86 points. If youre looking at the treasury market, this has been our big interest point. Right now it looks like the 10year is back where it was yesterday, not back above 5 even though yields are a little higher. 2year is at 5. 08. Crude prices around 85 a barrel this morning, wti is up 3 cents, and then crypto is on fire. If you check out sessions this morning i dont know why i say sessions. Bitcoin is always trading, never stops. Just above 34,000 this morning. Meantime lets talk about todays squawk planner. Boeing, norfolk southern, and tmobile. After the close well get reports from meta, ibm, and mattel. And as joe said, the drama continues for speaker of the house. Tom emmer ended his bid. Dozens of larms and former President Donald Trump expressed opposition to his candidacy, last night choosing mike johnson as their next nominee. A social conservative from louisiana. Hes a former analyst and radio host and served on president trumps defense team during his two impeachment trials. This came after former speaker Kevin Mccarthy floated a plan that would reinstall him as speaker and name congressman jim jordan as assistant speaker. Well talk more about Mike Johnsons chances with jake sherman. Look at that picture. Its an older picture of jake sherman. That is not jake sherman. I recognize his eyes. That is not i recognize his eyes. Look, guys. I was thinking of this. Were more than three weeks into an impasse. Look how long it took to elect kem at the beginning of the year. This is nine months and change theyve held control of the house and the house has been on strike for jut more than a month. This is the only organization in america where you get paid to go on strike. I still dont think people are more upset with him than they are just in general with all three bodies. This is youre either proving that we dont need a speaker of the house or were going to get to the point where everything hits the wall very quickly. Its surreal and its funny. Nobody is at 209, which is where mccarthy was. Thats 96 . Nobodys there. The last guy, emmer, voted to certify the 2020 election. Thatqualified him. This guy voted not to certify in 2020. That disqualifies this guy. So that shows you where you are. Its amazing. Its kind of a catch22. I dont know what the reason i thought the mccarthy thing made sense, he might be able to hold some of the moderates, although theyre mad at him for not backing scalise more. And then jordan, you bring him in to satisfy some of the Freedom Caucus guys and maybe youve got some sort of a blended ticket there and maybe that would work. Weve got to do something. We have no aid for is reeling, no aid for ukraine, no aud for the border and a shut down on november 17th. And theyre talking again about Patrick Mchenry and temporary powers. Thats being floated again. Maybe jake sherman has more on that. Are they voting at noon . Whats the over and under on this guy . I dont i assume the under is i would say 200. At this point 200 might be the under over. Unfortunately you need 217. Yeah. 200 i dont know what the over under didnt you think anybody i picked the diamondbacks because everyone said phillies. No, i took the phillies. Where did the big hitters go the last two games . Harper didnt show up. I actually did because it was so pat. It with us nobody wanted the diamondbacks. Major League Baseball didnt. It divided my family. My uncle and his family live out in phoenix. You should see the trash talk going on our trash talk lines. I like philly. I isnt surprised with texas either. Houston was the consensus. Yeah, but im yeah i dont like 120th world series and the most unlikely two teams you could put in there. Probably. Well talk about snap in a second. The nasdaq looks like this. Its down a thousand points, and the s p is down. Everything looks like it was up yesterday, but nothing looks great right now in terms of these charts. Yeah. But youve got to look at the charts heading into this. Were still looking year to date. Thats not long enough for the nasdaq. Yeah, go a little bit longer, see . Its like lower lows and lower highs, and its a thousand points. Its a thousand points. Look at where you started in january. Yeah. A big move up. This could still be backing in philly theoretically, i guess. Snap shares were volatile after hours. They jumped as much as 20 after earnings and revenue. The stock did pull back on word that some advertisers paused spending following the onset of the israel hamas war. I guess its a war. It could get to be a much bigger war. Well see. The pause was hurting its Current Quarter sales and didnt provide any guidance. And Bipartisan Group of 42 attorneys general is suing meta alemging that features of its facebook and instagram social media platform are addictive and aimed and kids and teens. The attorney general argued that meta designed its platforms to keep young users on them for longer and keep them coming back. They vie a littled a childrens protection law by collecting personal data of children under 13 would parental consent. A meta spokesperson said there are many options to choose from and theyre trying to ensent five the best possible experience. I guess theyre saying, everyone else is doing it so why shouldnt we. The customer has introduce 30d tools to support families and teens, nudging them to take breaks and allowing parents to set limits. They know its addictive. Theyve designed the apps saying were going to keep them for longer and heres how were going to do it. Its like the cigarette companies. We have education here. As they continue to flag the cigarettes. And spirits. Remember to drink moderately. As they show pictures of young People Living it up. Julia boorstin will bring us a preview at the bottom of the hour. Its not just meta. Theyre right. Thereto are platforms doing the same thing. Every one of them is designed to keep people there like a casino keeps people there. Are they going to continue to be able to do it . Part of me thinks this goes back to a legislative problem, not a legal problem. It would be