ten lost ground today. the nasdaq was down at 3,047. that will do it for us on the closing bell. thank you so much for being with me and follow me on twitter and google plus at maria bartiromo. fast money begins right now. >> i'm melissa lee and aol has the best day ever. where else should you bank off intellectual property. we are going hunting with the top analysts. in a bear market, how should you trade it? the argument for android. the head of global partnerships about how they are capitalizing. live from the nasdaq market site, start trading and get straight to the sell off in report of that report out on

friday. the markets were trying to make a go of it and then they lost steam and finished closer to the lows. >> i'm interested in what they think. it was interesting to see materials rally first off the bottom. the 1378 level in the s&p, btig said that was a longer term trend line. that's what we downsed. for me the support is 1370 in the s&p. >> and then what? >> if we blast through 1370, it's another 50 move. >> my view midday was that basically down 1.5% from where we were was it. that was the move to be made oat payroll and got that. you need another catalyst to get us lower or to turn this higher. i thought that we were stabilizing and we might get good news. bernanke talks about qe and whether it's good or bad news. at the end of the day, it fell apart.

that makes me concerned and the other part is high yield and really under perform and almost a weak now that high yield is the index for that and the etf. that under perform and that's a warning sign. >> i continuing goes back to last tuesday. you had the high of 1422 made on monday. you had risks coming off the table. i know you don't like to use the term risk offer, but i think the fomc and what happened with the jobs report places precious metals and commodities and all of this tremendous uncertainty. i said that i don't think that's where the right trade is right now. the right trade is where you find quality and earnings, but overall to this point, holding 1370, this looks like a pause in a very significant 30% rally since october that i expect will refresh. it's a matter. >> speaking of technology, what

are the larger stocks that did fairly well in the session. apple for one and ibm held to the flat line. even if they are at all time highs, people wanted to go into those stocks. >> i don't know what turned apple around. it seemed apple on its shoulders would carry, but didn't happen at the end of the day. the valuations on some of these big cap names, they are still not at all stretched. names like microsoft are ones that we added to recently. ibm is stretched and it's a little expensive and they didn't get -- they didn't go hyperbolic like the others. >> i wanted to jump back. finish your thought. i will jump back to gold. if we were talking about what joe said, if you look at what's interesting, i'm long on gdx, but gld is the way to play it. the miners have grossly under

performed gld. the margin issues will become a pairing. you have to look at the difference. when i charted them, it's terrible. i feel stupid buying. >> i have a question for them. are they seeing the margins right now and gas and oil prices. i am staying long and waiting for the bounce back. i have been in for a couple of points and taking on the chin. i am still going to be a buyer. >> the problem with gold is it has to shrug off which it hasn't done yet. we may wake up and find they have a big slug of gold. for now it's a no touch. if i was going to play, i would look towards the jr. side. there is a potential that there

is a consolidation or maybe one of the mines in something that wasn't there. if i had to buy, it would be a miner. >> in tomorrow's session, a few hours that, chairman will speak to a packed house at the atlanta fed's market conference. they are sure to be listen figure they are back on the table after march's weak jobs report. steve leesman has a preview. >> i whathink what we are going hear and what the market hopes is in the skbrks a that follows, some guy will raise his hand and say what about that jobs report and qe 3. we haven't heard from the fed since that jobs report. the traders are so confused in this time of what is supposed to be transparency and the reaction function, how we believe the fed processes incoming data seems more uncertain than usual. two causes of that. one is, is the fed giving us too

much information or is the outlook more uncertain than usual? we are talking about two ways of thinking about friday. one, is it a replay of last spring and summer, 2010 and 2011 or is it the weak numbers we have gotten in the middle of regularly strong rebounds say in 2004 when several months and job broth were below 100,000? that's the question we are trying to process. >> i have a question for you. is the fed, it seems that this is one piece of data. how much data would they need to confirm before they would take some sort of action? >> it is one piece of data and that's how the fed is thinking about it. remember, karen, the minutes that said that what they call a nonnegligible risk that the current jobs strength in december through february would weaken in the coming months. this confirms at least some number of members of the feds

