Closing Bell - Closing Bell Overtime: 11/3/25

Episode Date: November 3, 2025

From the open to the close, “Closing Bell” and “Closing Bell: Overtime” have you covered. From what’s driving market moves to how investors are reacting, Scott Wapner, Jon Fortt, Morgan Brennan and Michael Santoli guide listeners through each trading session and bring to you some of the biggest names in business. Hosted by Simplecast, an AdsWizz company. See pcm.adswizz.com for information about our collection and use of personal data for advertising.

Well, that's the end of regulation. DuPont ringing the closing bell, the New York Stock Exchange, Kestrel, doing the owners at the NASDAQ. Another mixed day for stocks. The Dow losing 250 points, give or take. Small gain for the S&P 500. The NASDAQ up nearly half a percent. Big gains for NVIDIA and Amazon today is some deals in the AI space materialized. We've got more on that in a moment. Those names giving a boost to the tech and consumer discretionary sectors. They're the best sectors today. Materials and staples among the worst groups, though. deal in the staple space. Kimberly Clark buying Kenview for $49 billion. Kenvue is the former J&J unit, which makes Tylenol. Even with today's gain, it's still down 24% in three months. The street seeming to hate this deal for Kimberly Clark. As you can see, that stock's down 14.5%. Also a bad day for crypto. Bitcoin down 3%, ether losing 8% as we continue to see a little bit of an unwind in the cryptocurrency trade. That is a scorecard on Wall Street, but winter stay late. Welcome to closing bell overtime. I'm John Ford, alongside Morgan Brennan. Ahead, the big earnings report we are watching is Palantir, expected in just moments.

That stock has been a high flyer this year, up 170%. Fifth best in the S&P 500. Could be a big mover here in overtime. The options market is pricing in a 9% move. And other big names are expected to hear from this hour. Corvo, Diamondback Energy, Clorox. Clorox hitting its lowest level in more than 10 years today. And in the absence of government reports with the shutdown going on, other economic data is more important. Coming up, we'll talk to the head of the ISM Manufacturing PMI Committee about what those numbers are telling us about the economy right now.

But first, we begin with big moves for big tech as AI-related spending continues to drive this segment of the market. It's like another deal, another day, another deal, I guess I should say. Sima Modi's at the New York Stock Exchange with more. Sema. Morgan, that's exactly right. Amazon, the big story of the day striking that $38 billion cloud computer. deal with Open AI. And while the deal size pales in comparison to the ones Open AI has with Oracle and Microsoft, it is notable given that it is open AI's first time really working with

Amazon. Shares of Amazon hitting an all-time high, and NVIDIA did move higher on the news. Now, that wasn't the only AI deal announced today. Microsoft revealing a $9.7 billion deal with data center operator iron, which will provide NVIDIA's most advanced chips and the real estate to build new data centers. And take a look at cipher mining, surging nearly 21% following a $5.5 billion investment with Amazon Web Services to provide 300 megawatts of power. Construction is expected to kick off next year, and it's part of this emerging trend where crypto miners are repurposing their operations to provide energy to fuel the demand that we're seeing for power as this AI buildout continues, guys.

It's a big move. Sima Modi, thank you. Now to the bond market, Fed Governor Lisa Cook, the latest to cast doubt on a December rate cut. Rick Santell is in Chicago, with more. Rick? Yes, well, it certainly seems though inflation is that nagging toothache that the Fed needs to deal with. You know, today we learned a couple of things. First of all, the ISM data points that came out, there was only one category on the manufacturing that was above 50, and unfortunately, that was prices paid. Employment and new orders did move sequentially higher, but they're below 50. And we did make some progress on prices paid, but as I said, It's the only one that's in expansion mode.

Let's look at a two-year. And if you go back to the 30th, that was the recent high watermark. That was the highest close going all the way back to September 29. So we're hovering near a one-month high. And if you look at a 10-year, 10-year on an intraday basis, today traded at the highest yields since the 10th of October. On a closing basis, as you see on this chart, we're on pace for the highest yield closed since October 9th. And Barclays did point out today, everybody talking about it, that Fallen Angels, You know, from investment grade to non-investment grade or junk, that's year-to-date.

$42 billion. Last year, for all of 2024, it was $6 billion. Finally, the dollar index. Here's the dollar index on a three-month chart. It's going to be the highest closed today since the 29th of July. And if you consider, the last time we closed above 100, you have to go all the way back to the end of May. Morgan, John, back to you. Rick Santelli, thank you.

