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another break # record breaking day on wall street. s&p is significantly above the 1500 mark. that technically is important and we are up 1 2/3 on the day. the dow is powering ahead again. >> all right. that will do it for "power lunch." as we turn it over a few seconds early to "street signs." sue? >> that's right. the beige book is coming out. "street signs" begins now. back tomorrow. >> and welcome to "street signs," everybody. i'm mandy. $118 million an hour, that's how much money the fed is creating as you work, wake or sleep totaling $85 billion a month. is it any wonder stocks are hitting highs. the beige book may sound beige, but it is anything but.

steve liesman joins us to put the color back in. two down grades in a day and now the former ceo calling for ron johnson's head. what on earth happens now? in the meantime, straight to steve with the beige book headlines. steve? >> thanks, mandy. the economy continuing to expand at a moderate pace. i'll get to the consumener a second. slow growth reported in boston and chicago. manufacturing up in most regions. residential real estate strengthened with home prices and inventories falling. now, consumers spending expanded. that's one part. but retail sales were slow in several districts. how did that happen? autos and tourism and services were good. but retail sales are not. let me tell you, get more detail here. retail sales were higher and stronger in five districts. it was weaker. those are some words used in seven districts. some reasons cited. end of the payroll tax holiday.

affordable case act. more on that in a second. fiscal policy and a few other headlines from the beige book and one quote here. contacts in several districts reported shift in sales. deep discounting among retailers becoming increasingly common. loan demand steady. fed follows that closely. want to know how much banks are lending. some looser in districts, that's a good sign. a lot of competition out there for good loans. labor market generally improving but they are hiring what is said to be restrained. let me read you one quote from richmond federal reserve bank. mandy, i went back and that is the second time the district mentioned the affordable care and influencing hiring.

chicago did. so may want to pay more attention to that. >> and retail, the big question going forward, right? >> absolutely right. tax holiday hit. there is a lot of economist who think february and march are times when it tears off. >> we have to watch the data. thank you, steve liesman. we have breaking news with eamon jafetehrik-e-jafriaerja e. what's going on? >> keeping the government funded until now and the end of the fiscal year at september of this year, 900 plus billion dollar measure. what it would do is continue sequestration that obama administration put into place last week, with a bunch of government agencies, with the defense and veteran's fund ppg this bill is going to pass in the house in the next couple of minutes. but has to go over to the senate before it can pass. there is an open question of whether or not we will beat the deadline for government shut

down at the end of this month. this is the first step in that process. guys? >> okay. eamon javers, thank you very much for that. in the meantime, the white house is canceling tours of the white house starting on saturday. blaming the sequestration cuts. our very own larry kudlow has a sit down interview with john boehner tonight at 7 awning p.m. on the kudlow report. back it what is happening with the markets. you look at numbers and they are saying, everything is fine. but signs on the street say, not so fast. let's bring in cena sanchez. steve liesman as well might weight in on this issue. i want to get to you first of all within gina. tell me, where is the bad news and is it bad enough to see any correction in this market? >> underlying signs of nervousness -- >> oh, sorry, gina, go ahead. >> i was going to say underlying

signs of nervousness point to a stretched market rally. though we do believe that central bank kks remaining a accommodative will remain calmer over the longer term but you are asking where the signs of nervousness come from. it is lack of conviction. most inflow coming by ets. broad market quickly as opposed to direct specific stocks. you know, secondly, moving on to, where else we see the risk, inflows have been going into safe havens, actually, safe haven bonds and defensive stocks. and have been the main beneficia beneficiaries. and then finally, pain trade going on where short sellers are squeezed out of the market because of the market rally as opposed to buying on conviction. for those reasons from an investment standpoint, giving us

