Transcripts For CNBC Closing Bell 20160922

Fargo now that the hearing with ceo john stumpf is over. And the man behind the famous competitions will join us to discuss the race to space. Peter diamandis is here. We have john down here over at post nine and our own rick santelli. Jonathan, there is a couple of ways to look at this, right . It looks like everything is coming up roses but is this because there is this sense that the Federal Reserve is stepping back here to let it rip. It is the same sentiment felt. The concept of raising Interest Rates in 2016 is not completely off the table. They have dangled language in front of us. I think that kept people complacent and the market complacent for a very short time. We are looking forward to december as to what is going to happen. It seems the fed a year ago said lets raise rates now and address again in a year. We have december 16 on the calendar. The market is back into the range that we saw for six weeks during the summer time. 2,150. I think we will stay here for a little bit. The only catalyst i see coming could be the debate on monday. I think we have all been waiting for that to come into play. We have seen different poll numbers and jockeying of position there. Maybe there might be something out of that. For now next week, end of the month, end of the quarter night see window dressing. Dr. Barton joins the exchange. What do you make about the type of d. R. , my apologies. What do you make of the type . It is a broad rally today. Gold is up and bonds are up. It is not a typical postfed move. Its not a typical post fed move. We had down movement in the dollar and now it is strong. Gold up, markets up. It is a bit unusual rally like a feelgood rally. If i was explaining this to my third grade economics students i would say we have scales with two baskets. One of them has all the bad bearish stuff, negative economics globally, u. S. Earnings recession. When the other basket we have the fed and the Central Banks and thats winning the day. And it keeps winning the day over and over again. We are in that sort of market where pull backs have to be bought right now. I want to meet the third grade econ students. What do you see is going on here . What about the dollar . I find it so fascinating. I look up and see a ten year note of 163. 163 was the only yield close in the entire month of august that wasnt in the 150s. It was the 26th of august. That was stan fisher day with Steve Liesman when he hinted very loudly that september was a hot month. But yet he didnt descent yesterday. Thats beside the point. I think what i see is reversing back into the same range. I would not be as surprised to see rates move back to 150s. Most likely equities are going to do what they did in august which was retake alltime high territory t. Is a tina moment. There is a lot of tina moments between fed meetings. I think they go in december and i personally think they dont go in november. I dont see any surprises. The dollar index all somewhat fits and it is all around the globe, all the sovereigns whether guilts or japanese markets. We see a tandem move around the board and that is always a good fingerprint for central bank motivation. I can see you nodding there. If you expect highs in equity markets which sectors do you think will push . I think we see movement to the upside in technology with Oil Prices Trading we will see it in energy. I think rick is right. We dont want to see surprises. The market doesnt like surprises. If we continue to not get surprises we will be stuck in the range for quite some time. We are kind of capped. There is the sense that didnt raise in september but they are going to raise in december that would be one thing. I wonder if as our guests indicated maybe the market isnt expecting a rate hike in december at all. I think with the president ial election and you have a change in administration why would they do december when we will have a new president in january . There is a great reason to wait until after january. D. R. , bank of japan and ecb we have been criticizing wondering whether they have no tools left to move any policy. Does the timidness we have seen from the feds suggest the same as true over here, as well . I think it is tough to say that they have zero bullets left. I think they have a few levers to pull. Their options are dwindling. I think that so that everyone is not going the fed has lost their mind they threw in the language leaving open possibility for december raise. Im with jonathan. I dont think we will get the raise in december either. Rick has his ear to the ground and might be hearing something that im not. Our analysis says not a good chance then and they have to save some other bullets for if we have some sort of upset, can they buy more bonds and do things like that . Yes. They certainly are returning out of tricks to play. We know rick mentioned tina. There is no alternative and driving people into stocks. Give us a couple of your best investment ideas for this environment. As the markets keep lifting i like a couple of different ways to look at this. One buy strong stocks on a pullback. I think taser has been a stock that will continue to be in the news every time we have a tragedy happen in some way like we did in charlotte and tulsa. That will be a top of mind company. They had earnings that disappointed. They are piling customers up into their cameras and to their evidence long term repeat business website. Thats a really good one. I like momentum plays, too. I think amazon has an ace up their sleeves. They have two of them. They are going to at some point have to tell us exactly how many people are in amazon prime. When they give us that number we will see a big bump in the stock because it will surprise all of us. The other one they have facebook. We have to go. Thank you for joining us to kick things off. The good dr. Rick and jonathan. The nasdaq on pace for record close. Susan lee has more on what is behind that move. Positive territory. This is a ninth record close for the nasdaq this year in 2016. And being led today by a stock that starts with a, its not apple, amazon topping 800 a piece. The fourth most valuable company in the u. S. And this is i guess account frg puing for pushing u benchmark. Apple didnt participate in the record rise yesterday but apple is helping out the benchmark. On the flip side looks like broad com. Microsoft is moved up. When it comes to Interest Rate sensitive sectors we have telecomes leading the advance today. Janet yellen said they expect at least one more rate hike this year so telecomes have a yield play. Banks are hyperand industrials are gaining on the back of the rise in oil pricing. Thats the story in the nasdaq. Back to you. Susan lee at that nasdaq. Joining us on the news line with more on the nasdaqs record highs and which horses he is betting on here is dan niles, Founding Partner of alpha one capital partners. Give us your favorite plays here. I think my favorite play right now is apple. And it is a stock that i havent really liked since the beginning of 2015 right after they launched their first 5 1 2 inch phones. And i think thats the one that will help drive the market. The stock is down 15 from its levels back in the early 2015 time period. I think they are in a pretty good position to help drive the market higher. Is apple still purely an iphone play . How much is your call on apple based on those early numbers we have seen from the Network Carriers coming out stronger than expected . There are three drivers. It is mostly an iphone play which is what it is. You have to remember for apple we talk about apple a lot. Sam sung sells more than 50 more phones than apple does. People forget about that because sam sung is more at the low end. There are three big drivers. The first one is if you look at it, the revenue guidance that they gave for september if you back out the fact that they have burned 3. 