Along with kelly evans, im Tyler Mathisen stimulus hopes, the s p reviving overnight. But what about investors are their hopes a little too high this deal is going to get done well discuss that one plus, check out chip maker xilinx upping 14 . Well look into what could be a Seismic Shift for the semis. And jim cramer will lay out his seven sectors of opportunity, including his best picks in the restaurant space as power lunch begins right now. Tyler, thanks. We begin with new developments on stimulus negotiations a short while ago the president tweeted that covid relief negotiations are moving along, go big and reportedly raising his offer and maybe even raising it again ylan nmui, give us the latest. The question is is it big enough they will present a 1. 8 trillion offer to nancy pelosi this afternoon thats still 400 billion less than where democrats are at. Economic adviser larry kudlow said that would include aid for the airlines, direct checks and ppe and mentioned extending hanesed enhanced Unemployment Benefits which in some places is about to run out. Moving in the right direction. It going to provide the economy in good shape. The vshape recovery is looking very good in my judgment now, we still have to see how Senate Republicans feel about this there has been growing concern about how much this all could cost and of course democrats have their own red lines as well, including state and local funding, schools and more money for covid testing, tracing and treatment. As pelosi said earlier today, the devils and the angels are in the details. Become over to you ylan, this has been thrown wide open again. First we had the president saying that he was pulling the plug on the talks earlier this week then he said actually he did want deal. Then earlier today he said or floated the 1. 8 trillion figure now reportedly and some of these comments are coming from rush limbaughs radio show so were kind of going off that reportedly theyre saying he wants to go even bigger than whats on the table. We have the Market Reaction we spoke about this last hour, even after his 1. 8 offer, stroocks reportedly sold off. If hes saying let go bigger, wouldnt that lose the gop altogether i think it could. This is not just a twosided negotiation between the white house and democrats. Theres also Senate Republicans to con continutend with. Mitch mcconnell said there could be 15 to 20 members of his caucus who wont vote for anything at all. Republicans know theyre going to need to get democrats on board to get something done, theyre going to need help, but mcconnell doesnt want to do this without the majority of his caucus supporting this that creates a multilateral negotiations, if you will, and thats whats making this deal so difficult to pull together. And, again, the markets are relatively taking this in stride i have to say, hanging on to their gains throughout the session this afternoon well check back in with you soon thank you for now, ylan mui following the twists and turns in d. C tuesday afternoon that big selloff came after the president he was calling off negotiations, but weve moved almost straight up since then on renewed hopes for a deal is there too much hope being placed on this relief bill bob pisani has more for us now bob . Everyones head is spinning about stimulus and how to interpret it lets take a look at the sectors today. Were still up pu thebut there change in leadership in the mid. Date technology is now leading here industrials, energy, have been leadership groups, the cyclicals on hopes for a stimulus. This is lower today. This would suggest that the mcconnell comments are having a big impact on the market that you might not get a stimulus deal remember how confused traders are. I cant describe how clueless or not . Do we have a big deal or a small deal do we have a preelection deal or postelection deal . We really dont know and the Trading Community is throwing up its hands. They believe somehow well get a deal somewhere down the road either from pelosi, ymnuchin, trump, the martians will land and save us. We have new eyes on fedex and eaton and industrials. Thats a cyclical play on things Getting Better on stimulus the banks have been in a mini rally in the last week double digit moves on some of the big regional banks, comerica and these materials, theyre all going crazy on hopes that somehow were going to get some stimulus down the road look at Martin Marietta and vulcan this month. Doubledigit gains there you got the rally here, tyler. Were up but the volumes today very much on the light side. On the up days the volume is very light and down days the volume is very heavy that suggests buyers are reluctant to go all in on the rally. Theyre holding back and its the sellers there that are sort of on strike at this point they demand higher prices and you get them without a lot of enthusiasm i might sheepishly observe, bob, that rarely do investors lose money betting on politicians propensity to spend, particularly three weeks before an election they probably all like to say we got a deal