najarian and steve weiss and bob lebenthal. and so what are you seeing here with the end of sports a authority, and what about this pain? >> well, the sports authority is the gift that keeps on giving, and i saw the big bankruptcy sign, and judge, did you see the same thing? 10% off? who does a liquidation at 10% off? nobody. >> you know what i did when i saw that? i marched out. >> exactly. they better have a lot of money, because nobody is buying money at a place that has a 10% off going out of business sale. >> just getting started. >> but is it going to hurt under armour, and all of these are a death by a thousand cuts, and yes, it is going to affect under armour, and nike, and also, to a smaller extent, but those aret not the big things, and the fact that the olympics are not something that is going to be nearly the driver that they have been in the past, and that is my feeling, because of zika and a whole bunch of other distractions, i think that people won't be as geared up for it. so i think that, judge, there is a lot of reasons that the amazon, the compression of margin, and all of the rest of this that keeps these guys from really getting up and running fast. >> and so, pete, we have been hanging on this the notion that ath leisure, and sports leisure is where to be? the apparel across almost all of the retail. and now a note from morgan stanley's jay soul, and it is a 50-pager, aed he put out 50 page, and he says that the u.s. at lettic apparel category is weakening and time to worry about one of the pillars of strength. that is one of the overriding concerns. >> weakening or dying. weakening is a little different sense of what is going on, but if you go through the b of a notice, you can see that what did stand out for me is the fact that in the shoe area, in the footwear, they are losing a little bit for the first time since 2010 that nike is actually losing a little bit of the market share there, and that is slightly concerning, but it makes sense when you look across, because it is a very very competitive market, and we talked about it the other day, and talk about under armour, and talk talked about it again. a small piece of under armour is footwear, but something that kevin plank wants to increase which is 10% of the sales, and that is something that nike is going to be doing. >> i am glad you brought it up, because part of the nike note for the bank of america today, they say the following, and i quote, we believe that nike is losing the footwear market share in north america for the first time as adidas and under armour are leading the growth market. where nike is losing the market share, under armour is picking it up, and hello, steph curry accounting for it. >> and spieth has not hurt either. >> from the footwear po. >> well, basketball, but if you look at what under armour is doing, and the money that the spending is doing with the college world going to pay off? i do believe it are will, but those are huge dollars. >> and scott, you mentioned adidas a second ago, and you have to real ize that adidas is huge in soccer or non-american football, and we have a summer tour coming up which is a time that nike traditionally underperforms. you combine the down trend plus adidas being in the sweet spot right now vis-a-vis soccer, and this could set up for a great buying opportunity, and traditional ly if you can get nike 20 times below earnings, that is below $50 on current multiples and seems headed th e there. >> and both under armour, and nike have been performing the same year to date, and when we look at the stocks in the bigger picture, this category which is red hot is now weakening, and the companies are going to be feeling the impact of that. >> and under armour as a stock is too expensive. the multiple is still, and the company fun dadamentals don't j buy out the fundamentals, because if you look at the announcement of sports authority, they announced and came out one week after they filed for bankruptcy and said, hey, is it is going to hurt our sales. now we know that sports authority has been under pressure for months and months and months and the second or the third time they have gone bankrupt. >> but we didn't know about the liquidation until a week ago. >> yes, but you don't go out there to buy the potential guide, and that would have managed the quarter better so it is overvalued. i am not worried about the share now, because it is a small base of the company, but however, adidas is also a fashion shoe. you the stan smith, and all of t the other shoes where nike is not as much, and definitely under armour isn't. so to me, it is a temporary lull in the spachlts i like the shoe manufacturers that are, i like nike, and under armour at the right price, and i would buy it. >> but nobody says that nike is a buy? >> no, the chart is terrible, and looking terrible for several month, and since last summer, it starred to break down. again, having said that, if you are gettinging it below 20 times, and realize they are on a may 31st quarter, and get the earnings, and look at the future, and the to date, the futures have been positive, but what these two analysts are saying is that this quarter is going going to be a not a negative, but low