strength in the dollar and weakness in the euro. before we go down for market reaction, simon hobbs has been gracious enough to join us here on set. he has the very, very latest on the greek situation. >> absolutely, absolutely, trish. these live pictures from greece a march by 30,000 private and public sector workers turning violent. throwing petrol bombs and pelting police with missiles. after they set fire to the bank in theter of athens three people burntd to death. police beating off attempts to stall parliament as inside the ruling socialist party and hiking the sales tax to 23% in return for that eu and imf cash. angela murkler telling them it was a fault in the road and this was nothing less than the future of europe at stake.

that other countries across the euro zone will be hit unless the rescue succeeds on the streets of greece. the risk of contagion hammered home this morning by moody's announcing the likelihood it will downgrade portugal's credit market is raising. rapidly becoming a one-way bet for many and the cost of borrowing across the euro zone is beginning to rise, an indication of the growing crisis that slowly seems to be throughout europe. >> these are militant union. they're not just workers. they're militant unions. the question i have, and i know the answer. where is margaret thatcher and ronald reagan. you know, margaret thatcher said the problem with socialism, you run out of aother people's cash. you need a strong leader and i don't see it on the horizon. on thursday, and that may

influence the german legislatures to vote -- >> nobody is telling the truth to the british people. if you look at what the independent think tanks are saying maybe 10, 15% of the austerity has been detailed and whoever wins on thursday, actually, arguably, doesn't have a mandate to follow through. >> you could argue the same thing right here in the united states. that we should be implementing some kind of austerity program. >> think they are sending a message, i agree with you it's a vague message, but there have to be cutbacks in spending. >> provided they're elected, larry. the people of europe repeatedly say no. >> listen, if the people of europe vote against the bailout package, let's take germany. i can't blame them. i can't blame them. and i think that's a key factor. my point is -- >> one of the key factors, i keep going back to this. i question the euro from the start. when you have so many countries with so many different political systems how can one currency

really trump all of it. you look at portugal, for example, that is a currency that hurt them when they got the euro. >> it's actually our attempt to better our selves and to work and to trade and to live -- >> i'm for europe. i think the euro and the free trade is a good idea. >> if you did tell a country like portugal. >> it was never enforced. >> i agree. >> that was the issue. you're going to see a voter revolt. voter revolt against all this spending and borrowing. that's coming. that's going to be a big message and the german parliament has to vote on friday, simon. that's going to be a huge, huge vote. unbelievable vote. let's move on. >> thanks so much. i'm actually heading to portugal tonight. maybe i'll call in and give you an update. >> i think you should do that. we want to get on to market reaction here bob pisani joining us from the floor of the new york stock exchange. hi, bob. >> nobody in the uk has a

mandate because nobody has explained the austerity measures that are coming. we're trading in lock step with the euro and the european markets. about $1.28 just as our markets were opening about 9:30 eastern time and as rallied and as we have seen a rally, our markets have stabilized. deutch bank, they all traded lock step this morning. they traded early as our markets started opening here. the rest of the market moved along with them. hard to describe how much these stocks have dropped. look at the one month of the deutch bank. they're down about 20%, that's a straight slide down essentially just in the last two and a half weeks or so. how about some of the retailers. retail sales out for april in just a day here and imagine trying to trade some of these. tjx they all rallied off the bottom. up on monday big time and down big time on tuesday and now back up again on wednesday.

if you look at a four-day chart, all these charts look the same. you're basically back where we were on monday. after this gigantic roller coaster ride. they trade little more volatile than the overall market. same situation with coal stocks. massey came off of its low. look at that. v-shape trade here as we open the markets here. same with the home builders. high beta names, very volatile and a lot of price swings throughout the week and still down on the day but still moving towards the flat line. >> thank you very much, robert. greece is the word for all volatility in the stock market. the vix up double digits again today. there it is up 5% to 25.02. so, our question right now is, how do you play these volatile markets? joining me scott raedler chief strategic officer and mark