6 billion they need to grow revenues about 1 . Last years it has been 6 to 7 . The second piece of it is the carriers, the numbers are good but question is why are they good . The numbers are good because they are going back to subsidizing. You get a free iphone if you trade in one and sign up for new two year contract. That is driving a lot of upgrades and valueuation is great. Amazon cracked 800 a share today. What is your view on that company . With amazon i think you are dealing with a company that will continue to get more dominant. If you look at our household we order everything through amzaung. We had a fold out bed show up today. They are pretty much taking over everything. My wife said dont ever short that stock. I think the thing is that you are pay ag pretty high valuation for it. As one of your guests said earlier we dont know what prime is contributing or how much it is driving. For me apple gets a nice combination of defense with a nice big deal they have 2 dividend yield whereas where amazon there is no dividend to deal with. It is a Terrific Company but thats not my priority now. What about amazon prime . What does that mean for the traditional broadcasters, the likes of cbs . Is there fundamental reason for existence being eroded . I think you are exactly right. I dont like the broadcasters in general. I think next year its going to be an absolutely horrific year for all of them. This year had been better than normal because you had the olympics which a lot of advertising goes into that. Secondarily you had probably the most contentious president ial election that we have seen in a very long time. That all helps. Next year you dont have that. To your point between amazon prime, netflix, comcast integrating into their boxes Going Forward you have hulu, over the top services from each different carrier, the ratings continue to get clobbered whether football even olympics didnt have great ratings. More people are spending time on their smart phone and watching youtube videos, all those things. I think next year all benefits go away and it will be a really rough year for the media companies. Comcast says it is launching a Wireless Service of types next year. Now there is speculation that they can be an acquirer of t mobile. Are you thinking through those steps . There seemed to be a lot of moving pieces here. I think it is a good point. If you look out to the world a few years from now as you head towards 5 g you have the 6 1 2 inch phones. They have incredible resolution. Now im sure you watch a fair bit of video through your phones. And thats going to just continue to increase Going Forward and comcast to your point really does need to get to the wireless business. It would not surprise me to see them pick up somebody one of the smaller carriers but i think near term they will take it in baby steps in terms of how they approach it. When we saw you in San Francisco it was one of your favorite positions. You sold entirely out of that . Do you have an opinion on how viacom is unfolding . You brought up the thing that brought me to sell it. As viacom keeps getting worse the prospect for cbs goes down. There is more chatter of the red stones trying to merge the entities back together. That is something i absolutely do not want to see because cbs is executing very, very well and really tough media environment as you saw yesterday viacom pointing out negatively. The numbers were absolutely horrific. The only good thing is valuation is cheap but it is melting ice cube problem. You worry about how bad is this ultimately going to get . If they try to merge it together because red stone controls both of them, its not something i want to deal with and that is one of the several reasons. It is tied back to views on media that we ended up selling cbs as much as they want to. Reminds me of the same thing unfolding at tesla. Thanks for calling in and joining us. Appreciate it. Thank you. Dan niles there. We have about 45 minutes left to go here in markets. Dow is up another 107 points. S p 500 up 14. Nasdaq trying to set another high. Tesla updating auto pilot system. Is it safer . We will go live to Silicon Valley with details. The entrepreneur who planted the seed for the quest to create commercial space travel. Peter diamandis shares his vision with us. Every great startup begins with a simple idea. But with growth comes complexity. Thats why so many innovators are on the ibm cloud. Like refinery 29, with nearly a billion views a year. Or runkeeper, a training app used by over 50 million runners. Or Game Developers whose popularity depends on launching new updates fast. Helping to keep a companys success uncomplicated thats what the ibm cloud is built for. Bacteria can hide in food and make you ill. Wow announcer but you can keep bacteria from ruining your day with 4 simple steps clean. Im ready for the rinse cycle announcer separate. All woah announcer cook. Fire in the hole announcer and chill. Chipmunk we chipmunks are notoriously tidy. Announcer check your steps the roadchip to food safety starts at foodsafety. Gov. Chipmunk whoo this is awesome Discovery Communications on the leader up some 5 . Goldman sachs conference discovery ceo saying the company is considering charging to deliver certain sports directly to viewers. Discovery paid 1. 4 billion for rights to air the olympics from 2018 to 2024 on multiple platforms up 5 . Lets check out other movers. Seaworld, citi says it creates an opportunity. Shares hit a low when company said it would suspend dividends. Citi maintaining price target at 14 a share. Jabil circuit lower. Some analysts say the lack of a full year outlook creates a sizable overhang given exposure to apple, one of its top customers. Tesla issuing auto pilot update to software system. Phil lebeau looks at whether it will be safer. Reporter that remains to be seen because that Software Update was sent out early this morning and yet to find a customer who had the update go through to their vehicle. Here is what the system is promised according to tesla. The on board radar system basically becomes a copilot, if you will, along with the camera system that has been there. Better vision of possible obstacles on the road. The auto steer function can navigate highway interchanges and there are enhanced driver warnings. We have a chance to see the warnings and they clearly stand out visually and you get audio cues part of the promise to keep drivers more engaged in their belief that this makes the safest on the road but those who are tracking the auto industry, they are not entirely sold on whether auto pilot is still as safe as tesla is promising. When the car is taking over it is so easy to get distracted at what is going on because you are allowing the car to do its thing. This really is not a good way to go and it appears that auto pilot 2. 0 is making changes to address that but not clear if they have gone far enough. And remember the auto pilot system remains under investigation with this Software Push the focus now at least for tesla investors, what kind of progress does this company make towards the full year gold of delivering at least 80,000 vehicles . We will get the next update in earlally october. That will be the Third Quarter numbers. As you take a look at shares earlier today the company filed a lawsuit in the state of michigan against the state of michigan because it was not granted an auto dealer license. This is the ongoing dispute not only with michigan but other states saying you cannot sell vehicles directly in our state. Tesla has tried a number of ways to get around it and now are taking michigan to court. Can i ask a question on a slightly different topic. How worried will they be about rumors of apple plus mcclerren . I think their approach is they are doing their own thing and they know that other competitors whether apple or other Tech Companies or other auto makers. I think elon musks approach is they are going to do what they are going to do. We set a path forward in terms of model s, x and 3. I dont think at least publically you will hear them talk about it. Great stuff, phil lebeau, thank you very much. We have about 40 minutes to go back here. And the dow is hanging on to a gain of 106. S p is up 14. Transports up. Dollar is down a quarter point and nasdaq is trying for another record close. We are going to be a multi species so says futurest peter diamandis. The extend of damage and if she thinks the hack will throw cold water on the purchase of yahoos core business. Thats coming up. 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 jake reese, day to feel alive jake reese, day to feel alive jake reese, day to feel alive next guest was inspired early on by the fictional tv series star trek and he went on to create the x prize. The x prize stormed a new space race featuring business entrepreneurs. Joining us is peter diamandis. A good afternoon to you. Thanks for joining us. So you got inspired by space race at a young age. How much has it come on in that time since you got involved . We havent got real marketable consumer space travel. We are just getting going. I was inspired by star trek and apollo. Wanted to be an astronaut. I hooked my engine on to commercial space and started some 17 companiesism the goal is can we create an economic engine. I think we are just now going to see Richard Branson and elon musk, planetary resources all these things starting to drive commercialny into space. There is going to be hiccups along the way. I wonder if some of what is happening isnt a little more serious than that just because they tried so hard to ramp up the schedule. They had high profile disasters. Could they setback private Space Exploration at the time when the public piece isnt stepping up . I think it might set it back a small amount. I have huge confidence in the falcon design. Its the most revolutionary space design by a long margin. Its early days. We are still in the 1920s equivalent of aviation. And the more we fly the more robust the systems will get. We will get systems that we can fly on routinely low cost. That is coming over the next 20 years. Its not far away. We will fly on this routinely. This is for travel. This is for opening up the space economy. Amazing author of San Francisco chronicle wrote a book called how to make a space ship chronicling my childhood. My goal was to get into space without having to become a nasa astronaut. I think we will start to see the commercial engine driving a lot