What a hideous session, lease for the bulls. What does it mean . It is gigantic. Bigger than the stock market when you lose interest, this is what you do. I like to be clinical. Why dont we do that. Samples of ample motivation for their actions. They have gone exceedingly well for Interest Rates. Much higher. Can earn 4. 25 riskfree. That is much better then it was a year ago. The yields are going higher for three reasons. First, the fed has not been able to fully get inflation under control and they have not done much for the economy. Meaning they have every incentive to keep it. Where are the layoffs . Where is the housing . Not yet says mr. Powell. Second, over the last to years, the federal government authorized colossal massive spending that needs to be financed with massive bond issues. And they dont care what kind of price they get for bonds. They have to pay the bills. There, the Federal Reserve itself owns 8 trillion in total assets down from 9 trillion last spring. But 4 trillion will for the pandemic. Government and the fed motivated sellers. The fed cellular bonds is another way to crack down on inflation. These reasons have crushed anyone who gets in the way of the Market Making potential buyers skittish every time they buy, they get it handed to them. So the borrowers and treasures are on strike. The treasury yields have gone up so much last 48 hours. Yields go higher. What is in his this have to do with the stock market you are probably asking . Why own stocks when you can make 4. 55 riskfree from the treasury. It is a dividend stock guarantee not to lose money over the next decade. That is the real strong competition to any stock, isnt it . Second, costs are soaring for those who use credit cards or want to buy a car. Chromatic. Third quarter profits probably headed lower because Interest Rates are part of the cost of doing business. To the search for the mass majority of companies and their clients who have the earning estimates that will probably come down. Of course, and this is forgotten, if the fed can get inflation under control, that would bring buyers into the treasury sending yields down and causing money to flow back into the stock market. And if you think stocks have gotten oversold versus bonds, you might want to be a buyer and stocks have come down pretty hard lately. But even if the fed cant beat inflation anytime soon, there are reasons to own stocks. More than three. First, with plenty of can do well in the environment. You hear from two of them later in the show come out running inflation and high treasury yields. There been many times in history were rates went relentless the higher and you can still make money and stocks. Most of these occurred in the 80s and 90s but they did occur. I remember that i was running money myself. Buying stocks when everybody else was running away and peered like now. Getting anything seemed crazy when i bought them but it was the right call. Second, many stocks have come far down, more then they should relative to treasury yields. That is subjective. But if a company can still make money on a higher rate environment, maybe you need to buy the stock right here. Capitulation breeds buying opportunities. It always has and always will. Not a clichi. To be 4. 5 per have doesnt cut it for you. Maybe you want 4. 7. Maybe there stocks worth owning even if you could get 5 from the 10 year. Today, i saw that dennys, the restaurant chain, commemorated a booth where nvidias jensen hang out when he cocreated a company now or the trillion dollars. I dont want to find more 10 years. I want to find more invidious. I dont want to run in place. I want to make more money than offered. As a possible . Of course it is. Maybe we just need to find the next booth. Then what happens if the fed gets under control and gets inflation under control . What happens . You can argue short rates would be too high. It may not mean that the twenty year or the tenure will go down that much in yield but the short rates would as there would be no reason for the fed to give them high. More important, go back to the dennys. As long as inflation is raging and you find the next nvidia, you might not want to own it. Something like invidious stock trades on future earnings many years on the road and it erodes the value of the future dollars but you definitely want it if inflation is under control. It is hard to keep your eye on the prize. As a president joins the picket line first time in history, he is not trying to negotiate a deal between the uaw and the big three but trying to beat the big three asking people to pay a lot more while they also need to spend fortunes to pivot to electric vehicles. They have the ftc on the cutting for the m signature of the ftc has hated amazon for years. And there is an article about how amazon has monopolistic ways. She did it in law school. When she was appointed by President Biden, she would bring the suit. She is against any company she regardless too big even though that is not really a legal standard. And how come they decide to give consumers the best default Search Engine with google . Can imagine . Apple cared enough to give you the best. What will the government give you . We have a government less interested in companies doing well than any other time i can recall my career. No matter we are playing less for earnings. I want to make something clear. There is always the place for Interest Rates stopped going up because bond buyers are found. Inflation does get destroyed in the end. Stocks eventually reflect more than the worst after a capitulation. And that is the only shirt he. We dont know if that is happening now or at the next level at 4. 