>> [OPENING BELL RINGING]
ASHLEY: GREAT STUFF, BILL, WE’LL
LEAVE IT THERE, PEOPLE HAPPY AND
CLAPPING AS ALWAYS BEFORE THE
OPENING OF THE MARKET
KICKING OFF THE NEW TRADING WEEK
AS WE SAID THE DOW HAS HAD SEVEN
LOSING WEEKS IN A ROW, HAVEN’T
DONE THAT FOR OVER 20 YEARS.
ALL RIGHT, WE ARE OFF AND
RUNNING, THE BUTTONS ARE BEING
PUSHED.
LET’S TAKE A LOOK AT THE DOW 30
AS WE JUST GET THE FIRST TRADES
RECORDED.
ALL RIGHT, CHEVRON, MERCK, UP AT
THE TOP SALESFORCE, APPLE AND
VISA AT THE BOTTOM WE ARE DOWN
ON THE DOW ABOUT 75 POINTS RIGHT
OUT OF THE CHUTE.
LET’S TAKE A LOOK AT THE S&P
ALSO DOWN SLIGHTLY, ABOUT ONE-
THIRD OF A PERCENT AT 40,000
, I MEAN 4,000, NOT 40,
ABOVE 4,000, BUT THE NASDAQ DOWN
MORE THAN HALF A PERCENT AT 11,
730 SO IT IS A MODESTLY-LOWER
BEGINNING.
LET’S TAKE A LOOK AT THE BIG
TECH WE’VE BEEN TALKING ABOUT
BIG TECH AND IS THERE AN
OPPORTUNITY TO BUY HERE?
WELL, MICROSOFT DOWN AGAIN,
SORRY, STU, 1%.
APPLE, ALPHABET, AMAZON, META
ALL DOWN AGAIN, META PLATFORMS
OR FACEBOOK AS IT USED TO BE
KNOWN, DOWN 1%.
LET’S TAKE A LOOK AT TWITTER
FALLING TODAY.
DOWN WELL, APPROACHING 4%, LET’S
BRING IN SUSAN LI.
GOOD MORNING, SUSAN.
THIS HAS GOT TO BE RELATED TO
THE ELON MUSK SOMEHOW, RIGHT?
SOMETHING HE SAID OR DONE.
>> WELL, THERE ARE DOUBTS ABOUT
THE DEAL, ESPECIALLY AFTER ELON
MUSK SAID THE DEAL WAS ON HOLD
TEMPORARILY AND THEN OVER THE
WEEKEND HE HAD ELON MUSK
TWEETING THAT TWITTER LAWYERS
HAVE WARNED THAT HE MAY HAVE
BROKEN THOSE NON-DISCLOSURE
AGREEMENTS IN THESE TYPE OF
DEALS BY TWEETING OUT HIS 100
SAMPLE SIZE AND ALSO ADDING THIS
WEEKEND I THOUGHT IT WAS
PRETTY FUNNY THAT WHOEVER SAYS
OWNING IT BE CHEAP, NEVER TRIED
TO ACQUIRE A SOCIAL MEDIA
COMPANY, EXCLAMATION POINT.
SO HERE IS THE THING.
WALL STREET IS PRETTY MUCH IN
CONSENSUS THAT THIS IS EITHER A
RENEGOTIATION TACTIC TO POSSIBLY
GET A LOWER PRICE, OR POSSIBLY
AN EXCUSE FOR ELON MUSK TO
FIRST OF ALL PROVE TWITTER FRAUD
AND MISREPRESENTATION SO HE CAN
WALK AWAY, EITHER HAVING TO PAY
THAT BILLION DOLLAR BREAKUP FEE
WHICH ISN’T A LOT OF MONEY FOR
SOMEBODY WORTH $200 BILLION
OR HE COULD EVEN PAY SOMETHING
LESS THAN THAT $1 BILLION TO
WALK AWAY IF HE CAN PROVE THAT
IT’S FRAUD WITH THOSE ACTUAL
USER NUMBERS.
