the ten-year note, the yield is 2.71%, and that is helping the dollar index as rick santelli pointed out earlier this afternoon. so some stocks at new all-time highs, tyson foods and sigma aldrich. ty, that does it for us, right? >> that's exactly right. that's it for "power lunch." >> "street signs" begins now. and welcome to "street signs," everybody. i'm mandy drury. well, a dead stop in the sky. one of our guests thinks the government is out of their mind to block the u.s. airways/amr merger. not even larry ellison can bring this apple downch the stock hitting a six-month high and, okay, she's over. everyone go home. it's back to business for jcp. yeah, the business of bringing customers back and you, too, can be your own little nanny state to remotely check in on your house, your kids, your pets, your office.

whatever you like is drop cam the next big thing. hello, everybody. we begin with the developing story. the justice department putting ground stop on the merger between american airlines and u.s. airways. it all comes just two days before a bankruptcy judge was about to okay it and six months after it was first announced. let's get straight to cnbc's phil lebeau. you're covering the story since it broke, phil. how unexpected was this. >>? >> very unexpected, mandy, and now we can look forward to perhaps a protracted legal fight in court. just heard back from u.s. air and amr within the last hour, both of them saying, hey, we're going to fight this doj suit to block us. they are issuing a statement saying we'll mount a vigorous defense and pursue all options in order to achieve this merger to give a better american to our customers and our communities as soon as possible. in the last hour, in a letter to employees at u.s. airways ceo doug parker says the companies will not merge in the third quarter. that's going to be pushed out

for a while. he says the doj is wrong in its assessment. he goes on to say we will fight them. well, the doj has a different opinion. it says that this is an uncompetitive move for the airline industry. the doj saying we determined that the merger would substantially lessen competition for commercial air travel throughout the united states. importantly neither airline needs this merger to succeed. we simply cannot approve a merger that would result in u.s. consumers paying higher fare, higher fees and receiving less service. in a doj conference call where they talked about this suit and why they have issued it, a spokesperson said one of the assistant attorneys said listen, a settlement is unlikely. >> they believe that the best option here is a full stop to this merger. what this means is we're unlikely to see these two airlines any time soon at least coming forward to forment largest airline in the world and for the time being this merger,

which would have made u.s. airways and american number one in the u.s. is not going to go through. take a look at shares of lcc. by the way, buckingham research saying it's lowering the odds of a merger from 50% down to 40%, and the market cap hit for lcc today, mandy, $240 million. biggest drop since august of 2012. >> that really puts it into perspective. i want you to stick around for the next conversation. does the announcement signal the end of mergers in the airline industry? joining us now on the cnbc news line is bob crandall, former chairman and ceo of amr and an industry consultant. why do you say the government is out of its mind to try to block this merger? >> because, mandy, the government, as it so often does is compounding an earlier era, and if they didn't want

consolidation in the airline industry never should have approved delta southwest or united/continental. when they approve those things, they made a third major merger inevitable because delta and united are now so big and so ubiquitous that neither u.s. air nor american can compete effectively with them. as a consequence what the government is doing here is reducing competition, not increasing it. the fact of the matter is that unless u.s. air and american join us, neither -- neither of them can compete effectively with delta and united. they are not sufficiently ubiquitous. they are not sufficiently sized. they can't compete satisfactory either domestically or internationally, and what the government is doing is compounding an earlier era. if i had been the king of spain, i would never have approved any

of these mergers, but if the first two are approved, the third one has to happen if we're going to have three effective major competitors. >> okay. ray, do you agree with what bob just said, or do you feel that the doj maybe does have a point in terms of the merger would lessen competition? >> yes. i agree entirely. having three strong hub and spoke carriers, plus southwest would have given the consumer and the industry its best competitive effect. now we'll have two strong carriers delta and united versus two smaller carriers american and u.s. airways, and even though both those ayers can survive on their own, long term delta and united will squeeze them out and we'll be down to two big airlines and southwest and that will hurt the consumer long term and reduce the competition. >> what do you think the two will have to do and what does it have to do to give the

concession? to get the eu concerned, they have conceded a couple of airline slots? >> well, this totally surprised me, and there's not a lot over outside the washington area between these two carriers. if the other big mergers were approved, this one certainly should have sailed through. the only way they are going to be fully competitive with the two bigger carriers, and it sounds like to me from what the doj said is they don't want the merger to happen, not a lot that u.s. airways and american can do to make it advantageous for them. a couple of competitive routes and overall it would have improved things for the consumer and certainly for the industry. now, this happening here, they are going to have to add to capacity and be more competitive which will maybe affect pricing for the whole industry and have the negative effect on all airline stock prices. >> very interesting. phil, i would also really like to know what happens to the reorganization plan for amr

