Web cam shortage . The nations hottest supplier going gangbusters after its computer equipment outfitted so many home offices during the work from Home Movement. The ceo of logitech is here in a fox business exclusive. I will ask him can we speed up the manufacturing of the web cam . And Actress Lori Loughlin faced a web cam and a judge via zoom for trying to sneak her kids into college. Now one Major University system says applicants no longer need to take the sat or the act. They are moving on because it can be gamed and so many more reasons. The khan academy has been invented so any student can learn from free, from Kinder Garden to those studying kindergarten to those studying for college, he is here. As more kids turn to him from home. Less than an hour of the closing bell on this friday, so glad you are with me. Lets start the claman countdown. Breaking news, more headlines coming out right now, following the all out effort to push for a vaccine by the end of the year. Reuters has reported some previously secretive news. Top u. S. Health Officials Say according to reuters that the oxford groups vaccine may be tested along with modernas vaccine starting this july. So really just a month and change away. Vaccines from j j, sanofi, and merck may also be added this summer as soon as they finish phase one safety studies. Investors are undecided on the news. We have red on the screen except for moderna moving higher by 2 1 2 . The other names mentioned, johnson johnson, merck, sanofi moving slightly lower to flat. Oppenheimer has given a communications reit an upgrade to outperform saying it is poised to cash in on the 5g boom as wireless carriers spend money to build out new networks, which theyve promised, by this fall. Who even knows if thats going to happen . Look at american tower, up 5 3 4 percent at the moment. Lets get to footwear maker crocs. B. Riley initiated coverage at equal weight saying the stock is fairly valued. It is up 58 quart to date quarter to date, down about 2 1 2 today. With summer to come, upside ahead for crocs . We shall see. But about what teva, their deckers outdoors up 6 1 2 . Maybe if you are lucky, later on the show, i will show you my pair of crocs. Reality superstar Kylie Jenners skin care brand in europe, cody better by 13 . Elf jumping 16 nice move there. Crocs and flipflops this weekend marks the unofficial start of summer but considering both the dow and the s p have gained 31 a piece since the march 23rd covid low, what catalysts will possibly move the markets from june and beyond and not necessarily up or down . So wall street began the day looking abroad. Were used to seeing hong kong street protests over the past year, right, but scuffles broke out in of all places hong kongs parliament this week. Thats the scene on the left hand side of the screen here. Parliament members shoving each other around. What was the trigger of this argument . Beijing is expected to introduce a National Security law. Last year months of violent demonstrations against chinas move to undermine the territorys Judicial Independence rocked hong kong and crushed the economy. President trump warning that the u. S. Will react strongly against china if it tries to clamp down on freedoms in hong kong. What kind of catalyst in the u. S. . Aside from the story we just told you, biotech Lab Scientists are working day and night to find a vaccine for the covid19 pandemic that still plagues much of the world and of course global economies. To the floor show on this friday ahead of the holiday weekend, tom, i wouldnt ignore the hong kong situation. This afternoon, the u. K. , australia and canada issued a joint statement. I have it right here, saying that china will be in violation of the joint declaration that had been signed years ago by china and the u. K. That had granted hong kong some really strong autonomy. Will that turn up the heat on these markets, if China Presses its very hard thumb down . What do you think, tom . Well, very well it could, liz. You know, youve got the rhetoric really elevating between the Trump Administration and china, with regard to coronavirus culpability, now the power grab in hong kong, and issues like that. I think moving forward as we look at u. S. Markets in order for us to sustain levels and push higher with the wall of worry, we will see a rotation into cyclicals. This is very very common after two quarters of negative gdp growth, historically we see a rotation into these types of stocks. Right now the top five stocks of the s p 500 make up 25 of that weight. We need to see a broadening participation. I think we will see that in banks. Liz very true. I think we will see that in defense stocks. Thats why what you brought up, liz, is so appropriate right now. I think just the increasing rhetoric between the Trump Administration and china, although i dont see it going into another trade war or into a cold war, i think its enough to bring attention to the valuation of these stocks. You know, this sector was down 60 during the great financial crisis. This cycle it was down 55 . With the market up so much off the lows, theres still some really embedded value in this sector, banks, homebuilders, and energy, which i will let phil talk about that. Liz we just showed what some of the biggest names in the sector have done, phil, up 33 or so percent for lockheed martin, some of these other names, but what do you think will be the catalyst and there could be a good catalyst and then a bad catalyst; right, phil . It is, you know, were getting mixed signals out of everything. Take china, for example, overnight, you know, on one hand, we get signs from china that hey were on track. We will meet our obligations when it comes to the u. S. Trade agreement. That should have been a