travis president and ceo of intrepid capital management. i want to know how you play this? >> the same way we always do, from the bottom up. we turn over rocks looking for a special situation whether there is a discount for what the private market and on the fixed income side what the bankers should do which is try to figure out how to get paid back. short term high yield lender and small to mid-cap equity buyer. with the markets up 50% to 70% year over year they're not giving things away like they were last year. hard to come up with things that we think are meaningful investments at this point. >> scott, what does your average investor do in this kind of climate? market up so significantly to rally, and i say rally back because we're down 47 points right now not the triple-digit

losses that people thought would continue on through today. how do you navigate it? do you stand on the sidelines or jump right in? >> we are a trading community and we don't represent investors, so, as traders, when the volatility hits, that's when you need to be prepared. that's when you get prepared. the tortoise rally that we had, that game is off. now, it's time to get involved in trade stocks at key levels. at this particular point we believe we're in the midst of a correction and it's already under way. we're off 5% off the highs and we think it can continue lower. as we go lower we look for spots to get involved in the leaders of each sector. >> let's talk about those leaders. i saw a couple of the picks you like bp, apple. what is it that is attracting you to some of these companies right now? >> this morning we actually looked at jpmorgan. the banks got hit hard and we

looked for an opportunity to buy it this morning when it was lower. i think it's up now. we're looking at apple. apple had a great report. it was up at like 270, 245. we are looking to trade for opportunities to get involved. we don't like to buy stocks at their highs, we like to buy in basis. as far as bp, great example of overemotional volatility. we weren't caught in the downdraft but after that spike in volume and volatility down in the 48.5 level we bought it and trading it back to 52.43. that's the way you take advantage of volatility and emotion. >> do you every trade the vix itself? >> larry, i don't. in our long-term partnership i have taken position and in our mutual funds, i do not. i look at it as a view of complacency. keep in mind it's been eight weeks up until now with straight up markets. so, you know, that's an indicator of complacency to me

and it's certainly less so today than it was last week. >> gentlemen, we have to leave it there. we have breaking news we want to get to. julia boorstin in los angeles with one of the oldest magazines. >> trish, the "washington post" is exploring a sale of "newsweek" magazine. to potentially sell the magazine that has been losing money since 2007. last year the magazine lost over $28 million. suffering from the industry-wide decline in magazine ad sales and subscriptions. bought by the washington post company in 1971. the post company redesigned the magazine going after a higher end audience just last make. chairman of the washington post company said in a statement this morning that despite heroic efforts, they still expect the magazine to lose money in 2010 and they are exploring all

options to fix that problem. trish, back over to you. >> all right, julia, thank you very much. >> wow. when we come back, goldman sach's ceo trying to reaffirm his clients. with questions be raised about blankfein's future, we'll see if he can survive this storm. plus the ceo of freeport-mcmoran. we'll get his take on gold and copper prices. you're watching cnbc.

all right, folks, welcome back to "the call." everybody loves pizza, right? but when it comes to pizza stock, a real battle. take a look at dominos versus papa john's today. back-to-back earnings report. yesterday it was domino's and both companies beat, but the performance in the, mat today shows a big discrepancy. interestingly domino's ceo on with jim cramer and they're talking about sales online are a quarter of their business.

papa john's with a beat, but a disappointed reaction in the marketplace. trish, over to you. >> hey, mr. nesto, thank you very much. lloyd blankfein set to hold a 1:00 p.m. eastern conference call with the wealthiest clients in the fraud. powerful goldman alumni are discussing whether blankfein can survive the legal and pr firm he's facing right now. shares down and they're actually trading pretty much with a flat line today. 149.60 a share. big question is, can blankfein survive this storm? joining us right now george and matt mccormic, banking analyst. great to see both of you guys. chris, what's your take? yes or no? >> i don't think he can survive this. what's happened at this point when we talk about leadership, three issues here. there's people, there's profit