slight cause for nervousness. >> i will pick up on your point about good stock pickers market. gina, to that point, is it no longer a sense of like, risk off market, risk on market. it does boil down to rewarding your good stock picker. >> yes. one thing we have noted is that the correlations in the stock market have been breaking down. breaking down for the last several months. this is a trend that tends to last a very long time, months if not years. in fact,ware wise correlationes have been ticking up from 2006 to 2009, 2010, 2011, 2012. that's a long time that that trend continued. we are seeing that break down. that will reward stock pickers. we have add very by leaguered equity long short fund managers. it's been tough in the long. only, you know, active management space and i think that can start to turn around

and really reward stock. >> yesterday on "street signs," we did a big wall walk. we had the bear case and bull case for markets. for me, one of the strongest points is essentially a fed standing there ready to help us out. do you think the fed can claim victory for this rally? >> the fed can claim, you know, to be one of the market drivers because the macro is driving markets as opposed to stock fundamentals which we are reversing to going forward. the reason being, for example, when we saw, spending cuts, come into action on friday, we still sought markets hard because the way investors are interpreting this, is saying, you know, yes you have spending cuts. yes it will hit growth. what it means is the fed will remain supportive of markets. where else are you seeing these type of returns? it is harder to find opportunity

within the bond market. and with the fed providing this to the markets, that's again why people are buying into it. again, seeing this momentum-driven val rally. >> why would you fight the fed, gina? is there any reason? is it still our friend or diminishing returns at this point? >> well, i've never believer in fighting the fed. right now we have a situation where the markets want it all. they want the market to recover and want the fed to continue to keep their foot on the gas. these two things can't go hand in hand for very long without having really negative side effect way down the road. but for right now, the -- any sign of interest rate -- interest rate rideses has caused the markets to fall out of bed and that's because quite frankly with the s&p where it is, it is not quite as cheap as it used to be. so a little rise in yield could turn markets around.

so i would say that the thing to watch is what happens in the bond markets. the feds continuation of support is important. but we need to see how the bond markets continue to react to all of these things. >> don't they say that's where the smart money is? gina and gemma, thank you for joining us. on deck, when you think it can't get worse for jc penney, it does. stock down 18% since monday. two more down grades today. and you heard the former ceo here on cnbc earlier saying ron johnson has to go. also, later on, see why boring might be the new sexy in this rally. how do traders using technical analysis streamline their process? at fidelity, we do it by merging two tools into one. combining your customized charts with leading-edge analysis tools from recognia

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another tough day with jc penney. down more than 30% in just the last week alone and just a short time ago in fast money halftime, former ceo allen questrom said ron johnson has to go. strong words there. >> strong sports words. it's been a rauf year for jc penney. like you mentioned, former ceo allen questrom called in with his concerns. take a listen. >> the board has to take action. they can't be delusional like i think ron is in this whole transaction. there are thousands of people who work for this company and this has been going on long

enough. ron is not a reliable source. you can't say you will make your numbers for the year and drop a billion and $4 billion later in sales. >> wall street analysts following retailers analyst. oppenheimer and citi both down. both saying they are believers in the long run but tle have short terms including losing some of the martha stewart product. martha stewart was on the "today" show before her show. stewart wants the ability to sell branded products in the categories in question at both retailers. >> ron is a visionary. he is trying to reimagine the retail landscape. and that's a big job. and he has not been given any time at all to do so. you know, it takes some time to rebuild a jc penney. >> calling johnson a visionary

on the stand saying it is exciting, it's awe inspiring and as we can see, a very difficult thing to do, go through this transition. >> okay, let's also bring in jessica from merchants forecaster and jan any offen. jessica, welcome to the show. >> thank. >> would you side more with martha stewart or questroms? >> well, we thought this might be a problem. we've seen this happen before. going to high-low pricing from everyday low pricing. it has not worked in the past. we expected this to happen. we are not surprised at this drop off. >> even if he is a visionary, which perhaps to me suggests someone more creative than someone in finance. what about a jc penney coupon, saying, if you pay $5 or more for a product, they will give