big positive for the market, but then on the other hand, you have the situation in hong kong that is a big issue, right . This has been boiling for some time, and its interesting enough, though, you know, why would people say this is a u. S. Trump situation with hong kong, but it is not. As you mentioned in the beginning, this is a worldwide concern, you know, and if china of course really cracks down on hong kong, i think the entire world is going to have issues with china. Having said that, i mean, i think the stock market is recovering because of what . Were seeing a great recovery in the economy. Its starting to open up a little bit. You know, we have stimulus coming from, you know, the fed. We have stimulus coming from congress, potential another deal down the road, probably not the one on the table, i hope not anyway, but another deal coming, listen, they have got the back of companies. Theyre reducing regulations. Every time thats happened, liz, its been very bullish for stocks. You cant underestimate this. Are there going to be head winds, problems . Probably. But any hard break, i would be a buyer. Liz Warren Buffett said two weekends ago dont count out america. Dont bet against america. Phil, tom tim, rather wait, sorry. Thank you very much. Liz great to have you both. It is friday. Okay, were all heading into a long holiday weekend, but remember, it is memorial day, and we remember those who gave the ultimate sacrifice. I really feel strongly about that. Closing bell ringing in 51 minutes. Look at the dow. Dow had been down 180. Were down just 26 right now. Stay with me. You may see a pop into the green. Palo Alto Networks blowing past the pandemics firewall beating on both the top and bottom line in the lockdown quarter. The cybersecurity giant saying booming demand for online protection only just beginning, as the work from Home Movement actually becomes the norm for many companies. Facebook says 50 of their workers may end up staying at home forever. Palo Alto Networks up 3 . Americans dining tables, oh, boy, you should see mine, turning into desks and work spaces for both parents and students, but could the news last night that a top University System here in the states has now officially turned its back on standardized testing be about to up end the entire Education System and the College Admissions process . Khan academy ceo live here on what students can do right now to stand out, with or without the sat or the act. You wouldnt accept an incomplete job from anyone else. Why accept it from your allergy pills . Flonase sensimist. Nothing stronger. Nothing gentler. Nothing lasts longer. Flonase sensimist. 24 hour nondrowsy allergy relief staying connected your way youre just a tap away from personalized support on xfinity. Com. Get faster internet speeds with a click. Order xfi pods to your home in a snap. Or change your Xfinity Services with just a touch. All in one place. Youre only seconds away from all of that on xfinity. Com. Faster than a call. Easy as a tap. Now thats simple, easy, awesome. Liz breaking news, pleading guilty by zoom for somebody who spent years playing to the cameras full house Actress Lori Loughlin barely said a word as she and her husband admitted to pay 5g 00,000 500,000 in bribes and lying on their applications for their daughters in order to get their kids into usc. She and her husband who also entered a guilty plea himself via virtual zoom, seriously zoom, will be sentenced august 21st. They had been ensnared in operation varsity blues, a much larger College Admissions scandal where wealthy parents across the nation paid bribes to a College Counselor turned government witness who cheated to get their kids sat scores hiked, hence landing them coveted spots at yale, stanford and other top universities. Talk about timing, late last night, the university of california, that includes ucla, u. C. Berkeley, uc santa cruz, san diego, irvine announced it will suspend the use of sat and act scores in the admissions process by 2024. The ucs join a legion of prestigious universities that have already either made testing optional or dumped it entirely. Joining us now sal khan, founder and ceo of khan academy, the education website that offers world class instructional tests and videos for free. Sal, great to have you on the show again. Its been too long. What was your gut reaction to the news that the uc system which represents some 280,000 students basically said no more, were done, not using act or sat anymore after the next couple of years to judge the readiness of applicants for college . Yeah, you know, it is one of those situations where i actually have competing conflicted feelings about it. On one side, standardized assessments have a place. They can be a useful signal. They do correlate with how well students are ready for college. On the other hand, they can be anxiety inducing, maybe people index a little too heavily on them, maybe theres unequal access to it. We have partnered with the College Board. We are the official sat practice for the country, to help solve some of that inequity. So i completely get where the regents, why they thought about making this decision but now they will have to think about what other signals, what other ways can they figure out whether students are College Ready or not. Liz yeah, you actually do have some test prep on your website, which by the way is philanthropic. It is free so that people can use it for free. Everyone make your donations. I think thats really important because this is world class opportunity on your website, but what as we look forward do you really feel both operation varsity blues and this covid crisis have done to Online Education, as so many people were locked down . Yeah, well, you are seeing i guess you