of people to open up space for heavy industries. Olon wants to go to mars. All of these things will be possible. I am looking at 6yearold you playing doctor with the kit your parents gave you. Starting with the pictures. Who has time to read the words . I knew jeff bezos in college. Elon i met in 2000. We have individuals who got the wealth and passion to do it themselves. Richard branson one of those men has written the foreword of the book. Professor steven hawking wrote the afterward. Which of those individuals is going to win this race . There is plenty of room for them plus many more. We are talking about a multi trillion dollar economy. Just one half kilometer asteroid and we have identified 11 as targets are worth 2 to 5 trillion each. If you had to pick one . Im not going to pick one. They are both going to do it. Elon wants to take humans to mars in the next ten years. There is room for both and we will see both succeed. Youre involved in other technologies like magic leap. We tried one of those. Very proud of it. Which is going to be first . Are we going to mars or a vr head set to wear for more than five minutes . You are going to put on your head set and transport yourself to mars. So its the most amazing time to be alive. We talk about all the technologies. There is one other thing i am asked. The grants were awarded and one went to somebody who came up with the paper folding microscope which does so much good at such a low cost and reminds me of 5 laptop. Is this more useful relative to technologies you are talking about . What people dont have on their radar that is incredible is we have google and facebook and one web and space x all looking to provide 8 billion people on the planet with one mega bit connectivity. Those individuals with access to a smart phone have access to the best educational systems on the planet. We are about to democratize access to health care and education which is to uplift the world. We are in a period of extraordinary growth. In Silicon Valley the conversations i have is Something Like this. People have no idea how fast the world is about to change. Buckle up. Thank you so much for joining us. I hope it inspires people to go for their own shots. Thank you for joining us here. Time for cnbc news update with sue herrera. Here is what is happening. White house spokesman ajosh earnest says president obama intends to veto by friday evening legislation allowing survivors and families of victims of the september 11 attacks to sue saudi arabia. He opposes the bill on the grounds that other countries could use that law as an excuse to sue the United States. Israeli Prime Minister Benjamin Netanyahu addressing the general assembly. Inhe invited palestinian president to speak. Donald trump campaigning in pittsburgh speaking at a Shale Energy Conference and vowed if elected president he would work with local governments to combat crime and violence. This is a National Crisis and its the job of the next president of the United States to work with our governors and mayors to address this crisis and save africanamerican lives. Oxford university named the best in the world by Times Higher Education offers under graduate tuition for about 11,700 around a quarter of the cost of harvard or stanford but is available only to under grads from the uk or the european uni union. Students from the rest of the world can pay up to 30,000. Compared to Higher Education facilities in the u. S. That is still a relatively reasonable amount. That is the cnbc news update this hour. Thank you very much for that. Iths rr cheaper, better. Is that where you went . It is where i went. If it wasnt oxford it was cambridge. Caltech had been number one for many years and then harvard was in there. M. I. T. Everyone who is the winner . It was also done by the times in the uk. Home country bias. By the way, i dont know why more people dont try to go to oxford and cambridge. A lot cheaper. Moving on with minutes to go before the bell we are looking at gains of about 0. 6 for the dow around 115 points. S p and nasdaq up a little more than that. A leading trader tells us what he is watching into the close next. Coming up, two days, two top ceos facing congressional grilling. Wells Fargo John Stumpf or heather brash after this. [baby talk] [child giggling] child look, ma. No hands. Children i, j, k. [bicycle bell rings] [indistinct chatter] [telephone rings] man hello . [boing] [laughter] man you may kiss the bride. [applause] woman ahh. [indistinct conversation] announcer a full life measured in seats starts with the right ones early on. Car crashes are a leading killer of children 1 to 13. Learn how to prevent deaths and injuries by using the right car seat for your childs age and size. Welcome back. A little more than 20 minutes to go in this session as stocks keep moving higher. Tim anderson, explain what you think is going on into the close here. I think that around the fed meeting, the day before, the day after thrks day of the market historically is strong. We have been do you mean in the last several years during the extreme Monetary Policy . The fed did not cut rates. There were a couple of notable outliars that were call frg rate cut. That didnt happen. I think the risk that the fed might have here is that i dont believe they are on the verge of losing credibility but i think they might be on the verge of the market not paying attention as much as in the past. So many times they signaled for a rate hike even at this meeting they pretty much said everything is there for a rate hike. Do you think that is what they want in some weird way . I dont. I just think that they have themselves painted into a corner a little bit. There are clearly a number of members voting members that preferred a rate hike. You probably would have had a fourth if fisher wasnt vice chair. And it would be interesting to see if they start to talk hawkishly towards a rate hike in december if the market pays attention to it. Thanks for joining us. Just 20 minutes to go for todays trade the s p and dow trading 120 points higher. Still to come jack and jills trip up the hill went better than john and heathers, sth ceos of wells fargo and mylan testified this week. It wasnt pretty. We will discuss what congresss tough talk means for their companies. Democratic president ial nominee Hillary Clinton release ing a n tax plan today. Appearing on online talks. We will look at the tax plan and size up clinton comedy shots. A tree that bore the most rare and magical fruit. Which provided for their every financial need. And then, in one blinding blink of an eye, their tree had given its last. But with their Raymond James financial advisor, they had prepared for even the unthinkable. And they danced. See what a Raymond James advisor can do for you. This car is traveling over 200 miles per hour. To win, every millisecond matters. Both on the track and thousands of miles away. With the help of at t, Red Bull Racing can share critical information about every inch of the car from virtually anywhere. Brakes are getting warm. Confirmed, daniel you need to cool your brakes. Understood, brake bias back 2 clicks. Giving them the agility to have speed precision. Because no one knows like at t. They said a bottle was just a bottle. That no one would ever notice me. But i knew i could be more. That one day, i would make people smile. [woman speaking indistinctly] Corporate America under fire this week. A group of senators asking the Labor Department to look into the wells fargo fake accounts scandal after ceo john stumpf took heat on tuesday. Mylan ceo came under fire over the price of the companys epipen drug. Debate hawse been furious on what it means for the businesses and for the executives in question. We never intended this. We listened and focussed on this issue and came up with an immediate and sustainable solution. You think you were charging too much at 600 . We believe it was a fair price and we lowered that price by half. If you thought it was fair leave it where it is at. We will sell it to you for 10 oand raise the price for 600. You need to sign this and say you cant buy this from anybody else. Dont answer. I am deeply sorry that we failed to fulfill on our responsibility to our customers, to our team members and to the american public. I have been through many challenges with wells fargo but none of which pains me more than the one we will discuss this morning. Did you fire any of those people . No. Okay. So you havent resigned. You havent returned a single nickel of your personal earnings. You havent fired a single senior executive. Evidently, your definition of accountable is to push the blame to your low level employees who dont have the money for a fancy pr firm to defend themselves. Its gutless leadership. Joining us now to discuss the potential impact on wells and mylan is jeff and brad eggal. Dow professor and author of the Business Ethics field guide. What was your impression of these respective appearances here from these two ceos . You know, there are profound differences between them. You are dealing with a Public Health matter and not fraud and the other one is an issue of consumer fraud. Past that major difference you have