we'll help you regulate volatility when we speak with emerging markets guru mark mobius and hedge fund giant cliff robbins. joining us to break down the market action, "fast money" trader, "fast money" giant himself guy adami. >> i'm never down here it's like my yearly appearance on the new york stock exchange >> especially on a day when fang is getting crushed >> but this has been a theme for a while. we've been seeing this for the last three weeks this started if you really want to go back and look with google, then it happened with amazon you know, it's interesting the top in amazon was when warren buffett announced his stake in it when the stock traded 2040. none of this is any good i will take some solace in, this the fact that facebook is on its way to trading 50 million shares today on a day when it's down 7% when it typically trades 14. that to me wreaks of capitulation so maybe you can take some solace in that but to the earlier point none of this is any good >> not all of tech is selling off today. chip stocks doing all right. >> semi. >> other trade reltded stocks. doing better than you might expect today you've got energy materials all up today >> fair point without question but you look at the price action in the s&p 500 and on the back of bullard's comments you would have assumed, at least you would have thought that maybe you're going to get a bounce and maybe that bounce continues. we've seen that over the years over and over again. at least at 3.02 today we're not seeing that bounce again to me that's problematic but this is the most important hour of the day, so anything can happen >> that's true very good. >> thank you appreciate that. >> the story driving today's tech sell-off. julia boorstin is watching tech's big plunge. josh lipton at the developers conference bertha coombs track the slide in the cloud names. jul julia, let's start with you on facebook >> sara, facebook shays plummeting 7 1/2% on reports the federal trade commission would oversee and lead any antitrust investigation into facebook. the ftc has already spent over a year investigating facebook's potential privacy violations and is expected to fine facebook up to $5 billion as well as implement new oversight of facebook's privacy practices it's unclear how this could impact the ftc's perspective on whether facebook is employing monopolistic behavior. facebook has no comment on this issue just yet, but last week mark zuckerberg said that any arguments that facebook is in a dominant position may be overstretched. guys, back over to you >> julia, thank you very much for that alphabet plunging as well today over reports the doj is preparing an antitrust investigation of google. dee bosa has the details dee. >> wilf, alphabet shares are set to erase their gains for the year while it could be months before the doj makes any formal announcement on the issue the wave of antitrust headlines suggest regulators could be ready to take action in alphabet's case the probe would reportedly look into google's search practices and other businesses apple shares also turned lower today on a report the doj has been given jurisdiction over that company a lot of uncertainty surrounding these names at the moment. and more than 100 billion nasdaq market cap has been wiped out today in the fangs back to you. >> deirdre, thank you for that tim cook hosting apple's annual worldwide developers conference in san jose. josh lipton is there with those details. josh >> cook couldn't help himself. took a nice shot on stage at his rival google comparing adoption rates for their operating systems. take a listen. >> 85% of ios customers are on the latest release and in fact, ios 12 has been installed on more systems than any version of ios ever. now, that's in stark contrast to the latest offering from those other guys, which was released before ios 12. they only had 10% adoption >> reporter: so cook and the execs on stage introduced today their new mobile operating system as expected it's called ios 13 two big themes there one, performance it's going to be a lot faster. and two, more privacy protections built into this os remember, that's been a theme for apple. constantly emphasizing we sell hardware, not advertising. the suggestion being your data, your privacy is better kept with us than some of our rivals guys, back to you. >> josh, thank you wilfred's very jealous of your cnbc polo. >> love the little bit of swag >> also keeping a close eye on cloud stocks also having a rough session. bertha coombs with more at the nasdaq >> reports after the close ahead of that jpmorgan removed the stock fritz focus list while maintaining an outperform. but here on the nasdaq we are seeing collateral damage particularly in the mid-cap enterprise cloud software stocks like five nine which has seen its biggest one-day decline since last november. and clardero the large cloud players aren't down as much in percentage terms. the decline in amazon and microsoft today are really weighing on the nasdaq, helping to drive the index back into correction wilf >> bertha, thank you very much for that and to all our reporters let's bring in roger mcnamee, a co-founder of elevation partners and early investor in facebook which of the big tech giants is most likely to face a successful antitrust or any regulatory probe and why? >> wilf, i think your guess is as good as mine, but they are all exceptionally vulnerable to one degree or another. i think for apple the antitrust issues are not strategic to their business and so from my perspective it's at least relevant to them. i think amazon is the one where there is an opportunity for them to negotiate a reasonable settlement fairly straightforwardly. for google and facebook i think they are really poorly positioned and the real question is how hard will the government press on the opportunities it has? and just for an example i've been involved with a group of professors at yale university and m.i.t. on applying the current standard of antitrust, what is known as the chicago school, nornt platforms. historically the perception was you couldn't do it because the services were free but in economic terms that isn't true it's actually a barter of services for personal data and what these professors have shown is if you use data as the currency, which would be the correct thing in that model, that there's actually been huge price inflation, that consumers are getting a terrible deal. and as a consequence both google and facebook should be extremely vulnerable to antitrust across a wide range of their business activities >> i guess my question, roger, is vulnerable to what? i mean, yes, antitrust is a dirty word for wall street and that reaction is to sell but european regulators have been looking into antitrust cases on these names and they've been charging them with fines, and it's not that big of a deal. are we talking about the potential for an actual break-up >> no, sara, i think we want to step back and remember that antitrust as applied to the technology industry has been uniformly a fantastic outcome for investors. now, keep in mind there always is a negative short-term impact on the target but historically going back to 1956 with at&t and the consent decree through ibm, the subsequent antitrust cases against at&t and microsoft, in each case antitrust has created the next big thing, the massive new industry opportunities and at the same time the target company's always gone to new highs. to me the reason you're seeing this reaction right now is the market's been like pollyanna it's always assumed that none of this stuff mattered. and indeed it does matter. and it matters because the business practice of these guys is blocking innovation but it's also having harms on dmgs, privacy, and public health there are a lot of grounds for cases for regulation and i think it remains to be seen how hard the government will press. but if it does choose to press hard i think these guys are going to have a very hard time escaping very serious changes to their business model, to the areas in which they're allowed to compete, and potentially in the long run they may even be broken up. >> guy, are you surprised by how much the share prices have sold off today? >> given the headlines i'm not surprised. but then you look at it in the aggregate, alphabet was a $1300 stock in april it's down 28%. in basically a few weeks that's an enormous move for a company with 16 0ds per share worth of cash and a company whose valuation is reasonable. market is trying to tell you something not only in alphabet but i believe in facebook, apple and amazon as well we just have to pay attention. the question is, and roger can answer this, are tech stocks ahead of the s&p 500 or is the s&p 500 out to catch up to tech? my answer would be the qulaert but i'd be interested to hear what roger has to say. >> i don't have the crystal ball what i do know is these companies have operated without any regulatory constraints at all really from their inception and there are going to be constraints going forward. that is clearly going to affect their business models to one degree or another. i don't think you should assume a worst case situation here. in my mind the politics right now are very much in favor of regulation but i do think that those doing the regulation are under a lot of pressure to come to a solution quickly and that will tend not to produce the kind of giant impact that the at&t break-up or the ibm case had in their day. but we'll see. the evidence is clearly there for dramatic action. but whether the government will have the stomach for that or not remains to be seen >> very quickly roger does it matter if it's the ftc or doj looking into them? you've got this land grab between tech companies and some are being investigated by one and others by the other. >> sara, that's a great question when i look at think think the division of labor's really important. google is so much bigger than everyone else, it makes sense that justice would take that as the one case it would focus on and i do think that separating the two gives it a chance for different theories of the case to be applied which is actually also a very interesting idea at the end of the day i think there's a lot of commonality between the things that are wrong at google and facebook so we'll have to see how that gets prosecuted between the ftc and doj. but i'm very optimistic because i've met with the leaders of both groups and these are really smart people who have a real commitment to getting this right and they know that things are out of whack i think they're going get it -- >> roger, thanks for joining us. great to speak to you as always. >> wilfred, sara, thank you very much guy, good to see you, buddy. >> always. >> up next, plunging yields are falling and the dow is coming off a six-week slide not looking like it's going to have gains, though session lows emerging markets, though, have shown some signs of life and we'll ask mark mobius of mobius capital partners where he's putting money to work and later, blue harbor's cliff robbins joins us with his latest picks, tells us how the smart money is navigating this renewed volatility in the market dow down 111 as wilfred said, session lows. 