Those are the two worstperforming sectors over the past five days. Investors are watching apple and nvidia ahead of its critical Earnings Report next week. The many pressure points for stocks, rates, earnings, china. Of course the fed too. So whats an investor to do . Lets ask dan greenhouse. Chief strategist here with me at post nine. Its a growing list of pressure points, right . It is. Fixated on the apple selloff. The rates have backed up. At least today theyre backing off which is maybe why the market is kind of hanging in. How do you see things here . Listen, technically obviously weve sliced through the 50day moving average on a number of indices, if not all the indices. In terms of apple, apple and those types, they were up 60, 70 , meta and nvidia are up 300, 400 off their lows. In the context of whats happening from rates, when rates bottomed earlier this year, the tenyear is up 100 basis points and the nasdaq is up the whole time, the s p is up the whole time. I think ultimately with all as a backdrop, what you look at right now, its not unusual, late august, september, to have something of a seasonal pullback. This is something that josh brown was talking about this afternoon. September has been down three years in a row. Six of the last nine, et cetera, et cetera. And historically, its not a great time for stocks. When you had the runup that you had into Something Like that, you have no catalyst right now. Jackson hole is probably not going to be much of anything. And so youre on hold until next week and beyond. All that said, then, if we have a little swoon here which, you know, some said was due anyway, are we still set up for a trend thats intact for the rest of this year to be constructive on stocks . I think yes. I want to add one more observation, what i call the terra nova observation. The distance the index has got from its 200day moving average. The nasdaq got 200 away from its moving average, a level thats been exceeded 5 of the time over the last 40 years or so. Within the context of a correction, you were pretty extended in that sense and joe has been hitting that point i think correctly so. In terms of the rest of the year, holisten, the bias is foro recession right now. For context for the viewers, im someone who is arguing much of last year for a recession sometime around the middle of this year. Obviously that is not going to be the case. And if anything ironically, the economy seems to be accelerating. Its not going to be lets say its 3 . Thats an acceleration from q2. So not only not having a recession, we appear to be accelerating. It appears as though weve entered a phase of the market with good news is bad news again. If you put a print thats too hot or you have a metric thats too hot, a report that comes out too hot, thats not good now. Whereas before, it was, okay, soft landing, maybe even no landing. Now its like soft landing good, no landing, bad. Well, listen, weve been talking about this forever but it bears repeating at ad nauseam. Were not talking about additional rate hikes weve convinced ourselves that september is going to be a nothingburger it might not be. If thats more than that, is that a problem . I dont know if one more hike is a problem. I will say that the headline cpi accelerated last month. In the upcoming report it will probably accelerate again, probably perhaps meaningfully slow. Youre going to have a jitter, so to speak, around two consecutive months where headline cpi has gone up. Stress is enough for investors for home, its not how many additional rate hikes. Its how long you leave rates up. Its considerably more consequential for the economy and your investments. Its also the speed of which rates have gone up. Thats part of the issue with this edgy market is, you know, the ten year has gone up a fair amount in a reasonably short period of time. Its made people nervous. Its backed off today. But over the last couple weeks where the uncertainty started to really keep into the picture, thats been the case. Yeah. Again, the issue is, how do you want to view the backup in rates. The ten year is up 100 basis points or so. Its a rapid move. Is it going up because the economy appears to be accelerating in which case Interest Rates should be higher or going up because yield curve control out of japan or perhaps people are getting nervous about inflation. That tells you a lot from your own viewpoint about what you think. A frequent guest on this program had a good read on exactly what the environment looks right now in his latest note which i read earlier. Liquidity ebbing, tactical nerves are suddenly afraid. I think that sums it up nicely. Again, outside of the seasonally weak period in which we find ourselves, what you have to wrestle with is an investor beyond the next few weeks, through the end of the year, do you think theres going to be a problem on the earnings front or do you think theres going to be a problem on the economic front. If you do, youre making one or two arguments, its earnings, on the economic front, perhaps i dont want to pay 20 times for the market anymore. A lot of that is tech. In which case, would have been the two levers is going to be how you get the market lower. If you dont have those concerns, youre probably going to drift higher into your end which is typically what happens. As long as rates remain up, if you want to consider it a problem in quotes for stocks, as the wall street journal says today, investors keep piling into money market funds. Such funds drew almost 36 billion over the past week, thats the largest haul since may. In other words, theres still good competition elsewhere for stocks. Until you get out of that dynamic, were going to keep having these conversations, whether its fixed income or money markets at 5 . You get where im going. Of course. And admittedly you dont have the same thrust behind the equity market if its diverted. And when you build a portfolio where youre thinking about your longterm investment horizon, if you can get at 5. 