Much cheaper. Austin is laughing. Im not laughing. Thats a regular tuesday night for austin. Thank you very much, charles. Okay, so the bulls are a little winded as we kick off the final hour of trade after notching the fourth straight win some red on the screen and dow bulls are treading on track for longest winning streak since d ecember 19th and led by boeing, am amgen, cisco and jp morgan and dow up 120 and getting it there, not one at the top of the dow and nestled into the top ten best performers is microsoft. President joe biden juicing up the tech giants big investment in Artificial Intelligence during a campaign visit to racine, wisconsin, its a live picture of the president there at a Campaign Event talking to voters in the battleground state. Biden along with microsoft president brad smith announced a 3. 3 billion investment to build a new Ai Data Center, but also a Training Center for it in the city of racine. Lets go live to fox business Edward Lawrence in wisconsin right now following the president s every step in the badger state. Microsoft is kind of one of the last companies i would say that needs that much money so theres got to be another jobs component to this; right . Reporter yeah and the president is from this area and trying to get jobs back to the area and the president was highlighting the spending he was doing and latching onto microsoft and aa data center ai data gent fertilizer the area and microsoft spending 3. 3 billion over the next two years in order to fund this. Listen to this. This isnt just about build ago building. Its not just about the manufacturing jobs of today. More than anything, this project is using the power of ai to fuel the future and Manufacturing Companies and jobs and skills across the state of wisconsin and around the country. Thats what were building together. Reporter President Biden trying to latch onto this announcement to make political points. When the United States decides to invest resources in the few industry and we need to build, does that encourage or discourage of engaging . The answer overwhelmingly is it encourages business investment. Thats what were seeing now with our administration. Investing in america is fuel ago boom and roads and bridges and developing and deploying clean energy, revitalizing American Manufacturing and so much more. Reporter President Biden is up 6 points but the people in wisconsin are feeling that price point and the microsoft project hiring 23 2300 construction wos to build it and 2,000 permanent workers and wisconsin really t rying to latch onto that ai revolution and jump start more business here and replace some that left over the years. Liz thank you, edward. Fox market alert and punching up two big names about to report Quarterly Earnings after the bell and airbnb and arm holdings both on deck to open up q uarterly books and both are bell weathers in their r espective industry so airbnb will give us indication of how resilient travel and leisure demand is right now. Analysts are looking for a 33 increase in profits year over year and 13 bump in revenues. The stock has gained about 25 over the past 552 weeks and arm opening a wide window into all three of the areas and every Semiconductor Company c ustomizing their cp us or central processing units and its a very pervasive business and more than 33 billion a rmbased chips were shipped in 2022. No matter how that number comes out, deep dives tomorrow on the claman countdown and arm ceo renee loss hoss and cant missr of those interviews. Russell 2,000 down about 2 about 12 points and only one not in the positive today. Right now, s p down four points and nasdaq down 46 and yet another fed head repeating the dangers of easing off the Interest Rate break. Much of the longer end of the yield curve is climbing right now. Ten year is up and back down to 2 inflation in a reasonable amount of time. Theres risks of cutting rates too soon. How soon is too soon . Not september i guess. Markets are indicating the very soonest would be september and right now shows the odds of a rate cut stand at about 65. 7 . One week today, this all could change with a fresh read on inflation and the Consumer Price index and wait and see environment and you freeze and keep your foot on the brake c oming to the portfolio move and floor show and no, it was a good fourday move and traders holding 50, 51 and a quarter and 5200 yesterday and digest here for a session or so, well probably attempt to take them out and going to have to go at some point this summer. Liz yeah, at 5183 right now and holding above that level you talked about. Is it going to be earnings still that have the power to drive . We have them and the parent of this network, fox media, weve got pharmaceuticals or do you wait to see things move . Its a narrative and the market is looking at a bit of a goldy locks take again and thats what the fed wants and the market wants to see rates stay around here and come down a bit. The market wants that rate cut in september. Seconds to play we can see e arnings at average or above average and thats coasting into the second half of this year and new all time highs in s p. Liz look at shop