Resee recovery in retail sales dow down 271 session lows 59 minutes left of trade the nasdaq has been the underperformer is actually off its lows were kind of moving around, as we speak, in the final hour. All the major indexes are lows ahead on todays show, well speak to mike sievert. Well get an upgraciointergrac sprint and the president of the university of arizona will outline his plan for the fall semester as cases and hospitalizations rise in that state. Well focus on the big stories were watching at this hour Steve Liesman with details on todays jobless claims will is digging into Big Bank Earnings and meg has details on johnson and johnsons results. But, steve, start us off with the jobs picture. You know, were getting two different stories from the jobless claims one of improvement and one where the improvement has kind of flat lined. Well take a look at the numbers. Claiming coming in at 1. 3 million. Above expectations dow just 10,000 on the weekly jobless claims thats kind of flat lined. But the continuing claims down again. A good number down 400,000 but high at 17. 3 million and the pandemic unemployment assistance with those not typically eligible freelancers and contractors, still a big number 14. 3 Million People receiving that take a look at the chart, we rocketed up to 6million a week. Huge numbers it came down steadily but it kind of flat lined at the 1. 3 millionaire that causes concern about the jobs picture however, the continuing claims number does not. The Michael Gapen reported the rate may be hiring in the northeast but statement its slowing in the south retail better than expectations. Here is what we get after most the big numbers are. Down 32. 5 for the Second Quarter. Good bounce back in the third quarter. And, again, in the fourth. We dont make it all up for the year the median forecast of the economist down 4. 4 for the full year 2020. Sara i feel like people in washington arent talking about or thinking about as much as they should be the expiration of the extra Unemployment Benefits when they run out. I know this has become a partisan issue and, you know, theres talk of doing something, steve. But what will happen if they dont extend that extra 600 bump i dont think theyve appreciated how much that extra money has held up the economy and its a direct line, sara, from the stronger retail Sales Numbers weve had. There are several studies that helped retail sales really help keep the economy being worsen than it otherwise would be even though its pretty bad. And you are absolutely right you shouldnt feel that way. You should know that way because if they were so concerned, how is it possible thaw left it well into the second half of july to begin debating what is going to happen when these benefits run out at the end of the month. Right. Exactly get something done all right, steve thank you. Stocks are moving in Different Directions wilfred, what is the story as you said, moving in Different Directions because we got this classic snapshot of Investment Banking versus commercial banking Morgan Stanley first smashing estimates on both the top and bottom lines every business line beat expectations as with the other Investment Banks, fixed income currencies and Commodity Trading are attracting the most attention. They also saw their provisions fall from already relatively low 407d million in q 1 to 239 million in q 2 bank of america also beating on both lines and had strong trading revenues but the stock trading due to the obvious signalty of the Business Model net interest margins falling to 1. 87 . Their provisions of 5. 1 billion obviously way higher than Morgan Stanley given the totally different business mix but better than expected in a smaller quarter over quarter increase than others like wells fargo. M bank of america is down 30 wells fargo, by the way, down over 50 year to date. Its a nice snapshot with the different performers another swing factor Going Forward is capital returns to shareholders here is james gorman on that. Were talking about 10 to 10 billion of excess capital and still laggering for some relief on the not to get too weedy about it but the way it calculates in compensation we want World Class Technology and invest in that and the next generation that jim is talking about that is critical to the future growth. We should increase our dividend and we should be back on the buy back trail not just yet lets get through the new stress test in september. Lets see how the economy performs in the next three to six months but 2021, you know, Morgan Stanley should be doing something for the benefit of our shareholders and for our clients. We certainly are not there yet, sara, in terms of reinstating buy backs. But an optimistic call on the analyst call and the interview from james on the possibility of getting that and, perhaps, if youre looking for why Morgan Stanley is doing better than Goldman Sachs year to date it had a Better Capital performance in the stress test and may get to that point sooner than Goldman Sachs but either way, the clear winners of the week are Goldman Sachs and Morgan Stanley and then once you go into the commercial banks, its the ones that have bigger exposure to trading within them like jpmorgan that have done best and the ones that are pure commercial banks like wells fargo who have done worse. So, are you saying that wall street is finally really starti starting to differentuate between the banks in theyre not just trading as one group based on where the 10year yield is. Based on their exposure you highlighted. Yeah. Absolutely the Investment Bank performance versus the commercial Bank Performance shows that year to date then you throw in within the commercial banks the bank of america down sort of 30 year to date compared to a wells fargo down 50 year to date. Theres differentiation. The one common theme that units all of them, whatever that business mix is, sara, is the tone on the jut look for the rest of the year thats one of uncertainty. And that is the little bit of surprise that you get when you look week to date, kpw is higher 1. 