hi, everybody. welcome to the "closing bell." i'm maria bartiromo. >> i'm bill griffeth. after the four-day slump we've seen, the dow is poised perhaps to snap its recent losing streak, thanks in strength to the technology sector. financials have also been especially strong, helping to provide support to this modest rally. here is what the dow looks like and we'll see this rally into the afternoon on talk that help for the spanish banks is on the way. they haven't figured out how to do that. we'll talk with steve liesman

and rick santelli. the dow is near the highs of the day. the nasdaq is up 18 plus points. the gain in technology i referred to, or it's a 2778 on the nasdaq and s&p is up to 1285. >> i hope you don't miss my interview with bill clinton, sitting down with me a little bit ago. the last president to tackle the budget, talking about the economy and elections and the european debt crisis. why he thinks president obama has a better strategy to deal with the deficit than mitt romney. it's all ahead on this edition of the "closing bell." he did discuss europe. this was one of his most important issues. >> the weakness in stocks is attributable to what is going on in europe. is it something to be bought or do you avoid it? we have one strategist going all

in here. plus, the emergency talks on europe as concerns grow that the debt crisis could spiral quickly out of control. one official was quoted today assaying it's not a matter of weeks on the spanish bank issue. it's a matter of days that they come up for a solution for that. the market is holding up. >> ready in days, not in weeks. breaking it down with courtney reagan, a portfolio asset management. lee, let me kick this off with you. europe is really dictating the markets in the united states. how do you make money on the european situation, if at all? >> you know, i would say the first thing to do is don't buy anything in europe. if anything, i would look at germany as far as the index of germany. i think it's going to be closer to the end of the year, mere yeah, before that country is not just cheap but cheap and viable. i would say stay away, stick to the united states.

i even like japan a little bit even though it makes me upset to say it. >> it's clear that the retail here in the u.s. is awol for the time being. is it too risky for investors? >> i pulled back from europe a week ago, pulled back from emerges markets. i went into high quality u.s. corporate debt. i like it there. something has to happen to the banks. forget spain for the moment. all of the banks over in europe. until the central and i don't think it's in the united states or europe. until we have something like the fdic for europe, federal deposit corporation of europe. >> you're quite right. that needs to be something like that. they can't wait for all of the work to be done to create

something like that. something has to be done right now under the current structure and they can't figure out what to do, right? >> they will bail out each individual situation and bank as they can. they have to get people to stop pulling out money out of the banks and going to germany. that will supersede what is going on with spain. otherwise, look, last year in 2011 we went down by 18%. year before that we went from a high down 15%. so to buy into this market now, no, we have a long way to go. this is a long pause of refreshers. >> it's no reason that we shouldn't be looking at u.s. markets. don't let this euro contagion -- it's a known. >> even president bill clinton -- i said to him, should the imf be putting more money into the pot?

he said, i don't know and how much the situation worsens. every headline is helping the u.s. i think right now it's on a relative basis. we're disappointed that they are not working fast enough. i think american investors and american professionals need to understand that they are going to do it slower. they are not going to do it the way that we want to do it. but i firmly believe that they are going to muddle through the way. it won't be like last year. volatility will tell you, the market doesn't believe. last year the vix, 30, 40 plus. the vix can't even break 30 right now. the market is telling us, don't get fooled by the headline rising being. >> it's a headline-driven market. they are waiting for word out of europe, for bernanke's word on thursday. they are doing a lot of waiting in the market, aren't they?

>> that's exactly right. and i have to respectfully disagree. traders are waiting for every headline out of europe. in fact, today they are saying maybe we should pack up and move. we don't know which way to go here. we need direction. whether it's from europe, whether it's from ben bernanke on thursday and then the ecb tomorrow. bullard even saying that perhaps they are in a wait and see mode. there is still so much to be determined, both here in the euro zone. remember, there are a couple events to be happening, not the least of which is an election. >> let's talk about some of those issues. lee, if we were to see this fiscal cliff that everybody is worried about, let's say there's no agreement on the tax issue and spending programs that are all expiring at the end of the year, do you think that things stall again? what's the impact on the u.s.