75 or the tenure or 5 for the 20. Or five for the tenure. Five and a quarter come seven have. I have five and a six. Okay. We dont know. However, at some point, it will be reached. We cannot just ignore that which means you need to buy some stocks and not sell. Just dont do it all at once. Do it on a scale. Some here and some lower. If treasury yields go to those levels, you want enough cash left over to get more stock. We are oversold enough now to justify and not just insist that something be bought. What could be more painful . That is what i like. I dont like the. You buy stocks when your trying to get rich and you rental treasury to stay rich. The midst of both is fine. If you go all bonds now, i think are liable to miss something really good and stocks. Even if that seems downright impossible it always seems that way. It never is. Good day doctor kramer. Im from central illinois. Good to have you on the show. I had a small position at ell stock. It pulled back significantly since midseptember perhaps due to many large sales. Do you feel that ell stock is still a buy . I happen to think the world of it. I think it is doing well. I will say this. It is up 97 that is not what you buy in the market is getting killed. A stock up 97 is a candidate for a sale and not buy, even if it is terrific. Lets go to don in georgia. Long time, first time. I have invested in the company for so long that i honestly cant remember if it was the result of your influence are not. It has been a big winter for me. I know we avoid and or Ditch Companies with accounting problems. But what do you think about some of the current hullabaloo around exxon . Ever since i recommended the stock, which by the way when the stock was about 17, there has been hullabaloo. And that has not changed. As a matter fact, that is probably the only constant other than the fact that the stock goes higher. And ann in indiana. We are having our first rain and six weeks out here. I will send you some. We have plenty. What is happening . After reading and im a grateful club member by the way. There was an article last week in the wall street journal about estie lauder. And im wondering, with the chinese regulations on cosmetic imports, do you feel that is already baked into the stock . Or are things worse then i thought . I was pretty candid this morning at the 1020 and again at the twoish we do after 2 00, that you cant only get. Estie lauder will have a horrible quarter. I cant buy it ahead of a horrible quarter. When that happens, then i can be interested. But it is probably going to be horrible. And that is the shame but the truth. s we are holding back buy. Lets go to ken in oregon. Are you in the house . Im ready for you. What is going on . My quest in is about after the last interview. It went down and stayed down. Is it down for the count . Buy, sell or hold . They are not doing as well as people thought. Therefore, it is still probably going to go lower but there is a fundamental value to a Bowling Alley chain. I just cant figure out where that is. But a lot of those are still going lower because they are guilt by association. Treasuries are not that good for doing well but they are good for keeping well. Stocks are what you buy when you are trying to get rich. You buy treasuries to stay rich. A fall from july high. Ane company kicking off its current conference to lay out the future of data streaming, im learning more about what is on the horizon. Close years know we have been following this neverending rally in the price of oil and investors are searching. Im going to my expert in the field for more. And marching forward. What synergies exist to create a new climate powerhouse in a carrier that will not be stopped by the darn 10 year . Im getting the details with the ceo so stay with kramer. Dont miss a second of mad money. Follow. Have a question . Sweet jim or send him an email to matt money at cnbc. Com or give us a call at 800743cnbc. Miss something . Go to madmoney. Cnbc. Com. Fisher Investments in this market, youll find Fisher Investments is different than other money managers. other money manager different how . Arent we all just looking for the hottest stocks . Fisher Investments nope. We use diversified strategies to position our clients portfolios for their longterm goals. other money manager but you still sell investments that generate high commissions for you, right . Fisher Investments no, we dont sell commission products. Were a fiduciary, obligated to act in our clients best interest. other money manager so when do you make more money, only when your clients make more money . Fisher Investments yep. We do better when our clients do better. At Fisher Investments, were clearly different. Welcome to cnbc crypto world. Nice footwork. Man, youre lucky, watching live sports never used to be this easy. Now you can stream all your games like its nothing. Yes [ cheers ] yeah woho running up and down that field looks tough. Its a pitch. Get way more into what youre into when you stream on the xfinity 10g network. After spending the winter with growing spending higher, the tech world has been clobbered the last couple of months. Often it is on the rise. If you are wondering how good they are, maybe they have come to a certain level. The next infrastructure play that we spoke to in june, stock was at 34. In early august, nice traction. Since then, down more than 20 . You are getting the quarter for free because the backdrop turned against this kind of tech. This week, a big event where they are launching a new product and pitching the data stream platform. We have to find out more about this. Could this be enough that people understand there could be great value longerterm . Lets check in with the cofounder and chair of the company that we completely endorsed on the show from the beginning. Welcome back to mad money. Jim, thank you for having me. My father worked at campbells which was a retailer. They closed the store once a month in order to take inventory of how many gabardine pants there were. Tell me now what you are doing if you are selling pants at walmart. That is exactly the change we are seeing across the economy. A lot of these businesses used to be in the big batch systems where you collect the data at the end of the week. You analyze it and you make decisions and at the end of the month, you reorder staff or change prices. Now all that has to be realtime. You go on the app and you want to see what is in the store right now. You