done, moneys coming your way and no one more so than the president , who is trailing in the polls, bob. And thats the most important thing. As i said before, the general belief is we have no idea how this is going to happen. Somehow pelosi, steven mnuchin, trump, the martians are going to land and declare world peace with the stimulus program. Something is going to happen that will be good overall for the cyclical sector. Thats the bet for the market and its exactly on your interpretati interpretation, tyler, youre right. Have great weekend. Thank you, you too. For more on this market and where it may head in the rising risks of a second covid wave in many states, let bring in Brad Mcmillan and sherry paul, senior Portfolio Manager at ubs Global Wealth management. Sherry, let me begin with you. Are we right to be on tenter hooks waiting for a stimulus or a rescue package or should we be looking at Something Else . Well, i think that what im telling clients right now again and again is dont allow political chaos to create portfolio chaos. The bottom line is we are going to see a stimulus package we may not know how much or how big we know it going to be big and we know its come. If you look at the economy and look at the s p right now thats fairly traded, it has a difficudividend yield almost three times its treasury so thematically what you want to be doing is instead of trying to trade this market, invest in it and start to tilt your portfolio toward the cyclical recovery themes, emphasizing industrials and health care where we see good value in this market and dont abandon your strategy, continue to adjust and step into themes, much like if you were trading your portfolio like a Holding Company on highquality businesses for the longer term and accept that this is the dynamic that were in but dontfall prdont fall prey to the head fakes. Sound like good advice, dont let political chaos lead to portfolio chaos. Absolutely correct. When you look at the politics, the headlines are designed to get your attention theyre designed to make you worry about things theyre designed to get votes. Theyre not designed to let you succeed as an investors. When you look at whats going on, weve had a vshaped recovery the earlier stimulus is what got us that vshaped recovery. If we get that, certainly were going to sin continue to see a vshaped recovery because Consumer Spending will be there. That said, im not concerned well get it i thisnk there is more room in the short term for volatility. Are you concerned by some of the Economic Data thats come through in recent day suggesting that v may have leveled off and turned into what ive been describings a square root sign the square root is there. Were going to see a lot more next week but the reason it leveled off, tyler, is simply this the money that went out to the people, the federal stimulus, was spent and it went to the people who are going to spend it and those are the folks who have generated the vshape recovery so far. If you look at the people who are wealthier, they have savings as well. Savings is going up. There is more potential, but we need something to unlock that. We can see the Economic Growth reaction sell rate and reaccelerate and we will if we get the stimulus package you said cyclicals, industrials and health care. Correct me if im wrong on that. Conversely, what would be the areas you would underweight right now . What im suggesting is start to tilt portfolios toward recovery and youre correct those would be some of the areas. I would like to touch on one thing brad say having to do with the economic recovery. What were seeing right now is a classic vshape stock Market Recovery but the economy is not out of the woods yet im advising client to embrace this decoupling effect, we could have a slow moving recovery and continue to see highs in the markets. Why . Because of the fed, dissociating stock market success from economic success were witnessing one of the biggest operations in history. That said, were still seeing consumers buy, as brad pointed out. What we want to be doing is owning in the Consumer Discretionary place, a place where consumer continues to be strong and will continue to do so in this next package but tilt toward these more value oriented plays and people havent accepted we could see a cyclical recovery in the second half of next year, which again at ubs, we have a june 2021 price target on the s p at 3700 i want to urge people to not abandon stocks and just fitilt d finesse and invest in this market trading it is a losing proposition at this point. We got to leave it there, folks. Have a great weekend Brad Mcmillan and sherry paul kelly. A 30 billion chip deal is reportedly in the works. X xilinx is up josh lipton has all the details for us her fans say ceo lisa sue has tr transformed amd from lagger to leader the stock surging nearly 2,500 . Shes reportedly ready to make a big acquisition bying xilinx for 30 billion. So why make this move . Patrick morehan says it expand the the portfolio he says it will become a big player in the fpga