interviews counting you down to the end of trade and the ability to position before the greek election. opinion polls should emerge sunday morning at about 11:00 a.m. eastern and clearly the main driver for next week's trades. have a safe weekend. hey, it's time for "power lunch." >> thank you, simon. we have breaking news this hour all over the world and bringing it to your television set. a guilty verdict in the insider trading kats of gupta. greek ballots are printed and shipped as we speak. the president will make a key statement on immigration and another rally for u.s. stocks. john harwood at the white house. brian shactman at the nyse for tyler mathson today. we start with bertha coombs in lower manhattan. >> 63-year-old gupta, former

head of mckenzie, former director of goldman sachs convicted today by eight women and four men of insider trading saying the evidence was overwhelming that he did tip his friend and colleague when it came to some key goldman sachs trades at the height of the financial crisis. they found that evidence overwhelming despite the fact that it was mostly circumstantial. they convicted him of four of six counts. one count of conspiracy which carries five years. three counts of securities fraud involving one with the $5 billion investment of warren buffett in september of 2008 and another involving the goldman sachs earnings warnings loss in october of 2008. interestingly, while they never heard g you pta on tape talking about it, they heard strong corroborating evidence after a strong pattern presented by the

prosecution. defense attorney predictably saying he's disappointed and that he will appeal. >> we think this is round one. and we will obviously i think judge raycoff allowed us to make motions which we'll make with him and if they don't prevail, obviously, we'll appeal. >> reporter: mr. g you pta sat stoic and composed while his family was in tears after the verdict was read and, sue, the jurors said they wanted to believe that he was not guilty. they really respected what he had achieved. and really seems that -- felt that he was a strong family man and respected the fact that his family seemed to really love him. but in the end, the evidence was overwhelming. >> indeed, bertha, thank you very much. more now on the verdict. thank you very much for joining us. your reaction to the verdict, first off? secondly, given the life that mr. gupta led up until now, how

much of that will be take anna nicole to consideration by the judge at sentencing? >> sure. with regard to your first question, thank you for having me, i'm not surprised. even though they didn't have him -- his voice on tape, the evidence was as the prosecutor said was very overwhelming. you know, 16 seconds after a goldman sachs board meeting he called and bought a tremendous amount of shares in goldman. when he had learned of the news before it was announced and another -- after another meeting 23 seconds afterwards, he again called him and he actually sold his long position in goldman. the evidence was very powerful. and it is unfortunate, but, you know, the prosecutor's cracking down on this. as far as the sentencing goes, it's very serious. he was convicted of three counts of insider trading and one count of conspiracy. the term it's a very broad range the vunlg can give him.

it goes from about 17 years to 65 years. now, what the attorney will be arguing and hopefully for the client successful sli that he was a caring, family man and you should really be near the lower range, you're still talking he could -- going more than six and probably more than ten years because it was insider trading. so, i think it will go in to account. i think that the judge will take in to account his philanthropy. >> given the fact of several high profile convictions, though, does the judge still perhaps feel the need to send a message or not? >> you know, yesterday we had mr. stanford who was convicted, sentenced for 110 years. i think the answer's, yes. >> okay. >> i think someone like this, there's a message sent and sort of reading tea leaves but you had a man convicted of 11 years. this could be less than him but

i think mr. gupta unfortunately will be in jail for quite sometime. >> thank you. brian, over to you. >> you're welcome. >> thank you, sue. up ten points. 66 to the good side in the dow watching the markets, the greek politicians making the last-ditch efforts for votes. signaling optimism. the greek market up almost 2% after a 10% jump yesterday and in preparation, the ballots printed and shipped right now as we speak. those are first look right there now at the ballots. on the move. michelle caruso-cabrera in athens. a rally behind her and all the world's eyes are on you. >> reporter: hi there, brian. yes, greece invented both democracy and theater so you can expect grand political theater as we head in to the key vote on sunday. behind me, preparations under way for a last and final rally by what we believe are one of the two leading parties here. new democracy.

