Feds final meeting of 2017. Jim lebenthal, the question is this will we look back and say this marked the beginning of the end . I dont think so. First off, this particular move is well telegraphed so the market expects it and the question of what will upend this market is any time you see Profit Growth in any way interrupted, and on that front its hard to see anything coming up look, you wont have any news until the middle of january or early january when Companies Start to report and they are more likely to be positive, particularly if a tax bill does get inacted even if theres negative news. They will be looking forward and feeling good about the tax bill. I dont see the fed on this rate hike or anything they are doing in 2018 overcoming the Profit Growth they are looking for in 2018. Joe, a consistent path of tightening does that mark in any way the beginning of the end of the bull market, one of the greatest that weve seen, that has raged since the depths of the crisis since now, quadrupling the s p 500. A normalization of rates has been long overdue and its evidence to suggest that clearly Asset Classes themselves are getting back on where they should have been this has been a very long recovery, a strong recovery and a good recovery. So i think the fed is normalizing. They are doing what they should be doing id be more concerned if they actually had a pause with what they have done here over the last 18 months steve weiss, same question . I dont think it slows the market down march, you know. Three or four rate hikes is not going to slow it down . Other than what the market would normally do at this point in its evolution, so three hikes are baked in i believe, most people believe there are three hikes, at least the ones i talk to just depends if they quicken the pace and if there are 25 bipz each ti each time thats okay. As long as we see an appetite for u. S. Treasuries, as were seeing today, i think its going to stay. You have to at least somewhat consider, josh, maybe the unintended consequences of a massive tax package, a fiscal stimulus plan. Lee cooper man certainly big in what the impact of that would be as he told us just late last week heres Lee Cooperman i think the tax package makes longterm sense. Shortterm i think its dangerous. We have a reasonably rapidly growing economy. We have a tightening regime from the fed. We have Balance Sheet normalization by the fed i dont know that we need the additional fiscal stimulus injected to the economy. By dangerous what do you mean, what could the fallout be . A rapid escalation in Interest Rates which the market is not prepared for. Are we considering this question as much as we should be well. That seems intent on tightening rates. Yeah. For the string of 2018. At the same time youve got a massive fiscal stimulus plan at the same time the fed is rolling down its Balance Sheet. Right. While one could offset the other, it would be the optimistic way to look at it the good news for people who have the same concern that Lee Cooperman does its not going to boost the economy. It will boost stock market, and it will be great for, you know, a lot of big corporations. Well see if tends up being great for everyone else but probably no. Weve got a couple of test cased where we can definitivelily point to and it didnt spell over the way it was sold to the populists. I dont think that this is the biggest risk and i want to agree with what show and steve both said and point out that the xlf ratio chart with the s p, so the banks priced in the overall market is the way to think about is the at highest level its been at since 2011, and if that continues its a positive and its critical actually for this bull market to extend into 2018. That leadership broadens out away from just technology, and the banks would be a great candidate to lead that charge so right now youve got the xlf up to on the year. The s p is up 21 , and then if you actually think about having sectors like industrials and financials lead us into the new year its tough to look at that kind of price action and say this is the beginning of the end last thing, stocks and rates have risen since 1926 at the same time. About 40 of the time when you look at on a monthly basis in the 1950s rates were going up we were normalizing after world war ii and stocks had a gangbusters decade same thing in the 1990s, rates were generally rights, and the danger that steve points out if they get too quick i think is the real danger. So far they havent shown an inclination. Greenspan did 13 rate hikes from 04 to 06 and it was five or six too much thats what i would be worried about, not the trend. So liesman, the danger that quote, unquote, Lee Cooperman speaks about, how much are you thinking about that, the unintind tended consequences of the tax plan rapidly rights inflation and a fed that becomes extraordinarily reactionary as a result im thinking about it a lot and i think the way to think about is in terms of the changes of a policy mistake, okay. Its not that the fed would raise rates in the face of a stimulative tax policy its that it would raise rates too much or too little because higher rates in the face of higher growth, a higher cost of money makes sense. Its correct for the Federal Reserve to do that you would expect it if it could take a little bit of the froth out of the market. That would be a positive thing perhaps extend the real, and i think what the fed has shown itself to do unbernanke, yellen and under powell is that its going to be exquit ily attune to what the market is telling it and what the economy is telling it, and i think those two things will guide it to keep it from making a mistake however, a stimulus coming down the pike at full employment does create risk