market, too these are highly efficient, easily reprogrammable microchips that would help amd push deeper into important end markets, 5g, auto, industrial, data center. M a is nothing new but it has been heating up. Nvidia spent 40 billion just. Coming up, shares of wendys hitting an alltime high after jim cramer says its one of the best opportunities in all of the restaurant space well tell you why he thinks that plus, new york City Real Estate frozen 10,000 unsold apartments in manhattan alone and the worst may be yet to come a special report wn pheower lunch returns hmms and ahhs heard incall. The covid19 shutdown has crushed many areas of the economy, but there are still places to buy. Jim cramer is looking at seven areas of opportunity in the market right now number one, under the radar bull market last man standing restaurants. We need this stimulus package because so many terrific smaller restaurants cant stay alive with the social distancing rules and worry about the aerosol spray from your mouth. I know my restaurant couldnt. Their collapse is ongoing. We need social distancing, but it would be nice in the federal government forked over money to soften the blow. The remaining large chains can take over the whole industry i love wendys thats been a huge winner for us i bet it keeps running shares of wendys hitting an alltime high today. And our next guest says its also one of his top restaurant picks and finding a few other opportunities as well despite tons of challenges facing this group from the reopening struggles to uncertainty over stimulus and the election. Bob, its good to have you. It seems to me like as long as youre a major chain, youre better positioned and all the mom and pops out there i hate to say it but it seeps like this industry is stealing share from Small Business, not from each other. You know, its really sad when you consider how many of the smaller mom and pop players are ultimately not going to survive, but thats why we see coming out of this thing theres both winners and losers. I think looking at the positive side, theres an awful lot of chain restaurants that are doing things really well, taking care of their customers, putting safety protocols in place and delivering a really good value experience i thisnk wendys is going to be one of those winners because they do a really great job if that regard. Who else after the runs theyve had this year, have they just pulled forward a lot of gains from the future . There may be something to that certainly the fast food brands have done much better sooner the drivethrough convenience, the access, they provide consumers in the value they have way outperformed the sitdown restaurants for the most part. I think the fullserve restaurants continue to make progress they could be some of the bigger beneficiaries of those smaller mom and pops going out of business because ultimately its the mom and pops who really provide that sitdown experience that may be evaporating that is left to the bigger chains. Yeah. Bob, you also made a point about 2016 i wasnt aware that back around the election restaurant attendance dropped precipitously because people were, i think as you say, literally so focused on being on their tvs and watch the the debates and Election Results come in, do you see any election risk with the stocks this time around you know, i think there is. But ill tell you, between four years ago and today, the shock effect of what weve seen come out of this president ial administration has really kind of worn thin with a lot of consumers and that shock effect isnt as dramatic. The debates this year likely wont be as highly watched however, the thing that were especially watching is post the elections, four years ago after the elections, the industry slowed pretty dramatically over the next roughly six weeks and i think it was a souring of the national mood. And i think that the fact that some consumers felt disenfranchised by the outcome very well is something were going to have to continue to watch for this year. Bob, you talked about some of the fast foods, the drivethrough companies and you said that the sitdown restaurants relatively arent doing as well. Many of the i want to get out of the public restaurant space because a lot of the more luxury restaurants around the country are sitdown restaurants, many arent publicly traded they must be suffering a great deal because you dont think about calling in to, oh, i dont know, name a fancy restaurant in your town, calling in and going and getting carry out from the deluxe restaurant. Thats one thing that i think were beginning to see a few of the stronger players trying to adapt and innovate and be able to provide, especially as a lot of the northern markets coming into the winter arent going to be able to offer the off premise or the sitdown experience that you can outside on at patio or under an awning. Its simply going to be too cold i think theyre trying to figure out how can we survive through the winter to come out on the other side and the fact that these are generally higher