fio and asking harper lanesly and that stock is tanking down 20 and also have a name like fox doing well and uber down. Get to shelby here because, shelby, all of these weigh in with the consumer. Do they not . What do you see as sort of the temperature gaze of the gauge of the u. S. Consumer at the moment . At this point beyond the regular macro readings were g etting on a regular monthly basis, one of the temperatures we look at is within the e arnings calls how are consumers shifting between things like grands and private label . Thats something i was looking at in particular with ken vus call coming out yesterday. Things like tylenol, advil. At this point if the belts are tight, theres almost no reason not to choose a private label. Take ago look for consumers g oing ahead and shifting down and seeing it in use of credit or lack thereof and going ahead and choosing to spread out payments instead of facing h igher aprs and also theres a lot of different places that we can go ahead and take the temperature of Consumer Health across the various types of data we can get. Liz okay, youre on with scott here who is more of a technical guy. Hes a trader, which is a lot different from what you guys do. Scott, what shelby just d iscussed, is there a way to put that through a crucible saying invest in this, this and this . Traders are stock specific and shop came out and was down 1820 and some people tried to extrapolate that to amazon, which is near an all time high thats actually digesting very well, but i think will make new alltime highs within the next few weeks or coming in the next few months. Extrapolate what you want and not everything is created equal and diversified in different baskets and very specific and traders are making money and have and have notes and sectors that were great but like a q uarter ago, we were talking about guying gold and silver and now pausing and then you rotate to a different sector and have the mag seven turning into the m ag two and next quarter is a different flavor for alpha and right now i think were consolidating and seeing new leaders come into fruition and see if the semis semis that are consolidating and arm like you said is very important coming out after the close and telling us whether or not therell be a hiccup in the next month or quarter, which i dont think therell be and stay with the leadership of ai semis. Liz shelby, youve got your eye on mastercard. Y that stock in particular . Mastercard is held widely at our company. Its a very stable business thats not only simply making the transaction happen, but its securing privacy, it is making sure that all of the rails for payment are equally as accessible and even more importantly its constantly perpetuating that war on cash. Theres always going to be incremental transaction you have to make regardless of how much that specific item is going to cost. In many ways, we do realize that there are Certain Companies with a bigger stronghold and its well insulated coming to consumer exposure but not in such a cyclical way. Liz theyre the toll roads no matter what people are doing, they make a bit of money. Scott redler and shelby m cfadden, thank you very much. Electricity demand and microsoft and Ai Data Center that it is g oing to build up in re in re s. They have massive amount racine and triggering a natural gas boom in whats the trade. Scott lederer pointed this o ut scott redler pointed this out way before everybody and ceo pipeline giant Company Williams is here and making hizikis and wait till you see the stock. Its on a run and topping a fiveyear high. How has it done that when nat gas is still really historically cheap . Were going to find out when the claman countdown returns right after the break. The dow climbing by 140 points. woman 2 vo i have a great boss. Liz since russia envieded yaw fine in 2022, match yall gas natural gas spiked spiked and n sanctions prevented russia from selling nat gas to western countries, prices dove and havent fully recovered and last six months, natural gas is down nearly 37 hit ago near record low in late march but sudsenly showing life signs. How is will yaps company whos whole business resolves around shipping through pipelines natural gas smashing earnings expectations off a fresh 52week high and Allen Armstrong is h ere, president and ceo in a fox business exclusive. Theres a reason for this. Well get to that in a minute. Weve seen head fakes in the price of nat gas over the years. Is this that or are we seeing recent move with legs . California, first of all, thanks for having me on again. The thing thats really clear to us is its more and more production coming online, which was a response to hie high Natural Gas Prices we saw in the summer of 2022, and as this industry is cape and will the demand is on the increase from l ng exports and incremental power demand setting new records and expecting them to set another record this summer. Liz getting to power demand and that point that we were just making that there is a reason and reason in great part for future demands is data centers and microsoft announcing itll build up one with the help of u. S. Government in in racine, wisconsin and they use voluminous amounts of energy and give me a sense if youre m odeled for the future and all of this demand and what you see happening because ai is a ppearing to be the thing talk about right now. Yeah, theyre not just g rowing but accelerating natural gas demand and lng is the big thing for the last few years and big facilities and long time permitting and pretty clear when those comet online and delays and so forth. The ai demand has been out there but consumed within the larger power demand picture but now it is front and center and a lot of forecast calling for current demand to go up 2. 