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[ cooing ] that was weird. oh sister it's going to get way weirder. dow's down 60 points getting some more headlines from jim bullard, who is the st. louis fed president, already getting the market excited this afternoon about a federal reserve rate cut he says the labor data is not a great indicator of future activity he also says the trade situation has darkened the economic outlook but the case for a rate cut exists even without the trade situation. bullard says he will not prejudge the outcome of a june meeting though it sounds like he is leaning more and more in that direction. i would note bullard's on the dovish side of the spectrum. talking a lot lately about the potential need to cut rates in this environment you don't hear that from more of the core of the fed which is why i think steve liesman's interview tomorrow with vice chair clarida is so important sxwlp 10-year's gone down to 2.06%. it's continued its slide throughout the day in light of that when you've got the moves we've talked about in the big fang names, you've got this big headline, is that the market's not down even more is kind of amazing. the nasdaq's down sharply and near session lows on the s&p and the dow but the s&p is only down half a percent and banks are still higher today despite this yield cut move it's interesting you can dissect it any way you want depending on your market dogma you can look at that as bullish or bearish i look at it and say bullard's come out basically in favor of a rate cut which by the way i think is absolute madness. and the market's not really rallying on the back of that you wonder if the fed put is still in place by the way, i think the fed, october fed of jerome powell when he was saying we need to do everything right for the economy, full systems ahead, you know, we're going to hike rates, we're going to reduce the balance sheet, that was the right course of action i'm going to get hate mail i know it. and i know a lot of people disagree but to do what's best for the economy in my opinion is much different than doing what's best for the stock market they are too beholden to what's happening right here on the floor of the nyse. that's a problem >> not in december they didn't do what the market wanted the market threw a very nasty correction -- >> and they should respond to that >> and things calmed down. >> but should they respond that's my -- >> well, it has a big effect on easing of financial -- >> listen, i totally get it. i understand that. but the market will find its footing. in my opinion the fed shouldn't be kowtowed by the markets their mandate shouldn't be to -- >> too late. >> -- make the nasdaq and dow jones go higher. >> new developments in america's trade battle with china and mexico kayla tausche joins us with the latest from washington >> mexico and the u.s. will hold is i summit here in washington and on the miz frm high-level mexican officials today that those talks would bear some fruit. they're tweeting from london, president trump says mexico needs to immediately stop the flow of people and drugs into the u.s. and his acting chief of staff says the president is deadly serious about putting those tariffs on next monday if they don't meanwhile, china's trying to reclaim its narrative in a white paper yesterday saying the u.s. needs to remove all tariffs if talks are going to continue. but importantly, china saying it's willing to stay at the negotiating table. white house officials have said that that front in the trade war, the one with beijing, is likely to stay quiet until the g20 gets closer. that's really what they're focused on in the meantime >> the takeaway on the china white paper was that it was not as bad as it could have been >> yes that is the takeaway i mean, china laid out some of the things it wanted to see from the u.s. it wanted balance in the text that came out. but certainly that would seem to be a much more measured approach considering how much build-up there was to the release of that paper and some of the previous recei rhetoric we've heard from officials in china >> g 20 at the end of the month certainly going to be crucial for markets. we have 41 minutes left of trade. we're near the session lows. that's down about half a percent or so on the s&p let's send it over to mike santoli for today's market dashboard. >> hi, wilf. thank you very much. we are going to look at the damage going to assess the damage from the last month in the market look at some bounces and stumbles in some key bellwether groups today and longer term bonds aren't move. look at bond volatility as opposed to just equity market volatility little best a look back in history, see if the current market is tracking some old historical patterns. first, thoeb, the damage just look at the last year and a half 2349 s&p 500, i put this up here mostly to say that right here this could be called the bulls burden of proof. the third pretty identifiable peak out there that's why i think a lot of technical traders are saying we might have to flush out more to the down side to get some energy and prove the rallies have staying power. 2650's a level lots and lots and lots of people are looking at for various reasons. then you look at just below the surface damage and how many stocks in the s&p 500 are down either 15% or 20% from their respective 52-week highs this morning a third of the index was down 20% almost half the index down 15% you can play that both ways. say a lot of the pain has been felt getting to be an oversold washed out market by the way a balance happening in the indexes breadth on the new york stock exchange is positive today finally look at the losing streak for the dow this is from bespoke. six-week losing streak we are riding right now it's very rare to go longer than 6. last time huh 7 was back in the bear market in the early 2000s this is another bear market in the '80s if nothing else the pendulum suggests maybe it should start to swing back at least on a weekly basis we'll see how that plays out, guys >> all right, mike, thank you very much. mike santoli, we'll see you in a minute emerging markets etf has been outperforming the s&p over the past week and joining us now to discuss, mark mobius, founding partner at mobius capital partners welcome back, mark do you agree that this is an environment where emerging markets should be outperforming u.s. stocks as the trade war escalates? >> i think so. and of course as you know china drives the index it's 30% of the index. and when the index goes down, of course, a lot of the people who invest in these markets tend to get cold feet. but the reality is what's china's loss is the gain of other emerging markets so you're seeing a lot of the production that was in china moving to other emerging markets and it caused those markets to do better. probably the most exciting area right now is india that's where we see lots of growth and lots of change taking place. but if you look at some of these other markets like mexico, despite what trump wants to do, the trade deficit of mexico against the u.s. is growing. in other words, mexico is exporting more to the u.s. and i believe that with the u.s. economy doing so well it's going to be sucking in products from all overt world, particular lly from emerging markets, despite fact china maybe losing out, other countries will do well >> mark, what about chinese growth do you think that gets significantly derailed as this trade war has escalated in the last few weeks and months? or will it kind of be able to weather the storm? >> there's no question that china is going to be slowing down but there are a number of reasons for that not only the trade war not only the deteriorating confidence among people in china, the consumers in china. but also because the size of the economy's so big that in order to achieve the 10% growth they got in 2010 is almost impossible so you're seeing a general slowdown and i think that will continue going forward but we must remember china is huge there's a lot going on there and we don't want to miss that regardless of what happens with the trade war. >> i was sort of surprised to hear you say india, mark because the latest is the trump administration is removing its zero duty access for $6.3 billion worth of indian goods and a lot of people see that as a sign that the administration is going to pressure india next to get fair terms on trading where in the world is safe >> well, the interesting thing about india is that it eerily is not dependent upon exports what we're excited about in india is the domestic market and by the way, that's true of china as well. we're not interested in exporters when you go to china same thing with india. we're interested in companies that are growing the domestic demand and that demand is growing there's no question about it per capita incomes are going up both in india and in china so that's where the excitement is >> mark, what about mexico if friday's tariffs do indeed get implemented on mexico, are they going to suffer much more than it sounds like china's going to suffer? >> it's a big problem with mexico if those tariffs are imposed it's going to be a real problem. and by the way, a big problem for a lot of the u.s. companies. just think about the automobile companies in america that depend on parts from mexico so that's going to be a game changer. i'm afraid the hope of being able to stem the flow of refugees and people going into the u.s. is pretty, pretty difficult p the mexican government can't even handle their own internal drug problem, their own internal problems with criminals. you know, it's going to be a real problem they will talk the talk, but i don't know whether they'll be able to walk the walk. >> mark mobius, thanks for joining us >> thank you >> we've got under 40 minutes left to go before the closing bell take a look at the dow down 64 points the real action today is in the tech-heavy nasdaq. back in correction territory 10% off recent highs on the really clobbering of some of these tech stocks with new regulatory concerns around antitrust. coming up we'll have much more on today's tech we can as i said, the nasdaq goes to correction we'll discuss whether the sell-off in some names is overdone >> after six straight down weeks for the dow investors changing their tune on the market we'll bring you a first look at the results of goldman sachs's seimt rv cinupg next man: stand up if you are a first generation college student. stand up if you're a mother. if you are actively deployed, a veteran, or you're in a military family, please stand. the world in which we live equally distributes talent. but it doesn't equally distribute opportunity, and paths are not always the same. i'm so proud of you, dad! man: i will tell you this, southern new hampshire university can change the whole trajectory of your life. i'm workin♪ to make each day a little sweeter. southern new hampshire university to give every idea the perfect soundtrack. ♪ to fill your world with fun. ♪ to share my culture with my community. ♪ to make each journey more elegant. ♪ i'm working for all the adventure two wheels can bring. ♪ at adp we're designing a better way to work, so you can achieve what you're working for. what do advisors look for don't just track an index, help me meet a client's need. is the fund built to sell or built to last? etfs are only part of a portfolio. so make it easy to explain. give me a quality fund that helps me get clients closer to their goals. flexshares etfs are designed and managed around investor objectives. so you can advise with confidence. before investing, consider the fund's investment objectives, risks, charges and expenses. go to flexshares.com for a prospectus containing this information. read it carefully. we are seeing a lot of weakness in the technology sector in particular information technology, communications services, worst performing group within the overall s&p 500. and where you're seeing the pain, facebook, alphabet, twitter. a lot of these names where you got reports today floating all over the street from the ftc and the doj looking into these companies on antitrust concerns. we've got a special word on the street today actually some information that hasn't been released to the street yet wilfred has more what did you get your hands on >> "closing bell's" been given an exclusive first look at goldman sachs's marquee trading platforms monthly poll of 1,200 market participants. here are some of the most interesting results. asked what are they most focused on in the move june two clear winners. 