Well, the major averages ended October at record highs, but under the surface, that success is driven by a historically small number of stocks as investors head into November now. The market cap weighted S&P 500 is up 16% this year, but the equal weighted index up just 6%. And that wide gap is showing that what we call breadth is at the lowest level since 2003. So how long can the rally last if participation doesn't broaden out? Joining us now is Bernstein, advisor, CEO and CIO Richard Bernstein. talking about all these AI deals. We're seconds away from Palantier. I might have to interrupt you with it. But your thesis is there's so much money sloshing around out there. It's caused unhealthy speculation, I think, especially in the U.S. So go for dividend payers and international stocks.

Like what? Exactly. So, John, think about what Rick Santelli just said two seconds ago about junk issuance, how junk issuance last year was like, I don't remember exactly the numbers, let's say, $6 billion. And so far this year, it's $42 billion. That should raise an eyebrow for everybody who thinks that the Fed should be cutting rates. Because the question is where in the financial sector is there a hiccup that styming lending that's slowing the economy. GDP now came out today at 4%. So we're basically of a 4% GDP. We have 3% inflation, 7% nominal growth. Financial conditions are easy. What's happening? The Fed rate cuts are going into speculation. That's what you're seeing in terms of many markets and where we've been in the

narrowing of the breath, all these things that you just mentioned. Okay. I believe Palantir's results are out. Are we? Yes. Yep. Ready to go. I got them for you.

Palantir's results are out. It's a big beat and a raise for Palantir again. EPS adjusted. 21 cents per share. It's 4 cents better than estimates. Revenue also better than expected at $1.18 billion. For Q4, revenue now forecast at 1.33 billion. This is above street estimates.

full year revenue, $4.4 billion, also stronger. 2025 free cash flow guidance, also revised higher. For Q3, beats in both U.S. commercial and U.S. government, U.S. commercial revenue up 121 percent. U.S. government revenue was up 52 percent. Rule of 40, this is an enterprise software metric that gets used, 114 percent now for Palantir. I spoke with CEO and co-founder Alex Karp, who told me he suspects these are the single best numbers. ever printed an enterprise software, quote, I think it was a watershed. It is a watershed

moment where people who are just basking in their own narcissistic skepticism of Palantir, largely for reasons of laziness or ideology, have to really rethink maybe the ontology is the formative piece of software, maybe the FTE model, maybe being pro-American, is actually a good thing. Carp, again saying that those who will make money, N.A.I will have chips or the ability to connect that raw data to the real world, meaning ontology, He says Palantir remains focused on the U.S. It's now about three quarters of revenue, saying, quote, we supply our product all over the world,

but we're not in the business of doing remedial extra education for the rest of the world. We're in the business of helping the U.S., especially the average person to participate in the wealth creation. It's been a lot of time in my discussion with him, discussing the impact of AI on the economy and especially the workforce. What CARP refers to as worker-available GDP, meaning does the average worker participate in the structural change? changes tied to AI and how. And John, in terms of that, talking about this idea that folks that went to elite colleges and got these elite degrees were always seen as very valuable because they didn't have skills and they could go anywhere and do anything. And that now that is reversing and having skills and a highly specialized ability to focus in on something is going to be the non-commodity and mean more in this market and be more valuable in an AI-driven world here. You can see shares of Pallantir are popping on this report right now up about 3% here. And if you just keep going through the numbers, it's basically a beat across the board on everything. What a remarkable stretch of time it has been for this stock.

We're just mentioning at the top up more than 170%. Richard Bernstein, this kind of flies in the face, we could argue, of the thesis that you're putting forth, because Karp is talking about U.S.-centric. He's talking about AI and arguing that this isn't some kind of a bubble or excessive speculation. It's hard for investors when they see Palantir continue to go up to say, well, let me eat my vegetables and do some dividend payers and some stuff outside the U.S. What do you say? So, John, I'm not going to be the skunk at the picnic that that role I refuse to take. But I will say, look, I don't know Palantir that well.

I'm not going to tell you any insight that people don't already know. However, what I would say is that these exceptional few stocks that people think are so unique are not unique. There are many stocks within the United States and outside the United States that are growing as fast, if not faster than, say, the MAG 7 plus, whatever that group might be. So I don't dispute that some of these companies are putting up very good numbers. That's not where people like me have a disagreement with what's going on. It's more the uniqueness. These are not unique companies. There are many companies that are doing this right now.

