I mentioned yields the tenyear hitting its highest level since last october earlier today. Retail sales coming in better than expected. How about the atlanta fed taking gdp and its forecast up to a stunning 5 believe it or not. It brings us to our talk of the tape how vulnerable are stocks right now . Adam parker is ta cnbc contributor. Do you feel like stocks are vulnerable its been a rocky couple of weeks, especially for tech what do you think . The earnings season was, i thought, pretty good. Better than feared. The big cap tech stocks, 2024 earns are higher than they were on july 1. I think the fundamentals from the Companies Look okay. I think whats happening is a fear of a perception about Interest Rates and how that means people will probably not want to pay as high of a multiple as they did a month or two ago. You talked about rates backing up for a long time the relationship between the perception about rates and the pricetoearnings ratio was very strong. It kind of broke in may. Now i think people are saying, wait a minute, maybe thats a little farther off than i thought. Even doves are saying im not ready to throw in the towel yet on the idea of raising rates i dont know any Equity Investor i talked to who be believes that. Maybe theyre going to be a little more hawkish. What about this idea that liesman was putting forth. Soft landing, good no landing, no good. It means the economy is too hot to handle. We keep praising how good some of the data is as it relates to consumer like retail sales today, but the inverse is that, well, maybe that makes the cash carrys and company be more aggressive than we think. We analyze variables and put them together. Industrial activity is high but declining a little bit wage growth is not as high as it was. Its still pretty good but its declining. If you believe that continues, maybe youre okay. I think the bull case that was forming a week or two ago when the market was above 4500 on the s p and looking strong was maybe people thinking were at the beginning of a new earnings cycle that could last several years. Because the market never trades for a long period of time above 20 times forward earnings. Either were at the beginning of a multiyear earnings cycle or the numbers are too low. Some people are suggesting theyre still too high. I think they are. If the market is going to trade at 20 times its telling you the earnings are going to be better than people think or well go higher for several years i think that was the narrative until very recently. People were saying they may end up more hawker than i thought. Are you watching yields or equities more as a tell on where you think we are its been a coupleweek pullback in tech. Markets hanging in even today youre worried about china the dow is down. 8 . Its not apocalyptic. Right we were on the air together 80 times last year where it was having its worst day the two things that matter most are the perception about Interest Rates so where do people think theyre going to be 12 or 20 years from now. I think it has to be this perception about rates thats causing the pullback now. Youve always looked at technology as we look at china and where we think demand is, how much does it matter to our market right now that china is weaker than we expected it to be. Most of them have overproduced consumption massively. The big story in covid was factory shutdown you couldnt get silicone. Look at texas instruments. Theyve got 200 plus days of inventory. They overproduced by a lot. That has an impact on prices, margins. Margins they cant run the factory as high for sure. The fixed costs dont get amortized over as many units out. I think most companies have overproduced consumption the overall industry did well because the answer at every single paper on ai, the answer again was im going to need more compute. People just assumed all similars worked nvidia participates the most. When you look at mega cap which has pulled back not substantially but enough to raise some eyebrows, the knock was theyre too expensive. Do you look at the pull back and say now theyre better. The only thing to do is keep close to the index in those big names. I dont know anything thats not in the price theres 60 sell side guys and 40 million buy side analysts. But you get surprised look what nvidia did last quarter. I dont want to be massively underweight or overweight. If you like nvidia more than one of the other ones, you can go for it its 30 of the index. Would you buy industrials thats one of our overweights. If i look at all the mistakes ive made in my career, the number one thing that explains those mistakes is i thought something was structural and cyclical it went up a lot and then it rolled over. Every ounce of my experience tells me these businesses are cyclical machinery is a cyclical business a number of things industrials benefitted are on are slowing. Think about factory utilization. It was very high there was really less wage pressure outside the u. S. Because of our fiscal policy agricultural, aerospace and