Macroeconomics warning, fedex is taking new action to shore up its bottom line. And House Republicans prepare to layout the agenda if the party is able to retake control of congress with just about six weeks to go until the allimportant midterm elections. And later on, pepsi relinquishes the super bowl halftime throne to one Little Company from cupertino it is friday, september 23rd, 2022 you are watching Worldwide Exchange on cnbc. Good morning im dominic chu in for Brian Sullivan lets check on the stock futures. With the dow and s p and nasdaq set to end the week sharply lower. Right now, futures are pointing to 157 point drop for the dow. S p down by 24 nasdaq down lower by 92 points on the bond market, Interest Rates are a big folk focus withe by the fed a hike in the 10year treasury 3. 717 2year treasury is the 4. 16 inversion is still taking place with yields are shortterm are higher than longerterm bonds. Right now, in energy, oil prices taking some moves here in stride what we are seeing currently is at least u. S. Benchmark wti down 2 1. 76 a barrel 81. 66 ice brent crude is 88. 69. Down 2 . In cryptocurrency. We are watching the moves for bitcoin. Watching the 20,000 level for now, we are still below it 19,082 is the last trade for bitcoin prices ethereum is trying to find stability around the 1,300 area lets get a check on the action in europe with the latest from Julianna Tatelbaum in the london newsroom. Dom, good morning a painful morning. Investors across europe are shedding assets. From the equity prospective, losses ftse 100 down 1. 2 the worst in europe. Heavy selling in the oil and gas sector of course, the ftse 100 over index to the oil majors. In the ftse mib. Down 1. 2 . Investors keeping an eye out for the italian Election Results on sunday which is when italians will go to the polls fresh pmi data for the month of september, the eurozone economy is in even worse shape. Business activity contracting. Germany suffered harsh conditions deterioration in the outlook there. France was the bright spot cac 40 down just 0. 9 . A lot of pain for europe this morning in the stock market. The euro plunging down against the dollar 1. 75 . We craossed below the 20year lo versus the dollar. We see weakness in the euro against the Sterling Sterling is selling off versus the dollar this morning. We heard from the uk chancellor about the budgets delivered about tax cuts to protect the economy as we brace for recession. Dom. Julianna tatelbaum with the latest in the london newsroom. Thank you very much. Lets get a look at the top corporate stories with Silvana Henao. Dom, good morning the s. E. C. Says boeing will pay 200 million and former ceo Dennis Mullenberg will pay 1 million for misleading investors after the wake of the crashes of the 737 max resulting in the death of 346 people. Neither admitted tor denied the s. E. C. Findings. In january of 2021, boeing agreed to pay 2. 5 billion to settle a criminal probe with the Justice Department over similar allegations. Fedex says it plans to raise shipping rates by an average of 6. 9 across most of the Services Starting next year this comes after the delivery giant continues to cope with the global slowdown in business. The rate hike is higher compared with previous years and comes just days after the company slashed the profit and save sals forecast. And human a and cvs are eyeing to buy cano health. The deal is likely to be struck in the next few weeks. In speaking to those close to the meteoratter, cano could watp to 4 billion, dom thank you, Silvana Henao the flurry of rate hikes yesterday by other Central Banks around the world follows the rate hikes from jay powell we have Brian Sullivan who caught up with one Global Portfolio manager known for big returns to offer perspective it. Thank you, dom. We are joined by the global chief investor officer and Portfolio Manager at aerial investment she has been featured among the top 100 women in finance for the past three years under her leadership, the fund has been classified as a manage star fivestar fund. I think i first interviewed you 15 years ago we are still standing. Congratulations. Great to have you back on the show great to be here. You have said something to the effect of a regime change going on in the Global Equity markets. What do you mean by that and how is it changing sure. I think the Central Point is we are moving from a world of quantitative easing to quantitative tightening. What worked during qe, when risk taking was rewarded, in a world of qt, risk taking gets penalized. That has implications for all risk assets and equities being the highest asset class and others like junk bonds it has implications for anything that uses leverage leverage is a form of risk that will affect private equity which takes a lot of leverage. It can affect real estate. It can affect infrastructure this is a wide ranging reset of risk pricing across Asset Classes. That is the regime change. Lets get into the pricing idea the markets have repriced. We are down 17 on the s p from the highs. Global markets hit harder. Have we repriced enough already to match the rate and inflation environment were in in my opinion, not at all all weve done