this is the pro-bailout party and one hour from now, we expect the leader to take the stage and talk to the crowd here. the crowd is nearly -- clearly not as big as we have seen in some protests and we know about the same size, maybe smaller than the anti-bailout party that held the rally yesterday evening and we showed you live here on cnbc. as it happens, we'll bring it to you live. he was trained at the harvard business school and been delivering a tough message to greeks that they have to stick with the austerity measures and at the same time if they want to do that, they want to stay with the euro, vote for new democracy and not the opposing party. greeks and the state of greece is a very, very tough position because of the bailout. this is a country that's managing for cash flow, struggling like a small business. the caretaker government of

greece has to make choices between drugs at hospitals or power supplies so the power grid will keep running. we're talking about size and scale that isn't all that large. 120 million euros that they owe to russia's gas to keep the natural gas supplies coming. they have shut down the supply grids and started to use locally mined coal to power the country at this point. at the same time, they owe hundreds of millions of dollars when it comes to pharmaceutical drugs and cancer drugs, as well. we hear of lines at various pharmacies. where pharmacists demand cash on payment. this is a country that's socialized medicine. in theory, drugs should be free and it's cataclysmic here and the size of the payments, 120 million, 170 million. we have guests on cnbc worth ten times that amount. so once again, there's a lot at stake seeing the political rally get under way and wait for the election to begin on sunday.

the results are going to be crucial to world financial markets and for the greek people. we'll have coverage on sunday and tune in sunday night at 8:00 p.m. we have a documentary "a greek tragedy." tragedy is a greek word and explains how greece got in the mess. >> it's amazing. people not paying the utilities. you won't see that anywhere on television sunday night. you keep an eye on that. we have a pretty unique guest with insight in the election. a democratic strategist and was an adviser to george pap drandr and his party. chris, we know the strategies. they could went without a majority of a strong government. we don't have a lot of time so your best estimation of what will happen on sunday. >> best estimation is new democracy probably wins but has

the former government. probably about anywhere 152 to 155 seats in the parliament. and that buys them time. how much time i can't tell you but it buys them time. >> if that happens, that's a positive reaction in the markets probably late sunday in to monday. correct? >> i think the markets will react positively because you basically have stability whereas if syriza wins, that's chaos. >> if something like anti-bailout wins, do you think it will be the market shock that people feel like it could be on sunday? >> well, possibly. i mean, i think a lot of this is probably people are factored it in. but i think what people will be shocked by is the consequences that follow after. i mean, this is never about greece. let's be honest. this is about the consequences that come if greece falls or leaves the euro. and the contagion after that. so i think that's kind of the concern that a lot of people have but i think you've seen some of the dynamics shift in

greece and probably move back towards the more traditional parties. not in an overwhelming way but enough to give a majority to the old, you know, forces if you will. >> just very quickly. you have seen how the sausage is made there. how ugly is the government of how it runs in greek? >> no way to describe the dysfunction of greek government. having done elections there, it's pretty bad. you know? in terms both the corruption and just it's not a functioning government. and i think this is the end of the day the big problem. whoever wins, you need a transformation of how greece functions to move it to the 21st century. until that happens, you have a problem. >> chris, we'll see you later. chris kofinis. up 71 in the dow. >> a wild week, brian, on the street. >> yeah. >> the first day we haven't seen a triple-digit up or down move for the dow. let's bring in joe tanius.

welcome back. >> good to see you. >> great day to have you. it's been a volatile week. so far, pretty much flat on the day. is that fear? apprehension? what do you think? >> i think investors are nervous and apprehensive ahead of the greek vote. you have a binary outcome. all the polls show within margin of error but new democracy has a lead and everyone's hanging on to the seats to see what happens sunday night. >> do agree with chris kofinis partly about greece but the bigger issue is italy and spain? >> absolutely, absolutely. the issue is never greece alone. it's obviously tragic what's happening in greece but what happens if they leave the euro? can that be contained or does it start to spread over in to the remaining peripheral countries? if you get to italy, all bets are off there. more than greece, portugal, irish and spanish debt together.