and concerns and risks out there. that to me tells me a lot. the bar is very low for the fed to be convinced that the job market is weakening. >> i think you are correct on the analysis that for us traders in a time where we wanted transparency, it is tremendous uncertainty where policy will be enacted or not. do you believe that there is this ticking clock that everybody is talking about where he has to do something by the summer or it becomes political? >> that's part of the ticking clock and the other thing you might be thinking about is the idea that it ends in june. there is that in general. they tried to end the programs that changed so they would taper out and that meant extending it. that 10-year chart, to me i

think the fed is not going to be so concerned if yields are down where they are right now. if they were spiking higher, you would have a greater need to speak up. one thing i want to point you guys to wednesday, the vice chairman will be speaking on monetary policy. that is potentially the speech of the week. the vice chairman is the advance guard for the chairman and her views will not be far from those. >> thanks so much for your time. our senior economics correspondent. aol surging to the highest levels in more than two years after they agreed to sell and license to microsoft in a $1 billion deal. who is on deck for the next deal? let's bring in the founder specializing in patent research. terrific to have you on on a day like today. research in motion had a pop as

well on the back of this news and that is speculated as having valuable patents they may want to sell. who might be interested in buying it? >> we have looked at the portfolio. a lot of those focus primarily on the hardware scenes and display technology. you put recognition technology and also they are focused more on the blackberry devices and keyboard. we are not sure what buyers might be interested in since the market is moving towards fully integrated technology. on the flip side, they have a lot of patents related to wireless and network routing. >> when i look at their financials or canadian companies, they don't file or whatever the equivalent is, there positions and licenses and they have a number of $1.8 billion give or take for the most recent filing. when you look at it, i don't know what to make of the whole

thing. i don't know how valuable they are. all i can say is what they tell us. when you look at the portfolio and come up with a vastly different valuation. >> it's not too far off. i read in the past that jeffrey his a report valuing at about 2.5 billion that might be reasonable given that they do have wireless essential patents. it's not too many. but they do have a lot of patents for wireless infrastructure. when you make a phone call it goes from the phone to the recipient and they have the technology to make the connections. >> since we are talking, the issue is more about execution. when you value that and if you put any number in there for a company that might buy these patents and do a better job executing with them? >> when we look at the value, we do a valuation of what a buyer

might top the do. if someone can see the value and say hey, i can commercialize these and come up with the products, it goes back to how many patents with the touch screen technology. not too many. >> two questions. aol was able to monitize and is there value there and when you look at the conversations surrounding the patents today, are there others that are holding the valuable patents that will be desired by the larger technology companies? >> to answer the first question, i think aol was smart to hold on to 300 core patents. they are not exclusive licenses. they are able to license them and at some point sell. they have value in the portfolio. the second question, a lot of them hold on to patents and may not commercialize them. 10 or 15 years later, they may

come up with a blockbuster product. that's when all the current litigation tech snolg stemming from. . >> there the usual suspects like a kodak and ibc that come up time and time again whenever they talk about monetizing patents. are there the other the wa radar patents that said today or in five years, this is a pressure troph that they will want to have? >> yeah. we are actually looking at a social networking company in japan that has a patent portfolio that looks interesting. it seems the mobile-based things and we are trying to help them monitize their patents. there a number of things that are unheart of that are sitting on patents. >> can you give us the name? a japanese company? >> it's imahima.

>> that are did narrow it down. >> how about publicly traded that have a portfolio that we haven't talked about that is something that the market is not valuing correctly? >> there companies that are patent holding companies and qualcomm is doing that model. they have tons and tons of patents and it will be interesting to see how they monitize those. >> thanks a lot for joining us. from envision. this is a difficult thing because you have dug into this. >> would i know about patents could fill nothing. what do they think the patents are worth? some of them created through research are under value and a lot that are going obsolete. that was an additional 30%. you can see how the guy is. >> about six months until they

roll out the patent etf. you know that is coming. there is an etf for everything else. >> let's hit "options action." scott nations, you are taking a look at yahoo. >> that's right. you saw it was one of the names mention. they increased patents in 2011 by about 8%. you know the patent portfolio may end up being the trigger to go ahead and buy the company. if we see that all of these patents are more valuable and we are saying last thursday is might get someone to buy yahoo and take advantage of that. i wanted to find the risk. we have been talking about it as a take over candidate and we are looking for a take over. i don't want to get too smart. i want to buy the call for 1.10. i want to buy that out right and i get to find my risk. i participate in all of that upside if it ends up being a take over. >> all right.