38% of the vote goes to the g20 meeting whereas 32% say the fed meeting. so trade and the fed clearly top of mind. on trade with china only 4% think a trade deal is reached by g20 at the end of the month while over 50% see extra tariffs imposed in some form or another. overall market sentiment a range from very bullish to very bearish. 52% from bearish 31% neutral. only 11% in the bullish category the most bearish tilt since 2016 for the short term 43% are slightly bearish on the s&p 500 for june and only 18% are, quote, slightly bullish or bullish. the s&p does remain the most favored equity index globally of participants guy and mike santoli on set. it's that balance of does this mean everyone out there has already turned bearish or more to come? and i think on the short term in particular the tone of this suggests more bearishness to come >> most likely though it fits pretty well with other indicators of sentiment having moved pretty far in the direction of people looking at the pessimistic side of things i looked at some of the history of when the goldman survey first gets down to these readings of bearishness. it's pretty low on the chart but yes, there often were a couple of months down at those low levels so it doesn't mean that this has all come to a crescendo and it's all up from here >> guy, another point on this is saying that 33% see a 25 basis point cut by the end of the year 50% see no change. which is slightly different from what the bond market is pricing in it does suggest that equity market participants could still be surprised if they get to see that cut which maybe suggests the market could rise if we do see it >> label me in that 50% camp i am sort of the outlier in terms of fed policy and what i think their mandate is and what they should be doing but i'll say this. to your point maybe it's not going to happen. maybe there is anyone shernt bullishness. one more point, you mentioned early 2016 i would label february as an early month. you go back and i remember the s&p 500 traded down to 1810. i think it was february 9th. that was the day that jamie dimon amountainoused he was buying i want to say half a million shares of jpmorgan stock, was trading $54 you had news out of saudi arabia that night as well and you had a deutsche bank bond offering all those things labeled the bottom of the market when you say early 2016, you go back and look, that was a tremendous launching point for the s&p 500. >> it was those two months, january and february 2016 that had a more bearish tilt than they had -- >> but the market had already taken on more pain at that point. my point is i think sentiment has moved almost ahead of the market right now and arguably people are more bearish than the s&p would suggest, down 7% -- >> fundamentals have changed people are talking about -- the manufacturing number out today was the lowest we've seen in a few years. >> manufacturing sentiment number, yes. >> and that was before the mexican threatened tariffs the economic risks are piling up >> and you're two years closer presumably to whenever the cycle ends that's the difference too. is that people are pretty quick to say maybe this is the end because you know, 10-year anniversary of the expansion coming up. >> u.s. manufacturing, at least 52.1 above 50. not many above 50 at the moment pf euro zone, uk, china -- >> we are above 50 >> that's the point, yes 27 minutes left to go of trade we just hit the session lows once again the three things driving market action today, tech stocks falling on regulatory fears. st. louis fed president james bullard said he's pessimistic a china trade deal would get done soon and concerns over additional tariffs are lingering. as i said, dragging us to session lows, down 124 on the dow. the nasdaq the big laggard hello, sra hello, everyone. here's what's happening at this hour hundreds of anti-trump protesters turning out after the president arrived in london. a bit earlier trump supporters went face to face with them outside buckingham palace. amnesty international activists unfurled banners critical of the president on a bridge across from the u.s. embassy. about 800 women and children believed to be related to fighters of the islamic state group left an overcrowded camp in syria's northeast to return to their homes this departure is the largest since the group's territorial defeat in syria back in march. back here at home the estranged husband of a missing woman and his girlfriend appeared in a connecticut court today. fotos dulas and mineral trocanos didn't enter pleas the judge set the bond at $500,000 for each of them. and purdue foods is recalling about 31,000 pounds of ready to eat chicken products that could potentially be contaminated with pieces of bone material it includes erdue's simply smart organics breaded chicken breast tenders, strips and nuggets with the use by date of may 20th, 2019 so check your freezers that is the news update at this hour guys, i'll send it back downtown to you >> sue, thank you. take 38 points off the dow up next boeing's ceo speaking out today amid new headaches surrounding the 737 max. >> frankly, we owe information to all of our stakeholders in this process we're doing everything we can to be transparent, provide that information. again, i know we could do better >> more big takeaways from that interview right after the break. -driverless cars... -all ground personnel... ...or trips to mars. $4.95. delivery drones or the latest phones. $4.95. no matter what you trade, at fidelity it's just $4.95 per online u.s. equity trade. we're a little bit below the flat line. this is obviously right near the center of the mexico trade talks. general trade flows. and i did want to put a one-year chart up here just to put in context. if we do see a bounce from here it's got a long way to go before it really starts to stabilize the overall trend here let's take a look at the semis this is a minor bright spot. as the rest of tech gets taken apart today. in part this is the reason, and by the way, this was up a lot more earlier, because cypress semiconductor getting bought out, amd had 134 positive news once again, that is a tremendous steep decline right there. a lot of ground to cover on the upside before you can see that this is an area that could lead the market in any respect. then let's look at really where the action is today in some of the fang names the xlcs, the communication services spider. this has only existed for a little less than a year. that's rolling over pretty well too. still outperforming on a year-to-date basis one interpretation here is that some of the areas people thought were safe to hide in are getting smoked out right now that's part of a process of the market getting kind of washed out. but we can't say for sure if that's really where we are yet, guys >> mike, thanks very much for that we should point out with just over 20 minutes of trade the nasdaq's down a full 2% at the moment at session lows boeing under pressure today amid a new headache surrounding its 737 max planes phil lebeau spoke with ceo dennis muilenburg earlier and joins us with more from that interview. >> this is a company and dennis muilenburg is a ceo who definitely is on the hot seat right now as they try to work their way through the 737 max. here's where things stand in terms of what he told us with fixing the max and how quickly they could get it flying again they are testing, recertification application coming soon. he still believes he is the right man to lead boeing and in terms of when they will ratchet up production back to 52 per month from 42 per month, he doesn't want to put a time frame on it at this point. >> i don't put a timeline on it because it will be paced by a return to service. the most important thing we're going to do here is focus on safety when we're ready to ramp up productionwise we will the world still needs 40,000 new airplanes over the next 20 years and the max is a big part of that >> have you had a single order for the max since the grounding? >> no. >> and that's a telling comment. not a single order we'll get the may orders for all of the boeing airplanes. that will come in about a week guys, back to you. >> phil, no specific timeline but am i right that he did say pretty clearly he was confident it would fly again this calendar year >> oh, they're confident it will fly this calendar year the question becomes is august the time frame that we hear from a lot of airlines? is that accurate dmerd in other words, the airlines say we're getting this based on our conversations with boeing although no one wants to say definitively it brings up the question will we see the max back in august or does it get pushed back into september or october a lot of this again is predicated with how quickly the faa looks at the application, the application flight, and then they say okay, we're ready to lift the grounding >> all right, phil, thank you very much. guy, has this stock been punished enough? it's trading under 20 times earnings >> i'll preface it by saying i thought it was punished enough at 375 that was $40 ago i was r-o-n-g r. it's shoot first -- >> w >> there's a w in front? >> silent w? >> so i've been doing it wrong all these years? see what i did there at 15 times next year's numbers i don't think any meaningful earnings impact, you have to ask yourself how much lower can the stock go they report at end of july they have a tremendous balance sheet. and they have a defense portion of the company that nobody seems to be taking into consideration. so although again i thought it would stop here at 335, you look at it and say this is just too much in my opinion too fast. >> so you're buying it >> if i had your money, i would buy it unfortunately, i have my money, wilf >> two shares. >> 335, if you have a significant time frame, you'll say to yourself this stock is just too cheap >> we have 18 minutes left of trade. we are down 2% on the nasdaq goog google, facebook and others weighing heavily on that index the russell just positive. we are still at session lows for the broader entity down 0.6%. >> the rest of the market is holding up relatively well given the concentration of weakness in technology still ahead we're going to