of deliveries in the latest quarter. there's one roadblock on the horizon that investors may be missing we'll explore that one and lear, the vaccine rollout hitting speed bumps as states struggle to administer millions of doses we'll talk to the governor of colorado about its progress and how it is battling the enough covid variant that showed up there first. "power lunch" starts right now hello, ty. welcome back welcome, everybody i'm kelly evans. the market's bull run hitting a roadblock today as we're seeing a broad selloff, the worst start of the year for the s&p since 2001 let's go to bob pisani for more on the markets >> what we are seeing today is a broad-based derisking. we're off the loaves but it is a deriski derisking. what does that mean? fancy word, right? i mean everything is basically down it's that simple, folks. so you have cyclical names, like real estate, reits and industrials, growth stories like technology, they're down and then defensive groups like consumer staples, they're down everything is down 1.5% or so, different times of the day that's derisking there's also huge volume in etfs that are really broad based, so growth etfs are down, value efts are down, mid kcap etfs are dow. they're not being specific on what they're lightening up on. one big problem here is the market is really expensive we have been saying this for several weeks. everyone kinds of know it is but they all sort of ignore it we have record stock prices and record etf inflows, a market exuberence and the position is really lopsided here at the same time we have issues for potential 2021 problems. the most important of which is the vaccine rollout has been very fitful, as you heard from meg discussing that a little while ago. that could mean a slower economic recovery and weaker earnings we all want to live in 2021 in the second half of the year but we've got the first six months to get through and it could be a little rocky vague concerns about inflation in the second half but the market is not crazy in dealing with concerns about a slower vaccine rollout. the big question is what happens tomorrow we got a 2% down side today. there's no follow through in these selloffs the question is is somebody going to wake up one day and say this is worth more than just a 2% selloff in the s&p 500? so far the answer's been no. we'll see what happens tomorrow. back you to you. >> robert, thank you very much and happy new year to you. is this the start of a bigger pullback or will investors continue to buy any dip as they did way back in 2020 let's bring in our guests. there as a lot of money split between the two of you andrew, let me start with you. if iunderstand your view of 2021 correctly, it is this -- that the market mayer earlier b fashion but move higher than where it is now? >> i think the market will end higher i think all pullbacks will be viewed as an opportunity to invest buying the dip is a great theory but that only started happening in the fourth quarter. before that it was sell. so i think money is going to continue to move higher into the market but my view has been for white a while the returns are going to be easier to come by during the pandemic than post the pandemic. so i worry that as we get through the pandemic and people start spending all this cash that they've been saving at very high levels, we're going to see rates move up and then back to bob's point again, then the market really is going to look expensive. >> so higher now and then trouble as what happens? as interest rates move up because the fed will fear inflation? >> with the new bill going through, the savings rate in this country is going to go to 18%. we're all going to spend a lot of money when we feel safe to head out and so i think that when that happens, you're going to see a better economy than expected, right, and i think that's going to push up interest rates and that is the one, you know, as much as the market looked expensive on a pe, it's not expensive relative to interest rates. so as long as interest rates stay low, the market doesn't look expensive but what happens when interest rates move higher? it seems as we start to spend more money, the economy accelerates, i think the stock market is going to have a tougher go of things >> and so, again, if i'm hearing you correctly, i'm going to move to john here in a minute, stock market gains easier when the pandemic is still with us and harder to come by after it slackens, if indeed it does slacken. >> right last thing i'll say, tyler -- >> go ahead. >> i was just going to say you and i have talked about this so many times over the years. the stock market is a forward predictor. it looks forward six months to a year and so it's looking past the covid now but what happens when we're past it? it's going to start focusing on 2022 and that's going to be a tougher year-over-year comparison >> john, let me get your reaction to what andrew says i take it you're a little more favorably inclined to the market, favor a bar bell kind of approach let me get your reaction to what andrew just said and let me get you also on the record for how important do you think tomorrow's election in georgia is to what we do in the short term and is today a reflection of unease over that? >> i think that's where i'll start, tyler, is we think that the -- today the action that we're seeing in the market is a recognition that tomorrow is a very important day in terms of will the republicans be able to maintain control of the senate as a result of the runoff elections in georgia tomorrow. if it's a very close election, then i believe the pundits in the political camp expect it will be, our thought is it can take even weeks who will be the actual winners of this thing the concern i think the market is showing is what would happen to the tax reform act of 2017, which empowered corporations in the u.s. to be more competitive on a global basis with their competitors