growth quarter, and maybe that is one quarter or two qua quarters, but again, if you can get the stock below $50, that is a great place to buy it. >> and jim brings up a great point of the soccer tournament. >> yes, the euro '16. >> that is something that can be a driver in particular for adidas, but not so much for n e nike, and then the focus of the brexit or the bremain however you want to look at it. >> and so the downgrades for nike are down to $60. >> and you have 10% upside and you are saying to buy it under $50 is a 20%. and so it is out of balance, and the first time to have lost share since 2010, and you have been here before, and the fashion cycles, and the style cycles, cycles, and it is not over for nike or under armour. >> and not only is it not over for under armour, but are people giving the growth there enough credit? are we looking to shoot too many bullet bullets into the story that is sounding too good? >> well, it has twice the multiple, and under armour for the premium, and you are asking if it is in the stock, and the premium of nike over is a substantial one. >> and the one area that we didn't talk about in the whole subject is apparel. and look at lulu lem mop,lemoult is not that everything is being bounced out. it was trading 52s last night, and you never even got a shot at that to daish and suddenly here barely down on the day after a couple of different analysts come out there to start to pound on the stocks, and the industry reaction for nike giving you a sense of where people think is the buy, and maybe it is in front of $50 because we may not get a shot, because i'm with you, but i would love to get it under $50, but we may not. >> and nobody is talking about the uptake are from the olympics. >> well, john said that the olympics are not going to be picking it up, but there is nothing in it. >> yes, i believe it is going to be a surprise, steven, if we get a positive push for nike and/or adidas. >> but you are not paying for it now. >> and the morgan stanley note is interesting in that it raise s the issue of the impact of companies like nike and others are having on the consumer shift away from the traditional retailing whether it is causing excess inventory, and how the inventory is being dealt with both from the underarmour or the nike perspective, and whether you are seeing the discounting by the retailer themselves, or by the other chains, and that is the impact of the results down the road. >> and steve, earlier today, you talked about nike. >> yes, and nike from a somewhat reliable source is that they have told the retailers that you cannot discount more than 25%, and particularly high luxury brands like rolex that you cannot discount at all. we don't know in terms of the impact, but i suspect that we will cut back on the ordering, because you don't want to be stuck with the inventory if you can't clear. so that is going to remain to be seen, and that is protection against the online. so to me, the reason that i like nike is because it is the brand that you are buying, and not going in shop, because you can buy on the online, and in store. >> and the valuation is the stocks that are not the plays that you would make? i mean, you are looking at the amazon or the netflix or the twitter before it had the down. >> well, the discipline is something that you need to watch it pile up, and it could turn badly, but no multiples there. >> all right. here is what is else is coming up on the "halftime report ". >> mr. doom and gloom, mark f faber predicted a big downturn ahead for the markets this year, and with the stocks hovering at near all-time highs, what does he think now? we he will join us. and the big opec meet iing. brian sullivan joining us from the big meeting and what to expect. >> and amazon's next big idea. jeff bezos is going the breakdown what he calls the fourth pillar, the next area of growth for the company. that and more ahead on the halftime report. here at td ameritrade, they work hard. wow, that was random. random? no. it's all about understanding patterns. like the mail guy at 3:12pm every day or jerry getting dumped every third tuesday. jerry: every third tuesday. we have pattern recognition technology on any chart plus over 300 customizable studies to help you anticipate potential price movement. there's no way to predict that. td ameritrade. man 1:man 2: i am. woman: ex-military? man 2: four tours. woman: you worked with computers? man 2: that's classified, ma'am. man 1: but you're job was network security? man 2: that's classified, sir. woman: let's cut to the chase, here... man 1: what's you're assessment of our security? man 2: [ gasps ] porous. woman: porous? man 2: the old solutions aren't working. man 2: the world has changed. man 1: meaning? man 2: it's not just security. it's defense. it's not just security. it's defense. bae systems. keeping the power lines clear,my job to protect public safety, while also protecting the environment. the natural world is a beautiful thing, the work that we do helps us protect it. public education is definitely a big part of our job, to teach our customers about the best type of trees to plant around the power lines. we want to keep the power on for our customers. we want to