economy and the markets? >> well, first of all, let's look at what has happened historically. in an election year, april and may, definitely not good years. followed by a strong june, july, and august. we should give a statistic of bone when we start rhyming with that static, with history. furth furthermoth furth furthermore, i don't know what's going to happen in january. it's a matter of republicans and democrats, whose plan is going to take charge and who is going to submit and be subordinate to the other party. >> good to see you both. courtney, we'll be checking back with you. see you later. meanwhile, the gains aren't huge but given the recent market slump, kayla tausche has today's big movers. real impressive movers beyond that. >> maria, tepid gains across the board.

investors happy to see green even though it's not far to the upside. financials as a sector gaining the most largely due to the positive pmi numbers as well as any sort of hope that the efsf will help out spain. let's look at consumer discretionary names. redbook retail sales in the first week of june and above target the fear is that last week included memorial day and that means big promotions. jcpenney losing better than 5% and continuing its promotions and it's down really sharply. nordstrom down a shy of a percent. sears down a percent. the second biggest laggard in the s&p 500, netflix will build its own technology for content delivery. near term weakness and near term weakness is what we're seeing down better than 5% in this

market. finally, take a look at facebook. hitting a new low down $26.11. losing 3% today and down better than 30% since its ipo. bill? >> kayla, thank you very much. >> you know you're a geek when you're excited that the australia gdp is out. >> the popcorn, ready for that. >> you've got to get out more, bill. hope you're ready for this program. we have a lot more coming up. dow is up 52 points. anything can happen this hour. >> oh, yeah. we have a lot more going on on this special edition of the "closing bell." >> announcer: should u.s. taxpayers ride to europe's rescue? >> let's see first whether the europeans can do it on their own. they may not need imf money.

>> announcer: don't miss mere yaz special one-on-one interview with former president bill clinton, coming up. plus, steve liesman and rick santelli duke it out over who should pay europe's bills to staf off a crisis here in america.

welcome back. 48 minutes left in the trading session. time for a quick market stat check if you're just joining us. very much a wait and see kind of market. up as many as 37 points, down as many as 29. just kind of holding steady here with a 14-point gain as concerns over europe take a back seat to data showing faster than expected growth in the service sector. the financials have been leading winners today. intercontinental exchange, mbia, citigroup, more dan stanley all posting sharp gains today. >> red alert in europe, meanwhile. the g-7 nations holding an

emergency meeting on fears that spain is hitting a critical point. taxpayers may need to open their wallets. >> should the imf, the u.s. taxpayer money, help to bail out europe right now? >> i don't know that it's needed. i don't know yet. it depends on what the u.s. european central bank does. let's see first whether the europeans can do it on their own. they may be able to do it with the initiatives and what the other major countries do. >> steve liesman, maybe the imf should intervene at this point. rick santelli may be stunned to learn that he agrees with bill cloibt on this issue. when does that happen, rick? >> oh, i think there are some issues that the former president and i do definitely agree on. i think private equity is one of

those issues as well. >> okay. steve bit the case for imf or u.s. intervention right now. >> first of all, i have to debate rick santelli every single day? bill clinton is like a relative compared to that. the guy misspoke in the first place. it's not up to the ecb. clearly it's up to european gor government. and the other thing i would disagree with, with all due respect, we've had time to figure out if europe is going to do it on its own and it is not doing its on its own. i'm not talking about leading in the first instance with our wallet. i understand some of this is going on behind the scenes but to see us bringing the world together, making it clear to europe that this kind of ongoing -- what do you want to call it, spiral downward is unacceptable. what really bothers me is every time we consolidate, europe steps forward and sets the

situation right, it's always at a lower level than we talked about before. it's time to break the cycle. what we have been doing before is not working. >> rick? >> well, first of all, i think that the real danger here is that the current administration can try to form a narrative that -- >> okay. yes. >> blame it on -- >> perfect. >> if the narrative is blame it on europe, then the cushion we should have had, if we had better policy, better job creation, better energy plans, see, all of that doesn't become an issue anymore. so, once again, like why now? why is the imf coming up now? unfortunately, it's another election year type of -- blame it on this, blame it on that. >> i'm not talking about blame. >> but why today. >> i'm talking about solutions to solve the problem. >> why is it a solution that we should bring our tax dollars to help a country who by very -- >> series of countries.