outside of the u.s., allowing them to keep more of every dollar that they earned. in addition to that, there was job growth that came from that that was disrupted by covid. also the ability for corporations to handle rough waters or choppy waters better, whether it was the tariff war or covid sfl as well as technology boosted a lot of companies in that the other issue of concern of course is the market likes checks and balances. doesn't like to see one party in control of the whole -- of capitol hill >> if the democrats win both seats, what happens to the s&p >> we think that we get a four to six -- i'm sorry, a 6 to a 10% decline in the markets after which the market would ponder what will the spending programs be that the biden administration would likely put in? what would be the cost of the loss of the tax reform of 2017 so there would be moments to ponder that said businesses are very resilient. and you've got to remember that the businesses are in many ways like water, seek the point of least resilience woe think the which has to do the launch of covid-19 vaccines and has to do with this election tomorrow >> i want to jump in here because we're returning out of time for the record you like information technology, consumerconsumer discretionary and industrials, which you call the new technology you think all will outperform. andrew, you have an interesting wrinkle on dollar cost averaging this year. if you have cash on the sideline you want to put at work, would you quickly explain that wrinkle to are us. >> absolutely. i think dollar cost averaging is always a great way to go but when you market pulls back you i think you accelerate dollar cost averaging. you they dollar cost average and they get more anxious and want to put more to work and when the market pulls back, they halt it. i love to call it the no-reason 10% pullback it never happens it never happens if you had star dollar cost averaging in february, what a great year it's been >> i've been one of those no reason dollar cost averages a few times in my life, andrew the idea is if the antarctic, if into this month and put it to work quicker happy new year thanks, guys >> thank you take care. >> thank you both. thank you both we'll take a quick break all the major averages are lower, down more than 1.5% as we are seeing those big tech names and recent flyers come back to earth today. let's bring in josh lipton on the tech wrek. what can you tell us >> big tech taking it on the children, apple, microsoft, facebook, amazon, a if a bet in the red. apple on pace for its fourth straight day of losses, its wurt day since november 23rd, trading at 7% of its most recent high that it hit last tuesday the best performing faang stock in 2020. also check out microsoft on track for its third day of losses in the last four and pacing for its worst day since november 10th. still up nearly 40% in the past so names like shop and o because these are the kind of companies helping us work, learn and play at home amid the pandemic and with one relative bright sot the all right, john, thank you very much >> appreciate it >> good to see you >> all righty, still ahead, with the vaccine key to the economic recovery, states are struggling to pick up the pace on administer the the and how quickly can it be fibsed and surging it record high and a wild holiday drive as "power lunch" continues for the new year straight ahead. welcome back to " pow er lunch. the dow was down 724 at the low. one of the few things moving higher are the vaccine makers. moderna shares are up 5% there are concerns about the pace of the vaccine rollout that are broadly weighing on markets. 13 million doses have been distributed but only 4.2 million people have actually been vacci vaccinated steve liesman joins us now with the latest numbers steve. >> some good news to start the year our first look at the cnbc wrap it up date for gdp growth shows the recent stimulus and vaccinine announcement boosting evidence for the spring. 4.8% for the fourth quarter. that's a pretty good up in sure that would be weaker if not for the stimulus bill. you can see in the second and third quarter, taking hold on the at 347b9 4%. quadro writes, the risk of a negative gdp print has been effectively eliminated, however, there row mains the supply side impact of mandated shutdowns there's the bad year a pretty good rebound of 2021 up 4.2% kelly laid them out, including getting the vaccine, and gaining consumer confidence to return to activities they're avoiding now. the ruling 2020 is the same as it will be in 20-21. koef individual policy, keel, is economic policy. >> on the one hand you have these concerns about concerns about new covid strains and vaccine efforts but on the other hand we're getting talk on the pmi talking about prices pressures. it's that back and forth and is it slow growth we're worried about or is it recovery and near term inflation precious? >> i think the market is going to have some issues. and i think the question is whether or not those are long. after it being a human wriefs in but it's also impacted supply, kelly. the question becomes does supply woman back as quickly as demand with the vaccine there are businesses to ramp up especially with the recent stimulus bill. but long term here, you had charl charlie. he has not changed his outlook for fed policy, even though he has acknowledged the promising impact of the vaccine. >> right steve, thank you we appreciate it the vaccine rollout is off to a slow start most of thetory is for every 100,000 residents. colorado has vaccinated about 2% of its population so far, as it deals with a furst reported case of a new covid variant and governor, welcome. thanks for joining us. >> my pleasure, kelly. >> can i ask you first of all what you what has your state learned about this new covid vare pantas we start to sequence more and more of the covid strains that you out there? we know the one