check average restaurants that sell the experience its hard to provide that experience when you put it in a bag versus a nice, wellappointed restaurant. Yeah. Exactly. Are you in nashville do i understand what are you seeing in nashville . You know, in nashville for the most part restaurants have been doing fairly well, both out in the suburbs, the Downtown Market is a little bit more constrained due to more restrictions theres some loosening there i would say broadly in this community the Nashville Community versus say the major metros in the northeast, things are a lot looser and a lot more casual certainly i have my mask and if you go anyplace, youre going to need a wear a mask to get into the facility and youll find more sitdown restaurants, a lot more versus say in new york, for example. Bad luck to the tennessee titans, though, this week. Theyve got a lot of cases on that team. Bob, thanks very much. Thanks, tyler all righty. Still ahead, the Big Bank Stocks have started to show some signs of life as they gear up to kick off earnings that will be next. Can you believe it next week earnings season. The traders will tell us which ones to buy. Plus pot stocks are jumping on high hopes for legalization, names like canopy growth, iseyre up more than 20 just th week. Theyre smokin well have the details when power lunch returns. When i was in high school, this was the theater i came to quite often. The support weve had over the last few months has been amazing. I have a soft spot for local places. Its not just a work environment. Everyone here is family. Gonna go ahead and support him, get my hair cut, leave a big tip. If we focus on our local communities, we can find a way to get through this together. Thank you. If you are ready to open your heart and your home, check us out. Get out and about and support our local community. We thought for sure that we were done. And this town said not today. Welcome to power lunch. Third quarter earnings season right at the door with big banks reporting next week. Bank of america, goldman sacks, wells fargo wednesday and Morgan Stanley on thursday. Lets bring in the team. Michael, from loan growth to trading revenue, whats the number one metric you will be looking for to get a better sense of how these banks are doing in 2020 . Yeah, i think you really need to look at several metrics you need to look at net source income, its been tough for a long time. Loan growth, trading you know, thats the third metric thats been pretty strong and finally the mortgage and refi business have been very strong this sector would really be helped if Interest Rates rose a little bit, which they started to if we get an additional stimulus package, that would be great, i think we will. And we need to see the economy recover. A couple of names i like in the sector i look Morgan Stanley a lot right here i love the acquisitions theyve been madiking in the Trading Platform and Asset Management space. And then secondly i like wells fargo right here its the ultimate value play in my opinion it trades at too steep of a discount to book value if management can just stay out of the media and they can execute on their cost cutting plan, i think the stock is a good buy at these levels that will be an interesting trade to see how that pans out craig, just from a purely technical perspective, what name do you have your eye on . Were keeping our eye on jpmorgan thats going to be the bellwether were really going to want to watch here in earnings that come out next week. From our perspective, weve been making this kind of nice, symmetrical sort of setup on the price action here recently that suggests a lot of the bad news might be priced in. When you look at the bottom of the chart, were at an inflexion point in terms of the relative strength line and sort of turning up here is another positive sign the banks are starting to outperform the broader s p at this point. I think the trade is to be buying it heading into the quarter and id note that jpmorgan has beat since out of the last eight times in terms of keefe bottom line metrics and optics are suggesting a 4 high here craig and michael, thank you. For more trading nation head to our web site and follow us on twitter. Kelly, over to you thank you very much ahead offn power lunch, fleeig new york there are over 10,000 unsold apartments sitting in the city this could just be the start of a florida winter and Vice President ial candidate Kamala Harris promising to decriminalize marijuana under the biden white house. And now the latest on cnbc. Com some refer to the vix as the markets fear gauge. While an elevated vix may imply the markets headed for big moves, those moves could could be to the down side or the up side hurricane delta is expected to make landfall later this evening in the same general area that got hit by hurricane laura in august. Shepard smith has that story it will be the tenth storm to hit. Thats never happened. And hurricane delta. Its the first time weve gotten to the greek alphabet for nails. Thats expected to come ashore at 7 