Hour developing, as well. Mexicos president just cancelling next weeks trip to washington. Michelle cabruso cabrera onset with us. We have the panelists, steve weise, josh brown, pete najarian. Michelle, you first. Maybe not that big of a surprise, considering the jousting that has been going back and forth between our two countries over the last many days and weeks. Yeah, and its been playing out mostly on twitter at this point over the last couple days. The president in mexico putting out a tweet, saying we just informed the white house this morning that were not going to attend the event that had been planned for tuesday. This comes in the wake of him putting out a Statement Last night, saying, listen, weve heard about the executive orders, were going to try to protect our citizens that are living in the United States. And by the way, im going to have a big meeting with the senate. Governors board here, and also my Foreign Ministry team. And were going to decide, were going to have meetings to decide if were going to go. Donald trump tries to the president tries to beat him to it and put out his own statement, saying, if they dont agree to pay for the wall, maybe we dont have the meeting at all. Its been yes, a war of words, for sure. He has been tweeting almost nonstop daily with the hash tag that i cant say on the air. And as of two hours ago it was continuing to tweet at the president , saying, quote, donald, dont be selfindulgent, mexico has spoken, we will never, ever pay for the wall. You can guess. Begins with an f. Fox has been extremely angry from day one, continuously discussing it in very, very strong terms about how angry he is about donald trump. What ive now seen happening in mexico, and via twitter, mostly, you can see people kind of falling on to him, and now talking about boycotting american products. Just saw somebody saying were going to boycott Starbucks Coffee and buy mexican coffee. We can see the governor saying were going to start telling people they shouldnt go shopping in the United States, crossing the border, a lot of revenue for stores along the u. S. mexican border. This is playing out, not just at the high levels between the two heads of states, but within the lower echelons within the state governments and within among the people. So john harwood, on a day where the president of the United States wants us to be talking about his agenda, and this congressional retreat, and a time line to actually pass some of these policies, here we are discussing this battle between the two leaders. Yes. In fairness, that battle is part of President Trumps agenda. Remember, he has said he wants to build the wall. Thats a flashpoint. He wants to make mexico pay for the wall. Thats a flashpoint. He wants to renegotiate nafta. That is also going to be a flashpoint. Now, important to note, speaker ryan said today that republicans are going to front the money to fund this border wall. And then the question is, given President Trumps repeated promises during the campaign, that mexico would pay, what is the mechanism for that . All republican members have all along been skeptical of that. But remember, in the executive order that President Trump issued on the wall, he instructed his administration to identify all sources of funding to mexico. Military, humanitarian, development, economic. All of that is potential lever for that conversation. And what other ways is he going to have to try to pay for the very substantial cost of this wall. Whether its 10 billion or 20 billion. Is he going to try to impose a tariff. Will republicans go along with that . Is he going to somehow seize remittances that are going back from mexicans in the United States who are here legally or illegally, back to their home country. We just dont know what the mechanism is. There is a lot of skepticism that mexico will pay. And that is a potential political problem. I would just add to what john is saying. In some ways, mexico is already paying. We have been showing people the peso. Its getting hammered day by day by day. The central bank, spending billions to defend it. It continues to fall. They have lost jobs, and we know that american executives are thinking twice about putting new business there. In many ways, mexico is already paying. Hey, john. There were these other comments as well from speaker ryan today that were getting quite a bit of chatter. Where he said, quote, we have Ambitious Goals and ambitious time lines. Our goal is to get these done. That being the trump policies and the agenda in 2017. That is a very ambitious time line, considering health care, taxes, infrastructure, the wall, and Everything Else that President Trump says he wants to do. Thats right. Now, they do have some tools at their disposal, in addition to the fact that they have got majorities in both chambers. They have the reconciliation process, which has been used by both parties in the past to move through with simple majorities. Not super majorities to get their agenda passed. They can repeal obamacare that way. You cannot replace obamacare that way, however. You may be able to replace some individual components, but you cannot do a comprehensive replacement that way. So are they going to do that rapidly or not . You know, the initial plan was repeal and delay. And figure out an obamacare replacement a year or two years, three years from now. That does not appear to be given what President Trump has said, an option on the table. The same thing on tax reform. They can do some things in the area of tax reform, but when use reconciliation, a reconciliation plan has to reduce the deficit. Well, the plans that we have seen