5 three quarters of your expected equity return in a socalled riskfree asset, its hard to turn down. Money piled into the money markets in the beginning of the year and the stock market went up. Our cnbc contributor is going to join us now. You had more than a years worth of gains in the magnificent seven as we were calling them. Forgive people for taking some profits off the table is the environment looks a little scattered. Yeah, i think weve had, like, five years of returns in those stocks in the first in the first six months. I think there are certain things that with investors really need to know. And i want to talk about bonds. You and dan just talked about it that youve seen 100 basis point move, but the tenyear has moved in 20 days. If you think about this, is that when you have an inverted yield curve, what thats telling you is that a recession is on the horizon. Weve had an extremely inverted yield curve. The bond market has been at odds with stocks. And theyre saying were going to have a soft landing and Economic Growth is accelerating. What im seeing is youre starting to see an uninversion of the yield curve because as Economic Data improves, you get a steepening, meaning the long end goes higher. Thats bond 101. You add on top of that, all of this continued fiscal spending from chips, ira and then you have quantitative tightening. If we actually i just cant imagine the atlanta fed numbers are remotely correct. Lets say directionally, its in that way. If you do see the ten and the twoyear continuing to uninvert, that will absolutely put cold water on stocks. It just will. Right now were bumping up against that technical resistance of october of 2022 for the tenyear and the presbv for the twoyear. I think well bounce along these levels. I will say, though, why july is one of the best months in the market, september is the worst. Dont forget that by october 1st, congress has to have a resolution on 12 budget to not have a partial shutdown. Im quite sure the political theatric are going to kick up, especially from the fiscally conservative Congress People who dont want to continue to spend. Youre going to see volatility up for a number of reasons. How much more do you think the correction has to go if were in this period of consolidation . Yeah, i mean, i think the like, from a technical perspective, that 43, maybe its 43 20. You really havent the nasdaq doesnt look great. If you look at the weekly moving averages, you have seen some damage. And so i think outside of nvidia next week which i have no idea what type of animal spirits people are actually looking for nvidia to have. That could be a little bit of a shortterm move, one or the other. I would say 43 20 on the s p is good support. And im not good at saying how far are we going to go down. I just look at the technicals and see what that tells us. But i do know that september to me is setting up to be a consistently poor month with volatility. Thats where, you know, weve had cover calls in a big portion of our portfolio this year which has been a drag. But i think as the vix goes higher, as stocks chop around, having that call premium kickup will be a tail wind to our portfolio in a september, october type of environment. Well, the caveat that i think the Government Shutdown which is almost 100 probability is relevant. The uaw is going to strike in the middle of september. I dont know that that means the market is going to selloff, but it does add to some of the nearterm negative headlines, if you will, that will pop up. Whats the significance of watching the loss of leadership, if you will, from mega cap tech. You can look at a lot of the names. Apple is front and center. Apple is the steepest decline. Nvidia is on the list too. You got to have something to pick up the slack if youre going to lose leadership. The fang is off 10 or 12 from the high. The market is off about half that. Clearly for the moment leadership is in question. I would add when you look beneath the headline, beyond the tech plus names, look at the things ive been talking about for a couple of months now. The consumer areas, the hotels, the cruise lines, the movie theaters, the casinos to varying degrees, the performance of those stocks has been exceptionally strong and i think it speaks to something thats going on in the economy where obviously the Consumer Spending on leisure and not goods, et cetera, et cetera, but, listen, are those names large enough to carry the index if apple and microsoft are falling . No. But it doesnt mean that underneath the headline the industrial space im rambling a second here. The charts are a little off the highs because the markets are selling off. Look at infrastructurerelated names, United Rentals and like, theres a lot