Development on a tiktok takeover Julia Boorstin has the latest. Sources confirming to me that bytedance is continuing to explore options with the committee on Foreign Investment in the u. S. About a restructuring of the company that would avoid a full sale of those u. S. Operations. Now, my sources tell me that long before President Trump set a deadline for tiktok to agree to sale of its u. S. Operations or have the threat of being shut down, bytedance was negotiating about various options. One option being discussed is a restrucking in which bytedance would maintain ownership stake but wouldnt have any control over u. S. Operations one u. S. Company could take a Minority Stake and be an operating partner, say, have microsoft or oracle be tiktoks cloud operator and manage the u. S. Data in a way that u. S. Regulators could feel comfortable with everything im hearing is still very much fluid and my sources say it is unclear what the president will approve certainly an area to watch sounds like a lot of options still on the table. A walmart r microsoft in the lead but it went from session highs to session lows immediately on this news we were talking for a long time about a rerating of walmart because of this. Guy, what do you make of these developments in the tiktok story . To me its bigger than walmart and microsoft. Id take this and look at sort of Bigger Picture stuff. I think it continues to speak to the u. S. china relations that continue to deteriorate. I think the market is starting to take seriously and maybe it will start to take more seriously as we move forward i dont think things are going to get better as the election gets closer. I think things are going to get worse and i think its going to escalate i do think the vix at 30 makes sense for a number of reasons. This is much Bigger Picture stuff and i think it speaks to the precarious nature this market seems to be on right now. Karen im thinking more granularly of microsoft and walmart i thought this is too bad for walmart because i really did like the idea of it for them i think it makes sense, but i think even before we had heard anything about their potential participation in the tiktok deal, i think walmart has a lot of momentum and i think walmart stock will gain traction i like what theyre doing. The stock isnt crazy expensive. And i think them being on offense, which they are, post pandemic where they got a lot of new customers and theyre doing what they can to get them to stay, i like walmart i wish they were a part of this deal im guessing thats lower likelihood, but i like it even without that the stock was 7 or 8 points higher from then when they announced it. Tiktok or not, the rerating is still on, tim so that was an interesting conversation we had. I, like karen, think you do not cross walmart off the rerating list just for this this was a continuation of that and we were talking about how some of that audience could be good for their advertising and help their walmart plus. But walmart plus is about sameday delivery, about competing. When you look at their Digital Sales and the growth not just because of covid but because theyre taking market share and obviously amazon is way, way ahead. The stock went from about 130 to 145 roughly on the tiktok news but i do think this was a reminder of all that they have done, whether its flip cart in india, whether the original acquisition of jet in 2016 that we thought was a little strange. But the acquisition and the acquiring of intellectual property and technology is something walmart will continue to do. Whos going to compete with amazon, especially with their ability to have those Fulfillment Centers effectively in the form of all those big warehouses around the country . I like walmart here. Even with this news, i still want to own it. The idea that walmart wanted to be part of a microsoft bid for tiktok maybe underscores that the retail giant is sort of rethinking how it approaches ecommerce its not just transactional. Its actually thinking about building some sort of ecosystem where you stay on walmart. Com or a property related to walmart and you are part of that community. Yeah. I get every reason why walmart wanted to be with tiktok and part of that with microsoft. But i would think that the rerating is put on hold. Youre not going to get any multiple expansion, i dont think, if this deal is off the table. Thats number one. Number two, in the last couple of days where weve seen the market have a little bit of weakness, its been value versus growth if thats going to continue, then walmart is not going to get that growth vig anymore. I think you should sell walmart, sell microsoft and take a look once the smoke clears on this deal, if it does. Guy, circling back to china and china u. S. Relations, there were doubts about the deal when china issued new restrictions on the export of technology and specifically for this deal, that would mean that the algorithm couldnt just simply go to the new buyer, that there would be some sort of arrangement where the algorithm might be given for a year and taken back or licensed, et cetera. So beijing didnt want to take this lying down, so to speak does this signal to you that china is in this for the fight of course they are. Ive never thought they werent. I think tim has spoken to that i know dan has mentioned that as well theres no question