for tax reform would expand the deficit. That is Donald Trumps plan. The House Republican plan, as well, though much less so. So youve got a brewing discussion about how hard a line to take on the deficit. Is everything deficitneutral, are you going to let it go up and youve also got the question of what are the contours of this plan that donald trump has promised, saying people everybody is going to have coverage thats going to be better and cheaper than obamacare. Nobody knows what that is. Right, and steve, given everything that were discussing here, the agenda and ambitious time line, the issue with mexico, the market doesnt seem to care too much. Exactly right. So the market doesnt care. So we talk about and i say that in the fact the dow is up, what, 30 points . But, again, in a week in which we have hit and crossed and closed above 20,000 for the First Time Ever. And had a huge move yesterday. So the market doesnt seem to care at all. Protectionism, we hear talked about, but thats really an academic study as far as most people that invest in the market today, and that have been investing in the market for 30, 40 years. What have we seen . We saw banana wars. We saw wars with beef. And thats really it. Thats our frame of reference. So i think that nobody and this is going to sound callous and may even sound, you know, dumb to some level. But i dont think the market really cares about what happens with mexico and what they see is that jobs have gone from the u. S. To mexico. So the populous is actually steeled by this. They dont care about china. They look at china as human rights abusers, so their support of trump hes further emboldened by this, looks at the market yesterday. So for him, it just pushes him to go further. So the market is fine. Could it in a longterm basis yes. But its not like three years. Its shortterm, daytoday. Thats the score card. Its like a sports game. So its all systems go, market goes higher. Youre talking about the broad u. S. Market. Speaking with people in the emerging markets world, counterintuitively, looking at mexico and thinking this is cheap. This could be a good entry point. The currency has been hammered. How much could it go lower, this may be marking the bottom. I dont know that, but i know well, certainly been a topic of conversation on not only market experts. And josh has even made the argument that emerging markets are quite attractive. I dont know if you think mexico specifically, but youve made that point. Mexico is not a huge portion of emerging market stock indices, but emerging markets in general doing better than u. S. Stocks. Most people dont know that. Youve also got up side surprises in macro data. All over europe and asia, as well. Developed asia. So thats just been the start of maybe something that becomes profitable for investors. I think on the mexico thing, to steves point, market does not care. Hes absolutely correct. However, that could change on a dime. Lets bear in mind, yes, we have a trade deficit with mexico. But a deficit doesnt mean that we dont also benefit from trading with them. So while theyre exporting 270 billion worth of goods to us each year, were sending them another 210 billion of our stuff. And the chamber of commerce types in the republican side of the house, and senate, you know, these are people that are not going to be thrilled to be reporting on a complete stall in trade across the border. Mexico is our secondlargest trading partner after canada. Accounts for 14 of all u. S. Trade International Trade each year. So we may n care today. But that could change on a dime. We dont know what the cause of that will be. If this escalates further, youre going to hear some business types that were willing to get behind the trump agenda. Say wait a minute, wait a minute, i wasnt counting on something quite like this. The etf down more than 2. 5 . Real question, pete, what what is the market not going to be immune to . Whats going to of the potential to rattle investors as were watching air force one, the president expected to get off momentarily. The market right now, its not that people arent paying attention to whats going on with mexico and the rest of the global world. I think what people are focused on, its earning season. Thats number one and thats what people are reacting to. If you start to look back, scott, in the last week and a half or so, and as we started to push over 20,000 yesterday, it was banks. It was technology. When you look at what these earnings numbers have produced, again, it follows up what we heard from last quarter. Again, very positive, very strong, very impressive. People look at the economic growth, and so right now, thats the focus. As we get further into earnings season, however, and it starts to put a lot of the Major Companies that have already reported into the back burner, thats when people, i think, will start focusing a little bit more on whats going on in the global the other point of view here, is that i think steve was kind of making his point, is that while important, in its relationship with the United States, and the world, mexico is not china. If something more contentious is developing between the United States and china in terms of trade, you would likely see the market taking a much different reaction than a teteatete over a border wall with mexico. Absolutely. I think if you see this, if you see this happening in china, and you see earnings go down yep, and there is the president of the United States, donald trump, arriving in philadelphia, walking off air force one. He will head to that republican retreat, where his agenda will be top billing as republicans discuss