53 times between now and end of the decade in 2030 and putting that in perspective. If that were to occur that would be somewhere around 67 bcf a day of incremental natural gas demand and make assumptions of how that power will be generated and about 60 coming from natural gas generation, that would be a big number. On top of another 12pcf a day and ln 12 bcf a day and exports and signed up 3. 1 bcf a day of incremental demand just on the nations largest pipeline and that construction is underway and new development and new focus on ai in addition to that and a lot going on has to be space and were very important because were there to back up renewables as well and so as Renewables Come on, utilities are putting in backup generation and require as lot of Pipeline Capacity for scratch rale gas generation. Liz its the unit billion cubic feet they deal with in natural gas. But to this points in the paint about the data centers and i dont mean mean this to be a does this demand going to be so strong. And a single chatgpt inquiry uses 17 times as much energy as basic google search. There is not enough of renewable energy, is there, to power all of that in the future and therefore here comes the softball part, does it really look like not a very smart thing trying to force people to stop using natural gas because it is cleaner than most fossil fuels, wouldnt we want to use that . Yeah, you know, its i nteresting. If you start looking at isos and some utility commissions now, theyre putting out numbers s aying heres how green our grid will become with data centers and without data centers. Because they realize that theres really no way to keep up with demand for data center with renewable pace that were going right now. We dont look at that and say yay nor natural gas and actually natural gas and renewables are really nice partnerships to reduce emissions around our country with natural gas being two and a halftimes lower co2 emissions than the coal fire generation that we continue to run. I think even bigger question for us right now is will we actually be able to retire the coal capacity if this power demand continues to increase, will we be able to take a lot of coal fleet out and well be build ago lot of natural gas, but its very clear to us right now were a long ways from being able to keep up with growth and demand with renewable power. Natural gas will play incredibly Important Role here in the u. S. For keeping our prices of electricity down as well as h aving reliable power and r educing emissions across the footprint as we take out more and more coalfire generation. Liz alan, it is going to take allonge time and nothing wrong with aiming for a cleaner p lanet. Lets not eliminate things that are helping us and helping the new form of job creation, which is ai. Good to see you. Thank you so much for joining u s. Great. Thank you, liz. Appreciate you having me on. Liz when it cops to java, gen z is making its choice. A week ago, starbucks slashed i ts four year forecast after surprise decline in same store sales and share haves been on decalf dropping 17 . But a competitor is gulping up business and surging. Find out who that is when come right back. Dow up 175. Youre watching the claman countdown. Liz shares of dutch bros g etting a boost of caffeine and you happen about 10. 5 after the coffee shane posted a very robust First Quarter report beat driven bay 39 revenue game year over year. The firm credited the stronger report to the launch of the new bo ba drinks, tea drinks during the quarter that resinated with gen z customers and drove them to make repeat visits. Same store sales rising 10 year over year. And the Company Raised its full year outlook. Shares of trip adviser on track for worst day ever, down 29 p lus after the Online Travel agency ruled out a possible s ale. They put together this special committee and determined no offers in the best interest of Share Holders and they dont like that. Theyre leaving the stock. Investors hitch ago ride with lyft moving by about 5 after losses narrowed to 31. 