a lot of issues in common. In both cases you have very weak ceos that have come in under the spell of highly charismatic predecessors that carry the day there and boards are captured and the disasters in both cases. We have Board Governance fiasco. In the mylan case there is no accountability. There is no take over premium thmpt chairman still runs that. Having her before congress is like having Kelly Ann Conway before congress and saying you had donald trump there. She is not calling the shots at the company. In the case of stumpf he is a deer blinking in the head lights. Neither was prepared. Neither of them showed genuine contrition or showed atonement. Its pretty upsetting in both cases a huge loss of trust. Public health trust and financial trust. Are we overreacting a little bit in terms of reactions to the hearings . Is this too individuals who dont have charisma and delivery of others in the past like jamie dimon or were they under prepared and not caring about what they were taking part in . Neither of them was very well prepared. It was pretty unbelievable how unprepared they were. Watching this was like watching clinton and trump. Its like a race to the bottom. You are watching the train wreck happen as it occurred. Here is the difference between stumpfs performance and Heather Breshs performance. In the case of john stumpf he admitted they did things wrong and there was contrition there. Heather didnt provide much contrition. And the other big difference was that the Senate Committee seemed rather upset about wells fargo but werent that upset about the hearing itself. Yt case of Heather Bresh not only were they upset about what mylan had done but upset about the hearing itself. If you watch the chair of the House Oversight committee body language at the end of the hearing it was unbelievable. He went like this, just shook his head. I would disagree with you slightly with you. Both of these ceos managed to accomplish the near impossible and that is they manage to unify two of the most fractuous congressional bodies and one of the most idea logical charged congresss. They pulled them together on the same page which is pretty remarkable. Jason chaffts was critical. To say stumpf was contrite i think you are giving him too much credit. In the original preparations for the Senate Hearings stumpf refused to apologize. Finally they dragged out an apology but did he like jamie dimon who was very candid and open, nobody was harsher on jamie dimon. He sliced his own pay in half. This guy is making 19 million and gave the woman in charge of this whole unit 130 million exit package and through his own board under the bus by saying it was up to them if they want to have a claw back. That is all under the ceo to the level. I didnt see the contrition, brad. I agree with you fully on the actual actions. I was just kind of talking about the hearing itself. But the action you are absolutely right. These companies specific issues or will the ceos of the companies be furious at the poor performances because they fear it will mean wider retaliation from the regulations questioning whether prices are too high or whether banks are too big in the Banking Sector . I think a cold bucket of water for the wells fargo board. I know roughly half of that board was shocked at how bad stumpf performed. There may be reconsiderations there at least being put on the short list. This board never conducted an investigation until yesterday did the board after the hearing talk about hiring a law firm for an investigation. The mylan board nothing will change because there is no shareholder accountability. The chairman with the board through some very weird governance issue and intervention in europe. This Dutch Company he created a foundation where he controls the board off that foundation. Its bizarre but too long to get into. No accountability at mylan. Thank you for joining us. Thank you very much. Big week down there in washington. We expect to follow both of those. Ten minutes about 0. 7 gains for the s p. Dow just behind that and nasdaq up just ahead. Investors should beware of japan and oil. Well hear why when closing bell comes right back. Its scary when the lights go out. People get anxious and my office gets flooded with calls. So many things can go wrong. Its my worst nightmare. Every second that power is out, my citys at risk. Siemens digital grid manages and reroutes power, so service can be restored within seconds. Priority number one is keeping those lights on. It takes ingenuity to defeat the monsters that live in the dark. Welcome back. Markets heading for another positive close after the fed failed to hike rates yesterday. Joining us now is ceo of pep international. Thanks for joining us. Is this a moment for you to deploy capital into equity markets because the fed has given you a reason to . Thats right. I manage money for very wealthy families and we look at multigenerational long term perspective. This is a time when investors can relax. Theres been a lot of hysteria. I know these are High Net Worth households. They are still household. Im sure on some level that makes them more risk averse. Are you looking to raise cash levels significantly with a sense of everything trading at high valuations especially if youre investing for the long term . No. What you want to do is find high quality opportunities that will last for a long time and sit on your nest and find those grate names and stay with them. The market goes up, the market goes down. Typically its very difficult to do the timing. Youre better off picking the right sectors and stocks and sticking with them. What about gold . Is that something that High Net Worth individuals they like having exposure to gold. When markets panic gold goes up. But it tends to be a smaller exposure these days bath it hasnt performed as well over the last few years as it did in the past. Everybody owns some gold under the mattress. Can you give us some sectors or even specific names that are a good price to invest in . Right now, we want to look for high dividend growing names in the health care and Technology Sectors and there are two i really like. They are big, they are comfortable, youre going to get great dividends and thats microsoft in the Technology Sector and j and j in the health care sector. Thank you for joining us. Still to come were coming right back with the closing countdown. Yahoo s breach is bigger than expected with 500 million accounts attacked. Well look at what it means for verizon that is buying the company. Youre watching cnbc, first in business worldwide. Narror the best place to find adventure. Kubo come on, this way. Narrator . Is in the forest. Kubo wow. Narrator so grab your loved ones monkey dont even. Narrator and explore a world of possibilities. Kubo s beautiful. Narrator visit discovertheforest. Org to find the closest forest or park to you. Were drowning in information. Where, in all of this, is the stuff that matters . The stakes are so high, your finances, your future. How do you solve this . You dont. You partner th a firm that advises government and the fortune 500, and, can deliver insight person to person, on what matters to you. Morgan stanley. Welcome back. Were 108 points higher on the dow. The s p a little bit better still about 0. 7 and the nasdaq the best performer once again close to 1 of gains. The important thing is that breadth of the rally. Financials doing well here but consumering staples. Interest sensitive groups like Real Estate Investment trust doing well. Take a look at the s p. I want to point out. Were getting close to historic highs. Remember 2190 was the old high in the s p. 2177 right now. Only 12 points away. Look at that. That was back just august 15th. Why has it been so broad . Not only sectors have been broader but oil up, gold up. Whats happened is the fed is scaling down expectations of future rate hikes. If you look at it they were expecting 2017 the fed rates would be 1. 6 now its 1. 