Yahoo bids, david faber says theyre in the range of 3 billion to 4 billion, but will marissa want to sell at that price, coming up. Carmelo anthony getting into it with macys. Theres one league thats in a laeg of its own. The shoe game is a little bit different. Its the right to consumers. I dont think people are going into stores buying shoes. Everything is job line, websites, apps. He had more to say about that, too. Well have that coming up after the bell. Also including why hes wary of investing. Remember his tech startup. He reminds me of kobe. Very, very bright guy, right, playing basketball. Lets start with oil. Its climbed more than 3 just this week, but is this recent surge in the commodity about to take a turn lower. Lets bring in our friend from rbc capital markets. Were getting close to that magical 50 a barrel market. What do you think . That could be sort of weighing down on prices once you get to the 50, 51, 52. But the thing to watch is were having mounting supply disruptions. I mean canada still remains down by over a million barrels. Will probably come back in the next couple of weeks. We should be hanging out in this price or moving higher actually. Even though in the past, helima, we started to peak. Yeah, but we didnt have this kind of supply disruption. Nigeria is gamechanger. If were going to be going down into peak season of nigeria, we have to stay at this price or go higher. What about iran gearing up at the same time . Great question. I think theyre reaching their capacity right now. Theyre not saying theyre willing to freeze production. We think its a sign theyre probably capping out what they can bring on barring a wave of new foreign investment. Whats going on in terms of saudi arabia. There were reports of how much u. S. Treasury debt they were holding. There have been other reports about their finances or iouss be paid. How does that go back to what they might do Going Forward with their Oil Production . Saudis have been talking about it. They keep saying everything is awesome in saudi arabia, but you get these reports about delays in contract payments and you start to wonder is there a little bit of a nightmare behind that closet. So i do think the saudis have to be concerned. Will the population accept austerity measures. I dont expect them to change their positions in the june meeting but theyre implying if they get a bit of a harder landing there. You say there could be a point where the price would go lower. What would cause that . If we get to 50 durjts that bring some u. S. Producers back into the equation . Some have talked about sort of hedging production once you get into the 50s, but it will take time to bring that production back online. Fear of producer hedging would cap the upside if you get you know, if nigeria starts to come back. But, again, i think the outages are the important thing to watch. If we stay at this level of out alk in nigeria, that could keep us in this price rage or higher. What about our neighbors to the north . Go into more detail if you could about how much supply has been affected by these wildfires and what that might have to do with the price here longer term . I mean right now we think its a little over a million. Its been basically shut in because of these fires. The companies do woonlt to restart so we expect that over the next couple of weeks you will start to see canadian production come back online. Youre all subject to changes in weather. We cant really predict the day its going to come back obviously. Thank you. Thanks, helima, very much. Lets get to the fed now, which has caused quite a stir in the markets this week and whether its standards for a rate hike might be lower than you might expect. Bob liesman has more. Is it strong . The fed market might have to get used to what is strong. Heres the reason. The fed just has a lower standard in the market when it comes to jobs. While markets are either 200,000, beneficials are the low lower threshold. The question will be not if its strong but Strong Enough for the fed to hike. Rosen gren said, quote, given broad demographic trends, normal or trend Payroll Employment growth is now between 80,000 and 100,000 jobs a month. And then look at january it yelin, the fed chair. Shes just around 100,000. So everybody wants more job growth. Its good for corporate profits and good for the economy. But if you want to know whats good enough for the fed, its best to lower your standard and they of job growth the way the fed does, bill. Steve, if i may, theres one thing about this that might be a problem. Its been so strong. You know, so regardless of whether 80,000 is the bar that needs to be cleared, the mere fact that its decelerating is a problem from a cyclical view, right . No, not necessarily. Indeed, kelly, a lot of wall street economists except us to downshift to a more sustainable rate. Nobody expects 200,000. There is a large pool of workers who maybe have dropped out of the work force or could be brought back in that are probably keeping this up at this point, but you raise the other side of the coin here, which is that what is Strong Enough for the market, in other words, that 200,000 rate, that could become increasingly worrisome to the fed. Steve, before you go, i saw a headline that said the new york feds instand read on gdp show 1. 7 , which is up just a half a percentage from last week hochlt u is that possible . Youve had a lot of decent data. Youve had the housing data today. Its come in pretty well. You have the retail sales numbers. They do it every week. I want to show you our cnbc wrap it up date, bill. The new york feds just a little bit late to the party. Were coming out at 2. 5 . And you see q1 tracking at 2. 