00 eastern, 6 central this is the track that the Hurricane Center has put forth the thing about hurricanes is they can wobble at the last minute there is some wind sheer coming from the texas direction, which has broken it up just a little bit so the brand new forecast out from the national Hurricane Center says its now at a maximum sustained wind 110 miles an hour, a strong category two and they think its going to come ashore somewhere between new iberia and lake charles. Look at lake charles from the last storm not the last one but this is the worst one from the end of august in lake charles and this is still not cleaned up these pictures, i believe, were from the time but weve been there throughout following people who are there and theyre going to have to live through this again, many of them with blue tarps on their roofs. This storm is expected to come up through louisiana, over toward naches mississippi, toward jackson, mississippi and up toward tupelo before hitting tennessee. Its a monster well have live team coverage. We have two meteorologists, generous el honoree, who rode us throughs Hurricane Katrina we have four correspondents in different cities along its path. That will be our hour tonight. The news with me, tonight at 7 00 eastern, i hope youll be with us. Kelly . Shep, im glad you said that. Its interesting to me, in any other year this many hurricanes doubling up like this, this would be the leading story everywhere it barely can get attention. I wonder how that affect the Recovery Efforts the recovery in lake charles is so slow theyve made tremendous position theyve come together as a Community Just as you would expect theyve done all they could do but they havent had time. Two residents we speak to every other day say it still looks like a bomb went off in their town theyre now about to get the full force of this thing, within 20 miles of where that huge storm laura went, exactly where this storm is going. Mississippi up there, this one is going into mississippi. The bottom of mississippi is naches and brook haven and tupelo thats where its going top man, were hoping for them and well have nothing but that coverage tonight. Yeah, its such alarming stuff. Shep, appreciate it very, very much well see you at 7 00 for the news shepard smith. Over to you, frank. I should introduce him, shouldnt i . There are currently 16,000 vacant apartments in manhattan robert frank is here on the Ripple Effect this is having this is big number of the day, kelly there are 16,000 apartments now for rent in manhattan. Thats not just an alltime record but three times the number of just a year ago. All that growing supply and lack of demand has brought the vacancy rate in manhattan to just under 6 , more than twice the usual average. So rents are coming down with Effective Rent down 11 . Landlords offering an average of two months free rent just to lure tenants back to the city. The bottom end is feeling it the most with studio apartments seeing a 14 drop in price those are people in entry level Restaurant Service jobs. At the high end, luxury also getting hit. Since those renters can actually afford to leave the city, luxury prices down 11 . So rentals account for twothirds of manhattan real estate so all this lost rent al income could start to cascade down through the landlords because 40 of the landlords are Small Business owners, they own just a few buildings. Without that income, those Small Business owners will have to start cutting back on their own payments for mortgages, property taxes and maintenance. So, tyler, that could start to feed sort of a downward spiral where the city cant collect revenues and it becomes less attractive for people to come back back to you. Robert, stick around as we joined to dive deeper into this topic with Bess Friedman its nice to have you back good to see you. Good to see you fantastic robert talked a lot about rentals. Lets talk about sales whats happening with apartment sales in manhattan where are they still moving and where are they sluggish . In what price bands . We saw the Third Quarter report just came out you know, it was really good considering all the things that were facing here in new york city so the most movement we see is under a million. That was roughly 52 of the market and the 1 to 2 Million Dollar price range was about 25 of the market. Were getting pretty hard at the high end thats a bit slower and more slug ush agish and a lot of new development condominiums are sitting there. It all about pricing things really have to be adjusted how much would prices have been higher a year ago than they are today . You said that the area where the falloff is the greatest has been in the lower price part of the market what would those prices have been a year ago . 