that the tax plan itself is potentially a policy mistake. The tax plan itself thats interesting and others, have you know, mentioned the prospects of problems as a result of doing it now. Maybe you dont need it as much as some are making the argument that you do. Lets check a couple of boxes. They bike this week, check they do, but if i can point out. Theres three folks on the fed that dont want to hike rates, brainard, evans and kashkari i dont think they dissent because its yellens outgoing thing but theres a contingent on the fed that dont want to hike right now because of the coming tax plan. What do you think yellen wants to do . Shes lowering the Balance Sheet and shes raised rates pretty good accomplishment by the way for the person who was criticized for being quite so dovish, for the record all the people, not at this table, were criticizing her for being dovish shes the one whoraised rates. What about the other boxes next year . Wall street is tossing around three or four. All of those projections will have implications for stocks whats your best guess on a powellled fed in. In a sense from my stabbed point youre answering your own question if the street is tossing around three or four, i think its really more two or three, it tells you that the street right now is trading at current stock levels, there you go those are the percentages for the hike 96 for the first one and 61, 52 and 24 for the third hike and ive got three hikes. Let me just finish the thought. The market is trading with that right now with that expectation, so it would be okay as far as the markets are concerned today for the fed to hike three times next year. I want to go on this because i think this is important. Youre talking about where the averages are. Doing your best to figure out what the market is pricing in, but there is a great deal relatively speaking between what analysts are saying. A lot of people are saying three to four hikes. Present of people are saying one hike joe, you pointed out something thats very good, if they slow off the pace that could spook the market if they go too fast. Can i add another layer of investor in that theres the investor who some are still trading with the armageddons of the fed exit, right . There are still people who thought and think for a long time fed getting out of easy policy and meanwhile the fed thinks lowering the Balance Sheet and raising rates and the world as i understand it are Still Standing saying that for two years. Still a trade on that. Your question which is the central question, it doesnt come home to roost this week, but sometime near the end of the first quarter. They may turn around like the frog in the water kind of thing. Exactly. As we start to put horse trades down. If you had robert sthuler on, he would suggest that thats baked into todays valuations. Let me ask a different way. Jeremy siegel who understand that, too. He would know that. Do you think that the ned is the biggest risk to the stock market in 2018. No. The fed is reactionary to a large extent because their forecasts have always what is the biggest risk the biggest risk is the economy that the fed has toss react to and its wage growth and inflation and if wage growth ever takes off were at relatively low unemployment. Right. But if that happens does it increase the risk of the fed i think the bigger risk is ourselves. Youre making the same case. Thats always a risk and theres been only three times since 1950 when bonds have had negative performance, the tenyear and when the markets had negative performance in the same period, so we know bonds or reassume bonds that yields will rise. Look at way the market is reacting the long end is crunching. I had a perfect forecast for the fed, an abysmal forecast for the long end because i didnt come in with 70 basis points of spread tightening in the 2s to 10s. I dont know who predicted in a. The last three to four years theres been times when the street expected the Federal Reserve to normalized rates and they didnt, and the market gave the street gave the Federal Reserve a pass in 2018 if that happens, there is no way the street gives the market a pass. What does that mean, joe . Not getting a pass. Because at that point the street, the investors, they say, okay, what is it that the Federal Reserve sees thats taking them off the traject riff continuing to normalize the Balance Sheet and rates . There must be something of concern you know what, lets bring in Jeremy Siegel right now into the conversation live in philadelphia professor, good to see you once again. Happy to be mere. Youve made the argument that next year is going to be more difficult to make money in the stock market. Yeah. Is a more tightening fed the principal reason why or the main reason if you go with the three increases, that brings the yield on cash to 2 . When have we last seen that . That actually for the first time in a decade is higher than the dividend yield on the s p. Now im sure the tenyear will move up somewhat, but, you know, people are going to get 2 on cash its going to be a little bit more difficult for the stock market by the way, no one mentioned i think there are political risks next year. There are midterm elections its very possible house or senate or even both might turn democratic which could make any, you know, further trump legislation impossible now thats one reason they are going for this Corporate Tax cut. Honestly, i think thats built in i think thats one of the big reasons weve had a big rise over the last six weeks is the tax cuts so i dont know how much were going to get on that. I mean, the experts say maybe 6 on the s p 500 thats another what, 5 . Well, weve had that in response, so im im thinking it is going to be more difficult