Deal to buy the company could come in next few days and theres a third bidder enter the fray walmart, wait, what. Thats right we have the details walmart entering that one. The sports world at a virtual stand still. The nba pauses playoffs to put a spotlight on Racial Injustice in america. The Houston Rockets owner will join us. Well talk about that and the hurricane as power lunch starts right now thanks stocks are giving up sol me of their early gains. Bob has the latest for us. Banks and health care are leading but most Everything Else is down. Sell off in the middle of the morning. That as an attempt to take some profits on tech stocks these sell offs dont last long. Look at the triple q here in is the nasdaq 100 at a new high its a rule here it goes up for four days and maybe down one day we have seen this for a couple of months now. Here you see the teams to sell it off it doesnt last very long. Theres been a lot of people arguing, look at the megacap tech names its time for a pause in this relentless work from home digital story. All the time these stocks going up apple was 510 earlier in the week thats not far considering it was only 470 just a couple of weeking ago. No siphon the big sell offs. Just modest, midday moves to the down side. Two big stories, that rapid test from abb tt has helped the travel and leisure in is a big help for the reopening story you see it from the airlines as for the powell speech theres a lot of people arguing with the fed arguing to keep rates lower for longer and tolerate higher inflation levels, many are arguing maybe the market is starting to fully price in the whole rates will stay longer you can see the bank stocks moving up today as we saw rates on the longer end of the curve move up a little bit inflation running hotter that might not be bad overall for yields on the longer end of the curve there. A lot of people trying to debate is the fed story now fully priced in. Well keep rates lower for longer i think that mr. A big debate as we end this month and go into the fall thank you, sir. Lets bring in steve for more analysis and reaction. The fed making a historic change to its monetary strategy. To become the first Major Central Bank to put in place they have this 2 inflation. Now its a 2 average inflation when the fed if it needs to, if inflation runs allow to allow it to give moderately above 2 to hit that target over time. Less than an hour ago on cnbc c with kelly evans, there is no formula to this. The new frame work says were likely to let inflation run moderately above what does nod rmoderate mean . Probably 2. 25. You heard the i flags target was symmetric. Doip i dont want to run persistently above or below for me that hasnt changed another major change the fed added to its statement it will be more concerned about unemployment being too high rather than too low. Really rejecting this long standing connection economists positive between low unemployment sparking inflation. The fed felt it was like a hamster on a wheel aiming for 2 inflation. Missing the target seeing expectations drift lower. Its trying to break the cycle saying ahead of time its aiming for an average inflation rate. The fed will let inflation run hot for a time kelly. Its interesting because theres a split between the idea that this is a huge change and inflation is coming and bubbles are coming and then the concept that the fed is not going to be able to do this and you know, you look at inflation, break even is lower today. Real rates are still very negative bond yields are extremely low. It doesnt feel like theyre kind of setting off alarms here. I dont think it should i think the question really is what is the fed do when it hits higher inflation whether or not the markets, bond markets, average consumers believe the fed will really let inflation drift higher for decades, central bankers have been trained, high inflation, raise rates this time they will have to keep their finger off the trigger if they will be believed by markets. It will take some time for them to believe it. Thank you, sir. Big day. Theres more tomorrow. With fed chair powell promising lower rates for longer, did he give i vesters the all clear to keep buying stocks remember the kids game, red light, green light did he say green light thank you for having me to some extent i believe they did today. It was measured. It was not a surprise. I think most importantly, there was no sense theyre going to pull some magic trigger when unemployment hits a level that is predetermined i think that was very positive for the market and when the fed is on our side, we believe thats a very positive tactic. You see this as a risk on kind of market, right . Or keeping risk on. We already are fully invested. We are still overweight, u. S. Equities to some degree and so this is reaffirmation of that type of positioning. Michael, as i listen to mr. Kaplin express the rad dical thought that inflation might run a quarter or half point above 2 i was prepared for them to say were letting it go to 4 . He didnt say that at all. He said 2. 25, 2. 