Close, the dow down 57 points and the s p 500 down 2 and the nasdaq snapping a sevenday win streak so whats the take on the Market Action guy adami, made it in like under the wire, your box slid in there, appeared, bam, there you are. Sweet hi, mels hi, guy how are you so we talked about books we read in college last night. This is going somewhere, by the way, and last night i mentioned 100 years of solitude. I had to read the moby dick you might herman melville, remember that one . Yeah, of course its about 570 pages and someone like me you sort of skim it, but every once in a while you get to a page that seems important so you bookmark it, you know what im talking about . Someone like you that has the highlighters no, i didnt defile the books. Fair enough i defiled, but todays one of the days you want to bookmark and its for a number of reasons and i have no idea yet market reversed today, but the market reversed today and look at three stocks in particular look at the move in apple and look where apple traded up to. Look at the previous high sort of mid to late jan and early february and then look at the reversal look at facebook, very similar and also look at microsoft look where all three traded up to today and look at how they reversed on pretty significant volume i mentioned it because, look, tomorrow they could all go ratcheting higher and well take the book that we bookmark and well flip it back over, but they can also keep going the way theyre going and well see today was a meaningful day i happen to think for a number of reasons today was a meaningful day, and i think its one that well be talking about in the weeks to come i dont know why we reversed, but we reversed and here we are with the market. The number of stocks and the handful of stocks took it higher and those stocks were reversed in a meaningful way. I think moby dick is a lot longer than 570 pages. I think its over a thousand pages, but neither here nor there. I do think the headline, if you think about when the market turned lower it was around 310 or so when it really fell precipitous low. That headline was l. A. County stay at home looks to be extended through july. So to me, you had fauci today talking about the risks of reopening too early, and then you have l. A. Saying hey, its not going to be as easy as we thought, and a bunch of other states, i think, could detour whatever comeback there is or reopening there is i dont think it will be as easy as everyone thinks and the market is starting to price in maybe getting into the thick of the summer before we actually reopen the economy and thats what sold the market off today in my opinion. I think the moby dick is 500 pages and guy only read 500 pages of it and that seemed like a smoke screen when the markets are up and the markets are up on, and the markets are selling off on scent system about reopenings you cant have it both ways and i guess, you know, people are human and they think about things in different ways on different days, but at the same time, this was a technologydriven selloff here. Yeah. Well, people think about Different Things when different topics are brought up, and you say moby dick and i think great led zeppelin song. Yes, i agree l. A. County was sobering and fauci talking about college kids shouldnt be going back to school and the fed said theyd done a lot and the economy may have bottomed and we need more fiscal and the fed was part of the ingredients today, too. How about the nasdaq, if you look at the etf thats the nasdaq 100, the qqq, we talk about it all of the time and this morning if you look at momentum indicators it had a 72 nineday rsi which means its in overbought territory if you dont know what that means if you look at the vix the vix had fallen, volatility had fallen 40 in the previous five days to a place where volatility is oversold and say what you want about the fed putting basically a boot on the throat of volatility by buying etfs which well talk about later in the show. I think you get to a place where some of these moves are overdone even in the big picture of a market thats trying to find a base in an economy thats trying to figure out what the pace of reopening is so ill just take today and say its not a 500page novel. Its a case where weve gotten too far too fast and that the market doesnt really have big earnings to digest and here we are. I feel like a buzzer should go off or bells should ring because Karen Finerman has now joined the conversation. Ding there she is, like magic, thanks to technology. There i am. Karen, what did you make of todays selloff um, well, i on i didnt hear fully what theother guys said i do think we were overdue and weve had quite a run, and there were a couple of things to point to and one is the big treasury auction today. So right as that happened, and it was very well received, right at 1 chok we started to see a selloff so i dont know if that was people getting out of other things to get into the treasury auction and then i think at about the same time there was some noise about china sanctions from our side which didnt help, and i know guys pointed to that a lot as a