head out to the biggest health care conference in the world. look at merck's breakout cancer drug when "closing bell" comes right back cnbc sector sort is sponsored by sector spider etfs. my degree from snhu has helped me tremendously. the flexible class schedules allowed me to go to work full time, run my catering business and be a mom and parent. when i reached this accomplishment, it was like, it's here, it's happening, it's now. we at southern new hampshire university are the ones who succeed. we are the ones who break through. plants capture co2. what if other kinds of plants captured it too? if these industrial plants had technology that captured carbon like trees we could help lower emissions. carbon capture is important technology - and experts agree. that's why we're working on ways to improve it. so plants... can be a little more... like plants. ♪ it's hard to overemphasize those data it's so important what's happened in the treatment of lung cancer. i was saying earlier that i have friends in thoracic oncology who've opened outpatient clinics now because whereas in the past no one lived long enough to come back and be seen now they do we've increased the survival nearly fivefold for patients with non-small cell lung cancer by virtue of the introduction of immunotherapy and in particular ketruda. it was only a few years ago, actually just about three years ago that we obtained the first data that showed that ketruda could be used effectively in that setting it's really a remarkable change. >> and it's remarkable for that set of patients for whom it works. but then there are some patients that don't get that same benefit from these incredible immunotherapies. >> that's right. >> we talked with the cref iovance one company working on what happens to the patients who ketruda stops working for them, melanoma are you looking at that space at all? >> well, we always have. we began in a fairly straightforward way, by asking the question when will mono therapy, single agent therapy with ketruda work. and we looked very broadly across more than 30 different tumor types. and the answer is you see responses in at least 26 of those different tumor types. then we asked how durable are those responses and the answer is they're quite durable then we asked the question what can we do to improve the response rate so that more people benefit and for that you need combinations probably the biggest change that's gone on now that we've really pretty much completed our mono therapy studies which began just about five years ago, is the introduction of combination that's further improve the response rates and that's what's going to have the biggest effect going forward. >> dr. perlmutter, unfortunately we're oust time. i have so many more questions. we'll have to continue the conversation >> we'll do it some other time >> back over to you guys >> thank you for that. keytruda one of the great innovations of our time. coming up your last chance trade. >> and the winners and losers in the dow right now. verizon is on top. microsoft along with technology getting hit the hardest. "closing bell" will be right back you should be mad that this is your daily commute. you should be mad at people who forget they're in public. and you should be mad at simple things that are unnecessarily complicated. but you're not mad, because you're trading with e*trade, which isn't complicated. their app makes trading quick and simple so you can strike when the time is right. don't get mad, get e*trade and start trading today. you guys be good i'llshe's gone.ter. it's a dangerous world. ah! [ grunt ] whoo-hoo! pops are your friends going to die? pickles don't be so dramatic. but yes probably. there they are. aww! whaa , whaa, ahh! technology getting hit pretty hard. but let's check in on one individual mover going the other way. german ship maker infineon is buying cypress semiconductor in a deal valued at $10.1 billion that merger expected to close in early 2020 the stock is up 24%. as i mentioned a standout in this technology beatdown >> we have eight minutes left of today's trade. just off the session lows but still an ugly session. guy, what is your last chance trade? >> i like this last chance trade. it's like the end of the hour, last chance trade. i'm going to give it to you. >> that's our thinking >> that's the idea >> bullard, if they're hellbent, they being the fed, on torching the u.s. dollar, i'm telling you now, gold's not a story until it is up a percent and a half today. newmont mining, ladies and gentlemen, should go higher in this environment i do believe that listen, the fed's going to do what they're going to do. all roads turn to gold nem will get you done. >> you're bullish on gold. >> absolutely. >> even though the dollar is -- >> makes no sense. it's madness if you think about it everything in their power to make the dollar to go lower. >> the trade war makes the dollar go higher >> i'm following you i get it should t. shouldn't be. >> deutsche bank are you watching that? >> don't you think that's problematic? the fourth or fifth largest economy on the planet, their largest bank has been trading awfully now for the last 2 1/2 years. if you don't think there's systemic risk in deutsche bank, you're not paying attention. it's not deutsche specific largest derivative book in the history of mankind there has to be something going forward that's problematic deutsche bank could be this year's canary in the coalmine. >> fun having you here >> really you don't mean that. you thought i spelled "wrong" wrong. but i had fun. >> working the crowd >> working the crowd >> bunch of schoolkids >> thanks for having me. >> please come back. >> guy adami you can catch guy and other "fast money" traders tonight at 5:00 p.m he's racing uptown to the nasdaq to be there at the top of the show after the bell eric chemi way preview. >> first let's look at the expectations a very tight range 14 analysts. all of them are looking for either a five-cent or six-cent loss per share revenue numbers also in a tight range between 160 and 162 million dollars. that's right where the company guidance has been. and in the 17 past quarters the company's never missed on eps and has only missed once on revenue. so keep that in mind going forward. short-term options are implying about an 11% move in the stock after today's report several of the recent reports have seen big moves including a 20% drop immediately after its last earnings report three months ago let's see if we get one of those again today. back to you guys >> eric, thank you very much for that we look forward to those numbers after the close. up next we'll be back with the closing countdown. just 5 1/2 minutes left of trade. vet l l"-tm llel aeawi ha ialcovered for you. [leaf blower] you should be mad at leaf blowers. [beep] you should be mad your neighbor always wants to hang out. and you should be mad your smart fridge is unnecessarily complicated. but you're not mad, because you have e*trade which isn't complicated. their tools make trading quicker and simpler. so you can take on the markets with confidence. don't get mad. get e*trade and start trading today. another all over the place dramatic session on wall street. three minutes left to go dow just crossed back over the positive line. let's break down the markets' action mike lewis from barclays here to trade the close. mike santoli with his dashboard. bertha coombs up at the nasdaq bob pisani here at the nyse. first up, let's trade this close. mike lewis, managing director of u.s. equity cash trading at barclays mike, we are seeing a little bit of a bounceback. still technology is in the eyes of the storm today with new antitrust investigations on silicon valley what do you do with this group what are you watching? >> we're obviously watching the action this has been a crowded part of the market to begin with to see the sell-off on news that we've had isn't completely surprising but how the market is reacting and digesting it is kind of interesting today. we've seen the bulk of s&p components up on the day as you guys have been noting tech has been down and under pressure i think this is more a reaction to headline. there's more to come for sure. rather than comment on those individual names i just think this is sort of the derisking that we had in mind when we thought we'd see further down side to the s&p. i think we're coming toward a near-term bottom for markets, equity markets >> mike lewis, thanks very much for joining us let's get to mike santoli with his final market dashboard mike >> taking a look at the volatility of the bond market, the big question being how low can yields go on this particular move this is the move index, effectively the vix for bonds. and you see here this big spike in options volatility on bonds you can't say we've now bottomed in yields but we see these spikes don't last for long you definitely have the makings of some kind of a reversal in those yields relatively soon. no guarantee but that's what it's saying right now. but more volatile than stocks at the moment let's go to the nasdaq where the real action is today with bertha >> today we're seeing a shift in the fear factor. today it was really all about more the regulatory antitrust situation. and that's why you're seeing the communications lower and you're actually seeing chips higher over to bob. >> and bertha, they've been taking down the growth names all day. and i don't mean just the fang names but big growth names like mastercard and visa. big movers all throughout the year they have been down today as well value-oriented names are on the rise and there's the closing bell let's get over to wilfred and sara. if you're just joining us, good afternoon welcome to "the closing bell." i'm wilfred frost. >> i'm sara eisen. along with mike santoli, senior cnbc markets commentator take a look at how we finished up the day on wall street. really a mixed picture if you look across the major averages the dow climbed all the way back toward the flat line was mostly negative all afternoon. positive this morning. flat at the close. s&p 500 down a third of 1% the real story was in the technology names getting slammed on fresh news of antitrust investigations by the u.s. government nasdaq lost 1.6% ten minutes ago that was down 2% looking a little better into the close. the russell 2000 and small caps up a third of 1% what stood out to you? >> we did see yields turn around in the last ten minutes as well as equity markets lifted off the load of the session. still of course yields lower but not down to the 2.06% level that we saw in the -- trade-related names doing relatively well. the chinese white paper over the weekend taken as not as bad as it could have been perhaps also the pmi from china not as bad as it could have been materials and enji topped the list and within that big tech sector sell-off the semis weren't the underperformers either >> i would also put auto parts and equipment as the best performing s&p subsector today you know things are looking good on the trade front if the auto parts stocks are moving up i agree. willingness to talk both from the chinese in that paper and the mexicans maybe taking that as a good sign maybe june won't be as rough on that front as may. only one day >> only one day. despite banks doll well, so much to dissect and discuss coming up