Richard, do you think we still have yet to see a bigger, deeper shakeout in terms of the AI trade here? And I asked that knowing that I asked Alex Carp the same question, whether we're in a bubble. And, of course, he put his pounds here earnings numbers in front of me to counter that. But I guess maybe perhaps in terms of that conversation, X Palantir, where Karp was concerned, he basically said those that are already, you know, creating value and making money and doing well in AI are going to continue to be valuable and everything else. We are going to still see a shakeout. So, Morgan, I would say that many of your viewers have a great difficulty differentiated between

an economic story and an investment story. The economic story would be, will AI change the economy? I mean, of course, the answer to that is yes, but technology always changes the economy. There's nothing new with that. The Internet changed the economy, the automobile, my personal favorite, the light bulb. Major productivity enhancing technology at the time. We wouldn't even consider technology anymore, but it turned the economy into a 24-hour economy. Huge productivity enhancing invention at the time.

The investment story, though, is very different, and we think the AI investment story will ultimately be quite disappointing. And the reason why is because when you invest, you want to try to be. be the one banker in a town with a thousand borrowers. That by definition, the supply and demand of capital, by definition, will set your long-term returns. It's hard to argue, given everything we've just talked about, that the AI themes are starred for capital. However, that overcapitalization of AI themes will allow it to pervade the economy faster. So there's kind of this weird dichotomy here where overcapitalizing a sector allows it to invade, pervade the economy more rapidly, but it also means investment returns longer term will be worse than people think.

Yeah, after a torrid run, I mean, gold is taking a little bit of a breather here. We're seeing a down draft in cryptocurrencies as well. You've done a lot of work on both of these asset classes. What have you found? Yeah, I think people, a lot of people talk about crypto as being digital gold, and I think that's completely wrong. Cryptocurrencies are an asset class that's fueled by financial conditions. In other words, easy financial conditions, you'll find crypto goes up, tougher financial conditions, you'll find crypto goes down. In other words, it's a speculative asset class. Nothing necessarily wrong with that, but it is a speculative asset class.

Gold, on the other hand, has a very high correlation with uncertainty. So if you want to hedge uncertainty, gold would be your portfolio, would be in your portfolio. But if you think that there's just going to be more and more liquidity, it's going to be speculative forever forever, then you'd want to have cryptocurrencies. But I think the notion that crypto is digital gold is complete. I'm completely wrong. I don't think that's right at all. Okay. Richard Bernstein, great to get your thoughts and to kick off the hour with you. Thanks, guys. Great to see you.

And a mixed Monday here for the major averages. Well, coming up, we're going to get some instant reaction to those palliator numbers. We just broke down for you. From one of the streets, biggest bears, actually. Stock right now is trading up. It's turned negative now. It's down fractionally here in overtime. And we're going to get you ready for some more big earnings reports. AMD, Uber, McDonald's all out this week. We got your trade coming up ahead. And Overtime's back in two. Welcome back to Overtime.

So big movers in biotech to show you, Unicure losing half its value, as the FDA appears to have changed its mind on the company's gene therapy to treat Huntington's disease. That stock soared late last year when the company reached a deal with the FDA to submit the application. Before today's loss, the stock was up, I think, nearly 10x in 12 months. Wow. Some other biotechs getting hit hard today on this news as well. Well, Clorox earnings are out, beat on earnings and revenue for its fiscal first quarter. But net sales are down 19% from last year, affirming its guidance for the rest of the year. The stock is, let's see, higher by about 2.5% here in overtime, but closed at its lowest level since 2015.

Well, let's get another check on Palantir with those results out just a few moments ago. Strong numbers across the board, a beat and raise, but shares bouncing around here in overtime, now up fractionally, giving up their initial pop. And this is coming into the print. This was the fifth best performing stock in the S&P 500 year to date, up a whopping 170%. That pushed its forward price to sales ratio to 85 times. It's the highest in the S&P. So let's bring in Brent Bill, Jeffrey's equity analyst. He has a sell rating a $60 price target.

Brent, want to get your thoughts on this report and what it's going to take for you to perhaps change your tune on Palantir. Yeah, the fundamentals are a rock sales. The valuation is like anything we've ever seen, train it 90 times revenues. So there's no way you can put any valuation metric on the actual valuation. Again, we've never seen anything like this. The fundamentals, we certainly haven't seen anything like it as well. So to split the two, we've said repeatedly, the fundamentals remain exceptional. The question is, is this the best place to put your capital based on all the other trends

are going on? you can buy Amazon at 15 times EBITDA, you can buy Pallenture at 90 times revenue. So we've been arguing that we feel there's a better use of capital in other places. We've been wrong for part of this call on Pellantir, but I think we've been right in those other names, just given the valuation concern, and they continue to execute at an incredible high level. So there's nothing to really take away. The government business decelerated a little bit, you know, 52% versus 53 last quarter, if you want to nitpick, obviously the government shut down.