potential risk to the market and those two things certainly didnt help this talk of negative rates doesnt help either and so those kind of thing, you mix them all together and throw in a giant run and its not surprising that stocks will sell off. I think that it wouldnt surprise me to see the selloff continue more and still that would be okay. Its really been quite a run. A smorgasbord of issues, guy adami, is the word that comes to me sure. There isnt one particular reason given the run particularly in the nasdaq that we had that it was just due. Yeah. My point about the book, you know, pages not withstanding is you know most days are days you just sort of leaf through and not a big deal and then certain days are important days and there are a number of reasons why we reverse and all of the reasons that tim mentioned are absolutely valid and the fact is we did and we did it at levels that are really important especially for those three stocks you mentioned the word smorgasbord, and the first thing i think of, of course, is the great paul linden and Charlottes Webb and i encourage you to think of it, and i want you to know that our crack staff, mel, i know you dont know okay. Thats enough before we get a letter from lawyers here lets bring in our next guest to get more on the selloff the lawyers dont like moby dick no, playing music that were not were going move on here. John stahl is the chief investment strategist of oppenheimer. John, great to have you with us. Hope you enjoyed that music and thats probably the last music well ever play on the show. What did you make of todays tech selloff in particular and the action in the market today after the close. Well, i think, melissa, from the point of view of literature, last week was probably Great Expectations and today it was oliver twist in terms of the darkness i think we have to figure tech was just waiting for some kind of a trim and a haircut,a maybe even a shave it got a little bit ahead of itself we would have to think that Technology Remains a great place to be. For longer term investors probably this begins to present an opportunity to look for babies that get tossed out with the bathwater if this goes on for a few day, but overall it was a change in sentiment that occurred fairly quickly because of all of the things the Panel Members all mentioned had and whether it was coming from the fed, whether it was coming from what nobody mentioned and dr. Fauci and gottlieb was on an ice call today theyre not saying theyre saying its a long way home from where we are right now, and that the openings around the country, there could be a serious setback and the market got nervous. How should we think about opportunities in the job market . I think youre saying wait, this is not the opportunity to get in at this point, but are you thinking in terms of valuations or are you thinking on pure percentage moves down 10 and thats a good time to get in how are you thinking about how this market should be valued at . Ive got to say from a point of valuation, think, the market the valuation is fairly stretched and the forward multiple somewhere 22, 23 times and a lot of that is to be expected because you have the situation where the market is a discount mechanism and looking ahead from where we get beyond this stuff while a consensus analytics keeps cutting ahead of the Second Quarter and likely even cutting ahead of the Third Quarter at this point. So with that happening, the multiple is going to extend and there was beginning to be a feeling like it would have respected people who start pat are passing out, and ground level, so to speak like telling her, and you should take precaution. Tim, youve got a question . Well, john, i guess if you think about well do the zeppelin metaphor here the song before moby dick on zeppelin 2 is ram mullon, and they are megacap stocks that are driving the rally and they need to take a breath and theyll ram bell on down the road because theyre defensive. I think they do ram bell on further down the road and i think today, one thing we saw very clearly that while the midcaps, they took it hard. The large caps, the megacaps and the nasdaq i think have more to come to the upside, but nearterm, you know, its a haircut, a trim and perhaps a shave. John, great to speak with you. Thanks for your time john stole thezfus, ram bell on, thats a song, right, guy . Yes, mel, it is i can sing it if you want. No, thank you whats your take it actually has some tolken lyrics my take is exactly that the market did get ahead of itself 100 . Here we are again that the 2850, 2900 level in the s p, that 50 retracement that bulls want to say is sort of a place well leapfrog from. Bears on the other hand, say well roll over from camp, and again, i mentioned those three or four stocks because i think today will be really important days and a few months ahead and say that was the day when these big stocks that took us high are. In terms of valuations because as long as estimates continue to come down so that changes, any grasso, i would think in this day and age, technicals would be more important than in the past. I think guy