theyre in it for the fight and theyre going to continue to push back its interesting i think for the Broader Market it absolutely has implications id push back to steve although i understand exactly what hes saying i think what walmart has proven is theyre willing to go down a road historically they werent willing to go down that augers well, whether its dealing with tiktok in a joint venture with microsoft or partnering with somebody else. I think walmart has shown their hand to be sort of forward thinking in an era where thats being rewarded i happen to think regardless of whether or not the tiktok deal gets done, youre going to get that rerating. To answer your original question, the chinese u. S. Rhetoric is going to get ramped up its going to get worse before it gets better and thats going to go on up until election day, in my opinion. I think the market cares i think thats what youve seen, again today notwithstanding, over the last week or so. Tim, does it get worse . Beijing is going to layout its rules so the u. S. Is willing to say were going to figure something out now. Are those rules that theyre going to be comfortable with again, its, to me, going to imply that anything that they buy still could have some ties back to china and therefore may not be a sale or an acquisition actually that would make a lot of sense no i think this is the next phase why would china stand by and let a Chinese Company be bullied over here, especially at a time when this has all been about control of technology and data and essentially the 21st search Internet Technology trade. This whole thing has been kind of bizarre in terms of the white house brokering a deal, taking effectively a banking fee. The parade of suitors coming up and all this with china remaining silent when, in fact, this is a Chinese Company, even though the company itself was saying we have no relationship with the Chinese Government. Whether you believe that or not, you cant expect china to sit back, especially with what has been going on with huawei over the last year. The dow adjusting nearly 10 points, the nasdaq gaining almost 3 , but the rally lost steam at the end of the day. Given todays market action, show of hands, panel, do you believe todays bounce oh, the crickets oh, karen does tims halfway up karen, why do you believe the bounce well, i mean, im not saying the market is going to go up tomorrow i dont really know, but i think that all of the conditions that were precedent there to have this market rally, meaning the fed being there, the hope of a vaccine. I think that news today of astrazeneca was a little bit better than we had feared. Reopening and mortality going down, all these things helping the market are still there yeah, when we went up parabolically like we did, its not surprising were going to come down hard i dont know that tesla is going back to 500 any time soon but theres a lot of other names to like im long im always long but im more comfortable being long after a selloff like this. Tim, your hand was half up. Why only half . So turn around tuesday on wednesday because of the holiday makes sense. Everything one would have said yesterday, they should be saying the same thing today thats just fast money, those are rules. Nothing really has changed day over day ill say the same thing i said yesterday. What happened in the market is a function of where we came from this is what karen has highlighted. To me, its a mini version of where we were back really in covid times in the advent. I think the fed is still on your side i do believe the buy the dip mentality is still in place until proven otherwise i think there are a handful of charts that still need to test lower. But the buy the dip mentality for the market is not over steve, why dont you buy the bounce you have to keep this thing equal. In my mind, when you look at a relative strength index and you look at overbought, we were in overbought status for the market and all those tech names overbought status is above 70. We were at 85 to 88 in some of these names, some higher than that when we sold off yesterday, we got down to low to mid 40s oversold is below 30 i need to have an equal move if im going to be overbought, i need to be oversold to the same magnitude. Were not there yet. Theres a lot more room left to fall. Guy i look at it broader in the sense that we can talk about how great in economy is. There are not a lot of great things happening right now i know were excited about a vaccine. Again, im not a doctor, im not in that world, but its not coming any time soon, not the rest of this year. As we get into the fall, i mean, i think were going to start to feel it in terms of the economy. Im hard pressed to believe its that simple to flip a switch and everything is going to go back to normal. The market clearly got higher than i thought it would go, but i dont think by any stretch the selloff has been enough to assuage my concern. Seasonally, september and october are not good months for the market and weve got the election and we still have the pandemic along with flu season. Does that give you any pause in that hand being raised up so high no. I mean, ive never traded around, you know, buy sell in may and any of that. The election is important, but i still think the fed and the hope of a reopened trade and a vaccine are more important so im staying