o occidental, the big outperformer in 2022 has valero, exxon and halliburton all up 40%, but clean energy names like sun run, sunnova and lithium and plug power all sharply lower and thanks to tight fundamentals and j.p. morgan saying today that oil and gas stocks are the most attractive group in the market especially after the recent weakness higher commodity prices could actually boost renewables, too, since it makes them cheaper in comparison meantime, supportive policies like the extension of the investment tax credit can lift the group. we've heard the narrative for a while now about near-term weakness and long term opportunity which begs the question if and when will it shift? >> right if not now when? >> exactly, pippa, thank you very much. pippa stephens high energy prices have one big headache for the transports. now we'll have another westport port strikes and we'll dig into the implications on "power lunch" which begins right now. ♪ ♪ >>> and welcome to "power lunch. i'm eamon javers in today for tyler matheson an inflation battle. strategists say stocks won't rally until i

valero, exxon and burton, all of around 40%. but clean energy names like sun run, cenote, sonoma, lithium americas, and pleasant power, all sharply lowered. analysts remain bullish. thanks to tight fundamentals. j.p. morgan, saying today that oil and gas stocks are the most attractive groups in the market. especially after the recent pullback. highest commodity prices could boost renewables as well since it makes them cheaper in comparison. meantime, supporting legislation sent an extension of the investment tax credit could also lift the group leslie by starting in the second half in the red across the board. >> we will see if we get any new reversion between those two spaces in the second half of the year. for now, very clear winners and loggers. thanks. appreciate it. speaking of the market volatility, we open in the red. >> in the green. >> opened the green. futures were in the red opened in the green, now back in the green. it is just a matter of low liquidity levels. >> it is ism numbers, shortfall and new orders. that is

is the worst performing sector today with significant drops for names like devin energy, occidental, valero and marathon oil coming up we'll hear highlights from sara's panel with wells fargo ceo charles scharf including whether the u.s. is heading to a recession and his latest read on the housing ma market jerome powell vowing to fight inflation speaking at the european central bank forum earlier today saying the biggest risk to the economy would be to fail to restore price stability but a soft landing still possible >> we think there are pathways for us to achieve that, to achieve the path back to 2% inflation while still retaining and sustaining a strong labor market we can do that that is our aim. there's no guarantee we can do that it's something that is going to be quite challenging >> joining us now from jeffrey's, david, how are you feeling now about the markets and about the fed's chances of this soft landing? i mean, he's not saying i feel really confident we can do it but maybe. we're still hoping >> yeah, i think his message has been very steadfast and i don't think there's much

quickly on your stock pick i see valero i see salesforce everything's been tough. >> the balance of growth and value here growth stocks tend to perform well during periods of slowing economic growth, which is what you expect we're not talking about conceptual companies these are solid companies like salesforce and cloud computing and we like energy, tight supply demand still isn't back at 2019 levels valero tend to benefit as more barrels come out of the ground and also the spr reserve should expire in october. all that is positive for energy. >> it is shockingly high, astronomically high in a name in that space thank you for your time. appreciate it. >>> meantime, nato leaders are in spain for one of the most consequential meeting in their 79-year history. it's already having a major impact on global defense spending look at lockheed and raytheon, significantly out performing the market northrup is up almost 20%. kayla. >> reporter: kelly, allied countries are bolstering their defenses against russia, which they've now officially declared as the most significant threat to the transatlanti

and we're just shy of that right now and about a third of a percent decline and the nasdaq down 0.75 valero and deafon up about 7% and marathon up about four the cruise stocks are some of the worst performers, royal, norwegian and carnival down 1% the nasdaq more than 28% off the major averages are coming off a sharp bounce the dow is up about 6% since its intraday june 17th low the s&p has gained 8%, and june 16th intra-day low well now to the market it's got more to prove than this is just a fleeting snapback and our next guest says he expects a 10% rally this summer led mostly by tech sector barry manster from stifel. on what are you bearing your prediction >> sentiment was very washed out. we wrote a report last week calling for this 10% bounce to 41.50 in the s&p i could see something closer to the mid 4,000 range and that would be close to 14,000 nasdaq and we're 5% below the street's estimates and it's a sentiment bounceback as people feel like peak fed, peak tightening was already priced into the real yields of the treasurys and that's what compresses the price-earnings ratio is tho

progress has been stopped on a brush fire that broke out this afternoon in do that's near the valero oil refinery. the fire burned about 10 acres. crews will remain on the scene for that for the next couple of hours to make sure that as well does not spark up again. of course, we'll continue to monitor all of these fires and bring you the latest as they come in grant. vicki, back to you. thank can obviously whether a key factor in all of this as we take a live look. >> outside tonight, san francisco international and fortunately that fog has worked its way back in, but we need it to keep going further east. and that >> kron four's at meteorologist mabrisa rodriguez here nodding. i know you're a big fan of karl. the is it going to help elsewhere inland? yeah, he's going to make its way all the way into the inland valleys through tonight. so help is on the way. thanks to call. he's not only cooling us down along the coast, but even for inland valleys going to provide some much needed moisture, help firefighters with those pop-up flare up. so we're tracking cooler temperatures increase