defense are very strong end markets. Theyre cyclical i think high multiples and an emerging optimistic narrative, thats not a place i want to be overweight lets just say the more cyclical nature in stocks like manufacturing, which has been in a recession and the data has not been good, but you dont think at some point it troughs the stocks missed by a lot and went up because people think its a trough on logistics if youre saying industrial sector earnings expectations are very high. They grew a lot in 2022. Most of these businesses couldnt meet demand early in the cycle. Its not like they were amazing. They just couldnt get the logistics to ship it out people think these businesses are going to grow forever. Thats all true but these businesses cant grow forever and have high inventory and high multiples. Id rather take a shot at energy and metals only because expectations are way lower, valuations are way cheaper so i can barbell the strategy about overweight energy and materials and underweight industrials. I think thats the better reward. You heard what adams had to say. I said we have a market i described as a little edgy how do you see it . Its definitely edgy. Were seeing china obviously struggle to keep economic momentum going theres more evidence the u. S. Is seeing a bit of reacceleration in Economic Growth, retail sales data coming in at a hot. 7 . This is the Worst Nightmare for the fed to see Economic Growth accelerating it means they need to tighten more markets have been in the boxing ring with the fed over the last 18 months and they escapkeep wig multiple rounds. Were looking at an environment where were backing up back toward last octobers high in rates andmarkets are becoming little bit exhausted here. I think the fed is starting to wear the market down were seeing punches starting to land thats creating a lot of this volatility. We went from the economy is good hey, soft landing, maybe even no landing. Now today were saying maybe no is no good, because it just means what emily just said, that the if fed is going to stay engd as long as the economy remains in their eyes too high. I think if its good, it will be good. Meaning, if earnings continue to be strong, people will say yeah maybe theres one or two more hikes but then theyll pause. Are we back to wondering if theyre going to go too far when they dont have to when things slow and moderate but they dont get cratered, thats okay. I think that would be good for equities and the outlook i think good Economic News will ultimately mean the market ends higher than it is now. Emily, i know some would suggest weve been overdue for a correction because the year has been so strong if we do get one, to what degree do you think well feel it i think its tough to say here i think there is a possibility that we could retest last years lows as the fed policy does impact markets i dont think were there yet. Were in a late cycle environment which can see these big moves higher and risk assets we want to say invested here we just really want to be disciplined about doing so we look at the playbook. These are companies with steady earnings, good balance sheets, lots of cash, good return on equity of Course Technology stocks have run a lot. They look expensive. One sector we should keep an eye on is health care. Its trading in a discount to the broad market it has more defensive and Higher Quality attributes it kind of feels like a flashback to the macro playbook of 2022 where we saw relative economic strength in the u. S. ,weakness overseas, a fed thats continuing to tighten and still concerned about inflation. Thats an area we would look at. We think bonds can start to kick in well look at every one of those bond yields as an attractive entry point. Its alternatives to stocks that are attractive, bond equivalents. If rates go up, you can still get 5 in your money market. You still have places to go with perceived less risk than stocks. I dont agree that we can get back to last years lows with the current way im viewing the world. To get to 3600 in the s p like last october, you need to believe earns are going to collapse rather than erode i think earnings will be higher next year than this year as long as i think that, i dont think were going to go anywhere near last years low passenger its been the case since april of 2022. I bought the twoyear yield for the first time in my life at 5 . Ive never done that before. The challenge to that logic is i think you can prove in years five through ten that has pr predictive values i think a lot have struggled because the signals tell them to be overweight bonds versus equities thats intellectually right. Ask yourself how much can i tolerate if i was underweight or over w overweight, how do i play it when do the bears throw in the towel . What do they need to see you still get the argument, well, theres still better placed to be, either fixed income or cash what causes a turn is it a real chase for performance as we near the end of the year . I think if you want to be living on soft landing