next year. I wouldnt even be surprised to see a correction next year which we havent had for a while. Let listen to a couple of very smart investors whom i spoke with late last week on their expected, professor, for 2018 because it sound like both of them differ with your perspective. Lets listen and we can react on the other side. Part of it is all the news has been positiving right, so when you take a look at the economy, the are economy is doing well, and everybody is taking that positive news and is continuing to buy equities, so, look, i think it can continue for another six months or a year becausering is good. I know weve had quite a big run, but i think we probably have another 10 to 15 ahead of us next year. The tax bill may give us a little bit more of a bump but its still, i think, you can get double digit returns out of stocks. All right professor, for your benefit, the first sound you heard was from mark lazare and the second from scott minor, 10 to 15 ahead next year. You want to take issue with that its amazing that id be the least bullish person in the world. Were marking the irony when that last happened, but i think weve had quite a returns and, you know, we cant keep on getting 200,000 jobs youre right no one knows when that inflation is going to be ignited were at 4. 1 at this rate we go below 3. 5 by the end of next year to 3. Theres never been a time when that has not accelerated wages with you does mean a challengefochallenge for equities i dont predict a disaster but a breather. I agree with the professor 100 boston i think thats how it plays out and at some point next year, and i thought he would have done it already, draghi is going to tighten also, so you go from global easing to global tightening, and thats a risk. And the japanese are showing no indication that they are going to be tightening any time soon no, no, and they have got a much longer way to go. Isnt draghi just going reducing the amount of qe next year. Yes but thats not tightening, right. Hell move to tapering. Not like a 2019 event i think before they tighten rates over there. Youve seen the momentum in similar economies much quicker than our momentum but its not an isolated situation. Prove vore, if youre doing 4 , 5 nominal on growth, 2 has on cash is not a crazy number, right . Its a fairly normal number. Its still a little bit stimulative. Let say we get 2. 5 growth and well do 1 , 2 inflation on top of that. 2 cash is a good environment. Yeah, still, if we get 2 inflation, we get up a little bit. 2 cash is still zero real. Right. But weve had negative real so these people are preserving their capital. You cant have cake all the time and still maintain a trim i agree with you on draghi. If you fake a look at the european pmi, they are really hitting highs. I think they are going to be a big year up on europe and hes going if not taper certainly announce an end point for his qe and then youve got a new game in europe. You can talk about what the Central Banks are doing and what the economies are doing, and to me the synchronized Global Expansion is a big story, and its always a question to me the extent to which the market is even able to conceptually price in what it means for say, for example, s p earnings if they are growing in asia and europe and in the United States because at the end of the day whats going to matter here is what the earnings deliver, and if they deliver those earnings in the double digits or the high singles because they are getting a kick from global growth, i think thats a big story. Prove source, are you more inclined at the levels we are than based on your opinion of where stocks are going to go in 2018 to sell stocks at these levels or to continue to buy well, i i mean, my feeling is theres going to be a pause next year. I mean, you know, i could say zero to 10 . People ask me, and i say probably the mid Single Digits certainly thats better than bonds and still better than cash, but one also has to remember, you know, were at 20, 21, price earnings ratio were at high margins, and can i justify that in a low Interest Rate environment, but, you know, gdp growing at 5 , i dont see how that continues to generate a double digit Earnings Growth at these margins and these levels so i think well have a slowdown i mean, 2017 was great over 2016 big depression 16 because of the Energy Energy has come back, i dont expect that really to expand that much more in 18 so i think well really have single digit Earnings Growth next year in a rising Interest Rate environment and that will put a pause to the big bull market. Again, not a crash but a pause in my opinion. Speaking of pauses to bull markets lastly hand maybe most importantly, professor, your quarterback is out for the season now are you as bullish, or are you bearish on the eagles super bowl chances . It is heartbreaking i love the eagles. My son and i have season tickets. In fact, he was in l. A. For the game and called me afterwards and a mixture of certainly elation that they won but such deep disappointment, you know. Its been 52 years weve never won a super bowl we may have to wait a little longer. Yeah. But im not giving up yet. All right i figured you would probably have an opinion. Pittsburgh is right across the state if you want a super bowl winner. I know. The other conference though. Thats good to see you as always thank you very much. Well talk to you again soon. Jeremy siegel. Steve, thank you as well pleasure. Josh lipton with breaking news in San Francisco for us scott . Reporter scott, it is official apple is indeed buying shazam. We are thrilled that shazam and its talented team will be joining apple. Since the launch of the app store shazam has consistently ranked as one of the most popular