you $5 back. >> yes. >> what do you make of that? >> to be honest, it is a bit of a yawn. not that compelling. if customers come into the store, jc penney is hoping they will spend more than $5. but the fact of the matter is, the merchandise is not as compelling. there is other merchandise you can find in the mall. >> the lead up in the jeg segment, as one of the last people out there, still positive on jcp. >> well, i agree with everything she said. that's good. i haven't changed my opinion. i was negative all the way up to $43. negative from 43 down to 17. very painful on the way up. now i've been positive since $17. i lost another 20% here on that

bet. that's painful as well. but it won't change my opinion. i'm not seeing anything different in the stores than what i was talking about two weeks ago. traffic is there. crowds are there. people are buying the product. i was in three stores just yesterday. i agree, the product is not pretty good. but in the shops, it is pretty good. they are finally getting reaction from the customer. i thought it would be after may they would go positive. in the third or fourth quarter as far as store for store sales. haven't changed my mind. i think i told you last week if they really fire ron, the guy that comes in gets to walk into a company that's about to turn around. >> i think that that is a good point, jan. obviously we knew this would take a long time. johnson said, this is going to be a multiyear transition. first year was very, very tough. very hard to find any silver linings there. but if johnson leaves and someone else comes in, do they

continue the strategy or start all over again? they have to start over again and more tough sales. i don't know what to do. my mother in the midwest stops into jc penney. and as jen says, they are happy with what they see in the store but things -- >> i know what i would do if they put me in. keep the shops they got in place, i would probably get up to 30 or 40 shops. i doubt if i would get to a hundred. still have classifications in the store that is cheap. still run sales and coupons and hope the customer could start to react. that's what i think is happening right now. i don't know if they will get to a hundred shops but joe fresh will be very, very good. if they get enough martha stewart in the store, that will be good for them as well. they've got good ideas. it will resonate with the customer. remember this customer is only

in the store four times a year. it takes a long time to convince her this is a good idea. >> bottom line is this situation and is ron johnson's job salvageable? >> it is salvageable. they have to get merchandise 234 in the store that we haven't seen it yet. >> thank you. up next, will hugo chavez's death be a game changer for the oil markets? and home prices are starting to rally. so why isn't anyone selling? we will dig in on that one. [ shapiro ] at legalzoom, you can take care of virtually all your important legal matters in just minutes. protect ur

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dell. it may approach a hundred million shares and if so, of course would bring him to about 6% ownership of the computer maker. he is expected to file 13-d on dell soon and has purchase control of his shares over the next two weeks as dell shares traded near $14 above the 1365 obo. icahn told me he wouldn't discuss dell. however, people tell me he has met with dell's special committee and urged them to have a recap of the computer maker rather than the 13.65 share leverage buyout that's been agreed to between dell's special committee and founder michael dell and the lbl firm silver lake. icahn was asked to sign a confidentiality agreement and go to the shop now process conducted by that committee

evercorps. but he is not like to do so. southeastern management, parent company, is trying to organize share holders to vote the deal down. that will require a majority of shares not owned by michael dell to vote in favor with icahn with a 6% block in the against column approval of the deal without significant bump from buyout party becomes less likely. although to be fair we still have another quarter of earnings to come from here and vote is yet to even be set. now icahn has worked with southeast management in the past, you may recall, but at this point there are no signs the two have been paired as yet on shared vision for dell or in fact trying to argue against the deal together. dell's special committee considered leverage recap amongst other things as negotiated with michael dell and silver lake. but the committee felt it was

highly risky to take on a huge amount of debt whether or not it could get financing for that kind of debt. perhaps 8, $9 billion added to the balance sheet to be paid out to shareholders. they are worried about that, given what is still very much a business in transition and one with a great deal of down size # side risk. nonetheless, this is getting more and more interesting by the moment. mandy, back to you. >> it certainly is. just of course watching reaction and share price for dell as well up by 1%. thank you very much for latest on that and of course we will get any more details from you, david, if they become available. >> venezuela is in morn mourning for its late president hugo chavez. there is a lot of uncertainty of the future of the country's massive oil supply. in fact, the largest oil reserves in the world. bertha coombs is on the floor of