we'll hear from value investor cliff robbins his take on the market's recent volatile swings. >> joining us to talk about this market day, kerry firestone is back with us arborius capital management. also with us jacob mitchell here at post 9, chief investment officer at antipodes >> if you didn't have the technology news, all this regulatory attention on the big fang stocks, you probably would have had a broader bounce attempt for the market you do have the makings of something like that. and really it's only because stocks have got-tone some degree pretty washed out to the down side at least i would say the average stock has and sentiment has gotten stretched as well so really it's all about that. it's all about the technical dynami dynamics the lack of fresh trade news i don't think anything got better i think we didn't really have any headlines and that's enough for now. >> jacob, were you surprised by the size of the sell-offs in the googles and facebooks of this world today? >> when you consider the pro-growth sort of start to the year i think crowdedness has been pretty extreme. not just in the big tech names but also in many of the high-flying sas stocks i think it will take more than one day for that to unwind and i think the market is also starting to price in some rate cuts you see the weakness in the dollar today i think very important to giving the cyclical bid to the market >> carrie, the nasdaq did close in correction territory down more than 10% from recent highs. these names have been the leaders over the last few years of the bull market what do you do with them now given these big potentially long investigations as overhangs now that we know it's official >> well, i think you have to take seriously the fact that there's announcements of potential investigations but remember, these stocks were up 16%, 17% as groups going into today. so we bring that down, so we're up 13% or 14% for the year and there have been times over the past three and four years where during months or certainly days we've had some extremely sharp drops in the tech sector and the communications service names. so this may be the beginning of something very long and prolonged. on the other hand, we could have a week or two at which point you're talking about stocks that are selling at well below market multiples. apple -- or alphabet for sure. and people say wow, this is the growth of the economy. and we really have to move back in and buy them when they are at distressed prices. >> jacob, you mentioned the prospect of rate cuts and the move in yields also a big story today. does that mean you want domestic u.s. exposure or not >> i think around the world you want exposure to cyclicals that can grow that will be more attractive because they're on record low valuations and i think the move in rates and move in dollar probably gives people a reason to look more outside the u.s you can find in europe financials that are not pricing in any fiscal stimulus and you've already had fiscal stimulus in the states you've had a record budget deficit. in a time of peace and we still have that firepower in other parts of the world. and if you think about what the chinese can do in response to trade it's very -- you mentioned that promoting a turnaround in the auto demand by subsidies or cash for clunkers is a part of the chinese policy toolkit and so you need to be exposed to that via some of the exporters either in the u.s. or in europe, in auto components where you had very low valuations. >> is the view just quickly that china can weather the storm for the moment >> i think any region that still has fiscal firepower and has internally funded government debt markets, so that's europe, korea, china, japan, has the ability to stimulate domestic demands. and that isn't priced into their equity markets >> jacob and kari, thank you both for joining us. we will leave it there we have an earnings alert out. and eric has it for us on box. >> box earnings just coming out. and it looks like a beat on both the top line and the bottom line you can see a three-cent loss per share. that's better happen the 5 or 6-cent loss that all the analysts have been expecting revenues a slight beat $163 million that's a little bit above that 160 to 162 million rain thaj we talked about about 15 minutes ago. the stock right now as you can see starting to drop a little bit but generally not too much trading right now. something to watch will be the guidance revenue guidance lowered going forward. but eps guidance rising going forward to actually being a profit rather than a loss. we'll have to see how that gets played out in the investor community. the company saying that the revenues will be down because they're changing their product approach, they're changing their accounts, they're going after these bigger deals that have a longer sales cycle, so we're not going to see as much revenues right away so watch that guidance and if it affects the box price over the next hour and tomorrow. back to you. >> mike santoli watching shares of box here, looks like moving lower in the after-hours >> stock has already been under plenty of pressure i don't think the guidance or the commentary from box, at least right now, is really going to change this growing picture out there that there is some hesitancy in this particular sales cycle and a lot of enterprise software. you don't extrapolate too much but it seems like it fits in with a lot of other things we've been hearing >> stephanie link was all over this trend she's been hearing it in software name after software name the money is slowing not recession but it was coming off such a high base of enterprise spending that when if slows down -- >> it seems as if a lot of it was pulled into 2018, whether because of the tax incentives or otherwise. >> down 3% in regular session already. >> let's talk more about technology facebook, google getting crushed today this as the ftc reportedly got jurisdiction for a possible facebook antitrust probe and the department of justice is preparing a probe into google, amazon also part of their reports and so is apple. mark mahaney from rbc capital joins us on the phone. crazy day for you, mark. how do you rethink the sector now that you have all these official investigations under way? >> i'd say for three or four years. it's now gotten in the numbers google is spending about 2 to 3 billion a year on regulatory fines. i would not be surprised to see facebook in that same camp but longer term i don't think this changes the fundamentals of the business at least in terms of top line demand i think at the end of the a investors are still going to look at these as scarce secular growers and on these kinds of corrections i think there are buyers maybe they should be buyers. but at the top of the list is facebook i just think fundamentally it faces less antitrust risk than google does. >> you're saying with either of them you don't expect business model changing regulation and just fines that they can stomach. >> i don't think there will be any change in top line demand. i think it's highly unlikely but anything's possible. highly unlikely the assets get -- there's any sort of forced sale of assets, forced disposal of assets i think the top line growth rates are very much intact if you think you're attar month of an fundamental inflection point upwards for facebook than google that's the one we probably prefer to buy. i also think facebook at approximately 16 times gap earnings really trading in line with the market or a slight discount to the market is just extremely compelling pelg on a risk reward basis. it's cheaper than its growth rate you rarely find that i don't think it's the fundamentals we're really seeing >> on the other hand you saw what happened to the drugmaker we're going into an election year this is obviously going to be a very popular, populist kind of campaign elizabeth warren already has billboards up saying break up big tech you don't think that could be an overhang >> yeah, it could well be. we're kind of in uncharted territory for the internet companies. or mostly uncharted. we have had fines. you've had levies fined against google the -- it's already been accounted for. facebook on its earnings calling set aside 3 to 5 billion for potential installments to the ftc through privacy regulations or privacy decision. so i think these stocks have been somewhat insulated, obviously not fully our wouldn't have had the sell-off you were seeing but i don't think it changes the long-term investment thesis. i think there are a lot of good growth areas for these companies. i don't think it changes the investment thesis. >> mark, with today's selling and more recent weeks' selling which is the top buy for you >> top buy for us is facebook and netflix. frankly of the fang names it's the one that faces the least regulatory risk and has the most new competition coming on board. that's netflix so we'd go facebook first, netflix second amazon third google fourth. >> mark mahaney, thanks for joining us mike, how do you see the antitrust regulatory headline noise at in time >> i interpreted today's action as really reflecting a lot more of the skittishness of investors in general it seemed like a lot of the news was basically which agency is going to have jurisdiction over various different companies, not necessarily that anything is imminent i do think in general it should probably cap the valuations just because these companies are not going to be able to make any acquisition or maybe there's a chilling effect on acquisitions and growing into new areas but in general i really saw if today as more of a shakeout in some overowned names where people thought they were safe from a lot of the other headlines going on example, 2% down in netflix when there's basically no chance there's any government scrutiny over its practices >> good point. dow has fallen nearly 7% over its six-week losing streak up next value investor cliff robbins tells us where he's finding opportunities amid the sell-off and whether there's more trouble ahead for stocks. ine closed higher by about fiv pots we'll be right back. aww. you never know what life is going to throw at you. [ whimpering ] and from this point on. nothing is going to be the same. [ "all these things that i've done" by the killers ] no, no, no. this way buddy. no! liam's heads for comforts is in the 80th percetile. oh that's cool. it's a lot of head. it's like you're the dad and i'm the mom and we're in a relationship and this is our baby. [ laughing ] well... it's exactly like that! exactly! railroad stocks have taken a beating since president trump threatened to impose a new tariff on imported goods from mexico friday but our next guest says there's good value in at least one railroad name. joining us now to discuss in a cnbc exclusive interview is cliff robbins, founder and ceo of blue harbor group we'll get to genesee and wyoming in a bit i know you want to talk about it but overall this current market volatility, six straight down weeks for the dow, is it creating long-term opportunities for value investors like yourself >> it is i think that the -- whenever markets go down it provides opportunities for people who are in the stock selection business to buy stocks. we vernell have been buying stocks, and we have a pretty constructive view about the economy