keep our community safe. this is our community, this is where we live. we need to make sure that we have a beautiful place for our children to live. together, we're building a better california. all right. back on the "halftime report" and oil is lower ahead of the opec meeting. brian sullivan is live at the opec headquarters in vienna, austria, with a look ahead. brian? >> well, thank you, scott. if you don't think that there is a lot of interest around the opec meeting, you can see when the oil ministers get out of the limousines, they are mobbed like tim kardashian in a global hot spot. you can see the iraqian minister there going in. and i will blast some of the a areas is the headquarters and that is right here and can the cartel survive? they are supposed to vote on a new oil secretary-general, and they could not agree on the last time, so they kept the old one. they want a new one, and you wonder why to care about that, taand the reason is that the secretary-general can be the go-between in any heated negotiation like for example between saudi arabia and iran who have their own goals, and they are fight ing fing for thel market share particularly in china, and we know what did happen or didn't happen in dohd, qatar, and so will the saudis and the iranians at least agree not tin crease production furth further, and the issue of iraq. and now, iraq have been pumping like mad. some numbers have iraq nearly at 5 million a barrday, but many oe people i spoke with said they cannot sustain it, and they have contract issues. and so by the way, if you are wondering about prices, we have come well off of the lows of $50, and some of the countries, they need higher price. literally, it is hard to get a moment with these guys, and we briefly grabbed the angolan minister who said that $60 sounded like a better number. >> what would be a good oil price for angola? >> well, it is okay, but maybe $60 per barrel. >> yeah, maybe $60 or $70, and we will see, because it is going to the increase the global demand or slow the production, and most of the slowing of the production globally is where you have been in the united states, and we have knocked off 800 or 900 barrels a day, because of what has happened a and the shale revolution. coming here, gentlemen, next time i'm bringing the najarians, and you can scrum around them, and i got hit in the head with a iphone, and the cameraman got pushed into the hotel vase, and it is a mad house, and bieber fever. >> and good eats over there, too. brian sullivan look forward to the coverage over the next 24 hours. >> who knows. >> brian is live in vienna for us, and the closely watched opec meeting. and how much does the meeting matter in the market? >> it matters if news comes out of it and right now sh, no news expected to come out of it either way. to me, opec was never a functional organization, because everybody cheated, and they did what they want to, and there were soft guidelines. it does not seem like saudi arabia, the big dog is going the go with anything, and $60 is not good for saudi arabia, because they will be breaking e en have with the social program, and so in saudi arabia, nobody pays tax, sok look, i think it is a decline. >> $50 is too much? >> too much too quickly. and looking at the pmis around the world, growth is slowing, and china is slowing, and europe is slowing as well. it hurt. >> the last time that brian took a junket overseas wu doha, and that doha trip crude oil was $39 and trying to make the surge through $40 and extend, and it didn't because nothing happened in doha, and very little is expected here to the your point. >> well, the risk is a surprise to the market for sure. >> yes, the risk is a surprise to the market or the downside. i mean, if absolutely nothing, and if saudi really digs in, the new oil minister in saudi, if he digs in here, judge, and says under no circumstances or words to that effect, you can see 44 in a heart beat. >> but nobody expects anything to happen, why would oil move? >> well, him jawboning it, and saying it and putting nit black and white in the press tomorrow if he indeed digs in like that, i don't know if it is going to happen. >> and there is a lot of incremental supply coming on, and brian mentioned the iraqi oil production at 5 million, and maybe it is unsustainable, but 4 million a day, is still a lot. you have libya coming back online, and canada with the oil sands production coming back, and there is a lot more supply coming. i see the downside risk to the price of oil here. >> and when you are talking about it, 140 bankruptcy s ies the u.s. companies, and those are companies that went bankrupt, and not the fields or the production, but that production is alive and coming back on by the way at a lower cost, because it got rid of the legacy costs, and you have to look for that coming back on. >> and the xle has held up. looking at the 200-day moving average, scott, and it is up. >> and up 11%. >> yes, a big run since march, and looking at the trade on the technic technical, and the specifically 200-day moving average, it is olding in extremely well. it is getting closer as we pull back once in a ill whooshgs but it is trading around 66, and the 200-day is the is