1 . Right down across the board predictably stocks go up, bond yields go down the weakens and theres the commodity rally. Its really the scaling down the expectations of future rate hikes. The market, unfortunately, you know well go through this all over again in december. Thats why i think were going to be range bound. Not necessarily going to see major break outs. Great stuff. Big ipo today. Elf doing well. Valvoline will be pricing the big company. Im bob pisani. Theres the close just shy of the 100 points. Women for Women International and commvault systems. Thank you and welcome to the closing bell. Were finishing another strong day dow 97 points closing just shi shy of 18,400. The nasdaq out running them both up 44 points thats good for. 8 of 1 to close at a 5339. I believe thats good enough for another record high. Well have more on that in just a moment. Yahoo hacked. The company now confirming a data breach thats impacting 500 million users. The biggest single site hack in industry. Well talk to Carol Swisher who broke that story in just a moment. Joining me here is Michael Santoli and stephanie link. For more on todays market action, fast money trader guy adami. Everything looked pretty strong here. The question is just do you just take it at favorite value . I think you do to the competent you are looking at a very measured mark up of assets across the board in response to no change out of fed and very little change about what the outlook is versus what its about end. I dont think this has been a high nigerian enthusiastic rush of buying. Much more about okay, fine, one small bit of uncertainty removed ahead of feds tactics and beyond that more of the same which is the yield chase is back on, buy some Growth Stocks because were in a low growth environment. Just a question of how far that takes us on this response because the market, still is half of a percent or so broadly below its old highs. Do we look to biotechs which is the growth and mum. What works here . Well a lot is going to work. First i think trying to digest what the fed actually said yesterday. There were parts that were hawkish and parts that were dovish particularly with the slack in the system. So i think people are wondering what to do now. Yields actually backed newspaper to this meeting, and just about everybody thought that they werent going to do something but the fact that they didnt do anything, it was a little confusing. It put everybody up on edge. In my opinion i think youre seeing back to the yield plays for sure, but its not over for cyclicals i dont think because eventually they could raise and we just dont know but, again, they could. So it reminds me when we talked in december how there was a dovish hike and this was a hawkish hold and, guy, i wonder if a hawkish hold isnt the perfect way of make being sure every asset las can work in that kind of environment. Hawkish hold, action speaks louder than words they say. They talk hawkish a couple of weeks into it. At the end of the day they didnt do anything. They can speak and play the hawk card all they want but their actions again speak much louder than words. It doesnt matter. Im just pointing this out. I remember last year in december we had a conversation saying, what i see them doing is heres your rate hike for this year well see you back in december of 2016. Thats really whats come to pass. Now does it mean the market continues to ratchet high center well looks like it does. And the bear camp fashions themselves the intelligencea. Simple is and dont fight it makes me wince. This rally will be seveverified the russell was, get above that 1. 29, 1. 30 level which was the all time high sometime last year. 1. 5 today. Nasdaq closed at a record high. Lets get to susan lie with more. Reporter amazon crossing 800 for the first time. There was a target price of 935 a piece. Apple contributing and nasdaq up 10 over the past quarter. All in correction territory. Back to you. Thank you. 5339 is the closing level there so i guess its clear tech is working. Tech its big cap growth. Not just pure tech. If i look at the 52 week highs it included most fees and mastercard. Included some edward life signs. Some Health Care Tech oriented growth names that people say look these are big platform companies. You had alphabet moving. Thats what people default to. It helped that you had very good earnings from adobe, from red hat, fedex. That confirmed things arent falling apart even though were getting mixed signals and weve seen a slow down. Coerce not. Being able to deliver. These are big moves from big companies. So clearly theres a momentum there for sure and i think that sets the stage after we get through the debate next monday that sets the stage up for earnings season and that will drive us high near to the end of the year. Amazon guide today trade above 800 a share. I guess the question is can they set up a whole new round of games for these names and what happens when the general public gets involved. When people like bill miller get behind amazon, we talk about stephanie link being bullish on amazon, that speaks power as to that stock. People wouldnt fashion themselves amazon bulls. Can it dont climb high center it can. Can the Broader Market . Yes. Everything you read has been and, again, im one of they p. M. Saying it. Central bank missteps. But its like you want me to tell you i know theres going to be an earthquake sometime in california i just cant tell you when it will be. Same with the market. You know there will be an earthquake but i can tell when that will happen. Ill say this. The longer the earthquake doesnt happen the worse it will be when it does. We want to be reminded of what jeff said yesterday on fast money. Double line capitals was weighing in on the fed and what hes shorting and in the context of what weve been saying is an interesting contrast. Heres what he just said. I think december is huge, who knows at this point. Think of how many times and the magnitude at which the fed guessing for todays move or unmove changed over the past three months and here we got three months which includes three president ial debates, president ial election, this is highly unknown whats going to happen in december. This market had lots of momentum things going on but also has pockets that are really weak. I dont like talking about individual names, but ive been short some restaurant, ive been short some airlines, identify been short some retailers and basically most of these stocks are down 15 to 20 yeartodate. His point is these are names that will get hurt in the next recession when it comes. If you short it now youre making that call now . Sure. There are some data points from the consumer thats suspect for sure. Everything that shorted did go down. Restaurants led us out of this recovery on the consumer side and had a phenomenal last year, last couple of years. To see that roll over i understand. Airlines didnt act well right from the get go. When oil went up the stock went down. When oil went down stocks went down. Department stores was easy. It has the amazon effect. I would like to know what is he doing now . Is he covering the shorts. I think theres some value there. For those who say why cant the fed just get on with it . When you have somebody like jeff with his track word saying the consumer is weak, planning for a recession that side of the argument has to get some air time. Thats why youve had this paralyzed fed because you had equally plausible sides of the debate. If they dont revise their expect swrags whats the hurry. If were not going that far and end up in a place where we are right now maybe its not that much of a hurry. Even if we move in december maybe its one for a while. The production figures have been down for a year. Some pretty quirky things going on. Speaking of something up, elf beauty and its debut down here, initial public offering. It looks like maybe fourth or fifth best day debut. Up 60 . Priced at 17 and closed around 27. Guy, you think this clears the way for more to follow . Isnt there valvoline or something coming. I know you dont know what valvoline is. Come on, every time a car broke down, oh, back to the valvoline. Thats why i dig you. You know what valvoline is. Does it top flood gates . Maybe at the end of the year. As mike just pointed out one less data point to worry about. From now until the end of the year you could possibly see a few things. Im not saying top floodgates. Youre looking for sectors that still work you danced around it earlier but very quietly biotech had a huge move since june and i want reminds me sort of where oil was at the beginning of this year. Bottomed out, started a rally, nobody believed it. You know, basically a double later youre talking about oil and 45. I can see that thing continue to climb higher from here. Especially because people are debating whether its a short squeeze, unwinding or theres more still to come. Mike, the real interest would come if we get some big unkorns going public. Air b and b was able to continue. Raise capital, have insiders monetize a little bit so maybe they can push. If they want to stay private i do think what youre seeing in terms of person of interest, with elf, valvoline, right time, right sector. People want valvoline. Also auto parts and auto service has been a relatively strong area. Youre picking your spots. Not talking about a rush of companies. But we know pipelines are very strong. If you listen to what jpmorgan has to say. They have this huge pipeline. Let the conditions be in a good place so they can bring these deals successfully. Elf was priced quite right and its in a great sector where people are spending. So if they timed it it will be interesting to see how they do valvoline. Pretty good tale. Something in cosmetics thats working. Guy, before we let you go weve gotten over the fed and it was suggested not long ago perhaps the next big hurdle is monday nights debate. Do you think thats right absolutely. If mr. Trump does well i tell you as crazy as it sounds, if he can hold his own and not fly off the handle that could lead to a sell off in the market. The magnitude but you can see the s p down 20 to 25 handles after a successful debate by him. Yes in my opinion. You guys agree i do think the market will likely go inverse to trumps polls, yes. Thats the way its been played so far. If she kind of prevails then its status quo and the market likes status quo, it doesnt