brings up an interesting point where we are talking about this 2792 level in the s p cash that is the 50 retracement. Just think about what that means with psychology. You have half of your money back and youve got half your money back those names that really did the heavy pulling are sort of running into resistance. They didnt lose half their value, but if youre sitting here saying i could have went broke on the selloff and now i have to get my money back, its a logical place to take some profit, but think about passive investing and think about etfs and how many hold apple, hold microsoft. So all of these names when people start diving into tech those are the names that rally the most do i think we lift off from here in no. I think its a good place to tack a breather and see how the reopening process works out, but ultimately the microsofts and the apples and the amazons will lead us high are once and yet again. Karen, do you think were in a Holding Pattern for now . Well, if holding is like a few percent more or less yeah, do i as tim said earlier, we dont have earnings right now to look at so its sort of more macro thing, but id just come back to that enormous run. I mean, we did see the vix actually spiked five today i dont think it was a oneday thing. So i think holding down four or five that would arent be shocking 4 or 5 wouldnt be shocking. Coming up, the comments that rocked the airline today what boeing sees for the troubled industry and the great bond bailout. What the fed did today that is history in the making. How our traders are playing this unprecedented move fast money is back in two. Right now, there are over a million Walmart Associates doing their best to keep our nation going. 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Beyond apocalyptic thats from boeing ceo lets get to phil lebeau thats the interview where everyone said hes on the today show, he gave us a headline and well talk about that a bit well talk about boeing and orders here today and this is the fourth straight month where the numbers were for boeing and this should not come as a surprise being that we are at the year mark of the grounding of the max almost 207 of the 209 were the max. Commercial airplane orders year to date, negative 516. So when you look at the backlog right now, it comes out to just under 5,000 airplanes. 4,834 planes remember, early in 2018 it was about 5850, 5900 that shows you how much the backlog has come down. Now to the comments from Ceo Dave Calhoun when he was asked pointblank by Savannah Guthrie whats his assessment of the airlines and what might happen heres the clip. Do you think there might be a major u. S. Carrier that just has to go out of business . Yes, most likely. You know, something will happen when september comes around. Traffic levels will not be back to 100 . They wont even be back to 25. Maybe by the end of the year we approach 50. So there will definitely be adjustments that will have to be made on the part of the airlines. That comment when you combine it with really the general concern about the Airline Industry and how quickly its burning through tens of millions of dollars of cash every day, that has pushed the airline stocks, most of them, melissa, theyre either at 52week lows or pretty darn close i mean, im talking within a few pennies of the 52week lows and that actually means there are multiyear lows for most of the carriers by the way, we reached out to boeing and did he really mean to say this that an airline was going out of business and he was talking about the general industry overall and the uncertainty that is out there. Lets be clear, if an airline were to go into bankruptcy it would not necessarily go away as many people have taken that to mean it could mean that its strictly restructured which is what has happened over the years with the Airline Industry. Right, but they may not be in line to be ordering new planes true. Its curious that the boeing ceo would come out and be so frank when its predictive of boeings book. Having seen the airlines go through bankruptcies its not like they immediately say thats it, we dont want new planes and they make a game plan in term was what theyre looking book and while they change their order book they dont completely walk away from the idea of buying new aircraft. Okay. Phil lebeau in chicago for us. Tim seymour, i go to you there are a lot of nuances in this and what i thought of and i dont want to make implications because this is very Serious Business were talking about, going out of business or anything like that in any company out there, but United Airlines had a Debt Offering last week that they had to pull. Yeah. It was reported that they had to jack that yield up to 11 and there were still no takers for that, theres not enough demand for this particular offering which is not a good sign for united and probably for the rest of the industry. It was a terrible sign on a day when and actually in the last two weeks we have an enormous amount of credit issuance, 75 billion will come this week and a lot of it is well established and high grade, but when you talk about the Airline Industry