long. Well start to see earnings pretty soon. Thats true, for third quarter. Maybe well get some guidance going into next year rob, what are you looking at . Theres a lot going on, obviously. I think the key point is what weve seen with the nasdaq or the qs is almost a textbook pullback, three sharp days down that came on tuesday then we get this rebound rsi is in that 4050 range naps a pretty typical range to see a bull market bounce from. I think we do get a bounce here. The question is, how much further does it go do we get a lot more upside or is this an oversold near term trading bounce, which is what my view is. September is going to be choppy. I think we still do a zig zag through the month. As we get through september, were probably going to see some sort of seasonal low development as we get to q4 the tech stocks linical traderst have to play the trade on the long side. When you step paback and look at the weekly charts, step away from those daily charts and see what the weekly looks like that rsi on the bottom panel on the righthand side, to me, looks like it needs to do more work im not a tech hater im not a tesla or apple hater i just think these stocks need to pause and consolidate and catch up with their longer term moving averages. What does an investor do with that well, if you look at some of the tech names like the video game stocks, a lot of the work from home names, a lot of those names started to peak out in august. You can see that the relative performance in the bottom panel is below the 50Day Moving Average. Theres quite a few stocks doing that applied materials, klac are good examples there are a lot of other stocks. I think the market is broadening out from that secular growth, you know, work from home to return to work and an improvement in the economy some of the cyclicals are improving. Weve been fans of cyclicals in general, adding that to your barbell. Names like uber for example look a lot like the airlines and the cruise lines these are the stocks that havent done anything since june 8th. I want to take money out of the growth names on the bounce and add it to some of these cyclical names. I think the longer term market cycle is still bullish for stocks into 2021. This sounds like a post pandemic portfolio it might be uber and cruise lines and all these cyclicals. Here we are. Thats what rob says to buy. Its interesting. I hear what robs saying i tend to buy this pullback in Electronic Arts for a number of different reasons, not least of which weve seen moves like this before i do think these stocks are reasonable i dont want to be all dour here, but i dont know when post pandemic is. Nobody does, quite frankly if they tell you that, theyre lying, from politicians on down. So id just as soon stay with things that have been working. That includes Electronic Arts and take two. Steve, youve been positioned for post pandemic, whatever that looks like, for a while. Yeah. You have to ask yours where elf is the next 3050 going to come from its not going to be technical its going to be the chemical names, the industrial names, the material names you could play the most pandemic for me, it doesnt even matter if you recover as quick as you thought you were going to recover or not its wheres the best value for your money right now and it happens to be in value so going to the value investor, karen, youre in a lot of the tech names, apple, microsoft, et cetera, which robs says could be in a grind for some time. How do you justify the valuation of these names after such a run . Well, i do have traditional value as well. I have both. I like these i do think theyre a little rich for sure i mean, i just have no place in my ability to sell and know when to get back in and talked about paying taxes and having that still, could i get out of the right time, in at the right time and make enough on the spread to pay taxes, or do you believe enough in the company in the longterm im hanging on for the longterm. But i do have those value kind the one that has proved to be the most value, meaning it sucked, it hasnt worked, is the financials those are among the cheapest and i clearly have exposure there. I think if we do one day get to the other side, we will see those. Tim i cant believe karen just cursed on national tv. Its not a curse. Were not going to get a fine. Theres no bleep its fine. All right first of all, to try to put my tech hat on, i kind of agree with a lot that robs saying what i said yesterday was, go back to the end of june, collect 200 and pass go, or whatever that expression is, and start again with a lot of these starts if you look at the qs, thats somewhere around 245, which im not saying we have to go to tomorrow but that is the pullback i think the housing trade which has a lot of industrial to it, some of that materials and components, i think is alive and well copper above 3 through all of this is a very good sign for materials names. Were following t inin inin hours action of rh the companys Conference Call is now underway well bring you the highlights when fast money returns. Come on in, were open. All we do is hand you the bag. Simple. Done. We adapt and we change. You know, you just figure it out. Weve just been finding a way to keep on pushing. If i could, baby id w how can i, when youg a wawont take it from me you can go your own way go your own way your wireless. Your