Country where the price is oil is already even lower and reports of people in the field saying the price is much like it might be with credit, what you pay for it at this point. A stunning decline here. I use the word stunning because this is not a financial crisis. This is not a recession at least in this country. This is a situation where contributing factors have pushed the oil price out. Everybodys jumping ship. Look at the traders. The funds. For moving out of the space. Im sure a lot of big institutions will be next. Thats a good point. I think traders consider it a repricing. They are repricing right now. Whats so extraordinary about this, again, tells you hope that this is a supply side story, although the rest of the commodity complex doesnt necessarily confirm it but friday the u. S. With the best jobs number since the Great Recession and you would look to a number like that and its a relentless decline in the oil price inl stead since that report hit. I said today quite a tune the markets are singing right now. The melodys familiar. Were trying to figure out what the lyrics are right now. Exactly. Lets see if we can get some help from our panel. Interestingly earlier today the dow utilities average hit an alltime high. Which is telling. You know, yields are coming down. Interest rates are coming down. That would help thats where some of the money is going right now. To a perceived safer haven. Talk about wit the panel. Theres the utilities average right now and come off that high from earlier this the session. Jack bourougian is with us today. Neil hennessey and our own rick santelli. Mr. Market santelli, ill start with you. Is this oil leading stocks lower or whens going on here do you think . Listen. I think theres a lot of thing that is are playing negatively into the stock story. I mean, you know, 2016 growth in china may be under 6 . Theres a lot of big stories out there. Is oil a contributing factor . Absolutely. Its the message of the equities markets pushing yields ever closer to very important 214 october 15 settlement price because thats who delivers. Thats the messenger. You know . We had a period of oil going down aggressively and stocks with respect. The treasuries didnt pay as much attention. So the sudden price drop, the liquidation, the repricing, i agree with all the terminology thats important. But lets not lose sight of many economic benefit that is will take much long tore accrue in the general economy. Amen to this. All right. Jack, give us the Glass Half Full story. Is it a same idea that it should benefit the u. S. Consumer and is that enough at this point and the u. S. Consumer gets a little bit of help when the price is dropping this far and this quickly . Oh, you know, kelly, i think that anybody here would probably take a 300, 400point move off the highs in dow for 60 oil. I think thats a given. What we are looking right now is a global margin call and, you know, 15 of the 20 largest Sovereign Wealth Funds from countries who get their money from oil directly. All right . What were looking at is liquidation on their part. These are large holders of global equities. So again, we see this happen whenever we see a large, fast move in oil. This is no different. Its a buying opportunity. Im convinced that a 3 to 5 move at this stage in the year is probably one that active managers have been looking for and hopefully taking advantage of it. Jack, just to be clear, are you saying that countries are rating the Sovereign Wealth Funds for income because they cant look to oil revenue . They have to, kelly. You know, theyre forced to. Seeing oil do what its doing, these are again, and look at our friends up north in canada. They have budget that is they have to meet and, you know, we are not talking about venezuela. That doesnt have a Sovereign Wealth Fund thats worth noticing or talking about but were talking about russia, the ukraine, norway. Country this is people arent aware of whose budgets are directly affected by this move in crude. And it would appear that the maybe the oil bulls arent giving up. We had evidence earlier i read where theres record volume in oil related etfs right now. Exchange traded funds that have become so popular with individual investors. What do you make of that kind of an a move . Are they stepping in front of a falling knife or a prudent move to make right now . Who knows how far the bottom is in oil . Commodity and the stocks. One of the ways to ignore the daytoday volatility of markets is diversify your portfolio. We launched a portfolio today through 29 etfs over 20,000 securities around the would and really interestingly enough, the global asset aloe Case Portfolio gaa is the first etf with a zero permanent percent management fee. Is it hedged . No. Well, it is in the sense it owns u. S. Stocks, foreign stocks, bonds, commodities. But i mean you know better than anybody, the u. S. Dollar is appreciating and leaving countries in a tough spot so what i mean is, is it currency hedge or neutral . Its long u. S. Based assets, a great percentage of the portfolio is u. S. Stocks, bonds, real estate and then investments outside the u. S. That dont hedge. Foreign equities, bonds, asets. We think its a great balance. Neil, jack was talking of savvy investors to step in. Are you one of those guys . You are looking for a bargain in this market. A trader said macys has the store buster sales. Wall street is having a sale today do. You agree . I absolutely agree. We saw this in july of this year. We saw it in september, october. We where the market retreated. We know that the market bill is volatile in here. People believe its up 165 since its lows of march of 09 but the reality of the situation right now, the 10year u. S. Government bond right now or note is trading at 217. But if you buy all 30 Dow Jones Industrial stocks youre going to get over 2. 