Ten states are beginning to work on plans to open parts of their economy. Maybe in may, the fed launches a commercial paper funding fa s t facili facility there is an argument that calls for stocks to retest are fading. I thought yesterday was an important day with the dave kostin change. I did a lot of work, help with larry williams, about how many times when you have a 50 retracement or more, we have a retest the answer is almost never i think theres a lot of people coming on someone came on the air this morning and said in every single case you have to have a retest. Thats completely untrue if you bounced up 50 beginning last friday thats what we did. A lot of people say this thing is based on large cap companies. Thats what we do. Were not trading luncheonettes here thats not to the detriment of luncheonettes. Were not trading hair salons. Thats not the way it works. We trade Large Capitalization Companies that do better than smaller ones in this environment. Thats life. Is it fair no but its what we do for a living yeah though, jim, as you said on squawk, Small Business is a function of employment, and h s hence demand thats where you are more cautious, the degree with which demand comes back, the speed yes i know people say because youre in the new Jersey New York area. As much as i would like to think i live somewhere else, i live in a climate where youre feeling great about costco because they have a very definitive plan to make it so you dont have contact with somebody else maybe others thrive in contact in places where theres not much of a pandemic. To the people who thrive on that its coming for you. We dont have a vaccine. J j will be doing human trials in september glaxosmithkline got together with sanofi, they are talking about the end of next year we need contact tracing, testing and something that gets youout of the hospital faster we dont have any of those three. Im waiting. Now i know thats heresy to put triad out there. It is the truth. The truth is is that were not safer than we were we know this thing is more contagious we dont have masks for everybody. The thing google came out with yesterday with apple was fantastic but dismissed by the government i say listen, if i want to be open for business but i want people to come, i dont feel that you have it in this area. Antiviral is an important part of that, too. We mentioned that many times all the things you just said plus the antivirals, many people believe we would be okay your point is a good one, perhaps were given the area we live in, and how hard weve been here, we dont have a few that much of the rest of the country has. That may well be true, but your point is an important one in terms of what i continue to hear from Business Leaders is that its going to be a recovery that takes a lot longer and that a return to true behavior prior to the virus spreading in this country is just not going to happen until all those things are in place and even then until people fully understand and believe that even if they do get it, they wont be ending up in the hospital and bridging us from that point to the point where we have a vaccine. If remdesivir its a small sample, 68 , we can get that to 80 , 85 , that means that you think that if you go to the hospital and you get out of the hospital, that will change a lot of people. But thats thats maybe, jim, but thats thats the middle ground. You want something where you can take the oral antiviral, but when you immediately test positive, before you have any symptoms that is what you really want and need yes i also want the remdesivir is important, but its infused its in the hospital you dont want to get to that point. That wont stop somebody from thinking twice about i dont even know, touching packages yesterday google and apple, in two weeks they came up with something, if youre willing to give your information to Public Health, they can flash you if youre within 10 to 15 feet of somebody who has it. Your alarm goes off, you get tested thats what we need to get back into the game. We have to get tested ourselves, instant okay, and then a Warning System so if were touching someone, near someone, on a bus or subway, if it tells us that person had it, you have go back and get something or selfquarantine. We dont have these things yet i think its a moving target i think if they decide, you know what well wait until we have all those things and open for business, thats too late. Thats the hard place. You have to start thinking the nfl is talking about having a season thanksgiving. So maybe they play six games people may laugh at that, but they have to have something. I would not have an emergency plan for things going better we have a gazillion emergency plans for things going worse were not the only ones trying to talk about where the parameters are here. Jpmorgan, we have to get to it eventually what do we make of these credit reserves and the assumptions baked into that . I thought it was better i didnt feel like the dividend was in question. I felt like this is a time when you compare it to europe where we have this phenomenal cushion that really did work and does work i know jamie dimon, talking to wilf on the call, jsame my soundsoun jamie sounded confident. The amount of money they drew down, the 50 million on the existing credit lines. David, what should be the potential loss on those . Thats the question they fulfilled the obligation there. I dont know what the loss will be neither do they. We are monitoring the call and well bring you anything of importance as we get it. They did add 6 6. 8 billion to reserves for this period of time, in part for some of those revolvers pulled down that may not get fully paid back. Youre not just talking about corporate indebtedness but also people who are losing their jobs and unable to pay back on their credit card as well. Jamie did say it was necessary to reserve build this reserve because of a likelihood of a fairly severe recession. Wells fargo only added 4 billion to its reserves. We will also monitor that call when it occurs later in the moment werent you surprised how many accounts wells fargo added . When i went over it, the new ceo, Charlie Scharf, good loan growth, year over year deposits, 1. 