island, you have to see inflationary pressures come down meaningfully there are a number of factors that have caused Commodity Prices to go up. Youre seeing china stimulus the jury is still out whether thats pushing on a string or not. You look for things like copper prices going up, Oil Prices Going up, those contributing to headline inflation theyre not going to be as favorable on an inflation perspective. All of those things need to reverse gear to declare victory here its exhausting. The Economic Indicators have been negative for 12 months, the yield curve inverted for 13 months in these late cycle environments, investors do tend to capitulate. You talked about no landing. Thats probably a good thing there will be a landing of sorts. Doesnt mean we dont want to be invested but we want to be mindful about how were doing it Risk Management is critical today. Sum it up in 30 seconds. I think theres a lot of agreement in what happened there. I just think to get earnings down year over year you need a different trajectory than the economy is currently on. I 60 40 think the markets next move is 10 up, 10 down earnings look good to me in the big cap tech stuff broadening isnt because they are bad. You need other stuff to have Market Expansion lets check on some top stocks to watch. Hawaiian electric is plunging today as s p downgrades the utilitys Credit Rating to junk status the wildfires in hawaii have destroyed a significant segment of the companys customer brace, which will take many years to restore. Shares are down 24 . Hawaiian electrics Financial Measures would deteriorate if theyre found liable for those fires. Shares are down 50 and trading at their lowest since 2009. Sea limited posted an earnings beat but saw tepid Consumer Spending and a big drop in mobile Gaming Business in the last quarter it plans to ramp up investments to fuel growth, which would impact profits those shares down almost 30 right now. Thank you were just Getting Started up next, wall street has been buzzing about nvidia several firms are issuing bullish calls, even more so on the name well get the forecast for the stock ahead of earns next week. Brings us to our question of the day. We want to know is nvidia a buy ahead of earnings, or should we wait and see the numbers head to cnbc closing bell on x, formerly known as twitter. Ah, these bills are crazy. She has no idea shes sitting on a goldmine. Well she doesnt know that if she owns a Life Insurance policy of 100,000 or more she can sell all or part of it to coventry for cash. Even a term policy. Even a term policy . Even a term policy find out if youre sitting on a goldmine. Call Coventry Direct today at the number on your screen, or visit coventrydirect. Com. You cant buy great conversations or moments that matter, but you can invest in them. At t. Rowe price our strategic investing approach can help you build the future you imagine. T. Rowe price, invest with confidence. Nice footwork. Man, youre lucky, watching live sports never used to be this easy. Now you can stream all your games like its nothing. Yes thats what im talking about. [ cheers ] running up and down that field looks tough. Its a pitch. Get way more into what youre into when you stream on the xfinity 10g network. Some people think you can only have one favorite team. Well i beg to differ. Thats why i got xfinity. So, i can catch all my favorite teams outofmarket sunday afternoon games. And for the first time ever, no dish needed. In a word its fitzcredible. No. I got it, fitzsational. I should trademark that. Eligible xfinity rewards members can get up to 100 off nfl sunday ticket from youtube. Sign up for xfinity rewards now. Were back nvidia shares climbing again today following three new bullish analysts calls, all raising price targets just day after Morgan Stanley reiterated nvidia as its top pick its a primary beneficiary of a. I. Lets bring in Stacey Rasgon good to see you. What do we make of the twoweek pullback we i dont know what other folks are saying about it. I mean, i dont really care. We know as were going into earnings, this is why theres more tension on it now numbers are going up you can sort of look at the current demand environment for a. I. And their products. You can look at the supply chain and the amount of capacity that appears to be getting added. You can sort of do the math on the revenue potential that is there and compare it to the current numbers. It is highly likely that numbers are headed north as they report next week. As people start getting ready for earnings, thats whats driving it but the environment for their products is off the charts right now. Lets talk about that, the demand everybody wants the chips, but at some point arent they supply constrained by how many chips they can actually produce for those who want them . And what implications over the Bigger Picture is that going to have given all the hype around chips they may not be able to produce as fast as some people think . The biggest limiter of their revenue over the next year plus is