4 if you went off the tone of the macro outlook, you wouldnt have expected it to rise this week. And, of course, coming off the low base for a sector that is declining sharply year to date explains why they are higher banks lower for the most part today. Johnson johnson out with results today. The Company Giving an update on the vaccine candidate. Meg has the latest. Hey telling us this morning the Company Plans to start its phase one trial of its Covid Vaccine next week. The first human trial will be more than 1,000 participants between the ages of 18 and 55 as well as a group 65 plus to include the vulnerable older population theyll start this the 22nd in belgium and the following week in the United States saying on the call they plan to start a phase two in the netherlands, spain, and germany and pursuing a phase one potentially in japan now that lines them up, if all goes well, to start a phase three trial. Theyre in discussions with nih at the end of september. That puts them a few months behind pfizer that is starting the phase three this month and astrazeneca in august. But j j has a lot of manufacturing power. And the ceo told us this morning on squawk box. We have two in our netherlands facility we have added to the capacity and signed some definitive agreements with contract manufacturers here in the u. S. Well be able to supply at a run rate of probably better than a billion vaccines by the end of next year. And, guys, here is how it lines up all the projections weve seen from the frontrunner companies in terms of how much theyll be able to supply pfizer 100 million doses this year. Astrazeneca already signed agreements to supply 400 million doses and a billion at the end much next year and j j with the billion forecast, too. This is why everybody says multiple vaccines are so important to be able to supply the whole globe. Back to you. Yeah. A lot of people are going to need them. Meg, just a quick question on this study that made the rounds. It was published over the weekend from Kings College in london about antibodies showing antibody responses may actually wind down after as little as two months and i wonder what the vaccine implications are for that and if its denting the optimism weve seen this week over the breakneck speed the manufacturers are coming out with the trial. Its a question people are paying attention to. You hear a lot of talk about the rest of the tcell responses those are getting a lot of attention paid to them and the astrazeneca results well see on monday published as well as for moderna. The idea the antibodies dont last that long, do the tcells last long enough to provide immunity these are things that will be studied in the large trials coming up. Meg, thank you so much. After the break, well speak with tmobile ceo about how the integration with sprint is going so far plus, a big new push to prevent robo call scams. Youre watching cnbc experience the adventure of a bigger world in a highly capable lexus suv at the golden opportunity sales event. Lease the 2020 nx 300 for 339 a month for 36 months. Experience amazing at your lexus dealer. Experience amazing hey lily from at t here. With some helpful tips. Tip 1 you can currently get the amazing iphone 11 for halfoff on at t, americas Fastest Network for iphones. Second tip you can put googly eyes on your stuff to keep yourself company. Uh for example, thats heraldo. Hes my best friend. Oh, sorry nancy, i forgot you were there. Get the amazing iphone 11 for halfoff on at t, americas Fastest Network for iphones. Americans have lost more than 80 million this year to scams related to covid19. Between may and june alone, scams focus order the virus soared 70 tmobile hoping to protect its customers against those scams and others with its new scam shield its a Free Initiative including enhanced caller id, a free second number, and scam id and blocking our producer claims he gets more robo calls than calls. How are you helping to deal with this in a way your competitors arent its a huge issue thats what the uncarrier has been about we figure out the pain points bothering people in this industry and we tackle them to your lead in, i mean, these losses people are experiencing here during covid, its just shameful last year there were 58 billion robo calls placed in this country. People lost 10 billion from the crimes that were pursuant to the calls. Thats nuts. So the industry is just got to do more. Thats what todays breakthrough announcements were about so my question is, how much is it going to cost. It follows the strategy of john legre announcing the uncarriers and worth it and added to market share, now youre a different company, a combined, bigger, solid number three player, is it worth the cost of doing the add ones of course and, you know, the answer is really we first just do what is right and solve the pain points. People love that about us and wind upcoming to tmobile. Were a Growth Company we felt compelled during the quarter to update our guidance we would not do zero to 150,000 new postpaid net ads but more like 800 to 900,000. Were a Growth Company and we need to do more to solve the pain point in the industry you mention verizon. Theyre profiting from this initiative we say things in the industry have to change at verizon you pay 7. 