>> narrative of the u.s. history doesn't have the type of constitution that the u.s. formed many years after 1776, 1787 to address this very issue? a federal overlay that gives them -- and here's the big word -- recourse. >> go on. >> there's not going to be a lot of will, steve, to have the imf give money to bail out europe when so much of that imf money is coming from the united states, particularly in the situation that america is in right now. >> my idea is that we raise additional imf funds and that they be put into a second lost position after european money and that it's one-third versus two-thirds. hank paulson and ben bernanke understood at least one thing. you put a big amount of money together and you say and dare the shorts to come after you and say, you know what, our money is

unlimited. i am conceding this does not solve europe's problems at all. i'm talking about stopping and staunching the financial instability because there's no way for europe and i don't think -- i know we have a lot of problems here in the united states but we're not going to be able to grow our way out of them with this continued hammering of europe over us. >> but one more point. >> steve, i understand what you're saying. we don't have unlimited money. paulson was wrong. what he believed we had was the unlimited ability to create debt. okay? and that is the fundamental cornerstone of why we shouldn't teach europe. we have nothing good for them to learn from us. >> that's definitely wrong. we have a lot to teach them and it's our financial union and ability to stand behind our dollar, which we showed through our government actions that saved this country from the

financial panic. >> teach them about economic freedom. that's what you need to team thech and they could take a lesson themselves. >> time for that lesson. not now. >> this turned into a g-7 conference call suddenly. >> thanks, guys. 40 minutes before the "closing bell" sounds for the day. the market is higher, 27 points on the dow jones industrial average. >> homebuilders have been bouncing down. >> my entire one-on-one interview with bill clinton in a few minutes. don't miss that. >> what i think we need to do is to find some way to avoid the fiscal cliff, to avoid doing anything that would attract the economy now and then deal with what is necessary in the long-term debt reduction plan.

as soon as they can. you won't just find us online, you'll also find us in person, with dedicated support teams at over 500 branches nationwide. so when you call or visit, you can ask for a name you know. because personal service starts with a real person. [ rodger ] at scottrade, seven dollar trades are just the start. our support teams are nearby, ready to help. it's no wonder so many investors are saying...

[ all ] i'm with scottrade. the economy needs manufacturing. machines, tools, people making stuff. companies have to invest in making things. infrastructure, construction, production. we need it now more than ever. chevron's putting more than $8 billion dollars back in the u.s. economy this year. in pipes, cement, steel, jobs, energy. we need to get the wheels turning. i'm proud of that. making real things... for real. ...that make a real difference. ♪

welcome back. oil and gold is higher. >> maria, a pretty uneventful day for oil and gold traders are still sittering on the sideline. they are waiting for the ecb and bernanke on thursday. oil prices ended flat.

price action still hinging on europe. there are some concerns, of course, over the euro zone debt crisis and how that could impact demand. we'll be continuing to watch that. similar picture for gold as well. prices hinging in a really tight range. information about the global economy. that's going to be the key issue for gold. could see pretty significant swings, though, when we hear bernanke speak and also on the back of that, whether there is more stimulus or lack thereof. over to you. >> thank you very much. let's talk about the home builders. they are seeing a bit of a bounce today. so strong late last year. earnings are out after the bell tonight. we're going to talk with the

chairman and as i said, they got strong and then pummeled. >> they are weak charts. this is a down trend. you have a bounce and it broke a 65-day low. it doesn't look that good to us. >> okay. what do you think? do you like this homebuilder particularly and then the group fundamentally? >> well, all of the home builders went up between october and, say, february. and at that point they separated. they have been falling while the better quality balance sheets have been rising. i a agree with that trend. you need a strong balance sheet

to invest into that. we expect it to be positive. that's what we're really looking for out of this. in terms of the defer rengs asian between quality and not quality, that's what we're looking for. >> what he said is exactly right and what you're seeing in the charts, toll brothers looks right. sellers of rallies should be a buyer of toll brothers. it's quality versus low quality. you have a 65-day low here but you get a rising 200 day, rising 50 day. the trend is still in tact. hopefully it's a consolidation. as we look broadly at the market, there are very few points of light. it actually looks fairly bleak for a lot of things. industrials, home builders i'm