interesting to see if theres actually internal data if they know or understand that theyre damaging people materially. Weve seen some of the stuff that came out. The Facebook Files that have come up. I dont know if that would constitute enough of a i think this ultimately needs to be solved with legislation. Thats what i would think. Potentially. Although, they may have gotten in trouble for collecting information without the consent of a parent. But actually being able to change the whole dynamic. Wouldnt be nice to have a house and congress to actually address some of these things. Its law. If you give people enough rope to hang themselves, that ill hang themselves. Is there any way to prevent this . Is there any way to make it a safe place in terms of bullying and feeling bad about yourself and seeing people on vacation. Social media makes everyone depressed and no better after it. Whether theyre trying to draw you in or making you addicted to it or youre doing it to yourself to me its not just a facebook story or a tiktok story. Theres also the question of these guys. You know, im an apple fan. Boy, i love apple. They suck you in . No, no, no. If they cared about this issue really, if they really cared about this issue, which they could is it antithetical profits . I dont think its ant threat cal. If they limited it or the Parental Controls actually worked ive got kids who know how to break through the controls. Half of the controls dont work proper will i. I wouldnt blaming apple. Theyre not supposed to be the governor who monitors all the bad behavior from everybody else out there. I put this in googles camp, too, by the way. I think the folks who run these things, their incentives are slightly different. Theyre not toteally aligned wih those who make the apps. For some reason they never fully fundamentally jumped on board. Were asking private industry to do what government do you want government coming in with a solution . If you dont want the government to do it, these guys should be doing it. The companies havent stepped up. You know what the people will say it allcomes back to. The parents. I know, but, again, the kids are smarter than we are. The Parental Controls. You can tell me they dont have to have a phone. I want them to have a phone in case theres an emergency. I dont want all the things that come with it. Its a vexingish. By definition of social media, weve got to learn to live with it. Its here to stay. Its not great. The question is do you want regulation . There are certain issues where i would love to see more of a crackdown like the issue of pornography. The fact that we cant get legislation to crack down on child pornography seems insane to me. Show me the experience. If you had a bad experience in high school and i went to an all Boys High School if you had a bad experience, you could go home at 2 30 or 3 00. You cant go home now. Its rough. Its very rough being a kid. Yeah, it is rough. Maybe you can get around it. But it is getting back to do you know where your kids are . Its 10 00. Yeah. Theyre in my house, but i dont know what theyre doing. Were sleeping. Theyre the only ones out. Microsoft and google beating estimates on the top and bottom line but the stocks moving in opposite directions this morning. Were going to dig into those reports and explain why. Alphabet shares down. Microsoft shares up by 3. 25 . Youre watching squawk box and this is cnbc. Announcer this cnbc program is sponsored by baird. Visit bairdifference. Com. The first law of thermodynamics states that energy cannot be created or destroyed. but it can be passed on to the next generation. you got this. Lets go. Were going to dig into those rude. Who are you . Im an investor in a fund that helps advance innovative sports tech like this Smart Fitness mirror. Im also mr. Leg day. 1989 anyone can become an agent of innovation with invesco qqq, a fund that gives you access to nasdaq100 innovations. I go through a lot of pants. Before investing carefully read and consider Fund Investment objectives, risks, charges, expenses and more in prospectus at invesco. Com. Across the globe, industries are transforming and businesses need to navigate the changing landscape to stay ahead. When you partner with barclays, every change leads to a bold possibility. You have the vision. We have the insights, Financial Solutions and Global Perspectives to help you make it real. Barclays corporate and Investment Bank powering possible. Reports and explain why. Reports and explain why. Is it possible my network could take my business to the next level . It is with comcast business. Powering all your devices with gigspeed wifi. And you get fast downloads and uploads. Pick it up pick it up oh we got this because its powered by the next generation 10g network. More speed for your business . Its not just possible. Its happening. Get started for 59. 99 a month for 12 months. Plus, ask how to get an 800 prepaid card with a qualifying internet bundle. Comcast business, powering possibilities. Welcome back, everybody. Microsoft and alphabet reported earnings yesterday. Googles cloud revenue missed expectations, and as a result, that stock is down by about 6. 8 . Joining us now is paul meeks, veteran professor at the school. Lets dig through these numbers. If you were looking at the quick read on the Earnings Report on this, you would say, okay, great news, they came in with earnings a u above expectations. What happened with alphabet . Whats the big disappointment . You hit the nail on the head. They were expected to deliver 8. 6 billion in cloud revenue. They came in with 8. 4 billion. The 8. 