NOW, MUSK CALCULUS HAS CHANGED
OBVIOUSLY IN THIS DEAL.
TESLA STOCK IS DOWN 40% FROM THE
PEAKS, AND DON’T FORGET HE’S
PLEDGING SOME OF THAT TESLA
STOCK IN WEALTH IN TRYING TO
ACQUIRE TWITTER.
ALSO SOCIAL MEDIA COMPANIES HAVE
BEEN DISCOUNTED 25% IN THIS
SELL-OFF, SO WITHOUT MUSK,
TWITTER MIGHT BE WORTH SUB-$30
ACCORDING TO A LOT OF WALL
STREET ANALYSTS AND BY THE WAY
THERE’S NO SECOND BIDDER SO IF
ELON MUSK DOESN’T BUY, WHO ELSE
IS STEPPING IN?
THERE SEASONED ANYBODY RAISING
THEIR HAND RIGHT NOW.
ASHLEY: GOOD POINT AND IF YOU
HAD TO BET ON ANYONE BREAKING AN
NDA, I THINK ELON MUSK WOULD
COME IN FIRST, FOR SURE.
ALL RIGHT, WE’LL MOVE ON.
SHOW ME BITCOIN.
THE FOUNDER OF THE CRYPTO
EXCHANGE FTX SAYS BITCOIN HAS NO
FUTURE AS A PAYMENT.
TELL ME WHY.
>> BECAUSE BITCOIN’S UNDERLYING
BLOCKCHAIN TECHNOLOGY IS HARD TO
SCALE, ACCORDING TO SAM BANKMAN
FREED, WHOSE A 30-
YEAR-OLD, $20 BILLION RICH
BILLIONAIRE SO NOW THE
UNDERLYING TECHNOLOGY UNDER
BITCOIN, BLOCKCHAIN, IS CALLED
PROOF-OF-WORK AND YOU CAN ONLY
MINE A BITCOIN BY VERIFYING
MILLIONS, IF NOT BILLIONS OF
TRANSACTIONS USED ON THAT
BITCOIN BLOCKCHAIN, SO THAT KIND
OF TECHNOLOGY IT NEEDS TOO MUCH
TIME, TOO MUCH ENERGY TO BE ABLE
TO USE MILLIONS OF TRANSACTIONS
PER-SECOND WHICH IS HOW YOU
TRANSACT PAYMENTS.
ETHERERUM MIGHT BE BETTER AS IT
MOVES TO NEW, FASTER TECHNOLOGY
IN ITS BLOCKCHAIN TECHNOLOGY BUT
BITCOIN IS STILL SUB-30,000 THIS
MORNING AFTER CRYPTO
$270 BILLION 48 HOUR CRASH LAST
WEEK AND THE SECOND RICHEST MAN
IN CRYPTO, AS I MENTIONED FTX
U.S. HAS
1.2 MILLION USERS HERE IN THE
U.S. , IT COULD BE GETTING A
NEW YORK LICENSE PRETTY SOON,
BUT YOU KNOW, HE ALSO MADE
HEADLINES LAST WEEK WHEN HE
BOUGHT THAT 7.5% STAKE IN
ROBINHOOD FOR $650 MILLION, SO I
HAVE TO TELL YOU THAT IT’S ONE
TO WATCH IN THE FUTURE, THEY’VE
CALLED HIM THE NEXT MARK
ZUCKERBERG AND IF HE WANTS TO
GET INTO EQUITY TRADING NOT JUST
CRYPTO TRADING, HE’S DEFINITELY
A FORCE TO BE RECKONED WITH.
ASHLEY: HE IS A MOVER AND A
SHAKER.
ALL RIGHT LET’S TAKE A LOOK AT
NETFLIX, BEEN A PRETTY ROTTEN
TIME FOR NETFLIX BUT GUESS WHAT
THEY ARE UP 2.5% AFTER GIVING A
SURPRISE UPGRADE.