rules. Only with xfinity mobile. Welcome back to fast money. Diamonds are a girls best friend, but its more like faux when it comes to lvmh and tiffany. Robert there is a reason lvmh saying a letter from the french government prevents them from moving forward on its pricey deal to acquire tiffany the french government asked the company to delay the deal until january. Since that is after the original contract deadline, lvmh says it is not able to complete the transaction. Oh well. Tiffany responding with an immediate lawsuit in delaware saying lvmh has unclean hands. What happens to tiffany . The pandemic has absolutely crushed the jewelry business, which is why lvmh wanted to renegotiate this deal for months tiffany sales were down 45 in the Second Quarter lvmh saying in a Conference Call it is not happy with the way tiffany has been managed in the past few months. Tiffany saying the fundamental strength of our business is clear and that Fourth Quarter earnings will actually be up over 2019. Now, Industry Experts say the end run here could be that lvmh comes back to the table at a lower price or maybe that Delaware Court could rule in favor of tiffany, in which case they would have to acquire this company at the 135 per share let me get this straight. The French Foreign minister sent a letter, which nobody has seen, is that correct, saying you shouldnt do this deal until january . Yeah. So as you can imagine, lots of intrigue and Conspiracy Theory on how this letter came to be. This is a letter that lvmh has seen but has not given the french letter or a full translation to tiffany tiffanys lawyers are asking for that clearly if and when this goes to court, this will be exhibit a. But lots of questions from reporters today on whether lvmh had a hand in generating this letter, what the letter actually says or if it requires them to stop the deal or postpone it hence, maybe unclean hands. Robert, thank you. Karen, you think this letter would be easy to find, easy to hand over, at least to tiffany yeah, you would think actually by the merger agreement, lvmh must hand it over and they havent. This is clearly a case of buyers remorse. Lets go back to the merger agreement. Thats where tiffany has all the power in this. You might remember frank aquilla, he was the lawyer they had a very tight merger agreement, meaning theres not a lot of reasons lvmh can walk one of the things thats not able to walk is changes or conditions affecting the industry in which the Company Operates in. Also, if tiffany fails to meet any published or internal projections or forecast, that doesnt matter either. Thats not an out. Lvmh seeing no way out besides we are going to drag our feet and not get antitrust approval. That is a condition. Tiffany was trying toget them to respond at one point lvmh says, oh, you know, its very difficult for us to file because were highly decentralized and the documents are held with each of lvmhs maisson, which is ridiculous lvmhs lawyers say they simply do not work on the weekends. This is ridiculous miraculously this letter shows up from the foreign ministry, which does not have jurisdiction here its asking lvmh to delay the closing so that we can support frances intention to dissuade american authorities from sanctions and tariffs. I mean, im wondering if that letter, they dont give it over because it was printed on lvmh stationary because its what they wanted the french minister to write well see next week whether they get that i think that will be a minor positive well have discovery and a trial in october and maybe a decision by the middle of november. All of that having been said, im long tiffany has the way, way, way better hand here maybe they get a skinnier deal we still make money from here. Or maybe theyd pay the full price. I love they simply do not work on the weekends guy, what do you make of this . Its a lot of deal intrigue certainly. It does sound like tiffany has got a lot on its side here a couple things i dont speak french so a lot of this went over my head, number one. Number two, thats the reason they called risk arbitrage is because of that first word tiffany is one of those iconic brands that almost by definition has a certain value. You go back to march the levels were trading at now are levels weve seen twice over the last six months. I han ppen to think tiffany you buy with both hands. Weve got a lot more headed your way heres whats coming up next a bombshell about Astrazenecas Covid vaccine trials and a major question about who knew what and when what it means in the race to find a cure. Later, there aint no stopping peloton why not one but two brokerages got even more llbuish on the stock ahead of earnings. Weve got that and a lot more when fast money returns. Offers investors a broader view. We see companies protecting the bottom line by putting people first. We see a bright future, still hungry for the ingenuity of those ready for the next challenge. Today, we are translating decades of experience into strategies for the road ahead. We are morgan stanley. And im still going for my best. Even though i live with a higher risk of stroke due to afib not caused by a heart valve problem. So if theres a better treatment than warfarin, im on top of that. Eliquis. Eliquis is proven to reduce stroke risk better than warfarin. Plus has significantly less major bleeding than warfarin. Eliquis is fdaapproved and has both. Whats next . Getting out there. Dont stop taking eliquis unless your doctor tells you to, as stopping increases your risk of having a stroke. Eliquis can cause serious and in rare cases fatal bleeding. Dont take eliquis if you have an artificial heart valve or abnormal bleeding. While taking eliquis, you may bruise more easily and it may take longer than usual for any bleeding to stop. 