how to get it past, the time frame in which they can do that. Speaker ryan has already made comments today to the following. We have Ambitious Goals, and ambitious time line. Our goal is to get all of this done in 2017. He was speaking of health care and taxes and infrastructure. But there is the president of the United States now in his limousine. And he will head to that retreat. Hes expected to speak, by the way, at the event, and we will carry that live when, in fact, he does arrive and take the lectern. Im sorry for interrupting. Continue. To petes point. The reason you said what are we not going to be immune to. When Companies Start reporting starbucks sees sales going down and you see them in the big emerging markets and developing market, thats when our developing markets, global in nature maybe not this quarter, if that happens, you could see the market then sell off and say, wait, this is much more real than just talking between two different countries. My bet is that this is a negotiation, part of the negotiation. And some will come to the negotiating table, as we have seen the companies do. And he knows that you dont get everything in the negotiation. Right . That eventually, you compromise. But i think correctly so, that we have been the u. S. Has not used its full negotiating power, and he just wants to bring a little bit more of it back. So right now, thats the story. The market is going with. Theyre not going with the market is giving absolutely. The market is giving him and all of the companies the benefit of the doubt. I think just to answer, what could change it . That. But i do agree with you, because this is more of a give and take, the negotiation, you do this with mexico now, both sides from china and the u. S. Will learn. They need us more than we need them. Were a consumerdriven economy. Internally, right . 70 of our economy is consumerdriven. Thats not true with mexico, thats not true with china. So we sit on the bigger end of the negotiating table. Certainly when it comes to mexico. They need us much more than we need them. Yeah. Pete, i mean, im wondering, as we start to think about the reallifetime line in which the trump agenda westbound passed, how fast does the market need actual things to happen, beyond executive actions on certain things . I mean, real stuff. Tax reform, repatriation, infrastructure plans, et cetera. Well, you know, were all betting those things are going to be happening, right . We made our bet. Now we need to see the results. When will those results come . That will take lots and lots of time. Obviously, you know, extending out much further than what people are used to hearing me talk about. But that still gets baked in, scott. And people still start looking ahead, and starting to figure out, well, maybe the tax rate goes here. Maybe repatriation is here. Thats all part of this whole thing. Its all a matter of how it gets implemented and how effective thats going to be. And who gets affected most. And i think thats why were seeing certain areas of the marketplace that are outpacing others still. John harwood, the beast, as they call it, is on the move. And i suspect that youll be seeing the president shortly. You would also expect, i would guess, that when he does President Trump, start to make his comments, that he would likely address the mexican president deciding not to make that visit next week. I would think he would make reference to that. I would think that members would want to hear something about it. And, you know, again, i appreciate the comments about the markets not being rattled by this. But the more turbulence you have in u. S. Diplomatic relations with mexico, with china, china we may have a strong hand with china, but they have a strong hand with us. They have the capacity, if we impose a tariff we would be doing it to ourselves. But that would raise Consumer Prices on every consumer in the United States. I think theres a buckle your seat belt quality to this administration. And were just going to have to see which events produce the kind of reaction that spooks the markets. Hasnt happened yet. We have gone through eight years of the worst Foreign Policy and the worst relationships with all of these nations than we have ever been through, at least now we have the other side, which is fiscal stimulus coming. So i would say netnet. Were in a better situation than we were for eight years. All right. Were going to see the president shortly. And, again, well take you there back to philadelphia, live when President Trump takes the stage in just a little bit. Michelle, thanks so much. Michelle Caruso Cabrera joining us, as well. Lets talk about caterpillar, hitting a 52week high today. One of the dows best performers over the past year. It is up 66 . Pete, youre not a buyer, though. I would say its a hold because of the reaction we have seen. We talk about i think so being priced in. Let me ask, why is it a hold and not a sell . Well, because a lot of people think the stock has gone way too far. Yeah. For what the fundamentals suggest. Yeah, right. The fundamentals concern me. If i didnt know where you were going. But my biggest concerns are the fundamental story. When you look at the valuation level right now, youre talking about a 30plus on the pe side. You look at debt. Debt is a concerning thing. Cat has always had debt. When you look at their debt, 30plus billion dollars, thats a bit concerning, as well. Is a lot of this infrastructure, and all the projects and everything that everybody talks about, each and every day, ever since president elect was in there. But this was a stock that was moving before the election. So