that was discovered in your statement is. >> and project a better question for a doctor in a public health expert and a scientist certainly from our perspective, we're proud the colorado scientists were the first to identify the united kingdom straight here in colorado. i think the. doesn't truly spread at a faster rate will the, edge i don't think it's the or we've screened hundreds of thousands of samples. we just found the one confirmed case and on the initial screen they can get the positive indicators and go into the rna scores or more and we expect to have additional cases identified as well. on that, there's that's how they can chase whether it came from italy in the fs if in in the data would seem to indicate it has the same impact. same soptization rate, 10, 12%, death rate 1, 2% but it more contagious and that would be a problem if it with the caveat of corse frm and getting your population sacks nated and the 72-hour rule tell us about that and what effort you think could help with all the progress you've had to speed up getting shot in arm nrm and if you had another gradation of color, we would been and i think it the case for all the states because it's cdc reporting, there's up to at least a throw-day lag when it reporting. meaning when it put in nm and it could be one or two das nfrm to people 70 and up, that's the members that in. in the vaccine on the chorks who who can successfully get that into the arms of somebody who is 70 and up. >> governor, i wonder whether in your state you have any sacksine centers that are open 24 hours a day, seven dates a week and if not, why not and could that acen, the rockingham in or does not have enough supply to do anything like that? >> reliability of loo (there have bun expected shipments that didn't match with what we expected so we can ask you'll them ahead of time i don't know how many 82 or 81 consuming wb in we expect that we'll be able to get through our age 70 and up nm given the supplies that we think we gr to getting governor polis, thank you of snchl still ahead, the dow down more than 600 point. would you testimony f industrials are leading the decline today as we kick off the trading day and airbnb now sitting below levels and we'll tell you what the traders are saying about the move after this quick break. new projects means new project managers. you need to hire. i need indeed. indeed you do. the ment you sponsor a job on indeed you get a short list of quality candidates from our resume database. claim your seventy five dollar credit, when you post your first job at indeed.com/home. welcome back to "power lunch. a rush of analyst calls out on two recent ipos, airbnb and d r door dash. a $200 price target on both of them your trading nation team today is todd gordon of tradinganalysis.com and boris schlossberg. >> i think i'm a skeptic the only way you're going to play this is if that having been said, i do like airbnb much better than i like in order ak if you're betting on the idea that the pandemic is over, then air harr had because of the of the demand we had for take out door das lsh, if there is nobody i think ultimately happy with the door dash model the restaurant owners hate paying the fees. the customers don't like paying the extra trgs t and it generally a how much more sustainable. for me long term airbnb is a prt better platform for business >> let's get todd' reese action here how much about you? >> well, that doesn't sound great. i agree. sfwluchl because they have even beyond covid so app-based business goes a long way in zoom they come to market in a tech rally that is so extended. you can see that door specifically the pullback if we're going to had in if there is to it be any hope in the near term if no, new low should be expect. it's a high real narj the financials show snchl became all the way back to 1.3 billion. it brings a lot of transparency to the park, tell owe. in and they had their own propriety ranking. i fell of clean safe in a clan naechl yeah. >> who has got a better background than up do? >> i a great point i they're been been is going so they're going to get a boost frl comeback as well market share. >> boris, nothing against that beautiful head shot of you, but todd gordon is kicking your ass in terms of the background he's got a wonderful background there up got to raise your game, morris company cnbc.com, that's on the web or @trading nation. welly, your background is fritt pretty good, too >> my views are sill trach trump even cryptos and crude are hyper after recent run-ups we're going to speak with the to two trade and tesla is hitting a record high up again today it bucking the broader selloff the key things for investors to look for in the year ahead are next stay with us and now the latest from tradingmakes.cbq it however, if you if before taking on any new positions. i'm randy frederick and wa see every delivery... every yikes... and even every awwwwwwww... wait, where was i? introducing self protection from xfinity. designed to put you in control. with real-time notifications and a week of uninterrupted recording. all powered by reliable, secure wifi from xfinity. gotta respect his determination. it's easy and affordable to get started. get self protection for $10 a month. welcome back, everybody. i'm sue herera germany is weighing whether to delay the period between when people receive their first and second dose of the pfizer biontech vaccine the two drug makers say there is no evidence supporting the change in dosing, noting that there is no data showing whether protection from the first dose lasts beyond the 21-day period when people are supposed to receive their booster shot a queens critical care nurse who was the first to receive a koed va covid-19 vaccination in the u.s. has now received the second dose of the pfizer biontech shot. >> we're not out of the woods yet but the it burden feels definitely much lighter today. and i am very, very