and there's principals. in this particular case, i think he has to go. the fact of the matter is he's failed on leadership and in order for goldman to tu turn around, he has got to go. >> has he, in fact, failed in leadership? the firm is highly profitable and they made brilliant decisions to protect themselves on hedging risk back in 2006 and 2008. and we don't know if the sec fraud case will amount to a hill of beans, matt. what is the bill of indictment against mr. blankfein really? >> i agree with your point here that i think it's premature to ask him to resign right now considering we're very early in this allegation phase with the sec. the sec has a very poor track record of prosecuting these cases like with bear stearns. if you look at in firms of leadership he still has the support of his shareholders and also has the support of his employees. he's done a very positive job since ceo for the total return

of his stocks since he became ceo in may of '06. the s&p financials are down 37%. i think here what could happen is he could actually come out better than expected if he executes a deal that is the benefit to goldman sachs and he settles for less than expected and he could be in a position where he comes out as a strong leader. bottom line, it's premature. >> i'll play devil's advocate here that he allowed his firm's name to really be just taken right through the mud. >> there's rrb no question the buck stops here and he is, ultimately, the captain of that ship. and if i had to say down the road what could happen, sure, 50/50 percent chance he may not be there. let's give him that chance. he may be able to negotiate a deal that is a benefit to the shareholders or employees. his fate is yet to be determined and public opinion is certainly decided but right now the sec, i don't really have much confidence in them and i think

right now, let's see how it plays out before we get rid of them. >> banker bashing is the way it goes right now. all coming out of washington. i'm not sure mr. blankfein has to take the wrap for that. christopher, let's have some fun here. hank paulson former ceo of goldman sachs and former treasury secretary. what is your take on mr. paulson returning to ceo? >> absolutely not. >> i just think -- mostly by me, but whatever. >> there are a whole lot bunch of conspiracy theorists out there and one of the dangers perhaps mr. paulson coming back is that it kind of gives more fuel to that fire where people are saying, hey, well, no wonder goldman is doing well, they're in bed with the government. what is your take, chris? >> i agree with you 100%. i think that is exactly the problem. if, in fact, he comes back, it does look like, i'm not sure if

he comes back from a leadership position it's not a difference as far as i'm concerned. >> matt, let's leave paulson alone. but let me ask you structurally, there are some people saying goldman needs a banker, an attractive banker and good spokesperson at the sort of most visible spot at the head and goldman needs more of a customer's man rather than a trader. what are you thinking on that? >> i think what's interesting, those points are relevant. but next week you see a possible split between ceo and chairman. that could be a bone to the regulators and people looking for some type of acknowledgment from blankfein that he has to do something. from a litigation standpoint. if i'm goldman sachs i don't want to do too much to look like i'm guilty but play the pr game better and look like you're

trying to acknowledge the pr storm here. you have a pr storm and court of public opinion but the facts are that he's yet to be tried. i think there will be a settlement and probably north of a billion dollars. >> christopher, you trashed my first one, how about rom emmanuel. i hear he's looking for a job. that's the ultimate political play. >> but i think the only way that would work, larry, is if he points at people naked. i think if he does that, then that probably may, in fact, bring the stock prices up. so, lorry, i don't think that is going to work either. >> i have a lot of other names, buddy, but we have to break. you guys are terrific. up next here on "the call." navigation device maker garmen seeking big profit losses into q1. earning central why the companies hit a road block. in an exclusive interview

with richard akerson, we'll give you his take on the devastating gulf oil spill. you're watching cnbc. anncr vo: with the new geico glovebox app...