9. Theres the rebound. It has a very long way to go with Second Quarter gdp. Its justified a decent rebound in the Second Quarter so far. The question is that enough . I think it is. I think 2 is a good mark on gdp and i think 150, perhaps, is probably good enough on jobs. All right. Thank you, steve. Steve liesman. Well see what happens. Lets get to our Closing Bell Exchange with friday, dow up 32 points. It was up 36 points at its peak. Rene norris is with us and jack perusian is with us and keith bliss from cuttonen company is at post 9. Keith, after all the volatility, here we are on this friday. What did we learn this week given whats happened with the dollar and the fed oil and all that . . What we learned is the fed is going to continue to keep the market off blachblts its remarkable to me you have some of the most dovish members in the policy making saying theyre okay with two, maybe even three Interest Rate increases in 2016. That is vastly different than what theyve been saying. You can see some of the internal indicators inside the market. The fact remains even though weve had a modest rally, we track this back. We have not moved anywhere from where we were in the fall of 2014. I think whats going to continue to happen, were going to move through. Wevt a couple of major things coming up. In fact, were seeing that in the past few sessions. Buying has been somewhat anemic and not a lot are willing to put positions on it. Jack, when do you think we might test those about this time . You know, i think its probably going to be a few months unfortunately. There are a few things were not prepared for. If you listen to people like art cashin who youve had on your show many times, hes indicative of what the fed thinks. That means the fed is not going to move. Between now and then were going to move into some rough patches. Underwhats happened there, if the fed moves two or three times, were talking about a multiple thats way too rich to be sustainable. Dont you think thats what happened on wednesday. The dow strengthened, gold went down. All yield lszs went up and the stockmarket went up . You know what that was . Everybody will tell you. Markets given us warning signals. That was the warning signal. It was telling you that the market was unprepared so when the fed does make some kind of a mood. If they do it in june, we could see a move slower in stocks. So, rene, where are you advising clients to be bracing for all of this . Ive been kind of preparing clients since the beginning of the year. Ive had to change my tune this year. Weve been raising cash since the beginning of the year, more for opportunities than anything else. We want to use the summer slump to buy some of the great disrupters in this space. Really. Yes. Can you give us a couple of examples on your Shopping List . I cant give you specific names, but i will say the high flyers that weve seen, for example, some of the consumer discretionaries that have been beaten up pretty bad in the financial, i would be looking this summer to start adding to positions. I think that the september, october, november months will be ones to remember. Most of the things that are going to happen, i think, will start in july up to the election. Youre not buying now. No. Lets face it. Theyre all pretty crowded trade right now, arent they . They are. Weve been lucky to have those in clients portfolios for some time. Weve not been adding to them but weve been putting together our list of issues to buy. I think the Second Quarter numbers are going to be really, really tough. The election is really going to play into this, i think, quite a bit, especially if you have some candidates talking about protectionist policies. Thats not going to bode well for americanbased Multinational Companies who have to import or export their services and sim plies. Keith i want to point out on another dae when theyre outperforming in terms of raw points today, why is that . I think you take a look at the transport move, its getting a little bit of a lift. I they you for pointing that out. You look at the transports. Watch the transport, the s p and vix will follow them. Youve about got to watch. Going forward equity markets hate two things. Were getting both right now. Id be very cautious and with step to the summer. If theyre weak and the fed raised in june, thats a recipe for a bad july. I see a nod from jack. Those who welcome the fed raised rates and are not worries. It only believes that theyre on solid company. Our own measurement shows gdp for the Second Quarter. Bill, remember, thats going to the best thing in a long time. Its like injections of steroids into a patient. Once we with draw that,ite going to look sicker. Were going through that and well go through it for the next few months. Once that happens, youre going to find great ebb questionties. Youre going to want to make sure you bought this kit. Tharchl you all. Applied material is one reason why the nape deck is pointing. The nasdaq is up better than 1 . The dons up only 50 points. What a story on tesla. The supplier is questioning whether they can meet ceo elon musks target. Phil lebeau looks aet the merits of their arguments when they come back. And the first marathon of bidding is other. What she wants to sell parts of the Company Coming up. Youre watching cnbc, first in Business Worldwide. 4 stephen king, the master of suspense and the macabre. I enjoy keeping people up at night. My Analysis Shows your stories are actually about human connection, even love. Great storytelling needs drama and empathy. My cognitive apis can help any business Better Connect with its audience. You should try writing a book. Find a remote hotel. Bring the family. I do not think that is a good idea. Man 1 man 2 i am. Woman exmilitary . Man 2 four tours. Woman you worked with computers . Man 2 thats classified, maam. Man 1 but youre job was Network Security . Man 2 thats classified, sir. Woman lets cut to the chase, here. Man 1 whats youre assessment of our security . Man 2 [ gasps ] porous. Woman porous . Man 2 the Old Solutions arent working. Man 2 the world has changed. Man 1 meaning . Man 2 its not just security. Its defense. Its not just security. Its defense. Bae systems. 40 minutes to the close with modest gains for the major averages today although the nasdaq is doing well with a 50point gain. De deere, though, is falling. It cut its full year profit outlook. Lower Commodity Prices has been hurting farmers income and theres a glut of unsold machinery. You see deere down by 5. 