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Overall the situation is the same as last night the Clinical Trials are still on hold after a safety event in one of the trials in the u. K we still dont know if that event was caused by the vaccine. But we have been getting new details today, not from the company to the public, but from astrazenecas ceo to some investors who are on a call today organized by jp morgan according to stat news, which also broke the news last night, he told investors that the case is a woman in the u. K. Who had neurological symptoms consistent with a spinal disorder known as transver transver transver transverse myelitis. Astrazeneca gives us a statement in response to that report and the decision for the ceo to give this information to investors and not the public, saying, reports claiming to be based on comments made earlier today by our ceo stating that we have confirm confirm confirmed are incorrect. He stated there was no diagnose and there will not be one until more tests are carried out stat news noted it wasnt yet confirmed, not yet giving a statement about how this information was disclosed. Still more questions here. Of course, we will have to wait for the key question about whether this is deemed related to the vaccine itself. Meg, heres another question. Is it typical that a drug maker like this would schedule investor calls and disseminate information to a Smaller Group of investors i guess the company is disputing whether or not the reports are factual at all, but it seems like that could be a potential violation, because disclosing what sort of sickness a patient may have incurred because of the covid19 vaccine trial seems like it could be material. Right there is an argument over whether this information was material or not. What i understand is this was a sort of preplanned call as part of a ceo series that jp morgan analysts do with ceos. It was already on the books. So pascal sorio participated in it and responded to questions. But he gave information that the company had not been giving in response to direct questions asking about those things. We only found out about it because of stat newss reporting citing three investors on that call the stock had already recovered from that 8 drop yesterday, but there are a lot of questions being asked about that decision. Joining us now for more on these developments, michael yi great to have you with us. Thank you i dont know what to think about all of these disclosures about the ceo telling a small group of investors this information, the fact that the trial was also halted in july because a patient had other neurological symptoms which ended up being multiple sclerosis. How do you parse this out . I think youre right. I think what were learning now is that this trial and all of the covid19 vaccine trials are going to be the most scrutinized, the most carefully watched programs across probably anything in biotech and biopharma weve ever seen because the stakes are so high i would say, number one, its good to know that the safety oversight is extremely high. I think thats good for all of us to know and number two, i think its important to know that clearly some of these companies have Patient Safety at the top of the list and that theyre watching over this to protect all of us why do you think the stock recovered from a decline of 8 earlier in the session to finishing the day down 2 . Was it because of this disclosure that there was only one patient that had this illness and thats not yet been confirmed . I think its two parts. I think one is probably dissemination and commentary by the company that they were not overly concerned about the situation and that the first case was not a transverse may liets. I think the broader Pharma Community and that includes my discussions with investors and scientists and others in the industry that we believe its difficult to confirm that the vaccine would be related to this also, of course, the vaccine is going to be a positive for you if it works. Ultimately i believe in the Clinical Trial setting this is probably going to be continued on theyre going to resume it thats my prediction and these vaccines are going to work i think this is a speed bump so quick question for you the average person who doesnt understand this space the way you do, are they better off trying to pick a handful of these stocks, buying the ibb which has biotech and pharma in it, or just buying individual names and being willing to take that risk of 20 to the upside and possibly 30 to the Downside Seems crazy to me. In the long run, will all of these companies have to share in the profits anyway ultimately . You bring up, i think, a shortterm and a longterm question what i would tell investors is, there are Big Pharma Companies with a lot less beta, a lot less risk that do have ongoing phase three trials or earlier. Astrazeneca, j j, pfizer and merck has one. For