hoping can hold on to the few areas that we are seeing strength. >> sounds like you need to be selected. >> without a question. >> thank you both for joining us on "talking numbers" today. maria? >> bill, thank you so much. we have the market up fractionally. dow jones industrials up 30 points. will cooling coal demand derail the railroad industry? >> i think we can get quicker recovery if we can reform the corporate tax laws, lower the rates, broaden the base, and offer the corporation a chance to bring the money back free now if they would invest at least a portion of it in the infrastructure. >> don't miss the other ways former president bill clinton says we can speed up a recovery. my one-on-one interview begins in just a few minutes. tdd# 1-800-345-2550 we're hitting new highs. tdd# 1-800-345-2550 and i'm on top of it all with charles schwab. tdd# 1-800-345-2550

tdd# 1-800-345-2550 i use streetsmart edge and its tools like... tdd# 1-800-345-2550 screener plus - i can custom build my own screens tdd# 1-800-345-2550 or use predefined ones. tdd# 1-800-345-2550 and i can trade wherever i want, tdd# 1-800-345-2550 whenever i want. tdd# 1-800-345-2550 the kicker? tdd# 1-800-345-2550 i pay $8.95 a trade. tdd# 1-800-345-2550 that's a deal in any language. tdd# 1-800-345-2550 open an account tdd# 1-800-345-2550 and trade up to 6 months tdd# 1-800-345-2550 commission-free. tdd# 1-800-345-2550 call 1-866-393-6174. support team usa and show our olympic spirit right in our own backyard. so we combined our citi thankyou points to make it happen. tom chipped in 10,000 points. karen kicked in 20,000. and by pooling more thankyou points from folks all over town, we were able to watch team usa... [ cheering ] in true london fashion. [ male announcer ] now citi thankyou visa card holders can combine the thankyou points they've earned and get even greater rewards. ♪

welcome back. one investor called it a bit of

a showdown and that's what we're and it seems to be that's a golf term. and any catalyst to move it in any direction, an emergency conference, the headlines out of it waiting for it and bernanke making moves. a narrow trading range as a result shares of jcpenney speaking at a piper jaffray conference just uptown in mid-town manhattan. again, reiterating the latest

pricing strategy was confusing. abundantly clear when they posted a 19% drop in the comp same-store sales. jcpenney is reverting at least in the wording for its marketing and adding back in the word sale. they are going to move away from month-long value, that phrase, because no one understood it. they are going to call it, instead, what it really is. a sale. everyday pricing provides greater savings and coupons and turns out no one actually wants to do the math. johnson has promised it will not be a throw away year financially but said that it could be a hard year for sales in order to really set us off for a year into the future of this new transformation for jcpenney. remember, bill ackman holding on to hope that the short-term pain is going to be worth it in the long run. we'll see if it turns out to be right. mart that stewart has designed 3,000 new products for her store

within a store, that concept begins to take place on august 1st. so we'll see how that shakes out and how many investors are really going to hang in there for ten-month lows. >> very good. thank you, courtney. >> thank you. >> let's talk about the rail roads. it's been a tough ride for that industry so far. coal volume plummeting after that unusually warm weather that we had in the wintertime. csx getting hit with a third of their revenue coming from coal transportation. >> and with us now, the man in charge, at norfolk southern, ceo rick morman is ringing the bell today. sir, it's good to have you on the program. >> welcome back. >> thank you. >> is the message of the market actually telling reality? >> well, i think that it's a little bit off in that if you look at our coal business, which, as you said is a big part of our business, it's down and down substantially to the warm

weather in the winter and cheap natural gas. overall our volumes are slightly up as we continue to see good growth across all of our merchandise business and so volumes this quarter are actually still up slightly year over year. >> are they missing the point on the nature of your business when they are focusing too much on coal and natural gas? >> well, coal is such an important part of our business that it obviously gets a lot of focus. but i do send to think that people are looking a little too hard at coal and not seeing all of the other good things going on, both in our company. but as an indicator of some things that are positive about the economy as well. >> have you seen a change in the landscape in the last year? i mean, we got those job numbers out on friday. we know they were dreadful. we are seeing this softening once again. what are you seeing? >> we are not seeing that yet. we continue to see traffic volumes that would argue for slow but continuing growth. and we're particularly seeing