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the stock to battle for the day. take a look at intermune. it is down 80% after regulators denied approval. that surprised analysts given that an fda advisory panel recommended the stock back in march. a loss of 34 bucks a share at 10.62. not looking good. we want to send it over to larry at earning central. >> so, michelle caruso-cabrera how is our recovery doing this morning? >> looking pretty good. not getting the reaction from the stock but the bottom line and top line, things are okay. time warner, they beat, when it came to burnings, very strong beat. 61 cents versus an estimate of 41 cents. revenue was better than expected and here you can see the move today is a decline of little less than 1%. i'm going to go with the red line instead, does that work better? yes. time warner intra day they're actually seeing an improvement in advertising in film

entertainment and video sales of "the blind side" helped them out and publishing continuing or reemerge finally. pulte group. the biggest home builder. down 1.5% today. but still up 20%, 28% year to date. one of the biggest gainers in the s&p 500. they say the recovery continues this quarter. their loss narrowed. here's the crucial news. they think they will make a profit this year. analysts had estimated that they were going to lose 40 cents per share this year. look at that bottom right there. inventory repairment charges. really fancy way to say all that land they bought, a year ago they had to write those down by $400 million in value. this quarter only $8 million in value. still not nearly as bad. garmen, these are the guys that make the cool items you put in your car and then you're never lost. they're getting hammered because now you can get those things for free in your iphone and your

google phone and your blackberry, et cetera. they're seeing the secular loss of sales and in addition, they're seeing other competitors get into their space, as well. stock is down 7% right now. it was down as much as 10%. >> michelle caruso-cabrera, thank you very much. trish, over to you. when we come back, finding value in a volatile market. cnbc exclusive with the ceo of freeport-mcmoran. we'll get his outlook on gold and copper. his company has two oil rigs out there. so, he'll have an interesting perspective, a valuable perspective on this. you don't want to miss any of it. you're watching cnbc.

welcome back to "the call." i'm trish regan. the dow rally back towards the flat line after getting severely hammered earlier in the session amid all these concerns about a greek debt contagion problem, really spreading throughout all of europe. there is word that moody's may downgrade portugal. a lot of concern about the european markets. not having a tremendous effect on the things here in part because of the adp report coming out now showing an increase in the number of jobs added to the economy. in anticipation of friday's job report. investors looking ahead to that. we are still in the red among all three indices, even though

we have climbed back considerably. look at europe right there, all down 1%. except for the dax. ceos of the world's biggest companies are gathering in washington, d.c. freeport-mcmoran is one of the companies in attendance. the stock has surged in the past year, great numbers posting there. that coupled with the rise in gold and copper prices. freeport in the blue up nearly 40%. gold prices in the orange up nearly 30% and look at red line representing copper. prices around 45% gain, although in truth, commodities including gold and copper have been correcting down as the dollar has been rising against the euro. anyway, our very own tyler mathisen is at the business council and he joins us with an exclusive interview. hi, tyler. >> richard akerson is the ceo

and he pointed out your good friend was their speaker last night. good to have you here. copper has been on a tear largely because of chinese demand, but it has softened and come down in recent days, partly because china seems to be taking some steps to dampen its economic growth and hence demand. is this a breathing spell or something more long-term and worrisome from where you sit? >> not long term. long term china, the rest of the developing world is going to have significant requirements for copper and as recovery occurs in the developed world and we're seeing some signs with our customers here in the united states now still weakness in much of the economy, but some signs of improvement. as we go forward, the combination of that is going to create a great demand for copper and we're very optimistic about it. >> most of your operations are outside of the united states, certainly not in europe, but i know you must be keeping at

least one eye on europe and the developments over there. it has resulted in a flight to gold. gold's price going up. talk to me about europe, the unrest in greece and what it means to the price of gold and commodities overall. >> well, tyler, actually, we have significant operations here in the united states. about a third of our copper production is here and we supply almost half of the copper rod to the u.s. markets. we also have a copper smelter in spain and we do sell copper into europe. and we operate around the world. >> how concerned are you that european demand may fall as that region sort of suffers? >> well, the overall issue is the global economy. is the global economy and that has been the issue since 2008. and copper is closely correlated to industrial production in the developed world. so, for the copper demand to