and the markets over the next couple years. we're not short-term investors, of course. but when markets go down it does provide opportunities to people who are selecting securities >> you've traditionally focused on the small and medium size market capitalization range. but the fall in markets we've seen has that made you attracted to any of the bigger cap stocks? >> no. we've stayed focused in 2 to 15 billion dollar market range for lots of reasons including the ones you mentioned that's certainly where we're staying focused at the moment. >> you said the economy in the next few years, even after the 10-year run we've had here >> yeah. most of the ceos i'm talking to are telling me their businesses are going to make more money in 2019 and 2020 than they made last year. certainly the employment picture looks pretty good. and the consumer's been pretty strong there's going to be short-term volatility because there's a lot going on in washington and around the world but i think the u.s. still looks pretty strong to me. >> and just because of the slice of the market you look at the credit markets maybe softened up recently is that a concern yet? >> the credit markets are soft but m&a is still huge. there's a tremendous amount of money in private equity hands. using cash earning nothing and buying operating earnings. powell's been pretty clear that rates are going to stay pretty low. the credit markets are still accommodating for people who want to do transactions. >> talk to us about genesee and wyoming. it sounds on the surface like a business that faces a lot of threats at the moment. >> that's a pretty strong business they have a short line railroad. they're that key connection between the factory and the class one railroads. and genesee has acquired over years significant position they have like 20% of the short line railroads in the u.s. the business is very strong. it's very well managed they have a very strong balance sheet as well. and a lot of good things going on with that company >> according to a report last week it face az potential sale and there are very interested parties in private equity. >> yeah, i wouldn't be surprised about that as we were just speaking, rates are low, a lot of capital available for people who want to do deals and this is a very strong business. i'm not surprised to understand there's private equity funds interested by the same token if there isn't a transaction this is a company we're happy to own great management team, good balance sheet, strong business, and should build value over the next few years even if there's not a short-term sale. >> cliff, i know you are an activist investor of a different mold from some you like to work with management rather than against it but that aside, do you think public companies' managements are too powerful, too secure in their jobs in general at the moment >> i don't feel that way i actually feel that that was what corporate america was about. but i really think there's been a sea change in corporate governance where boards and ceos are more willing to listen to large stockholders i'm generalizing of course there's always pockets where that isn't the case. but i do think we're in an era of more transparency, more responsiveness of management teams to the actual owners of the company which are the stockholders >> you've been really hitting the esg theme pretty hard as actually a way to invest for bottom line performance. is that working for you? >> this is something i feel really strongly about. back in 2016 we decided to fully integrate esg considerations into our investment process which means when we meet a company we put them through our esg diagnostic we just issued a 40-page report reporting on the progress we've made and i think it's a very important way to both reduce risks and improve returns in the portfolios for me the important part is the s of esg and i think there's plenty of evidence out there that companies have a better culture, lower turnover just do better. and i think it's very powerful and i'm totally committed to full esg integration for our investment processes >> you're pretty confident that the outperformance of those high-scoring companies is not an outgrowth let's say of a concentration in tech or any other factor >> no. i think our number one job has always been to assess the management team. so before we had esg integration we'd go meet with the management teams to talk about buybacks or splitoffs or spinoffs or how they're going to unlock value. and we still do that but now we're sitting across the table from the ceo before we invest and we're thinking about what do you think about gender pay equality, are you committed to a more diverse board are you put in smoking cessization and wellness programs for your employees? will you underwrite that you have no underage workers at facilities if we're not getting the right answers to these questions it's making me wonder do we want to invest behind this team. i think it's a great way to learn more about the people who are running these companies. >> who's given you the best answers on that front? >> i think most companies. most companies get that being a better place to work with a better culture, a more diverse board, a more diverse workforce is better for business and we don't always get that answer and if we don't get is that answer we're not investing in that company. >> cliff robbins, thanks for joining us great to see you >> thank you >> up next we're breaking down the chart to see bye! ♪ hey dad! hello, betee! kaisi hain aap (how are you)? i'm good, how are you? saying the recent sell-off is mirroring many bear markets of recent past. plus two tech analysts tell us whether investors should be worried about the potential antitrust probe into apple specifically you. t well, that's such great news! at u.s. bank, we believe that hard work works. and for everyone working toward a goal, we're here to help. another cloud name, cooper software rahel solomon has the numbers for us >> surprise eps beat for cooper software coming in at 3 cents adjusted versus the 4-cent loss that had been expected by the street also a beat for estimates posting q1 of 81.3 million versus what had been expected of 73.9 million looking forward to the guidance. a little bit mixed for q2 mixed guidance but the full year guidance, guys, largely above mates. and look at the stop now up more than 5% but during the trading day it had been trading down and it closed at about 6%. looks like the street responding positively to this news. sara, i'll send it back to you >> rahel, thank you. let's check back with mike for his final dashboard of the day the titles are almost as good as the charts >> does history rhyme is the obvious question here as the lights go out on us. >> we can still see the chart. >> yes that's the key part right here we're going to highlight it even more at the end of halftime year, early this year we had that 20% move down in the s&p 500 in a very short period of time. a lot of people tried to create some kind of analogies with prior periods when we saw one of these big sell-offs that was not a big recession-linked bear market i'm not sure if we're going to have the picture up here but basically -- here we are we saw how the market -- people said could track some of these other non-recessionary bear markets and recoveries from 1994-5 1998-9 2011-2012. yu richlt an timer the strategist at fidelity has been tracking this. the orange line here is a composite of three years combine that price pattern of the s&p 500 matched up with the lows that would be the december 24th low. this time along with the respective lows of those prior cycles look at how well it matched up until about a month ago. we really did have that recovery we did not have a retest of those lows we did have the fed pivot toward a dfish stance but we've fall anne part from diverged from this path in the last month or so why is that? for one thing there's always limits to these historical analogies. they're never going to work forever perfectly. but obviously the trade frictio frictions combined with the fact that perhaps we are closer, at least perceived closer to the end of a cycle than we were in any of these periods i would argue has people thinking that maybe there's a greater possibility of a fed error or basically trade ending this cycle. so obviously we can still monitor this and keep it going but as you guys know i've been more focused on the 2015-16, which still looks like it's linking up okay post-brexit. >> i was going to say 94, 98 and 2011 that looks fairly negative comparison but there's plenty of other years where it's not necessarily so negative. >> that's right. these basically also had the fed turning dovish after perceived to have been too tight '98 especially was kind of gloeshl concern global concerns. 2011 we remember different dynamics always at play but a similar market rhythm we have to see if it will get back on this track or not. >> mike, thank you very much for that time for a cnbc news update with sue herera hi, sue. >> hello, wilf hello, everybody here's what's happening at this hour 52 people were shot, eight fatally, and two others stabbed to death during a violent weekend across chicago at a news conference today the chicago police chief talked about this latest round of violence >> we recovered 92 weapons over this weekend that's ridiculous. that's ridiculous. you know, so until we get an all hands on deck support then we're going to continue this actor kevin spacey appearing in a nantucket courtroom for a pretrial hearing charged with groping an 18-year-old busboy in a bar back in 2016 his lawyer alleging there are deleted messages from the teen's phones that support spacey's claim of innocence >> he -- or apparently his mother, which was a place i never thought we'd end up going. but he and/or his mother deleted and manipulated the exculpatory text that's were on the phone. 