5 . Some are questioning whether elon musk can deliver. Phil lebeau has been looking into the story. What did you find, phil . Kelly, people have been questioning this plan since elon announced it a month, month and a half ago. So the fact that suppliers are going around the country saying were not sure well be able to meet the deadlines for the model 3, not a complete surprise. Remember when you look at it, this is a very accelerated timeline for the newest vehicle coming out from tesla. In the next month or two, theyre going to lock in on the design and then in 2017 they plan to build about 100,000 model 3s mainly in the second half of the year and then really ramp things up in 2018, hitting production of the model 3, about 400,000. Remember, the target for all vehicles produced out at its plants in 2018, a half million vehicles. Thats not just the model 3. Thats also the model s and x. That means theyre going to add at least one, maybe two assembly lines, more stamping, another paint job, all the things that go with amping up production. Remember, they announced it. About 2 billion is what theyre going to need for the production amp. They raised most of the money. It priced at 215 a share. The question now, will tesla be able to meet a very aggressive timeline. Even elon musk said it. Look, a lot of people are going to struggle to meet the all parts in for this vehicle, but were setting that as a goal at this point. Elon musk has made his career on one hail mary after another, especially this one. This is the longest hail mary. Then you suggest the design hasnt been finalized. They dont know what theyre going to need from parts suppliers, right . Right. But its not going to be a complicated as the other two. The other thing to keep in mind, bill, most have been working with tesla, so they understand how its supposed to be working. If they can lock it in by june of this year, tesla believes they can get these suppliers up and running by june of next year. Nobody disputes its an aggressive time frame. Even elon musk has said that. The question is will we see it happening as quickly as taz la is forecasting. If we take him at his word, phil s it possible. I understand other Car Companies havent been able to do it this fast, but is it possible for tesla to do it . Anything is possible. Is it possible to have the model built by the second half of next year and some deliveries begin . Sure. Thats a big difference from, we will have 400,000 build in 2018 and a half million in production in 2018. Thats really the key question. Thats the level of production. Its not whether it can be built or delivered by next year. Its whether or not tesla can deliver as many as its forecasting. Yeah, exactly. Phil, thank you so much. Tesla shares over a small gain last check and theres a little more than 40 minutes go in this market where the nasdaq is up. The dow is up 47. When we come back, amid conflicting reports on how much bidders have been bidding. Were going to talk on whether Marissa Mayer wants to sell that. Also coming up. It was perfect. The big collaboration just came. Tmnt is teen aged ninja turtle movie. His turtle power movie is coming snup love thachlt well done. In a world held back by compromise, businesses need the agility to do one thing another. Only at t has the network, people, and partners to help companies be. Local global. Open secure. Because no one knows like at t. Theres a lot of places you never want to see 7. 95. [ beep ] but youll be glad to see it here. Fidelity where smarter investors will always be. If only the signs were as obvious when you trade. Fidelitys active trader pro can help you find smarter entry and exit points and can help protect your potential profits. Fidelity where smarter investors will always be. Theres a place for vacationers than just a little time off. The ones who choose to go big or stay home. Come with me now. Where every amazing, despicable, wizarding adventure reveals moments that are truly epic. This place is made for those who do more than just vacation. Whoa go with me now its made for those who vacation like they mean it. Universal orlando resort. Welcome back. We talked a little yesterday about the hot stocks. Campbell soups down 6. 56 . Their revenues fell short. They say its more broadly emblematic as mike santoli pointed out as to where people have been hiding and ramping up. Yes, indeed. Were getting value on the yahoo business. The first round of bids are in the 4 billion to 5 billion, which is higher than the 2 billion to 3 billion number reported earlier by the wathe street journal. Still its well below activist jeff smith. Lets remember. Somebody could easily pay 2 billion, 3 billion, 5 billion, 8 billion for this asset if they cared enough. It depends what theyre going to do with now. Lets bring in erin griffeth. No relation. Seen your writer. Welcome. Hi. Where do you see it . On the one hand, it was bidding up d. I mean its really hard to tell. Theres a lot of noise around this auction. Were seeing reports. I mean in the beginning bankers we assumed it was bankers. They could get as much as 10 billion. I think thats a little crazy. The patents are worth 4 billion. I think were starting to see more realistic numbers but 2 billion is really, really low. It behooves anybody. They dont want to show their hand right. Right. Wait for them to narrow it down and then throw in the low ball. Even at that, nothing has ever been easy for Marissa Mayer at yahoo right. Shes been there three years which is really a long time to put her turnaround in place. Her reputation wont be hurt because if she wins shes a hero, she turns it around. If she fails, theyll say, nobody could have saved yahoo . The reports that came out about her management style and shortcomings kind of shows that maybe her reputation will be damaged in the end by this. Could the business be sold for piecemeal . Yeah. Thats one of the things. They say its going to be 2 before bl 3rks billion. Nobody knows. Theyll say take out tumblr and figure out to monetize them, cut costs like crazy. That could be one option that were talking about here. We posed this question earlier. Is it possible she doesnt want to sell . I think it is definitely possible it doesnt sell. She wants to keep doing her t