you played yahoo in the past. >> i think there is value there, but i will go back to what we talked about here and all day. i think there is tremendous value in aol. this is what they raise and they are not going to return it and patents are on board and targets are way too low. >> it was heavily shorted as well. that's where you saw a big part of this. be careful when you go into this. >> analyst upgrades and a bunch of them. >> sorry there more room to the upside and i wouldn't dabble in 100%. >> friday at 5:00 on twitter. constant trait updates. android or apple. we will find out if google has what it takes to take the lead in the head of global partnerships. coming up after the break.

imax now showing on the big board.

we said at the beginning right when they announced her stepping down the idea that she would help implement whatever the new ceo wants to do that probably some portion is dismantling what she had done. it's absolutely untenable and i can't imagine her staying there for long. i can't imagine this experience to come over that she will take the job to sell the company right off the bat. why do you need someone to do that? the board can do it. we don't own avon and i'm staying away and when they do the report earnings, they won't

be good at all and maybe the street gives them a pass. i think and cody said they don't want to be hostile. they hope someone else comes in. >> they are going to ipo. the plan is to ipo. >> i don't see it right now and there is a lot of premium left in the game and would not be in it for a take over at all. >> you have to imagine somebody like that had been a vice chairman in line to succeed and passed over. she has tremendous experience and not going to go to avon and be ceo and have her hands tied from day one for a permanent. >> this is not a situation where meg whitman came in and said i am going to repair this company and set it up. this is somebody coming in with hands on experience ready to make changes. i would be very surprised to see if this company is sold any time soon. >> time now for fast money

portfolio. china's inflation rose at 3.6%. that's not necessarily a bad thing. we are joined them while they take a look at whether china is too hot to handle. the thing is he points it and it was above consensus and that's the way of the world. it was above expectations so there is this concern. where are you not concerned. >> first of all, china's inflation was 7% in july. they mandated slowing down the growth and putting the hold on. now they are 4 and with inflation, 7 1/2. if you are china, you want inflation. you want legitimate 3-5% inflation and with that comes

wage growth and increased profits and some easierability to manage whatever debt there is. we too easily go oh, my god, what would a headline number like that be in the u.s.? we would get anxious and talk about increased rates on the fed. not the same picture at all in china. this is an extreme sweet spot. >> i don't have to worry about inflation or a housing bubble. i like to worry about things. what can i worry about? china gets it wrong and what is the trick? >> i appreciate the desire to worry as they are. i am much more concerned right now about chinese politics and i'm more concerned about american reactions to china, particularly with trade towers being part of the picture of the debate in the united states. i think that's something to be concerned b. you have about a six-month period where a leadership will transition.

there was this big internal affair that became an external affair with the governor of one of the provinces and being relieved of his post. there is clearly a degree of uncertainty going on as they prepare for the transition. that's something to be moderately concerned about as well as to what degree dot chinese do the same thing every other government does. trying to pump unnecessarily from an economic perspective and necessary and does that get ahead of itself come the summer? >> zack, how do you play it right here and not expose yourself if the market pulls back to getting stopped out on risk management before your thesis proves correct? >> in general and you know this because i have been sounding this theme, i am not as big of a fan as have a chinese and equities. those were big through

mid-february, but weak since and they trade in a more volatile fashion. i would keep playing inflation theme in china through the u.s. consumer names that are exposed to it. that's the same suite of names we talked about, but remain interested like coach and tiffany and lbmh which is say french company. if you have that growth in consumer spending in china, these inflation numbers are the kind of names that will be interesting on the value chain. >> good to see you. the fast money portfolio. the argument for android. we are talking smart phones with the google exec after this.

man: 1939 -- my parents ran across an ad for a hot dog cart. my mother said, "well, maybe we ought to buy this hot dog cart and set it up someplace." so my parents went to bank of america. they met with the branch manager and they said, "look, we've got this little hot dog cart, and it's on a really good corner. let's see if we can buy the property." and the branch manager said, "all right, i will take a chance with the two of you." and we've been loyal to bank of america for the last 71 years. has been because of the teachers and the education that i had.