how do you stop it at greece? >> last time you were on, we talked about the risk of systemic events based on whether or not greece stays in the euro and firewall greece. and at the time, you thought that the u.s. financial system could handle it and you were pretty confident that, indeed, we'd kind of moved through this. but when you look at what happened yesterday, after that reuters story about the central banks and the whipsaw, it seems the volatility and fear trade is moving back off the table. >> i think systemic risk is always there to some extent. the u.s. is not completely isolated from what's going on in europe. i think in terms of exports, surely we in the u.s. withstand a slow down in economic growth in europe but if the issues spread in to the rest of europe, if greece leave it is euro, i continue to believe that has an affect on our capital markets here in the u.s. for that reason, we continue to talk to investors about the need for including noncorelated asset

classes. >> okay. for the rest of the year. all right. you will be with us for the rest of the hour to talk about greece and many other issues that are affecting the markets. brian, over to you. >> a tough market, sue. thank you very much. president obama set to speak about a big change in immigration in the u.s. john, pretty good political timing on president's part. correct? >> reporter: it is. although, you know, the broader events that you guys have been discussing over the last few minutes are things that the president's considerably at the mercy of the greek elections on sunday, the discussions by euro zone members at the g-20 in mexico this weekend, where the president is about to go. i just left a briefing. but in the meantime, the president does something to change both policy and politics on his own executive authority. it's consistent with the we can't wait approach that he's taken amid a stalemate with congress so here's what he's doing on immigration. he is changing policy that the

department of homeland security to use discretion not to deport immigrants under 30 coming to the united states before they were 16, been here at least 16 years. no criminal record. people who have stayed in school, gotten a high school diploma, served in the military, now this is something that republicans have been in favor of, senator marco rubio advised this plan as part of the dream act. the hispanic contingency is important in the southwestern states. and the president's taking a jump on congress which isn't going to pass this. and the question is going to be, what sort of affection does that earn him among hispanics that favored him in 2008 but have not been indicating a greet deal of enthusiasm lately? marco rubio with a statement before i came out here saying while this is welcomed by many of the young people it is outside the constitution for the president to do this on his own

authority and that's the discussion over the next few months, sue. >> thank you very much. we await the president's, he's making the anountsmentes in the rose guard anna nicole a few moments and taking that live when it does happen. hurricane season is under way and we're not talking about the storms on the wall street. carlotta upgraded to a full blown category 1 in the gulf of mexico. 120 miles south-southeast of port age lo. there's a chance of evacuations in the gulf and very frequently reactions in the crude oil market. no word yet on evacuations but the oil check you took a look at, fishermen taking it very seriously and pulled the boats up from the water and heading for safer ground and very good idea, brian, given the size of that particular storm. >> i would say so. do you remember the analogy section of the s.a.t.s? >> yes, i do. >> well, we'll have an interesting talk about greece and the comparison between

greece and california to the u.s. nice analogy there. how about a rate on california? see where the other 49 states doing to bring hollywood home but before the break this morning's big movers wrapping up, up 77 on the dow. wrap up a wild week on wall street. looking for a better place to put your cash? here's one you may not have thought of -- fidelity. now you don't have to go to a bank to get the things you want from a bank, like no-fee atms, all over the world. free checkwriting and mobile deposits. now depositing a check is as easy as taking a picture. free online bill payments. a highly acclaimed credit card with 2% cash back into your fidelity account. open a fidelity cash management account today and discover another reason serious investors are choosing fidelity. [ creaking ] [ male announcer ] trophies and awards lift you up. but they can also hold you back.