like uncertain ty. I would be a buyer on that weakness. Let you go to get ready for fast money. Were covering that debate here on cnbc on monday night. The market right now is unshortable so how is he making snow, hell tell the gang at 5 00. Coming up, yahoo the victim of a mass jim hack. This may expose data of 500 million accounts. Well discuss the size of this hack and whether it could impact yahoo s deal to be acquired by verizon. The crisis in venezuela shows no signs of getting better. Well speak to a reporter on the ground how venezuelans oil company may be defaulting on its debt. Youre watching cnbc, first in business worldwide. Ann explaity yorecommend synthetic er cedar . Its a great soo but is it the ght the foher . Thing . This ally any better thane e . Ife consolsupps whats the savingshere . So sul gwith the 7 horser . Ife consolsupps whatsors a 423 enough . Go queio you ask a loofood ife consolsupps whatsors estions. Gh . I think should move you in our new fund. Sure. But are you aski enough abt how yo wealth is managed . Alth management, harles schwab. Well rht now all our n plans come with no datoverages. Wellally be in ntl. And were bk. Introducing new at t pla with data ovagchges. Welcome back. Yahoo has now confirmed that user account information was stolen from the companys network. This hack impacts 500 million accounts. Its now the biggest site hack in history. Myspace was prior to todays. Another blemish on Marissa Myers leadership. Yahoo confirmed its a big hack and said its a sacramento actor. Should we read russia into this . Typically Something Like this when a hack happens of this magnitude theres Nothing Specific about why they delayed talking about it for so long. Why they didnt respond when we called them this week and everything else. They have been super slow in revealing this to users and verizon and other bidders. Because this happened two years ago. So would this qualify as material from verizons point of view well see. Obviously Companies Get hacked all the time. This is sort of all companies. But its been most companies are subject to hacking attacks all the time. The question is the extent of this one is massive and from what ill be writing about, Companies Top executives have been working on this for a long time. They delay telling people they didnt change passwords back in august when it became publicly clear that somebody hacked these accounts and theres a lot of threats here you have to follow. I was going ask you about the password reset. Im curious as to why they wouldnt have been conservative. Was it too complicated, too come plegs. They couldnt get their hands around it . Its not that hard to hack a password reset. It creates uncertainty around the company. Theres so much uncertainty about everything else. They cant do advertising right. They are in the middle of a sale. I think they were obviously they were working on it and one player, alex stamos was the one who plugged up the leak and stopped the breach and left to go facebook to be the head of their chief security officer. He was advocating a more aggressive stance and that didnt happen. You said its unclear whether verizon will view this as a material. Will this trigger anything that says they will revisit things like the price . They dont know. Certainly surprise when i called them, a lot of people at verizon when i called sources didnt know about this and of course statement is clear we just found out two days ago. Its kind of like, hey, were in the dark too. That was a pretty strong statement of the fact that they were not informed adequately about this. I dont know if it will impact it or not but theres certainly some irritated people at verizon that ive talked to. How did you get wind of it . No. Im a really good reporter. We got a tip and pursued it and it wasnt very hard to get because so many people had been unhappy, people inside yahoo werent happy how it was handled internally. A lot of people there were distressed about the lack of disclosure so they disclosed it to us. I feel like you mentioned there were also some of these accounts out there. Theres this historic web where information changes hands. I want seems to include peoples personal questions and that kind of information. Anything. Youve done these things when you use the website you answer questions about what was your Favorite Hotel or favorite movie. I use the same one. I know its horrible. You shouldnt. I know. A lot of these things including passwords and theres all kinds of way to decrypt passwords. When you have birthdays and answer to questions you can do a lot. Hackers can do a lot with very little amount of information. And especially when they get this much information. One of the things is in august this was up on the web. Im not sure how long it took to investigate this. But hundred were checked out. I dont know why it took this long to investigate. Maybe they needed to investigate it. Yahoo has been talking about this issue for a long time internally and working on it. Good reporter and great podcast host. Enjoyed your chats. Kara, thanks for joining us. Cambridge cyber summit in partnership with mit and aspen institute. This is sure to be a hot button issue, speaker information, other details and Tickets Available at cnbc. Com cybersummit. Another violent night in charlotte after the shooting death of an africanamerican man. Up next live report from the ground on the possibilities of a curfew, the arrival of the National Guard and when police could release video of the fatal shooting. Were back in a moment. Welcome back. A state of emergency has been declared in charlotte, North Carolina after a second night of violent protests following the shooting death of an africanamerican. Jay gray joins us from charlotte with the latest details. Jay . Reporter yes. State of emergency in places you talk about an uneasy tension in the core of the city as National Guard troops and state police move in. Well see hundreds of additional officers on these streets as a third night of protest gets under way. What we do know is last night 44 people were arrested on charges ranging from failure to disperse to assault. At least one protester was shot in the head. Still on life support right now. Police on the scene say that it was a fellow protester that fired those shots. Theres been a lot of concern throughout the day, a lot of residents very concerned about whats happened as a result of looting and rioting here, stores that had their windows shattered, people confronting lines of police in riot gear and a lot of people say that takes way from what the initial march here was all about. They were here to march peacefully and a second group, a group that had ill intentions that showed up and took over the situation. Police determined not to let that happen tonight and say they will do whatever is necessary to make sure this city stays safe. Most think that it will get rough if it does sometime after night fall. They are counting down the hours until then and beefing up that support and troops down here. Did you say, jay, there has bean curfew imposed . Reporter no curfew at this point. Its something authorities are considering. Right now what the mayor of charlotte said she doesnt see any reason to close down the city, that this isnt the charlotte she knows or the people of this city and she wants to give them a chance to get through this thing so they dont have a curfew in place. They readily admit they are considering that. Thats jay gray down in charlotte. Time now for a cnbc update. Heres whats happening at this pour. President obama awarding the 2015 National Medal of arts and National Humanities medals. These recipients included actors mel brooks and morgan freeman. The Justice Department announcing criminal and civil actions against companies and individuals involved in mass mailing schemes. Attorney general Loretta Lynch said schemes involve fraudulent letters that falsely claim the recipient won cash or prizes. A u. S. Fighter jet crashed into the seas of okinawa, japan. An nfl quarterback, Colin Kaepernick who sparked a nationwide conversation on race and patriotism is featured on the next cover of time magazine. Hes shown in that kneeling position which he took in protest during the National Anthem before his games. Thats the news update that hour. Ill send it back to you. Venezuela launching one of the Worlds Largest oil drilling problems. Will it help offset the countrys huge output declines and alleviate its economic crisis . Thats next. Everybody knows about the Leaning Tower of pisa. The u. S. Has its own version a luxury high rise thats sinking and tilting. Details later on the closing bell. Annouer en they test you, anrm and mo only when y hear e seatbelt click that says theyre buckd in fothe i. Never give up till thebule e. When a moment rns ronticwhpausee pill . Or stoto find a bathroom . Cialis for daily use is approveddto treat both erecte dysfunction and the uriny symptoms of bph, like needing to gofreqntly, day. Te youdoctor aut all like needing to gofreqntly, day. Your medical contions and dicines, anask if yr heart is hethy enough f sex do not take cial if you take nitresor chest pain, or adempas for pulmary hypertension, as it may causan unsafedrop ibl. Si eff may includeheadacheuc layed backac or muscle ache. To avoid longterm inj get medical ight ay for an erectn lasting more than four hours if you have any sudden decrease or loss in hearing or sion, any symptoms of aallergic , stop taking cialis and get medical help right away. Ask your docout cialis and a 200 savings card. Welcome back. Another record setting day on wall street. The dow was up 90 points. S p at 14. It was nasdaq up 44 that seat new record close at 5339. About. 