grateful, you know, to just receive this vaccine in the first place, having this opportunity. >> she is the first u.s. nurse to be fully vaccinated against covid-19 kelly, i'll send it back to you. >> sue, thank you. our sue her era, back to you >> look at how consistent the gains are across all the major averages, including the russel 2000s. coca-cola and boeing are leading in the declines today. both getting hit with analyst downgrades earlier on. over in tech, apple the biggest laggard, tesla the one outlier despite launching its best levels since february and keeping energy along as one of the only sectors that was green for much of the session today. now crude down about 2%. gold is rallying as well and check on gold, hitting its highest level since november here on more with these moments, we're joined by francisco blanche. let's start with gold because that is one that has struggled to, you know, kind of gain traction as everybody piled into bitcoin lately what do you make of its forechoons i think the vaccines the most bullish forecast ou this be but we still expect gold prices to rise and projecting 2,000 and 2,300 an ounce for this year. we see a little up side but no dramat dramatic >> that's not the kind of up side that's going to get people very excited people have been very bullish on gold maybe the price performance didn't live up to that why do you think it's basically going to move side ways? i think as more people get vaccinated, we are going to see the economy coming back and we think it's going to be cyclical commodities, namely cost ar and gold is going to lag on that front. and also remember reare heading towards the end of the last few packages, physical cat practices and it's going and those two seems tore important headwind for goals. we think gold so terse. >> a weakening dollar, which is underpinning so many of the moves that we've seen. you would think it would be selling off for the rest of the partial so oil, as you pointed out, there's a lot of spir cast. never in and as we know, in the past month or so, atlike has e hassine. the pro is you have a lot of different players shooting in different directions it a complicated marriage and someone sffrmt and that creates strength across the organization so my sense is that for the next month or two with the new u.k. virus strain hitting some countries hard and leading to more lockdowns, we could see a relapse in prices but then heading into the middle of the year, we still expect france to hit $60 a barrel probably by the end of the second kwar sorry. >> no, mad -- >> michael: i was just saying rolled out to the broader population in the u.s. and europe, gring to to see a big pick up. a lot of us are been that starts through heat, it, but to your point, there's always spare capacity o'pick plus is key to bring those barrels back so expect prices around $350 a barrel, 48 to 52 on brent, 53 and as we go into the middle of the year, probably a six handle is likely in my view frm and talking oil, gold, some of the stands commodity, die it is now up more than 60% in the last month i missed $10,000 worth of this move in the past couple of weeks. mike, welcome. who's doing the buying here? is it institutions or retail investors? and if it is in part retail, are they going to be happy six months from now, six years from now, what? >> thanks for asking he on in and it's moving from speculators to allocators. when you think about the next level breakdown where the mid to western buyers and then if you break it down a lef further, and western retail bidding up all coin so i come back to the question, if it. but bitcoin, are they going to be happy or is this or is there likely to be in the nut term a pull back in those val you sfrm but that being said, derivatives do chase performance and those derivatives come to. in f in six months and 12 months from now i think you'll be happy but there will be quite a bit of volatility within that so for retail investors thinking about dollar cost averaging in, you shouldn't be trying to time markets and they don't have the instiegs to ma are we likely to see a bitcoin etf this year? >> all factors would lead you to believe yes. we've cleared some of the key hurdles mentioned by the regulators, which one was a regulated custodian. weep now have a handful of custody providers who have stop one and stop two type audits the second bigger piece was actually market manipulation concerns now that the market has continued to transition from more crypto native, leverage exchanges to more spot exchanges, this move in particular has been dominated by western, institutional oriented exchanges where spot bot provide much better price discovery. all signs point to certainly in the right direction. there's probably a few other things on the plate before we can clear it we're in a significantly better permission to see one in the near term. >> thank you so much we appreciate it happy new year >> same to you >> you got it. all of the 11 s&p 500 sectors are lower right now and leading the way lower would be real estate, materials, industrials we'll get the moves coming up on "power lunch." alright, who can break this down for me? 