around 64, and that going to stay something as well. we have seen some great paper on the energy names that are part of the xle as well. >> and jim and pete still own kinder morgan? >> yes. >> right. >> and the play, scott, it is not tied to the price of oil, and yes, sometimes the stock moves in conjunction with the price of oil, but it is also a play of the can economic activity in the u.s., and this quarter, we believe gdp growth of 2.5%, which is enough to increase the flow through the poplines, and that is how they make money, the flow through the pipeline. >> and so you think that you should hold on until the end of the year? >> yes. >> and now, yesterday, we talked about buying the michael kors stock, and you should have listened s. the handbag retailer back? plus, the auto industry braking, and what does that mean? we will take a break and look at the heat map of the s&p sector. everybody knows that business today is built on data. the thing is, most businesses aren't getting the most out of it. the ibm cloud is uniquely designed for all kinds of data. like data from the weather company for 2.2 billion locations. or billions of health-related data points. even social sentiment in real time from hundreds of millions of people. it's all in the ibm cloud. if you combine that with the data your business already has- then things get interesting. so right now we're working with a retailer to blend social and inventory data to help predict demand. we can help a hotel chain match weather and local event data so they can adjust room prices from minute to minute. and another company we work with can apply analytics to sensor data to save millions in energy cost. today, every business runs on data. that's exactly why we built the ibm cloud. and i thought, well, you need to go to the doctor. i was told that is was cancer, and i called cancer treatment centers of america. dr. nader explained that they can pinpoint the treatment. once we identified that there was this genetic abnormality in her tumor, we were able to place her on very specific therapy. our individualized care model gives each lung patient specific treatment options with innovative procedures that are changing the way we fight lung cancer. we have excellent technology that will allows us to perform very specialized procedures for patients who have lung disease. to learn more about these targeted therapies and advanced procedures for lung cancer, as well as the experienced physicians who deliver them, go to cancercenter.com when he showed me the cat scans, i was so amazed. with this treatment, she had a dramatic response. call or go to cancercenter.com. cancer treatment centers of america. care that never quits. appointments available now. back on the "halftime report" may auto sales rolling in, and the results are showing a lot of weakness. have we hit peak auto? phil lebeau on set with us. >> i think that a lot of people think that we have, and hit it last year. >> it is fashionable to say that we have now. >> and we have plateaued and moving down, but the may numbers, and this is a concern when we are seeing the sales rate earlier, is it is because of the calendar shift and so on, we may see more. >> and general motors down 18% in the may sales. >> yes, and gm will point out production issues and in addition they cut back on the fleet sales, and fewer sales to the hertz, and the avis, and the government agencies which is by designings, which what is you want for the investor to increase the profit per vehicle. >> and fiat is up slightly, but -- gm is down, toyota. >> it is what is happening with the cars. i would not call it a death of a car, but who is buying a dodge dart? if you look at the fiat car sales down. >> and you think because of the fwas? >> i think that it is a gas, and greater supplier of the crossovers and the suvs and more functional, and that i have options, and people say, look, they are more fuel efficient than ten years ago and not complete gas guzzlers, but it is a option. so what we are se sooing is clear, americans have shifted away from the car, and that is not coming back unless we have a huge spike in the gas prices. >> and the suvs are seen in a place that are normally where they don't see them. >> they call them mpv, multiple passenger vehicles. we have bigger roads, and bigger people, but it is a worldwide phenomenon. >> and in terms of the companies, and the lower sales to the fleets is huge, because they have lost money on those. >> and that is a shift to the general motors bull. >> yes are. >> and one of the only ones on the show. >> and the rest of the gang, there because they said that, look, it does nothing but in the end hurt us, so be more selective about how often we are selling the fleet vehicles, and drive up the profit per vehicle which is up at general motors. the stock is in the toilet right now, but if you are looking at the profit per vehicle, and look at the incentives relative to the average transaction price, it is among the best, and maybe the best in the industry. >> phil, i'm with you. >> and it is what the rest of the automakers are doing. >> you are kr preaching to the choir. >> and if you are in shotgun, why isn't the stock doing anything? you are on