Bitcoin extending its bid slight, falling to around threemonth lows, below 7,000. Broadcom is higher, rising its takeover to 82 a share, but qualcomm shares falling after a Research Note says apple may drop the company in favor of intel for its next generation of iphones. Michelle will join us in a couple minutes its fast money trader guy adami, who will be with us for the entire show, but well begin, as we obvious do, where the action is, with bob pisani. Hello, tyler, quite a yoyo of a day traders are trying to figure out the bottom where to look for it in a market bottom first. Sellers are exhausteds, you want to see the selling stop and then if buyers have some kind of interest i would say right now were in an indeterminate moment. They tried to rally, but there really wasnt enough buying interest and then we drop below the low of the day, and then saw volume pickups for most of the etfs that are out there. Now i think you see a small attempt to rally, and then move back down here a look at the vix, same thing, went to 19, then back to 17, and then back to 19. You see, this is theyre trying to figure out where were at, and declining breadth is one of the clearest signs of a market top it was 10 to 1 on friday, 3 to 1 is bad, but we have to see it consequenceantly the volatiles looking for a level. Thats 2716. Thats not far away, folks, that would be a 6 decline in the market, guys, back to you. The nasdaq is faring better, in fact earlier the nasdaq briefly went positive 689 Bertha Coombs is tracking that action at the nasdaq. Thats right, brian its been a bit of a seesaw today, and mark cap has what kept this market on either sides of unchanged were basically seeing red all around in terms of sector. Large cap the best performers, biotech the worst performers apple started on the with a low of about 158 a share. That crossed below the 200day, very weak there for apple, but then it bounced from there we are now off of well off those highs, flirting with unchanged, nonetheless, depending on where apple moves and holds, we could see it perhaps move out of the correction territory that happened with that lift we saw earlier today, but even as apple is moving forward, it is putting pressure on apple suppliers. Chip stocks have been the worst performers today qualcomm likely to continue the takeover, but the idea that apple may be moving its chipset to intel, also hitting a couple others, amd a big loser. A look at lamb researc research. Some of these are make a big turn around, but so far its not holding. Its going to be one of those upanddown kind of days, it looks like and we are right now at session lows on the s p 500. Thank you very much well, the boogeyman of this market is being painted as Interest Rates. Rick santelli, are you to blame, rick not the bond market, rick, but you personal already are to blame for this . Do i look like a central banker to you . Not yet. A lot of traders on this floor, what you mentioned is what theyre looking at. The first print in the dow, that was the low. We just went through it. The s p 500 did it about three months ago and the fact that both those markets kind of dabbled, almost touched and were breedly in positive territory, that is negative for a tech nix. S. If you look at the hyg, the barometer are linking credit, you want to Pay Attention here its getting close to testing a low. Its first print was 8613 its toying with levels we havent seen since march its all about inflation and Interest Rates and the fed moving in a certain direction the tenyear breakeek, highest since finally the dollar index, the oneweek shatter shows a key area we traded it in on tuesday, if it gets through that to the up side, look formore buying. Tyler, back to you. The dow hit lows down about 370 points lets dig beeper Gabriela Santos at Jpmorgan Funds and enginejeremy pea is as jeremys, there are selloffs, and then there are selloffs that actually signify something more. How do you tell the difference between a garden variety pullback and something that might be signaling a longer term issue for stocks we think its the former, a normal bull market correction. What we have seen so far is uninterrupted gains the first three weeks of the year, up 7 really since the election of President Trump up 35 , so the pace of those gains were unsustainable, so its much more normal when you see some correction come into the equity markets. Some works, so given the left of the dow today, we should expect two days a year of 500point declines overall, how do we know . No one knows in advance when you get the pullbacks if there is a bigger drawdown or the end of the cycle, but in our view, this is very unlikely given the end of the cycle. You understood completely what i was droofg at making the distinction of a gardenvariety pu pullback and mismore significant. Gabriela, take me through your thinking this is obviously something we havent had in a couple years. Yeah, so its really just going back to level of volatility what would be normal is maybe a 5 pullback, a 10 once a years, and to your question about when does it turn into something more sinister its about something actually fundamentally changing in the economy, right do we see a recession in the horizon . Thats when you would switch and thing we dont see that you dont see that, but you do see rising Interest Rates rising Interest Rates listen, im in that camp as well, but ill say this, bull markets end on a crescendo of good news. You said something wednesday last week that stuck with me. I cant even remember last wednesday. Markets like to test new fed chairs thats exactly whats going on now. Kudos to brian sullivan. I dont think it has anything necessarily to do with rates going higher i think what it has a lot to do with, finally good news is bad news thats a fundamental change in what weve been seeing. 