likely to be the supply youre right i think theyre going to sell every part they can make it is a good question. Like in the near term over the next quarter or two theyre adding a lot of supply it does take time to bring it online theyve been selling out of inventory for the last quarter as they bring the stuff up if they walk into next week and miss buy side but we know the demand is there and they talk it up and you can do the math on the revenue potential next year, that doesnt feel bad to me to be in a position where youre literally selling every part that you can make as quickly as you can bring that stuff online. That doesnt feel like a bad place to be. Whats the right pe stock in may was 60 plus times forward. Now its come 40 some odd times forward. The buy side estimates are probably higher than the sell side on the buy side its probably 30 times give or take on next year, which is not a crazy number, especially if youre looking over a longer period of five or ten years. It is likely if they can hit numbers like that, thats not the global peak or maximum in their earnings potential looking out five years, ten numbers, well talk about numbers that are materially higher than today. As long as you think it can still grow and i think it can it doesnt feel like an awful multiple especially given some that weve seen in the past compare it to the rest of the Semiconductor Industry i think its about a 1. 6 relative multiple to the socks which is inline to low relative to where its historically traded. I just want to take a break from our conversation for five seconds and say stocks are at the lows of the day across the board. The dow is down 360 plus nasdaq is where the pain is. Its down by more than 1 . Obviously the big surprise last quarter from anybody was nvidia with the guide, which just blew everybody out of the water does that lessen the chance for upside surprise this time around surely the expectations are going to be there that were going to see the big number. They had 11 billion in total revenue this quarter theyre probably implying about 8 billion in data center. They did 4. 3 billion last year i think people are expecting them to beat that number and guide higher for next quarter. Expectations are going to be higher for sure. Lastly, who else wins here . You know, every component there are components that go into these chips too. Who else is a winner its funny. In my coverage theres only two companies that have seen actual dollars from a. I. Right now. Its nvidia and broadcomm. They do Chip Design Services for like google for their internal a. I. Chips most companies that have risen on a. I. , right now theyre not seeing a lot of revenue yet. Its a narrative hopefully its to come but they havent really seen that much in terms of actual dollars yet. I appreciate it thank you stacy rasgon dont forget to weigh in our question of the day. Is nvidia a buy ahead of earnings or should you wait to see the numbers . Head to x to vote. Up next, raising the red flag hes been raising them consistently are there any red flags left to raise . Morgan stanleys chris toomey breaks down his forecast after the break. Later, banks sinking in todays session. lwel drill down on whats behind that move the citi custom cash℠ card automatically adjusts to earn you more cash back in your top eligible spend category. Hi. You dont have to keep tabs on rotating categories. This is the only rotating i care about. Or activate anything to earn. Your cash back automatically adjusts for you. Can i get a cucumber water . Earn 5 cash back that automatically adjusts to your top eligible spend category, up to 500 spent each billing cycle with the citi custom cash℠ card. I love it. [voice vibrating] were back summer seasonality dragging down the major averages in august the s p now on track for its worst month since december our next guest says the most likely move for stocks here is lower. Joining me is chris t toomey. The more things change, the more they stay the same youre still negative in what was a pretty fierce rally. A little rocky, a little edgy of late is the word ive been using. You havent changed your view at all . No. Like i said before, when the facts change, my opinion will change were dealing with the fatigue of the move up higher. Like, that was kind of a parabolic move higher, now the market has to digest this giant move you can see that with earnings earnings were expected to be down they werent down as much but they were still down for companies that beat, the response wasnt as inspiring as you would expect you have that. You have the seasonality of august and september typically being bad. Part of what were seeing is just fatigue. Digestion is normal its a normal process. For sure you wouldnt see as big a reaction from beats, because a lot of the stocks i assume youre talking about had already run a lot into the numbers. Right that was my discussion last time i was here the market was really priced for perfection we have expectations with regards to earnings going pretty dramatically