apps for ios and is used by hundreds of millions around the world across multiple platforms. Apple music and shazam are a natural fit sharing a passion for Music Discovery and using great music experiences to our users. We have exciting plans and we look forward to combining with shazam upon approval of todays agreement apple is not disclosing how much it paid but shazam raised 1 who million from investors including sony music and apple looking to build out and invest in that Music Service. Apple Music Service has 30 million subscribers as it takes on rivals like spotify. Likely a drop in the bucket whatever it is, considering how much cash apple is sitting on these days yeah, absolutely. Apple sits on a Cash Mountain now of some 270 billion of course, there were reports that they were looking at a pretty big deal for apple. You got t. Josh lipton with the latest heres what else is coming up on the Halftime Report. Goldman sachs making a big call on the stock caught in the midst of an activist campaign. Thats next. Plus, a bigname short comes out against the host investment craze in the land. Get set for a bitcoin battle. Before the break, our data partners at kensho show go long european stocks in the second half of december since 1990, europe is up more than 80 of the time in that time frame for more to to cnbc. Com againstio the Halftime Report with scott wapner and the traders is back in two minutes at fidelity, trades are now just 4. 95. We cut the price of trades to give investors even more value. And at 4. 95, you can trade with a clear advantage. Fidelity, where smarter investors will always be. Excuse me, are you aware of whats happening right now . Were facing 20 billion security events every day. Ddos campaigns, ransomware, malware attacks. Actually, we just handled all the priority threats. You did that . We did that. Really. We analyzed millions of articles and reports. We can identify threats 50 faster. You can do that . We can do that. Then do that. Can we do that . We can do that. Were back take a look at shares of adp they are higher. They got upgraded today to a buy at Goldman Sachs the firm raising its price target on the stock to 135 bucks, the heist on the street thats why weve made it our call of the day. They list a number of initiatives as to why they like this stronger new bookings and improved client retention, margins will surprise to the upside, they saw, because of the new cost initiatives maybe ackman can take credit adp is an outsized beneficiary of the Corporate Tax rates. I agreed to the call of 135, when it was down 102, 103, we talked about it on air removing bill ackman, having bill in this conversation is a positive for adp, but if you take bill out of this this is a company fundamentally for many, many years in a has shown growth, has exhibited proper Balance Sheet discipline, and it deserves where its trading right now and i think it continues to move mire. Look, its a Quality Company. They have done well over the years, but they immediate a wakeup call to get up to speed and technology of this century so thats what they got. You dont have the downside and ackman going on the board to jc penney or valiant. Hes also not going away. Which he made clear after losing the proxy fight. It will be a motivating factor behind the scenes or Republican Newspapers as he likes to do. Its a Quality Company and it should take it to new height. Bill was taking something thats good and making it even better. Ill agree with what you just said well all agree its a Quality Company is that at 27 times next years earnings is that all baked in i think it can get to the 1 a. Its not that far. Its not that far. Lets also bear in mind maybe the better margins havent been baked in though the principal parts of ackmans argument. It was. And i think at this point, scott, and it has rallied, rallied nice. I still underperforming the s p year to date. You look at any longterm chart. I know. We made that point numerous times. The one point i want to make, lets keep this simple whats the driver of adp is employment, and we were just talking a few minutes ago with Jeremy Siegel about, hey, up employment getting down towards 3 which is a really, really low level, and i think it drives the question of, okay, maybe the margins will get bert. How are you going to drive revenues from here and how much more employment can you get . Im not saying theres something flawed with the company. I think its a fabulous, fabulous company im not sure how much is left in the name. By the way, its up so 5 since ackman took his stake in july. It came back when all the tussle happened and now its starting to price in the margins. All right Bitcoin Futures are surging after its launch on the cvoe last night citrons andrew left is about to run up against our own jon najarian who returned from his barnstorming report on becoin. They will battle it out next on the Halftime Report. Whats Critical Thinking like . A basketball costs 14. Whats team spirit worth . cheers whats it worth to talk to your mom . Whats the value of a walk in the woods . The value of capital is to create, not just wealth, but things that matter. Morgan stanley of emerging markets obsolete . At pgim, we see alpa in the trends, driving specific sectors of out performance. Where a rising middle class powers a booming auto industry. A leap into the digital era draws youthful populations to mobile banking and ecommerce. 