this was a huge momentum moving into it. Obviously got more momentum afterwards. Thats why the stock is where it is. I think that its probably set for a political bit of a pullback, scott. But fundamentally, there are things that still make sense for the Company Going forward. Well, you know, i dont know fundamentally what they you look, the stock, 66 year over year. Heres the ceo on the earnings today. Quote, our results for the fourth quarter, while slightly better than expected, continue to reflect pressure in many of our end markets from weak Economic Conditions around much of the world. Does that sound to you like the ceo of a Company Whose stock is up 66 over the past year . Scarcity value. Just like deere. And i know you like deere and have been right on it. This stock should be 50, 60. They missed every quarter for the past three years, with the exception of one or two quarters. I have no idea why its up. I am not sure, havent been sure for a few years. I wouldnt recommend selling or shorting here. Its just one of those things. Youve just got to ignore it. Theyve got a new ceo in. Its an ignore. What did you say yesterday . Strong ignore . I love that rating. This is a strong ignore. Fairy tale. Yes, cat is up a lot from its low of last year. But if you go back to to 2010, actually, its down. Its done absolutely nothing. So context is important here. The second thing is, it doesnt trade on what peoples opinions of its fundamentals are. Actually, what it trades on is the price of raw commodities. And the price of raw commodities has been trending higher over the last year for the first time in just as long as we have seen cat make a move higher. So the r squared of that correlation is off the charts. If youre talking about the ceo sounds confident or whatever, thats not a tradeable conclusion. This stock trades higher when demand for the goods that its equipment pulls out of the earth trade higher. Period, end of story. So when you have a view on commodities, 100 true. No, its not true. The r squared is off the charts. So this stock stopped going up and fell pretty nice rise and thats one of the many coal and iron ore, okay . This is a stock trading with the industrial commodities. They bought bucyrus at the top. Cycle. What im saying im talking about coal. Coal has been in a down cycle for a long period of time. Thats where they get a lot of their earnings. No one is arguing that. Its not only a coal company. And at the end of the day, this is a stock predominantly coal. Im just giving you the facts. You can give me an interpretation. Youre giving alternative facts. This is a stock that trades on the price of Raw Materials the company is related to, period. And the economy is probably i think you would agree with this. The economies of china and some of those emerging markets. Lets not kid ourselves what the driver is of this stock. Lets move to the worst performer, nike, has been a drag on the dow, down 12 in a year. Josh, you own it, and i think almost everybody likes it. I just bought it. I bought at 52 bucks. This is a stock thats been building a nice up trend without a lot of people paying attention going back to the middle of november. A huge under performer, but fundamentally a rocksolid company. It does tend to trend in fits and starts. Based on new products, new things theyre launching, getting into new markets, et cetera. They were trenched in some areas like golf, but they have pushed forward in some other areas like china. I think netnet, if you think the Global Economy is growing, which it clearly is, looking at cpis ppis around the world. This should be the type of stock that works and its got this pattern of higher lows as it continues to find its way up. I think this stock gets into the 60s. Go ahead. Look, i agree with you in all those things. As more of a value guy, i think im going wait for a pullback on this one when it comes back. Wait for a pullback . Its down 12 . Its still 23 times earnings. And by the way whats the historical average . But its also now grown into a huge revenue base. So you have to actually look at that. You look at the competition out there. And i think when you look at those things, and this is a stock thats going to be a momentum stock either way. All im saying, great company. But i think the entry point to me is lower. Where is the entry point then . 5380. A forehandle on it . Forehandle, absolutely. These are starbucks, nike, things like this. When theyre out of favor, they tend to keep on going down, Fund Managers sell them until they see a turn. I think the 40s is a good place. The problem for nike was the revenue. The last years revenue finally had slipped from where it had been in double digits. And i think thats the big issue. Can they prove theyre going to be able to grow that, scott. Thats the hey, youve got to show me. Show us where the valuation is there. And competition is getting much more fierce. Theyre still the big dog. They own it. But youve got adidas and under armour trying to attack them. Another dow stock. Microsoft alltime high back to the ipo in 86. Everybody on the desk wants to buy this one. Why . Its going higher. Mainly. This has got the best ceo there is on wall street. This is 75 stock. Look, this is tlmp no hyperbolic or anything, but okay. There are no sellers in this name. This is a stock that spent ten years essentially doing nothing. Made some big management changes. All of a sudden Earnings Growth as we accelerate. They have abandoned a lot of things that werent working. Deemphasized things. And now when you look at where the Earnings Growth is coming from, these are all areas of the market where