higher. The market is expecting a 10 to 15 increase over the next 12 months were also expecting rate cuts in 2024. Thats a lot of good things expected to happen so there isnt a lot that could go wrong that could tip this fairly negative. When you say youll change your opinion when the facts change, i mean, i could suggest that the facts have changed. The facts have changed since you were first negative in that were further down the road on rate hikes and the economy is stronger than many thought it would be to this point, including the consumer hanging in it is. Its fact. And earnings have also remained better than people have feared arent those Strong Enough facts that have changed . So earnings are negative. For the last three quarters earnings are negative, down about 7 over that time period if you look at the magnificent seven, theyre up over 70 , but over 63 of that is just pe expansion. So in our minds, whats driving that is there a tremendous amount of growth were expecting are we expecting rates to go dramatically lower, or the fact that the economy is actually doing better and to your earlier comments with regards to no landing versus soft landing, if we get no landing, we know the fed doesnt like that. Cash carry was out today saying were not done if the economy hangs on and continues to go higher, we could be in a situation where the fed is not looking at five rate cuts next year. With all due respect, does it really matter what neil cash carry does the reason for what they do is the fact that they are concerned in the situation where we had tremendous fiscal stimulus this year we had a situation where the market has gone dramatically higher and the labor market is very tight were still at about 3. 5 unemployment and core cpi is still above 4 the fed is not necessarily happy seeing the economy do dramatically better. The other point, is growth going to be as good for some of the stocks you mentioned the magnificent seven. Yeah, it actually is arent we learning that from some of the guidance from the nvidias of the world because of a. I. Thats the pushback on this idea that those stocks are way ahead of themselves. The thing you need to think about is just because theres good fundamentals doesnt make it a good investment at some point price matters. Is a. I. Going to be a game changer . Absolutely what are you paying for that right now . Way too much. Youre still paying less now than you were before you dont have to comment on nvidia specifically but thats sort of the perfect example of what you were paying 60 plus times a few months ago and youre paying 40 right now, which isnt insane. Cost of capital is now normalized at over 5 in real rates. Were in a situation where you dont necessarily need to be in a situation where you have to be in equities. You can also discount that at a reasonable rate and say maybe i want to be in this when its a little bit more attractive i think theres more leaning toward the downside than the upside the market in general has got a pe of 20 thats an earnings yield of about 5 , the same as the bond market. Not everybody gets to see your every appearance and remember what you said what turns you more positive what has to happen i think what you have to think about is when you look at the market, whats priced into the market right now and youre expecting higher earnings and lower rates. When the market is in a situation where its not necessarily priced for perfection, thats when i would say this is a Good Opportunity to get in. In my view, you have maybe one of three things. Either our expectation that growth is going to be higher than what the market is pricing in. Six to nine months from now you dont think that i think its already priced into the market. What the market is pricing in is very Aggressive Growth rates unless i view that the market is underrating that growth, i dont want to necessarily add exposure or if the market thinks were going to be in a situation where rates are going to go dramatically lower, then i would say now is the time to be in the market you get a resolution with regards to Russia Ukraine or a china resolution, one of the things the market is not necessarily pricing in right now, otherwise, just be patient. Chris toomey, good to see you again. Up next, were tracking the biggest movers the ceo of a Credit Card Firm resigns amid regulatory review we review the details after the break. We planned well for retirement, but i wish we had more cash. You think those two have any idea . That they can sell their Life Insurance policy for cash . So theyre basically sitting on a goldmine . I dont think they have a clue. Thats crazy well, not everyone knows coventrys helped thousands of people sell their policies for cash. Even term policies. I cant believe theyre just sitting up there sitting on all this cash. If you own a Life Insurance policy of 100,000 or more, you can sell all or part of it to coventry. Even a term policy. For cash, or a combination of cash and coverage, with no future premiums. Someone needs to tell