is give up a little bit of the speculative success that occurred in 2021 that should not have occurred in the first place. We are at the beginning of, i think, a protracted and pronounced recollection in markets globally i think the u. S. Will lead that correction it is the most vulnerable in terms of valuation it is the most vulnerable of the dollar being strong and Foreign Investors who invest in this market are weakening on the stock market and currency means it is worse in this country than other countries. Also, the junk bond market is the largest in the u. S the risk of default and risk of fallen angels with the investment bonds become junk is high as i mentioned, the thing i would be concerned about is the repricing of risk down the risk to Asset Classes get hurt the most. Junk equities and junk bonds are the things i would avoid the most the place to go to because we are all investors. We have to put money to work is toward Dividend Yielding Companies with strong Balance Sheets thats an important caveat it is not the highest dividend yielding stocks. The ones that are dividend yielding and with the Balance Sheet and Business Model to sustain. In past market correction, the last decade, when the markets end lower a decade from now compared to where they start out, which is what i focus is extremely lightly in the current environment. Im not going to ask you to necessarily name specific names. You can if you want. Can you give us an example of the company or companies that meet that sort of thing . Strong Balance Sheet high dividend. Not sky high that implies they have other reasons they need investors to come in. Absolutely. I think not just a couple of companies, but generally speaking, European Companies tend to be higher dividend yielding because they tend to be multinationals with resilient operations and stronger Balance Sheets and they tend to have family owners and founder owned companies with dividends are important stream of revenue and cash flow for them europe is full of high dividend yielding and strong Balance Sheet companies. In particular, i call out the pharmaceutical names in Europe Health care proves to be defensive against a high probability of the hard landing all over the world from the economic standpoint. Companies like roche and gsk the swiss and french and British Companies have dividend yielding between 3. 5 to the low end of 4 i think it would be secure in the coming years it sounds like you are not scared off, rupal, by the Energy Crisis that puts europe in recession or worse i think it is contrary to investors once you look at the volatility, i agree with you that the Energy Crisis is acute. It is affecting the Manufacturing Sector and Auto Industry and so on and chemical and aluminum industry. In terms of health care, the manufacturing is not really Energy Intensive the demand for Health Care Products is not changed with the Economic Cycle over inflation which is why you get more bang for your buck. You can avoid the worst affects of High Energy Cost and inflation and you can still get strong dividends with income when europe Interest Rates are low. It is clear you think the u. S. Macro market has more down side move to come. Is that a fair thing to say, rupal . Yes, absolutely a significant one. Wow how significant . Well, the headline level, you think of the multiple, we started out in the first half of the year at 30 times pe. The average is 15. If it holds to the average, you are talking 50 correction before earnings have reset down which i expect to happen in 2023 if the valuation overreact, you can get to a low multiple of tempete times. These are forecast if you look at how markets behave from the point success, it is clearly what happened in 2021 it is the high watermark and the correction can be severe that said, during the connections, you can have a significant bear market rally. With the nasdaq correct during the tech bubble, it had 7 20 rallies during the period as it corrected. I think the quarter to date rally is one we had is the bear market rally here is another regime change. Instead of buying the dip, think of selling the dip thank you, rupal and brian. With more conversation with rupal and areas of the world that are compelling for investors, head to cnbc. Com. When we come back on the show, how one pe firm is trying to satisfy its appetite for dealmaking in what has been a slow year historically you see what i did there. First, it was amazon and now the nfl is going deeper into Silicon Valley for the next major partnership. Later on, this weeks top insider buy. We list the companies and executives betting big on their stocks we have a very busy hour when Worldwide Exchange returns after this break realtime ticket upgrade meaning. I get to meet my childhood idol. That works. I named my dog joey fatone. When your Customer Experience works, the world works. Thats why the world works with servicenow. Flu shots at cvs are pretty. Flex. Schedule one for you. Or the whole crew. Plus, theyre free. Really . Healthier is getting a flu shot on your schedule. Cvs. Healthier happens together. Theres a reason comcast business powers more businesses healthier is getting a flu shot on your schedule. Than any other provider. Actually, theres a few. Comcast business offers the fastest, reliable network. The protection of security edge. And the most reliable 5g network. Want me to keep going . I can. Whether your business is starting or growing, you need comcast business. Technology solutions that put you ahead get started with fast speeds and advanced security together for 69. 