which has been in bankruptcy since 2011. where does that go from here? >> that's put on hold. the creditors will vote on that on thursday and that essentially was contingent upon this merger going through. that's on hold, and ultimately if the merger is completely blocked, then they have got to go back in the process, and i'm sure that the lawyers have a contingency plan there, mandy, but one thing to keep in mind. i listened in on that doj conference call. it was asked repeatedly is there any possibility or anything that these airlines can do in terms of giving up routes or slots, maybe at d.c., reagan or other parents that would make it go through and the doj made this clear. this is not about negotiating a way out in terms of these carve-outs, they are open to negotiations but they are adamant. they believe the best option here is to completely block this merger. >> is this the end of consolidation of big mergers in the airline industry? >> i think it is. there aren't many mergers, even

potential mergers left that could be done, but i do hope the companies will fight them and hope they will prevail because i think in the long run, now just as he says, as ray says, not short term, but in the very long run, american and u.s. air simply cannot compete with delta and united, and this is going to mean less competition which is a very bad thing for both the industry and consumers. >> we've got to leave it there for all of you, so thanks very much for joining us, and this is a developing story. as soon as we get more on it, phil lebeau will be back and we'll talk more about it on the show if we have anything. >> let's talk herbalife because it's back in the news because of some alleged safety concerns. herb, this is your area, hlf. what are we talking here, detected metal shards in some of their nutrition shakes? >> something andrew ross sorkin broke a few hours ago on our air, and talking about something, whistleblower complaint. this is something that happened allegedly a number of years ago

back in 2011 where they were playing in california and a product never got out. let me tell you something, when i heard the story, i thought to myself all the reporting that i've done on this company the least of issues is quality control or at least concern of the quality of the product. i consider this just sort of like over on the side. something that's a major concern. i think i bigger issue will always, as it applies to the broad herbalife story is whether this company is operating a pyramid scheme or business model. >> where are we sitting on that? obviously ackman has been in the news recently for jcp but has the very famous $1 billion short position with hlf. where are we? >> stuck in the mud at this point. what matters is at some point if you see a state attorney general or a state's attorneys general come forward or launch reviews of the company, that's when you pay attention. again, i've been through herbalife. i really think they care about their product.

this is likely a one-off. >> sabotage. >> we'll see what the whistleblower says. more importantly the broader issue comes back to the original story, what we did on selling the american dream on cnbc. is the company operating and the industry business models that need a little more oversight? >> a fantastic documentary by the way. >> let's take a look at what's happening with apple hitting a six-month high and breaking above its 200-day moving average. the last time that happened was back in november, so let's bring in piper jaffrey's gene munster, he has a $655 price target on ale. you like it and got an overweight and all of this is despite the fact that we had the comments from larry ellison which i thought would have been quite negative for apple. >> yeah, but, you know, apple is a very different company today than it was back when -- kind of in the '90s when jobs wasn't around, and so i think that, you know, it's all about products, products are the which go key, and there's more products

coming. i think that's the reason why the stock is going higher >> you think it's maybe buying ahead of the release of the next iphone, but what if that disappoints? >> well, if it disappoints that's a problem. the good news is they have the new iphone 5 c coming out which is the cheaper iphone. that's going after a market that they historically haven't gone after, so if you think about the total esphone market there's about 40% of the units that apple really hasn't addressed in the past so to get to the question about is this phone going to disappoint, or is the announcement on september 10, are they going to disappoint, you have to keep in mind that apple will be going after some markets that they haven't gone after in the past, and that gives us some comfort that it probably won't be a disappointment. >> okay. what if it is a disappointment and what else is there to fall back on? there's all kinds of noise and t s & l plans, nothing, of course, which has really materialized. what else does it have including consumers, i believe the speculation, board members and certainly investors have been frustrated by the lack of

innovation. >> yeah, the things that it can fall back on, us a mess, is the things we've been talking about for a long time, one being tv. we think that that could add 8% to the overall street estimates for 2014 and the other being a watch. that's a real wild card. if you assume 5% of the existing active iphone owners buy a watch, that would add 2% to the final numbers so that's pretty small but together they equal 10%. there are some things they can fall back on. keep in mind, too, when the iphone 5 came out, investors immediately became concerned about the iphone 5s because it's just not a new hardware upgrade. you could see the opposite thing happening this time around when the iphone 5s comes out, shortly after that we expect investors to start focusing on the larger screen iphone 6. it's always about what's coming in the future, and i think that if you fast forward it to 2014, there's a lot of good things, whether it's the tv, the watch, iphone 6 that will keep