5 billion in the First Quarter thanks to cost cutting initiatives by ceo dave risher. They saw Strong Demand with 188 million rides and 23 gain year over year and what drove people to go to lyft . New features on the platform attracting new and existing u sers. Rivian is down and said it lost nearly 39,000 per vehicle delivered in the First Quarter, but reaffirmed its 2024 Production Forecast up 57,000 vehicles and thats below 62,000 and net and net stock is well below the low. Shopify is falling dramatically, 19 . The Online Shopping infrastructure platform got hit hard by fears that grand theft over the shaky consumer and his and her spending. Shopify president charlie tinkle seen is here and hes up next and platforms starting a business easier and great and finding money to open your first store front, that can be a slimy business. Its not necessarily a bad thing if youre caring about getting hooked by playing with slime that a friends child gave her. From that one experience where she had so much fun and found it so calming, karen slided to launch the Sloomoo Institute and one store in new york city. Its an immersive experience issue space where kids and a dults playing with 60 different kinds of administer advertisal slime artisanal slime with unicorn drop and tinker drops and theyre opening one in la this fall. Her Million Dollar story oozes out in my brand new everyone talks to liz podcast episode and not a Straight Line up by the way. She ran into real issues, but man, you got to hear how she overcame them. All right, weve got that podcast live right now on apple, google, spotify, i heart radio, wherever you get your podcasts. Dow is up 169. Liz fox business alert. Its an obvious question, whats behind this 19 hit in shopify shares . The company that provides a platform and services to c ompanies provided a net loss in the First Quarter but on a djusted basis, it beat on the bottom line. But shop fie did forecast a p ullback in revenue and sales growth and expects margins to drop from the previous quarter as businesses find less confident and in some cases inflationweary consumers. Sumer. We have the ceo with us now. Companies saying were seeing less foot traffic and less confident consumer because theyre so sick and tired of the sticky inflation is that whats behind the reported first q uarter earnings . We had four quarters over 25 top line growth for q1 and 2 billion in the quarter. Gmv, which is the volumes of sales by the merri merchants wr 60 billion for the quarter and shopify now powers more than 10 of all globule commerce and whats really global e commerce and whats really important is we had 1 billion in profit for the quarter and generated cash flow of 232 million for the quarter. What were trying to do with our business is do three things. Grow the top line, second, grow the bottom line, profitability, and also invest for the future. But your question about the state of the consumer is really, really important. What we are seeing unlike maybe some of the others youve mention seconddegree the consumer actually remains quite resilient. In fact, were seeing that consumers are still buying for the brands they love and feel affinity to. On shop shopify means yoga or s or gym shark or mattel and while were known for having great beloved direct to consumer brands, what people may not realize about shopify is we have brands like staples and bark box and hunts and nest lee and its to nestle and its to arm all the customers with all the tools to navigate every single macro environment and we make it easy. Online, offline, selling across marketplaces but we think the consumer is quite strong still. Liz by harper lanesly and by the way but harley, by the way, you dont have to sell me. Youve got a 75 billion market cap company. I mean, its not where it was during the pandemic where everybody and their pro was segment up a business. Thats in the Rearview Mirror and the Small Business owner and theyre saying people arent just spending as much as we hope they would now. Its really remarkable and not being spoken about and more than most, you really care about Small Business and e ntrepreneurship and we believe theres never been a belter time and what were seeing is volume of entrepreneurs that are s tarting to do businesses has more than doubled in recent y ears and in phaco, one in five american adults, 19 , were in the process of start ago business or had done so in the past three and a half years and thats the highest level since the survey began in 1999. Theyre voting with wallets to buy from brands and have a specific affinity and connection to and not just buying random stuff they dont need. If they want to buy a tshirt, theyre buying from alo yoga because its good value and know theyre going to wear that a l ot. Those are the brands generally that are on shopify. Liz yeah, seems like maybe the better word is choosier. A choosier con summer. Yennis, mar selective. More selective. Go daddy ceo was on yesterday and did a prepacked service c alled arrow for anybody start ago Small Business create logos and aidriven logos and goods descriptions and things like that. Itll drive your social media and its really helpful to a lot of Small Businesses. Are they starting to edge in on your business . Yeah, we think events in ai can one of the best to happen in shopify. I say that in under two gat giraris and the first is using it ourselves and i think were one of the very few companies that really benefits from ai on operational side, on the product side and Company Building side. Some examples and we actually are using ai right now to get higher outputs from the e ngineering teams and using it in our support