them, that theyre sitting on a goldmine, and you have no idea hey, guys youre sitting on a goldmine come on, guys do you hear that . I dont hear anything anymore. Find out if youre sitting on a goldmine. Call Coventry Direct today at the number on your screen, or visit coventrydirect. Com. Dude, whatre you doing . Im protecting my car. Thats too much work. Weathertech is so much easier. Lasermeasured floorliners up here, seat protector and cargoliner back there. Nice out here, side window deflectors. And mud flaps. And the bumpstep, to keep the bumper dentfree. Cool its the best protection for your vehicle, new or preowned. Great. But where do i . Order. Weathertech. Com. Sfx bubblewrap bubble popped sound. Tough day for stocks about 15 minutes to go here. The dow pushing almost a 400point decline. Energy has been weak, materials weak, some of the industrial names. China data has been weaker thats dragged some stocks like cscac caterpillar lower. Discover financial is firmly down today after announcing the sudden departure of their ceo. The unexpected exit comes a few weeks after discover disclosed separate issues related to credit card classifications and a consumer probe and ten cent music higher today as the streaming giants Second Quarter revenue rises over 5 year over year, also seeing a 20 jump in paying users for its spotifylike streaming platform shares are up more than 1 notably outperforming over chinese tech names under pressure thank you another mover were keeping an eye on today is vin fast. Whats behind that move . Vin fast is the speck ipo of the day. There havent been many this year when you look at shares of vin fast after its listing on the nasdaq, up about 25 if youre not familiar with vinfast, you may be over the next couple of years they have big plans for here in the United States. The company out of vietnam has exported 1800 from vietnam, imported them into the United States theyre building a plant in North Carolina with first models expected in 2025 should you get behind the vinfast speck ipo . Not if youve gotten behind others in the past year. It has been brutal vinfast needs the money and theyre going to have a valuation of about 23 billion. Lets see what the future holds for this vietnamese electric vehicle maker. Havent seen any specks really last chance to weigh in our question of the day. Is nvidia a buy ahead of rngs head to cnbc closing bell on x the results just after this break. We planned well for retirement, but i wish we had more cash. You think those two have any idea . That they can sell their Life Insurance policy for cash . So theyre basically sitting on a goldmine . I dont think they have a clue. Thats crazy well, not everyone knows coventrys helped thousands of people sell their policies for cash. Even term policies. I cant believe theyre just sitting up there sitting on all this cash. If you own a Life Insurance policy of 100,000 or more, you can sell all or part of it to coventry. Even a term policy. For cash, or a combination of cash and coverage, with no future premiums. Someone needs to tell them, that theyre sitting on a goldmine, and you have no idea hey, guys youre sitting on a goldmine come on, guys do you hear that . I dont hear anything anymore. Find out if youre sitting on a goldmine. Call Coventry Direct today at the number on your screen, or visit coventrydirect. Com. Lets get the results of our question of the day. We asked is nvidia a buy ahead of earns or should you wait and see the numbers first . Wait is the majority today close, but better than 52 said wait and see. Up next countdown to cava. Well bring you a rundn owof things to watch when we take you inside the market zone, next today, 9 million kids in america are considered food insecure, meaning there may not be a lot of dinner at the dinner table. Help change a kids life. Support your local food bank. The more you know. You ok, man . The internet is telling me a million different ways i should be trading. Look whats up my trade dogs . You should be listening to me. You want to be rich like me . You want to trust me on this one. [inaudible] wow yeah its time to take control of your investing education. Cut through the noise with bestinclass Education Resources that match your preferred style of learning. Learn your way. Not theirs. Td ameritrade. Where smart investors get smarter℠. Dude, whatre you doing . Im protecting my car. Thats too much work. Weathertech is so much easier. Lasermeasured floorliners up here, seat protector and cargoliner back there. Nice out here, side window deflectors. And mud flaps. And the bumpstep, to keep the bumper dentfree. Cool its the best protection for your vehicle, new or preowned. Great. But where do i . Order. Weathertech. Com. Sfx bubblewrap bubble popped sound. Were now in the market zone mike santoli is here to break down the crucial moments of the trading day. Leslie picker and kate rogers with what to watch ahead of cavas first Earnings Report a number of people on social media pointing out issues with fidelitys website