8 of 1 . Hillary clinton unveiling an altered version of her tax plan that would increase taxes on the nations wealthiest people. Reporter last month Hillary Clinton campaign with a lot of fan fare rolled out new incentives for formation and prosperity for small businesses. Today she quietly disclosed how she was going to pay for some of those incentives by updating her website with new proposals on the estate tax. Now heres what Hillary Clinton has talked about. In the past shes talked about raising the estate tax rate to 50 and increasing the threshold to over 5 million. Now higher rates of 50 ons states valued at 10 million or more. 55 on estates valued at 55 million or more and 65 on estates valued at 500 or more or 1 billion for couples. Obviously that would affect a tiny, tiny number of taxpayers, but its something significant to some americans and she would also incorporate a proposal that president obama has made to eliminate the ability to pass on investments and avoid Capital Gains taxes if youre a heir. The step up basis would raise a significant amount of money. The proposals she announced would raise 260 billion often years. Is trump looking to dial back the estate taxes . Reporter he wants to eliminate the estate tax. Rather clear contrast here. Exactly. I was going to ask what you guys thought . Over time its this cat and mouse. Exactly what you can do to defer taxes and get away with them once a person dies. What im interested in as, john, do you think that part of this is the Clinton Campaign wanting to actually pay for some of the spending proposals. Is that something thats a winning point in this campaign right now the idea that look im not trying to balloon the deficit. Reporter yes. No question that compared to donald trump, she would not balloon the deficit. In fact, the new proposals were released not in a public announcement but to the committee for responsible federal budget which came out with a study today that showed on an annual basis Hillary Clinton would increase the deficit only 20 billion a year over its current level when you net out her spending and revenue raising proposals. Donald trump would raise it 530 billion per year. 5. 3 trillion often. Theres a vast difference in fiscal responsibility between two. John, thank you for now. John harwood in washington. Venezuelas economy has taken a nose dive since oil prices splufrpd. It announced one of the biggest oil projects in the world among those getting contract is one company that will drill 80 wells. Joining us now by phone with more from venezuela is a reporter from the wall street journal. Anatoly, welcome back. Reporter hi. In this case how plausible is it that venezuela can generate new money from this project . Reporter they desperately need to get drilling again. It holds the Worlds Largest oil reserves but production has fallen rapidly because of lack of investment, lack of qualified people, lack of maintenance and now the fastest Oil Producers in the world. So this driller is very significant. I wonder too how much worse things have gotten since we last spoke. When we spoke, a lot of images were showing everybody was protesting the government trying to get them out of office to vote someone new in. Now were reading about babies being born in cardboard boxes, people getting sick, acdeath sentence in venezuela. How badly have things deteriorated . Reporter since we last spoke a lot of hope this has generated in the last month or so have evaporated. The government yesterday announced very difficult terms for referendum thats going to move the president impossible to change his government. Pretty grim political outlook. Im curious as to how you think this relationship is going to be, how its going work. Are they going to require to get paid upfront and how is venezuela going to afford 3. 2 billion . Reporter very good question. At the end of the day, both slumperchea and venezuela need each other. Schlumberger will have competition. Venezuela in the future still this most schlumberger cant abandon this. They are working out an agreement that schlumberger will be involved in crude, quite an innovative arrangement for an oil industry. Still under discussion. Anatoly, a few days ago the crude oil market was briefly lifted by more comments out of Venezuela Oil minister suggesting there might be an out put deal and as soon as they get to be public theres a lot of skepticism and they are just trying to jaw bone the price. Is the governments main hope is to have oil prices go up and give them a little bit of a reprieve . Reporter mike, its their only hope but no plan b whatsoever. The country gets 96 of its dollar revenues from oil and venezuela was a Founding Member of opec. It used to wield major influence in the group. Today venezuela has very little, you know, influence inside opec so whatever they say should be taken slightly. Thank you for joining us. Thank you, kelly. Most luxury high rises are making headlines of the high cost bath luxury building in one of the nations largest cities is making headlines for the wrong reason. Thats because its sinking and tilting. We got those details next. Sales of apples iphone 7 has been strong. What does it mean for companies that make accessories . Well hear from a cofounder of auto products coming up. The highly dvand audi a4. Were constantly going ovhool our lit. Oh, well, now all of our new pls come witno dat overag. Wow, no reveras . Sot means. On. Sait. Wellinallye in control. And wre bac. Introducing neat t plans with no data overage charges. Welcome back. Were checking on shares of twitter which is under pressure. Down 2 after Rbc Capital Markets downgraded the stock to under perform and cut its price tar keith to 14 from 17. Social medias company to advertisers could be declining based on its recent survey data. He says for the First Time Since they have been doing this survey more advertisers indicate they will spend less than more on the platform. Spending more on facebook and google. Its clear who the winners are and who the loser are. Twitter, strategically we dont know what they want to do or be. If thats the case you can imagine advertisers agree okay why spend the money until we figure out if this will be a successful platform or not. If its not a fast growing source of eyeballs which it hasnt been what exactly are you buying. Theres a growing sense that twitter lost its within dove opportunity to seize on things and make the platform friendly fortisers. Its not over. Still a tremendous news delivery service. I wonder what questions could be posed to jack dorsey now. Hes running two companies. Its been more than a year. Enough period to show what strategy. For much of the period came after. It was way premature to talk about it. Now it has to be part of the conversation. City of San Francisco has a big problem. High rise residential bulling thats sinking and leaning. Josh lipton outside of san diego city hall with the details. Josh . Reporter well, kelly today at city hall there were city supervisors grilling officials about this millennial tower. This is a 58 story luxury high rise that attracted a lot of bay area elites cluing Sacramento Kings owner, giants outfielder huntser pence and the late legendary tom perkins who paid more than 9 million for the penthouse. But since it was completed eight years ago it has now sunk 16 inches. Its also tilting at least two inches to the northwest. Now the developer pins the problem on the Transit Authority which dug a hole near the building to make way for this new transit center. The Transit Authority counters that its due to the poor Structural Design of the building. Still despite these problems some Real Estate Agents do tell me they think this building is still a buy. Its an opportunistic time for buyers that to buy into the building and my clients that i have as buyers i recommended to them hey listen theres fantastic opportunities for you to get something for way under the asking price within the millennial. Now, engineers do tell me there are potential solutions to this problem but they could be both costly and unpredictable. Back to you. I mean, josh they are putting up the new seriew sears tower. Can they say its just specific with this building and not a broader problem . Yes. So far. So the city supervisor is the one who called this hearing today. Thats part of the reason, he called this hearing. He wants more clarification about the potential problems for this building, was being gone it. Also he wants to find out are there potential threats to the surrounding area. Ill tell you i spoke to the developer of the building. They say listen its still safe to occupy. No threat to neighborhoods