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yeah, that's my thing. with at&t business, you do the things you love. our people and network will help do the things you don't. let's take care of business. at&t. to listen, is to hear more than what's being said... and offer the answers that make someone feel truly heard. i understand, let's get started call a dell technologies advisor today. all right. tesla bucking the selloff today, up nearly 3%, and setting a new record high as it has done so often over the past year or so, while the s&p 500 slides 2%, the move largely because of the automaker's record deliveries in 2020, just 450 cars shy of the 500,000 automobile target. and the stock, the best performer in the s&p 500 for the year up 743% in 2020. of course, it was not a member of the s&p 500 for all of that year, so what could stand in the way of tesla's epic rally in the new year tim higgins will tell us he's a reporter of the "wall street journal" and a contributor to cnbc. great to see you in this new year they were running at a rate in the fourth quarter of 180,000 deliveries that could put them on the pace for more than 700,000 in 2021. do you see any impediments there? >> yeah, that's, analysts are hoping for 800,000 this year the challenges are going to be execution. a common refrain for the company. can elon musk continue up this pace we saw an announcement this weekend that in china they have begun production of the model y, that compact sport utility vehicle which we already have in the states and which is very important for the china market the question is going to be how much demand is there for that vehicle? >> and would you think that the demand for it will be higher overseas, ie, in china, than it will be, i don't know whether it's coming here this year >> well, it's already here, and it was here last year, and it was part of the reason why - >> okay. >> part of the reason that tesla was able to kind of continue to see some sales growth in the u.s. here, when you look at some of the numbers the segment is very important. in the chinese market, in the u.s. market, small suvs are very popular with buyers. more so than cars, in fact, so tesla's been a little out of step having cars on the market rather than suvs the model 3 is seen as supremely important for the china market when you look at the u.s. sales, they don't break out those results, but if you look at auto data estimates, the model y has not overtaken the model 3 in u.s. deliveries. and that is curious. and if perhaps it could be a production issue, they don't have the capacity for the world. so once that china factory starts putting out those suvs, that's going to be the big test. >> how worrisome is the falloff in sales of some of the higher priced models and how concerned should we be about factories in berlin and austin? what will you be watching there, quickly, please? >> those model s and model x are high value products. investors and some fans are looking for a refresh of the model s this year. i'll note that the plaid version of the $140,000 version is going to go from 0 to 60 in less than two seconds, expected later this year that could be important. >> all right, tim, thank you very much. you appreciate your time today tim higgins, cnbc contributor, thank you very much. let's check the dow, having its worst start ato year since 1983 we'll be rights back with much more on the markets. in town andh supermarket gives you the mosth bang for your buck. something else that's good to know? if you have medicare and medicaid you may be able to get more healthcare benefits through a humana medicare advantage plan. call the number on your screen now and speak to a licensed humana sales agent to see if you qualify. learn about plans that could give you more healthcare benefits than you have today. depending on the plan you choose, you could have your doctor, hospital and prescription drug coverage in one convenient plan. from humana, a company with nearly 60 years of experience in the healthcare industry. you'll have lots of doctors and specialists to choose from. and, if you have medicare and medicaid, a humana plan may give you other important benefits. depending on where you live, they could include dental, vision and hearing coverage. you may also get rides to plan-approved locations; home delivered meals after an in-patient hospital stay; a monthly allowance for purchasing healthy food and beverages; plus an allowance for health and wellness items. everything from over the counter medications and vitamins, to first aid items and personal care products. best of all, if you have medicare and medicaid, you may qualify for multiple opportunities throughout the year to enroll. so if you want more from medicare, call the number on your screen now to speak with a licensed humana sales agent. learn about humana plans that could give you more healthcare benefits. including coverage for prescription drugs, dental care, eye exams and glasses, hearing aids and more. a licensed humana sales agent will walk you through your options, answer any questions you have and, if you're eligible, help you enroll over the phone. call today and we'll also send this free guide. humana, a more human way to healthcare. well, kelly, great to see you here in the new year i miss eed you we have been both away for a little while today, we're beginning with the dow off more on january 1 than it has been since 1983 that's 38 years ago. you wonder, i guess, today whether this is judicious profit taking after the push into the end of the year. is it concern over what's happening in georgia with the election tomorrow? maybe what's happening in the certification of the vote in front of the house and senate on wednesday. who knows? but at any rate, a stiff falloff today. >> and to kind of remind everybody in terms of taking a breather, the nasdaq is up 80% in two years the s&p is up i think 35% or something like that. huge gains, but the vix is popping today. one as mike santoli was talking about, a 5% increase until that settles back down, that's one to watch. good to see you as well. that does it for "power lunch. "closing bell" starts right now. >> thank you welcome to the "closing bell." i'm wilfred frost along with sara eisen the first trading day of the year turning out to be a wild one. record highs at the open quickly giving way to the significant selloff you can see behind me. the major averages around 1.5% as we look at the final hour of trade. investors closely watching georgia ahead of tomorrow's special elections. the outcome will determine which party holds the majority i

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