3 trillion up 75 billion. For a company regarded as a black sheep in banking, they got a lot of deposits. Who knows. Heres a line that i worried about, and maybe wilf will deal with this later. This is the first time ive seen anyone from the network. Good to see you, partner what are they excited about . Over 16,000 atms were open who thought that would be what we were excited about, open atms assets under management, the vast majority of atms operational. The if we get a sense that the reserve building is done in q2, that will have major implications for how people view not just the stocks but the trajectory of the economy overall this year. Look, im beginning to think that im living in the wrong area heres some clown who says cramer is very afraid. Give me a break. You know youre going to work every single day youre not that afraid i come here, i came back from the super bowl i had this idea. I said theres a pandemic coming i dont care that nobody is dead this thing will devastate our country. Was i afraid then . Yeah, clown sorry, i was supposed to be jimmy chill. Take it easy. Were getting numbers i thought when j j came out, they first talked about the dividend increase. I said, geez, maybe theyre not reporting. But they gave you that they said we have that they gave you a forecast i said holy cow, a forecast we have a forecast i like j j then listerine is back im sorry to be happy for little things, if you want to call me afraid, thats a bad call. Thats a bad call. There is the question the question of course is what well see for this quarter and whether or not that 6. 8 billion to your point is actually to take care of what they believe will occur or is simply going to be incremental and theyll add more we dont know. We may get more color on the call in terms of what specifically theyre seeing in terms of the trends for the first 14 days of this month. Thats what you need to know thats what you need to know why would you take out a loan . We need customers. Anybody got customers . Yeah. Well, jim, thats what you got to with chip burg of levis last night on mad money. Ten states working on how do we reopen the economy potentially in may cuomo saying the worst is over this is what chip bergh told jim last night were trying to learn a lot about coming back to business, what happens with traffic, how do we manage hours, store expenses, how do we get the consumer back . Were learning a lot from that and inform us going forward. Direct to consumers, went from 30 to 40 . Heres a quiz. What market is on fire what mar set is he doing the best in right now . Whats the number one market wuhan. Just opened in wuhan and its crushing. It is. Its crushing. Said wuhan is just great they had a grand opening last week its hope, but its hope in another country. I think chip made a very compelling case that iconic brands will survive. I point that out because disney, a lot of people talking about, wait a minute, espn is taking pay cuts, disney is cautious in Shanghai Disney is an iconic brand. Iconic brands will survive you have to decide whether levis is something thats 167 years old and is going to make it. Are people going to come to levis stadium for football two you want 70,000 people sitting there, fist pumping . I would say no there i am afraid. I dont want to do that. Maybe you guys are cool with that no. Jim, theres a sikh emanuel said large scale gatherings, conferences, sporting events, concerts, in his view not safe until the fall of 2021, which is longer than some people are thinking yeah. I think theres a question how quickly you can make that vaccine. That will be hard to make. J j was optimistic well get to more of course coming up. When we come back, some of the calls that are out on the street today including some on netflix, another downgrade of deere, stuff on square and roku and other names as well. Were back ia men mont life isnt a straight line. And sometimes, you can find yourself heading in a new direction. But when youre with fidelity, a partner who makes sure every step is clear, theres nothing to stop you from moving forward. Stayathome when you say my authority, the president s authority. Its not me. This is when somebody is the president of the United States, the authority is total thats the way its got to be. Total its total. Its total the governors know that. The authority of the president of the United States, having to do with the subject we are talking about is total thats the president at the briefing yesterday talking about president ial authority in terms of reopening the economy even as governors of about ten states now work on plans to reopen parts of their economies next month Contessa Brewer is watching that for us today yeah. These governors think they have a better shot at getting it right if theyre working together rather than going it alone. You have the governors of oregon, Washington State and california in one coalition. And on the east coast, six states up and down that i95 corridor many of these people live in one state and commute across state lines to work in another the working group says they will develop databased protocols with representation from each governors chief of staff, a Public Health official and economic official. While theyre cobbling together this coalition, President Trump insists he has the Sole Authority on reopening we dont have a king. We have a president. That was a big decision. We ran away from having a king, and George Washington was president. Not king washington. So the president doesnt have tho total authority. The president is just wrong on that point this is a lot more than just political back and forth you need widespread testing before you can get the economy running again to prevent another outbreak cuomo says, look, i dont have these tests. Certainly dont want another bidding war between states like you had for ppe. Leadership from