99 a month for 12 months. Plus find out how to get up to a 650 prepaid card with a qualifying bundle. Our internet isnt ideal. My dad made the brilliant move to get us tmobile home internet. Oh. But everybodys online during the day so we lose speeds. Weve become. Nocturnal. Well. Im up. Cmon kids. This. Sucks. Well if you just switch maybe you dont have to be vampires. Whoa. Okay, yikes. Oh sorry, i wasnt thinking. We dont really use the v word. Thats kind of insensitive. We prefer dayadjacent. Ill go manpire. Welcome back to the show European Private Equity firm is buying a stake in eataly the stake would be valued at 195 million representatives from both companies will develop the business and open more Flagship Stores and more formats in more cities joining me in a cnbc exclusive is the chairman of the investindustrial advisory board. Andrea, thank you for joining me it is a brand name we know in the united states. Can you take us through why this deal and what you think it will bring for the eataly business and for your partners . Absolutely. There is a growing trend of Food Security and quality of food and lifestyle that is built around food in the world. Food is, if you want, one of the new battle grounds that we have to deal with as a firm, we start investing in Food Ingredients and private label and Food Security and restoration which is this particular deal. All these items have a Global Expansion and very big u. S. Angle. Thats what attracted us to this transaction. Obviously, a very fragmented market there is a market with a lot of opportunity for us to develop it andrea, those of us who frequent eataly in the past know it is not like the mop m and po Grocery Store or the bodega. It is not the stop and shop i go to in my neighborhood. It is adifferent dynamic and tilted to the upscale side of things is that on your mind in how the food trends are playing out . No doubt that quality is difficult to get and more expensive than if you want your general supply there is a perception it is upscale. If you look at what happened, we have very few luxuries we can afford with todays economy. And upscale food and the lifestyle that comes with it is, we think, some happiness during the difficult times to find. It is more expensive than just feeding oneself. In the next two years, we think people will spend a lot of attention to see where their food is coming from and the quality of it and frankly, unfortunately, the security of it it will be a very important area for all of us. Andrea, as we look at the landscape and private equity, there are a lot of variables Interest Rates across the global your ability to buy from companies. How is the Interest Rate macro picture affected the deal making landscape in your mind i speak to a number of private equity folks who are having trouble finding deals in the time we want to get deals done ahead of higher rates. Absolutely. If you go to the competitive end of the market, which we are not because we are focused on Family Business if you go to the competitive end, they go for premium valuation which is difficult to find financing this will stop the liquidity which private equity has provided to the interest of everybody in the last few years. We will go back down to more basic type of transaction and industrial driven transactions such as this with no debt after our capitalincrease in eataly and the development of the company is key if you are counting on cheap leverage, for once, you can get it also, it will not work you will have private equity slow down in the next 12 to 24 months all right interesting outlook there for private equity andrea, thank you. Thank you. Still on deck for the show top trending stories and soaring ticket prices to see a new home run king were back after this. Announcer todays big number 6. 1 trillion. That was the drop in Household Net Worth in the u. S. In the Second Quarter driven by the fall in stock prices according to data from federal reserve. Household debt jumped 7 during that period. New trading oppos while an earnings tool helps you plan your trades and stay on top of the market when hurting feet make you want to stop, its dr. Scholls time. Our custom fit orthotics use foot Mapping Technology to give you personalized support, for allday pain relief. Find your relief in store or online. vo some bonds last a lifetime. Find your relief some bonds inspire confidence, and some you grow to rely on. These are the bonds worth investing in. For over 50 years, pimco has reinvented fixed income to create opportunities for investors in every market environment. So, no matter what happens you can build the bonds that mean the most to you. Pimco, a Global Leader in active fixed income. Welcome back to Worldwide Exchange. Lets get a check of the other top headlines with Frances Rivera in new