commitment to bringing down inflation and oil prices in focus pulling back down about 1% and that's sending valero down 8% and halliburton shares down 6% and chevron up more than 4% >>> all right, we start with tesla and questions about its growth ceo elon musk warning that tesla's new factories are, quote, losing billions of dollars. the comments were made during a late-may interview that are just now coming to light, ramping up new factories is, of course, a cash-heavy business. tesla shares are down 30% so far this year all while musk could potentially buy twitter. here to discuss tesla's road ahead is colin rush, research analyst at oppenheimer he maintains a buy rating and a price target of $191, and tim higgins and a cnbc contributor tim, why did this -- did these quotes about the hemorrhaging cash take so long to come out? >> they doled it out as slowly as they did. i think their idea was they were more interested in the excitement of products and this isa side note that that's why they're curious about what's going on and austin could become the next manufacturing helm which hurt tesla in

. >> mike, some of the names getting hit the hardest, valero, marathon, diamond back some of the refiners are under a lot of pressure. it feels like this group of stocks may be starting to worry about a slowdown but oil prices remain high. >> these are stocks, people are selling stocks and these are part of the indexes. what pippa mentioned about that margin of outperformance against the rest of the market, usually that's not something that can be sustained very long. bear markets don't leave you an easy place to hide like that on the other hand there is some concern that demand destruction is a growing risk and so therefore you don't want to extrapolate the earnings in cash flows they have had. it still looks like a correction and very strong trending for the stocks. >> does it mean we've seen the top for these stocks >> new york city i don't think so it's a very stiff correction but at this point i wouldn't call it over. >> stocks are down sharply here into the close show you what's happening. the low was down 928 on the dow. we're down a little more than 700, 833 right now ben emmons j

the president said in the request to the ceos of marathon, valero, exxonmobil, phillips 66, chevron, bp, shell, exxon responded saying they have been in contact with the administration updating the president on how. real quick, we have been monitoring the white house press briefing and something that just crossed and this pertains to oil, the white house saying that president biden is willing to use the defense production act if it could help oil refining capacity. so that is a new move from the white house and from president biden. now, remember the white house is also -- you know, president biden's going to be heading to saudi arabia, and john kirby, from the defense department said about a half hour ago basically that they are going to be talking about energy and oil production. all right. it's not just gas prices that are rising. the fed's rate hike today will have a very real impact on main street. gerri willis live in new york city with more. >> hi there, cheryl. that's right. jpmorgan chase behind me here, fifth third bank in cincinnati, they are already raising their prime ra

the refineries are -- the valeros of the world are making incredible profits that's because there are very few of them and can kind of go with the world price i understand why government would be upset >> nat gas yesterday, second worst day in history have to go back to '07 to see another 16%-plus drop, but our benefit is the europeans' problem. >> they needed that. this is the liquid trains, liquefied natural gas. >> two main exporters of lng freeport and shaneer freeport is a private company but enormous complex down there in texas >> don't forget semper is very good >> but it represents a lot of our export -- percent of our exported natural gas under carl's point yesterday i was like, wait a second, why is it going down but it drives the price down here but it's another problem for europe to a certain extent because this all gets exported they're having the delays far more than they thought it was three weeks originally. now they're talking months >> everybody's running everything 102%. we know from history when you run them like that things go wrong. and i think that that's just w

he called on exxon mobile and valero. joining me right now texas congressman, alex fluger, congressman, thank you very much for being here. what do you make of the president now turning it on the oil companies. first it was this president and this administration continuing to push for this climate agenda and telling everyone to end fossil fuel investments. now he's blaming the oil companies for this inflation. >> well, it's a classic show game of flipping the narrative, at least trying to. the mesh public is not buy -- the american public is not buying it. we have record inflation as you previously said on the show. we all know it's not just 9,000 leases. we need 90,000 leases. the oil companies have asked him to approve pipelines and infrastructure and we have been asking to make sure regulatory environment is predictable and to go to places like russia and venezuela and now ahead of his travel to saudi arabia to know that he's going to be asking another foreign country to produce what we can do right here is incredible

smucker's and valero and domino's pizza keep it right here we are back with "worldwide exchange" after this break that occur in their lives. for them it's the biggest milestone, the biggest accomplishment, the sale of a business, or an important event for their family. for them, it's the first and only time. we have seen this literally thousands of times, in thousands of iteratio ♪ ♪ i am vince lumia, head of field management at morgan stanley. whether that's retirement, paying for their children's college education, or their son or daughter getting married, our financial advisors need to make sure that they are making objective decisions, every step along the way. every time you hit a milestone, an anniversary, a life event, the emotions will run high. making sure that you have somebody, a team of individuals that have seen it before, have seen every circumstance and seen every challenge, and have your back when you need it most, is one of the most valuable things a financial advisor could provide to a family. i am vince lumia and we are morgan stanley. (vo) get verizon business u