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a new report of the milliken institute urges the state of california to take greater steps to keep the movie industry inside the golden state's borders. more and more out of staters have been pushing to take a piece of hollywood back home. dave wells, live in l.a. jane, adam sandler did a movie in my hometown of massachusetts and would have been nice in hollywood, too. >> believe me, any production would be nice to have in hollywood with a high unemployment rate, 10.8%. hollywood is belt tightening like anybody else and the location show where other states and countries come here to pitch locales. this is illinois here with a 30% tax credit. california is late to this game with the tax credits and hard to do given the nearly $16 billion budget deficit. >> 722. >> reporter: held this month by the state with $100 million with credit for productions here. new york hands out four times that amount. demand in california outstripped supply. hence the lottery as hundreds of

producers brought in scripts before the deadline hoping their numbers would be called. >> both projects shooting out of state not getting the credit. staying in california with the credit, we'd save at least 15% of our budget. >> most likely, if we're not able to get this tax credit, we will have to consider the states that give those tax credits freely. louisiana, georgia, south carolina. >> reporter: all right. now, the credits can be worth 20% to 25% of a production's cost. that is used to offset of production income tax bill. however, smaller productions can actually resell those credits to anyone in order to get the cash up front before shooting begins. is this a good deal for taxpayers? >> all of those productions in the program thus far are spending $2.9 billion in direct production expenditures and a billion of that in wages for the crew.

>> reporter: all right. so the tax credits versus the actual taxes off that 2.9 billion, it is about awash. however, them ploys 20,000 californians getting paid, spend more and taxes on that. that's where the extra comes in. they estimate $1.13 for every dollar in tax credits. the two producers didn't win the lottery and probably making back-up plans to go to maybe illinois. >> perhaps they will. jane, thank you very much. all right. we have the market alert for us. hi. >> hi there, sue. i want to bring your attention to big moves in the medical device space. we have zimmer holdings and some of the peers trading higher on the back of a strong earnings report from biomet, a privately-held company. now, the thinking is that bio met's earnings report perhaps a preview on what we could see from these basket of medical device players. sue, back to you. >> thank you. much, much more ahead on the

insider trading conviction. coming up as we continue on "power lunch." right now, the dow jones industrial average up on the day by about 70 points. we're back in a moment. ng just you know walking, sfx: sounds of marching band and crowd cheering and i found myself in the middle of this parade honoring america's troops. which is actually quite fitting because geico has been serving the military for over 75 years. aawh no, look, i know this is about the troops and not about me. right, but i don't look like that. who can i write a letter to about this? geico. fifteen minutes could save you fifteen percent or more on car insurance.

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that we think guess is well positioned as investors begin taking a look at beaten-up names with european exposure. i think i know what you'm say about this. tell us. >> a potential for a pop and a drop. today's not the day to be taking direct exposure to europe. and that's what you get with guess. plus, looking at a year and a half out, the chart in a well-defined down trend. maybe an uptick in the down trend and still i say no on that. >> that one's a no. guess. let's move on to barclays and downgrading family dollar from overweight saying, quote, we worry that the recent upside implies eps expectations too high. what do you think? >> it saddens me. i love the story for sometime. the price is not justified and seems that from a technical standpoint, the other day rying to make a new high and failed off that. i kind of think it's sell. >> up 44% year to date, too. i mean -- you did pretty well in

it early. >> can't go to forever like apple can. so right. >> let's move on to saic sensing senior management energized and committed to action. good formula? >> i hope they are. senior management should be. that's not why i like this call. if you look at the two-year chart on that, you see that potential defense budget cuts have been priced in. so to me now, it seems like the surprise to the upside. i don't think it's cut and i think that's not a bad -- i believe they get three quarters of the revenue from the defense budget. >> up 4% today. would you wait for a pullback? >> of course. i like it as a longer term thing. >> okay. thanks, jim. coming up, metal's market about to close for the week and gold's picking up lost ground. the nymex is up. ♪