99 for a feature that would protect you from scams and robo calls. Already tmobile is 30 better than everybody else. This is a huge problem we shouldnt be profiting from the robo calls that our networks are helping to bring you the Ai Technology will identify the calls and stop them. And every customer is going to get a scam shield app that allows them to provide us with direct feedback as to which calls were scammed so next time you get the calls, youll be able to with a single touch tell us they were scams and that informs the ai engines in our network and it gets better and better and better and better even without todays announcements. We blocked 25 billion robo calls in the last three years alone. And 11 of our traffic was blocked or identified as scam calls just in the recent weeks this is a huge issue its the number one complaint to the fcc and we knew a comprehensive endtoend solution was required. Thats what scam shield is all about. As you consolidate sprint, do you think prices will stay where they are or do you think well see a price war rise fairly soon again . Well, two things. First of all, yes. Solving pain points has gotten us here. We have done 16 breakthrough uncarrier moves so far each one identified something customers were passionate about. Customers give us credit for addressing the big issues in this industry and changing the industry for good. And thats driven our brand. But to your point, look, people want a couple of things on top of that. They want a great value and they want a Great Network thats what the new tmobile is about. Were building the worlds best 5 g network with the unique resources of the combined company. Were also going to bring a new level of competition we have the cost structure to enable it now. Well bring a new level of competition starting with our unification under the tmobile brand coming up on august 2nd. I think, you know, at t and verizon should be a little bit nervous about that. Well, how is that the integration going . Breit is expecting about billions of dollars to come in the next few years. Its going fantastic. Were ahead of schedule. You know, now the government did accidentally give us an extra year to plan this merger so, you know, its not surprising to have itscheduled its ahead of schedule our team has done a phenomenal job getting this network built faster than we had expected. We already had mid band 5g, the center piece of our strategy we have it deploy in five of the biggest cities new york, l. A. , chicago, philly, houston big cities and people are seeing 300 meg bit per seconds average. Thats ten times faster than 4g lte across the country, 23 of the hand sets are seeing 5g. 23 availability we think its best in the world. You want to know what the stat is for verizon now if you have an enabled hand set, 0. 4 so verizon has been breathlessly talking about 5g for years now the truth is, their strategy based on millimeter wave wont reach people the way ours is its Game Changing speed and capability. Pivoting a little bit away from tmobile. Everyone is expecting 5g is a gamechanger for Companies Like apple. Even 23 of yours is the highest. Thats still pretty low to suggest everyone will be transitioning or need to transition or have a benefit from transitioning to a 5g hand set until much later next year. Right i mean, even though this has been talked about for awhile, were at the beginnings of the game this is like 2010 in 4g when verizon jumped out in front of everybody. And you saw how that changed the Competitive Landscape through the 4g era they were able to claim a mantle of network leadership. Weve jumped out in front of everybody in the 5g era. And customers will be benefitting from that for the next decade. And i think itll change again the Competitive Landscape as people realize theres a clear leader in the 5g arena and that is tmobile. They dont appreciate the benefits that have yet but they will. When will 5g hand sets be necessary for consumers across america . I think theyre going to be table stakes next year i think well see broad availability this year i certainly hope we do and so this is the formative year where already on the android side the biggest flag ship hand sets have 5g and they have our 5g strategy built in but im hoping thats across the board or later this year well have to see what happens in the industry. Its important the networks are here now and the capabilities are here. Were building the highest Capacity Network in u. S. History. Were finally breaking down the tradeoff people need to make. Am i getting the best network or the best value well be uniquely positioned to deliver both to consumers and businesses. E ya. That will be a big question mark whether apple comes out with a 5g phone as early as september generally on the environment and the recession, now that states have opened back up, are you seeing any improvement are you able to open the stores and get the promos through in a way you were not over the last few months on a related note, what about Small Business thats one of the reasons we timed this integration for august 2nd we originally had a 90day plan putting it at july 1st we did push it out about a month because of covid we were telling people mid summer for the integrated launch today we unveiled its august 2nd. It shows were seeing interest out there. People are coming back but, look, its important we do it safely across the country tmobile requires masks in our stores its not optional. If people need special accommodations were able to meet them over the phone or outdoors were doing everything we can to keep our customers and team safe in order provide this essential service to consumers and, you know, consumers and businesses, to your point, have realized through this crisis that this service is essential thats important as we enter the tighter economic circumstances that as we unfold following the pandemic and people