that strength in the auto sector, in metals, we continue to see good strength in chemicals, driven largely by cheap gas, ag. where we continue to see the weakness is housing, forest products and the like. >> so let's focus on coal and that -- for the minute. where do you see that going? do you see it pick up at some point in pricing? i guess weather will dictate? >> there are two things that will happen for sure. one is the weather will revert to more normal patterns and the second is that natural gas won't be as cheap as it has been forever. and how long that takes to play out, we don't know. >> but you have to plan for it, though? >> but we will plan for that on the other side, our coal business in the u.s. is very good. and our ex poert coport coal bu going to stay reasonably healthy. we think there's going to be a better market. >> it sounds like a great story and, of course, we know that

this is the engine of the economy, your business. but your stock is down. you have investors watching right now. >> right. >> what are you going to do to keep investors happy and keeping them own the stock here? buyback dividends, what? >> we obviously focus on returning value to shareholders. we have close to a 3% dividend yield. we've increased the dividend consistently -- >> 11 straight years, i read. >> we bought back two million stock. clearlies clearly as the stock is down we will focus on that more. we're focused on getting the story out to people that, sure, coal is off for a little while but everything else looks good. >> let me follow up on something. we talk about the fiscal cliff and how taxes are going to get -- expire at end of the year along with spending programs. >> right.

>> if we were going to see the tax on dividend ex be pyre, taxes go from 15% to 43%, does that discourage you from raising the dividend? >> well, if that should happen and obviously we are all hoping that we don't go over that cliff, i think everyone will sit back and re-evaluate how they want to return value to the shareholders and one of the things we'll clearly do then is listen to our owners. right now our shareholders tell us they really like our dividend policy. >> right. >> we'll be receptive to that and we'll see what makes sense for the people who own our stock. >> if that should happen, yeah. >> rick, i know you need to go to get ready to ring the "closing bell." we look forward to that. >> we'll be cheering you on when you ring that bell. >> 20 minutes before the "closing bell" sounds for the day and we will look at this market up 30 points on the dow. >> oil prices falling 15% so far this year. when we come back, our top

portfolio manager explains why now may be the time for energy stocks to power your portfolio. >> and then after the bell, i hope you'll join me for the interview with mr. bill clinton. >> three years from now, five years from now, we need to bring this deficit down when the economy grows because then you'll have the private markets needing capital and if the government is taken so much of it to finance the debt, interest rates will go through the roof. so the trick is to promote growth now while they are literally zero. >> announcer: but, first, before we go to break, "the dividend." which tech stock is this year's outperformer? intel, microsoft, oracle? the dividend pays off after the break

break a passionate belief and the foundation on which merrill lynch has been built. today, our financial advisors lead from a new position of strength. together with bank of america, they have access to more resources than ever before. a steadfast commitment to help you achieve your financial goals in life. that's the power of the right advisor. that's merrill lynch.

>> announcer: just before the break we asked you which tech stock is this year's

outperformer. now the payoff. microsoft, which has risen over 9% year to date. >> is that a full moon? we have some move going here today. >> oh, yeah. >> another down day for facebook but the stock down below $26 a share. off nearly a third since going public. seema mody is at the nasdaq. >> a new reuters poll shows that 34% of users spending basically this reaffirms investors' concern ability to advertise effectively. also in the spotlight, shares of apple writing that they anticipate apple will gradually lose smartphone share until the iphone 5 launches in october.

reducing the iphone estimates to 27 million units this quarter, down from 35 million last quarter. guys being back over to you. >> seema, thank you very much. energy is the worst performing s&p 500 sector down more than 10%. >> oh, really? so why does he want to buy the stocks right now? >> why is that? >> steve is with us. wonderful to see you both. >> welcome back. >> oil prices moving down. you want to buy oil stocks but the oil stocks have been moving down with oil prices, steve? >> yeah, we lightened up on the oil names a few weeks ago. we were concerned that an increase in the value of the dollar over the euro and now you look at valuations with the market down 10% and they look too cheap.