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Get ready, because were helping leading companies see it and see it throughwith digital. Hi, everybody. Im sue herera heres whats happening at this hour a 27yearold man with had a homemade explosive strapped to his body with velcro and zip ties set off the device near times square injuring himself and three others the suspect has been identified as akayed ola. Mayor de blasio labeled it as an attempted terror attack. Strong wind attempted to push a Massive Wildfire across 230,000 acres in Southern California new evacuations have been ordered as the thomas fire moved into Santa Barbara county destroying more than 750 structures and threatening a 15,000 more. It is only is a contained celebrity chef Mario Balotelli is stepping down from daily operations at his Restaurant Operations following reports of Sexual Misconduct the incidents involve hat least four women over a period of 20 years. Abc action batali to step away from the show the chumpt. And if you see golf infraction on tv, dont bother calling it in because effective january 1st golf eats governing bodies will no longer accept input from fans. Its an effort to reclaim control of the golf tournaments after some very controversial calls this year. Thats the nbc news update. Sue her rare a. The future of bitcoin front and centered a futures trading begins on the cboe were trained by andrew left and our own jon najarian at the new york stock market today to debate where they see bitcoin going from here. Andrew, i looked at your notes from earlier today youre saying theres little fundamental reason for why bitcoin has surged and argued the hire the price goes the less credibility it has why . Well, first, lets is that right with the futures i think we have to put everything in perspective. If you look at how many contracts have traded, i think since it opened yesterday, futures have traded around 50 million worth, and to make an equivalency on the ipo of blue apron it traded around 400 million so by no means the amount of Media Attention that the futures is getting is just it cannot be parallel with the money going towards, it fine, that being said. I heard another guest come on around two hours ago discussing the reason why bitcoin is going higher because its held in the hands of a few people and we can put out media stories and have others buy it. If i discussed a stock like that, i think they might want to throw you in jail. Its almost like manipulation and low flow and lets get it going higher nothing to do with any fundamental reason, and i,000 know what john is going to say its going higher because its going higher follow underlying a 250 billion as thats would inglees value 40 in seven days. Jon, i mean, are you going to let him make the argument and put words in your mouth or what . Im going to let andrew put words in my mouth all the time andrew, i would disagree with one of the reasons you say its going up because its held by so few people ill turn that around and say the fact more people are scrambling into this is why its going higher the people that hold it is not selling. The futures, everybody told me last week, oh, when the futures come out people will finally be able to hedge and it will go down put it on the calendar thats the top well, look at it its not going down. Its going up. Its not going up because its being manipulated. Only real manipulation, if you will, is because many of the listed brothers, for futures exchanges, i dont want to name them right here, are not letting you short those futures. Thats why thats trading at a 1,000 premium up to a 2,000 premium over the actual bitcoin is because people arent letting you short it on the listed exchanges, but around the world, judge, they are buying puts on it they are selling calls on it they are selling bitcoin short and borrowing it that happens all the time every day as weve discussed, so i dont bite fact or the idea that people are holding this back and trying to manipulate the fact. Have you ever tried this yourself to buy when i say a significant amount, more than 500,000 worth of bitcoin . Last lets see, ten days ago, andrew, i was overseas and a gentleman asked me if i could help him unload 50 million in bitcoin and i said i can do it with one phone call. Called up one of the big primary dealers out there. I wont name it right now, but that guy gave him a market 400 wide and ill talk 50 million or sell you 50 million and you tell me what you want theres plenty of liquidity. Look at this thing i have a question. Go ahead. Its 400 to 500 wide and if i took a 250 million stock and i wanted to lets just say Goldman Sachs, and i wanted to put the same amount or even gold for that matter. If i said to you can you help me move 50 million in gold, how big of a spread would i have right i agree with you on this point, absolutely. I mean, in tote aol there are, what its a manipulated market. Its designed not to be manipulated by the Federal Reserve though, andrew its designed not to be ma n manipulated by green ink and paint wait fed can print money theres a limited amount of stuffed and thats why people scram knuckle ball there and try buy it. Youre right. Do you think the higher bitcoin goes it validates it or gives it more credibility, or does it make you more skeptical . Judge, the thing that gives me the most endorsement about the product is that four u. S. Exchanges are listing the product. Obviously cbo is first, the merck comes online, nasdaq and then cantor. Thats me saying to you, i met jon last month in las vegas. We had a very nice breakfast the irony, like me say you go to, people should go in and use casinos and gamble and what validates that is every two years they hope new casinos that has nothing to do with it. The fact that the exchanges now allow you to trade bitcoin doesnt validate bitcoin it shows that theres a need for people to trade. I think it does though, andrew the reason it validates bitcoin is when the u. S. Government sold those shared those bitcoins that they took from silk rod when Ross