could say a renaissance in Online Education and people in very fast order are adopting it. We have seen our traffic go up by a factor of three. We were serving 20 Million Students a month before the crisis. Now our registrations are past 100 million learners. We have approaching 100 million minutes of usage per day. You are seeing that across the board. When you think about college, i think it is going to be really interesting this coming back to school, this is obviously in the u. K. , but Cambridge University has said they are going to be online all of next year, and a lot of universities will be online for the first semester. Thats making a lot of students and families wonder well, maybe there are lower cost alternatives to instead of getting 10, 20, 30,000 dollars in debt, i can at least spend the first year of my freshman, maybe my first two years doing some type of online courses start getting those credits then once schools open i can benefit from the quad and throwing frisbees and the late night dorm conversations when they exist. Liz yeah, i get it. But every industry is disrupted, and who knows whatever that catalyst may be. Give me a sense of how you feel k through 12 education will forever perhaps be disrupted by what weve all learned from educating our kids at home. I have two who have been doing homework and zoom classes. I know you have got three much younger kids. What now . I have been looking and noticing advertisements for accredited k through 12 schools. Thats become some kind of industry. What do you think about that development . Yeah, you know, i think there is a class of families and children for whom pure virtual might work. But i think especially if you have young children, you know, i have been trying to cope with my 5yearold the last several weeks. [laughter] theres much more than just the academic learning which in theory you could get a lot of that virtually. You need the socialization. You need the support. Theres even a child care aspect to it. I think for most families they will need some form of physical experience. Thats good for students. Now with that said, when we talk to the superintendents around the country, they realize that this coming back to school might set a new normal, where some kids come part of the time. Some kids dont. They might have an elderly relative. They might be immuno compromised themselves or a Family Member is so they will have to experience the School Virtually for sometime. Thats going to create this world where i think even post covid, you are going to have this hybrid approach. Theres going to be experiences that you can have in the classroom, but online is always an option, and essentially learning wont be bound by time and space. Liz i know that i turn to khan academy for my kids. I want to say seven years ago. You were founded in the 2000s, by you, to help your little cousins who needed some help. What are your most popular courses online and your test preps online . Yeah. You know, we started my little cousin is now 30 years old. So time goes by. [laughter] as you mentioned, i started tutoring Family Members back in 2004. Word spread around my family that the tutoring was going on. We set it up for not for profit in 2009. Became a Real Organization in 2010. We are most known for math, also associated with the videos. Most of what we invest in are the interactive exercises where kids can get as much practice they need, learn at their own pace, teacher tools, science, biology, chemistry, physics. We launched khan academy kids, math, reading and writing for younger kids. We have some of the strongest efficacy studies behind it. Better than anything you might be tempted to pay money for. Also official practice border with the College Board around sat. 70 of all American Kids use that to prepare for the sat. Liz im glad you mentioned the College Board. We did reach out to the College Board. They just came out with a statement, sal, and in essence what they are saying, and i asked them, what do you think about the uc system dropping the sat and act . And they said, quote, regardless of what happens with such policies, our Mission Remains the same, to give all students and especially low income and first generation students opportunities to show their strength. I know they give deals, but this is a 1 billion dollars industry with tutoring and test prep and im not so sure its the worst thing in the world that schools like wesleyan are now test optional, union college, test optional, theres an entire list of these. In the end, can we end with a final thought about that . Yeah, you know, i think theres a reality that throughout the world, if the affluent feels theres a way that resources can be used to better give their child preparation, you saw with the varsity blues scandal where it bordered or went into the illegal, they will try. I think you can shift the rules. You can shift whats used, but there will always be these Cottage Industries around College Admissions and prep. I think the solution is actually to make more equitable tools so that students can get College Ready. I applaud the College Board for working with us. They give us resources so we can give free sat practice to the world. Thats the type of thing that will allow more students to become College Ready. Liz okay. Sal khan, and sal, as a uc kid, graduate, i wish they hadnt had the sats when i was there, but i did promise i would show my crocs, and it all goes into the fact that i bleed blue and gold for u. C. Berkeley, yes, crocs sent me i mean is this amazing or what . These are cal crocs. Good to see you, sal. It is great. Thank you for everything you have done. [laughter] thanks for having me, liz. Liz sal khan of khan academy. Yeah, closing bell, 37 minutes. Were still strugglin