there could be a decadesworth of growth. Secular stories, and i think microsoft is one of the more highquality ways to play those stories, and youre getting a lot of total shareholder return here. Management know its what its doing. I really think this name is poised if you look at the Earnings Growth, the forecast, youre looking at Earnings Growth that is pretty spectacular. So on this kind of multiple, which isnt cheap, you get that kind of Earnings Growth, which is 21 times forward. If you look at Earnings Growth, 40 or 50 going forward. For this size company that everybody can buy, every institutional you can buy. So three reasons here, scott. One is, its got a dividend that keeps on increasing. Over 2 . Check. Great cash flow. Which, by the way, if tax laws change it can bring them back, buy back shares, but Free Cash Flow machine. Check. Three, global at double digits with a 50 margin. That thing is taking over the business. Thats why you want to own it, as well. This is why you want to put that last check as a bigger check than all of them. Sat i cant nadella. What was the strategy . We are turning this thing into the cloud. Thats where their transformation process is going. Azure, the numbers continue to be incredible. These guys talked about the cash. How about the cash sitting on the Balance Sheet itself. These guys are not only a cash cow but continue to grow in other areas. Look ought for them in artificial intelligence. Look out for security. That is a major area of growth for microsoft will be in cyber security. The guys on power lunch looking at deals of the dow. Verizon, dupont, jj and more coming up at 1 00 p. M. On power lunch. Jackie deangelis for a check on gold. Theyre hovering around session lows here, down more than 10. Of course, when you have a risk on day, people move into equities, come out of the safe haven positions like gold and also take a look at the gdx in negative territory, and the gold miners, as well. Tradeable, actionable stuff here in the commodity space. Metal is down across the board. Thanks so much. What happens to stocks in the weeks after hitting a milestone . Well tell you, next. And the only wall street analyst who says sell alphabet. Wait until you see the price target, as well. Well discuss and debate when the Halftime Report comes back. Today, i am helping people work better. And also feel better. I am helping hospitals personalize treatments using billions of data points. And working with medtronic to predict the highs and lows of diabetes, hours in advance. And i am working with orreco to use Biomarker Data to boost the performance of athletes. Hello, my name is watson. Working together, we can outthink anything. Our partners at kensho say if the history of milestones tells us anything, its that the run isnt done. When the dow has passed major milestones in the past, u. S. Markets generally trade up in the quarter that follows. The dow shows a mean return of almost 7 . The s p jumps 5 . Now back to scott wapner and the halftime team. Wed bush is the only firm on the street that doesnt happen to be expecting much. A sell rating, the only youll mind. James, welcome. Thanks, scott. You want to tell me what the major issue is here . I know we have debated this before. But whats wrong with this companys stock right now that has you with a sell rating and the only one on wall street . Well, in part, you could say if you have 40 odd Analysts Covering a stock and theres only one who thinks its going to underperform, the market needs more people who think the investors are actually pricing in the expectations and you need more people with a variant view on that. You know, people price in the ratings of analysts, community and expectations for the companys core business and advertising and new products every single day. And i guess my view is that they have done a pretty good job and that there is more down side risk than upside opportunity. Yeah, youre not a contrarian just for contrarian sake, though. Fundamentally, you must have some sort of issue with what they could deliver. Yes. Absolutely, scott. I mean, i would say over the nearterm, some of the things which we may get some color on in terms of the call this afternoon would be, you know, how well can mobile search continue to deliver up side surprise on the top line. Youre coming up against very tough comps on that, especially in the u. S. And then can the margins continue to, you know, be enough to deliver their Earnings Growth that everyone is expecting, especially since theyre going into more products, which are lower margins, such as hardware, or programmatic on the advertising side or even youtube. But longerterm, theres a fundamental challenge to search the business model. The best data the consumer has, when theyre in the market. And right now they cant monetize it really hardly at all. Search commoditizes very well but i think thats a risk longterm. So everybody on the desk in front of me here, you know the folks here. I have. Everybody has a buy rating on the stock. The gentlemen who is going to ask you a question now, sarat, has alphabet as his top holding. Sar sarat . I would look at it, when you look at alphabet and you say where do i want to be in terms of search and i understand quarter to quarter, where we can go wrong. But if you look at facebook and alphabet, these are the two leaders. Theyve got more than 80 . Google, alphabet, has so many other products and yes, they might be lower margin but growing in every other area. Free cash flow thats growing. If you look at the new management team, they have financial discipline. They have broken out google into two different