400 points down gabriela, if i have fresh money, should i be nibbling at domestic markets to buy its always about the starting point, right . Then definitely adding even in the u. S. Would be something we would do, given that fundamentals havent changed, but if youre an investor, thats already very concentrated in the u. S. Market per se, we would definitely be adding much more to europe, even to latin america, right theres a lot of good stuff out there. Investors are still underestimating the strength. Guy adami, thank you, and ill be nice to you on fast money, but jeremy, listen, my friend and frequent skit hire scott mine ar of guggenheim sell bull markets dont die of old age. Theyre shot in the head by central bankers. I understand your point, i hope youre right and that we were simply too bullish however, to tylers initial point. How do we know that the new fed is not going to screw this up, for lack of a better term . I think for one thing, the reason that the es Economic Cycle ends is when they see inflation causing a problem. I think wield eight or nine year of 2 to 2. 5 , the core key is the cores pc empty, so it seems unlikely that the fed will be overly aggressive given the absence of aggregate broadbased inflation. Gabriela, your thoughts about one of the points i think jeremy meat in the note is last year you had a couple things working, higher earnings, and you had higher expanse of multiples. People willing to pay more for each dollar, do you expect that thats going to happen again in 2018 or are we at that point where its really going to be an earnings driven market as opposed to the expansion of p. E. It should be much more an earnings driven market, and there was some multiple expansion last year, but it was really an earnings story if we look at earnings expectations for this year, of course, very, very solid, 16 earnings expectations right now. Yes, you get that onetime tax boost, but revenues also very, very solid, growing at around 8 , so the backdrop should continue, but i know we have to go, but janet yellen dropping the hammer sort of on wells fargo, she also said that stocks were priced high how do you feel about a fed chairs saying, yeah, the market is overvalued, oh, go thea go . The fed has noted yeah, the multiples are above average, but thats exactly why we cant rely on multiple expansion and it is looking solid. Got to leave it there thank you very much. Appreciate it. Well, as tyler noted, the dow hitting new lows and moving lower. Wither now down more than 400 points we have lost 1,000 points in the last two trading days. Investors in wells farceo are losing billions themselves because of fed coming down hard on that bank, taking unprecedented action should Ceo Tim Sloan step down or be forced out well discuss wells, discuss that, and continue to watch these markets selling off in a big way once again at ally, we offer lowcost trades and highyield savings. But if thats not enough, we offer innovative investing tools to prepare you for the future. Looks like you hooked it. And if thats not enough, well help your kid prepare for the future. Dont hook it kid. And if thats still not enough, well help your kids kid prepare for the future. Looks like he hooked it. Well do anything. Takes after his grandad. Seriously anything, to help you invest for the future. Ally. Do it right. Seriously anything, to help you invest for the future. Anything worth pursuing hard work and a plan. At baird, we approach your Wealth Management strategy the same way to create a Financial Plan built to last from generation to generation. Well listen. Well talk. Well plan. Baird. Shares of wells fargo today, including placing a limit on its Balance Sheet growth will ford forrest is here. Ceo tim sloan maintains that the company is still open for business and the limit on growth will only cost 400 million, less than 2 of last weres earnings but theres been sharp selling, now the Consent Order from the fed comes 19 months since the companys oversight issues first became public, on Janet Yellens final day in office and with no new wrongdoing uncovered many are thus questions whether the fed was too slow to act or had alternate motivation it also questions how much of company has done to improve. Ceo tim sloan has regularly talked up the changes he has made in the past what i can promise you is we are absolutely transforming this company, fulfilling the promises and obligations we made. Weve reorganized the company in materials of centralizing many of our risk and control companies and were building a better wells fargo i do think the worst is behind us the fed saying wells fargo has yet to correct previously identify identified the stress test, the quality at a timive pardon, and third by september 2018, they need to have submitted the thirdparty review to the fed relating to this Consent Order, as weve discussed, the to be is down 8. 