10 higher 15 i think 10 is probably about right. Very hard to say, though, because, as we know, not all square feet are created equally. Again, i just want to point this out to show you the vitality of new york city. In the Third Quarter of 2020, there were 16 condominiums closed at a very highend project. The average sales price is around 35 million and all that means is that people are not backing out, theyre moving forward, theyre closing. I know thats at the high end but it shows you theres an incredible belief in new york city and its vitality and the future, despite the fact that were facing a lot of head winds. Thats a reality but people believe in new york and they want to be here a and its just taking a little bit of time, the recovery. I like that line, all square feet are not created equal. Robert, how about that yeah, bess, i take your point about the vitality and the optimism for new york city, but one thing that is clearly an overhang here is the debt and the revenue shortfall that were seeing, 9 billion in new york city, 16 billion for new york state. How do you see politicians needing to react to that and whats going to be possibly an increase in taxes. What do you see is necessary on the political side to get new York Real Estate and new yorks economy back on track . Robert, you asked the best question and ill tell what you it is. What we need is to kind of be in the middle thats the sweet spot. We have extremely progressives that are not understanding how important it is to compromise and be in the middle and understand the things like there was a project in sunset park that a bunch of developers and people backed out of because some of the very progressives thought it could hurt that area in brooklyn. And it took away thousands of jobs from people and so i think people are so focused on this narrative that they forget about the fact that we have to Work Together the middle is the sweet spot it shouldnt be extremes on either end, that the legislators in albany have to understand, that the tax would really hurt new york, hurt every day people. Were really trying to get people to understand that compromise is the energy of the good and thats where we need to be thank you very much, bess freedman, we appreciate your time today, bess is with brown, powers, stevens. Session highs the dow was up 250 points today were up 128 so were hanging this there its a 0. 4 gain tech leading the way with the nasdaq up 1. 1 e ckn coleup 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. With two new haunted houses, the screams are just getting started. Wear your favorite costumes and the fun never ends. Come get your halloween on, happening now at universal orlando resort. How about we go out to the bond market and check in with rick santelli. Hi, rick hi, tyler if you look at a oneweek chart and i love some of these technical statistics this will be the highest weekly close for a tenyear note and 30year bond going back to early june right now at 77 base points were up 9 on the week if we look at the s ps on top of tens for the last couple of weeks, you could clearly see they are definitely moving lock step with each other, and that is a good thing. The chinese currency after their holiday came back with a vengeance against all the major currencies, trading against the dollar at levels we havent seen since early 2019 look at the onemonth charts were near onemonth tries kelly back to you. Thank you very much Home Construction hitting a new alltime high today. And another area of the Real Estate Market is just as hot right now. Well tell what you it is and how to invest it and pot stocks have been soaring after Kamala Harris at the debate said the biden crinnistration would seek to deimalize marijuana. Were going to talk with a top weed analyst coming up the commercial real estate sector is one of the worst performing groups. S p 500 this year so far but as the shutdown has crushed some parts of real estate it is creating a boom in others. Diana olick is looking at the red hot demand for life science real estate. Yeah, covid is accelerating an already growing trend for demand for real estate in this sector. In the top life science markets their currently 13. 9 million square feet of sways under construction but demand is outpacing that lab space vacancy is less than 8 prsz in most top markets, pushing rents higher the Biotech Sector may be the singest most attractive subsector within commercial real estate today, not only because of the pandemic which accelerated many trends, but because of these mega trends which existed prior to it, including an aging demographics. The importance of personalized medicine the importance of Venture Capital in this sector, which is only increasing. Venture Capital Investment in the sector grew to a rolling annual total of 17. 