in terms of individual names, look at occidental petroleum, also marathon oil, valero, each up almost 90% as well. even in a down market, there are still some areas showing some upside momentum. this is one of those situation that seems to be kind of uneed to what's been happening this year, given the inflationary narrative. >> yeah, i mean, dom, essentially anything you would define as momentum in this market is energy there's almost no other names that qualify on the other hand. pretty much all the charts you showed had a slight curl down. today energy is easing back a bit. it's one of those situations, you know, where we're wondering, you have to defer to the trend, but switch backs when things get this stretched should not be unexpected to. >> to your point, it maybe coincide also in the last few weeks or so, maybe a month or so with the increased chatter, right? that sentiment around that world recession. it certainty wasn't a base case talked about 6, 9, 12 months ago. a lot of folks are bringing in this possibility of, or it's not our base case, but could be a possibility discu

in the form of valero, the prior high of 120. that was the summer of 2018. mpc the summer of 2018 85 bucks but these names, don't mistake it they are still in play >> pete, here's the weird thing about oil and gas stocks is that they may not be riding any kind of economic trend and i say that because when economies go down, investment in new capital spending may also go down and oil's all-time high adjusted inflation was 2008 oil stocks actually performed well as the rest of pretty much everything else dumped out but do you feel like we might get close to a top, or can oil stocks continue to run >> you know, they could pause here but i continue to be very long so i think they're going higher, sul ly as a matter of fact it seems everybody has whatever metrics they're using, but a lot of folks have been reaching out about 140 as the next level. it is? i don't know we'll find out pretty soon we got up to 120 before. we pulled back that's exactly what you want to see if you're look, whether it's a stock or in this case a commodity. but you want to see a little b

refiners valero, others have gone what i call eiffel towerrish. i'm not saying late in the game. in and around here they have to settle down, pull back, relax. but then again we're dealing with a commodity. if oil prices side to go to 150 howl bets are off how far the stocks can go. keep our fingers crossed we do not go to 150. charles: absolutely. david, on the other hand you're a value investor. only 18% tech is over 200 day. 17% of consumer discretion nary. hard to think of them this way but those are getting in your wheelhouse? >> some of those names, value in tech, even consumer discretionary. you you can laugh at some names i own. i own a cemetery company. >> there are 500 jokes ran through my mind but i won't say any of them. >> but the problem is, a lot of these companies in the technology space they have been cut in half. charles: right. >> if you were 300, had no bottom line at 30 you're not any better value. any number divided by zero is still infinity. you have to dig down. things companies have to have this time around. they have to be growing they have to be generat

. >> you have particular ideas like eqt the net gas producer the refiner of valero. you still like exxon and chevron. you say the most underappreciated stock istia near, why? >> you think about the impact they've had globally europe was in a lot of trouble to start the year because they were going to run out of natural gas potentially. 85% of the exports have helped refill the europe natural gas story, which is going to help brace europe to get through next winter in regards to natural gas. fundamentally what i like about it and the market is not appreciating it is the company can generate a significant amount of cash flow year after year after year and the free cash flow yield is double digits and that type of double digit free cash flow yield for that duration should not just be priced at what the current price is >> there you go. it is in the green today so is valero rob, we'll leave it there for now. we'll check back soon. and a 10-year note top of the hour go up for auction this is a biggy. rick, how did it go? what are yields doing? >> it was a nasty auction. d

natural gas and gasoline futures taking a breather today, up 10% or more on the month exxon mobil, valero, apa all with really nice gains today look at, that you've got apa corp. up almost 7% now to a vegas bet this is not a casino stock, but vici properties is a roeit witha big footprint on the las vegas strip, the biggest in fact the stock is trading near its all time high after it was announced late friday it's being added to the s&p 500 it has outperformed the benchmark in the past month, quarter, six months and for the year, and joining us now is vici's ceo edward pitoniak good to see you today. >> congratulations on being added to the s&p 500 i'm just curious what this does for your company in terms of exposure, what does it do in terms of access to capital, and what do you do with it >> yeah, it's really the latest chapter, contessa in what's been the institutionalization story that vici represents just over four years since our ipo we've grown markedly during that period our market cap when i first started was 4 billion. today it's over 30 we had a couple dozen properties, we're u

i think you can buy them on any pull backs >> 52 week highs conoco phillips, marathon, valero, 66, apache jim, you have kinder more began. you don't own marathon >> sold it a few weeks ago, wish i held onto it it had done so well, i decided a bird in the hand is worth two in the bush i have kinder morgan, a nice dividend play to the natural gas discussion we were having, three quarters of their business is natural gas. i really like that one my sleeper for the next couple years is transocean. i will admit i bought it more as a trade, i think of supply demand imbalance, we'll be drilling everywhere. the rigs they have cold stacked are going to come out of cold stack. new builds honored get immediately put in production andat higher and rising day rate i like transocean. >> reminder, do not miss a new cnbc with david faber. june 22nd, 8:00 p.m. eastern time on cnbc. >>> a list of cheapest stocks in the market see if the committee thinks you should buy any of them you might be surprised by some of the names when we come back ♪ ♪ we all need a rock we can rely on. to be strong. to overcom