want to be able to buy it or pick it up and have it backed up and ready for you. To enable that, you need a realtime amount of data across the different systems all the time. That is the problem. Tell me, when you were on last, we didnt have this product, this platform. I just want to ask plaintive people that even since you are on last, you have something much more exciting and informative for a major retailer. Manufacturer or Insurance Company or bank. Yes. So the data streaming has been a big thing for a while. What confluence at it is a technology called flick. It is an open Source Technology that allows you to build realtime applications and process data continuously. And so now you have not just the stream, but the processing of the streams. So building the realtime Inventory Management just got that much easier. It is list code for the customers to write an easier ability to scale it out. When i hear list code, i think that if i worked at Dicks Sporting Goods and i was thinking, we have too many under armour mesh tshirts, i could find out. Maybe i could declare a sale at stores that have too much because i asked the data and the data has spoken. Yes. That is the idea. You look across different companies. They are trying to harness the data and apply it to the next generation ai models and use it to drive better pricing a better experience for customers. All of that is part of the actual operation of the company. This is something that happens all the time in realtime. But a lot of the Data Technology has been something that is all about running at the end of the night or the end of the month. As you are describing. If i dont have this, how do i compete in this new world . How can i keep up with walmart who is doing so many different inquiries . Just talk about what happens in three hours at a walmart. The reality is that there has been a transition across virtually every industry. The largest banks in the largest retailers and Insurance Companies and car companies. All of them are adopting this realtime technology. The reality is increasingly, when you run into some experience, whether it is online or in person, it is out of sync or disjointed or just has the wrong data or isnt relevant, it feels not right. The expectations have been great as a result. It is not just a way of innovating but kind of part of the base of everything. We were out in salesforce for the dream force conference. I have to tell you that i heard something very similar with different platforms. This might be my lack of knowledge of the industry but how do you differentiate among competitors . Or are you alive with these companies . We are actually quite complementary with the large set of other vendors are data systems. We are about the realtime flow of data. Most of the other applications are kind of a storage where data goes to sit. We are kind of like the Central Nervous system that plugs all of these together. It solves a problem on both sides. Applications want to be able to connect into the rest of the company and provide value. Downstream, you need to be able to get into all the data and get value out of it. So that is really valuable. Im asking the different guests. We have lived in a world where Interest Rates have gone four and a quarter or 4. 5 and maybe going too for the 20 year. Is there any reason why your customers would hold back buying confluent if rates went too in a court or for the 10 year . Does it make any sense to say, im not buying the confluent package . One of the things we have seen over the course of the last year, with a bit of a roller coaster ride on infrastructure and kind of a stop and start in spending, has been that it has been very durable. Incredibly strong nrr and great retention in the customer base. Everything i think is getting scrutiny these days. It has held up well. I think the reason is a lot of these cases in realtime are the missioncritical stuff that runs the business. This is the stuff that kind of has to get done one way or the other. I think it has helped drive this. It is perfect. Im tired of people saying, why would i want to own stock like confluent when six months from now come they might want to own it but you have just won a huge amount of business and now paying double. I dont want that. I want to pay the good price. That is what you are offering now. I want to thank the cofounder and ceo of confluent. There is so much on the website. If you dont understand what we said, there are so many cases. Thank you for being on the show. Thank you, jim. We are back after the break. Coming up, the latest from across the oil patch when mad money returns. birds chirping go. And go and go and go. but what if you. Stop . You work hard, its time for a bank thatll work hard for you. Everbank brings security and a guarantee that youll earn a yield in the top 5 of competitive accounts. Going, thats what got you where you want to be. Were the partners for your next move. Everbank. Advantage, you. The Federal Reserve is fighting like crazy to stamp out serious inflation. The last thing we need is wheel taking crude up 28 since the end of june. We are approaching this issue from all angles. We are checking in with the cofounder and executive chairman of rbn energy indispensable. I consider him the Number One Energy expert in the world. He is joining us right after the annual school of Energy Conference and giving us the low down on the energy. And maybe help us. We are lost when it comes to energy. Rusty, welcome back to mad money. Thank you for having me, jim. Good to see you. You know we are in a jam trying to figure out if there is a top in oil. We heard 100, 150. We want to say, where does it stop . We are to supply, that makes it so that over the long term, we might be able to find some level that is equilibrium . You know a lot of what is going on lately has been producers reducing the growth of Capital Expenditures and capital discipline issues. That is where we are right now. But production is still growing, even though the count is down. What we are seeing is an improvement in productivi