2 yield. And when you look at it, companies are making a ton of money. The consumer and companies are both going to benefit from Lower Oil Prices and energy prices. I mean, if you really look at it, this is just a buying opportunity. Okay. But you have a selloff that people are panicking saying get me out once again. Its stupid in my opinion. Does this mean you would buy some of the oil stocks taking it on the chin, boeing to the downside and pays a pretty good dividend. Are those the kind of stocks youre talking about . Starting to lock at how we invest, one of the criteria is were looking for positive relative strength in the companies that we buy at the end of our formula driven like the focused mid cap 30 and so essentially they all have a negative relative strength so theyre not going to make it into the portfolio and some point in time, you know, bill, it will stabilize. 60, 55, 70. Wherever it stabilizes and then see the companies and stocks catch back up. Do you think its stupid, rick, whens going on in the market here . I think some of the ways we look at things arent necessarily stupid but its the immediate gratification. And all the over liquefy case of Central Banks aided and abetted. Another commodity story, the farmers in the midwest have corn coming out their aerlears. Yet the price is over 3. 50. You talk to a farmer. A much better deal on it. Why the disparity with the marketplace . All the moneys still in the system. So i think, yes, we are making a lot of it. Things like the vix up 50 . From 12 to 22 . I get it. But, you know, nobody talks about how we have seen japanese yields move 25 in less than a month from 53 to 40. Sometimes percentages are misleading. Volatility is low. Lick quidty is high. We said high prices bring recessions. What happens with low prices . We have to thumb through the economics textbook for that story there. Jack, how much of this has to do with the expiration next week . I mean, the last few expirations that we have had have been to the upside. Do you see this as a setup for that . I absolutely do, bill. In fact, i have a feeling to be sitting here next week talking about how the market is moving back those alltime highs. Quarterly expirations, its made a new alltime high. Not a coincidence. Thats because you see the managers are actually right now scrambling and one of the things to Pay Attention to over the course of the next couple of weeks. The people left and trading the market in the next couple of weeks are those to keep their jobs going into 2015. Let me just throw this out there, as well. I dont know that weve talked enough about the monetary changes next week s. That kind of tightening whens driving the riskoff trading pattern were seeing given as everybodys saying, the market might be taking well here. Could be. You know, the monetary forces, these commodity forces create opportunity like a couple of my panelists mentioned. Look, theres ten countries, equity markets around the World Trading at pe ratios in the Single Digits and roughly the same amount of dividend yields over 4 . I think theres a lot of opportunity in foreign exty exposure. All right. Gentlemen, thank you all for your insights on whats a very interesting important day in the markets. Were off the lows right now, though. Still down 250 points. I said it finally. Not able to do that recently. Thats true. We were down 280 at the start of the hour. Off 250 now. Again, the weakest link is boeing. At lea interestingly enough. The nasdaq giving up 73. Nations biggest Financial Firms have been feeling the affects of the oil shock. Goldman sachs downgraded today thanks largely to the oil slump and talking about the connection and whats at stake for the big banks throughout. And then later, tyson food ceo speaking with us exclusively. Well talk about what went on there. Plus the situation in china. Find out if that chicken producer still feeling the blow of a summer food safety scare that has yum brands kfc reeling. Were back in two. How could switchgrass in argentina, change engineering in dubai, aluminum production in south africa, and the Aerospace Industry in the u. S. . At t. Rowe price, we understand the connections of a complex, global economy. Its just one reason over 70 of our mutual funds beat their 10year lipper average. T. Rowe price. Invest with confidence. Request a prospectus or summary prospectus with investment information, risks, fees and expenses to read and consider carefully before investing. If youre just tuning in to see if the selloff of monday and tuesday ended today, the answer is, no. Youre looking at the heat map as we call it. S p. Thats all 500 of the s p 500 stocks and you can see how many are up and by far how many are down contributing to this decline of 1. 4 of the s p 500 index. The industrial average was down 280 at the low. We are down 245 right now and the nasdaq is down 72 at 4694. Yeah. A lot of energy names are the weakest performers on the session. Oil still sliding. Jackie deangelis, do we hear 60 yet over there . We did setting at dlfr 60. 94. Down 4. 5 today and looking to see if theres selling pressure into the close to take us into the 50s. Didnt happen today and traders telling me we could see 59. 30 tomorrow and once we break through the 60 mark the selling pressure really will probably mount to the downside. Meantime, what was impacting the markets today, well, the first thing is opec trimming the 2015 demand outlook. Obviously, the last production meeting, they didnt cut production. The last opec meeting so all eyes are going to be on the meeting in march. However, the Saudi Oil Minister out today saying why should we cut production . Why would we . He said customers come and say that they want more oil and right now theres not a lot of demand in the marketplace right now and the sentiment right now to the downside for oil. You may see a little buy on the dip mentality but people are saying its a falling knife and they dont want to get in its way. Thank you. Lets talk about the dramatic decline and having a rippling effect through the Financial Sector today with concerns that banks have exposure to energy firms that might not remain solvent if Oil Continues to decline for an extended period of time. Goldman sachs, for example, downgraded