What's that going to do to the business? But ultimately, the commercial business is crushing it. They're putting up great numbers. And as Dr. Karp has said repeatedly, we haven't seen numbers like this from a software company. We've covered software for 30 years. There's nothing like this to compare it against. So if we have nothing like it to compare it against, how do you get to a $60 price target? 25 times revenue, which would be one of the highest multiples in software right now.

If you look across the entire industry, the highest multiple in our industry, whether it's cloud flare, crowd strike, these are phenomenal companies that are producing huge returns that traded those multiples. And so you have to assume that this execution continues consistently for years for that multiple to come down. We've never seen a 90 multiple. And look at the numbers. Why is the stock flat? because it's flat because the multiple is so high and there's no real room on the multiple expansion to go. So again, I go back to way better other stories and AI to invest in that I have more

conviction in. If I were an investor sitting at home, though, I think I would wonder, is Brentfield just stuck? I mean, you had the $60 price target. It's over $200. Like, you could double your price target and still have a strong sell on the thing. So how does this work? Like, do you have to stay at 60 just because, you know, in for a penny, in for a pound? No, I think we look at multiples.

We've been doing this for a long time, John. This isn't our first rodeo. So when we saw Snowflake implode, Datadog implode, we weren't on the Snowflake trade. We had a hold. And everyone's like, why don't you have a buy? And ultimately, there's a point where these crack, Palantir has done a phenomenal job. But when you look at so many other names in AI across our tech franchise that we cover, many of these names were up 50 to 100%. So would we like 150, 160% return that Palantir's had year a day?

Great. We have a safety net around other names that are up 50 to 100 plus percent. And so, again, it's a relative bet. And I think when you look across institutional money managers, they're made the same bet. A lot of our clients have made the wrong bet, not betting with Palantias. And ultimately, it comes down to valuation. The retail investor can bet because they don't really know the valuation. They don't know it trades.

You can literally take a 60 point multiple between the second highest rate name, which is Claudeflare or Crowdstrike, and the gap between that and Palantir is like 60. So it's a, it's a number that we don't feel comfortable with. Okay. And we feel comfortable, again, with others. I'm not taking anything away from the fundamentals. Fundamentals are great. All right. Well, that's why Alex Carp keeps talking about it. Brent Thill, thank you. Well, consumer discretionary, the best performing sector today, consumer is one of the worst.

What is this telling us about the consumer and about the market? Mike Santoli is going to be here to tell us. Plus, a big deal in the staple sector today. Kimberly Clark buying Kenview. What did Kimberly Clark see in the troubled Kenview company? Well, that is coming up. overtime. Welcome back to overtime. Discretionary stocks are doing fine lately, especially in contrast to how weak staples have become. So is this resilience or just relative outperformance

masking a deeper fatigue? Let's bring in senior market competitor Mike Santoli for more. Mike. Yeah, Johns, one of the kind of key gauges of bull market health is how are consumer cyclical companies doing relative to consumer staples? I mean, you see the ratio right here. Discretionary is holding up pretty well. I mean, well above the first quarter highs, really not showing any underlying defensive turn in investor money towards Staples, the traditional defensive groups. So that's a net positive. I see a lot of kind of technical market analysts saying that this is in the asset column, if you're doing an asset liability comparison for the bull market. And I would say that's true, but it's a little more complicated. So take a look at this exact same relationship, except with both

line separated instead of as a ratio. And you just see this more steep downturn in consumer staples. That's this orange line here, the equal weighted consumer staples ETF, and also a rolling over of discretion. We saw that again today. Discretionary on an equal weighted basis was pretty weak. You're seeing things like services, obviously home builders, restaurants, hotels, not act that well. So I would put this in the, you know, monitor closely category, because it's no longer the case that you could say, oh, we have cyclical leadership in this market. We have AI leadership, and we have cyclicals doing better than outright defensives,