Albrecht was running the derrogatory site and all the other things they did there, though sold those. In other words, when they capture cocaine or marijuana illegally brought into the country they burn it they didnt burn the bitcoins or throw them away. They sold them thats an endorsement of those coins as a crypto currency the fact that the merc is in there is also telling you i also come often the government would have a very difficult time trying to unload cocaine on someone. No, they wouldnt if they could do it like that, they could do it like that, andrew, come on. When you get 150 million worth of drugs. Wonderful. Well, im sure saying, that the fact that they use this get used to it. The government used it as a currency. And by the way, and the fact that let me ask you both this. The fact that this conversation has gone from bitcoin to a possible cocaine trade within the same three minutes only shows the nature of bitcoin. Everyone loves the decentralized wait, wait, wait. Everyone loves the fact in a bitcoin is decentralized and everybody validates bitcoin by saying its centralized. I lost around 100,000 i didnt say it validate it had. You lost about 100,000, go ahead, and you droo. At citi bank, somebody wired money out of my account and within a week they put the money back into my count love the fact that its centralized. Whats about centralized and decentralized, and the first smart we love bitcoin because its decentralized and what validates bitcoin that its centralized. Oaks moron. It can never be centralized though, andrew bitcoin itself is a decentralized distributed ledger when you look at that, it is what it is. And there will be you guys will end up argue begun this all day let me ask it this way does this end badly or not everybody is talking about it. Seemingly everybody wants a piece of the action, who is not in it already and hasnt made a lot of money how does it end. Doc . Judge, i think it goes a lot higher im still an opener. Been an owner for a long time. I think it goes higher and will it end badly there will be several blowups. It survived mtgox and in todays prices things would be higher than that. I think it goes higher there will be ups and downs. These are some of the most exciting products to trade as well as to own right now all the cryptos though, not just bitcoin. Andrew, why does it end so badly . It ends badly because people do not have an understanding in an email this morning i actually said to you, if you look at art as an alternative asset, and the day andy warhol painting started to trade for less than 2 million, wow, if i own a warhol its more than a piece of art, its actually an asset and once its accepted it doesnt mean that five months later every warhol is wofford 5 mill so being accepted as an alternative asset and going up in price are completely two Different Things and traders and dreamers are missing the fact. My uber driver this morning didnt want to know how he can make money on crypto he wanted to know how he was going to retire on it, and thats the problem. Well make that the last word andrew, thanks for coming on doc, well see you back here. Thanks, andrew. Thanks, judge. Andrew left and jon najarian. Josh brown, you get a word here. You earn three different cryptos. I really dont understand where people are like i dont understand however, let me give you a tenminute monologue on why its fake i really dont understand why thats a badge of honor at this stage of the game. A 300 billion asset class welcome to call it a bubble. Stocks go into bubbles, too, and the idea that the price crash is going to stop the ecosystem thats formed around there is extraordinarily ahistorical. Already crashed five times by 80 or more since 2013 ive met these people. They are not going away. The projects that they are working on are not going to stop the monetary rewards may shrink periodically, but all the anecdotal stuff, my barber, my taxi driver. Such a waste of time take the time to understand why people are bullish about it. That doesnt mean you have to think thats going higher, but, again, i want to remind you, just because price action disappoints people and there are crashes along the way does not invalidate, and the last thing ill say. Hold hofnlt this is important to me. You can say what you want to say after. The internet blew up in 2,000. Huge amounts of money were lot almost every company that was started in that era disappeared, and what did we do the next day . Did we log off absolutely not google came public four years later. Nine years later facebook came public the iphone didnt come along until 07. Seven years after the crash. Yeah, its possible were all going nuts at 16,000 a coin. I dont think theres any way to determine whether thats true or not the only thing you can really do here is accept that you dont know whats going to happen but try to learn rather than just saying i dont get it so its go the to be wrong. Ive read about bitcoin and momentum is driving the price. I get everything is building around the ecosystem and all that im disagreeing. Right now thats a momentum trade. Who said it wasnt . What you did say, just because the price crashes every so often doesnt validate it and because the price rises doesnt validate it either. There were actual items in the real World Economy that defy the supply and demand curve meaning has the price comes up. Like tulip bubbles. No, actual things in the economy that people want more of. Tulip bulbs are an actual think. People can hold bitcoins. Tulip bulbs dont have a use. Sure, they do. Lets say you live in turkey rather than the United States, you know what the inflation rate in nurky is, 14 you live in a country with an autocratic regime with inflation of 14 , with banks that are