the story. down 16.5% on the year. >> i can identify great value, and i can't tell you that today, because i am saying that it is going to be going higher today, but however, over time, those numbers do lead to the stock price appreciation, and you have to to be patient with it. >> i don't know about that. the 5% yield is -- >> you don't know about the being patient with it? >> i don't about the argument. >> you don't like it? you think it is a value trap? >> yes, i think it is, and by the way, i have heard every auto company saying they are getting out off fleet sales so many times in my career, that it is the constant refrain, and guess what, they always go back. >> and they are doing it. >> no, the companies have done it, and then gone back to it. it is like a heroin, man, and instant gratification, and get the numbers up, so they go back to it. and sit down for now, and it is looking like the cheap stock, and the yield means something. the stock down 3.5% today, and -- >> so we are not day traders. >> i am not saying that you are, but the yield doesn't support it. >> and any trader, you are unhappy, too. >> and the fact is that it is nine months of you waiting on the 5%, so i don't go for the yields. >> and what about the idea that if there is a slowdown in cars here that other markets say c i china are going to help general motors, which is one of the pillars of the david einhorn that we heard at the ira zone? >> well, it is ford, and chrysler, and chrysler just starting with the jeep, but you have the domestic automakers in china coming in at the low end of the suv market there. and so now you are kind of trapped h into the higher end of the suv market. you are growing, but they are going if be seeing more and more competition from the companies like great wall who at the current pace, they are on the lower end, but looking at the margins from the gms and the mercedes, and they are saying, i want those margins. so eventually the question is do they start to come up to that market in china? >> and the fact is that they have stolen so much demand from the financing, and subprime financing is a bubble, and so you have stolen the demand now while financing is cheap, and you are seeing it slow. >> i love the o have you here o the set, phil lebeau. and now, marc faber predicted a pullback in the markets, and where does he stand now? does he see opportunities? he does. he will tell us where. and the longest growth period said one analyst of amazon, and we will debate with the stock and the all-time highs. thank you. imagine if the things you bought every day earned you miles to get to the places you really want to go. with the united mileageplus explorer card, you'll get a free checked bag, 2 united club passes... priority boarding... and 30,000 bonus miles. everything you need for an unforgettable vacation. the united mileageplus explorer card. imagine where it will take you. welcome back to the "halftime report" and sue with the latest headlines. >> hi, scott. this is what is happening this hour. appeals court is rejecting new york financier's appeal for her fraud case. it allows the regulator to resume the case against tilton. nissan is recalling 80,000 path finder suvs in the u.s., because the brake likes can stay on even when the vehicle is not moving. north korea held a giant rally of tens of thousands of people in the capital to show support for the recent party's congress. and they recently took steps to block access to the u.s. financial system. and novak djokovic became the first player to reach $10 million. play in france was suspended because of bad weather, and he is the number one player in t tennis. quite a whilestone. >> and to go with the endorsements and everything else. >> we are. >> and sue her rare rashgs and the stocks are under a little bit of pressure fighting back the flatline though, and they do remain the percentage points of the all-time highs and the last guest was with us for the beginning of the year and predicted a pullback of the market, and this is what the famed market prognosticator said back them marc faber. >> a drop would be conservative, and so we will see in the six months' time who is right. >> and well, mr. fab ser back with us, live today from boston, and marc, welcome back to the progra program, and nice to have you with us. >> thank you, thank you. >> and the stocks obviously fell for a period of of time until the february 11th bottom and they did not fall as dramatically as you thought that they would, and are you surprised that they managed to come back in the manner that they did from february 11th? >> well, not really, because we have a lot of the money printing all around the world, and i think that the markets are to a large extent manipulated by the central banks and not necessarily the federal reserve, but also the ecb, and the bank of japan and so forth, and so the stocks are kept artificially high, but as the aside, i wanted to mention that the russell 2000 which peaked out in june 2015 at the february low was down 27%. ibb, the biotech etf is down 30% from the peak. and so, actually a lot of to stocks have gone down substantially. but the few shares like amazon have actually kept the indices at the relatively