but we don't necessarily have a message from the market that says we are re-accelerating on a consumer or economic basis, John. When you have these truckloads, though, of big tech money and AI speculation driving the spending across the economy, do you have to shift your assessment of how much those things matter? I do. In terms of how the index performs, perhaps you have to do that. There is so much capital in motion, and it is clearly gooseing things like GDP measures, and it's making its way somewhere into the real world, right? We're building massive buildings here. It's not just kind of writing code even. So I do think that matters, and the S&P 500 itself is not very deeply dependent on sort of traditional consumer areas of the economy. I think you could essentially also. say that there's something unique going on with the government shutdown in the soft labor market when it comes to specifically things like restaurants. Because even if those folks get back pay and even if SNAP benefits get restored and household budgets get topped up, restaurant meals

not eaten today are not really double eaten, you know, in three months, at least for most people. You must have forgotten what teenagers are like. Well, I still kind of remember. Yeah. But it's not enough for the whole economy, let's assume. Right. Mike Santoli, thank you. We've got, it's time now for a S&BC News Update with Kate Rogers. Kate, speaking of restaurants. Morgan, the death toll from the powerful hurricane Melissa has now risen to 63. Authorities in the storm ravaged Caribbean islands say 28 were killed in Jamaica, 34 and Haiti and won in the Dominican Republic. The storm, which hit Jamaica as a category five last week, is estimated to have cost up to $4 billion in insured losses on the island. according to data analytics firm Verisk.

John Stewart extended his deal to host Comedy Central's The Daily Show on a weekly basis. He returned to the anchor desk last year on Monday nights after hosting the show from 1999 to 2015. Paramount announced today he will stay on with the show through the end of 2026. And the Dodgers celebrated their second World Series win in a row today with a massive parade through the streets of downtown Los Angeles. Thousands of fans filled the city to celebrate the team's thrilling games. seven win over the Toronto Blue Jays. The team is the first back-to-back champion in 25 years. Amazing. Back over to you, Morgan. Yeah, that was a nail-biter. All right, Kate Rogers, thank you. Thank you. Coming up, we'll get you caught up on all the stocks, making all the big moves here in

overtime. Plus, the government shutdown about to become the longest ever. We'll get an update from Washington and a look at some of the economic data the market is focused on as this shutdown drags on. Stay with us. Welcome back to overtime. The Dow losing more than 200 points today, down 226 points. The S&P 500 up with a small gain fractionally, 6851. We're trudging, and that's the word for it, closer to 7,000 here. The NASDAQ higher, thanks to NVIDIA on Amazon, Amazon rising to an all-time high today and closing there. Another check on Palantir as well. That stock is volatile here in overtime, as you might expect. It's now up about half a percent. The company beating on earnings and revenue, It's raising its guidance as well, seeing full year revenue of $4.4 billion. That's above current forecast. We also got results from Clorox. If you take a look at that stock, that stocks higher right now, too. That's up 3% after closing at a 10-year low. Now, it beat on earnings and sales, but sales did fall 19% from last year. Another name to watch, Diamondback Energy, ticker symbol

fang. Earnings and revenue, both beating expectations and saying it is selling $670 million of assets outside of the Permian Basin. And stock is lower right now. It's down about one and a half percent, but it is off its worst levels. John? Yeah, for sure. While with the lack of federal data due to the government shutdown, we're looking at some alternative data to give us a glimpse into the economy.

Intuit QuickBooks putting out the Small Business Index today that we showed you before. That indicates employment at businesses employing nine or fewer people, the smallest small businesses fell by more than 24,000 jobs. That's a slight monthly decrease of just about 1%. Leisure in hospitality was the sector with the fastest declines. And out of all 20 states, Intuit QuickBooks tracks, Colorado had the fastest drop. And despite employment weakness, revenue for small businesses was up 1.9% with the average monthly revenue per business being nearly $51,000. Another aspect of the economy, seeing softness is manufacturing, the ISM manufacturing index coming in at 48.7% in October, weaker than expected,

contracting for the eighth consecutive month. While prices paid did come down last month, industry comments showed inflation is still a concern. One of the respondents of the survey says that, quote, the unpredictability of tariffs continues to cause havoc and uncertainty on future pricing and costs. So what is the state of manufacturing right now? Joining us now is Susan Spence. She is chair of the ISM manufacturing PMI. Susan, welcome. Is this largely a tariff story? Are there other factors driving this? It is a tariff story. Every month since about April, we've started to see our hundreds and hundreds of panelists talk about tariffs as freezing decision-making, causing chaos.