>> couldn't continue lower, right? >> they could continue lower but if you made the right decision on energy and materials, you've got to buy some back now. global quantatative action and people are positioning for that. you want to go long. >> erin, you acknowledge that this is a fear-driven market right now. you're playing it pretty cautiously, right? >> yes. right now we're looking at more defensive strategies, looking at more high dividend yields and avoiding the risky probability default models as part of our strategy. a couple stocks we like a lot is at&t. it just got upgraded again. constantly increasing the dividends. good, stable quality company. not going anywhere any time soon. >> dividend taxes are going to go higher if the bush tax cuts

are not extended. does that change the strategy? >> it will. and then we look at share buybacks. and another company that we really like is a southern company. it's a utility. they are constantly buying back shares. there are ways to return that value. >> you like dividends, too don't you? >> we like them a lot. you guys have done a great job covering the difference between the 1.5% ten-year and the top ten names in the dow have a combined dividend yeield around 4%. you could buy a fund. we have a fund sun america dividend strategy fund plus 20 others with high dividend yield and profitability. >> but to maria's point, are you heading towards a brick wall if the cap gains increase goes into

effect as it is scheduled to at the end of this year? >> i don't think so. we're at parity with corporate bonds that yield 4 to 5%. but in addition, where you benefit with the stocks is that capital discipline. if companies paying out a third to half of their free cash flow, they can't make an acquisition. you also benefit from capital discipline. >> so the overall strategy for you would be value at a reasonable price but you like growth names as well? >> well, right now if you're more of a trader, you want to buy high beta energy names, consumer discretionaries. >> you own financials? >> we own financials. jpmorgan right now is one of the top ten dividend yielders. >> but you would short goldman sachs? >> we are still short goldman sachs. it's hitting those lows but it's still on our short list. >> love it when people disagree on issues. thank you, both. >> see you later.

>> good to see you. >> heading towards the close. 15 minutes to go with the dow up 31 points. holding steady. stay tuned for my first interview with bill clinton. i speak with this bill and we breakdown what the other bill, the former president, had to say about tax policy. so is it fair? so is it fair? ♪ 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 in here, great food demands a great presentation. so at&t showed corporate caterers how to better collaborate by using a mobile solution, in a whole new way. using real-time photo sharing abilities,

they can create and maintain high standards, from kitchen to table. this technology allows us to collaborate with our drivers to make a better experience for our customers. [ male announcer ] it's a network of possibilities -- helping you do what you do... even better. ♪

so, maria -- >> yes, bill. >> i caught some of your interview with former president bill clinton. you focused a lot on tax policy in the united states, especially as it pertains to what may happen or may not happen at the end of the year. here's what they talked about. watch. >> is tax policy fair right now? the president talks a lot about fairness in taxation and the top 1% or 5% pays 40% of the tax. 50% of the people pay no income tax at all. so what should tax policy look like? and if the president wants to

get rid of the idea that you could turn ordinary income into capital gains, why not get rid of carried interest? why not come up with a buffett rule that everybody who owns a small business gets taxed. is today's tax policy fair? >> first of all, a minimum tax of 30% is not all that high. if you look at the percentage of gdp taxes going to taxes in america compared to other wealthy countries in america, there are only -- of the top 31 countries, i think we're 29th in percentage of the total tax take. >> hmm. >> i don't know. i always tell my kids can, life is not graded on a curve. when they start comparing us to other country, they are not wanting to answer the question in that particular case. >> right. and you also want to compare bill clinton's overseeing of taxes to what we're doing right now. so bill clinton raised taxes on everybody. now we're talking about raising taxes on a portion of the people. but when bill clinton raised

taxes, it was during the massive vibrancy, dotcom boom. >> i know you're going to get to it when we show this interview in its entirety in a few minutes, but he could not actually bring himself to say the words, raise taxes. what he said was finding ways to grow the economy. >> he wants to get back to growth and i don't think he believes getting to growth will mean making it more of a pressure for people in terms of raising taxes. but, you're right. he was trying to watch that political line. look, he was in new york last night with president obama. he already had a slipup, saying that mitt romney's business ak cue men, he's being very careful in terms of suggesting -- making suggestions but not out and out say don't raise taxes. >> he's a proxy for the president right now. you can see the entire interview and we look forward to that very much. >> yes. we'll take a short break and we're a few minutes away from

the "closing bell." good economic news here in the u.s. will that better than expected ism services number spur a market comeback, you wonder? a trio of strategists join us at the top of the hour coming up. stay tuned. the teacher that comes to mind for me is my high school math teacher, dr. gilmore. i mean he could teach. he was there for us, even if we needed him in college. you could call him, you had his phone number.