high level, and what also happened that gold shares, mining stocks started to rebound last december, and especially oil stocks are for january and february of this year. and the oil stock increase also support supported the market. >> so what is going to happen now? where does the stock market go from here? with the backdrop now that we are six months from the last appearance of the last program, and you say that central banks have kind of juiced the markets and we get it, and now we are starting to think about the fact that they are taking the foot off of the gas further, and they may hike, and the fed may hike in june and july. >> yes. >> and what does that mean for the stock market? >> well, i basically think that the market is fully valued if you are looking at the price to sales, and price to earnings, and so so forth, and if you are especially looking at the global economy which is deteriorating, the outlook, and it is not improving and even now you just talked about the auto sales in the u.s. the u.s. economy is basically flat at best. and some sectors are actually declining, and you are looking at the retailing, and it is not doing well, and it is not just because of amazon, but because of many other factors. the average american doesn't have much money left after paying for obamacare and for rising rents, and rising food prices and so forth and so on. and so the global economy is not doing well, and the earnings will be still under pressure. what is interesting if you look at the bond market, the bond market has been holding up reasonably steady, and since january indicating that the bond market doesn't believe in a very strong economy. so what is going to happen now, i don't know for sure, but i think that stocks also given the candidates that we have for the next presidency, given that, i think that the stocks are very vulnerable. >> so to what kind of a pullback do you think? >> well, as i said, and i have said it for a long time. may 2014 was essentially an important high point. can we exceed it somewhat? possible with a handful of stocks still being strong. the -- i would rather focus on the groups. i would look at gold shares. some gold stocks which we recommended by the way such as american barrick went down to $19 so we need a correction there to around $12 or $13, but some of the stocks have a huge upside potential as well as the prize of platinum, gold, silver. i also believe that oil servicing stocks became extremely depressed 3 to 6 months now are in a bottoming out phase, and thereafter there is going to be some decent price gain gains. >> what upsets your view, and you say that the stocks are vulnerable to a decent pullback and what causous to be wrong? >> well, if you are printing money, say, if qe4 comes, and or if helicopter money comes which is not unlikely eventually, and maybe not right a wway in the election year, but it is likely to happen in future, if these things happen in nominal terms, the stocks could go up, but i would just like to emphasize that in my view, something interesting is happening right now. or over the last few months, and the money printing now seems to be lifting the rate of price increases is quite dramatically and looking at the rents, and looking at health insurance premiums, and so forth, and so the cost of living is going up, and so maybe stocks go up in nominal terms burk in real terms, they are going down. i would rather have a large position in the precious metals and in selected commodities. looking at the price of soy beens up 25% since march. a lot of the agricultural commodities are attractive, and if i look around the world at the sectors, food stocks are performing well, and i think that they will be a much more food companies in emerging economies and like that sector, and commodity producers is such as vietnam and thailand which is essentially an agricultural country. >> and the last question, what is the biggest personal investment that you have right now? >> well, the biggest personal investments were in vietnam in a hotel and in real estate, and the second biggest position is basically as a sing ular positin is in gold and treasury bonds. i have a loft the fixed interest securities, and you know, people say that i am bearish, but i am 25% of the assets are in equities. so i am engaged in the equity markets, and i have to say to my pleasure surprisingly to me, my equity portfolios, all of them are up between 8% this year, and 13% in the first few months of this year, because i have positions in the right stocks in thailand and in vietnam. >> that is my last question, and i thought of another one, and when you say treasuries, and you think that they are attractive and some people say that treasuries are more expensive than stocks. >> that is the view of some people which may be true. but i look at treasuries as an al terntive to cash. i prefer to own treasuries than cash. i look at the treasure ris compared to say german bonds, and japanese, and jjbs that have a negative yield, and the swiss, i am looking at the 10-year yields on the swiss government bonds compared to the other government bonds around the world. u.s. treasuries are very attractive actually, and very attractive and unless you have