those that want to play a trading view of it, moderna has had a big pullback i think were going to hear from this data in the next month or two. I think they go back up a bit. The longer term question will come back. Thats ultimately going to be the debate of what does it matter if more are coming. The price is going to go down and were going to go back to that debate. Tim seymour, how do you think about the disclosures and the companys denial from astrazeneca . It sounds to me like disclosure is really the issue, because it is customary to be pausing a trial and going through a series of steps to understand exactly what the safety issues are. I thought ken frazier said this really well. You cant rush science ultimately i get the sense these Big Pharma Companies are doing their jobs but the disclosure and how you get into a reg fd dynamic on a Conference Call with investors who keep pressing is a very challenging place, although for an experienced ceo to be able to handle markets didnt act today as if this was news thats affecting their view of our post pandemic portfolio really ultimately i think weve come to understand this process. Guy says this all the time if youre expecting a vaccine in 2020 calendar year, i think youre on the wrong side of that trade. The other question, this is what grasso is getting to, is that eventually there are all these players with the vaccine in the pipeline, potentially everyone or many of them get to the finish line, guy is it really going to offer them any sort of, i dont know, boost to revenues in the end the pr obviously would be great. Believe it or not, i dont think its going to necessarily move the needle in terms of what it means to them on the bottom line, but maybe im wrong. This is clear, though. If astrazeneca was working on a shingles vaccine and this news had come out, nobody would have batted an eye. I think we are so hypersensitive now. Its a cautionary tale for ceos to understand their responsibility in this world and what they have to say and not say in terms of the vaccine. Coming up, disney goes to battle as outrage grows over its new movie mulan. Later, were counting down to earnings in two big names what you could expect from peloton and or. Caller for skin as alive as you are. Dont settle for silver gold bond champion your skin welcome back to fast money. There is drama at disney over its latest release of mulan. Julia boorstin is on that story. Julia . Melissa, disney opened its big budget film mulan in china on friday after multiple delays and also amid calls on twitter to boycott the film. Disney drawing criticism for in mulans closing credits thanking Chinese Government agencies for assistance in shooting the film, including two agencies accused of Human Rights Violations the state department has estimated that as many as 2 Million People in that region of china have been imprisoned in internment camps the Chinese Government have said the camps are part of an effort to improve the regions security this comes as disney is hoping china will be a meaningful contributor to the Chinese Box Office the film is based on a chinese legend and stars a chinese actress. She tweet eed support for Chinas Hong Kong crackdown and generated controversy. Theres a lot riding on the chinese movegoing market which precovid was projected to surpass the u. S. Box office this year we reached out to disney no comment on this issue. Just to be clear, who on twitter is calling for the boycott . Is it primarily human rights watchers in the United States or in europe . Largely people in different parts of asia. Weve seen calls in thailand and taiwan and hong kong, of course, according the conflict there and predating it especially with the star of the film julia, thank you. Tim seymour, is this going to be a headache for disney, which got a glowing upgrade yesterday on its dtc on the streaming product . Yeah. Its going to be a little bit of a headache for squeaky clean mouse house that you dont expect this from but to be clear, i think disney has walked a tight rope in the past and always ends up as disney look, asia is about 14 of their revenue base the u. S. Is certainly still part of the story what analysts are starting to do and which is what deutsche did, theyre looking at a land grab in dtc they look where they are and they look at the ability to be able to release their star wars line through premium video, pbod is something that ultimately for mulan is part of how they were evaluating the closed theaters in the United States to me, the fact that disney is changing a lot of the way they do things, including closing Certain Networks and unprofitable business lines at a time they do need to focus on efficiencies and balance sheet, i think the markets been at time s overly hard on disney an sometimes during periods where nasdaq is selling off, they may forget about some of the issues disney has in front of them. Longer term, four Main Business units that are in and of themselves very profitable and important to each other. It is amazing that it ended up in the credits, special thanks to an agency that operates labor camps, grasso you would think that for a company like disney, there wouldnt be this blatant of a stumble. Yeah. Im not sure how that wound up there. Whenever you try to pick a stock based on that, id be more concerned with the 26 billion thats coming