnt consider those parts of the country vast red parts of the country if you look at the electoral map, that support of president. Are you better positioned day than 2016 to get the to read the country right . So its a fair question one of the benefits of the success weve had on the business side is weve got more money to spend on journalism we have hundreds more journalists now than we did back in 2016. Weve got a substantially big are newsroom that makes Good Business sense texas is a great market for New York Times now. Ohio is a great market we are reaching new subscribers across the country and, you know, i want to say across the spectrum as well, we do probably have liberal subscribers more than but were reaching deep into the land. And hes fully committed to americans across this country, to absolutely include the experience of those living in red states as well as on the coasts and in the liberal heartlands i want to say u. S. Elections are close to call. We went into 2016 saying it was strongly likely Hillary Clinton would win, but there was a real chance that donald trump would win, as he did i think this is not really about shouldnt be really about contradicting a horse race its about are you doing justice to the breadth of the debate and the way in which politics are playing across the u. S im absolutely certain that dean and his colleagues are determined to get that right in 2020. Congratulations on a terrific run at the New York Times, and and whatever endeavors are next for you good luck and good fortune. We hope to get to see you, on election night. It will be fun. Thanks a lot. Thanks, Mark Thompson the stock has been a high flyer. Apple is also near its alltime high. One top analyst says the stock has more room to run he will explain us to explain why. And another stock is etsy. The traders will tell you what they are watching ahead iofts earnings after the bell. More power lunch, next come on in, were open. 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Buy now and get two days free at the parks. Restrictions apply. Welcome books. Etsy hitting an alltime high. Both buyer and seller engagement will be top of line for analysts a 14 just this week martin of newton advisers, are the trading nation team today. There may better more sellers on the platforms, specialized face masks among other products, but are there buyers for those products yeah, theyre checking every box. Its an ecommerce platform, Unemployed People making trying to make more cash, and its a low cap ex Business Model that doesnt really cost nick but for me, you know, the valuation is a bit too rich, trading at 100 times earnings, 50 times operating income ten times next years sales to you know, i was waiting on the side, waiting to hear what management has to say. Will they deliver . You know, i think its a greats stock so, you know, you look at things like momentum, and weekly charts, starting to diverge on a daily basis. The neu four to six weeks should have you know, it is typically you look for dips to buy a lot of it just depends on your responsibilities and investors. Thanks for joining mess today. Tyler and kelly, back to you. Seema, ahead on power lunch, more and more social media, looking to cash in. We will take a look again. Plus people are fleeing cities the Coronavirus Crisis is playing a major role, but its not the only reason. Apple nearing a 2 trillion market value we will talk to one analyst who says the stock still has more room to grow all this when popower lunch returns. Stock slices. For as little as 5, now anyone can own companies in the s p 500, even if their shares cost more. At 5 a slice, you could own Ten Companies for 50 instead of paying thousands. All Commission Free online. Schwab stock slices an easy way to start investing or to give the gift of stock ownership. Schwab. Own your tomorrow. Welcome back, everybody. Im sue herera heres your cnbc news update dr. Anthony fauci talking about Death Threats and exhaustion fighting the coronavirus at an event sponsored by harvards school of health, he described how opponents to his work have threatened violence and threats that have reportedly been going on for months getting Death Threats for me and my family and harassing my daughters to the point where i have to get security they actually threaten you that to me is just strange an historian who hey correctly predicted every president ial race since 1984, says joe biden will beat President Trump in november. Alan lickman says joe biden leads in that make up his forecasting model. You can see what they are and how theyre stacking up this year tyler, back to you those keys, just a couple hints the economy, social unrest and military achievements three out of the 13. I remember when he made the case for trump in 2016, and people were, as we were just talking with Mark Thompson, re skeptical of that, and he turned out to be right. Its a great article on dotcom. I think hes from American University if im recalling correctly. Thats right. Sue, thank you. Youve got it. A the day of rally it is here the market is just up, okay . Sit back, enjoy it, its green, its august, its summertime 27,147 for the dow, up 1. 2 . The s p 500 flirting with record highs. Nasdaq, ditto. 11,001 there, crossing 11,000 on nasdaq, a half percent higher, the small guys, the little caps. Oil market closing for the dade. Mr. Chu . You can bask in the up moves in oil as well wti prices right now, 43. 