environment, if you look at what's leading and running, i feel that we have some energy exposure, in valero, eog think that's the right place to play the energy space. we have more beta to the sector in those two names we are trying to get full movement of energy names i think the thing to think about is is it right now the time to add from a cyclical perspective, and again, i see other opportunities in other sectors, given what energy has already done. >> josh, wasn't long ago you added ieo, you don't add things often, but this is certainly one place you looked >> yeah. i actually don't think stock picking in this space matters at all. i think this is a one way trade and that is predicated on oil and gas prices remaining elevated and u.s. companies continuing to invest less than they ordinarily would have during commodity price spikes. if this was 2005, 2006, they would be fracking and drilling their heads off. they're not doing that because i think the signal from wall street is keep up the great work, guys, with the profit growth these are companies that many of which had been private co

i like valero, too it is a company trying to do the right thing. refining is a dirty business i think the stock is going higher i'm sorry about the loss of your brother but you're doing the right thing for your family. jeremiah in florida. >> caller: long time listener. happy to be on the show today. a company that hit the 52-week high but last week the ceo sold 30,000 shares. diamond back energy. >> travis dice the ceo of diamond back energy is a visionary and it is an amazing company that is certainly welcome in anyone's portfolio. why don't we own it for the charitable trust we own almost every darn one wow! fang is a great company. that's a the new fang. a toerm i created. some may despise the oil and gas giants but the economy is dependent on them right now and got to embrace them if we get the price of gasoline down at the pump much more "mad money" and the exclusive with centennial 1. can they defend itself in the market i'm reviewing a few companies that might be worth buying if you take a long term view and the calls in the lightning round

natural gas pulling back currently down 2% and the energy sector keeps climbing since september 2014 and valero, diamondback and marathon petroleum hitting record highs pippa, thank you when it comes to energy, rising prices may not always lift all boats. our next guest says you have to know leverage for each company and that's the key to investing in the sector and scott nations is the founder of nation's chairs, scott. welcome. don't scare us too much. >> no. where do you think investors should and shoudn't be placing their money? >> there's nothing scary about energy lately. the xle today at a new 52-week high and it is up 60% year to date and it's not too late to invest in energy if you pay attention to -- one key leverage it's not a surprise that some of these energy names, because they're all capital intensive and it's wnot a surprise that some are more levered than others and the ones that are levered are doing the best year to date. ox dental is an equity ratio and the anadarko acquisition and they're also the best performer in the space and they're up more than 140% year to date let's

. >> it's right behind you on the screen >> take a look at this, right, it is valero, occidental and phillips 66. each within the top five exxon is also in there five of the top ten top holdings >> are they in the s&p 500 or not necessarily? >> russell 1,000, screen them for the highest free cash flow yield. >> and soap the highest free cash flow yielding company would have the biggest percentage in the fund >> each is capped at 2%. >> he has all the answers and the best etf name ever >> listen to us on the power lunch podcast on your favorite ach. >> and watch "closing bell ". >> coming up right now >>> stocks are solidly higher with the nasdaq taking the lead for a change at session highs as we head to the close the most important hour of trading starts right now welcome to "closing bell." i'm mike santoli take a closer look at the markets. the s&p 500 now up 1% building on modest gains earlier in the last hour or so after the fed minutes from its last meeting a few weeks ago did hit. nothing new, hawkish seem

if you are valero or pdf how do you pick >> of course, it is $50 a barrel margin they are making an enormous amount of money. you would think with the strong dollar and with massive prices in the u.s., we would not be exporting. we are exporting to europe and latin america. they can't run refineries either the refining crisis story in a world for example in washington where they don't understand energy well, i don't think they get it at all. of course, in russia, you lost 1.5 million barrels a day. europe, as you highlighted is a mess the did news for u.s. refiners for profit ability, we have low natural gas prices gas here is $8 btu not off from the all-time record that is less than the $30 in europe the energy world at the moment right now is insane. weneed to talk more. >> we do i think there is so much talk about the energy transition that may or may not happen. you know, people have the takes. if you don't like the price of gas, go out and buy an electric car. the people hit by the price of gas are the ones that are not buying a $60,000 ev. >> that's the priceof the ev it's going up. it

the sector already up 9% this week hitting new highs, marathon, chevron, pioneer natural, conoco, valero they're buying what is working money has been pouring in the oil and gas lately we're back right after this. joel, since kansas, we've taken our own path. we've never done what everyone else did. we took on the fear. we ignored the doubt. we loved the excitement. we believed. even when our path didn't make sense to everyone else, we kept going. we keep going. until our path is the one they wished they had taken. ♪♪ as a business owner, your bottom line is always top of mind. so start saving by switching to the mobile service designed for small business: comcast business mobile. flexible data plans mean you can get unlimited data or pay by the gig. all on the most reliable 5g network. with no line activation fees or term contracts... saving you up to $500 a year. and it's only available to comcast business internet customers. so boost your bottom line by switching today. comcast business. powering possibilities.™ >>> all right. welcome or welcome back, everybody. good wednesday m