>> SO WEDBUSH HAS BEEN A BEAR
FOR A LONG TIME ALL OF A SUDDEN
BECAUSE WE’RE DOWN AT 2017 LEVEL
S NETFLIX STOCK NOW
THEY ARE BULLISH GOING
OVERWEIGHT ON NETFLIX AND
TALKING ABOUT THE STAG AFTERRED
RELEASE OF HIT SHOWS LIKE OZARK
AND STRANGER THINGS THAT WILL
HELP REDUCE CHURN WHEN IT COMES
TO USERS AND THAT’S WHY NETFLIX
MIGHT BE POSITIONED TO GROW IN
THEIR VIEW.
NOW WE’LL GET BACK TO $600, $700
-PLUS LEVEL FOR SOMETIME,
BUT IT WILL BOUNCE, THEY SAY,
OFF ITS LOWEST FROM 2017 THAT’S
WHAT WE’RE TRADING AT RIGHT NOW
AND ITS BEEN, QUITE A TURNAROUND
TO ALL OF A SUDDEN GO BULLISH ON
NETFLIX SHARES, IT TOOK A HUGE
SELL-OFF, OBVIOUSLY.
ASHLEY: YEAH, LOOK AT THAT GRAPH
IT’S JUST A CLIFF.
LOOK AT RIVIAN.
RIVIAN FORD IS SELLING MORE
SHARES OF THE COMPANY.
HOW MANY ARE THEY?
>> YEAH, 7 MILLION RIVIAN
SHARES SO THAT’S ON TOP OF THE
8 MILLION THEY SOLD LAST
WEEK.
FORD STILL OWNS AROUND 9.5% IN
RIVIAN THEY ARE STILL A BIG
STOCKHOLDER WITH 75 MILLION
SHARES ON THEIR BOOKS STILL AND
RIVIAN DID RALLY LAST WEEK,
AFTER REAFFIRMING THAT 25,000
TRUCK PRODUCTION TARGET FOR THIS
YEAR AND THEY HAD
90,000 RESERVATIONS SO THERE’S A
LOT OF DEMAND FOR THEIR PICK-UP
TRUCKS IF THEY GET ON THE ROAD.
TESLA, SINCE WE’RE ON THE
ELECTRIC TRUCK THEME AND
ELECTRIC CAR THEME, IT HAS THE
WIDEST ANALYST GAP OF ALL
STOCK OUT THERE, WE’RE TALKING
ABOUT $250 CALLS, ALL THE WAY TO
$620 A SHARE, ACCORDING TO
ANALYSTS.
NOW THE STOCK IS UP 22000
PERCENT SINCE IT’S 2010
IPO AND ARK INVEST CATHIE
WOOD IS CALLING FOR 4,600 FOR
THE STOCK BY 2026 BUT
THERE’S SOME SHANGHAI COVID
LOCKDOWN HANGOVER OVER THE STOCK
TODAY AND LET’S CHECK IN ON
LUCID WHICH IS THE OTHER HIGH
FLYING ELECTRIC CAR NAME, GAS
PRICES HITTING A RECORD HIGH NOT
HELPING THE STOCK RIGHT NOW.
ASHLEY: YOU DON’T SAY 22000
PERCENT VERY OFTEN, BUT
HEY --
>> IT’S INCREDIBLE.
ASHLEY: YEAH, LET’S TAKE A LOOK
AT JETBLUE AND SPIRIT AIRLINES.
SPIRIT REJECTING JETBLUE’S
EARLIER TAKEOVER, BUT NOW
JETBLUE MAY GO HOSTILE IN THIS.
>> DEFINITELY SO THIS IS
INTERESTING BECAUSE THE TENDER
OFFER IN THIS HOSTILE BID IS $30
A SHARE THAT’S WHAT JETBLUE IS
OFFERING TO BUY SPIRIT AIRLINES
IN CASH.