recover, the global economy has to recover now with issues in europe, greece is not a significant consumer, obviously, the issue is what impact does that have on the rest of europe and the rest of the world. >> let's bring in trish regan for a question. trish? >> i just wanted to ask him, there is word that australia is imposing a 40% tax on mining profits. your thoughts on that and any concerns that this may be the beginning of more taxes worldwide for mining. >> well, we don't operate in australia, trish, but this issue of the government participating in mining projects and the profitability and the economics of mining operations is something that's been around for some time. it's issues we all have to deal with. you know, first to ensure that governments in host countries have a fair participation and then try to respond when that goes too far because it can

result in dislocations of where does it make sense to invest and do business. >> tell me about your world sales of copper and gold. is there a global boom? you mentioned europe excluding greece and you seem to leave out the rest of europe and maybe they're doing better than folks think, usa, emerging countries, asia. how do you see it from your vantage point of selling copper? >> well, china drives the marketplace, larry. and it has gotten increasingly important starting in 2003 and going forward. it's china's use of copper is just under 40%, if not at the 40% level where as the u.s. has dropped to about 10%. so, we've got two-thirds of the world's market essentially outside china and it's been very weak. but when we look back to where we were a year ago with all of the uncertainties then and see

where we are now with the functioning financial system, with some pockets of demand recovering, we're getting encourag encouraged. as a result of that, we announced with our first quarter earnings release that we are resuming production from some of our curtailed production here in the united states. we're hiring some people in arizona and we're undertaking significant studies now to do major expansion projects. so, the world has changed from a positive standpoint over the past year and we're encouraged. >> you are co-chairman of a separate company, an oil and gas exploration company. fr freeport exploration. >> mcmoran. >> which has exploration in the gulf of mexico. does this oil spill affect that company and what is your broader take on how damaging this spill may be specifically to the future of offshore drilling in

the gulf. >> first thing we think about is the tragedy. the fact that oil field workers, comrades of ours lost their lives in this event and the environmental situation is something of concern for the industry and the people of the gulf coast region and for all of us. so, everyone's focused on how do we respond to that situation. we don't know the facts that led to this, but that will come out as time passes. we do not operate in the deep water of the gulf where this incident occurred. our operations are on the shelf of the gulf and we're drilling very deep wells there. >> close in. >> it's shallow waters of the shelf and the operations there are more consistent with traditional operations in the industry in terms of the technicnologies that are required to drill in deep water. tens of thousands of wells

drilled safely and everyone wants to learn from this situation but not losing sight that operations have been conducted safely there and the gulf of mexico has been and will be an important source of energy for the country. >> thank you very much. continued good luck to you. >> thank you very much. >> larry, trish, back to you. when we come back, value investing. we'll be joined by a guest that says, buy and hold. we like that. >> i guess. >> that's the way to play the market volatility. he'll share his best stock picks with us. jimmy cane among the host of bear executives testifying on capitol hill. he is set to begin his testimony this afternoon. mary thompson will tell you what he's going to say.

nike says it expects its revenues to rise by $27 billion by 2015. its namesake athletic merchandise and fast growing brands like converse. darren rovell will talk with charlie denson in power lunch. right now nike is trading down about 1%. not so pad. >> not so bad. finding value in today's

volatile market. our next guest managed $4 billion and has been in the value investment game for two decades. returned an annualized 8% in the past deck atd compared to the slight negative return. where are your best value plays right now. joining us live from the value investing congress in pasadena. okay, tom, what do you like? >> trish and larry, today is a great day for global value investing. it's not a very great day for global value investors because we have to endure the declining currency and the occurring chaos and share prices around the world. today is a pretty bleak day in the markets. it's accordingly great time to be investing abroad. the international areas is the area that i spend most of my time focused on. you have popules growth, income growth and the increasing

preference for consumers to move towards brands and to advance. it's really international story. >> when you say international, are you talking about europe right now or some of the more emerging market areas? >> well, european companies are the focus of my investment. a host of international companies based in europe and the valuations are low because the fear over europe in declines and to invest to develop their brands in emerging and developing markets. it's really both stories. >> you went through that one pretty fast. i want to ask you some more. which ones did you put on the table? >> well, i would say nestle is a global leader and rich balance sheet and strong brands and has been in those markets all over the world for the past 100 years. they have brand equity and become aspirational and people have incomes to spend. >> you mention unilever. the beverage and the beer