coming into covid19, if you looked at the Balance Sheets and the majors that were most at risk it was absolutely american and then united was there i think jetblue is someone we should be thinking about, but if you think about cash burn for the airlines, its not just opex and all of the costs that we know how about refunds . How about the case where a lot of these airlines will have to give back and uniteds been in the news for being stickier than others on that front i do think that this is a sobering message i do think that cash burn going into 2021 has to be a different story otherwise the status quo on cash burn using the metrics that most analysts are using make sense exactly what boeing said today what is reopening, karen, and you know, youve got to wonder is capacity in the prepandemic world going to be full capacity in the postpandemic world in other words, are airlines going to be as packed or because of social distancing and other measures theyll only be flying at 60 of capacity which is the new 100 capacity . Right i mean, i think its a demand thing. Would there be demand for 60 capacity, but also how are the planes configured . I dont know how youre getting at literally, how many people can you fit in a plane on a postcovid19 war than you did before think about if the government were not there with their multiple 24someodd billion with the industry we would have several major, major restructurings or bankruptcies and not necessarily going out of business, but i mean, im afraid of the industry as an investment i really hope it thrives and survives, but im afraid of it as an investment and i wouldnt be a buyer here. As somebody who likes to fly and travel, we all want the industry to survive and hopefully we get to the point where we can fly again and fly at reasonable prices and the other implication is inflationary price, grasso in terms of its a fixed cost to operate an airplane and if youre filling the airplane up a lot less its not profitable anymore. The math doesnt work. Yeah. I agree with that, but if you look at this, and i look at it as to where we came into this crisis and delta and southwest were the only ones who had an investment great debt across all three agencies so if you were looking for the most stable in an unstable environment, it would be those two airlines, and then you have to look at what travel is going to come on quicker Domestic Travel will come on quicker than an international. So you have to look at those domesticleaning airlines companies. Theres a whole thing that you have to look at here none of it is great. You have to look at what is the best in a very, very bad environment. Can you be pessimistic, guy adami, about the Airline Industry and not want to invest in it and want to be an investor inny booing . Thats a great question if they price boeing, absolutely im not shucking your question forget about the move to 90 in boeing boeing went up 100 . 100 in about two and a half, three weeks from 90 to 180 and no one said a word there will be a level to buy boeing as a trade and still be bearish on the airlines. I dont think were there yet in boeing i think theres another ten to 15 down side in boeing and to the rest of the panels point, i mean, these airlines have really not bounced in a meaningful way off their lows at all and the one that actually is maintaining some of the gains is oddly enough united which i think bottomed out about 17 and is trading at 22 now, but look, i think Airlines Continue to go lower, and i think theres probably a 110 handle in the near future for b. A. Quick, tim, are you still on boeing i am. I have a position ive cut half of it, and im hanging in there. Their commercial defense excuse me, their defense business in defense aircraft is a very strong business and the government will continue to be buying from them if anything theyll be buying more than they need to so boeing to me is very different than investing in an airline. Coming up, the bond buying bonanza. The fed entering Uncharted Waters today and what thai did and how it can have a huge impact on your money wfh forever what twitter did that is for the Real Estate Market fast money is back in two. vo our communities need help like never before and wells fargo employees are assisting millions of customers across america through fee waivers and payment deferrals, helping people stay in their homes through mortgage Payment Relief efforts and donating 175 Million Dollars to help hundreds of local organizations provide food and other critical needs. When you need us, wells fargo is here to help. A lot goes through your mind. With fidelity wealth management, your dedicated adviser can give you straightforward advice and tailored recommendations. Thats the clarity you get with fidelity wealth management. Welcome back to fast money. The fed making History Today and the First Time Ever at the end buying corporate debt etfs the unprecedented move driving an explosion in the corporate debt market. 