NOW, REMEMBER THAT SPIRIT SAID
NO THE FIRST TIME AND GUESS HOW
MUCH JETBLUE IS OFFERING THEM.
THEY WERE OFFERING MORE AT $33
BUT I GUESS BECAUSE OF THE
SELL-OFF THAT WE’RE SEEING
IN VIRTUALLY EVERYTHING IN THE
STOCK MARKET, INCLUDING IN
AIRLINE STOCKS, SO JETBLUE IS
SAYING WELL, ACTUALLY, $30 MIGHT
LOOK GOOD TO SHAREHOLDERS, I
MEAN, SPIRIT AND THEIR EXECUTIVE
BOARD CAN SAY NO BUT STOCKHOLDER
S, THAT MIGHT BE
PRETTY LUCRATIVE IN THEIR VIEW,
SO THIS DEAL GETS DONE IT BE THE
FIFTH LARGEST AIR CARRIER
IN AMERICA, BUT DON’T FORGET YOU
STILL HAVE FRONTIER OUT THERE,
THEY ALREADY HAVE THIS AGREEMENT
WITH SPIRIT, BUT I THINK IT
DEPENDS ON THE STAKEHOLDERS AND
WHETHER OR NOT THEY SAY $30 IS
ENOUGH TO GET IT THROUGH.
ASHLEY: EXACTLY.
INTERESTING TO FOLLOW THOUGH,
SUSAN LI THANK YOU SO MUCH FOR
THAT RECAP OF SOME OF THE
BIG STORIES GOING ON.
LET’S TAKE A LOOK AT THE DOW
WINNERS IF WE CAN IN A VERY
EARLY GOING SEVEN AND A HALF
MINUTES INTO THE SESSION, ENERGY
DOING FINE, CHEVRON, TRAVELERS,
MERCK, AMGEN AND CATERPILLAR, J
& J ON THERE TOO, UP JUST ABOUT
HALF A PERCENT.
ON THE S&P 500, NETFLIX WE JUST
TALKED ABOUT THEM, GETTING AN
UPGRADE FROM WEDBUSH UP 3%,
OCCIDENTAL ANOTHER ENERGY PLAY
UP NEARLY 3%, CIGNA UP 2.25%,
AND THE NASDAQ WINNERS, WELL, OF
COURSE NETFLIX AGAIN, ELECTRONIC
ARTS, EA, T-MOBILE UP HALF A
PERCENT AS WELL, THOSE ARE THE
TOP WINNERS ON THE NASDAQ SO
FAR ABOUT EIGHT MINUTES INTO THE
SESSION.
QUICK CHECK OF THE BIG BOARD,
THE DOW ITSELF OFF JUST SLIGHTLY
, TWO-TENTHS OF A
PERCENT DOWN 52 POINTS CHECKING
THE 10 YEAR TREASURY YIELD DOWN
CLOSE TO TWO BASIS POINTS AT
2.900 EXACTLY ON THE 10 YEAR.
TAKING A LOOK AT GOLD DOWN
ANOTHER COUPLE OF BUCKS, IT’S AT
$1,806 FOR GOLD.
TAKE A LOOK AT BITCOIN, BEEN
HOVERING AROUND THE 30,000 MARK
IT’S UNDER THAT NOW DOWN 238
BUCKS AT 29, 718 ON BITCOIN, OIL
MEANWHILE, STILL AT $110 A
BARREL DOWN JUST $0.33 NOT
EXACTLY THE RELIEF WE’VE BEEN
HOPING FOR , AND NAT GAS UP 6.3%
AT $8.14, AND ONCE AGAIN THE
AVERAGE PRICE FOR A GALLON
OF REGULAR GAS IN THE UNITED
STATES IS AT $4.48.
IT HURTS EVERY TIME YOU FILL UP
THE VEHICLE.
IN CALIFORNIA, YOU’RE CRYING IT
HURTS SO MUCH YOU’RE CRYING IT’S
ALMOST $#, IT’S $5.99 A GALLON