14 off the best levels of the day world benchmark crude up both measures hit their highest measures since prepandemic march 6th. Those gains are being helped earlier this morning, the department of centering reported Weekly Oil Inventories fell. Thats a far bigger drawdown that analysts have expected. At the same time u. S. Oil refinery utilization rates have gone up. Both gasoline and distillates did rise last week. Dom, that i can you tiktok mania is in full force. Instagram launches its own version, reels is available directly on instagram in more than 50 countries today. It comes as cnbc has learned that microsoft hopes to make a deal to buy tiktok in as little as three weeks for as much as 30 billion. The verges editor is here with us. Neil, good to see you again. How successful does reels have to be before we say theres a viable competitor . I dont know that the success of reels is a good excuse to block tiktok i think theres a lot of concerns about the government stepping in to block an avenue of selfexpression sit understand theres National Security concerns, but saying facebook has got it, we can block this competitor or force the sale i think raises concerns, no the the least of which part of the government thinking facebook is too big and they shouldnt have as much of a hole on you are our attention as it does right now. Reel also has to be facebook has tried many things inside of instagram. Some of them have worked well, like stories, some of them have fizzled out like instagram tv. And i think here what youre looking at is tiktok is the first interestdriven network. Instagram is theyre trying to merge those ideas with reels. This is a pretty big pivot for instagram, the stories are for your network and tiktok and reels are meant to be a broader public platform. How big of a shift is that likely to be a lot of the story around sort theres you a finite amount of time , or switching between one kind of contents of consumption versus another he here. An bankrupt shift speak of bankrupt shifts,ing one of the most pop ulair guys on twitch went to microsoft for about a year until they surprisingly shut it down a few months ago is back to twitch microsoft said they would try to push hem to facebook what does that say that the transition didnt happen, and the fact hes back at twitch, which is owned by amazon. Hes really testing the waters he did a stream that did 4 million views, hes out of that exclusive contract, and i think hes seeing what platform who will cut him a deal its not a natural win for a service to buy up a lot of content creators movie signed a lot of deals with streamers. They tried to sign a lot of youtub youtubers. As we look at tiktok, and the constant communication with people saying this might be shutting down, follow me here on reels or youtube, instagram. Its not a given that theyre travel with the users. I think this will be a major test to see how portable these are. Like you said, it does remind us that we see highprofile hires. It doesnt mean success. Neil, good to see you. We appreciate it nasdaq 11,000 is here, the index crossed that milestone moments ago. It crossed 9,000 for the first time i think in december this is definitely a report high well continue to watch it were also watching apple in the 2 trillion market cap ayre just a couple million aw well hear the case why apple can get there and maybe keep going. Stay with us as business moves forward, were all changing the way things get done. Like how we redefine collaboration. How we come up with new ways to serve our customers. And deliver our products. But no matter how things change, one thing never will. You can rely on the people and the network of at t. To help keep your business connected. Door dash is launching a new digital market to sell Household Essentials to consumers. Aditi roy has more. The companys calling it dashmart. For the first time the Restaurant Delivery platform will own and operate Distribution Centers those warehouses will be in eight cities, including chicago, dallas and redwood city, california each location will carry about 2,000 items. I spoke about the ceo tony xu about the expansion. He says its a bit like an express lane inside a store. This is their latest play for market share in the hotly contested battle for ondemand delivery it seems to challenge Online Marketplaces like instacart, amazon and more extraditional like walmart and target, but xu says doordash is unique with about how quickly they can get deliverius since march they have extended the market share leads over uber eats and grubhub grabbing nearly half of meals in the u. S. In june of course, the food delivery wars escalated last month, when uber reports results announced its deal to buy postmates. Guys, it will be interesting to hear some of that commentary tomorrow. Let me ask a quick followup. Its it had announced plans to go public before the pandemic. Where does that stand right now . Thats been an interesting few months for the company of course. The pandemic just thwarted those plans. And that puts the companys valuation at 16 billion up from 13 billion just a few months prior. Fantastic thanks very much coronavirus has sped up a trend that was already happening, that would be people leaving the big cities mi u iyost you more about that, congp,f u ay with us the covid19 pandemic is creating Food Insecurity on a scale not seen in decades. An estimated 54 million americans will struggle with hunger. With 200 food banks and 60,000 meal programs, feeding america is the largest hungerrelief organization in the country. Join Morgan Stanley in supporting feeding america and your local Community Food bank. Backing now a new round of payroll assistance for them. Kayla has the details. Reporter tyler, 16 republican senators have written to both the leaders in the senate telling them they support a clean extension of a 25 billion program from the c. A. R. E. S. Act that essentially provided a grant to these countries to cover their payroll for a number of months now many of these provisions set to spire september 30th. It comes as leaders in the senate and house are discussing what the next relief package should look like these senators are specifically saying not only should the major carriers benefit from the programs but negotiators should be discussing another program for some of these businesses that also are impacted by a significant decrease in air travel, like Concession Companies and aircraft manufacturers. Providing in writing