4 billion is still 22 growth and even though microsoft with its Cloud Business assure grew 29 , they gave some share, its still pretty robust growth by goggle and i think the reaction today down 7 on a miss of 20 billion on an over 8 billion number is a gross overreaction. I actually think alphabet is a pretty compelling buy right now today. Okay. Thats a strong move on this. If you want to dig through the rest of whats happening there, you probably liked what you saw when it came to advertising and some of the areas where their were operating pretty well. What did you think digging through the rest of the numbers for alphabet . Digging through the rest of the numbers for alphabet, everything looked good. Its going to be driven p by the digital ad market and that accelerated and all sub segments within that, so im pretty pleased. You know, joe said the right thing at the beginning of the segment, nothing looks good, including google, other tech stocks and maybe generally other tech stocks overall. You know, technicals look pretty poor. Do you rush in and buy google aggressively . Id actually buy it. Today its go going to break through its 50Day Moving Average. I think you buy a little bit and maybe scale in to alphabet in that range of 125 to 115. More for technical reasons, not because weve had poor fundamentals with the Cloud Business. I think theyre going to be fine over time. I dont think this is going to be that relevant. Lets talk about the tech issues. What concerns you . Where do you think were headed . Unfortunately weve had a nasty day on the 50Day Moving Average and it will be on high volume this morning. That looks pretty bad. Weve been in this range of above the 50day support very early since 2023. Thats why i suggest maybe buy a tidbit on what i think is an overreaction of the cloud revenue miss, but scale in over time. We could be lower. We could go down do 125, maybe 115 on the down side. But, yeah, the technicals or the price chart looks unfortunately pretty nasty for this Company Despite the longterm fundamentals are solid. I would go in, as i said, more slowly and deliberately more for a market reason than a fundamental reason. If its not fundamentals and its the technicals, what do you think . Is it the broader issues facing the uncertainty, markets, global peace at this point . Youre absolutely right. I like the discussion that you had at the beginning of the show. Yeah, we have a lot of issues. You know, the geopolitical conc concerns, the lack of a house of speaker in the house of representatives, and, of course, the tech stocks, theyre oober sensitive. And the tech stocks were based on the premise that before we got to the elkds of 2023, wed start to lower rates and now we have one maybe ratchet up, and thats not much of a big deal. Were very close to the end of the rate hikes, but higher for longer. If we dont start to lower rates until maybe this time next year, thats the biggest problem of all with any of these Aggressive Growth stocks, alphabet and others included. Microsoft shares are up by better than 3 this morning. Do you like those shares too . They look like they beat on every metric, and the cloud revenue looked pretty good too. Yeah. Their cloud revenue is accelerated, which i thought was very impressive. They also talk they have a million subscribers, so you get a little bit of that ai push finally, but i would own microsoft. I do own microsoft. I would own alphabet. I do own alphabet. I think microsoft is fully priced. Wouldnt buy it. Wouldnt sell it. Would just hold it. But i do see an opportunity in alphabet shares. Paul, thank you for being so decisive today and walking people through. I think people have a better idea walking away from this interview, thank you. Sure, thank about you. Coming up, blackstones steve weighing in about workers working from home. He said stop the presses. Workers dont work as hard. And well bring you the latest reaction on wall street. Squawk box will be right back. Announcer squawk box is sponsored by wisdomtree, theal fa pioneer. Doors lead us to places weve never been. Your dedicated fidelity advisor can help you open those doors. They can help you create a retirementincome plan designed to balance growth and guaranteed income. And provide access to specialists who help with Estate Planning to look out for future generations so youre not just growing and protecting your wealth. Youre sharing it. Because doors were meant to be opened. Great job, everybody to finally lose 80 pounds and keep it off with golo becauis amazing. Re meant to be opened. Ive been maintaining. The weight is gone and its never coming back. With golo, ive not only kept off the weight but im happier, im healthier, and i have a new lease on life. Golo is the only thing that will let you lose weight and keep it off. Who loses 138 pounds in nine months . I did golos a lifestyle change and you make the change and it stays off. soft music schwarzman making news at the summit known as davos in the desert. He said the reason its difficult to get workers back to offices is because they arent working as hard as home. He also pointed out that people profit from remote work because they save money on commutes, lunches, and work attire. Schwarzman says he expects companies to cut back on office space when their leases end and calls some Office Companies not survivable. But he said newer offices are proving resilient and demand for warehouses continues to rise. He said blackstone investors are expected to be at their desks five days a week. Kind of an annan kronistic guy from the 70s. Hes a square dude, like me. I agree. Youre at home and its like, i wonder whats going on. Let me look at this. I cant imagine you work as hard at home. I mean, dont you need some supervision . Why are there supervisors if you dont need to be supervised . I can think of some individuals or careers where you dont need to be. Ifyoure a Computer Programmer do you think the Computer Programmer works as hard at home as he does in the office . He works harder. You think hes oldfashioned. If you need to be in a meeting where you have to sit how about human nature where youre at work in a cubicle and the boss can walk by any second. Youve been in cubicles. You know what we used to do . The jumble and all kinds of stupid things that unless the supervisor came around. And you would terrorize them until they walked away. See, thats a skill. I can work here or at home and not do anything. I