the nie max, what are they saying, ber that? >> it remains to be seen if chavez's successor will be met with the same procedures in terms of get giving away a lost oil and not investing in increasing production of those very vich reserves. the market watching more of the inventory numbers which were more bearish than expected. 10% of above levels where we were last year. there is a lot of produced here. a lot land locked. not able to get to the refiners. down on the gulf coast. so a fairly mixed picture. fairly muted. off of the lowes as we head toward the close of the session. >> thank you very much, for that bertha. what is next for that oil after chavez? joining me is analyst reesa grace targo. reesa, do you think the ven day

issal improve now? >> i don't think so. chavez's vice president looks very well positioned to win new elections and i think we can expect broad continuity, especially in the oil sector. >> do you think an opposition government would attract a more private investment, get exploration going again? >> i do think an opposition government would look to welcome investment back into the sector but here they would also be con strained by the fact that chavez's supporters would remain in control of the entire state apparatus, including the same assembly and state oil company. in the medium term it would be an upside but in long-term would be challenging. >> does that mean no impact on global oil prices? >> i think very little. yesterday we saw a little bit of an uptick o over venezuela's stability. but we might not see an impact until it is clear how the

transition plays out. >> thank you for the snapshot, coming up next. hinging our bets in a special edition of street talk. and why boring old stocks could be the sexiest thing around in this rally. "street signs" is back in a moment. [ male announcer ] i've seen incredible things. otherworldly things. but there are some things i've never seen before. this ge jet engine can understand 5,000 data samples per second. which is good for business. because planes use less fuel, spend less time on the ground and more time in the air. suddenly, faraway places don't seem so...far away. ♪

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as we can see, dow has record highs. nasdaq is lagging a bit, and part of of that is a drop in microsoft. and s&p marginally higher. today we will talk etfs with bob pisani. bob, great of you to join us today. the reason we want to talk etfs, is with these highs, you have been looking at inflows, outflows of etps. what do you think of these? >> well, you can see what they will think is hot in the future and can you can play the trend or go against it. the big trend is big cap u.s. stocks. so there has been an interest in buying the s&p 45500 for exampl. there are a number of them out there. but the key point is those

companies in that s&p 500 have been the key. this is vanguard total market, vti. anything associated with big cap names on the s&p 500 has seen buying since the beginning of the year, mandy? >> i understand one of the biggest successes is in the japanese part of the world. >> yeah. japanese markets doing very well on top of that, mandy. dxj, the japanese fund, has been especially helpful because that hedge is out currency risk and that's a big success as well. there's japan dsj. can you see the move up there. this hedges out currency risk. if you are concerned about the weekend, you don't want it deal with it, this is japanese equities buying it in dollars. that's a huge success, mandy. >> what about the emerging stocks, bob? >> there are two big ones out there. evm and vwo, that's the vanguard one. even though it is off its highs since the beginning of the year, this is part of the risk on

nature of the market that's been occurring the last month or so. you don't always have to go on the upside for inflowes. people still believe there is still an upside. there's the vwo, also seeing inflows, mandy. >> of course, one of the increasingly bright spots is the housing market. is there an etf that reflects this? >> yes. there is one for real estate. the v and q, this is the big cahouna in the space. this is a new high today. this is another example, risk on nature of the market in the last two months. this wouldn't be getting inflows if people were concerned about the nature of the real estate recovery. that's another big winner recently. >> when you talk about the wisdom tree of japan, you you talk about hedging currency risk. is there another way people can hedge their risk at these levels? >> yeah. for example, wisdom tree is a waive hedging out currency risks. there are other things you can hedge out here. people are concerned about the

fixed rate risk, the power share put up the bkln, this is fairly new, but make a note. this etf buys senior bank loan portfolios. the important thing is, this is sort of like high kweeyield funn a way. but they have floating rate debt, not fixed debt. if you want to hedge out debt like fixed rate, these float. and this of course will change if interest rates go up. one interesting ray weigh to play out against fixed interest rate concerns, mandy. >> thank you so much for joining us today. special edition with bob pisani. >> dow jones even higher today. there were a dozen stocks that did not participate in the rally from october 2007 peak. we're going to call them a dinosaurs of the dow. but which of those dinosaurs may be poised to go higher from here?