this level of support from these republican senators essentially gives Senate Majority leader Mitch Mcconnell to back a proposal like this that his party would have votes to support. Tyler, it comes as next wave of relief is coming together. Well see what the negotiators have to say this afternoon kayla tausche, thank you very much. Coronavirus has people fleeing crowded cities but urban flight was happening years before more on whats happening and what could potentially happen to reverse it robert. Kelly, about a half Million People left new york city during covid raising fears of a new urban flight population decline in big American Cities actually started before covid and could continue long after in 10 American Cities with 1 Million People, population growth fell by half in 2017 and the population started declining in 2018 and 2019 new york, chicago, san jose seeing the biggest drops with new york city seeing biggest loss of 90,000 people between 2017 and 2019. The population growth in the suburbs started creeping past the cities in 2015 but suburbs now growing twice as past as the cities even just before covid. Now three reasons for the shift. Millennials started having families and buying homes with more space and better schools. Job booms precovid created more opportunities outside major covid areas and housing affordability. Some smaller cities were flourishing precovid, phoenix, austin, nashville seeing net population increases of tens of thousands since 2015 the question, guys, in places like new york city, will prices come down enough to bring younger people back or will that take too long. Guys, back to you. Robert, if some of those millennials took a tour of northern new jersey and saw the tree devastation today, they might reconsider whether they really want to live in the suburbs. Its a war zone. How much they like electricity and the internet. You like electricity . Youre not going to vitt tonight . Its over. Im sorry. And youre going to be chopping wood for a long time robert frank, thanks. If theres any one thing everyone in the market has agreed upon, it has been by and large apple. The stock up 125 from march lows now disagreement has emerged between apple analysts well get to the bottom of that one next dont forget watch or stlien live on the go, on the app, cnbc apps well be right back. Bank of america downgrading apple from neutral to sell the analyst on early to explain the call as apple nears a 2 trillion market value. We think there are many things that could go wrong in terms of the census and margin trajectory not amortizing the content cost yet the mix of what has been very strong margins next year and then we look at the iphone stid and think the 5g cycle, while its going to be a good cycle, we think thats well understood by investors theres risk on the gross margin side given the fact the materials will be much higher. A recent survey from wells fargo, responders saw an interest in upgrading in the cycle pushing the firm to reiterate its buy rating and target price joining us on the cnbc news line is the person behind the call aaron rakers, Senior Analyst at wells fargo. Aaron, welcome good to have you with us i assume you would take exception to some of the things the analyst from bank of america said earlier today take apart your case and his. Yeah, first of all, thanks for having me. The call this morning Pretty Simple we see further 10 upside epps on 20 upside on revenue and shipment iphones based on the survey work weve done, weve kind of summarized the fact that we think theres a very strong upgrade setup going into 2021 of those that we surveyed 1,000 plus consumers, 35 cite add very strong interest in upgrading. Thats based on on 950 plus million active iphones out in the market id also highlight iphone x as well as iphone 11. Over 40 of those surveyed know a very strong interest in upgrade on the iphones cycle going into 1221. Upside on iphone shipment, blended prices of those iphones as we see a mix toward larger screen phones into the pending upgrade cycle as well. The 11, when did it come out, last september or september before that . I cant remember now they come out so fast. What are people looking for in an upgrade this time that the 11 doesnt have i think definitely people are interested in the Value Proposition of 5g, number one. I think number two, its important to remember Apple Earnings calls, strong residual value or tradin value of devices, you look on ebay, an iphone 11 is priced on refurbish standpoint at 800 that enticing that base of premium phone subscribers is a very strong Value Proposition along with the Financing Options that are available on the next generation devices. We see that again 40 plus of those surveyed in our work noting a very strong or high interest upgrade cycle on upcoming iphone launch. Are the networks ready enough to accommodate the phones . Yeah, thats a good question. I think certainly weve seen china push forward with 5g efforts. I think they target 600,000 5g stations in the coming year. They will watch a lot the spectrum option in the u. S. , for example, through the course of this year and also the availability of the phones our calls set up having a phone, supporting millimeters waves, gigahertz, we think those will be in the market and set up positively for calendar 21. Check me your price target is 470, is that correct its 485 this morning look, im not going to say that obviously is the high multiple relative to where its historically traded at but moves at Device Service company is going to continue to support the shares. Were up against the top of the hour air rakers, thanks very much. Kelly. Closing bell starts now. Thank you welcome to closing well, im sara eisen with wilfred frost. Whats becoming a strong week for soft s p within 3 of an alltime high. Lets look whats driving action in trade positive vaccine from johnson johnson, novavax helping lift sentiment and stocks better than feared disney. Megack