a bearish view about the u.s. dollar which is eventually the dollar will collapse one day. but maybe not against other currencies. >> i appreciate the time very much, and enjoy the back and forth. >> it is my pleasure. >> the pleasure is ours. >> and by the way i want to tell you that a year ago i was in boston and it was the coldest day in 100 years, may 31st, and this year, we have the most wonderful weather here. >> well, stay cool, my friend. marc faber joining us once again. >> buy carrier, the air conditioning, and heating and cooling, and you got it. >> everything defensive is what you are hearing from him, right? >> where does he have the equities? in mining and food stock, and going to a loft places to hide where he is an equity exposure, and trying to put it in the various places and going after the treasuries here versus trying to find it elsewhere. >> i agree that the market is fully valued in the multiple with the earnings coming down, and that means that it is staying where it is and the multiples are expanding, however, i don't see any event that taking you down 20% to 40%, and you can always cherry pick a sector like biotech which is doing well lately, but you don't see the events down 20% to 40%, and frankly, i'm comfortable with the market, and taking the risk off, but i don't see a collapse, and it might be a slow bleedoff actually. >> and jeff bezos calling one area of the business a fourth pillar of growth, and where he is seeing the opportunity next. and coming up on the break, the dow heat map. there it is, taand the halftime report is coming back after this. >> the halftime report is the place for market-moving interviews. owen! hey kevin. hey, fancy seeing you here. uh, i live right over there actually. you've been to my place. no, i wasn't...oh look, you dropped something. it's your resume with a 20 dollar bill taped to it. that's weird. you want to work for ge too. hahaha, what? well we're always looking for developers who are up for big world changing challenges like making planes, trains and hospitals run better. why don't you check your new watch and tell me what time i should be there. oh, i don't hire people. i'm a developer. i'm gonna need monday off. again, not my call. i'm michelle caruso-cabrera and we have a jam packed two hours of power lunch starting in 13 minutes. from the google conference in california, we will talk to our guests, and plus lululemon is not liking the way that the fou founder is running the company, and so he wants more changes. >> and the beige book is out at 2:00 p.m., and the fed is driving the markets, and it is all coming up at the top of the hour. >> great stuff. i can't wait for that, michelle, ten minutes away. and let's talk about nat gas and with the oil sliding, jackie deangelis with the futures trading. >> well, it is hard to focus on the nat gas with the futures that we have been seeing, but they are close hg in on ting ine of t of the season and everybody is in and cranking the air conditioning. >> yes, and it is iorio who does like to wear the tank top, but the gains each day is due to fact that we have warmer weather coming in june, and so right now, resistance overhead, and look at the supply, jackie, because it is 2 trillion in storage right now, which is 77% higher than last yeesh and 15% higher nan the typical five-year average, and so there is resistance ahead. >> if we have the stock bouncing up, and what are the levels to watching jim? >>le with, okay, i'm not going to be convinced that this five or six-year period of pummeling the nat gas is over. it is a nice short term move, and i have 2.45 as the target on the upside, but it has to settle above 2.55 for a couple of days in a row for me to think that anything is materially changing in the medium-term, and i looked good in the tanktop that jeff mentioned by the way. >> i bet you do. jim and jeff, thank you. meanwhile, the live show tomorrow, scott. make sure you join us on futures now. >> thank you, jackie. >> oh, that is tough to follow. >> and now, may is up in the biotech, and the experts will debate the rate coming up. and over to the board, joe terranova is holding the lead over dr. j. >> damn it! great time for a shiny floor wax, no? not if you just put the finishing touches on your latest masterpiece. timing's important. comcast business knows that. that's why you can schedule an installation at a time that works for you. even late at night, or on the weekend, if that's what you need. because you have enough to worry about. i did not see that coming. don't deal with disruptions. get better internet installed on your schedule. comcast business. built for business. amazon shares hit a new high this week. they call it the best long term growth story, period. the ceo, amazon's ceo, spoke last night at the code conference in california about what the company is working on beyond its vast retail operation. >> i think of them as little seeds we planted. and we'll see will they turn into big trees? >> amazon studios. >> i think amazon studios could turn into a fourth pillar. it's possible. what we're doing with the natural language understanding, that evolves into an artificially intelligent agent. they seem very promising to