100% it's not a question anymore. it's absolutely clear evidence >> you are up to date. that's the news update this hour, guys i'll send it back to you >> all right, sue, thank you up next, apple shares falling hard after a report that federal prosecutors are considering an antitrust probe on this name as well find out how much trouble that could mean for the stock straight ahead plus the ceos of major ris ll companies warning how taffwi impact their business details when we come back. plants capture co2. what if other kinds of plants captured it too? if these industrial plants had technology that captured carbon like trees we could help lower emissions. carbon capture is important technology - and experts agree. that's why we're working on ways to improve it. so plants... can be a little more... like plants. ♪ what do you look for i want free access to research. yep, td ameritrade's got that. free access to every platform. yeah, that too. i don't want any trade minimums. yeah, i totally agree, they don't have any of those. i want to know what i'm paying upfront. yes, absolutely. do you just say yes to everything? hm. well i say no to kale. mm. yeah, they say if you blanch it it's better, but that seems like a lot of work. no hidden fees. no platform fees. no trade minimums. and yes, it's all at one low price. td ameritrade. ♪ welcome back apple shares under pressure on a report the justice department is eyeing an antitrust probe. this as the tech giant hosts its annual developers conference josh lipton is there with the highlights hi, josh >> reporter: so wilf, at this software show today it wasn't just about software. tim cook taking the stage and introducing some new hardware too. take a listen. >> this is the new mac pro and it's incredible. [ applause ] it has a truly gorgeous design and remarkable performance to match. it is the most powerful mac we have ever created. >> now, that new mac pro's going to start at $5,999 available this fall. patrick moore says he thinks at least mac enthusiasts are going to be big fans of this device and it finally delivers on the performance they've been expecting. guys, back to you. >> josh, thank you let's bring in ian wiener from drexel hamilton and dan flacks from newburgher newman some of those announcement from tim cook really got overshadowed by the report it too, apple is under antitrust investigation scrutiny do you think the reaction was appropriate or overdone? >> i think if you're talking about specifically antitrust i think it's an overreaction i don't see apple as an antitrust situation whatsoever i think apple's got bigger issues, namely china and slowing iphones. that's a much bigger issue for apple than it is necessarily antitrust. you may have also seen a little bit of a sell-off because, you know, no offense to the 1,000 people who were dressed as chewbacca at the thing today there really wasn't that much exciting coming out of it. >> dan, to the point from ian about how much is coming out of these types of big apple events and recent ones, do you think it's lost some of the attraction of its ecosystem that used to hold its customers so tightly to its products >> i think the seek o'system appears to be as healthy as ever and i think the announcements today in some of the newer areas such as augmented reality are suggestive of the fact that apple is continuing to bring people together. and of course remember the fact of the matter is that they're bringing the developers and the users together and the users are having an experience that they value, which is ultimately key to growth. and perhaps to contrast it with some of the other platforms out there. apple has really focused a tremendous amount on privacy and being able to enable their users to trust the underlying platform so we see a lot that we like here >> ian, why are you taking the other side of that especially on the innovation story. >> well, i mean, let's look at iphone unit sales. over the last two years the life cycle's extended to now three years before people upgrade. and did anybody see anything today that's going to make them run out and buy a $1,000 iphone? that's my argument simply that they're not getting people to re -- buy new iphones or upgrade and unless you get that, that services revenue that everybody talks about is going to be stagnant so i just think we need to realize what's getting people excited about the expensive iphone and see what it is. and to me you didn't get anything today that's at least making this consumer feel like i've got to go upgrade >> sedan, steppidan, stepping al do you think some of the other names like facebook and google that sold off sharply into deed face a regulatory threat >> i think they do and i think part of this is the issue around transparency. so from an antitrust concern or anti-competitive concern, these companies really need to demonstrate what it is they're doing, how they're ensuring the playing field is level for all who were participating on their platform i think another piece of this is that these companies need to really do a better job educating their users in terms of how the data is being used but if we take a longer-term perspective i think what's interesting if we look at alphabet as an example there are some newer businesses like the google cloud platform which when we talk to customers there's a tremendous amount of interest. longer-term initiatives around autonomous driving with waymo. if we look at facebook there are opportunities for further growth in instagram and then you have messenger and whatsapp further down the road. i think the companies need to do a lot more to both manage and help secure the platforms, increase the level of transparency but of course to continue to invest, to innovate and delight their users with new services in the years ahead which ultimately is going to be critical to developing shareholder value >> dan, is there really a risk of more dramatic antitrust action that could be taken on the part of the department of justice or the ftc on these companies? and if so where does it lie? >> i think there is a risk but one has to go through each platform so for example, if within core facebook if there's behavior that the company is -- or things they're doing that demonstrate the playing field isn't level and that perhaps remedies, instagram needs to be looked at separately and whatsapp and messenger i don't think one can take a broad brush approach the other piece which is critical is depending on the countries these companies operate in there are different views and norms in these societies in terms of what's appropriate and what's not and of course as we all appreciate the technology is changing very, very quickly. i don't see a silver bullet here i think each one of the businesses for these companies, facebook has mentioned and alphabet separately, have to be looked at. i think it's unlikely the companies get broken up but of course we need to see a little more detail and get more detail in terms of -- to get a better sense as to how this might play out. but overall as we think about the medium term we continue to like both of these companies as investments. >> dan and ian, thanks for joining us >> thank you >> thanks for having me. >> from tech to trade. the tariff battles with mexico and china could have major impacts on the travel industry and seema mody has more on that for us hi, seema. >> hi, wilf. that's right marriott ceo arnie sorenson among other hotel executives talked about how tariffs and heightened rhetoric has made the u.s. a less appealing travel destination for foreigners and that is a concerning trend as a number of hotel developers build out their pipeline >> i think that right now there's a lot of focus around the threat of additional tariffs, which will of course increase tensions and create more friction. the concern is that the image out around the world where millions and millions of people are traveling for the first time is that the u.s. is not a welcoming destination. >> now, inside china u.s. hotel operators are not seeing any signs of a boycott hyatt has 70 hotels across the country. 100 more in the pipeline but outside of china, sara and wilf, pop quiz, do you know the hottest travel destination in asia right now >> in asia did you say >> outside of china. >> in asia >> i'm going to go with indonesia. >> japan >> good guess. both are great guesses but it's actually vietnam. we talked about how these consumer-driven companies are trying to decouple out of china and look to other manufacturing hubs like vietnam. that's actually helping the travel industry flurish and has resulted in about a record 19 million are expected to visit the country this year. that's up 9% from the last year in marriott, hyatt, intercontinental, all trying to build new properties so they can meet that growing demand >> that's where i went on my honeymoon, wilfred it's a good one for you. seema, thank you up next, amazon has been blamed for a major retail stock slump pu but that may not be the case. what bed bath & beyond's own leaders did to hurt their business that story coming up let me ask you something. can the past help you write the future? can you feel calm in the eye of a storm? can you do more with less? can you raise the bar while reducing your footprint? for our 100 years we've been answering the questions of today to meet the energy needs of tomorrow. southern company full year revenue guidance came in weaker than expected despite poeflth a smaller than expected quarterly loss. as we discussed with eric chemi it was down 2% or 3% after earnings the guidance coming in softer than expected. it was already down 3% in the normal session 14% or so decline in the last 12 hours. >> "wall street journal" publishing a report on failed leadership at bed bath & beyond titled amazon didn't cripple bed bath & beyond its own leaders did. joining us to discuss is the reporter behind the story, suzanne capner welcome. it's nice to have you. it's not just that we started buying air filters and purifiers on amazon? >> it's really easy to blame amazon for this retail apocalypse everybody's talking about but you look at best buy which has reirvin vented itself, walmart's doing a good job at fighting back. it is possible to succeed in this new paradigm and bed bath & beyond they were stuck in the past on a formula that had worked really well for decades but they didn't adapt. >> there are changes now whether they've been intentional or forced by activists how big are those changes relative to what needs to be done >> well, it's certainly a great start. almost the whole board is new. they will be bringing in a new ceo. the directors have a lot more e-commerce and retail experie e experience that's a step in the right direction. but they have so much work to do they have created this board committee to oversee all these changes. and the list of their tasks goes on and on and on everything from managing inventory better to maybe selling some assets. >> this was a company that is very much controlled by its founding families for a long time and their successor was sort of picked by them it's not that uncommon in retail you see several of these, whether it's gaps or the nordstroms where you have some iflth or at least ownership by a family and you would have thought of the wexners with al branch that you would have thought they were perfect candidates to have gone private and sort of do this revamp outside of markt wall strewall e >> it's not that easy to go private as we've seen with nordstrom. they tried this. and raising money in the world of retailing right now is difficult to do. i don't foresee a whole lot of that happening >> your story's so-g there are so many juicy tidbits, including on the frugal culture that they wouldn't buy post-it notes >> from my reporting, one of the founders, warren eisenberg, he in this video talks about how poor he was growing up he said he was 16 years old before he ever ate in a restaurant and i think that really permeated the culture. and it was a real benefit to them for a long time i mean, walmart benefited from that frugal culture and that mindset can really be a great thing. but in today's world where you have to spend a lot of money just to play catch-up on e-commerce i think it really hurt them. >> did you get a sense it hurt morale of the broader company as well >> i do. employees talked about having to buy their own computer monitors because the ones they were given were out of date that can't make you feel like you're working for a cutting-edge company >> i hate to invoke the name but it sounds like bear stearns. i don't think bed bath & beyond is systemically important but that was the bear stearns culture and it was very popularly so, actually ace greenberg was known for