valero, we've talked about forever. agree with them there. all of the levered names make sense and i dig that whole beard/mustache thing he has going. a wailer out of a winslow home picture. >> is that a compliment? we're tand you can about valerie and his way to play the diesel shortage, long valero and short trucking and in this case he's calling for a short amazon tim, do you like that? >> i think the market is not efficient enough nor that fair trade. i've done a fair amount of trades in my career that i thought were fundamentally correlated and i don't like pair trades paul is a talented guy and come on here with -- and pe pushed him into short exxon and made him a billionaire. so, i understand what he's doing there. and i think the most important point about this sector that is not just that it is underweighted and people -- the dynamics of the s&p under pressure and the energy sector is going to get it there faster. but the 15 to 25% free cash flow yields but then company's balance sheets are so different. eog, pxb, net wash, they have

marathon petroleum, valero among the names jumping. so what is the best trade here bk, how do you think about this? >> well, you know what, the best trade used to be exxon mobil but i got out of it because i'm concerned about the political ramifications. >> it was your final trade yesterday. >> on wednesday i think it was yes. so what we saw today was news that they're going to pass a bill that is going to cap gas prices so to me, if you're a refiner, whether it's exxon or marathon or anything like that, there's no economic incentive to produce more gasoline. so putting aside the fact that it's a ridiculous policy, if i'm an investor in one of these companies, i have to worry about whether or not i'm going to have the margins that i thought i was going to have. so it reminds me of healthcare going into the last election we have midterms coming up this fall i think the refinery in oil and energy sector could be this political football so for me, i got out of that i bought into gasoline futures because that's a much more pure play for me

. >> buy valero. that's because the diesel fuel i mean, last night, i had -- i had the real faang on, diamondback. they are making so much money that i'm not saying you should be investigating, but they're not spending a lot they're making fortunes, doing a variable dividend. if you want a faang to buy, you buy diamondback. buy diamondback here because the xpr, the president is -- it doesn't last forever we're at dangerous levels for the xpr. they can't seem to keep the price of oil down, and faang has more than anyone so diamondback is a great story. just a great story >> diesel inventories are something we're going to watch all summer long. jim, the casinos, is this a bounce on the hopes of a lockdown lift? >> absolutely. people believe now the lockdown lift could happen in the next two weeks. it could happen this weekend there the problem is all the public health people i deal with are saying we don't know why they're doing what they're doing. we just don't know why they're doing it now, in the las

. -- before we think that valero, which is what i will be recommending is completely devoid of any reason to be -- or marathon p, what's happened is there a tremendous pull in diesel from europe by the way, the worldwide market but this jet feel, they have had to pause and make a lot of jet fuel because there is more travel once again, kinds of like, jay powell is god, i wish they would stop traveling already. >> well, that may start happening, right, if the monetary loss -- the balance sheet issues of the house -- >> i think it will but i think right now, they need to push it over a little the two-year is up so -- by the way, if you want to get a mor mortgage, those mortgage rates they are no longer just given to anybody. that's a big change because a lot of people are worried about credit rask because the amount of debt is doubled versus what we thought. >> that brings to us spreads, which we haven't touched on. high yield, biggest loss in almost two years on triple cs. yields near 21-month highs we are going to start talking about fallen angels at some point i imagine. >> yes, we are i

valero up 72%. delek up 86% and pbf energy is up 140%. they have six refineries and one of two operating in the state of new jersey as the east coast has had a shortage of refineries and that explosion of the philadelphia refinery in 2019 just reducing jut put. pbf up 140% since january 1st. as you know, energy is the only thing that has been working consistently in the stock market this year. the sector is up nearly 50% to begin 2022 it is one of two in the s&p that are above water. utilities, they're up less than 1%, but they're not down 10% let's talk more about the energy sector and get more into the refiners is biraj borkhataria. good to see you, biraj last time we met was in november in london. good to have out the program you heard me talk about the smaller independent refiners in the united states. obviously exxon and chevron do refining as well are there any names in the u.s. or globally that stand out more to you right now >> thanks for having me on i think this global refining rally is really a global phenomenon we see it acros