york good morning, dom bermuda is on high alert as Hurricane Fiona is barrelling toward the coast President Biden signed disaster declarations to help puerto rico and judge Raymond Dearie has given trumps legal team until next friday to provide evidence that the fbi planted the evidence in his home mr. Trumps lawyers must provide reasons why they believe any specific dock uments should be designated as private or privileged both will appear on october 6th for a status hearing now to a north showdown in cleveland and veteran play from the rookie wide receiver second and three. Trubisky on the move down the sideline. And reaching up for it is george pickens. Known for the onehanded grab the highlight set up the steelers first touchdown of the night. The night that belonged to the browns a pair of touchdowns as cleveland hammered through the steelers defense for the 2917 win. For a friday morning, dom, you are up to date hope you have a good weekend i have nick chubb on my fantasy football team. Thank you, Frances Rivera. Tesla takes issue with california over racial bias with the company. Reminder sign up for the most powerful and impactful Investment Conference of the year cnbcs delivering alpha. It returns on september 28th in new york city. Its in person ill be there. Part of the program. To register, go to liriala. M. Well be right back after this sg trading app makes trading easier. With its customizable options chain, easytouse tools, and paper trading to help sharpen your skills, you can stay on top of the market from wherever you are. Another busy day . An of course youre alp sha cio in 2022. Lls, but youre ready. Because youve got the next generation in global secure networking from comcast business. With fully integrated Security Solutions all in one place. So youre covered. Onpremise and in the cloud. You can run things the way you want your team, ours or a mix of both. With the nations largest ip converged network. From the most innovative company. Bring on today with comcast business. Powering possibilities. Red arrows futures pointing toward a rough end to an already volatile week sectornomics one sector helping out perform the Broader Markets. Plus, move over pepsi, theres a new game in town winning the super bowl halftime rights it is friday, september 23rd, 2022 you are watching Worldwide Exchange here on cnbc welcome back to the show im dominic chiu in for Brian Sullivan it is 5 30 a. M. On the east coast. Here is how your markets and money are looking. Futures pointing to the losses at opening bell. Dow lower 196. S p down 28. Nasdaq down 106. The focus is the Technology Stocks and growth oriented names. Treasury yields in focus a nice move higher we saw into yields yesterday and now carrying through with that again today. We are now above 3. 73 for the 10year treasury the 2year treasury above 4. 17 . The 30year treasury is 3. 65 . Oil on the move as you can see. Just about 2 down for u. S. Wti. 81. 76 world brent crude down to 88. 73 now to the morning corporate stories with Silvana Henao. Dom, a 10 stake in freshpet shares are sharply higher. Jana says it could push the maker to value the sale of the business with shares down 60 this year, the investor calls the company under valued explosive allegations from 1,400 former female Goldman Sachs employees have been unredacted in the sex discrimination lawsuit against the bank the public documents detail 75 reported instances of Sexual Misconduct by male managers as well as seven criminal complaints alleging felonies, including rape, attempted rape and Sexual Assault in response, Goldman Sachs says many of the complaints are more than two decades old and have been presented inaccurately or incomplete adding harassment and mistreatment in any form are unacceptable to Goldman Sachs. When identified, termination is taken. And tesla is counter suing the California Agency that is accusing the ev maker of tolerating race discrimination at the Assembly Plant in freemont, california the counter suit alleges the states Civil Rights Department adopted underground regulations allowing it to file the lawsuit without notifying tesla of the claims or giving the company a chance to settle Silvana Henao, thank you very much to washington, d. C. , House Republicans set to lay the agenda if the party is able to re retake control of congress with a month inonth until the electis before that, law makmakers muste together to avoid another shutdown lets bring in jimmy pethokoukis. Our Economic Policy analyst and cnbc contributor jimmy, it is like groundhog day. There has to be some time in my dream scenario we dont have to do this. For the time being, we do. Lets go through the debate arguments and deal making process. What will it take to avoid a Government Shutdown and everything this time around . I think what is likely to happen is that were going to get a shortterm funding bill. They will kick the can if you dont like grounding hog day, you get another one, perhaps, closer to the time of the actual groundhog day there is a debate here it is not just government funding. A lot of bills in legislation they would like to attach to that the newsy one is the permitting bill that joe manchin