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gold gold prices closing right now. sharon epperson tracking the action at the nymex. when's the latest on gold? >> looking like we'll close up about eight bucks or above. just above the 1625 level and

seeing the traders around me very cautious here ahead of the greek elections in terms of their trade. we have seen some sideways trading in the last week or so but keep in mind that if we do see gold as a beneficiary of any conditional increase in monetary easing that could be a likely outcome of next week fomc meeting. again, also, the political climate in greece leads me to believe that gold will still be the safe haven play. we'll continue to watch what happens to gold versus silver and gold-silver ratio rally this week and underscores the global economic concerns and the weak economic data impacted silver negatively and gold outperformed and in the week ahead, keep your eye on the currency markets for direction in gold prices because further weakness in the dollar to help lift gold and further past month or so we have been in the range between 1525 and 1640

for gold and really it will depend even more so than the greek elections traders say what happens on wednesday and what comes out of the fmoc meeting whether to see the 1640 level again or go back down to 1525. back the you. >> all right. thanks for the benchmark, sharon. appreciate it. let's bet gak to bertha comes after the conviction in former board member rajat gupta. bertha? >> reporter: now brings the number well over 60 and the biggest conviction yet in terms of a major executive convicted of insider trading of wall street five year tipping. a jury found 63-year-old gupta former board member of goldman sachs guilty of tipping off his colleague, the convicted chief of key information and events in the crisis with goldman sachs.

one count of conspiracy which carries five years and three counts of securities fraud. each of two years. two with dp the $5 billion invest omt warren buffett. one count of goldman posting a loss, one month later. what's interesting is jurors never heard a tape of gupta tipping off raj rajaratnam but heard raj rajaratnam on tape talking about having been tipped off. that the defense had fought hard to keep out of this case. the jurors said while it wasn't the key evidence, it was strong corroborating evidence. they believe that the prosecution really laid out the details very well but the defense attorney says he will be appealing on that front. brian, as the family cried as the verdict was read, the jurors said they were moved themselves.

they did like the defendant and wanted to find him innocent but they found the evidence overwhelming. >> yeah. i saw that one juror talked about him being a family man. thank you very much. gupta is a big story but here, mary, it's secondary. yesterday, we knew short covering was a huge part of it. >> right. >> today we're up. and it's a bit of a head scratch tore a lot of people. >> well, you know, the feeling is that there are hopes for stimulus are at least some signci stimulant of it and driving that was the disappointing data received earlier today. empire state industrial production, consumer sentiment and expectations that maybe europe is somewhat under control. of course, that seems to change day in and day out and see what happens on sunday. with the greek elections to see how -- >> bad data back to bad data, qe3, buy stocks? >> right. that's it. that's it today. >> how about the banks? >> the banks are good.

we have very big volume here. 600 million odd. we have seen the risk-on trade come back on as you mentioned. we have alcoa leading in the dow movers. technology very strong today. microsoft the winner there on the news on the reports that it's buying yammer a business social networking. >> it's unbelievable, behind every big monster on wall street and clearing a couple hundred. unbelievable. >> keeps going. >> tech is one place where that's generated. >> that's right. it has for quite some time or what we have seen in the last two years. we also want to mention the financials because they were weaker earlier and they have come back, at least most of them. one outlier is citi and still trying to dig in on comments i heard about that. don't want to say anything yet. nothing major. just what might be driving it. concerns of europe basically. overwhelming feeling there in large part because of its exposures internationally.

though citi like the rest of the big banks ring fencing the exposure to europe for an outcome and certainly a break-up of the euro and people hoping this weekend will not -- >> will not happen. >> right. or at least the first step happening. >> something to watch, too. thank you very much. u.s. factory production dropping in may. automakers blamed. the report says they cut back on output for the first time in six months. a quick channel check with phil lebeau. phil, this is pretty much in keeping with what you have been seeing? >> i'm not surprised by the weakness i don'tened the auto industry. talking about core manufacturing, the latest numbers show a slowdown. not a contraction but a slowdown. we were up in minnesota a week ago talking with a metal fabricating firm there and they said we're noticing to notice softness in the market. more caution coming from their customers in terms of placing orders and demand out there. this is in line seeing from