. >> valero, joe 52-week high speaks to the energy trade right here gasoline in particular driving season i'm pretty sure this is a favorite name of our good friend, mark fisher. i think there's a lot more upside to come i heard him talking about it on the 5:00 show as well. i'd stay in the name you're a one-man stitchwork master. but your staffing plan needs to go up a size. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire age before beauty? why not both? visibly diminish wrinkled skin in... crepe corrector lotion... only from gold bond. (vo) verizon is going ultra! with 5g ultra wideband in many more cities, you get up to 10x the speed at no extra cost. plus six premium entertainment subscriptions, included! like disney+, music, gaming, and more! (mom) delightful. (vo) saving you over $350 dollars a year. and for a limited time get a 5g phone on us! no trade-in required. (mom) amazing. (vo) this is the offer you just can't miss! verizon is going ultra, so you can get more. >>>

new highs, who is refiners, valero is at a new high. marathon petroleum, two of the big refiners devin isat a new high, coterra just gushing cash. these are the only stocks on the new high list set s&p 500. pity restaurant owners, people who have to make things from plastic, like tutupperware the ceo of brinker, of course, we're continues to navigate some of the most challenging cycles many of us have ever seen. the margins here, they were 13.9%. is that a lot? yeah, that's a 12% to 13% drop the stock moves, and they're not the only one howard shultz was talking about it as well, but there you see it, down the outlook is sun changed, but obviously the margins come down, they come down, too, and we have a fed meeting today. the big question is very simple -- has the market priced in enough hawkishness for the fed? many stocks are at or near multiyear lows the bulls are insisting inflation will peak. can i point out what powell said last week on this exact question he was asked, is inflation peaking? here's what he said. in the case of th

and look at refiners valero makes a new all-time high every day. so regardless of fed outcome decision rhetoric, i think energy is still the place to be. >> i think the fed could absolutely be more hawkish in the past 24 hours we have had two former fed vice chairs coming out and saying that a recession is likely. >> and no big deal. >> and we'll take one journalist out there to ask powell is 75 basis points on the deck and if they say yes, that is a po possibility, that is hawkish. >> the market is following through on expectations of fed intentions they're relying on the market doing what it is doing and relying on market doing a lot of work for them. and have we priced in peak fed, peak inflation, certainly there have been inflation and hot inflation numbers since their last meeting that would give you the sense that the ammunition of all that we're expecting and heard is what we'll get. but again i look at spot commodity prices and copper i think is starting to price in peak inflation i realize we have sticky labor markets. but this is a case w

i would say the crude oil contract is down today and that is energy with valero and marathon and exploration areas like the xop those have seen very robust speculation in calls betting the prices go higher rather than lower. >> before we let you go, we have to talk about the broader market f fomo trade is way over people are looking for quality amazon seemed like quality cloud marketing is up. we expect logistics to take a down turn as the pandemic breaks where is amazon? >> i think quality for some investors like warren buffett, for instance, the pe is still too high as good as the company does and as great as it is top of mind with consumers, it is just not a company that will attract that kind of investor it could attract a host of other investors, frank i would think after the week it had last week, amazon will be on some people's radar this week. >> jon najarian, i appreciate the wake up and insight. >> thank you >>> that does it for us on "worldwide exchange. the dow could open 100 points higher it is still early. dow closed down 900 points on friday "squawk box wi ctillonnue to break

valero, vll. look at these refiners, unbelievable >> thanks for watching "fast money.anywhere "mad money" starts right now >>> my mission is simple to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere, and i promise to help you find it. "mad money" starts now ♪ >>> hey, i'm cramer. welcome to "mad money. welcome to cramerica i'm trying to save you money my job is not just to entertain but to educate and teach you call me at 1-800-737-cnbc. or tweet me. stop giving up on companies you believe in you'll be wrong more often than you're right, and you'll end up kicking yourself on days like today, when the dow surged, the nasdaq sky problem etted -- skyrocketed we were puzzled of how some of the stocks were so doing so poorly it was crushing us and then i was reminded when i worked with karen cramer at my old hendge fund i would see a stock down big and she would ask me, did you do your homework? i would say yes. she would say, do you have

valero, vll. look at these refiners, unbelievable >> thanks for watching "fast money.anywhere "mad money" starts right now >>> my mission is simple to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere, and i promise to help you find it. "mad money" starts now ♪ >>> hey, i'm cramer. welcome to "mad money. welcome to cramerica i'm trying to save you money my job is not just to entertain but to educate and teach you call me at 1-800-737-cnbc. or tweet me. stop giving up on companies you believe in you'll be wrong more often than

next, valero this is another one of the names within the energy space, talk about it a lot of the time trading 1.07 they rolled some calls, sold calls working well, 110 calls, and they're buying the june 125 calls. they bought 8200 of those calls. those are going for about 1.50 i am in all these positions, expecting to see with nokia tomorrow, finding out pretty quick. >> people were thinking nokia may have the first big quarter in ages. getting this from industry people pete, let me ask you, isn't $5 a great call option in itself? >> yeah. that is. that's a call that never expires, jim, unless they completely tank. these are inexpensive options, 27 cents they have a shot if this can perform, get a nice earnings number. >> i like the risk part of that, pete >> let me ask you about energy if other things in the market are falling because of concerns of slowdown, if the only thing keeping oil from falling is geopolitical, if there's resolution on the geopolitical front, is oil and energy related stocks, are they at risk >> there are two types of oil stocks, ones returning capital at inve