they're just part of who i am. she convinced me that there was no limit to what we could learn. i don't think i'd be here today had i not had a wonderful science teacher. a teacher can make a huge difference in a child's life. he would never give up on any of us. thank you dr. newfield. you had a big impact on me. >> for the first time ever, android captured 50% of the smart phone market, beating out apple that came in number two. what else are they doing to keep it going? a director of android partnerships for google.

a pleasure to speak with you. >> thank you for having me. >> most people's number one question is, is google coming out with their own smart phone or tablet? >> a lot of people were speculating about the google phone and we proved we have seen hundreds and the best experience to get the use of google services. we will continue to innovate. >> they are continuing to innovate with the tablet and the purchase of motorola mobility, they are buying the hardware company and coming out with google branded hardware. is that the right assumption? >> it's fair to say that everything we do now except for the patent story around motorola and that type, des 52 pit the independence, we are looking at options ever accelerating innovation and better experience for tablets. >> last week i believe it was at&t that talked about only

selling 25 million handset this is year. that is flat from last year. not the 30% growth rate. how does that factor into plans and does it change the strategy with motorola or the

the strong move looking to protect the innovation curve and enable them to innovate and google is willing to put skin in the game to ensure that is the case. >> we look at the competitive landscape and there was a downgrade on apple. part of the reason was the expected push back from wireless against the subsidy for people to buy these phones. when you take a look at that, do you believe that that will actually happen and therefore increase the adoption of android? >> i do think in general that's obviously carriers have had the challenge in terms of the subsidies and cost brewing.

an troid is moving in a different direction. they calls for a device that are rapidly reducing the need for subsidies and some other competing companies didn't sort of follow the trend as strongly and that might show. >> the tablet from apple, people are using up band width or minutes per month. is that a concern also within the ecosystem as you perhaps prepare to launch your own tablet? >> i think what we are seeing is the users use wi-fi a lot for tablet experience. the tablet is a leaning backwards thing with your companion device in your home or office. i think as users get set in setting things up like wi-fi, we will see an off load from carrier networks as well. this is a trend that is even stronger on tablets than on

smart phones. having said that -- go ahead. having said that, i think that this is a global phenomenon and they need to be savvy on the pricing plans and tariffs. people are looking more for pay as you go rather than a big fix. >> and of course all of this is a part of the ecosystem that goes beyond just a smart phone. you can tell us, so many people are speculating and should we expect the google tablet this year. >> i think willing to be more direct. our goal is to make sure this gets out. we will partner accordingly to make sure that happens in a more rapid fashion. in general i would like to say we have a good shot this year at setting those things right in

the sense that google played which is now the sort of sweet abtations gains and videos and movies and books. it's a pretty strong offering that i think will make tablets more attractive regardless of which made the tablets. >> pleasure to speak with you. thanks for your time. john from google, i thought it was interesting the potential push back in different pricing arrangements that the carriers could come out with because of this data hog phenomenon. >> it's interesting that you named the downgrade apple reverse and closed higher on the day and google closed lower. the problem is google is an apple and they are in place for apple and not in place for google. too many reasons not to be a buyer of google. >> i thought it was powerful what john responded to in the patent and willing to put our skin in the game and go out and buy the patents to catch up to

the ibm and microsoft and apple. that tells me they are committed. >> you in the market for android or apple tablet? does it matter? >> i have the original ipad. one thing i said is i use it in place of my laptop when i travel. it's not always on wi-fi. your question about data hogs is a great question. that's a problem for 4g wireless devices. google we did see interesting call buying in earnings. google is all over the road. we saw a bunch of 7050 calls, about 5,000 of them traded. somebody who thinks there is still upside for google and a big upside what they that would take. what did you see in apple? anybody reaching for upside calls in apple? >> not so much in apple.