under the states thumb and no real way to move large quantities of gold if youre trying to protect your wealth, hide yore wealth, make your wealth portable. Bitcoin might be a great option and look at venezuela. Look at nigeria. Look i almost said najarian this is a use for people beside you. Just because be you dont have a use for it doesnt mean its not valid. I think thats a reasonable argument. Yeah, its evenly ill give you that bitcoin was hacked before. Forget about the mtgox. Bitcoin wasnt hacked bitcoin has never been hacked. The exchange was hacked. The block chain has never been. But it will be. You can laugh at it you can guffaw at it the but it will be. Could your broker account be hacked couldnt the custodian be hacked is that a reason to dismiss . Im not looking at something thats increased so much in value over a week for no reason other than its a momentum trade. We agree thats momentum. Its a mania. Sometimes that ends badly. Josh, hold on you can have a price crash without the asset class disappearing its happened multiple times. Ill take ten seconds, if i could. He wont let you have it. No one has proven yet its not an asset class, and that is a fundamentally strong argument for bitcoin and block chain because it doesnt seem to correlate with anything. It is an asset class. If it is an asset class, then its got the ability to slip. Hold on one minute. Futures trading last night. What would you price it on . I have no idea. Guys, guys, guys. Heres the analogy. I dont have a price let me finish it is an asset class im saying momentum is unnatural. Its moved too high. I think it moves higher, but its going to end ugly for a lot of people that got in at the end. You could be right. I dont disagree with any of what youre saying i think that youre arguing a point that im not making that theres a way to value it. Why not argue the point that youre making. I agree its all momentum. This isnt about you. You dont interest to argue your point. Heres your template. It will be ten seconds. Were done. Were ten. This could be the best part. You dont want a good point on futures trading. Everybody has something they think is important. Futures trading so far is disappointing. 3,400 contracts is nothing, and the fact that on certain brokerages you cant short it. Thats disappointing. The floor is yours. Amazon was 80 in 1999 it was 10 in 2001 neither of those prices are relevant to the value today and none of the prices that you guys are argue begun is relative to the value of bitcoin which is going to be around, will be in five years they are not relevant. Andrew left the email and wants me to ask you, josh, he says youre wrong. Lets say i can buy apple stock on a ledger without anything centralized. Does that make bitcoin i dont understand the analogy. If you can buy apple without bitcoin. I dont understand that analogy. Andrew, are you still there what aim wrong about . I dont it have a price target on bitcoin. By the way, i agree with one thing. In other countries where you do have a fear of the government taking your money our dont want to keep your money in areas of inflation, am i going to carry on 40 million in gold . Yes, bitcoin has that purpose, but through a Block Chain Technology im allowed to buy stocks, and when i buy these stocks they are not recorded anywhere, so on my usb ticket, instead of having 40 million in bitcoin i own 40 million in apple and its not anywhere. I dont interest to file it does that reduce the value of bitcoin. Possibly. But the irs is treating bitcoin and other crypto currencies for the sake of taxes. Josh, josh, josh, were talking about were talking about other countries. Were talking venezuela, neurorussia, china, any country that you have a fear of the of government taking your money and you want another asset, if im able to buy a security, if i can buy apple and have it instead of in a brokerage account like my bitcoin on a usb sticker where the government doesnt know. Oh, i see. Does that devalue bitcoin potentially but i cant imagine a israel allowing the security to be converted into ma block chain. No, no, no. In that case, the block chain will be the ultimate disrupter of bitcoin. So okay. You could be right, but just understand something there is there is a supply demand issue. The block chain gives reward to the people that are building it and that reward is bitcoin there are 16 million currently mined. Only 20 millionexist and first 4 million are either in sold storage or mission. I agree you the most important thing in my opinion, ive studied this quite deeply hand the most important thing you said which acompletely agree here is we here watch this show hand look at our world as bank of america or citi bank as wonderful institutions and we forget about the unbanked or the people who are afraid of the government taking the money. 2 billion of them. Not a fair judicial system that you can lose it is in a lawsuit and what am i going do, put 40 million of gold in on my back so bitcoin is an alternative. Okay. With proper use of the block chain, my question is if i can now buy securities worldwide and dont have to keep them in a brokerage account that the government can touch but rather i can keep them on a ledger, just like can i keep a bitcoin, okay a security, from apple, whatever it is, does that now say to you, you want 40 million, want apple on your usb stick or tone in bitcoin on your usb stick . What do you feel more comfortable with it doesntknow. You cant do it. If it does exist, the block chain will be the one that ups bitcoin. Well have to leave it there. Bye thank you thank you so much. Joining us is Foundation Medicine ceo troy cost thank you for being here thank you im thrilled to be here. Whats not been the best year