the federal government could solve that or cuomo suggests a coalition of states but opening the economy means opening schools, so that parents are not prevented from working by child care restraints you need mass transit to move those people back and forth. These are local and state level responsibilities the states need the federal government theyre running out of money theyre lobbying for 5 500 billion in the next relieve bill so some level of coop rag is best f cooperation is best for the american people. Are people thinking about opening up, including this group in the east and west, because theyre betting in the next three weeks well get many more tests from abbott which allows us in detroit where its working terrifically to figure out who has it and who doesnt im told illinois has thousands of machines, nobody is really using them its disorganized. They can contest that. Are people saying, you know what well have so much testing, so much contact tracing, so many antivirals, we have to be ready . Or, you know what . Good luck, everybody if its the latter, thats a little difficult jim, no one is saying that. No one and the reason why is because they say there is no way to know we have no idea whether this is a plateau thats sustainable its happening now because the governor says because of social distancing what happens when you start putting people gradually back into a workplace what happens if you decide to reopen schools and the children are largely asymptomatic but taking coronavirus back home to their parents . These are big, complicated issues there cant be one simple solution to a complex problem like reopening the economy its going to take a lot of high level detailed work to get this done the way theyre tackling it, by bringing in someone who can tackle Public Health, someone who can tackle the economic part of it, and someone who can tackle the government part, its their way of trying to figure out how do we come up with databased protocols all right that makes sense to me got to have something. David . Contessa, thank you the Contessa Brewer reporting on those various responses. On that subject, jamie dimon on the Earnings Call talking about when we get back to it and saying the consequences, of course, of reopening the economy, its beyond that, its mental health. Things like domestic abuse, so many reasons to try to get back. Hopefully he says sooner rather than later, but he says it wont be may, maybe june, july, august well have more on jpm, on wells fargos earnings, j j and the overall markets as we appear to have a higher open in store when we come back because theyre here. Working day in, day out. At t is here. Providing support with advanced services for First Responders. And connected temporary hospitals, mobile testing sites and Emergency Management centers. Because until their job is done, it is essential that we all have their backs. Its what weve always done. Its what well always do. There are times when our need to connect really matters. To keep customers and employees in the know. To keep business moving. Comcast business is prepared for times like these. Powered by the nations largest gigspeed network. To help give you the speed, reliability, and security you need. Tools to manage your business from any device, anywhere. And a team of experts here for you 24 7. Weve always believed in the power of working together. Thats why, when every connection counts. You can count on us. Welcome back to squawk on the street. Time for a mad dash. Jim, want to talk a little tesla. Takes me back to the days when we would mention that automaker rather often we used to be next to each other. Kind of didnt have to look at you in that beautiful house. Certainly miss downtown. Credit suisse. They go from sell to hold. 415 goes to 580. Nearterm expect supply shortages. They even have rent issues longterm, theyre so much better doesnt it feel like the old days a guy who missed the move, right . Had a sell on it but hes hoping to sneak it in doesnt know that we see that we have a show, and we can point it out that hes 415, going to 580. Credit suisse using this moment, the fog of war, to go from sell to hold. There you go yeah. For a stock that obviously is still up 55 this year yep thats right. 2020 tesla shares still up over 55 , jim david, i just think that remember, they dont have to advertise. People love them the other guys are so hobbled. That ford quarter yesterday was miserable. The tesla Balance Sheet is better than the ford Balance Sheet. I dont know yeah. It is its bizarre its a little superman like yeah. Yeah i dont know. Kind of a strange time even as jpm last night saying Global Auto Sales last two months is already worse than the financial crisis, and obviously were not done yet we do want to get to Steve Liesman this morning good morning, steve. Good morning, carl. The g7 just out with a communique in which they support an extraordinary widespread Debt Forgiveness for emerging nations and the poorest countries out there. Certain criteria have to be met, but ive covered the debt restructuring of the cosoviet union, greece, never anything like this. The g7 supporting widespread Debt Forgiveness this will be of interest to emerging market bond holders and others well see how this works and there are certain criteria involved but the g7 stepping up and actually acting with quite a good accord here given how they operated together before this virus. Carl all right, steve. Fascinating. Jim, you look at g7, looking at nations, lenders, landlords looking at individual renters, borrowers, the National League of cities has a survey that 2,000 cities are look at budget shortfalls this year and planning cuts in advance of that the debate for the next phase of lending from congress is something that Speaker Pelosi talked about on our show friday, what do we do about these hospitals . At least municipalities, you can issue shortterm paper but i believe theres a gigantic void where a lot of companies, a lot of hospitals are getting hurt a lot of hospitals rely on kindnes