8 billion in the Second Quarter of this year. That is the largest amount on record employment in u. S. Biotech r d is also growing fast and exceeded 220,000 in july major reits in this space include alexander rhea, health beat properties, and venta the largest markets for this real estate are boston, san francisco, san diego, and right here in washington, d. C. Important to watch are some of the biggest ehergeing markets in this sector, fitzpatrick, austin, detroit, and phoenix it looks like this run has a long runway ahead of it. There is so much going on there in all of those cities as you say, there are other places that are satellite cities like pittsburgh which has a huge medical center. Tyler up next it is a budding issue on the ballot. We will, on the issue of criminal Justice Reform get rid of private prisons and cash bail, and we will decriminalize marijuana. And we will expunge the records of those who have been convicted of marijuana we will ask a top analyst juat that means for the mariana stocks watch and listen to us live and on the go on the cnbc app. We are back after this sales are down from last quarter but we are hoping things will pick up by q3. Yeah. Uh. Boss doug . Sorry about that. Umm. What. Its. Um. Boss you alright . [sigh] [ding] never settle with power e trade. It has powerful, easytouse tools to help you find opportunities, 24 7 support when you need answers plus some of the lowest options and futures Contract Prices around. Dont get mad. Get e trade and start trading today. Hmms and ahhs heard incall. This was the theater i came to quite often. The support weve had over the last few months has been amazing. Its not just a work environment. Everyone here is family. If you are ready to open your heart and your home, check us out. We thought for sure that we were done. And this town said not today. The pot stocks are soaring higher this week after vp candidate Kamala Harris said she was in favor of decriminalizing marijuana during this weeks debate how long can this last joining us to discuss now is analyst vivian ezer. It is good you have to you are quick to highlight there is a difference between decriminalization and legalization what does the decriminalization track mean to you . Thanks for having me. Decriminalization would look similar to proposed legislation already sitting with Congress Called the states act. What that essentially does is push the rule making down to the state level. As we envision it, if the democrats do take the senate and the white house in the upcoming election, we think thats the highest probability pathway to increme incremental [ indiscernible the states act would also not allow for the canadians to enter the u. S. Marketplace the International Operators would require full legalization in order to access the u. S. The stocks obviously have a long ways to go to get back to their highs. The names that you like include green thumb and creditsco. There are states lying new jersey, my home state where i believe there is some form of legalization or decriminalization on the ballot this year. Even absent a blue wave, is the state by state effort enough to be a reason to own some of these stocks for the u. S. Operators, absolutely we have been doing a election catalyst series in conjunction with my colleagues on the first piece of analysis we did was exactly that we think there is a very good possibility that new jersey and arizona by Ballot Initiatives will legalize cannabis for adult use. We think by 2025 thats 3 billion to our market. That gets us from 31 to 34 billion. On top of that, legislatures can also legal legalize cannabis for adult use. New york is high on our list on that one the governor has spoken to it. We think the state assembly is going to move forward there. [ indiscernible if you get those next four states, thats an incremental 6 billion by 2025. Our estimate from 31 billion to 40 billion. Lets go back to your picks, green chum and credikco. What upsides do you see. U. S. Operators trade at a variable discount [ indiscernible we did analysis earlier this week that looked at potential for the states act to change that we think that the 2021 version of the states act will include a federal excise tax increase to adjust social equity but it will also allow for u. S. Listings the analysis that we did for the key names under our coverage would suggest that operators can just cut the valuation gap to the canadian in half thats in enterprise value. All right thanks for your time today vivian ezer of cowen before we hand everybody off to will and sara lets look at the markets. The dow on pace for its best week as we head into this hour in about two months. Nasdaq and the s p in about three months this seems, kelly, to be the Little Market that could it keeps chugging along, though it certainly hit a speed bump there in september now the september losses apparently have been erased. I am impressed the way that they have taken all the headlines on the covid relief bill in stride, tyler. It has been a very confusing day. And the market still seems to have a lot of optimism about that dont you think . Yeah. Yeah absolutely there sort of seem to have been baked into the prices. We shall see kelly v a great weekend. You too and closing bell is now kelly and tyler, thank you happy friday, Everyone Welcome to closing bell. Im sara eisen along with wilfred frost. Investor attention remains carely on washington the dow turning positive for the year with todays gains as we head into the final hour of trade. Lets look at what is driving the action the focus once again on stimulus the trum