for bio tech but not a bad one, your stock has more than tripled. You have some huge news on your test for genetic medicine. The movement is recognition of the medicine were bringing to advance Cancer PatientsFoundation Medicine is one of the a kind company were a hybrid of cancer diagnostics, big data as well add research when we combine those things together, were in a central position in order to make a huge difference in both diagnosis and treatment. The recent news from the fda and cms is a step change in terms of the fight against cancer what we Call Foundation one cdx is the first and only fda approved across all cancer diagnostic and all solid tumors and soon to have medicare access its like hitting the easy button for oncologist. Tell us about the significance of getting this for posing to cover this test . What that will mean for Cancer Patients who are going to their doctor and hoping they wont have to pay for this out of pocket what will this mean for opening up access . The test is a step change of all the tests we performed for our patients, medicare represents about 40 of the patients that we serve its major advancement in order to deliver access to personalize cancer care all patients with advance cancer are deserving of this benefit. How useful has this kind of testing proven to be for treating cancer . What youre doing is saying what are the things that are underlying and driving it from a genetic standpoint what our test does is it matches patients to target eed therapies. Whats important to recognize theres 70 fda approved targeted therapies and today also in the advance late stage pipeline, over 630 unique medicines cancer fighting agents in Late Stage Development with thousands of clinical studies we estimate that four out of five of the patients that we serve will be matched to a targeted therapy, immunotherapy. We look forward to that back over to you thank you so much coming up, cnbc is hosting a Health Care Conference in march. For more information on that healthy returns in march in new york city. You can get your tickets at cnbc. Com healthyreturns. The moment a fish is pulled out from the water, its a race against time. And keeping it in the right conditions is the best way to get that fish to your plate safely. Sometimes the product arrives and the cold chain has been interrupted, and we need to be able to identify where in the cold chain that occurred. We took our world Class Network and we developed devices to track environmental conditions. This device allows people to understand whats happening with the location, but also if its too hot, if its too cold, if its been dropped. Its completely unique. If you have a sensor that can keep track of your product, it keeps everybody kind of honest that way. Who knew a tiny sensor could help keep the food chain safe . Were back barons out with its list of top ten sticks it includes alphabet, delta airlines, berkshire, Pioneer Natural Resources and more they have leaned towards winners that still have plenty of room to run its foigoing to be difficult. Momentum stock list. Every one of these charts is a great chart. What do you do with them now . Delta looks really good to me this is a stock thats in a consolidation building a massive base if it breaks out of this base, this could have a lot of upside. The other two that look great are google, which i own. Al ally. I think the airlines keeps going. The whole mlp space has been given up for dead. Theres been no Movement Since the move the beginning of 15th pioneer natural is on here as well im not sure where that one comes from you dont like it its been a rougher year. Im rather go Diamond Back Energy thats a volatile, sensitive thing. Its range bound for the foreseeable future anywhere from the mid40s to 62 is what he said this isnt the best name in energy go back to Diamond Back Energy there arent those bleed valuations here. What i find interesting about this list is what is not on it anthem is on there and thats a good pick. I find that very interesting what about berkshire by the s p. Its going to look like the financials do for the most part. Its still pretty cheap its looking at 16 times next years earnings with a lot of new chip designs coming out. Thats actually a really good pick well continue to follow that list lets do final trades. Joey go ahead im going jsh josh will expand upon it further you have to Pay Attention of what is going on in twitter shares in the last six weeks it looks great. What do you make of it . Why do you think, josh i dont know. I really dont know. Ill speak on the technicals this is a stock thats now approaching the levels there were buy out rumors, if anyone remembers that no one wanted it the stock had a really tough time now its up 31 this year. A very good year even against a lot of its peers in the Technology Space i think its under owned if theyre going to hit profitability a quarter ahead of time, which is what they said they will do i like the name. I was buying some more in the teens. Hopefully it will continue up 22 bucks im not sure its anything specific snap is up 30 nap did get upgraded last week with a firm that seemed to be trying to call the bottom twitters quarter was better too. Youre coming into health care and its a big one being jpmorgan in january. Its still beaten up thanks to all of you. Heres whats on the power lunch menu bitcoin mania. A wild ride for the crypto currency we give you crash course thats not a pun, on how they work social butterflies well break down a new report on where people are posting what they are avoiding the wildfires continue to rage on in california. The fifth biggest fire in the states history. Were live with the latest and a look at the economic impact. Power lunch starts