he was just focused on making sure we were gonna be successful. he would never give up on any of us.

like in a special ops mission? you'd spot movement, gather intelligence with minimal collateral damage. but rather than neutralizing enemies in their sleep, you'd be targeting stocks to trade. well, that's what trade architect's heat maps do. they make you a trading assassin. trade architect. td ameritrade's empowering, web-based trading platform. trade commission-free for 60 days, and we'll throw in up to $600 when you open an account.

okay. the dow is up 45 minutes and we're heading towards the highs of the session. we'll keep an eye on that and see if these averages can go out and break a four-day losing streak for the major averages. what is interesting about this gain now -- watch this chart. it's a one-year chart of the dow. yeah, one year. out of the 200-day moving average, we broke that last week with the big selloff. what you'd want to see, according to bullish technicians, would be a retest of that and presumably go back above it. haven't done that yet. not doing it today. we're just going back to that level. keep an eye on that and see if we can continue higher and move above that 200-day moving average. to the ten-year yield, which has been setting record lows lately,

we're starting to see buying in the stock market and selling the treasuries and pushing the yield higher all the way up to 1.56%. mastercard pointing out that demand for gasoline year over year is down 2%. just as we're going into the summer driving season, demand for gasoline is going lower. an indication of things in the economy right now, slowing down a little bit. and the price of gasoline in the last year is down 4%. so good news for drivers and we see that again right now. we're down to $2.68 on the gasoline futures contract. what had been going higher recently was the fear indicator, the vix, volatility index. but today we're down 5 plus percent. we're pulling back here and as one analyst pointed out earlier, with all of the fear out there, you can't muster much of a rally

for the volatility index. i want to ask erin gibbs about that. you say that you need to invest anticipating that fear will continue to drive the market, right? >> right. that reaction to the payroll numbers on friday, investors are still fearful about that. even though there were recent numbers from the pmi, the market has been dropping. any negative news that fear drives them out. >> i don't know what one day makes but the financials were by far the strongest sector. coming back, perhaps in response to what is going on over in europe at this point as they try and figure that out. you wouldn't like the financials, though, at that point? >> we feel there is too much risk. a lot of them look great from a valuation perspective. i know people are looking and saying, this is a time to buy. let's get in now. i still feel there's too much

risk out there on the financials. >> matt, you guys are beholden to the headline risk. you get two or three headlines a day that can move this market up or down, don't you? >> absolutely. we have a four to one ratio. you would think that the market would rally more. we're only getting a 30-point rally. financials, usually the leader, take us much higher. google and apple are off. two leaders in the tech sector, nasdaq is still up. kind of a weird day. leaders are not leading us higher. >> what is this market waiting for, you do you think? >> greece. we're waiting and waiting and waiting. one thing i'd look at is small caps. some of those are beaten down pretty good. might be a shot to take an opportunity in smaller cap names for big upside. >> small caps? >> we're looking for more high quality. so large cap, high dividend yielding, more defensive. but like you said, greece,

that's the big you be known. that's the fear. and until they have played out in the market, we're going to continue to see this volatility. >> we're hovering below the 2-00 day moving average. does that worry you? >> i'm more bullish for a pop but very short term. i'm not looking long term. a couple days we may see some lows. i'd like for a pop for tomorrow. that's what i'd look for. >> is there someone that ben bernanke could say that would provide comfort for this market? >> any help. >> i think it's all about europe at this point. we've got to see how europe plays out. >> all right. thank you both. good to see you both. our friend, chairman and ceo ringing the "closing bell" as you saw at the new york stock exchange. celebrating the 30th anniversary of their listing here at the big board. that will do it for the first hour. do not