AI and the Tech Rally, SEC's Crypto Crackdown, CNN CEO Steps Down 6/7/23

SPEAKER_1 (0:00)

Okay, text from the wedding planner.

SPEAKER_2 (0:02)

She's talking about a cake pop mural.

SPEAKER_3 (0:05)

Ah, exciting.

SPEAKER_2 (0:08)

Ooh, it's $8,000. I don't know, we're trying to save for a house.

SPEAKER_3 (0:12)

Well, you only get married once, or twice. The three time stops.

SPEAKER_4 (0:16)

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David Faber (0:31)

Market insight and analysis. You're listening to the opening bell of CNBC's Squawk on the Street. Good Wednesday morning. Welcome to Squawk on the Street. I'm David Faber with Jim Cramer. We're live from post nine of the New York Stock Exchange. Carl has the morning off. Let's give you a look at futures. We get started with the trading day. It's a hump day, right Jim? Yeah, it's Wednesday. Oh, you bet it is. Yeah, baby. All right, now you see, we look like we may have a bit of a higher open. Let's get to our roadmap this morning. We'll start with the markets. The S&P 500 posted its highest close since August of 2022 You're gonna wanna hear what Treasury Secretary Yellen as well told CNBC about the economy.

Also, I had cryptos in the crosshairs in the wake of those SEC lawsuits against Coinbase and Binance. Of course, we were joined by Chair Gensler of the SEC on this very program yesterday. We'll give you the latest.

Plus the AI effect on stocks. What Goldman Sachs is saying about the chances for further upside.

All right, let's start with that market rally. S&P coming off what was its highest close in months. The NDX, that's riding a four-day wind streak.

Some other stocks, Tesla riding a significant wind streak.

Jim Cramer (1:41)

Oh, and Netflix. You know, it's like the old days.

David Faber (1:43)

Well, when you say it's like the old days, what does that mean?

Jim Cramer (1:46)

It means that analysts don't have anything to say.

It's early June.

They feel like they have to put out these thumb sucking pieces, raising targets for Netflix, raising targets for Amazon.

David Faber (1:57)

We'll get to this one on Amazon from Bernstein in a minute too.

Jim Cramer (2:00)

These people are paid.

David Faber (2:01)

Yeah, they gotta do something.

Jim Cramer (2:02)

They have to do something.

David Faber (2:03)

By the way, we sit here, we gotta do something too.

Jim Cramer (2:04)

We all have to do something.

David Faber (2:05)

Yes.

Jim Cramer (2:06)

I think it's important.

David Faber (2:07)

It's good to be busy.

Jim Cramer (2:08)

Yeah.

David Faber (2:09)

Or at least try to be busy. I'm just trying to breathe.

Jim Cramer (2:11)

Frankly, I'm just trying to breathe.

David Faber (2:12)

So, yeah, it's not that easy to do that. Who knew these Canadian wildfires?

Back to the market, my friend.

Jim Cramer (2:20)

Yes.

David Faber (2:20)

And being like old times. Expand on that thought.

Jim Cramer (2:23)

Okay. So you have something like David Costin, whom we like very much. He talks about how artificial intelligence, which of course is Nvidia, could really spur growth.

We have Netflix saying an ad tier, plus the idea of borrowing passwords out, is going to boost numbers. Ad tier turns out to be worth more than we thought. We have a sense that at this very moment, crypto hangs in the balance, and yet we don't have the Justice Department doing anything, so it really doesn't hang in the balance.

David Faber (2:55)

Okay, right, that's not, it's only Sibyl right now from the SEC, not Provo, so it's a lot of fines, potentially if they win.

Jim Cramer (3:02)

And then David, the most important thing, the most important piece today, is once again, someone saying, look, Amazon's about to have a major move. Now, the Amazon major move story, David, is fun and sensual with what people like to talk about, because Amazon is pre-NVIDIA what people talk about.

David Faber (3:23)

Well, let's talk about it now.

You're referring, I believe, because you and I, you know, we don't like to talk before the show. We like to have it all be organic.

Jim Cramer (3:31)

I don't like to talk to you, period.

What is it? Just making it out.

David Faber (3:39)

You want to just not talk to each other now?

Jim Cramer (3:41)

No, no, look.

David Faber (3:42)

That's not true. Will you stop trying to create the sense that, you know.