areas, where youve got products that are not making money and those that are growing. I think shortterm, maybe you get a blip. The stock has always had that. I think if i want to hold a stock for three to five years, this is one of my core holdings. Yeah, i guess what i would say is, search is roughly half of the digital ad market. Is that going to be higher or lower in five years. You know, it would seem as though its going to be tough for it to go up in terms of market share. But i think even more fundamentally, thats a very high margin advertising product and what youre getting is innovations and payments and commerce platforms, basically incentivizing people to basically buy on their buy and so what you have is, you know, new competitors, even outside the search space, which are going to affect the way consumers get to their final purchase. Whether its from amazon or apple or even potentially microsoft. So i think, you know, whenever you have a core engine, that could potential lie be disrupted by new ways of monetizing the consumer to get to the end of the purchase path, i think youve got a risk there that you have to acknowledge. Hey, jim, its josh brown. Im long google. I understand some of your points. I still thit its headed to 1,000. You work with the bear on netflix. It seems like you guys are kind of like a tech analyst alamo over there. I mean, how hard is it to be contrarian on this name . What would make you say, all right, you know what, ive been wrong. There there is more opportunity than i thought . What is one thing that worries you on this stock . I guess if you continue to see no signs that theres going to be a problem with, you know, any potential competition to search marketing. I mean, thats really still going to be the driver of the Profit Growth over the next few years. So if you get a sense that, oh, the transition to voice search or potential competition from alexa and am zone in terms of how people use search or new payments platforms allowing people thats going to have no impact on the economics of search. Im happy to revisit my these its. They have google assistant. So its not like theyre eating crayons while the voice user interface is coming. I think theyre positioning there, as well. But i appreciate it. Thank you. James, appreciate the time. Thanks so much for coming on today. Any time, gentlemen. James dix over at wed bush. Next, more stocks on the move, united rain tal, southwest, qualcomm. Well have the trades in the blitz, just ahead. We are also waiting for the president , donald trump expected to speak about his agenda to house and Senate Republicans at a retreat in philadelphia. When we see the president , we will go there live. Take a look at the dow 30 right now. One day after crossing and closing above 20,000 for the First Time Ever, the dow is up 35 points. 20,103. Well call it that. Halftime report back after this. [phone buzzing] some things are simply impossible to ignore. The strikingly designed lexus nx turbo and hybrid. The suv that dares to go beyond utility. This is the pursuit of perfection. 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 with a firm that advises governments and the fortune 500, and, can deliver insight person to person, on what matters to you. Morgan stanley. Puts time. Southwest beat on the top of the bottom line, despite higher fuel costs. Pete. Record cash flows. You go across the metrics, Profit Margins strong. Everything seemed to be strong, despite the fact they were raising the prices theyre paying their employees and the fuel charges. That just shows how efficient these airlines have become. Because of that, i think you stay long the airlines. All right. United rentals, alltime high. 1 billion acquisition. They gave strong guidance as well. This company is in the sweet spot with money coming through the economy, et cetera. And making an acquisition that sweetens the story more. Stocks moved up. Value players love it, in the sweet spot. So still a lot of juice blind it. Sarat, give me something on qualcomm. Here we go again. Down 5. 5 today. This is the story that happens every couple years. You get lawsuits galore. This all started over a decade ago. If if you start two years ago and look at what happened over at china, same things. Stock sold off. If youre a longterm patient holder, you hold your position. You can actually buy down here. But dont expect anything for about six to nine months. Jim ladenthal is on the phone. Missed on the top of the bottom. Josh. Yeah. Missed by 20 cents. You cant do that. Barbie sales down 2 globally. And they blamed hasbro stealing the Disney Princess line away from them last year. I guess you could say this stock will be frozen for quite some time. Verizon and charter that was terrible. Exploring a combination. If you look at what charter had done up at 341 now, pulled back a little bit. Really interesting reaction here. Something thats been rumored for a long time. People talk about this ever since at t directv deal. This would make some sense. But still isnt anything thats absolutely concrete just yet. President trump expected to speak soon. As we said, on his way to center city, philadelphia. We will go there live when we see the president. More halftime in just a moment. No matter how the markets change. At t. Rowe price. Our disciplined approach remains. Global markets may be uncertain. But you can feel confident in our investment experience around the world. Call us or your advisor. T. Rowe price. Invest with confidence. Welcome back to the Halftime Report. Sue herera has the latest headlines. Heres whats happening at this hour. Eight people were arrested in terror