let's ask, brent and tony, managing power of strategic wealth partners. digging around in 12 names we gave you. tony, which three have you picked? >> to put it in perspective, we are looking for quality stocks that have, you know, pie dividends. so ge, at&t and merck are three great examples. ge, they are a great blue chip stock right now. diversified product line. they are building light bull. s to jet engines and one of those companies that don't mind diving into their war chest. and spending money in the company. we really like that quality. >> but tony, when you talk about ge and at&t and merck, why haven't they done well why why haven't they participated? >> well, i'm not concerned if they haven't. if they haven't participated, that's fine. i'm looking at people who got beat up. so gm stopped paying dividend and now brought it back and

maybe it'll take confidence for investors to get back in, but you know, i really think on a going forward basis, some of the stuff we're seeing with ge for example, are positive movements for those kind of stocks. >> and you picked stocks from dinosaurs of the dow. one which is down 78% since october 2007 high. >> you're talking about alcoa there, aren't you? >> yes. >> we look at alcoa and stock prices and oh, my gosh, you look at levels. let's look at aluminum demand in 2012. up 12%. expect 7% increase in 2013. earnings of alcoa, 24 cents. estimate for 2013 is 61 cents. their inventory turned over twice the industry. if you have a model of 16.5 times of that 87 cents, stock

price at 13.46, 71% gain, so i like these companies at these prices. i don't know whether it'll be tomorrow, 12 months, 18 months, you will have good games. >> okay. on the point of microsoft, microsoft is actually one of my 2013 predecks that i thought would not be around. whether this year or next year, if its current form. it kind of got to the stage where it might need to be broken up. what do you think about that? >> that's always a possibility with companies. when you look at microsoft, gosh, $68 billion in cash. over the last six months, $13 billion in cash, this company. very good possibility they could be broken up. but you've got a good company and what you may have is two or three smaller companies and that's okay, as long as the company has good fundamentals, which they do. and here again, another company, put them to 15 on earnings going out. u.s. stock price up $47 a share, up 15 multiple, mandy.

microsoft, and i know microsoft complain, oh, for ten years they've done nothing. but ten years ago it traded at 50, 60 times earnings. now trading at 8.8 times earnings. people have to look at the numbers beneath the stock prices and not think about where it was before but where it will be 12, 18 months down the road. >> okay, final pick from you. do you feel you're going more defensive here, would you say? >> i do feel i'm going defensive. right now i feel we are playing a game of musical chairs where everyone is making good money. everyone is dancing. music is still playing. when that music stops, having -- i feel that all three of the companies i mentioned are going to have a seat when the music stops playing. >> that's what we always want. brent, tooen, thank you very much for joining us. >> thanks. >> up next, the epicenter of the housing crash. why are housing stocks up 96%? nasdaq trading 37% away from its all-time high.

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coming up on "closing bell," we will be speaking exclusively to the ceo of the energy giant con co-phillips. also, disney ceo bill iger gets to keep the chairmanship after he is failed to be stripped of the title. but we will debate whether the roles, chairman and ceo were are hurting or helping disney's top stock. and is the economy in recession right now? he explains why and defends that call coming up on the "closing bell." maria and i look forward to seeing you for the all-important last hour of the trading day. thank you, mady. >> thanks, bill. as demand for new homes surge, but bu in las vegas, in the epicenter of the crash, up a

hundred percent. how can that be? all about supply and demand. diana has the story. diana? >> mandy, seems like las vegas went to the waste land of abandoned construction lot and foreclosed home to a building and feeding frenzy. why? incredible demand and supply. demand is from investors looking for cheap investments to rent out. >> the kpe stigs fierce. obviously as the invest oor started realizing this is a good market to be in with having a long-term vision, then more and more buyers, investors, cash buyers came on board. so it is very difficult. >> gonzalez has bought 80 vegas homes in the last year. bulk of which he is holding and renting, waiting for prices to rise even more. they are currently up nearly 13% from a year ago. a new nevada law criminalizing faulty foreclosures brought banks it a halt.