companies whether it's heineken and the spirit industry and brawn foreman is based in the u.s., but still enjoys exposure to those markets that are growing. >> what else do you buy? >> well, philip morris, to target the same consumer and in the u.s., berkshire i think is our largest holding. that is a domestic story. the fact that europe is as weak as it is in some measure the consequence of the fact that economic activity is growing in other parts of the world. you want to make sure you stay with where the growth develops and where the consumers will grow. >> you are talk about buying some of the european companies right now at a time when the country is clearly struggling. you look at what the markets have been doing of late and it doesn't seem like a trend that will stop tomorrow. are you advising that investors jump in right now or that they maybe wait it out a couple weeks

while more downside continues potentially to happen. >> you just can't know that. you can't tell the timing. one lesson i think about is roethchild who said there is blood on the streets. in greece you're seeing riots on the street and in spain, i'm not sure how they're handling this recent downturn but a severe discrediting. the flip side for american investors, understand, that very little place to hide. if you want to tap those same markets through coca-cola or colgate, palmolive. confront you as an american investor with u.s. companies. you have to look at for the best management teams and best commitment to growth whether they're u.s. based or internationally based. >> from the standpoint of value investing, how did you handle the meltdown in stocks in early 2008, 2009? do you hedge?

what do you do? >> i sold a tremendous number of u.s.-only domestic companies. in '08 particularly, the emerging market story deflated and the international global companies went down considerably. so, we rotated capital from reinvestment opportunities to global companies who share prices went down in an exaggerated fashion because the emerging markets collapsed. >> tom russo, thank you for helping us out. "power unch" is coming up at the top of the hour. sue herera, what is on your plate? >> take you back to the business summit in washington and talk first on cnbc with jim owens about the economy, the global economy, especially in the future for his company. then we have another first on cnbc, which you mentioned, larry. darren rovell's live interview with nike. it's the first ever in terms of three years or so. they have been very quiet about

that. tiger woods, of course, hits a major slump. what is the impact on their business? talk about business, the art world is all a twitter because a pucaso painting has set the record. we'll talk about what that says about the health of the economy and the luxury market. trish, back to you. when we come back, lawmakers holding hearings on capitol hill this hour on into the unregulated banking system. jimmy cayne getting ready to testify minutes from now. plus, the market call heading into this afternoon's trading session. please, stay with us.

welcome back to "the call" with your daily realty check. mortgage applications rose 4% last week to the drive to the home buyer tax credit. purchase apps up 13% and the government share largely faa rose to over 50% of all purchase applications.

pulte homes posted a loss of 12.5 mlt$12.5 million but that than expected. due to stabilizing home prices and a better economy. the ceo says we believe the worst of the impairment process is behind us. a reform bill that would allow small business owners to use their homes as collateral. check back with the realty check up next at 2:50. until then, go to the blog. larry? >> thanks, diana. lawmakers are holding hearings on capitol hill this hour into the nation's shadow banking system. operating outside the traditional regulatory structure. shamed former bear stearns ceo jimmy cayne as well as schwartz. mary thompson joins us with the latest from capitol hill. hi, mary. >> cayne's first public appearance since his firm

collapsed. in his prepared testimony he will tell the scic that it was due to overwhelming market forces and no reasonable steps say selling the firm could have prevented its collapse. the concerns about the week leading up to its demise were unfounded the market's loss of confidence was unjustified and irrational. cayne says the lost of confidence became a self-fulfilling prophecy when it was high by economic standards. knowing he wasn't involved at the day-to-day operations of the firm at the time, he does believe bear stearns took all the right steps but, in hindsig hindsight, this was not enough. bear was sold to jm morgan in 2008, as well as that loss of confidence by clients and customers. the firm was sold.