910 billion thats how much corporate debt has been issued this year alone and that is up 92 from a year ago. Get this, according to a new survey by bank of america, Corporate Bond investors are now the most bullish they have been since 2006 so with the fed officially in the market, is it now the time to sell that debt . Guy . Im not a bond person, as you know, and the short answer is probably no. If theyre going to backstop things and its vibrant as the market seems to be, youre probably going to hold on, but with that said, you know where i stand on this and i think its ridiculous that theyre going down this avenue and the next stop is probably going to be individual equities at should point which is really ridiculous im a big believer in corporate darwinism. Allow it to manifest and let the chips fall where they may and the fed is just taking price discovery out of the equation. As much as id like to say sell into the fed, the old adage dont fight them probably holds true in Corporate Bonds, as well. Are you still short hyg, karen . Yeah. Im short hyg. Im short lqd which somewhat hedges against the banks and it didnt work out today. I think what the fed has done is just absolutely brilliant just by saying were going to do this in the future. They announced this in march and they didnt even get started until today and yet the sort of instantaneous healing of the Corporate Bond market is really extraordinary. You talked about those issuances and those are gigantic numbers which helps the banks and you have citi and j. P. Morgan and bank of america. Their Capital Markets desk has not been this busy in years and thats good for them i think its a bit of buy the rumor and sell the news in that we dont know exactly how theyre going to be putting the money to work, right we know its up until september 30th of 2020, although it could be extended and the first phase is going to be the biggest phase, what they call the stabilization phase. In my view, stabilization has already happened and maybe once a week, we might see an update on what they bought, and i dont know that they really need to put in all the work. Its successfully its been successful in what theyve tried to do which is stabilize the the credit market so kudos to them i dont know how get out of it, but maybe they can just go slow for a while and kick the can down the road. I dont know our next guest says the fed should not be buying corporate debt lets bring in jim bianco of Bianco Research. Jim, why not i think that theyre opening up a can of worms and just a little nuance in the conversation before, the fed started buying bond etfs today they havent yet started buying corporate debt thats still another ways away theyve got operational issues theyve got to work out and they also promised us that they will do it. And there was, as karen said a massive announcement on it late march when they made the announcement that all of the debt markets turned around and it opened up and allowed a lot of companies to issue bonds in order to replace their credit lines that they were drawing down on, but the fed is not going to then walk away, and theyll keep buying, but today was a watershed day in that they bought etfs. The big problem is i think that they got two full of problem, one, how to get out of it will be a big problem for them. Im not even sure how they even end it at this point i know september 30th is a date theyre going to end it, but technically, they need the treasurys approval to do that as well, too they need the treasury approval to change the programs in any way. Five weeks before the election, the Trump Administration is going to say, no, you dont have to keep supporting the markets anymore. So of course, that will get extended and then extended and extended and so they may have solved a shortterm problem in march and april that the markets were being dysfunctional, but as Warren Buffett said there might be extreme longterm costs here. One longterm cost jim could be in terms of short term solving the problem and theyre solving the short term liquidity problem. As we get out of this pandemic, we might have businesses and consumer behaviors that change fundamentally and you might have a solvency issue and the fed is holding the bag. The problem is how does the fed get out of this thing . Yeah. I think that theres two problems that the fed will have and the first is the solvency issue. The way the market is thinking about this, and let me use six flags or Carnival Cruise that has raised a lot of money is theyve raised a enough money for the debt market that they dont have to have revenues until next is imare and their argument is by the summer of 2021 they should be restarted at some point and bay pay off that debt, and the thats why youve got the most bullish there, and of course, someone bullished in the bond market, the fed is behind this thing and making sure it would be together and you buy six flags on the idea that you can get it through to next summer and then they can restart. So thats an assumption that well have to see whether or not that works the second problem the fed will have when you start getting the corporations is you have the potential for restructuring and you have the potential for strong make a vote on how to run the business they desperately might not