manufacturers around the country. more cautiousness about where the industry is right now and europe is a big part of that and broader economy, as well. brian? >> if something goes south in europe, it affects us, for sure. now the bond market. rick santelli, let me get this straight. equities are up and bond prices. >> yeah. it's fascinating. we see equities up and treasury price up pushing yields down. look from brian's talking about. intraday chart. down about half a dozen basis points. 158. settling at 164. you really want to have some fun? remember, two weeks ago today was the all-time low closing yield at 145. so let's start a chart at june 1 z. we also this week wednesday had the lowest interest rate at an auction which was 1.622 for that same 10-year maturity. what will happen sunday night? i can't tell you but i can tell you this. the credit markets don't seem to be enamored with the votes out

there and affected the one-way trade of many safe sovereigns over many, many months. currencies, look at the euro intraday. it's still holding strong above 126. hey, the bank of japan might not have done anything but many suspect they could intervene in the foreign exchange markets. the intraday chart clearly shows the dollar taking a bit of a hit, that's a dollar versus the yen chart and 78.70. we haven't settled under 78 since february. sue, back to you. >> thank you very much, ricky. all right. mary thompson mentioned the fact of a quadruple witching on wall street and volume is heavy. stay tuned. we'll hit the floor after a quick break to talk more about the wild week of trading and help you get ahead of next week. there's a two-day fed meeting. you have to stay tuned. tdd# 1-800-345-2550 let's talk about fees.

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brian shactman here at the nyse. up dow. crazy this week. let's talk with jordan. i don't even know. you know, yesterday short covering. larry kudlow said he wouldn't touch the market with a ten-foot pole. what's going on? >> well, market sort of amplify larry's feelings, reminds me of trying to cross the niagara falls tonight. as soon as they said they'd tether him with a wire, things calmed down. i think that's happening this week. there's stabilizing efforts by the coordinator among the banks, i think people felt confident that, look, regardless of the outcome of the greek election, assuming it's not one sided either way, monday will come. markets will open. people will start getting back

to doing business and i think towards the top end of a range here and seeing if we break out. >> it's comments over greece or qe3 back on the table, more bad numbers? >> a combination. they will do things to make sure that this market doesn't fall out of bed. people are saying you can't sell them here. >> have a great weekend. sue, back to you. >> thank you, gentlemen. a quick reminder that the president is makes remarks on immigration from the rose garden in washington. you are looking at a live picture. at the podium in a short while. he hasn't finished with a lunch and gotten back to the white house yet so we'll wait and when he does come to the podium, we'll bring it to you live. meantime, though, we have a very interesting guest, well-known to those of you who watch "power lunch." a long-time investor in european stocks or as he describes it, running in to a building building as everyone else is running away. good to see you again, david. >> thanks, sue.

>> last time you were here, everybody was running away from europe. but you went in there because you said you found compelling value. not in europe as a whole but in specific companies. and specific stocks. do you still feel that way? >> absolutely. there is a crisis. we all know that and everybody is in panic mode. but when we run in to that burning building, we are finding that investors have dumped good ones with bad ones and especially we like companies based in europe where their businesses are really in other countries and getting them at depressed european valuations and getting exposure to in some cases great opportunities of emerging markets but a cheap european multiple. >> like africa. >> exactly. >> a number of companies you are invested in based in europe but the business is in africa an one of the emerging markets that very few people have wandered in to yet. >> exactly. we have a company that's almost 100-year-old business. yet it only trades in london and all of their businesses are in

africa. they're in hotels, airlines. they service the mining industry. they have a big food business. now, they do have a fish business they catch fish. they sell it here. they got a contract with costco an sam's club but the operations are in africa and it trades in london and investors dumped it in the same cast of just getting rid of things with companies that are focused on europe. >> this is going to be a dicey weekend in europe. next week is difficult. we have a fed meeting. are you looking for more opportunity in the coming week or stepping back a little bit saying everybody's in full panic mode? >> we have today about 13% in cash. we have dry powder. we are ready to -- >> high or low for your fund traditionally? >> been about that level for the last maybe four to six months. but we're ready to go. it could go either way. because everybody's looking for