out of parks for disney but the stock itself, the level to hold is 130 and then of course the 200 Day Moving Average at 123 i think disney is okay here. Especially as we move toward a vaccine, that 26 billion comes closer to happening again. Coming up, we have an earnings alert for you check out the move in rh, rest train stati Restoration Hardware the United StatesPostal Service is here to deliver your packages. And the peace of mind of knowing that important things like your prescriptions, and ballots, are on their way. Every day, all across america, well keep delivering for you. I see a new kitchen with a grill and ask, why not . I really need to start adding less to cart and more to savings. Sitting on this couch so long made me want to make some changes. Starting with this couch. Yeah, i need a house with a different view. And this is the bank that will help you do it all. Because at u. S. Bank, our people are dedicated to turning your new inspiration into your next pursuit. To turning your new inspiration 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. Welcome back to fast money. Weve got an earnings alert on Restoration Hardware the stock is surging in the after hours, up 14 . One of the surprising beneficiaries of the pandemic is our demand for Home Furnishings continues to rise, remaining strong Restoration Hardware says core demand up 47 in august and up 4 44 in the first nine days of september. While many brands have had to shrink their retail footprint, the ceo says our physical stars are an sbeg grintegral part of r Customer Acquisition strategy. The stock is up about 15 in after hours. Its up over 300 from its march low. While its not in the retail etf, it is vastly outperforming big retailers that sell turn wells fargo says this deurbanization trend puts rh in a Competitive Position it continues to shift a lot of its supply chain outside of china to other countries like vietnam to avoid tariffs that certainly is paying off ceo Gary Friedman on mad money tomorrow thank you tim seymour, you have been in this name. Are you in it now . I have been you know what, ive not been in the trade for probably three months i sold some of this bounce if you think about those sales trends and where the margins on a lot of their online sales have gone through the roof. Its been an extraordinary story. I think the housing trade continues to be extraordinary. If you look at the xhb, i think the largest name is whirlpool, which is a name i recently got into i like this entire space. They sell a lot of Outdoor Furniture and big furniture. If people are moving from apartments to houses can all of a sudden fit an rh couch in their living room. Right or more than one, yes. That revenue is great, but the margin was the really important part remember, though, big short interest, 28 . So thats part of the fuelling this after market hours as well, i imagine. Coming up we are counting down to earnings from oracle why options traders are betting on a breakout when the number hits so youre a small business, or a big one. You were thriving, but then. Oh. Ah. Okay. Plan, pivot. How do you bounce back . You dont, you bounce forward, with serious and reliable internet. Powered by the largest gig Speed Network in america. But is it secure . Sure its secure. And even if the power goes down, your connection doesnt. So how do i do this . You dont do this. We do this, together. Bounce forward, with comcast business. Welcome back to fast money. Earnings. Oracle tomorrow. Mike khouw has the action. Mike oracle traded more than two times calls over puts today although the volume was about average. Thats not surprising given that they report after the close tomorrow we may see elevated volume tomorrow right now the Options Market is implying a move of about 5. 6 . Thats in line with the 5. 3 the company has averaged over the past three quarters. Included in that are the october 60 calls buyers of those calls are betting the stock is going to be up at least 7. 5 by october expirati expiration perhaps they were taking a look at two quarters ago when we saw a move of 20 to the upside after eyth reported. Thanks for that, mike up next, final trades. Zbli time for the final trade tim seymour . The housing trade, obviously people know about lowes and home depot, but whirlpool, i think its almost a 5 position. Its essentially if i wou lly b materials names that you can own. Karen finerman . So this one isnt for everyone its for the risk arbitrage people i would say buy some Tiffany Steve grasso . Id like to give you a stock that could triple, quadruple capri holdings, cpri is the symbol if you look at what Luxury Brands are getting as far as a multiple, youre getting jimmy choo, versace and michael kors for free it should trade much, much higher. Guy adami i love jimmy choo their shoes are very narrow. For those of you out there with wide feet, i would avoid the jimmy choos. Not going to k ashow you know that. I would my mission is simple, to make you money im here to level the Playing Field for all investors. Theres always a bull market somewhere and i promise to help you find it. Mad money starts now. Hey, ill cramer. Welcome to mad money. Welcome to cramerica other people want to make friends. My job is not just to entertain but educate and teach. Tweet or email me. Bounce, oh my, a big one after a brutal decline it seems tha