want to do that, but they might be forced into that restructuring type of boats that need to be owing less than accomplished job on a bond that needs restructuring and theyll have an issue with that, too. Tim, do you have a question really clear thoughts thank you. Are we not now japan and ecb y mean, the ecb in the summer of 2014 used the exact same backdrop and by the way, were going to negative rates. Fed fund futures are there what is different about the fed than the boj and the ecb right now . The only big difference right now is like outside, we are going into negative rate, but the fed has been insistent they dont want to do it and jay powells going to speak tomorrow and supposedly hes going to say were not going to go to negative rates and then you can punch fed funds futures on your screen and youll see theyll price in negative rates and theyll supposedly not listen to them so they say they dont, about the japanese are very much in fife are on ever, but the bigger thing we have to be careful of in 2014 and especially 2016 when the japanese ratcheted it up, the liquidity in the bond market disappeared and its ten of where it might be two years ago. You take it over like that and shove out all of the private sector flares and it becomes a permanent fixture and the government itself. Thats a, they really cant do anything with their markets and their economy with it, andy hope we dont get to that point, as well. Jim bianco, of Bianco Research grasso, what are your thoughts here i respect jim, i like his work, but as he finished off he hopes we dont get there yet i dont think were there just yet, but what was thea t alternative, if march, if i didnt hear the fed make these statements where would the market have gone to . I get it, people want to see the chips fall and lie where they may, but i think the fed actually saved the equity market and if you look at the hyg, it jumped 24 from that march low, but its starting to roll over now, and people know the script. How do they play it from here and the bond backstop for the foreseeable future and i think i was in a Holding Pattern for many things during the next couple of months and i dont think we are past the point of no return just yet. Coming up, if you open it will they come the two very different takes on the future of the commercial Real Estate Industry later, hungry for a deal fast money is back in two. soft music [female vo] restaurants are facing a crisis. And theyre counting on your takeout and delivery orders to make it through. Grubhub. Together we can help save the restaurants we love. Welcome back to fast money. Its the worst of times in the commercial Real Estate Market did and it all comes down to who you ask. Listen to what we work ceo said earlier. 80 of our looks in april and may. On the collection side we collected over up70 of the rens of april and we are working with deferrals and freezing the rents and different aspects with them. Karens been tracking the commercial Real Estate Market. Karen, youre hearing less rosy things from some players that didnt actually sound that rosy to me, either. I was looking at the highest quality like the boston properes and we have a chart of that and if you look, it has bounced so little off the bottom. Its really been, its just really where the bottom is now and thats where it is even though rates are lower and normally thats been good for the space and theres a couple of giant macro issues that i dont know how theyre going to get out of it. We work had been a giant bare of real estate and probably moved prices up and theyre obviously out of that business now i think we may have talked about it when google had their Earnings Release a couple of weeks ago they talked about real estate being an expense that theyre going to rethink and theyre obviously not the only one, and then i think the twitter news today was actually really big, and the idea that some employees will be able to work from home perm minutely, it is so much broader than just twitter because Silicon Valley companies they all want to have the same benefits that Everything Else has so they dont miss out on the engineering talent, it wouldnt surprise me if other Companies Offer that same thing. You put that together and with the pandemic, i mean, were in a very different world for commercial real estate now i think a name like a boston property survive, but there will be some have notes as well i dont have any exposure in this space there are some Quality Companies out there, but i just havent been a buyer yet tim, it does sound Like Companies are going to look hard at what they can do remotely if they can offshore so to speak some of the costs of a footprint to their employees, why wouldnt they tim . You know, technology is a wonderful thing most of the time until a shot is frozen such as tims. So thats what i was i thought he was just ignoring my question which sometimes he does guy, ill pose the same question to you i forgot the question [ laughter ] the commercial karen brings up a fantastic point. I mean, all you need to do cbr is another name you want to look at, but bxp specifically bottomed out at 77 