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much attention because they're refinery stocks are really outperforming especially tuesday, names like valero and mid kaps, pbf and delek. they rose. nair thon and petroleum rpc, which is the company we talked about the other day, also doing well no doubt you've heard a lot about energy this year, but it's not just about those actually there are a good number of those all-time highs include j&j and coca-cola, both helping to keep the dow from sinking more. take a look at cerner and wec energy, wisconsin electric bear markets have been, shall we sea, pretty awful. look at the march returns. roz storrs, up 14% kimberly-clark, everybody needs toilet pape e up 13% lam western holdings it's not smith and wes son they're a potato proadviser. you want stalk with that a lot of people do you've got sailpoint holdings, a digital i.d. company auto association ollie's bargain outlet, shares there are up 14% in fact, speaking of ollie's, many discount stores like an all loi's including target, dollar tree, dollar general, they're seeing a lot of buyersle could that be on fear of a slowdown? maybe. the mac

also wanted to point out shares of valero, moving higher as they beat top and bottom line estimates with revenue growing 85% year-over-year, citi thinks the stock is now heading to a new all time high. the firm raised its full target to $138 per share. >> pippa with some serious books behind her there pippa, we thank you very much for that >>> all right, i haven't read a book that thick since college, i'm telling you. the price of bitcoin back below 40,000, even as fidelity says retirement savers can put cryptocurrency in their 401(k)'s kate crypto rooney is at an event in the bahamas hosted by ftx, and she spoke to ftx's ceo. crypto kate, take it away. >> reporter: hey there, tyler. great to see you i did indeed speak to the ceo and cofounder of ftx, we sat down about ten minutes ago he said he supports fidelity's move he sees it as a good thing for the industry, and he says it expands access take a listen. >> i think it's going to start off small like all of these things, not expecting billions of dollars flowing in on day one or anything, but what it does is opens up another option fo

jonathan: valero reported earlier on, of 34%. some big energy winners. i thing a lot of people are asking the same question who have been exposed to that story over the last 12 months. fantastic returns. at what point do they step away and start to realize some of those gains? patrick: the last three days have been pretty hard with what has happened to china. you have seen real rotation out of the materials and energy companies only cyclical risks. -- the cyclical risks coming from a china slowdown and slowing demand. i would view this is a great entry point. the cash flow these companies are producing, if oil prices stay anywhere near where they are now, the companies are ridiculously cheap read futures curves and steep backwardation, were oil falls to six dollars a barrel, the companies are still -- to $60 a barrel, the oil companies are still cheap. i think you will have much stickier oil prices than what the futures curve implies. jonathan: patrick armstrong, plurimi wealth there. just creeping in over the last couple days. lisa: i find this fascinat

now, as the very ship depicted here is the one that came under fire this week. president valero, may zalinski unveiled the design on his instagram page with the message. the russian war ship always has only one direction. russian is expected to plan to surrender until the through this. i think you are the way so popular. because is the symbol why brains with a, with this russian setback is something that instills hope in the people of ukraine. hope that their country will survive. here's a round up of some of the other news making headlines around the world. hundreds of climate change activists have forced the closure of a square and central paris extinction rebellion protestors criticize the environmental programs put forward by frances to presidential candidates. china's largest city. shanghai has reported a record number of coven 19 cases despite a strict lockdown in place since the end of march. other areas of china are also seeing further restrictions as authority. stick to a 0 code policy. demonstrators in the u. s. state of michigan took to the streets to protest against the p

valero says it is working closely with the city and federal agencies to assess infrastructure. reggie: a guitar from one of most famous music videos of all time can be yours if you have hundreds of thousands of dollars. the guitar kurt cobain rocked and smells like teen spirit is going up for auction later this month. julian's auction house has the starting estimate between $600,000 and $800,000. we expect it will go for much more. back in 2020, the guitar he played for the mtv unplugged a special went for $6 million. that is the highest price ever paid for a guitar at auction. kumasi: maybe want to spend your money somewhere else. tomorrow several items of space history are going up for sale, including the first sample of lunar dust collected on the moon by astronaut neil armstrong in 1969. experts say this is especially unusual because lunar samples are property of the u.s. government. somehow this dust fell into private hands. and, the estimated sale price is $800,000 to $1.2 million. space dust. drew: how did they know that israel? -- is real? it's in private hands. reggie:

we know that the valero area, those tanks, do we have any idea this is going to affect? >>gas supply. >>so silo they've referred to it as a the silo, but we don't know exactly what was in there. this is not the large chevron refinery, some of the other refineries like across the bay over over in contra costa county. so at this point, i unclear if that will have any sort of impact on gas prices. theresa, okay, thank you very much. appreciate that. >>take a look at this. we have video showing the moments right after a fire broke out at a home depot in san jose and broke out saturday evening. forcing people living nearby to shelter in place. and right now investigators are trying to figure out what caused that fire kron on's sarah stinson is taking a look at the damage. >>the fire scene here at the home depot in san jose is still smoldering all the while. investigators are trying to figure out how this massive fire sparked on saturday. we're going on day 3 and there's still a huge presence here with firefighters and police officers blocking off the scene. investigators hope