being that frugal. >> there's always bye-bye baby that has to be doing well. from personal experience >> it is doing well. but the birth rate is down so they have their own challenges >> suzanne, thanks very much for joining us great reporting. great story in the "wall street journal. up next, trump versus at&t the president calling for a boycott of the telco company over what he calls fake news at cnn. we'll discuss with a top telecom investor coming up your daily dashboard from fidelity. a visual snapshot of your investments. key portfolio events. all in one place. because when it's decision time... you need decision tech. only from fidelity. i'm workin♪ to keep the fire going for another 150 years. for beauty that begins with nature. ♪ to make connections of a different kind. at adp we're designing a better way to work, so you can achieve what you're working for. welcome back president trump expressing frustration with at&t on twitter today suggesting a boycott of the media and telecom giant, tweeting in part "i believe that if people stop using or subscribing to at&t they would be forced to make changes at cnn. joining us now, david mccourt, founder and ceo of mccourt capital. david, great to have you with us >> it's great to be here >> we're going to get to topics like that as well including your new book, which we're looking forward to talking about i wanted a broad question, though, about the media and telco landscape to kick things off because you made your first fortune in cable tv. do you think that business has faced the peak of its threats from over the top services or is there more pressure in declines to come? >> i think the competition is just getting warmed up i think they're going to face huge pressure going forward with the netflix look-alikes that are going to be amazon, disney i think the over the tops are just getting started >> so do the traditional players decline to zero or not >> they own a very valuable asset, which is they own a utility, a fiber network into the home so if you look at it from a utility standpoint, they own a very valuable asset if they try to make it proprietary, their decline will come quicker if they make it open, open access and wholesale, and wholesale it to other start-ups, they'll be fine. the phone companies, when i first started and built the first competitive phone company in america, if at&t had said, i'm going to open up my network and make it available to anyone, i never would have been able to raise a penny to compete instead, we sold the company for $14.5 billion when we only had $250 million in revenue. you know, the markets supported us because they knew at&t wouldn't do that so the cable companies are going to the have the same challenge >> do you think t-mobile and sprint will be allowed to merge in this country and if so, what's that going to mean for the consumer >> this whole concept of third and fourth merger and the regulators saying you have to spin off a fourth, i think that's a crazy idea. who's going to be around ten years from now to see if that ever happens what the regulators should do, let them merge, extract as much as they can from them and put that money into rural america for rural broadband so people who live in the rural parts of the country have the same access to healthcare and the same access to job opportunities as everybody else and they should make them make sure that when there are new start-ups that we can't even envision how they're going to deliver service that there's an open access wholesale component to mobile operators. >> david, let's talk about the book, "total rethink." it's not out yet >> it's out next week. >> and so i've seen it described as much as a sort of biopic on your business life as a kind of plan, game plan for new entrepreneurs. so, a little bit of both coming in there >> yeah, well, the premise of the book is that the world used to be controlled from the top down, corporations and government would set the rules and the rest of us would follow and both of them are doing a lousy job. capitalism is under fire governments are doing a lousy job. and the top is getting disorganized and the bottom is getting organized. young people, women, men and women of color, everybody on the bottom is getting organized when the top is a mess. and the premise of the book is that at the same time everything's moving so fast that incremental change is worthless. you have to blow up the model and rethink everything >> you mentioned the capitalism's under fire. is being successful and being a self-made billionaire as you are, is that something you're made to feel embarrassed about today? >> no. you should only be embarrassed -- if you bring value to communities that you do business, you should be proud. if you extract value, then you should be embarrassed. we try to bring value to everywhere we do business so no, i'm very proud of that capitalist -- corporations are where you should go to solve problems because they know how to deploy human and financia capital but no one wants to go to them because they've done such a lousy job >> you have a lot of business interests in europe. >> i do. >> ireland, we know what you're doing there. >> i do. >> bringing wireless there where do you think the u.s. relationship stands with europe, with the uk, very much in focus with president trump there now and where does it go is there too much hand-wringing over there or not? >> well, look, the uk is on the back foot this week when trump is there so he will probably take advantage of that, which might not be so great for our longest and greatest ally. but he probably will he'll come back and declare that he got some great deal but the markets don't know how to price his tweets, because there's so much swirl. the market hates swirl the market hates swirl in their supply chain takes a long time to put a supply chain together and when you start sending tweets out and change the rules, it creates swirl and this building hates swirl. >> congratulations on the book it's doing very well in europe already and comes out next week. >> you can preorder it any time you want >> there we go david mccourt, his new book out next week here in the u.s. >> here, key tngs hiyou need to watch when closing bell comes right back the cloud i need? it has to keep up with sales, supply chain, inventory - ♪ ♪ it needs to track it all, from cincinnati to singapore. ooo! ♪ ♪ and protect it all. customer records, our financials, they better be secured. but i also need easy access, to manage data across my clouds - no matter where it lives. ♪ ♪ so if an auditor shows up, i can be a step ahead. that's the cloud i want. is that to much to ask? expect more from your cloud. ibm cloud. whai tell clients, etfs can follow an index, but which ones target your goals? it's not about quantity. it's about quality. no trendy stuff. i want etfs backed by research. is it built for the long-term? my reputation depends on it. flexshares etfs are designed and managed around investor objectives. so you can advise with confidence. before investing, consider the fund's investment objectives, risks, charges and expenses. go to flexshares.com for a prospectus containing this information. read it carefully. your but as you get older,hing. it naturally begins to change, causing a lack of sharpness, or even trouble with recall. thankfully, the breakthrough in prevagen helps your brain and actually improves memory. the secret is an ingredient originally discovered... in jellyfish. in clinical trials, prevagen has been shown to improve short-term memory. prevagen. healthier brain. better life. time now for our wall street look ahead president trump and the uk's outgoing prime minister, theresa may, holding a news conference tomorrow morning gm's annual meeting kicks off and tiffany's set to report results before the bell. wi wilfred, let's start with you and the resident's trip. >> most of the pomp and ceremony of the president's trip to the uk is out of the way today tomorrow, keep an eye out for his business round table meeting at 4:45 a.m. eastern time, he'll then have a bilateral meeting with outgoing prime minister trooe theresa may, followinged by a jn press conference recently the uk have been one of the few nations where the president has suggested he wants to reduce trade barriers but no doubt, of course, the uk media also focused on whether he addresses the topic of who theresa may's successor should be also. >> melania's outfits are killing it over there. wilfred, thank you gm holding its annual meeting tomorrow phil lebeau is here with a look at what we should be watching. >> this is a virtual meeting so shareholders will be able to go through the webcast, ask few questions. we don't expect a lot of fireworks here but two things will come up for sure, what is gm's ceo doing about the slowing global auto market, if you will? china is lackluster at best. the u.s. market, starting to slow down a little bit and what about those mexican auto tariffs if they go into effect what kind of an impact will that have on general motors take a look at shares over the last five years. mary has been ceo for more than five years now she's made a lot of moves to improve the profitability of that company and they've paid off in terms of driving a better bottom line. and yet, shareholders continue to keep this stock around $33 a share. guys, back to you. >> phil, thank you very much for that tiffany is set to report results before the opening bell tomorrow and courtney reagan has a preview for us >> tiffany will report the big question is how the luxury jeweler is dealing with lower spending around the world. it was an issue toward the end of 2018 and other retaliates have reported allowlower chines tourist spending outside of china itself if tiffany can sell more of its new products faster to local shoppers in each of its markets, globally, that can help alleviate the issue. revenue is expected to fall from last year. u.s. sales expected to be the weakest europe expected to be the strongest. >> courtney, thank you very much for that quick final thoughts on the markets. in fact, only three sectors were negative today the size of the declines would have suggested otherwise >> the majority of the stocks on the new york stock exchange were up on the day to there was a stealth bounce happening, very tentative given how far down we've come, 7% in a month. i think it's interesting to see if we get a continuing shakeout in tech because that has been an area outperforming on a year to date business so if some of the favorites of growth are being punished as well it could be in the latter phase of the selloff. >> communication services still up 10% for the year. >> we are out of time for today's show thanks for tuning in closing bell we're out of time. >> "fast money" begins right now. >> "fast money" starts right now. i'm melissa lee, we have tim, brian, dan, and guy. tonight, stocks are stuck in the danger zone as yields sink to new lows, but a top strategist says don't worry the fed is coming to the rescue and a rate cut could be coming as soon as this month plus, tesla sinking to more a three-year low as the electric vehicle maker hits roadblock after roadblock but the chart master says the stock is to bad it's good. we start off with what look like big tech's

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