in his testimony, cayne's successor schwartz echoed the sentiment saying it triggers a run on the bank and a complaint we heard from other bear executives that are testifying as we speak. here's the firm's former ceo, paul friedman. >> the rumors themselves were not true until the telling of the rumors created the truth. >> now, during the questioning, some panel members have actually expressed frustration at the executives. basically because the executives keep telling them over and over again we can't, we could not have foreseen how bad things became in 2008. and given mr. cayne's remarks earlier, it is unlikely they'll get any more insight from him. larry and trish, back to you. >> thanks, mary. stay with us. larry, i want to ask you, do you have any thoughts on your old boss that used to work for jimmy cayne and your overall

impression of him and whether some say he was essentially asleep at the switch out there playing bridge in detroit at a time when the firm was going down. >> jimmy was a world class champion bridge player for many years. look, he took the firm to great heights. i was there about ten years. they took the firm to great heights and jimmy did when he took over as sole ceo. however, look, let's face it. when you look at how jpmorgan. look how jamie dimon handled it. bear stearns was not so blessed and the run on the bank from the repo market closing down and the overleveraged position and the failure to raise capital when they still had a chance in the spring and summer of 2007. i'm not privy to these inside decisions. like i say, i haven't been there since 1994, but, obviously, some people manage this story very well, but bear stearns was not

one of them. >> mary, was it unfortunate timing in some respects for bear? a lot of the folks were dealing with the same issue. who the shorts were going to target first and bear, of course, had the hedge funds early on that were a problem. >> that's right. a couple things to that point, trish. in his prepared remarks cayne points out it does not lead to the collapse of bear stearns and also in the hearing today we did hear some of the panel members ask the executives at bear stearns, you know, do you think this was unique to bear or was bear just the first and the executives said it just appears bear was the first because when you look at what happened with lehman and then, of course, later merrill lynch being forced into bank of america the market forces just combined to take down bear which was the smallest of those big five investment banks first. that at least according to the executives here. one thing i do want to point out, as well. a lot of questions about the risk management at bear. the panel members say it could not have been because if it

really was as robust as they say it was, the firm would probably still be here, as you pointed out, larry. >> liquidity management, risk manageme management. to me, as an outsider, that was the issue. we have to move on. we'll take a quick break and then we're back with this morning's market action. and the list of stocks to watch as we head into afternoon trading.

hi, folks. welcome back to "the call." little comeback going on here. the bank financials leading us back to the s&p 500. almost back. hey, we're positive as we speak. as you look at what's driving the andback the hmos of the retailers and the banks and the airlines and the semi conductors. some of the hardest hit groups from yesterday still hurting. auto, industrials, as well as retailers.

excuse me, the reits, which are struggling here today and they even have turned around, as well. back to you. >> matt nesto, thank you so much. i'm off to lisbon tonight. i'll check in with you tomorrow. >> straighten him out while you're over there. i'm larry kudlow, i'll see you tonight on "the kudlow report" at 7:00 p.m. eastern. right now, "power lunch" is up next. welcome to "power lunch" everyone. i'm sue herera. anger and violence erupting on the streets of violence and protests over greece's measures that are aimed at battling the debt crisises. as europe closed lower the dow has managed to erase all of its losses. it's a 100-point swing and a volatile day on wall street. we are all over the markets for you. >> i'm michelle caruso-cabrera. panel investigating causes of the financial crisis is waiting to grill jimmy cayne.

the former bears ceoo is waiting to testify. meeting down in washington, d.c., in the next couple hours we'll hear from two top u.s. business people. the business and ceo of caterpillar and an exclusive with b.e.t. founder bob johnson a billionaire with sports, film and financial business. >> i'm dennis kneale. a record setter in the art world. a picasso painting goes for $106 million. is it a sign the economy and luxury market are poised for takeoff. we'll paint that picture for you. >> look forward to that. meanwhile, wow, what a turn around on wall street. bob piasni kicks it off at the new york stock exchafg. i'm reminded of your mention of volatility yesterday. we saw it today. as europe closes, we seem to be breathing a sigh of relief. >> that's right. we're trading soat