sort of a binary event. but the elections have come and gone with big fan fare but little results. we have the dry powder, we are ready to go and the same time we have bought so many investors undervalued we're comfortable. we want to be invested and don't want to be overinvested. >> is that the risk to the market? that the election is not a nonevent, certainly, but is not as devicisive as the market -- e market seems to want a decision one way or another. evidence, the whip saw we saw in the euro yesterday and today. is that the risk to the market, that this is not resolved, that it drags out again? >> that is the risk. and i believe that will happen. but at some point investors will look beyond it. greece is doing it can to run away from the problems. spain on the other hand is running towards its problems and deal with them and fix them. you have countries going in different directions so it's

really -- it is all over the place. i don't think that we're going to get a definitive answer this week regardless of who wins but in the short run, you'll have either a huge rally early next week or a big selloff and we'll be ready for either. >> all right. david, you will be with us again in a little bit. we'll take a quick break. the president is expected to make the comments on immigration just shortly. we're monitoring that situation. we'll take a quick break and be back in a moment.

welcome back. at the "markets flash" desk, questcor pharmaceutical hitting an all-time high. cheering the plans to expand the use of the drug of actor and treats multiple sclerosis and looking to expand the use of the drug and means potentially

bigger bucks for the company. sue, back over to you. >> thank you very much. thoughts on the market action and the big movers of joe tanious, cnbc.com's john carny and contributor jim iourio. let's start with the gupta verdict coming in this afternoon. joe, i'm going to start with you because what do you think this does to the psyche of the individual investor? this is yet another very high profile conviction. does it reassure the individual investor that the playing field is being leveled? or do you think it continues to undermine the perception is actually rigged? >> i think a little bit of both. reassures the individual investor the court is out there in their favor and then it rattles sentiment and confidence and you have to ask yourself how much is out there not uncovered and may certainly undermine confidence. you agree, john? >> i agree. i would go with the undermine. this guy on the board of goldman sachs. he was running one of the biggest consulting firms in the

united states. >> mckenzie? >> right. somebody that high level accused of wrongdoing and found guilty of it, it makes you wonder how rigged is this system? they caught this guy. how many others are out there? >> jim, yes? >> no doubt about it. there are records of amounts of cash on the sidelines. people mistrust the system anyway from the flash crash, dark pools, fhts. something like this does nothing. like catching a mouse in the house and you know there's more out there. that's it. >> you can hear the little scratchings in the floorboards. >> no question about it. >> ayyi yi. i hate ro dentds. we are waiting for the president, by the way. let's talk about greece. joe, what do you think is going to happen this weekend? how are you positioning money ahead of this weekend? >> i think as far as the short run is concerned, you have a bit of a binary outcome and things can move in the right direction. you have a relief rally or things going in the wrong direction and i think it's important to realize here is that in the long run, even if new democracy ends up winning,

unless you find that way to help the economy grow, i think this issue will resurface over and over again and leading to increased volatility in the year. >> great. john? more volatility, just what we need. >> especially if new democracy wins, we'll see volatility stretching out. so what we're looking at is more volatility going forward. i think everybody has to realize that all the major parties in greece say we want to stay on the euro, we want to reform the current austerity agreements and none of them saying we'll blow it up. i think no matter what happens, we are facing volatility. >> brian? >> i just want to chime in, sue. you know, two different debates here on the floor. softening usda that to stoke the thoughts of qe3 and then instability through greece and not getting an answer on sunday and know how much more volatility to deal with on monday is what we learn. >> so jim, do you go long