in intel, it's a huge buy. not a sexy name, but a company like intel. >> on thursday, not trading options for this thursday, but valuations are not stretching with the cash. >> coming up here, facebook in the news as the social media giant agrees to buy photo sharing network instagram and shares of shutter fly fell on the news. >> if you follow them, you are very familiar. >> these are all over that. this is this kind of strikes me a little bit like you tube when it was bought by google. everybody started to say who is next and who is out there. once you have that product that you have that ecosystem where everybody is in, there is not much else competition-wise.

if you started to look for other people, i don't think it's out there. shutter fly got hurt and i would not be buying shutter fly. >> does it put into question with facebook and the decision making process and they are in the center of the conversation. does it put into question how they use it? >> this is 1% of an estimated $100 million valuation. this was the last acquisition of this size. >> this is an acquisition that has been in the works for eight years since 2004 when instagram was photo fox. they came to him and said we want to you join facebook and he said no, i'm going to stay in school. there those that said in the mobile space, facebook needs a larger presence and this gets it in there and they can see the social ad tendencies of the users. this is a great acquisition and something they could have done on their own. >> 13 employees in this value.

>> 13 and not accounting for dr. jay and it's 12. >> not about the employees. >> coming up, are we at the midst of a media melt down. a huge call that moved the entire sector today. stay tuned. ♪ ♪ here we are, me and you ♪ on the road ♪ and we know that it goes on and on ♪ [ female announcer ] you're the boss of your life. in charge of making memories and keeping promises. ask your financial professional how lincoln financial can help you take charge of your future. ♪ ♪ oh, oh, all the way ♪ oh, oh monarch of marketing analysis. with the ability to improve roi through seo all by cob. and you...rent from national.

because only national lets you choose any car in the aisle... and go. you can even take a full-size or above, and still pay the mid-size price. i'm going b-i-g. [ male announcer ] good choice business pro. good choice. go national. go like a pro.

live at the nasdaq site. media stocks and analyst jason and he joins us here on set to tell us more about this. it start and it has been more pronounce said as time has gone on. there reasons that you can find. >> there some things we can quantify and clearly netflix is the 800 pound gorilla and i suspect that is cannibalizing the consumption. nielsen made adjustments in terms of sampling. that is not measured and that's

probably 18 months away. >> so are these structural changes? should we expect a period where the industry and networks also need to reset expectations for earnings. this is a different time that we're in and we won't have the same leadership as before. >> that's my guess. most of the growth in the media came from cable networks for years and decades and took shares from broadcast. we might be entering a period of zero sum or less than zero. >> how is it that nealson evolved to capture? it would seem like there is a lot of pressure to get them to do that. >> there is a lot of pressure and they're working on it. >> from my perspective that you explain away. there will be more explaining why the ratings are down and

looked at the broadcast and we saw disney dealing with comcast and that's not going to be measured either. my sense is that the declining ratings will continue to go. >> does that mean a structural change in the way ad revenue comes in or how ads are priced? >> some argue that they are bullish and say if the inventory contracts and the response will be the price. we saw that in the broadcast. it's not going to happen with the same extent. this will begin to decelerate the rate of growth. >> for i wanted to value them, who is the best to buy. i wanted to buy it on the library. >> if i wanted to bull it down to just the content. >> if you just valued the library, they have the biggest library and cps. those are the two biggest and

cbs has been far more vocal and far more dollars if you will flow through the income statement. time-warner has not done that. in terms of future money, time-warner is probably the best. >> why the downgrade? >> all of these companies are diversifying. >> if i looked at disney, 80% came from the cable networks. they masquerade and if you get down to the numbers, it's all about cable. that's the only sector that is left. >> i would say viacom. that's a controversial call. the managers want to go long and they are bidding up the names that have the great readings. we are saying that the next chapter.

they need to reassess and compress the multiple. going into the name with a low multiple seems like a great place to start. >> viacom? >> great to see you. >> coming up, money in motion trade after this. does any mother ever feel like their kids are adults?

i have twins, 21 years old.

each kid has their own path. they grow up, and they're out having their life. i really started to talk to them about the things that are important that they have to take ownership over. my name's colleen stiles, and my kids and i did our wills on legalzoom. [ shapiro ] we created legalzoom to help you take care of the ones you love. go to legalzoom.com today and complete your will in minutes. at legalzoom.com, we put the law on your side.