experience for the merchant shopify and for example, a lot of conversations for the merchants having on support teams that ai can hand and will well, its a better route. Our support people have a Higher Quality conversations with the merchants and third thing is more precise and targeting and conversation and on the other side, how we help our merri bowl chans and theyre at their moms Kitchen Table and small b usinesses and ability to use shopify magic across the entire product sweep, so for example, if youre adding a new product, mentioning lizs tshirts on the last time we spoke and yuppies may be really good at making tshirts but are you good at writing Product Descriptions . The great news is ai is great at that and using shopify magic, we can suggest a Product Description for you and level the Playing Field for entrepreneurs and small b usinesses. Laze yeah, i think its made such a huge difference in h elping people come up with better adjectives to drib your product and all that. Product photography and if youre a solo entrepreneur with shopify magics, every photo will look incredible. Liz oh, okay. Thanks. Ill be working on that with my next venture. Harley, great to see you. Thank you very much. And please come back as we continue to watch the stock, which is suffering today but, you know, some peep would say going through tough time, good business, they get to decide if they want to add to their portfolio. See you next time. Thank you, liz. Liz billionaire investor leon cooperman on the show monday called protests at his Alma Mater Columbia University organized anarchy. That was on the same day 13 conservative federal judges announced theyre boycotting hiring of columbia law g raduates. Are the chickens coming home to roost . Our live report is next, stay tuned. With gold and copper prices pushing towards alltime highs, u. S. Gold corp is advancing its environmentally friendly gold and Copper Mining project and creating american jobs in mining friendly wyoming. With a Proven Management team and board, a tight share structure, and a solid cash balance, u. S. 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When it comes to the things happening on these college campuses, it is spilling into real live consequences including threatening jobs for current students. As you mentioned on moaned a group of 13 federal judges sent a letter to Columbia University most of them serving in texas warning they will not hire law clerks with columbia on their resume. The group said in the letter to the elite institution, they have quote, lost confidence in the school over its handling of the student protests. That any student that chooses to go to columbia whether the under grad or law School Starting in fall of 2024 will not be hired as a clerk. Saying that quote, columbia has disqualified itself from educating the future leaders of our country. Going on to say quote, freedom of speech protest protects protest, not trespass or acts of violence or terrorism. All students that choose columbia in the fall. Current students here hope employers dont write everyone off. I understand for those Business People it is really hard for them to tell rich student, were not all rich. Also my friends, they are like in engineering school. So, theyre kind of like, nerdy. They dont care about social things. Reporter you know, liz, it is not just the federal judges making decisions like this. These billionaires either stopped giving money to Ivy League Schools or are threatening to not to hire any antiisrael protesters. Law firm sullivan and cromwell said they will quote, be extremely vigilant vetting future hires from any Ivy League Schools following all the propalestine protests happening on the college campuses. One thunk we talked about during my reporting a lot of protesters wear masks are or when i interview them only give me first name or use umbrellas to block the shot. They will chant certain things, when it comes to putting a face to the actions, hesitant to do so, you can see why with consequences like this. Liz we all agree that free speech and fair discussion is fine but when you start saying yay antifuad today which is what they did antifuad today. These are the same people that strapped bombs around their chests and you brew up Israeli School buses. Go back to the where we will not hire you if you break the law. Bill ackman, daniel lobe, Big Hedge Fund guy, jon huntsman, he was furious about penn and wharton. That is his alma mater. He donated a lot of money. Leon cooperman has been on the show. When you think about lou school students, many of them want to go to wall street, do they not . Reporter absolutely, those names you mentioned they dont just hire from schools like columbia, they direct recruitment pathways. There is direct relationship between these firms and these schools. To be examining that direct pathway, that says a lot. Then i think going back to the federal judges that we started the report with, when it comes to clerkships of federal judges that is when youre going through the law path it is a coveted position. It typically goes to kids in Ivy League Schools, going to elite law universities. So the fact that 13 