5. This seems like no big deal that doesnt sound like very much to me either. Just because the fed says they are willing to tolerate greater levels of inflation, doesnt mean it will get any with the Unemployment Rate north of 10 with 27 Million People still collecting jobless claims through early august, its going to be hard to see inflation any time soon. Combine that with some of the Structural Forces of higher debt levels, aging demographics and technology and i really see a real challenge to getting inflation at much higher levels than we see kind of in the last decade or so as we turn the corner and talk about where to put our money now, michael, has the fed just basically said to bond invei investo investors, forget about it the fed has created a very atr attractive environment for holders of financial assets. They protected the economy from recession. Keeping rates very low inflation continues to be below their target and every time volatility strike, they are willing to step in with ample liquidity and the smooth functioning of markets that signals a pretty clear green as it relates to investors. We Like Technology thats defensive growth. Consumer discretionary as the labor market continues to repair itself and we expect more fiscal policy to come through we think the consumer will do well well compare that with staples where youll still get Dividend Income and a defensive posturing as well as the consumer continues to recover what happens if the market gets too popular we were showing tesla rallying again today. We believe s p is run higher here its going to be difficult when you dont have a stimulus package on the horizon you have the elections looming we still dont have a Health Solution there are a lot of things that can present head winds to the s p 500 as we move ahead we are still, again, overweight equities we still Like Technology, health care we have a little expez yoosure n discretionary. We expect there could be head winds and we would be prepared to readjust as necessary all right, folks. Thank you very much. We appreciate your time. Kelly. Theres a big initial reaction in the bond market to powells speech but then the action reversed. Rick is tracking all of the fall out for us rick i guess it all depends on which part of the yield curve you focus on low r fer for longer may be truo t bills and two and three year notes. You look at an intraday of 5 at noon central, 1 00 eastern when the tremendous 7year action wrapped up, you see the drop you dont really see a drop. 30s was even less. You hardly noticed at all. The fact that investors couldnt get enough of yesterdays five year or todays 7 year and yields are up dramatically gives us a lot of info lets look at the yield curves right now its 57, 58 basis points the steepest since early june and all based on the long end. Lower for longer, you have to depict which part of the curve if inflation gets out of control, they will be hard pressed to control the long end. Look at the break evens. I heard you talking about it earlier. Here is the 10year breakeven. They are probably some of the hottest number wes have seen since january. It really goes to the point that the fed cannot control how the demand in a society, in a Global Economy with broken supply chains if a vaccine comes, how will all this liquidity in the system will propel markets even further than they are now. At the end o f the day, the policy changes probably arent add large as they portrayed. Its the timing that seems to be bugging people the most. Tyler, back to you thank you very much nba players in discussions to resume the playoffs after halting games last night over the Police Shooting of jacob blake in wisconsin the Houston Rockets owner will join us. Plus, hurricane laura sweeping across the gulf hitting louisiana right near one of tilmans casinos on lake charles. Well talk to him about that and more right after this eabrk. Nba players reportedly deciding just a short time ago to continue to basketball playoff season although the details are still being worked out this following growing player protest in response to the shooting a couple of nights ago of an unarmed black man. Social and racial unrest throughout the country after that Police ShootingHouston Rockets owner joins us now on the cnbc news line from houston. You have lots of storms to deal with lets start with the nba storm i understand that the owners had a Conference Call earlier today. What can you tell us about the latest in the talks to resume play in the nba . Well, let me say this this situation with the players is really not a storm. This was a pause that they took yesterday. It wasnt a boycott against the nba or the board of governors or owners this was them struggling remember, theyve been inside of this locked up area now since july 1st i dont care if you lock me in my house or one of my most beautiful resorts, if you told me i couldnt leave for a couple of months, its hard theres a lot of frustration because theyre having to watch whats happening in the world and dealing with the pandemic and dealing with the families and these situations that keep arising. You know, i think they just needed a pause theyve been playing every other day. These are our partners were 50 50 partners if we do well, they do well. If the league doesnt do well, none of us do well they realize that. They really just wanted to pause for day and reflect and theyre really struggling. I understand one of the things, if somebody ever said to me, why are you successful and i would say ive always tried to put myself in other peoples shoes its one of the reasons i think i have many, many of my senior people have been with me 25 and 30 years im with these guys. I get, i understand it i support them were going to all work through this together. The nba will probably resume tomorrow i dont know for sure. I know the players are ready to play and were ready for them to play and the fans are ready for them to play well all get through this yeah, i take your point it may not be my words, a storm i respect that thought it feels like more than just a pause under stressful conditions this was an extraordinarily powerful statement by the entire player cohert of the National Basketball association and many of the coaches as well this was the ultimate use of the platform that they have in the furtherance of their views and their beliefs about racial justice. I dont know that you can see it any other way than that. It was the ultimate use of their platform which they are empowered to use you know what, theyre human beings and they have a right to do whatever they want to do. Were partners