>> on every property i make it seems like we have multiple offers. continuously. and all cash offers. all close in five days. it is very difficult to find good deals. >> if you're an cash investors, forget it. that's why demand is surging for new homes. big public names like kb homes, lenar, ryland, they are moving back into vegas with a vengeance. >> from one weekend to another, $50,000. when does that stop? does it bubble up again? >> right now, about 4,000 homes are for sale in vegas. about half the normal amount. but over 6,000 investor-owned homes for rent. that's five times the normal number. what happens to the market when investors start cashing in on higher price answers selling all those rentals? for more, go to realtycheck.cnbc.com. >> thank you. are they sustainable though

and is this a sign of recovery in housing? let's ask chief economist,ed i want it focus particularly on asking prices. not the final price but the asking price. i understand there are 7% in february year over year. how sustainable and how healthy is? >> it is a strong leaneding indicator of where sales prices are going. where there are big increases in asking prices like phoenix, las vegas and detroit, those increases aren't supported by market fundamentals. we are not seeing either strong job growth or vacancy rates in those markets and there are foreclosures left to come. but in other markets seeing big price increases, those are supported by market fundamentals in san francisco, seattle, and denver. we are seeing those strong prices getting supported by strong job growth with relatively few to come. >> it is like al. but if general if you can take

percentage of those prices ended up having to be cut, do you think? >> asking prices are still quite strong. er with seeing a lot of bidding wars because inven tore i have so tight. we see buyers, particularly in california and the west, chasing after fewer and fewer homes for sale listed. >> this is what i don't get. we always hear this, right? inventory is tight. if you see sale prices and asking prices rise, wouldn't you, if you have a home to sale, person on the market? >> you might not do it yet. remember, nationally asking prices just bottomed one year ago. so many people whom might want to sell some day are expecting prices to rise. nobody wants to sell at the bottom. eventually prices will rise enough to encourage homeowners to sell and even builders to start new construction. but we're not at that point yet. >> what would be your best guest as to how much prices will rise

this year? >> i don't expect to see prices rising enough to start adding to inventory. even a year out from now. i expect to see inventory tighten in most markets. even though there is some seasonal boost inventory in the summer time. a year from now, likely to see less inventory on the market and less around the country than we do today. interesting. very interesting facts there. dow meantime, taking another look at the market. is it a record high? the nasdaq is still well off its all-time highs. so which stocks are going to get us there? that's next. there is no mass produced human. so we created the extraordinarily comfortable sleep number experience.

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. still pushing marginally higher. a new record high of 14,200 for the first time ever and up by another 54 points today. for the nasdaq, is at a 12-year high but still more than 35% off its all-time high. so can which stocks are going to lead the nasdaq to a new high? the high flyers or steadiers. seema takes a look.

>> let br you answer a question, let me run you through the data. the tech index, these four companies are projected to have the highest kpoind annual growth over the next five years. these are trieding as a multiple. switch over to value stocks that trade at relatively cheap valuation. that's primary to a lower rate. still trade at a discount to s&p, look no further, electronic arts, fiserv and qualcomm and sandisk made the list. semi conductors stocks have been one of the leading with intech and lean supply chain inventory and improving macro backdrop helps perform. >> so which is the better bet? growth stocks or value plays? joining us, aqrawal