federal judges saying well eliminate one school entirely, and that is regardless of whether the students have participated or not. Theyre sending a message to columbia saying were not going to hire any clerks with columbia on their resume because of what were seeing. Liz were also hearing by the way of law firms in new york city rescinding applications and requests to come work if they find out, theyre hunting. They are doing deep dives into peoples backgrounds. If they found out they did any violence at these schools. Madison, thank you very much. Madison al worth at columbia. Closing bell were five minutes away. Dow is on a hot streak on its way to six days in a row of wins. The dow is up 197. S p has been swinging between gains and losses for much the trading session. It is up just under two points at the moment. If it ekes out a gain, thats five in a row of wins but lets talk about the stocks that are bringing the s p down. At the top we have uber. We mentioned this at the beginning of the show. You can see uber is down 6 . The ridehailing firm forecast q2 bookings below estimates after missing targets in q1. We are less than six months away from the president ial election. If youre dreading potential turbulence from that, worry it will spill over to the markets think i should park my money in cash, our countdown closer says, no, no, hold on. He points out since the s p was created in 1923, it has returned on average 11. 3 annually, regardless whether there was a president ial election year. David kudla manages four billion dollars. Founder, ceo of mainstay capital management. That i thought was a really interesting point. Dont vote your politics if a president who gets elected you that you dont like, dont pull your money out of the market that was a mistake if you didnt like trump, that was a mistake if you didnt like president obama. Yeah. Liz, it is incredible, our clients and many of the people we talk to how much their politics will tend to influence their Investment Strategy or what they want to do with their investments. As you said the number one rule is, dont go to cash. It rarely has been a good idea to be on the sidelines but there are polarizing events. There are president ial campaigns that point out the negatives in the economy and other aspects of what people consider their Investment Strategy but whats been, what we found is, election years are quite good compared to years on average and it makes sense to stay invested. Dont go to cash. We know we will get the calls, dont go to cash to wait to see what happens. Because it makes very little difference over the long run. Liz which you pointed out with that 11. 3 annual gain that is a buffett thing. Park it in the s p in the long term. This election year, we know it doesnt really matter but do you have sectors you believe have the power to run ahead of others . You know it is interesting, if we look historically what sectors have done poorly, what sectors have done well, energy, communications tend to do well in election years. A lot of time there is talk what will happen with drilling which affects things like oil prices which drives energy up the the flipside of that, talk about bringing Health Care Costs down or price of drugs for seniors that tends to hurt the health care industry. Xle is up 12 beating the s p 500 and the Health Care Sector is only up about 5 . Were following that trend. There are other factors obviously. We have have to be careful not to mix causation with correlation. It it important, what we do know, you talked a lot on the show about generative a. I. And it is impact on the economy, what really will become another industrial revolution, sectors like that will power right through the election. Politics dont matter because that is a secular growth trend that is going to have legs for a very, very long time t will have very little to do what happens in any election or politics in general. Liz one thing for sure, the fed often has something to do with the way the market moves certainly in shortterm spurts. Next week we get the cpi. In fact a week from today, the next fresh read on consumer inflation. What are you look for there and what do you think the fed is going to do when it comes to cutting rates this year . Well weve been in the camp, we talked about the, a soft landing, a no landing and a hard landing. Weve been in the no landing camp for a while and what we mean by that is, well see this showdown but then well see the economy accelerate again. Right now the atlanta fed gdp now forecast is quite high. Were at about 4. 9 estimated gdp for the second quarter. So gdp has remained robust. Inflation, were yet to see if the disinflationary forces will be enough to bring down inflation with what the fed is doing. Liz okay. The fed we dont think will raise rates again. Theyre looking for a reason to lower rates but the six or seven rates that we look for at beginning of the year, not going to happen. [closing bell rings] liz thats in the rear view mirror, no way. Thank you very much, david kudla. You want to see indecisiveness . The s p crossed unchanged level 51 times. Tomorrow, airbnb. Larry hello, folks, welcome to kudlow,