throughout this final hour of trade fidelity acknowledging that. Were aware that customers are experiencing issues with fidelity. Com they say were working urgently to resolve these issues. We apologize for the inconvenience and appreciate your being a customer. Tough timing final hour of trade for anybody who trades on that site in terms of retail. It is the markets been heavy for a while. I mentioned the s p was sitting right on top of last weeks low, which was also exactly where that mid july breakout took place higher it seemed like it was tempting sellers to take it below i would be the say theres a lot to connect the fidelity outage it seems like too many friction points today yields are hanging around their highs. Whether its because of reaccelerating growth, inflation going to be sticky, fed going to have to be on the case or just a global story in terms of japan gdp, all that stuff into the mix with august seasonseasonality. Were not yet over sold. Nothing thats gone on is really outside the bounds of what you might expect this time of year a of the market came into august hot. It definitely doesnt seem fully resolved it would be surprising if we only got away with a 3 dip with all this piled on top. Also well give you more information on this fidelity story if we get it speaking of banks, theyve been weak all day leslie picker has more on that, i think related to a story broken on cnbc. Com. Related to what mike was talking about with yields. A slew of negative headlines today. It was that warning shot that an analysis gave to us that it may need to downgrade dozens of bigger banks then this afternoon minneapolis fed president neil cash kaur ri spoke about the new proposal that boosts Capital Requirements for assets greater than 100 billion. But he said, quote, it doesnt go far enough. I think its a step in the right direction, but i would like to go significantly further this proposal put forth by regulators already results in a 16 increase in requirements across the sector if it were to be enacted banks have also been selling billions in death to shore up sheets and boost capital levels in anticipation of additional requirements a bloomberg report citing a person familiar with the matter says pnc is selling 750 million in notes following similar sales from bank of america, goldman, huntington and others just in recent weeks he also highlighted the potential for additional issues down the road, saying if inflation is not completely under control and the fed has to raise rates further, banks might face more losses although we are not seeing that at the present time now to kate rogers as we look ahead to cavas first report as a publicly traded company. I would assume investors want them to serve up something in terms of when theyre going to be profitable. That is the big question. Not sure it will be answered tonight. This is the first report since june analysts are looking for a loss of 2 Cents Per Share on 162 million for the quarter. There are no estimates on that figure yet as well as any guidance on goals around future profitability. Begin the more expensive price point for consumers, cavas competitors are chipotle and sweet green. Both of those names have held up well this year cava has several tailwinds in its favor, includingdigital strength and limited Service Chains taking share from full service. Its trading down today but up more than 100 since its ipo back to you. You heard the twominute warning. Dow is down about 320. Yield is very much a big story today as we hit the highest level on the tenyear since october. Interesting action in the sense that after the hot retail sales report at 8 30, the tenyear did shoot to a new high above octobers closing high, then backed right down theres a sense out there maybe this yield move is running its course in the shortterm, but over the course it firms up. We have very negative equity market, about 85 of all volume on the New York Stock Exchange to the downside. Nvidia is punching above its weight for once and kind of keeping the s p 500 loss as narrow as it is. Those levels i was talking about in terms of last weeks low, 4443 i think thats going to get a little bit of attention as we get into the morning. The market was due for some sort of digestive period. Absolutely. All things considered, if youre worried about china and rates going up its pretty mild. The second conclusion after that observation is maybe we have to get a scare. If it feels like this is a painless pullback, whats the big deal, sometimes we do have to have a little bit more of [indiscernible were going to go out in the red, as we said. Well see where we go tomorrow stocks tumbling today, every s p sector in the red as the tenyear yield tests its october high welcome to closing bell overtime. Coming up this hour, cava serves up its first report as a publicly traded company. The mediterranean chain is about to post its first Quarterly Earnings since it went public in june the stock has more than doubled from its ipo price. Plus, an inside look for the race