came out with his bill. The other half of the Inflation Reduction Act compromise some republicans might like that some dont there is disagreement there. They have their own competing bill it is an important piece of legislation to get the clean energy tough done in the future. We have that we have ukraine funding. We have covid relief a lot of outstanding issues that are not technically part of government funding in this scenario, i mentioned the midtterm elections which is on peoples minds. It is looming. We have a very, i guess, partisan type scenario developing here, with regard to how things shape up to the next president ial cycle in this situation, what are the optics on both sides for who can claim a victory and who takes the defeat if you are trying to get a deal done to avoid a Government Shutdown at a time when everyone is scrutinizing politics so much i think there is one thing democrats would really like to avoid is when they control the house and they control the senate and the presidency not to have a Government Shutdown they do not want that. They have a little bit of momentum here. We have been talking for the past year. Republicans were a lock to take the house and senate now with falling gas prices, we had 100 days of falling gas prices which helped democrats. They have a little bit of momentum you see it in polls. Last thing they want is to scrub that momentum and a Government Shutdown is showing they cant keep their house in order. That is the last thing they want right now. Okay. If this is the case and we have this kind of dynamic building, there has to be a situation where you can say, hey, the economy is going to be front and center the economy is going to be what it is all about heading into mid terms and beyond as well what do you think the message is from both parties . From the gop and democrats about whether or not they are the best people suited to guide the American Economy in the coming months and years given the turmoil we have seen over the last several months . I think the republican message is whats been going on in the economy for the past year we had higher inflation. Gas prices have come down, but they are still higher. Now we have a fed raising Interest Rates and we dont have a lot of housing supply. Rates are going up paralysis in the housing market. None looks like a stable economy. Democrats will say forget all thats happened in the past year look at this recently. A drop in gas prices you know, people seem to be less concerned about a recession. You see any part of bidens Approval Rating that has gone up is the economy they are saying dont look what happened nine months ago look at what is happening now. Republicans are saying look at big picture. They have economic arguments history would say whatever people think about the economy right now is probably pretty close to being locked in okay. Jimmy, i want to tie this in to what is happening with the fed the fed is a focus right now two mandates for the fed they control price stability or supposed to as well as employment those two things are very key to any economic story told to millions of americans. Which is more important . Preserving jobs or fighting inflation in your mind for voters right now, inflation is obviously top of mind jobs are continuing. That looks good. Inflation has been the story i think for the federal reserve, they do not want to have a repeat seared in their minds. It is the 1970s. We dont want to repeat that and volatility if you look at polls, inflation is number one. If that is number one, go to the pump and gas prices are down falling gas prices is a big pack t factor that is a sweet spot with inflation coming down and jobs still look good and any impact with the fed rate hikes is lagging. We may not see that affect the job market significantly or recession until after the election. Jimmy pethokoukis with the latest there on the midterms and economic impact. Thank you. Time for the weekly exclusive insider buying segment. We go to Brian Sullivan. Thats right. We are still bringing you the weekly insider buying segment. The biggest stock buys for the executives we have another big week lets get to it and count down five to one. The fifth most insider buy is an oil Company Comstock 9 975,000 number four . Another Energy Related stock that is api group. A board member buying 1. 39 million of the Company Shares down 40 . Buying on weakness third most insider buy a bigger name. Starbucks. Board chair and investor Mellody Hobson it is her first insider buy in nearly ten years hobson wasnt the only buyer another board member making a big buy at starbucks to the top two Sarepta Therapeutics 5. 