of stuff going on in the industrial space thats incredibly attractive. Although im not arguing that anyone should buy any one of them. You mention nvidia and were going to get set up for earnings next week. Is it overstating it to suggest that at this very moment, just given how unsettled things feel particularly in the nasdaq and with some of these mega cap names, its a trillion Dollar Company after all, its the key to the market right now. Its the key to whether this correction has further to go or whether, you know, mega cap in and of itself can stabilize and at least stop some of the bleeding. No. I think its key to i think its key to semis for sure. I mean, everyone ive listened to, everyone ive talked to has said you cannot get the chips until q1 of 2024. And so the demand is there. I dont think its the key to the whole tech market. Remember, scott, who were the buyers of tech. The hyper scalers, like who are the buyers of the semiconductor chips, its google, et cetera, who have already spent their capex. Within semis, it could cool off, that area, which has been incredibly strong. But if you look back 20 years, nvidia has had i believe eight or nine years where its been up over 100 . So this is not that unique for nvidia to have this kind of year. Because its just a powerhouse name. Yeah, but i mean i guess i would push back only in the sense, it may not be unique for it to have this kind of year, but given the reason why its had this kind of year is the point josh brown was making on halftime earlier today is because the a. I. Story has fueled all of the excitement within tech. Because the earnings are next week, that story in and of itself needs to stay intact. Right . Its been a whole show in mega cap for the most part. To 2023 and how many are traders that got into it afterwards . And so i think you could flesh some of that out, right . For the longterm investors, theyre going to have a great quarter. Is it going to be great enough . I have no idea. Theres so much hype in this name. I agree to that. In the short term, it could cool things off. Listen, nvidia, is a very specific name, scott, and the only company that were sure that is capitalizing and monetizing a. I. Is nvidia. Thats it. Everyone else is spending to buy nvidia chips. Thats why i dont think its theyre all put together because theyre the direct recipient of where everybody else is spending. Yeah, i mean, part of the point, you cant afford to lose nvidia certainly not at the current time. Chris harvey suggests today, quote, next weeks reports and an a. I. Sell the news reaction may help mark the nearterm equity bottom. If youre looking for signals of when some of the selling could start in mega cap tech, do you need a sellthenews thing to clean it out a little bit . Maybe. But my inclination is opposite brynns. I think this is a crucial Earnings Report and one of the most important Earnings Reports weve seen in a long time. Sure. Is it right now the most important stock in the market . I think for sure. Listen, part of why i agree with br brynn, we know theyre not doing once they once were. Broadcom is benefitting. They make auto and industrial chips which is doing okay. Given its size, its importance and how much its shifted the narrative earlier this year, i would argue a disappointment out of them. Thats not to say if they miss by a penny or Something Like that. I think some sort of disappointing commentary is nearterm problematic. Markets move on fundamentals. They move on all sorts of things and they move on narratives. Right . Thats what fueled the tech thing to begin with. We havent seen realized gains for the most part from what a. I. Is going to deliver for these companies. But the narrative is that we will. And thats why were willing to pay up in the future today for these earnings that are going to come down the road because of a. I. Yeah, i totally agree. Thats what im saying. The only company thats realizing right now is nvidia. I dont know how salesforce monetizes a. I. , except charge more for your product. I think theres so much hype around this. I dont think nvidia is going to disappoint. Maybe the expectations are outlandish and some of the smaller players that are, like, the smaller, the unities of the world, maybe those sell off because theyre not making money at this point. But i just dont think theyre going to disappoint. Because everything i read is theyre booked out to q1 of 2024. And so why i dont know. I just think its going to be a good number. Is it good enough. I dont know. I think its clearly important, theres no more earnings left. I dont think its going to be bad. Thats where i dont think its going to be some watershed event that tech falls out of bed. Nvidia is not going to miss. That doesnt make sense to me. I could be wrong. Im wrong all the time. But in this case, i dont think i am. It doesnt matter as much as guide. Guide was so outrageous that the stock took off and Everything Else followed suit. Before i let you go, your position is somewhat hedged, i think. In what way and how can people who are in nvidia maybe questioning what is really going to happen, how can they protect themselves and their position . Well, you know, were big fans of covered calls. In my personal my personal position, when nvidia last quarter after they released earnings, when it was around 420, i sold the september 450 calls