volatility? >> i'm a little bit long, too, but also long the stock market, as well. i think this is -- could be a bullish -- >> u.s. stock market? >> yeah. u.s. stock market. look at the inflation data of a couple days ago. that opened the door for a potential qe-3. if things go badly in the greek election i think the fed steps in and i want to be long and i don't think it's a greet thing they do that for the economy. i don't think it does much but does something for asset prices. >> do you agree, joe? because a lot of people think a reason the fed did not chime in when some of other central banks reportedly made statements is they have this meeting coming up on wednesday and it undermines or undercuts whatever statement they will put out. >> yeah. i think we need a close eye on what happens this coming wednesday. you are seeing coordinated easing from central banks around the world. obviously, i think the european central bank doing more and bodes well for -- >> noticeably silent. >> right. they need to continue to step in to the markets, for the fed here

in the u.s., you know, we continue to believe the u.s. economy is muddling through and with core inflation just over 2%, i don't think the fed is willing to really step in with quantitative easing. >> john? >> i have to think there's going to be a some sort of joint action next week. i wouldn't wait until wednesday. no matter who wins in greece, there's going to be a lot of tension. if the leftist gets totally shut out, we have the potential for riots in the street. seeing coordinated action to ease market fears and announcement of increased joint swap lines, a sign that they're in there. >> it's only if something hams that shocks the market and i think that one of the things to be pointed out here, there's territoryality here. you have japan, the uk, canada come out with their own currencies and need to defend them and push and pull going on here. the coordination's touchy. countries need to defend the currencies. >> you know, jim, the swiss franc, this is a nightmare for

the bank of japan. they've been jawboning about intervention. they have yet to do it. the swiss they have a cap on the currency. nothing you don't know. >> sure. >> what do they have to do to keep the currencies in line? there are some of the other safe haven plays. >> they can only intervene and that doesn't always work. the swiss intervened before. i know. i was on the wrong end of that. i like microsoft and ge. you can go to swiss and get a negative yield on a five-year or go to microsoft and get two and a half. to me that seems attractive. i don't think there's a ton they can do. if people buy the currency, they're going to. >> i think we see a giant battle in the alps. the swiss to defend that peg they have put on have to pour a lot of water to put out the fires. >> absolutely. >> they said they're willing to. >> but they'll fight, fight, fight for it. >> we'll take a quick break.

the president is running a little bit late and seeing the statements on cnbc. we'll take a quick break here. we're back in a minute. [ creaking ] [ male announcer ] trophies and awards lift you up. but they can also hold you back. unless you ask, what's next? [ zapping ] [ clang ] this is the next level of performance. the next level of innovation. the next rx. the all-new f sport. this is the pursuit of perfection.

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desk, look at shares of apach. finds a massive canadian shale-gas field and helping shares move high're today. apparently 48 trillion cubic feet in the northern british columbia. that is the news behind apa chee. back to you. >> thank you. 72 points to the upside in the dow jones industrial average. heavy volume on quad witching exwe ration day and the s&p hugging 1337 and feels like the day and nasdaq, tech, laggard at the opening and coming on strong. the best performing of the three major indices. >> you said tech. you said you recommended microsoft so if you want a global play you would do that for the yield as well as the stock performance? >> more than just a global play as far as global exposure. i believe that if things start to deteriorate in europe that the extra liquidity has to find

a home somewhere. there's a perception of safety there and microsoft, ge, technical standpoint, too, the chart on microsoft looks good to me. >> ahead of news expected to release next week. >> that's gravy, yeah. >> the big event for the weekend for the markets around the globe will be election in greece and michelle caruso-cabrera is there. you are looking live at athens. the rally under way there and michelle covering it for us here on cnbc. she said earlier the crowd was not as large as before and locks like it's grown since we saw her at the top of the hour. and michelle's covering the address by several of the candidates that are taking place at various times over this weekend ahead of the key election on sunday. jim, your best bet on the euro, does it rally from here or do we lose it? i i'm short the euro. >> you and a lot of other people. >> of course, of course. a week or