me. >> okay. so what -- i know so the valuation is the central question whether you discuss this story. but the fact that mkm comes out and says they're by far -- just the best growth story, period, that we could find. fair. >> what is the sampling? >> yes, it is a phenomenal growth story. the cloud business came out november where. now they are the ones to beat in the area. and that is just growing like a weed. everything they touch grows. >> since you didn't read the note, i'll fill you in. >> i didn't know what the sampling was in terms of other growth stories zbhchlt oh, i know what you meant. >> let's not go there. >> the next language they're doing, judge, is pretty amazing. i mean echo and so forth. that is amazing. a lot of what jeff bezos does is amazing. but as a trade, i love it. as a long term buy and hold, i just haven't been able to do that. i haven't been able to wrap my head around it. same reasons as steve and i. >> do you worry about the so-called, if you want to call them that, moon shots? just because all the other things that he has going on? >> no. look, i think the company is great. it is the gratest growth story out there. the stock is a different story. now this is a company that has choppy earnings. it seems like once a year they give you an opportunity. we had one earlier this year. maybe we'll get another one later this year. if they miss one earnings, the stock sells off, 150 points, that's actually a great opportunity to enter the stock. and this time i'm going to hold myself it to. i will enter it. >> it sells for $150. but you're a value player. that's selling at only 100 or 200 time earnings. >> no, it's selling more like 45. >> so the portfolio is selling it 100 time earns. >> okay. that's hilarious. >> okay. we'll take a quick break. one analyst told you on this show yesterday there was a big opportunity in michael kors ahead of the earnings. should have listened. the trade is next. we'll see what the folks think. ♪ ♪ (singing) you wouldn't haul a load without checking your clearance. so why would you invest without checking brokercheck? check your broker with brokercheck. welcome back to "halftime report". there is a look at michael kors stock up nearly 7% after earnings yesterday on our program michael jeffries upgraded the stock and said to do this ahead of earnings. >> there is a much bigger growth story ahead. we think the stock valuation very attractive. we will be buying the stock here. >> she was right. the stock is up big on four times normal volume. the net sales were up 11%. retail is up 22%. it was $1.2 billion in total sales. only 576 million that was retail. >> i think the stock was down something like 16 or 19% month to date going into the number. just to put some perspective on this nice gain today. it has a lot of room to go. is it back? >> year to date, it wasn't down -- like you say, i was down from the highs from the recent highs when it was up there sordz 60. and now bouncing at the 40 level and looking like it's back. yeah, i'd say based on these numbers, the e-commerce numbers even with the amazon putting pressure on them this one is doing well. >> let's spend the last minute of the program talking about biotech, steve. the ibb was up 4.5% in may. >> yeah. >> best month since october. and the third straight monthly gain. is this sector back? >> i think sector is back. we're seeing consolidation picking up. that is one thing that drives it. plus, the sector had a five year bull run. starting last july, it starts to come off. it came off hard. i was down 30%. so it's not going to -- severing not going to rise. but there are plenty good stories out there. and, frankly, i don't think anything is gob to happen with pricing that's going to affect biotech stocks, not to say pharma. that is a different story. i still like it. >> doc, the names you like? >> advi and relepsa. that is rrlp i think is the ticket. rryp. >> i think you have a lot of reasons to folk us in on the sector. >> good stuff. >> been fun. >> and funny. "power lunch" begins now. ♪ running on empty ♪ >> a speed bump for auto sales after several months of big gains. is this industry running on empty? minimum melissa lee with tyler mathisen. we start this hour with phil lebeau on the not so great numbers for auto sales. phil, lots of numbers. is that ligit? >> that's a ligit comparison month to may, may of this year to may of last year. there are a lot of issues coming up on the sales numbers. these are not pretty numbers. take a look at what we saw from the major automakers. double digit declines. gm is down 18%. lo a

Related Keywords

Vietnam , Republic Of , New York , United States , Canada , Qatar , Doha , Ad Daw Ah , Japan , Germany , Iran , China , Boston , Massachusetts , California , Austria , Angola , Thailand , Iraq , Saudi Arabia , North Korea , Libya , Vienna , Wien , France , Switzerland , Saudis , Americans , America , Saudi , Angolan , Iraqi , German , Swiss , Japanese , American , Iranians , Stan Smith , Marc Faber , David Einhorn , Jeff Bezos , Novak Djokovic , Steve Weiss , Jackie Deangelis , Jon Najarian , Michael Jeffries , Joe Terranova , Morgan Stanley Jay , Sheryl Sandberg , Tim Kardashian , Melissa Lee , Phil Lebeau , Brian Sullivan ,