and rallied to probably 90 and here we are, 78 bucks these stocks are trading as if they want to make a new and this is want just a 52week low these are multiyear lows youre talking about and the ramifications are absolutely very broad so again, this is just one more element as much as id like to sit here and say once we get a vaccine and the world will be back to where we were, i dont think its that simple and i think a lot of things have fundamentally changed and the comments out of twitter, jack dorseys comments speak to exactly that grasso, youre nodding your head. When you look at it its funny when you talk to my friends who are in commercial real estate they tell you that things are going to be better than ever once we get back because people are going to need twice the footprint for social distancing so it depends on what prism youre looking through this, but i have a hard time believing that they a bullish scenario that sets up in city centers and within the reits and within commercial real estate because technology has made it so efficient. Would you have ever thought a year ago that wed be able to film this show, granted tim might freeze every once in a while, but we area able to do this from home so there are many other companies that will continue that trend and many other employees that dont want to go back to an office, so its a negative horizon that will continue to be a headwind for commercial real estate and retail real estate, as bell. You guys dont know i might have a button that freezes you on purpose [ laughter ] imagine that bye, guy coming up cooking up a deal to take it throughout the big boost dont wave goodbye one options trade just made a 4 million on the biotech breakout well have the details and come right back take allegrad. A nondrowsy antihistamine plus a powerful decongestant. So you can always say yes to putting your true colors on display. Say yes to allegrad. Happy birthday so, it goes. Hold up your answers. How is mickey doing today . Youre just a really hard worker. Welcome back to fast money. Deidre bossa has more on the story. Hi, deidre. Hey, melissa. That combo, an uber grubhub combo would combine two of the biggest players in this space and it would catapult uber ahead of the current number one doordash, but our david faber reporting that the two parties remain at odds over the price. Now such a deal raises a larger question about ubers future, would this be an offensive or defensive move and of course, its ride sharing business has been crushed, this deal could make uber more eats than rides its success as a food delivery company, though, that is far from guaranteed and it could actually push ubers profitability target further out. The eats business loses hundreds of millions each quarter and even as the pandemic kept people at home toward the end of the first quarter. Eats gross bookings slowed as you can see here significantly from the previous quarter. Another question, melissa, is regulatory scrutiny if such a deal does move forward this afternoon, the house antitrust subcommittee chair issued a statement calling uber a notoriously predatory company saying, quote, we cannot allow these corporations to monopolize food delivery which hits on a whole other set of issues for these companies and this marketplace. Thank you, deidre bossa this deal would combine the two biggest players in the Meal Delivery space in the United States karen, can you see how this makes sense . I think that if you think about the market and the market before the pandemic and the market now during the pandemic, maybe that total Addressable Market has actually increased because now maybe people are more willing to use some of these services than they were before right i understand why uber wants to do it and its a land grab in the space and the last point that deidre brought up about antitrust is real. I think its sort of a its you can imagine that thats a hotbutton or good political argument to make that you care about your constituents and them having some choice and pricing power. So i think if they do come to a deal it will trade reallywide because that is a legitimate risk grasso, your thoughts especially for a company that has come under regulatory scrutiny for the other part of the business which is the ride sharing . Well, i think at the essence of it, first of all, lets start off with grub hub had a 20 short interest, and thats why it popped so aggressively on the news today the secondary question is theres no money and pricing in food delivery right now and its all promotional and if this is the first step in it becoming a profitable business, then kudos to iebeuber, but as far as putt it all together, and grub hub was the original player and uber has the technology and the marriage makes a ton of sense, but where does this go as we move forward even if pricing comes back, do we move from food delivery to prepared meals delivered i dont know where it goes when they were first pricing the ush ipo, and they look at onesixth of the total pie so if you look at the percentage basis i think uber is trying to make something work at this point, so uber, great