You know, we had almost a half a point drop this month. You know, our demand indicators, they all slightly improved, but they are still in contraction. that's really the big headline. So some may have inched up, but they're still in contraction. You know, one of the biggest drops this month was production. Last month, we sneaked into expansion territory for one month. My feeling was that that was a blip, and it seems to have been the case. A few months ago, we had new orders go up just ever so, but they're back down.

Production last month, it's back down. The sentiment right now with demand, for every positive comment, We have 1.7 of our panelists saying demand is softening, 55 or 58% this month of the comments cited tariffs as the main cause. And really in employment, last month for every comment about hiring, there were three that were either not backfilling or laying off or some other managing the workforce. This month is 1 to 3.4. The other number that I want to call people's attention to is the manufacturing GDP and contraction. It was 67% last month. That's down to 58, but the strong contraction, which is an index of 45 or less, we went from 28% of

manufacturing GDP and strong contraction last month to 41%. Okay. So here's the part about all that. That's puzzling to me. The consumer overall seems to be holding up okay. And part of the idea behind the tariffs is supposed to be to drive demand to U.S. manufacturers. So what's not working? Well, you know, depending on the sector, but a fair number of our panelists are talking about their consumers that just are waiting out and not ordering until they absolutely have to because they don't want to take product with the higher prices.

A customer inventory is the only demand indicator when it's low. that can be a positive because it can re-trigger an order signal. But the overall consensus of tariffs continue to cause chaos is not gone away. And in fact, some of our panelists are talking about, you know, the hoped reshoring manufacturing. It's just not working. And there are decision-making that people are just stopping right now because they aren't sure what's going to happen next. So even if there's been a commodity or a country with a tariff plan or tariff deal, there's been too many instances of those getting reversed a few months later. And so just hold and don't move seems to be what people are doing.

So we need orders to come back, which will drive production and backlog and employment. Okay. So in light of all of that, what are you seeing regionally? What are you seeing across industries right now? You know, in the industries, you know, we took a look at, and we always do each month, the industries that are expanding. This month, transportation equipment finally got to the expanding list. They've been kind of at the contracting list for months and months in a row.

It's curious because it's the same industry that you'll see the comments in the report talking about the commercial vehicle customers not ordering. So it very well could be just an inventory level so low with the customers that they have to. but the, you know, I don't see any real regional plays here. What's interesting to me is the pattern across sectors and how common the comments are regarding the economic policies of this country. Okay. Susan Spence, thanks for joining us. Thank you very much.

Up next, why South Korean stocks are starting to see a pop from the massive success of Netflix K-pop demon hunters just can't escape it. Welcome back to overtime. Check out shares of Cerepta getting crushed in overtime. The company posting a net loss on revenue of $400 million, but the important news here, the company saying two gene therapies to treat Deschain muscular dystrophy failed to meet the main goal in a late-stage study. The stock was down 80% this year, even before this big drop, and we're seeing another one right now here in overtime, now down another 22%. Oh, yeah. Well, from viral streaming to Halloween-domin, nation, K-pop Demon Hunters is slaying. The animated Netflix hit is smashing records, racking up hundreds of millions of streams, and setting new trends. Our Eunice Yun is in Seoul, exploring how this runaway success is rewriting the playbook for South Korea's music and entertainment industry.

Crowds of people waiting for hours to be a part of the K-pop demon hunters' craze. Netflix collaborated with a local theme park here in South Korea to create. this zone featuring its most viewed title of all time. The Sony animated film, now distributed by Netflix, has exceeded 325 million views. But the movie's success represents a much larger sensation, the $10 billion K-pop industry. Agnes Lee helped cast the movie and scout locations from Seoul. K-pop and K culture was such a huge and important part of this movie. We wanted to be authentic.

This street has its own K-pop version of the Avenue of the Stars, with bear statues representing artists who built K-pop into a global phenomenon. Artists like Sai. Upangnam Style's Kangnam style became YouTube's most watched video in 2012. Since then, other K-pop acts have run up impressive numbers too. BTS's song, Dynamite, has top 2 billion streams, on Spotify. Tell me how you like that, like that.