9 million if this sounds familiar, this is the second big insider buy in two months keep an eye on sarepta the biggest insider purchase of the week is a new name norton lifelock. The president of the company is trying to unlock value buying 10 million of the stock make he sees value shares down 23 in just six months on nlok buying on weakness there you go comstock, api, starbucks, sarepta and norton we will see you next friday. Thanks to Brian Sullivan for the data it is a segment you will only see here on Worldwide Exchange or if you are a cnbc pro subscriber go to cnbc. Com pro to sign up today. Coming up, the call of the consumer one sector out performing the Broader Market this year first as we head to break. Top trending stories apple with an update to the iphone operating system to fix bugs that cropped up since the 14 went on sale last week. The camera on the 14 pro shaking when people try to use Third Party Apps like snap popups warning users they were copying and pasting. And new york fans paying prices for seats in left and right field have sky rocketed at Yankee Stadium as aaron judge chases the team and American League record for home runs in a season a pair of tickets in the first row of right field sold for more than 1,100. Judge is sitting at 60 home runs one behind roger maris who set the record in 1961 and apple music will be the new Title Sponsor of the super bowl halftime show pepsi had been the Title Sponsor for years now since 2013 reports say apple may have paid as much as 50 million a year for the fiveyear deal more than 120 Million Viewers watched the 2022 halftime show which featured a throwback to rap and dr. Dre and snoop dogg and mary j. Blige. Super bowl lvi will be played in glendale, arizona in february. dock worker right on time. vo make it even smarter. We call this enterprise intelligence. vo some bonds last a lifetime. Some bonds inspire confidence, and some you grow to rely on. These are the bonds worth investing in. For over 50 years, pimco has reinvented fixed income to create opportunities for investors in every market environment. So, no matter what happens you can build the bonds that mean the most to you. Pimco, a Global Leader in active fixed income. What if you were a major Transit System with billions of passengers taking millions of trips every year . You arent about to let any cyberattacks slow you down. So you partner with ibm to build a Security Architecture to keep your data, network, and applications protected. Now you can tackle threats so they dont bring you to a grinding halt. And everyones going places, including you. Lets create cybersecurity that keeps your business on track. Ibm. Lets create welcome back to Worldwide Exchange. If you have been noticing the ticker and stack in the corner of the screen there, you notice the Dow Jones Industrial average is implied lower 270 at the opening bell that implies session lows for the futures market for the s p and dow and nasdaq well keep an eye on that. It is time for the sectornomics. We look at the consumer stablpls sector that could be the selloff we are seeing in stocks with products and services for its companies that remain essential during periods of economic stress like now. As we look for areas of possible opportunity in the sector, the data and markets team at y charts looked at the price to Free Cash Flow ratio for stocks in the group the names with the low share prices relative to the cash flow r kroger and kraft heinz and campbells and General Mills and kelloggs. We have names with share prices high to cash flow after capital expense. Big box and beverage names on the list here. Look at dollar tree, target, monster annd walmart. Coming up on the show, investors are looking to close the book on a volatile week for stocks two Money Managers are telling us where they are putting their money to work if anywhere coming up next. First, throughout hispanic heritage month, cnbc is celebrating our teammates and colleagues and contributors. As we head to break, here is the associate on Corporate Responsibility sid wilson we know that Corporate America has a lot of work to do to make sure that we are fully inclusive of latinos particularly on corporate boards in the csuites and the Pipeline Development for making sure latinos are included especially for latinas latinas, by themselves, would be a g20 country if you took latina gdp alone together, all of us, allies as well as those of us within our community can continue to be that positive force that america needs. Announcer sector nomics is sponsored by spdr etfs woman vo sailing a great river past extraordinary landscapes into the heart of iconic cities is a journey for the curious traveler, one that many have yet to discover. Exploring with viking brings you closer to the world, to the history, the culture, the flavors, a serene river voyage on an elegant viking longship. Learn more at viking. Com welcome back to Worldwide Exchange. As you are seeing on the screen, we have seen a deterioration in the stock market over the last 30 or 40 minutes right now, the dow implied lower by 260 s p lower by 36. The nasdaq down by 132 this is hovering near session lows for equity futures as you see on the screen. S p 500 futures chart over the past 24 hours or so has been generally down, but took a leg lower in the last half hour. Lets talk more about the markets with chuck self at tandem wealth and Tiffany Mcghee she is a cnbc contributor. Tiffany and chuck, i showed the futures picture. Tiffany, we will start with you. What your intuition or gut is telling you about whether or not this selloff is over and whether there is any capitulation in sight. Thats the question, dom, right . Good morning i think we are talking the selloff