and reggie middleton. great to have you with us today. i'm going to call you what's hot and what's not. rocky, you go first. where would you place your money? >> google is always a good play. essential a tax on the entire internet ecosystem. i don't see that changing. some thought that facebook might play a bigger role, but i looked at their search product that they launched a few weeks ago and so far it's not very compelling. >> i mean, reggie, goals was your winning draft pick, right? >> yes, it was. >> we had you on when you were accepting your trophy and you said you'd put your money at google, still, all-time highs, still the same? >> most definitely. google is not only the toll collector, but google is what i call the primary disrupter. google is moving into microsoft's cash cow and hedge money. google, of course, has toppled apple and rim, and google is

moving several other industries such as media for youtube, broadcast television. google has significant diversification play, a strong growth play, and depending on how you look at it, the valuations are not outrageous. >> reggie, do you agree with rocky's assessment of facebook and the fact that, you know, he's got some concerns about it? >> significant concerns. number one, one thing i've never heard as of the last reporting, facebook is actually featured negative growth. their membership has gotten smaller. this is supposed to be a growth play, and you can't be a growth play if you have a negative growth. this is something that should raise concerns to any fook investor, that in addition to the fact that it was ipo'd at a ridiculous valuation and it's starting to approach its ipo price, and that's a price that never should have been there in the first place. negative growth this quickly,

facebook is much more of a speculation, more of an option play than actual investment through equity. >> rocky, what's your view on yahoo!? marisa myer trying to do her darnedest to put her mark on that place, like or not like those moves. whatever. trying to make a difference there. is it going to work? >> i don't think so. they have serious structural problems at yahoo! completely miss mobile and completely miss social, and i don't think they have the talent there right now. the fact that they said you can't work from home anymore because we're worried you may be lazy and unproductive, you shouldn't be having those employees in the first place. >> to back up, when i went out, what, in this day and age you should be allowed to work from home and now a lot of those people working from home weren't actually logging in. >> sure. you should have gotten rid of them. not wait for a company policy like this. if they were unproductive, they should have been fired a long time ago and plenty of people

that are unproductive who show up to yahoo! offices. they should be gone, too. >> is this a company in deep structural decline? >> yes. this is not only an employee issue but a management issue. you know, it's not a matter of enforcement coming to work. you force productivity. they have to have a stake in the company's growth. it's doesn't matter. they are not productive at home and won't be productive at work. if management can't do better than that, the company can't grow. so, you know, the structure declines starts at management and not at the employee level. >> let me take a look at some of the things you've got a short on here. groupon, been on the show before saying this is a company that might actually go to zero. yelp, what else, iol? these are companies that you're not keen on, right? >> not at all. groupon we saw some changes last week. i just was doing the math. andrew mason has made $62 million just on appreciation after he was fired so not a bad way to go out, but i expect that

to keep going back down because there's just some big challenges in their business that aren't going to go away any time soon. yelp, a company that's fundamentally misunderstood. you know, it's a business that relies on small businesses and not understanding what exactly it is they are buying, and iol has had structural declines. they have done well in the last couple of years, but i expect that to go back to where it should be. >> let's end on a high note. what will give us hyper growth and drive the nasdaq back to highs? >> well, i've been looking at nvidia. if nvidia succeeds and intel will be itself in a structural decline. intel has missed the ultra mobile market whereas nvidia is hitting it on all four cylinders. the nvidia chip looks like it's closing the performance gap win tell and might even have passed it on the lower end. if this works and you have

massive adoption of the arm chutes for office work then companies like nvidia and nvidia itself should be doing very well. from a valuation perspective i'm not discussing but from a strategic perspective nvidia should be replacing intel on that level. >> thanks you so much for joining us. >> thank you. >> where in the world are the wealthy? but first on this day in history, 101 years ago, the oreo cookie was born, the very first cookie sold in hoboken, new jersey, where it was originally packaged, and is now the world's best selling cookie with 2 billion in sales. have an oreo. we'll be right back. zap technology. departure. hertz gold plus rewards also offers ereturn-- our fastest way to return your car. just note your mileage and zap ! you're outta there ! we'll e-mail your receipt in a flash, too. it's just another way you'll be traveling at the speed of hertz. thank you orville and wilbur...

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