Black Pink holds a record for the highest grossing tour by a female group. And now K-pop Demon Hunter's fictional bands are slaying the global music charts. Danny Chung is a K-pop producer and the voice behind the film's Baby Saja. I think people watched K-pop demon hunters in spite of that K-K-K-K-K-pop in the title. And then after watching it, they realize, oh, wow, I'm a K-pop fan. And now there's a whole back catalog of, you know, three decades of K-pop music that they have to, you know, dive into. Enthusiastic investors have pumped up the share prices of South Korea's big four K-pop companies, hoping for an even more explosive future. And beyond K-pop demon hunters, investors are prepared.

for some big acts. Black Pink has confirmed a new album, and BTS is planning to make a comeback next year after members served their mandatory military service here. And guys, I'm currently in a shopping area called Myongdong, which is K-pop Central. So yes, music is blasting right now at 6.30 in the morning. Wow. Eunice, who's the business power out there? I mean, interesting that Sony, a Japanese-based company, sort of produced this, but I think people who know K-pop here tend to know bands and know the singers, but not the businesses behind it. Yeah, so there are four listed K-pop companies, such as YP, YG. They're very famous out here in the region and have been for quite some time because the industry has been really good

at identifying talent, and then putting the bands together, understanding what appeals, especially in the region. I think one of the things that's come up in my conversations here that's been interesting is what appeals globally. And one way was, one suggestion to me was that one of the reasons why it appeals in the United States is that it isn't mainstream American pop and that there have been a lot of people who have been looking for something else, and so they found that K-pop was different. And then, of course, a lot of times the music is just catchy.

So there are a lot of people who have this, really appreciate this kind of feel-good nature to the music. All right, Eunice Yun, thank you. A big deal today on a merger Monday. Kimberly Clark agreeing to buy Kenview for $49 billion. Kenview jumping on the news, but Kimberly Clark shareholders weren't showing much love for the deal. The stock following more than 14 percent for its worst day in nearly 40 years. Kenview has come under fire recently over questions about Tylenol, it's become a very politicized topic, links made by members of the Trump administration, including the president himself, to autism. Jim Kramer just spoke with Kimberly Clark's chairman and CEO about the deal, who called it, quote, the second most important day in the company's history only after Founders Day.

He spoke about the costs of the acquisition and how the company plans to operate efficiently. We run very, very lean, and so generally our overhead costs tend to be in the top portal of the industry. I think Kenvue, in our discussions with their management, coming out of a higher margin pharma business, their costs are a little bit higher. And so we really believe that, you know, we can operate efficiently with the cost structure that we have and we can get Kenvue closer to our cost structure and operate effectively as well. All right, you can see the full interview coming up on Mad Money, kicking off at 6 p.m. Eastern. Well, check out this big slate of earnings on tomorrow's calendar. Up next, Fast Money's Guy Adami is going to tell us which of those names he thinks could be a big market catalyst, how to trade it. We'll be right back.

Welcome back to overtime. Let's get you set up with tomorrow's trade today. Another day, another batch of economic data that we won't get because of the government shutdown, including the September trade deficit, factory orders, and the job. Openings and Labor Turnover Survey. We will get another big day of earnings when Pfizer, Uber, Marriott, Young Brands, and Norwegian cruise lines all report before the bell. And then right here on overtime, we'll break down results from AMD, Super Micro, Amgen, Pinterest, and Kava. Well, let's drill down on AMD specifically. We'll get those numbers right here on overtime tomorrow.

It's the eighth best performer in the S&P 500 this year after a blistering October when shares rose 58% for its best month. since 2001, a lot of deal-making happening for AMD last month. Joining us now is Guy Adami, Fast Money Trader, and Risk Reversal Media co-founder. Guy, it's great to have you on. AMD, what are you? Hello, Morgan. Hello, John. How are you? What are you watching for in AMD tomorrow? Well, is valuation a problem?

People are going to look past it. I mean, I think they have to sort of perform on every metric at this valuation in order to continue to this move. This is what I'm looking for. The prior high I would think was 207 or so. we blew through that. I think you do it back and fill to the prior high. Then we'll have another conversation because, in my opinion, at this valuation, you know, this is not the next NVIDIA, in my opinion. And I don't think it should be treated that way in terms of the stock

performance. But how do you like the valuation on Uber then? It's now a $200 billion stock. It's about to be a hundred bucks a share. Is that okay? I think it traded there today. I'm not sure if you're familiar with my acronym, John. I'll share with you if you're not of course that would be tube and of course the you and my tube is in fact uber and it's had a tremendous year already but there are a lot of people think the best is yet to come and i will say the free cash flow story has been tremendous their margins continue and improve it's to me all these autonomous vehicle partners they have and vdia is going to be one of them in terms of chips is going to take this to the next level a lot of people are getting excited about

uber for a myriad of different reasons i am one of those people so i think we're plateauing here I think the next stop is 125. As a matter of fact, I think I saw a $150 price target put on it by, I don't know if it was Tony Sackenagi. Don't add me if I'm wrong, but somebody recently did that. Okay. What are you thinking of McDonald's here? Because we have those earnings out on Wednesday.