in this if they choose not to play, thats their right it hurts them financially and it hurts us financially and it hurts them all the other ways. It hurts us all the other ways thats just the way it is. I try to think of it as a pause. It started out that the Milwaukee Bucks were struggling with it. They didnt know the orlando, they admit was a mistake we were coming up next us in oklahoma it just kind of snowballed i love that they all stood together and they didnt leave milwaukee out there by themselves even though it begun with them. It went from that game to our game to the l. A. Portland game, the wnba, the Major League Baseball and this is the world we live in today we all have to Work Together and recognize what other people are dealing with and its a different world. Its a different generation. If youre not a flexibility person and you dont see other peoples views, youre not going to do well in this world today i respect them i stand by them. Theyre my partners. Were you surprised . Youre always surprised im surprised that i had a pandemic and the biggest hurricane to ever hit louisiana and one of the biggest ever to hit america go right through the Golden Nugget last night that i watched till 6 00 this morning you just pick yourself up by your boot straps and you move on you look forward to 2021 that is where the real storm was last night, for me youre talking about a huge property that contributes a lot of ebitda to my company. S you are hope fful that the na will resume play tomorrow . Im very hopeful. I know my team, the whole team just went to practice together im just assuming from scheduling because you missed yesterdays games and todays games. We were scheduled to play again tomorrow i havent heard it officially but i assume well be playing in oklahoma ci Oklahoma City tomorrow and im assuming well beat Oklahoma City tomorrow. That is good news and it was my characterization. Extraordinarily powerful statement of a group of people standing up and saying this has got to stop. I think on that, the message was ultimately clear lets turn to the Golden Nugget. The other day when you were here, you said that the Golden Nugget in lake charles was going to be a command center because it was right in the path of this hurricane. How did that property get through the storm . What are you hearing from people on the ground to the extent youre able to talk to them about that casino and others i saw video of nearby building whose roof was blowing into or onto the Golden Nugget i couldnt tell whether it was part of it or not. Thats one of my towers i have three towers there. We definitely have some issues well work through those issues again. Right now were we had over 900 rooms. We had Energy Companies and a lot of the oil refinery people no cash customers but essential people right now just like we lost all the Weather Information out of lake charles last night because of 130 miles an hour winds we lost them, the whole water system in lake charles was demolished were trying to get water right now. Were going to probably buy water to run a huge casino we had a lot of damage which is maizing. We built a Good Building there theres a lot of damage in the area its a very powerful storm you pick yourself up by your boot straps and move on and you do whatever you have to do to continue to be successful. You are no stranger having livered through the hurricane several years ago in the houston area that was such a cataclysmic water event as much as anything. This sounds like it was water and wind do you have power at the Golden Nugget from independent generators or lights out we have use generators. That are running the property well the problem dont have water all of our systems are chilled water running. Even though we have that we dont have airconditioning today. We cant really run anything not freezers, coolers because of the fact that you dont have water. Were going to get water in there today. Like i said, were going to buy some of that oil water well be fine. Ive been used to hurricanes my whole life i grew up in galveston i was born the night that hurricane audrey was hitting texas and louisiana. Oh, my. Im used to hurricanes. Its just part of life were going to call you hurricane tilman i was going to text you and tell you we were thinking of you. The day got away from me the president just said that the nba has become like a politica organization and that is not a good thing for the country your reaction. I think the nfl is a Political Organization i think the rockets are a Political Organization they are part of the nba and players. Everybody is an individual and everybody has a right as an individual i think that is not a good statement. I dont know why he made that statement. Its disappointing because everybody right now is somewhat of a Political Organization. Thats why we all need to Work Together to pull everybody, to Work Together to solve all these issues im sorry he said that i somewhat disagree. Tilman, great to see you and continued good luck. We appreciate your time today. Kelly. Thanks. Appreciate it. Still ahead, with pause across sports leagues theres calls for the Kentucky Derby to scrap its race as protest continue in louisville outside of the venue the ceo of Churchill Downs joins us next. Bidding war for tiktok is heating up as walmart says its teaming up with microsoft to buy y . E social media app wh well explain. More power lunch right after this we miss you. Its totally not the same without you. Were finally back and cant wait until you are too. Universal orlando resort. Buy now and get two days free at the parks. Restrictions apply. Welcome back check out gold which has turned lower after fed chair dovish comments the safe haven asset taking a bit of a hit after the central bank revised Inflation Inflation could go above the target targeting kind of an a