at this time. Josh, how long do you think it will be before were going to hear of a game plan and they can actually fix it . Will it be months or years because it sounds like theres a lot of bureaucracy going on here. Reporter well you first have to im not an engineer but the engineers i talked to said first you have to decide what the problem is. As i mentioned in the piece theres still not agreement what the cause is. Developers are saying listen you dug a giant hole next to my building thats whats leading to this excessive settlement. But the other said say no chance. Until you get an agreement on the cause you cant come up with a solution. I talked to a professor of engineering at Stanford University theres some potential solutions but could be very costly. Thanks for joining us with the latest. Thats josh lipton out in San Francisco. If youre buying the new iphone 7 theres a chance youll buy a case to proticket. Thats where Otter Products come in. Well speak to the companys cofounder in just a bit. Whats the value of capital . What crical thinki like . A sketll c 14. Whats team spiritth . A sketll cheers whats it worth to talk to your momom whats tue ofa walk in e d thvalue of pital is to create, nostealtlt but things thamaer. Alpha is not gone. Alpha hasnt disappeared. To think that the human brain cant make a judgment about one Company Versus another or one sensitivity products versus another, i mean these companies are run by human beings, right . And each one of us makes that judgment every single day as to what we think the future is of those opportunities. And thats what great Portfolio Managers do. Love that. That was jpmorgan rejecting active management is dead. Can you hear more and what others had to say by watching the entire panel. Thats live delivering alpha cnbc. Com. If youre getting a iphone you may need a new protective case. Oat terrify box is known as the strongest one. Thank you very much. I think i had an oat terrify product once. I cant sotter without breaking in to a smile. In the case of the iphone 7 what your seeing in terms of demand here . Demand is definitely up. I see a great quarter ahead for us. We definitely attached to any device that launches, so for us our sales are very dependent on whether its apple or samsung or htc or any of the Device Manufacturers ability to have a great sell through as well. The new iphone 7 pro has a dual camera which i guess maybe people would have to upgrade their case. For the iphone 7 pro in particular, how is demand for those new cases . Demand has been stronger for the pro than the 7 right now. So the 7 plus is much, much stronger than the normal, than the regular phone. I mean, curt, part of the rumors and chatter before the launch of iphone 7, one of the things thrown out there was maybe theres going to be a more durable exterior, essentially something more crack resistant, the screen or body of it or whatever. Is that long term a potential threat to your business that the phones themselves become sturdier . You know, phones have become sturdier. Theyve become splash resistant, even waterproof. We have not seen a big downtick in revenue, even on our most rugged devices. People still all you have to do is drop one to find out how tough they are. They are tougher ebut theyre still not bullet proof. You see what people do to their phones. A lot of them need bullet proof. Is that your competitive advantage, you have a case much better than others in terms of durability . Well, yeah, yes. I mean, we stress protection. So protection is a big part. You know, people always think of otterboxes, our defender was the first case that came out. It was big, bulky, still has some beef to it. That gives it that protection. A lot of our lines are very stylish and still offer good protection. Peyton manning has been brought into the fold here. Curt, what is the breakdown between your sort of other products sales and our apple business . How big is sam song and android and these other phones relative to apple . Sure. I mean, apple still makes up 60 to 70 of our revenue in cases. But samsung is close behind. And then you have, you know, the motorolas, the htcs, all of the other brands that make up a small percentage, just like in any industry, you know, and who knows where that can flip on top . As the industry settles down, certainly in america apple is top. Is there any threat or should i say is there any market share growth from some of the competitors youre searing including samsung . I think everything is pretty steady. I wouldnt say theres been a huge swing one way or the other at this point. Theres certainly been a down trend in people going out and buying a new phone every time it comes out. Theres a lot of people Walking Around with an apple 5, or the 5, you know, that in the past thats not what happened, people were lining up for blocks to get their new phone. And i think overall, you know, its looked at as more of a commodity, and thats why weve seen, you know, more of a flat name in the industry. Theres a lot more we want to talk to you about, commercial real estate, working with peyton manni manning, but well save that for next time. Thanks for joining us, curt. You bet, thank you. Curt richardson is cofounder of otterbox products. Hillary clinton is trying to soften her image by appearing on a Popular Online talk show spoof, thats next. F gettingouged for limited data . Ine price, a uimited for evyone. Get ner 3per moheach with uimit 4g e data. Switch today. Guyhey nicole, happening here this is my new alert system r whever anythin happens in the market. Kids a natural. But korswim alady lets you eatr for all tshhh. H are import. Alerts oananhing aall . Not tt, yocatght from t alert. Wow, iss need the kidnymore. Stom alerts on thinkswim. Only at td ameritrade. Any regrets over losing the scott baio vote . Not a one. Chachi, who is going to be next . Max headroom . I would love to be the person who makes your pantsuits, on halloween i want to go out dressed as a librarian from outer space. Deliberately awkward. Were just a few days away from the president ial debate. Theres your countdown clock, in case you didnt know, monday, 9 00 p. M. Eastern. Do you think shell sway the millennials with this . I dont know about swaying. Its fascinating, shes building this massive financial war chest to go at very standard attack of ads and rallies and ground game, yet this is the kind of thing to get attention, the willingness to put yourself in that kind of position and maybe be able to laugh at yourself. All these little gestures are fascinating on both sides. It shows she has a sense of humor, a softer side, a side we dont normally see. Its balance. I wonder if donald trump would go on that show. Today in the wall street journal, Designer Tory Burch explains her decision to give her employees election day off so they can go to the polls. This i kind of love. In a day and age when were talking about flex time and time off for other things . Her point is voter turnout is so low. There actually has been a movement for a while. Almost every other developed country has elections on weekends so its not a matter of companies have to give somebody a day off. Maybe its one of the reasons we have a low turnout. At least forgive coming in late or leaving early, because you can miss the rush hour at the polling places. Ive guess you wouldnt want to mandate it necessarily, but it makes some sense. In this day and age you can work from a lot of different places if you have the technology, and a lot of companies do have the technology. Im all for it, for sure, or at the very least, yes, forgive if you have to come in late or have to leave early. We can do closing bell from a different location. Im not sure where the polling place is at this point, if youve been moving around. In any case, good to see her, i was surprised, if this is a cause tory burch is pushing, interesting to see if others rally around her. What are we watching for the end of the week . Still watching if baneos continue to inch lower. The market just doesnt want to go quietly. Im watching the bond market for sure. Less about the fed, more about boj. Then also watching the dollar. Does it weaken considerably from here or is it kind of floundering . A lot of the global multinationals will do quite well if the dollar continues to weaken. These are big cap rated companies that drive markets higher. When you hear people say that, it all depends. We get fed speaking as soon as tomorrow. A chance to kind of come out and maybe push us one way or the other. You dont get a long time off the treadmill of fedspeak in this environment. Its like, bring on earning season. Lets hear from the companies. Thanks for joining us. That does it for closing bell. Fast money begins right now. Fast money starts right now, live from the nasdaq markets. Im melissa lee. The man who correctly called this pullback is here. Hes got an even bolder call. Hell join us in moments. Plus amazon hits another alltime high today. There are two other stocks that are much cheaper. There would be a better play to play the rally. Later, Bill Fleckenstein says this is an unshortable market. But first, another sunny day for stocks, dow up