and collected 23. So i mean, that could easily get called away for me if at september 14, its lower. Im collecting big premium, thats a safe way for me to own the stock if it runs up and gets called away, thats fine. If not, i just collected a ton of premium for three months. Were going to leave it there. Thank you so much. Dan greenhouse, thanks to you as well. Good weekend to you both. That brings us to the question of the day. Will nvidia earnings be a sell the news event . Head to closing bell on x to vote. Lets get a check now on top stocks to watch. Christina . Its been a tough week for chinese tech stocks and its not getting any prettier today. Jd. Com, alibaba, pdd holdings all in the red right now. You have the etf that tracks many of those names, its on pace for its worst week in two months over concerns of a slowing chinese economy. And the ev makers havent been immune either, neo, xpeng and li auto tracking for declines. Down 17 . And xpeng after posting its biggest quarterly loss since going public, those shares down 5 . Scott . Well talk to you soon. Thank you. Were just Getting Started here. Up next, a disaster timing move for the ages, quote unquote. That is what star analyst dan ives is calling palo altos quarterly release. Hell join us after the break over what hes expecting and maybe what hes fearing from this oddly timed release, i think we can call it. Were live from the new york Stock Exchange. Youre watching closing bell on cnbc. 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. The Palo Alto Networks slightly higher today ahead of a highly unusual friday afternoon Earnings Release. The stock has been in a free fall this month as part of a broader pullback. Dan ives has an outperform rating on that stock and joins us now with more on what to expect. Good to see you. You think part of this bulpullb was due to the announcement they made that this was going to happen in the first place . 70 to 80 of it is because of this friday night after the market in the summer earnings call. I think its a debacle of Epic Proportions to do Something Like this. Lack of Emotional Intelligence from palo alto, potentially the board, and investors, theyve been riding for the elevators in this situation. Its stunning. And you call it h headscratching, one black eyes. What are you fearing most . I think the mediumterm they could be off, 100, 200. If this wasnt this friday night special disaster, stocks may be off a bit, were looking at 230, 240 stock here. Our longterm thesis remains here on palo alto. I continue to think theyre one of the best players in cybersecurity. And its that mediumterm guidance. Thats the issue at play here. But i think its the timing here that this is a case study for Investor Relations for years to come. What not to do. Its been a monster stock, one that you yourself sitting right to my left have suggested was a tablepounder, right . Those were the words that you used. Do you love it today as much as you did in the past . Yeah. We still love it. Its still one of our top picks. I think its a stock that a year from now is probably close to 300. But ultimately in the near term, we didnt take it off the top picks list over the lastweek or two just because the uncertainty from this, what could be in this Twilight Zone situation on a friday night, i think thats really the nearterm situation. I think its a stock that moves much higher over the coming months and year. But at least in the near term, this is ultimately a self inflicted wound. I dont know. Im trying to do you know its really that bizarre . It makes for a nice headline in the words that youve put in some of your notes. But maybe its much ado about nothing. We probably heard, 60, 70 investors in the last week or two on this. The point is, like, this is something that has really alerted and really been a red flag in the investor community. Its not just me. I think thats why when i look at it, 70 of the selloff is because of what they did and something i havent seen in 23 years covering tech stocks, 80, 90 Public Companies that ive covered. They are still the Gold Standard for cybersecurity. Its surprising for a company that i think is normally high Emotional Intelligence. Crowdstrike is down since the august 2nd announcement. Fort net is down 26 1 2. Some of the other cloudytype stocks have fallen too. Maybe its nothing more than a space that got a little overheated, needed to come back to earth a bit. Yeah, look, i think across weve seen that across in terms of the selloff. Cybersecurity is going to be one of the beneficiaries as we go into more cloud spend, a. I. Spend. Youre going to see more and more consolidation. When you look at whats happened here, i think as a barometer for the sector, not just public, but private, i mean, talk of the town since they did this the last few weeks, now its ripped a bandaid off, get this over with. And i think the stock is up on monday. How concerned are you about apple . The stock hasnt traded well. Down 11. 5 this month. Got some technical ugliness to it as well. Give us i know your big picture view. I dont want to hear that. But give me your tactical view, if you could, over the next few weeks. What are you looking for . Tactical, i think this is ill use the tablepounder term in terms of my view going into an iphone 15 cycle. Midseptember when they launch. 