raids in austria today. Police searched several apartments and mosques in vienna. The suspects have started organizing a possible terror group and were looking for more members. British Prime Minister theresa may traveled to the u. S. , where she will meet with President Trump in washington tomorrow. The white house says the two will hold a press conference after their meeting. The man charged with killing his pregnant ex girlfriend and an Orlando Police officer was back in court. Markeith lloyd said little during his hearing. The judge urging lloyd to consider allowing the court to appoint an attorney to represent him. And according to the National Retail federation, American Consumers will spend an average of 75 on their super bowl festivities. Thats nearly 10 less than last year. Total spending is expected to be about 14 billion. Thats the news update at this hour. Back to you, scott. Thanks so much. The dollar index coming back from sevenweek lows. How the futures traders are playing that move is coming up next. First, Tyler Mathisen has a look at whats coming up on power lunch. Thank you very much. The text of the dogs these are no dogs, tech supports, apple, intel, ibm, microsoft and cisco. How could they play in your portfolio as we hover around and look beyond dow 20,000 earnings. And the consumer economy. We hit the high seas with the ceo of royal caribbean. And exclusive access inside the ooh million mansion built by tequila. Youve got to see this place. Halftime report returns right after this. The Halftime Report with scott wapner is the place for marketmoving interviews. If i gave you five singles for a 5 bill. Would you feel any richer . Real number. Should be up at least 10 . Real debates. Of course, they could be market corrections. The most profitable hour of the trading day. Treasuries have become very much of a hedge asset over the last five or ten years. The Halftime Report weekdays at noon eastern. Is happening before our eyes. Shift in Human History sixty to seventy Million People are moving to cities every year. At pgim we help investors see the implications of long term megatrends like the prime time of urban expansion, pinpointing opportunities to capture alpha in real estate, infrastructure and emerging markets. Partner with pgim the Global Investment management businesses of prudential. Welcome back to the Halftime Report, im jackie deangelis. The u. S. Dollar rallying today, hitting session highs against the mexican peso, following news that the mexican president has cancelled a meeting with President Trump. What else blind the dollars move today . Well, jackie, if you remember a couple weeks ago, President Trump talked about how the strong dollar would hurt businesses, and that immediately he said he wanted a weaker one, sent it lower. Today his treasury secretary, Steve Mnuchin came on the air and softened his stance. And after that interview, the dollar found a bottom and started to rally. You said that 100 is a very critical level for the dollar index. What are the charts telling you at this point . That 100 is absolutely critical level here. And thats a level of support. You look at the dollar, and youre a chart guru. Over the last ten years, we have had a terrific bottoming process here. The cup formation, then a handle formation in 2015 and hes 16. When we broke out post election, it seems that is a critical level of support. I think the dollar moves secondly higher, very difficult, and this Interest Rate environment, moving higher for the dollar not to move over the next year or so. Head to the website at futures now. Cnbc. Com. We have art cashin, talking markets in the wake of dow 20,000. Dont want to miss this one, scott. Thanks so much. Well be there. Pete is seeing unusual activity in an etf on a roll. Before the break, take a look at some of todays biggest winners. Hey gary, whatd you got here . This bad boy is a mobile trading desk so that i can take my Trading Platform wherever i go. You know that thinkorswim seamlessly syncs across all your devices, right . Oh, so my custom studies will go with me . Anywhere you want to go the markets hot sync your platform on any device with thinkorswim. Only at Td Ameritrade and theyre absolutely right. They say that its hot. When really, its scorching. And while some may say the desert is desolate. We prefer secluded. What is the desert . Its absolutely what you need right now. Absolutely scottsdale. All right. Any moment now we are expecting President Trump to speak at that republican retreat about his agenda. Health care, taxes, infrastructure, the border wall. All expected to be on the table today. It is an agenda, by the way, that the speaker of the house paul ryan has already said earlier today he would like to get everything done in 2017. He called it ambitious both in goals and the timeline. But were going to hear from the president of the United States momentarily. Well take you live to center city, philadelphia when we do see him. Unusual activity time while we wait for the president , pete, what are you watching today . Im looking at jpmorgan, this elerian pipeline mlp fund. When you look back a year ago february 10th and 12th last year we had some huge up side call buying, 50,000 contracts being bought, 30,000 contracts being bought. Today not quite as big but some very large contracts getting rolled up. Were seeing it in the same stock. The 33s of march that theyre selling and theyre buying up to the 34s. 10,000 of these trading. Very aggressive buying today. Its really something i think you want to keep an eye on. I did jump into these because last year they were so right i want to be right with