benicia is deputy city manager says that all operations at the rivette a valero refinery honor hold while they evaluate the situation. >> really good. engineers working with a variety of agency. large part will be led by the coast guard to determine structural integrity to make sure that other ships can actually dock. >> city manager says for those who live nearby, it is okay to breathe. the air. they were monitoring the air quality and they say that it is safe. emeryville police are looking for a shooter who injured a man on saturday night. this happened around 9.30, at 64th street and market drive. a man was shot multiple times. he's in stable condition right now in the hospital. witnesses tell the police there was a group involved in an argument. then shots were fired and they took off in a car. >> oakland police this morning are investigating several weekend shootings. the latest happening just yesterday on interstate 5.80, one person was hurt in that case. but this comes after 5 other people were shot in separate incidents in just a span of 7 hours. kron four's gayle ong spoke with t

the past two years has bout several shares of exxon stock and chevron stock and sold some stock in valero. the chairman of the house energy and commerce committee, frank pallone also sold some shares in chevron stock and dominion energy stock just last summer. senator john hickenlooper who served on the senate energy natural resource committee sold a quarter of a million dollars of chevron stock in 2021. reported up to a million dollars in gains from exxonmobil stock that he owns but they are not alone. several other lawmakers we looked into also own energy stocks. they reap the dividends from those investments but some democrats want to put a stop to that for everybody, pushing for a windfall tax on oil company profits. the president of the u.s. oil and gas association, tim stewart telling fox this, quote, such a tax will do nothing to increase supply but will take away ability to reinvest in production and new infrastructure. worst of all it restricts investment to those who invested in us first, including pensions, small investors, retirees who look to dividends to supply meant their f

congressman who is also been outspoken about the issue has owned and traded exxon stock petroleum stock, valero stock, noble energy, senator john hickenlooper who served on the senate energy and natural resources committee sold a quarter of million dollars of chevron stock/year and reported up to $1 million in gains from exxon mobil stocks. oil companies and oil groups are not reacting well the democrats are floating to punish these companies for the profit that they're making and passing the profits down to the shareholders. the u.s. oil and gas association tim stewart telling fox business about that idea such attacks will do nothing to increase supply but take away our ability to reinvest in new production infrastructure. worst of all it restricts our ability to return investment to those who invested in us first including pension mutual fund and small investors and retirees who look to dividend to supplement their fixed income. stuart: thank you very much. i have a pole. this poll finds nearly two thirds say the national economy is in bad shape. economist anthony is with us. why are people i

line between eight and nine back east towards guerrero and valencia and bringing it to upper and lower valero made sense. it's a tough one and the unfortunate results of this map that we are working on today. it puts us in some uncomfortable situations around the tenderloin and selma and the communities we have heard about their connections. when talking about what a four b based map is going to do to this area, the original option was to have tenderloin in d five and includes parts of selma in d5. to me, i thought it made sense and it was a good start. i think the conversations i've had with folks since then, since monday night and the conversations the public feedback we have hear since then and having that central bit of selma taking out and separated from west selma is likely a bridge too far and likely something we should not really be exploring. but that brings us to what else do we do here? we're stuck with another force -- we either see the tenderloin as defined or we split up the transgender cultural district and both those choices and i'm not sure i would find myself supporting eith

commission and there is a challenge to bring in crude to that refinery, it will have an impact and valero certainly supplies lot of california's gasoline and if they are impacted in processing crude that will be a challenge. >> reporter: they have so far declined answer questions on how this will impact the production. >> from a regional aspect on how it will impact the economy, if it increases gasoline, it will be a challenge for all of us in the bay area. >> reporter: the city manager said they are waiting for inspectors to do a full damage assessment on the port and aside from affecting valera the company imports uses the port to import new toyotas from japan and the coast guard and other agencies have to decide if this portion of the dock is still structurally safe for them to offload the cars and a local toyota dealer said any kind of disruption could further hurt dealerships waiting for new cars and many dealerships are already seeing empty lots in a shortage of cars due to the pandemic. i did talk to this business and the manager declined to comment and everybody is waiting to find

and i think it's very badly, valero, and i don't think it should have been. but many, if the elite in germany appeared not to be listening, i oft one leading petrochemical policy analyst. why the idea was essentially, to work through trade. in order to lower the incentives for conflicts, because the moment you and hence trade in theory, both sides engage invest haskin in the game. and that means you lower the political incentives for war or other types of conflict. that was the principal principal idea driving a lot of the russia politics and policies of the german government, but also of other european governments. it didn't work as we know and yes, we'll contact, they should have known better. now those governments are leading a dash from gas. the european commission recently unveiled plans to cut many billions of cubic meters or b c m's. by the end of this year, we can replace $100.00 b. c. m of got some ports from russia. that is 2 thirds of what we import from them . this will end our over dependency and give us much needed room to maneuver. part of the