Investors have been preferring happy meals to bigger deals lately. McDonald's shares outperforming Wendy's by the largest margin ever. But we also know it's been kind of a messy quarter so far, Guy, for some of the other names. Ever is a long time. The CMG quarter scares me a little bit. you know, all roads lead back to McDonald's. I think it was about a year or so ago when the CFOs saying their customer base was actually feeling the squeeze. They've seemingly figured it out since.

I don't think valuation is all that much of concern. I think McDonald's probably wins in this environment. And the folks at McDonald's, I'm sure, are watching, Morgan, if you want to know, four cheeseburgers, large fry, medium Coke. And every once in a while I get a little crazy, I get a quarter pounder in there as well. That's when I'm really Jones and some Cafe Mac. Do want to get your thoughts on what we're seeing more broadly with the markets right now. There's been a lot of focus. It's been going on for a while, but particularly now on breath or the lack thereof.

Doug Cass wrote about this last week. It was Tuesday. I think there was 69% of the S&P 500 had a negative day on a day that the market was higher. I think that's the first time that it ever happened. And that's been a continuation of the theme. So as much as people want to say there's been this broadening out, in terms of market breadth, it's not. And that, I think, is a little concerning. And the volatility index, you know, sort of unched today, but it's showing signs that it wants to make a move to the upside.

I think the VIX is sniffing something out. I also think Bitcoin might be sniffing something out because that's been a underperformer now for the last couple of weeks. Relatively so. Guy Dami. Thank you. John, Morgan, dig you guys. I loved watching the end of your shows as we go into our show, which is about to be on in five minutes and 40 seconds. And I'll tell you guys this right now, because I won't be with you tomorrow.

You may want to wish the great Melissa Lee a happy birthday. Tomorrow. Absolutely. Absolutely. Well, the end of our show is almost as good as the beginning. And you can catch the beginning of Guy and the rest of the fast money trader's show. That's coming up right after this. Today, Better.com CEO Vishal Garg on housing and mortgage rates.

Well, the government shutdown is one day away from tying a record now. Up next, we'll look at what benefits Americans just lost over the weekend. and when the two sides might meet again to try and end this stalemate. And don't forget, you can catch us on the go by following the closing bell overtime podcast on your favorite podcast app. You get the beginning and the end of the show. We'll be right back. Welcome back to overtime.

The government shutdown is just two days away from becoming the longest ever. And it doesn't seem like Washington is close to a resolution. Emily Wilkins has the latest details. Emily. Hey, Morgan, yeah, you're right. Tomorrow is going to be day 35. That is as long as the 2018, 2019 shutdown lasted. And look, it's almost a guarantee at this point that this shutdown is going to break the record.

Some senators are saying that they think that there's a way the shutdown can end this week. And that's because a lot of the pressure that we've seen building. So over the weekend, you had open enrollment. That began on the affordable carrot marketplace. Millions of Americans, they're now grappling with premiums that they're now seen double in cost. Another pain point at airports, they continue to struggle with delays. Air traffic controllers are going yet another week with no pay. And we can't forget the governor elections in New Jersey and Virginia tomorrow.

You know, lawmakers are watching those elections as a bellwether for how voters are feeling about either party. Honestly, at this point, the shutdown has gone on for so long that Senate Majority Leader Thune said that a new bill is going to be needed. As the current stopgap that they voted on multiple times now, it would only go until November 21st. And he's saying they'll need to spend more time to actually get things done, try to fund the actually fund the government rather than this bandage that they've been working on passing. And one item weighing on a lot of lawmakers last week, funding for SNAP benefits running out. It does seem like that could be alleviated after the Trump administration said they would use a contingency fund to partially cover the cost for the month. However, they warned in a filing

that it could actually take a few weeks for people to get their benefits. Guys? All right. Emily Wilkins, Thank you. And watching Palantir here, it's about a percent higher on a day when the options market had it moving 9 percent either way, but the call still to come. Yeah, call still to come. I'll be keeping an eye on that. The other one is, despite the government shutdown, we actually have some IPOs on the calendar this week, including beta technologies, which is electric aircraft and other types of aircraft. They start trading at the New York Stock Exchange tomorrow. They price probably some time here in the next hour, so we'll keep an eye on that, too. for us here at overtime.