25 havent upgraded in fourplus years. They continue to show units that will be up from iphone 14. Scott, i get the ultimate pullback and tech and apple as a barometer. I view this as a golden buying opportunity rather than the time to sell this name. Tactically into the next call it 45, 60 days. How critical nvidia . We made the case in some respects that right now it could be the most critical stock in the entire stock market. No doubt. That will be the guidance heard around the world next week. Were expecting strength. Were looking at ultimately things that are almost sold out through next year and i think this speaks to i know you were talking about before, the reality of what were seeing with a. I. Spend. This is not hype. Its reality. Its a 1995 moment. Nothing weve seen since the start of the internet and thats our view in terms of how this plays out. Next week will be guidance heard around the world in the positive. Thank you. Enjoy the weekend. See you soon. Up next, the major averages heading towards weekly losses again. The Miller Family office is still seeing some serious upside r oc awe wrap the summer. Hell make his case next. Closing bell, right after this. Were back on the bell. The s p 500 closing in on its longest weekly losing streak since february. But our next guest believes that both theses is still in tack. Good to see you. Welcome back. Theres a lot of uncertainty in the market suddenly. Tell me why the bull thesis is still good. The market was overbought as we got into august. And we see this correction that was not kind of foreshadowed. We had the fitch downgrade. Rates. If you look at theyea yield curves, we have bonds trading at 2. 6 , switzerland at 1 , portugal, 3. 9 , and then you have japan, everybody said people were going to sell treasuries, why would they do that when their currencies are weakening . If anything, if your currency is being devalued, you want to get the money out of the country and into treasuries, not out of treasuries. I think the fed continues to talk tough, but theyll pivot on a dime once they see employment or any other indicators kind of going the opposite direction. Some are trying if were talking about the bullish thesis, that what was the thesis, the soft landing or no landing has suddenly turned into a bearish thesis, no landing is no good anymore because its going to keep rates elevated for longer and just who knows what the fed is going to do. At the very least, youre going to keep rates at these elevated levels and thats going to put a cap on valuations and stocks. I think people forget how bad 2022 was. It was one of the worse years for bonds, equities and just about every other asset class since the 1930s. So we have this recency biased where everything was really bad last year and now were coming out of it a little bit. The bull market and the nasdaq st started during the regional banking crisis. And the bull market, were going to take 20 from the low, probably started in june. This is a little bit of a correction. If we look out, we have Student Loans coming due, we have china blowing up, we have gas prices back over i mean, i paid 4. 50 today for a gallon of gas. We have all of these drags going into an election year. Is he going to want to make another mistake and have a major recession on his hands going in. Again, i hear people talking about, well, the market is priced in five rate cuts and all of these assumptions. But the fact of the matter is, when you hike, you hike in 25 basis points. When they cut, they could cut in 50. We get into semantics. Right now, everything is rosy. But the fed is doing quantitative tightening. The market yields have backed up. We have mortgage resets coming which are going to be big. We have student loan debts. Theres a lot of unknowns. Hes treading into this fall. And those are the reasons why, i think, that the market is going to continue to do well because theyre not going to be able to stay this tight. Seasonality is not great. You mentioned some of the other risks. We didnt mention china. China is a big one. Looks kind of ugly. Growth was projected to be at this point coming out of the pandemic. Where is it . Thats disinflationary along with the a. I. Story. So we saw u. P. S. And uaw, two unions had very big contracts and that kind of scared a lot of people. But remember most of the workers in the United States are not union workers. Theyre going to be fired if theres a downturn in the ex economy. And thats the last thing jay powell wants. We have unemployment tipping up a little bit. The last nonfarm payroll was pretty much in line but almost in that hundred thousand, under 100,000. If they start seeing nonfarm Payroll Employment print under 100,000, theyre going to be in the easing camp quick. Do you need mega cap tech to start going down, or does it matter as much . Because theres Something Else to pick up the slack . How do you view that . Its undeniably one of the reasons were having this conversation, why the s p is down 5. 