5 . If they have to constrain the growth of their Balance Sheet, thats how banks actually make money, what are they going to do all things eagle they cant but to make sure they can continue to do loans is sell off certain securities, that what tim sloan means, that would cost them 400 million in earnings this year, so that, he says, theyre still open for business as they would want to. Theyre a huge mortgage lender, does it means i cant go to wells fargo and get a mortgage. It would if they didnt do Balance Sheet engineering to create room elsewhere. So total assets alone is an if all things are equal they cant but they can shuffle things around and get rid of some of the noncore assets so they continue to operate as normal, but clearly theres an impact the reason the share price is selling off so much more than the 400 million figure would suggest is people are concerned about too many things. One, do they not sort things out, and they have in the this is a quaint tiesive number wilford, thank you stick around he hit the key question, do you believe it would do permanent damage to wells fargos brand and ability to build a business Going Forward . Not in any way, shane or form, number one number two, you better better issue every the fact if you want a mortgage from wells fargo tomorrow, six months from now, a year from now, youll get it there will be no reduction in the ability of this company to lend money, take in deposits or operate the way they have historically if you lee at the Balance Sheet over the last six quarters, you will see it hasnt groan its un 9 billion on a 2 trail bronze Balance Sheet in my view this company will be shrinkingen Balance SheetGoing Forward for the next couple years. If you look at the earnings impact its de minimis if youre looking at on multitrillion, so the will the customers walk away this 17 months ago we put a tell on the stock on the theory the customers wouldnt walk away the government really didnt do anything to them, either in addition, if you look at this latest move by the fed, theyre not penalizing the bank in terms of hitting them with a big fine or rep raise or anything of that nature so my view this is 1,000 political, has nothing to do with the economics. I hear you, why did the market wipe out 28 billion in market cap the kb bank indense is down wells fargo is down 11 is that an infair selloff theres never such a thing as an un in the sends i think the market is going much lower, but, you know, when the market comes back, wells fargo stock is likely to move up sharply higher, so the net effect is i dont see this as being economic in nature. You heard what dick bove had to say, but you loud you were year estimates, and you sound pretty negative on the stock what do you think . Yes, ive been bearish on the stock, i think this is a big headwind ive seen in the past banks try to get out Consent Orders, and it takes quite some time to do that when you look at the fundamentals, they have not grown earnings in five years i compared thoism to their peer banks, they have the slow ex expected loan growth, so when i compared an investment in wells faro to some of the peers, especially now with the Consent Order and they cannot grow, i struggle with investor deciding an investment in wells fargo is even with the stock being hammered as it has, thats still not priced in everything you have just discussed . Absolutely. When i look at the 4. P multiple at wells, thats in line with b of a and jpmorgan the with wells fargo, i have a low degree of confidence thats a level of risk all right, gen, were going to wrap this up. Dib bove, mr. Long, thank you. The dow and s p 500 hitting session lows both the s p and the dow down 5 from the most recent report highs. Is this the beginning of a biller pullback, or is a bounceback coming first . Well be looking at the charles when power lunch returns well jd power did just rank them highest in Investor Satisfaction with full Service Brokerage firms. Again. And online equity trades are only 4. 95. I mean you cant have low cost and be full service. Its impossible. Its like having your cake and eating it too. Ask your broker if they offer awardwinning full service and low costs. How am i going to explain this . If you dont like their answer, ask again at schwab. Schwab, a modern approach to Wealth Management. Mom anits not theirs. Car. Its mine. Mine. Mine. And it always will be, forever and forever. The new rx 350l with three rows for seven passengers. Experience amazing at your lexus dealer. Of emerging markets obsolete . 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This ishares etf that tracks is down around 200 are works, on a twodays losing streaks they were the fund is now more than 4 to 5 below its record high now, later on in the next hour well leek at some of the stocks in the overall market thats taken deeper pullback, with the dow down about 440 points right now near its session lows. Well like at that and more after the break. Thank you so much. Thank you so were a go . Yes we got a yes what does that mean for purchasing . Purchase. Lets do this. Got it. Book the flights hai si si ya ya ya what does that mean for us . We can get stuff. Whats it mean for shipping . Ship the goods. Youre a go you got the green light. That means go oh, yeah. Start saying yes to your companys best ideas. Were gonna hit our launch date scream thank you goodbye we help all types of businesses with money, tools and knowhow to get business done. American express open. To get business done. Well, itsonce again. Eason yeah. Lot of Tech Companies are reporting today. And, hows it looking . I dont know. Theres so many opinions out there, its hard to make sense of it all. Well, victor, do you have something for him . Check this out. Td ameritrade aggregates thousands of earnings estimates into a single data point. That way you can keep your eyes on the big picture. Huh. Feel better . Much better. Yeah, me too. Wow, you really did a number on this thing. Sorry about that. Thats alright. I got a box of em. Thousands of opinions. One estimate. The earnings tool from Td Ameritrade. President trump and First Lady Melania Trump departing for ohio, where the president will deliver a speech on tax reform, while the f