them again. So im back into you heard rich saperstein yesterday of hightower when he was with us when i said whats a singular area to look at in the market that would be attractive to buy right here despite the fact that youve had this significant move in stocks and he said mlps. And im in kmi as well. I think you might still be in something over there as well. I actually bought the other day sxl, which is sunoca logistics, tllp, tesoro logistics. A new high every day. Sxl had some issues with a pipeline and some other issues. Not really but with mitt buying mtp. Its held there with a fat, fat yield. Its ready to move and it actually has been moflg higher. So you obviously see these moving because of the trump executive orders certainly doesnt hurt. What the agenda could be. But i wonder how you juxtapose that against the prospect of rising Interest Rates, which some would say, well, they make bigyielding stocks less attractive in that kind of environment. I think part of it is just because that was the initial thing for a long time, people were buying things just for yield. I dont think thats any longer the case. In this case theyre looking at these companies they think its a great opportunity. I do too. Kmi was one of those that cut that big dividend as well. Its still a big spread. And by the way, i think female leaving verizon to go here for the yield. Were going to step away for just a moment, come back, talk about final trades. Were also expecting to hear from President Trump. Well go live to philadelphia for that as well. My business was built with passion. But i keep it growing by making every dollar count. Thats why i have the spark cash card from capital one. With it, i earn unlimited 2 cash back on all of my purchasing. And that unlimited 2 cash back from spark means thousands of dollars each year going back into my business. Which adds fuel to my bottom line. Whats in your wallet . 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 all right. Lets kick around some of the earnings we expect after the bell. Weve already done alphabet today, we did microsoft as well. What about intel . I think intels going to be, quote, whats going to happen with the pc industry. And also it will be interesting to see what apple and intel have been talking about, especially since apples looking to single source. Who has something based on what we got from or what cisco, juniper. Cisco did a deal this week. Chuck robbins on the network. What do we think of juniper after the bell . Juniper were always waiting for it to be taken out, for it to be acquired. You just dont know. Its a coin toss. You figured theyd be doing okay because of the optics and so forth. Just dont know. Its tough to call. Its not one you buy off the earnings for a quarter. Ge spite what they say its not always the tell everybody thinks it is for cisco as well. What about vmware . Josh. This is a hot space. This is one of the better names in the space. I think it has a chart set up looking like a lot of the lets call it mid to large cap tech growth names. I would say this is the type of stock that if youve been following for a long time, you havent been in it yet, let the Company Report earnings and if you still want to buy it and it hasnt made too much of a move. But to buy things in front of earnings for the first time its a very difficult thing to do. This is a name that historically has a lot of volatility around these earnings releases. All right. Starbucks. Anybody on the desk own it . Not right now. I hope it comes this is one thats on my list. I hope it gets crushed on an earnings report. This is my nike. Starbucks and nike. Thats why i kind of think of them the same way. If we look ahead till tomorrow before the bell, youve got chevron. Thats a big one to hear from just given where we are with oil. Oils up 2 today. Were knocking at 54. What do we think about chevron . Its a market stock. I mean, the space still looks good. You see oil going up, everybody says 60 or i wouldnt say everybody. Most people think 60 at the upper end. Its a privileged discount for that for larnell part id say. American airlines . Im there. I like it. Airlines still cheap and i think the airlines go higher. Lets do some final trades. Go around the horn. Pete why dont you start us off. I like intel going into this nur. Surat was talking about intel as well. I think this number is going to be critical. I like what im seeing in the chip space itself and the connection with am that can only be good. Surat. Microsoft. I really think theyre going a bellweth bellwether. If they have good earnings nasdaq tech as well. Nasdaq has been setting records as well. All right. Its been a little overshadowed by dow 20,000 but the storys been intact there. Josh . Im in google. Im not big enough. So if tonights a disappointment im a buyer. Sxl. I mentioned before lets stay with it. Its trending up positively. Theres no reason thats a good story to own here. Watch s p 5002300, key level according to art karkin was right there. Dow closing above 20,000 for the First Time Ever yesterday. Waiting for the president as well. Power starts now. Indeed it does start now. Thank you very much, scott. Welcome, everybody. Im tile yerm math im tile yerl mathisen. Here is whats on the menu in addition to waiting for the president. President trump about to speak in philadelphia to a republican gathering as mexicos president makes some big news. Weve got full coverage of all of it coming right up straight ahead. Also ahead, forget the dogs of the dow. Were talking about deals in the dow. Not one, not two, but three pieces of m a news that could propel the dow to its next le