5 this month. And the nasdaq is down, you know, 6, 7 . Tesla is down 22 . Thats a big move in one month. Apple is down 11 and a half. These stocks matter a lot. They matter on the way up and the way down. We had dan lobe pile into a. I. Related stocks. So i think that thats a longerterm story thats going to play out not just until the end of the year, thats going to play out over the next, you know, five years, ten years. And thats a major story that i dont think is getting a lot of credit. Those stocks, obviously, were kind of everybody piled in at once. Theyve come off and i think that towards the end of the year, were going to end higher than we are right now and i think even at the end of the month of august, we should end higher than where we are right now. Make that the last word. Thank you. Thank you. Up next, were tracking the biggest movers as we head into the close on this friday. Christina is standing by with that. Outback steakhouse catching the eye of an activist investor who believes the shares are undervalued. Stay tuned for more to chew on. Its friday. Connecting to opportunity is just part of the hustle. Opportunity is using data to create a competitive advantage. Its raising capital that helps companies change the world. Its making complicated Financial Concepts seem simple. Opportunity is making the dream of Home Ownership a reality. Writing new rules and redefining the game. And driving the world forward to a Greener Energy future. applause opportunity is setting a goal. And charting a course to get there. Sometimes the only thing standing between you and opportunity. Is someone who can make the connection. At ice, we connect people to opportunity. Our customers dont do what they do for likes or followers. Their path isnt for the casually curious. And thats what makes it matter the most when they find it. The exact thing that can change the world. Some say its what they were born to do. Its what they live to do. Trinet serves small and medium sized businesses. So they can do more of what matters. Benefits. Payroll. Compliance. Trinet. People matter. 15 to go before the close. Lets get back to christina with a look at the stocks thatshe is watching. Im watching deere right now because its sinking. The Farm Equipment maker also raised its fullyear guidance and said its order books remain robust but the stock is down on concerns that sales could be slower Going Forward especially as used equipment inventory equipments rise. Deere shares are down 5. 5 . Outback steakhouse has hired an activist board and has taken a 10 stake in the company. I didnt include any details on what theyre pushing for at the company, but sources tell cnbc that the fund views blooming brands shares as undervalued and plans to hold a dialogue with management about the company. Shares are up 8 . Thank you. Last chance to weigh in on our question of the day. Will nvidia earnings be a sellthenews event like some suggest it could . The results are 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. 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. I want to show you the markets here because we are green across the board. Including the nasdaq. Look at that. Down at the bottom of your screen. Now positive. Albeit slightly. But its been red all day. And now the Dow Jones Industrial average is up 83. Quarter of a percent. S p 500 is green as well. Now the results of our question of the day. We want to know, will nvidia earnings be a sellthenews event. The majority of you said yes. 57. 5 of you say, yes, it will. We shall see. Up next, your earnings setup for palo alto. That Earnings Report is few minutes away. Well give you a rundown of what so expect. Retail is front and center once again. Well tell you the key names you need to be watching. Whats at stake for that sector and the marketats large. Well do it after the break. That have and much more when we take you inside the market zone. , so you know all you need for recovery. And you are . Im an investor. In invesco qqq, a fund that gives me access to. Nasdaq 100 innovations like. Wearable training optimization tech. Uh, how long are you. Im done. Im okay. sfx people cheering sfx Stock Exchange bell ringing sfx people celebrating sfx people celebrating sfx Stock Exchange bell ringing nice footwork. 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E trade from Morgan Stanley announcer the market zone is sponsored by etrade. No account minimums. Trade free today. Were now in the closing bell market zone. Mike santoli is here, plus Courtney Reagan on what to expect from another busy week of retail earnings in the week ahead. And Kristina Partsinevelos on what to watch out for. Palo altos release. Weve talked a lot about it. Its a rarity to say the least. How about this move late in the day . Getting a little green across the board. At least a sense out there of relief that its not one of these daily selfreinforcing selloffs. We still very firmly have this multiweek down troend in place. It shows a little bit of calm in the bond market. Goes a long way after weve gotten just slightly oversold in stocks. Still not the broadest rally, but i think its it makes sense that were able to at least find a little bit of footing. We have options. Expiration, maybe that does cleanup positioning a little bit going into next week. And Courtney Reagan, speaking of next week, what about the two retail movers today. Give me that first and we can look ahead at whats at stake next week. Ross stores did report the results after the bell, so today was the first day of trading that we got to react to it. Really, it was very strong across the board. This is an off price retailer. It has a model like a tjx and it reported much stronger than expected results. It upped its guidance, but a number of analysts think