let's get short and take a look at the high flying stocks with short interest and s&p companies have have seen a huge increase over the past month. take a look at this. trip adviser and dr horton. not far behind. jc penny and another home builder, lennar. there is two of them and they are in the lower end, lower quality part of the market. >> they are and the home builders got ahead of themselves. you are really talking about rental properties coming on and you are getting towards the

bottom and not talking about massive amounts of houses being built. i would not be long home builders versus the short squeeze. they probably do go over lower. >> the trip advisers with the biggest increase in short interests in the past month. let's see. 15.8%. >> and stocks since december 15th have done well. 35 right now. i don't think this is the right trade on the back. this is a name you don't want to show up. you don't want to short it and buy it, but it keeps going up. >> jcpenney has an interesting one in the context of what the stock has done. there is more and more and maybe it's not enough. >> talking the other day about that the other day. the thing that's interesting is it turns into a colossal battle of the shorts and spiked up

tremendously versus vor nadeau and encouraging and together own about 29% of the company. a lot of skepticism and one interesting thing, my analyst went there and everyone under 30 believes in the turn around and those over 30 were far more skeptical and after having seen them play out, they did substantially and even though they were up in the last year, i am skeptical of jcpenney. >> time now for money in motion. and a strengthening canadian dollar makes canada a country without a jobs problem. how should you trade this? live in new york to break it down, the tricky thing is that they track u.s. so closely and we have seen the reakness. >> the bank of canada is not quite ready because they need to see them going forward.

the canadian economy if it rises more solidly. the bank will be hawkish in the statement next week. i'm advocating and not against the u.s. dollar, but against the euro. i see further problems coming up in a couple more months. >> what was the levels of this trade? >> i wanted to mention canada had a blockbuster report last week. 82,000 jobs are created strong. the current level is 130.80 and a move down to 127.70. i put a stop up at $131.70. >> thanks for that trade and more money in motion. 5:30 p.m. eastern time. coming up next hour, cramer trying to percolate profits for you when you start building the ultimate growth portfolio and analyst showdown over gore remote.

don't touch that dial. coming up next on fast, we are trading your tweets. keep on coming. hopefully we will get to them if you send them in. we'll be right back. it's very important to understand

how math and science kind of makes the world work. in high school, i had a physics teacher by the name of mr. davies. he made physics more than theoretical, he made it real for me. we built a guitar, we did things with electronics and mother boards. that's where the interest in engineering came from. so now, as an engineer, i have a career that speaks to that passion. thank you, mr. davies.

>> when do we start woring about about inflation and the ecb is pulling back the reigns on additional stimulus. thanks, guys. >> that was our cab of the day. what do you say? >> i love the touts. the reserves are locked up from the banks and starting to come out. there is still a trillion and easy money or not, it is lock up in a vault. >> please cent us your particulars. you can have your 15 seconds of fame. steve loves them for one. for the whole five minutes. >> if i had a nickel for how many i had, it was unbelievable. >> like a nickel. >> some of the sweets.

where is the bull in health care. >> nothing about the supreme court hearing and the ruling comes out in june or july. the best bet, i would be weary. unh, diversified. you can hide out a little bit, but be careful. they're all 52-week highs. >> danny lopez asks your thoughts into earnings. what do you tell danny? >> i think the think thing here is the last quarter. they knocked the ball out of the park and beat the earnings by 50% or estimates by 50%. at $3.10 expectation, that strikes me as really, really rich. i would be cautiously optimistic about goldman sachs. >> what are do you say? >> goldman sachs. >> your favorite pick?

jpmorgan? >> of course. bank of america as well. >> as we head to break, we will take a look at this. ever dream of owning a mansion? how about a town? the tiny town of buford, wyoming was sold for $900,000. there is a gas station, a single house and a zip code. it wasn't enough for the buyer from vet no,ma'am who wants to live out the american dream. that's cool to have your own zip code for $900,000. >> that's nice. his ego has its own zip code. >> we'll be right back. #

> final trade. >> the shorts had a great month. pr horton. >> i think you stay in the u.s. with regional banks and you can buy it. >> gld. they painted themselves into a corner. >> the very best trade could not stay away. >> wake up early tomorrow and spanish teen-year and be long on