and the markets reaction to the fed still you cant talk about the fed without talking about, of course, inflation coming down. It is hard to talk about inflation coming down without talking about real Income Growth what that is to the audience is how much money an individual makes after adjusted for inflation. Getting back to the idea of a soft landing the fed is able to do that, we hope that reflects in the markets. A soft landing will require the fed to slow gdp growth carefully. Again, 68 of gdp is Consumer Spending spending has to slowdown the main driver for spending growth has been Income Growth. Currently, we have solid wage growth we are adding jobs no reason to think this will slowdown significantly this year the fed will have to continue hiking rates and more than what the market has baked in. People are really expecting. I think this will continue so, chuck, in this situation, we have a lot of views of retesting the lows or if new lows are going to be made. I wonder if this environment is still putting money to work and what opportunities are you seeing in a market that is down that has been in the last sixtonine months it has been a stock by stock market it is hard to invest in any particular sector. For instance, you talked about the consumer area and we actually like tjx for instance the Treasure Hunt experience in the three brands tj maxx and marshalls and home goods. They are picking from bloated industries inventories of other retailers. This allowed them to have a great selection. Especially going into the Holiday Season so, the pes are below the f fiveyear average. Stock like tjx is one we are adding to our portfolios tiffany, i wonder if you are looking at that economic or market thesis. Are you playing the same way or are you looking in other areas like the beaten up tech sector with bargains maybe maybe being the operative word chuck calls it stock by stock market and we call it adding selective equities for us, it is always about Balance Sheets and Business Models when you think about these investors reacting in the shortterm, the question is where do you go . It is becoming harder and harder to make those decisions of tactical shifts. It is becoming elaborate, if you will we are adding equities selectively. Defensives are doing well right now. We also like to invest in themes i talked about this the last time on the show we like emerging markets and we like digital transformation. We like ecommerce. There are a couple of things we like it is really interesting with investors being careful. China has this no tolerance policy for covid not going to do russia where do you go . Selectively you have to be careful about whats going to really help your portfolio in the short term chuck, last word to you here. Are you worried about recession . Yes we think recession is likely the fed has the tightening and global banks across the world have been tightening this eventually will lead to economic slowdown. Given how much tightening there has been, we think we are just starting to see the effects of that tightening. We expect to be a slowdown into recession going into much of 2023 chuck self and Tiffany Mcghee, thank you very much. We appreciate it that does it for us here on Worldwide Exchange. Squawk box is next dow near session lows. Have a nice weekend. See you on monday. G app makes trading easier. With its customizable options chain, easytouse tools, and paper trading to help sharpen your skills, you can stay on top of the market from wherever you are. Power e trades easytouse tools make complex trading less complicated. Custom scans help you find new trading opportunities. While an earnings tool helps you plan your trades and stay on top of the market. Another busy day. Wh of course it is ol he youre a cio in 2022. Es so whats on the agenda . You guys have a look at that and see. Morning security briefing make that two. Share that link. Send that contract. See whats trending. Check the traffic on your network. In real time. With the next generation in global secure networking from comcast business. Lunch . Sure. Youve got time. Onboard 37 new people. With 74 new devices. Does anybody have any questions . And just as many questions. Shut down a storm of ddos attacks. Protect headquarters. And the cloud. With all your data on the nations largest ip converged network. Whoa, that is big. Ok. Coffee time. Double shot. Deal with a potential breach. Deal with your calendar. Deal with your fantasy lineup. And then. Thats it . We feeling good . Looks like were feeling good. Bring on today with comcast business. Powering possibilities. Good morning wall street ready to close the book on the wild week. Futures are pointing to red arrows and a new era for the nfl. A tech giant striking a deal to sponsor the super bowl halftime show it is friday, september 23rd, 2022 and squawk box begins right now. Good morning welcome to squawk box hered o cnbc we are live from the Nasdaq Market site in times square. Im kwrebecca quick here with melissa lee. Joe and andrew are off today dow is indicated down by 220 points at this point, the declines will put dow in territory at these levels below the june closing lows lets talk about now we got