it might be conservative with its guidance. It goes to show you that sometimes you can sell discretionary goods if you have them at a value proposition. On the flip side, you have shares of far fetch tanking. This is an online marketplace for luxury goods. You want to see profitability, right . That bar has gotten higher and higher and higher for some of these Online Ecommerce you used to be formally startup names. They were not able to put up profitability. Their revenue projections Going Forward are dour to say the least. Analysts are confused on the business model. Even as the executives are talking about making things more efficient Going Forward. Obviously investors are not convinced today. Yeah. Lets take from today to next week. What should we be watching for most next week . Oh, my gosh, we have so many names reporting next week and so many of them lean heavily in apparel, in these discretionary goods that have been soft. Four companies that have lots of different categories. And so i think the way that you operate, the way that you execute is really going to define the winners from the losers because we know that youve got to give consumers an awful lot of incentive to buy these types of goods right now. Im watching to see if any of these players can do that. Im talking about nordstrom and kohls and macys and abercrombie, Dicks Sporting Goods and foot locker. We have lowes. We heard from home depot. I expect to see a similar quarter, some moderating Consumer Spending when it comes to the home. Focus on smaller projects, less on those really big expensive projects in the home space as rates continue to move higher. Well see what we get. Yes, we will, appreciate it. Thank you. What will we get from Palo Alto Networks . Kristina partsinevelos, that is the biggest wild card question of this day. Which is great because that means people are going to be tuning in to cnbc and us breaking the earnings. Lets talk about the stock. It was down roughly 18 since announcing a friday afternoon session on august 2nd and a twohour Earnings Conference Call and a oneonone sell side chat. Theres speculation that the company could be hiding something bad since tension tends to dissipate on friday summer afternoons. There are factors that could be at play. Palo alto was added to the s p 500 replacing dish. Maybe its coming down from that. Secondly, microsoft announced it would expand its cybersecurity offerings which wont really affect this quarter or even maybe the next quarter but could have longterm ramifications for palo alto which is palo alto shares fell. Lastly, fortinets earnings were weak, possibly setting a lower bar for tonights earnings. But the negativity could be overblown and the press release earlier today, they did say they would provide a fullyear, 2024 guidance and update mediumterm financial goals through 2026. Maybe theyre being considerate giving them time to update their models. I cannot wait until overtime to find out what this is . Are you going to stay tuned past 5 00 on a friday . Sure, sure. Ill be watching. Im trying to see your expression right now. Okay, all right. You dont want to see it. You dont want to see it. Everybody else, please stay tuned. Thats what we want to know. There you go, thank you. All right. Kristina partsinevelos. Back to mike santoli. Were talking earnings. Cant help but look to next week, mike, and think of nvidia. The twominute warning just went off. The s p is going negative. Nasdaq looks like its tracking negative. Your thoughts . I wish there were a way to handicap this in any way whatsoever. A few weeks ago we were saying, hey, we got to look ahead to apple and microsoft. Both of those had just fine numbers. There was really nothing wrong with the earnings and yet they both traded terribly off of it. This is win the market will show its hand. And well see how it breaks from there. I dont think that people are as far out on a limb on the stock as they have been a little while ago. If one of the jobs of this pullback has been to moderate sentiment, get valuations off the nosebleed levels, its starting to happen. Well see if that continues into the report. Were going to look ahead, mike, 6 00 tonight. You and josh brown are hosting your special, taking stock, what kinds of things are going to be happening . Two people who know the marks cold, what should we be expecting . Multiple interpretations of what the message is on all of these moves. Were going to be ranking the big worry points of the market. Whats a real concern and what can we dismiss. We may not agree, but were going to try. Wish you well, have a good show. Obviously, you hear the clubbing here. The dow looks like its going to give it up too. Three straight weeks of losses here for the major averages. We have some technical damage theres the bell. Everybody, have a good weekend. See if palo alto delivers here in this unusual overtime release. Morgan brennen takes it away right now. Looking like a flat close for the s p 500 here. Stocks settle. Maybe a level around 4371. The nasdaq dipping down slightly. All of the major averages as you just heard scott say finishing lower on the week. That is the scorecard on wall street. The action is just Getting Started. Im morgan brennen. Jon fortt is off today. A rare friday afternoon Earnings Release is coming your way. Palo Alto Networks is due to report results any momen