today due in part to that weakness of energy. Joining us is art cashin and brady gayly. Welcome to you both. Art, first to you, how much of the decline in the market today is because of the decline in oil prices here . I think a great deal of it. And it is as bill just alluded to, beginning to spill out into other areas. Obviously, part of the selloff is chevron and exxon, but as you said Goldman Sachs among others and concern is particularly about the high yield end. A lot of the small Fracking Companies and others are thought to have exposure there. And the etf, the jnk, junk for the highyield sector, took out the october, the ebola lows today and people are concerned about the financials, particularly high yield end. Brady, are we early on this call . Are you seeing evidence of the Financial Sectors result of debt issues of energy . Bill, its not really a debt issue for banks i cover. The investor focus for the regional banks is predominantly in the states likes texas and oklahoma that have a lot of Energy Exposure and when you look at those states, those stocks as we have seen oil fall a lot from thanksgiving, theyre off 10 to 15 and the regional banks have 10 to 15 to 20 of the Loan Portfolio in energy and spooking invest to recalls in those economies. My question is, are we seeing evidence of potential default as a result of this are just anticipating this is a logical next step . Are we actually getting evidence that companies are threatening to default . Yeah. As of now, it is primarily anticipation. If you look at the banks, you know, it is really going to take lower oil for longer to really show up as a credit issue. You know, a lot of these banks have made sure that their Energy Companies have production hedged for another year or two so its going to take a while for this really to show up in the financials in a material way. So right now it is just on the threat. So what happens to the market in the meantime, art . The concern here today, today would have been a perfect day for the buy the dippers. Big turnaround yesterday would have been perfect. Didnt happen. And thats because we are seeing early concerns about contagion. That its beginning to spill over into other assets. Theyre not worried enough to put on the hazmat suits yet but you can see that the concern of contagion is there. I mentioned the utility average hit an alltime high before the selloff. The russell, youre pointing out, is relatively holding its own right here. What do you make of those, what are perceived to be relatively more secure investments right now. Well, i think the russell has had a leadership role and its got reasonably good technicals. What happened to us today is shortly before 2 00 the dow took out yesterdays low and produced the kind of trap door effect and people said, that great reversal today isnt going to hold . And so you have got to look at the technicals in the different indices moving along here. Its going to be tempting. Trying to fight back and maybe an uphill fight, a very early and i mean early because it can change any minute. Right. Look at the close is to the sell side. We have come back by 55 points on the dow here. Brady, a question to you, as well. Contagious art mentioned. Im curious what you think how this differs or what it has in common with the collapse of financials after the real estate crisis. I mean its always an issue when you have collateral values that go lower for banks with Energy Exposure. I think one thing that people are focusing on now is, you know, for the banks, as lower oil, you know, pricing in general leads to less inflation, which allows the fed to allow rates to stay longer for longer, lower rates for longer is generally bad for Bank Earnings and valuations so theres also an indirect effect, you know, on the rate issue here, as well. Before we let you go, art, jack made the point, he thinks that, you know, well see a turnaround as we get closer to the expiration. Theres a quadruple expiration next friday. You know, walk us through what you think happens here. The other thing thats going to be in your favor is that the seasonals are going to turn expressly favorable. This week as ive written in my comments every morning is the least strong of the strong seasonal. This week . This week. Moving into next week, the beneficial seasonals should begin to kick in and certainly well know best probably tomorrow. The thursday in the week before an expiration gives you a very strong hint of whens going to happen. The buy the dippers might finally poke the heads out. They were run over by a truck today. Thank you both so much this afternoon as we watch the market here. As bill said, coming off the lows. Dow off 220. Still way far from that dow 18,000 level we were talking about just on friday and this has a lot to do with the pressure on the oil space today. The s p off 27. Nasdaq 65. Tyson foods surging over 20 this year. The number one chicken producer in the u. S. Holding the investor Day Conference here at the new york stock exchange. The ceo ringing the closing bell. Hes going to talk to us exclusively coming up here next. And his reaction to a promotional video of knocked assure the customers that Chicken Nuggets are made of chicken. Tyson is a major supplier. Well be back in two. But what if you could see more of what you wanted to know . With fidelitys new active trader pro investing platform, the information thats important to you is all in one place, so finding more insight is easier. Its your idea powered by active trader pro. Another way fidelity gives you a more powerful investing experience. Call our specialists today to get up and running. Welcome back. The dows off 280 points. Lows of the session. Off 220. Still not much green out there as you can see from the heat map of the s p 500. Giving up 27 or thereabouts today. The nasdaq, as well. Thats the underperformer. A rough stretch and perhaps Collateral Damage to names like tesla deservedly or not. Tyson foods with a pretty good year. The stock up almost 20 . Not spared in todays carnage. Down 1