company. I dont know if it translates to the two Great Companies making a Greater Company together or two companies that lose money losing money together. The other way to look at this is yeah if uber does make this acquisition, does that make you like the business more or less than say a lift which is pure play i still say you stay with lift and in this case, two negatives and math not withstanding and you go back and look at grub hubs quarter and i think they reported last week and may 6th. They called them daily average grubs, in and of itself thats somewhat disparaging, but you only had 1 yearoveryear growth so grub hub may not be too cute here. Somethings going to get done and i just dont think those two together makes whatever comes out of it more valuable entity in the game of would you rather are you you were going to say lyft [ crickets ] guy, i lost him did you freeze him . I guess i hit the freeze button by accident for those watching at home, guy would say lyft coming up biotech touching a fresh alltime high today before pulling back, but one options trader ibeinons ttg a breakout ahead. Well bring you that trade when fast money returns feed a healthy lifestyle, with pure protein. High protein. Low sugar. Tastes great high protein. Low sugar. So good. High protein. Low sugar. Mmm, birthday cake. Pure protein. The best combination to help you stay fit. Pure protein. Swithout even on yoleaving your house. Just keep your phone and switch to xfinity mobile. You can get it by ordering a free sim card online. Once you activate, youll only have to pay for the data you need saving you up to 400 a year. There are no term contracts, no activation fees, and no credit check on the first two lines. Get a 50 prepaid card when you switch. Its the most reliable wireless network. And it could save you hundreds. Xfinity mobile. Welcome back to fast money. The ibb etf, and one investor made a 4 million tech is just beginning. Mike khouw has the action. Mike so ibb traded about five times the average daily call volume today and to understand what was going on we need to look back to april first when this trader bought 8,000 of the june 120 calls today they sold those for an 11 million profit and took the proceeds and then spent 4 million to buy 11,000 of the june 138 calls for about 4 million in premium obviously, the buyer who was previously bullish and profited handsomely from that position has now made an even larger sized bet that this run in ibb could continue and you take a look at the biggest constituents in ibb and you can imagine why that would be and these are all names that have exceptionally well lately. I have to go to guy on this are you there, guy, or have you hit the pause button on us i think hes hit the pause button on us this is unbelievable this is unbelievable steve grasso . Whenever you try to invest in this space, you want to go to the ibb because you know nothing about it and no one has an edge in any single stock. To mikes point on the ibb, you have amgen and you get vertex and regeneron and biogen so those names account for more than a third of the ibb. Its up 11 year to date there is going to be more therapies, more vaccine news on the horizon, so instead of trying to pick the one, were not scientists and even the scientists dont know, so i think youre better off buying the ibb and hoping that youre getting exposure to the names that will partake in whatever therapies that are moving forward. Guy, my feelings are hurt are you hitting the pause button on us . Why what did i do . I kept talking to you and you wouldnt respond. No, i didnt hit any pause button quick thoughts on ibb. Because you see this my ifb and i can tell you what that stands for. Ibb, ive liked it for a while and i think you stay with big cap pharma, mels. For more options action, by the way, thanks, mike khouw. Be sure to tune into the full owriy at 5 30 p. M. Eastern time up next, you have the final trade. Truly transformative sleep. So, no more tossing and turning. Because only tempurpedic adapts and responds to your body. So you get deep, uninterrupted sleep. During the tempurpedic summer of sleep, all tempurpedic mattresses are on sale time for the final trade tim . I will not put you on pause, mel. The ibb, as you talked about last block youre talking about a fiveyear breakdown with some of the best Balance Sheets in the major markets. Ibb steve grasso . Specialty pharma, a Bausch Health companies, bac. Got pummeled it looks like it paused to build and up 10 to 15 quickly. Karen yes im doing this which is a gesture for doing nothing. Guy blackstone, bx. Thanks for watching fast. See you tomorrow jim cramer starts right now. My mission is simple, to make you money im here to level the Playing Field for all investors. Theres always a bull market somewhere and i promise to help you find it. Mad money starts now hey, im cramer. Welcome to mad money. Welcome to cramerica other people want to make friends. I just want to try to make it so you dont lose too much money. My job is not just to entertain you, but to educate, teach context. Call me 1800743cnbc tweet me jimcramer. To reopen or t