investors involved here. >> okay. thank you very much for joining us. gene munster. >> thank you. good enough, when meh is the new yeah when it comes to the market. now that ackman is out and the board drama is dying down, it is time for jc penny to focus on the real problems. how does the retailer woo back all the customers they lost? and later on, it promises to be the next big thing in home security, yeah. we'll introduce you to the creator of drop cam. it's coming up. we're cracking down on medicare fraud. the healthcare law gives us powerful tools to fight it... to investigate it... ...prosecute it... and stop criminals. our senior medicare patrol volunteers... are teaching seniors across the country...

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good-bye red and hello green. the market turned around today after the atlanta fed president dennis lock heartsaid economic data remains too mixed to lay out a detailed path for a september taper, but let's get down to the floor of the new york stock exchange and join bob pisani. i want to know what you think about this. jack bouroudjian, well known to cnbc viewers, actually on "squawk box" earlier on today, and he was suggesting the stars are aligning for a serious correction. do traders agree? >> i don't know about a serious correction but most traders believe the market is going to be very choppy going into the fed meeting september 17 and it happened today on retail sales. retail sales don't normally move the stock market that much, but this was the first production number they have for july. industrial production on thursday. good enough. that's what happened. they were great, but good enough

most traders believe for the fed tapering to definitely happen in september. now the issue is how much are they going to taper and will they, for example, adjust a little bit more mortgage-backed securities or government bonds, and we saw the market reacting to that meeting september 17th so that's the debate going on here. it's going to be a little cheap. take a look at the dow industrials. lockhart came out and suggested maybe we'll do it any time in the next few meetings, that moved up, but that's what happened in the market's long term. get good production numbers on thursday, everyone believes it will happen and look what happened to building stocks, home building stocks, mandy. they are all down today because everybody is afraid of higher mortgage rates when they start tapering on mortgages, mortgage-backed securities. that's what's moving things right now here. finally let's take a look at reiths, real estate v.trusts, they are weak today. higher overall mortgage rates is what moving the markets. >> bob pisani, how depressing is

that, that everything is now just good enough. >> likes sands through the hour glass, so are the days of our lives. >> well, all choice have been on jc penney's board of directors the last few days. ackman is now out, and the search for a new ceo continues, but let's focus on the stores themselves. can jc penney really take back them all? we're joined by jan niffin and our very own courtney reagan and herb greenberg here to weigh in. what do you say? can they bring those customers back? >> penniee's did a lot wrong. fired their customer, pretty bad customer service. didn't focus online, that's a bad idea and didn't do any localization of the business. macy's did all of those and penney's didn't do any and is there any surprise their business wasn't good? can they bring them back? you bring them promotion and products you want.

you bring back st. john's bay and basics and bring back what you need to do to the customer and marketing will get better and customers will come back. customers like shopping. customers like shopping where they are comfortable. customers like shopping where they understand the business. they have got to do a couple of things, all those things i said and got to have a strong online press, and they don't have that. >> look at macy's, sort of like the role model in all of this. >> macy's is a role model for doing department stores as well as it's ever been done. the fact that they localized the business works and the fact they are growing the internet boston 40% a year is really a big move forward. >> and you know what's happening, jan, you mentioned how well macy's does, but many of us who go in macy's, no disrespect to macy's, find macy's, i certainly do, i always go in there and feel like it's a throwback to another era, the small escalatorescalators, not

i like. i go in there, buy stuff every now and then and there are other places i prefer, so why is it macy's, when there are others who feel the same way, doing so well? >> macy's arguably is running the department store as well as it's ever been run. talking about the broad full line middle of the road department store. no. macy's is not nordstrom. you want great customer service. you go to nordstrom, but if you want great value, huge selection, a well-run retailer localized to the store and if you want to be able to take it back to the store, order it in the store, get it shipped from the store, that's macy's. they are just doing it really well. >> and i think we'll know more about macy's tomorrow morning because that's when the earnings come out because we're not done talking about jv penny. ackman is out and he resigned. definitely a surprise. >> did he resign, or did he resign? >> honestly i think he had to resign because yesterday the board cannot kick him out. it's not in the bylaws. he would have had to resign. maybe he realized he's doing

more damage than what he's actually helping to do for whatever reason the board does not seem to agree with him and now that the ackman noise, he called it noise, andrew ross sorkin is out and now they can focus on the business, i hope. because at the end of the day that's what matters. i'll say it again. it's about what consumers want. that's not really what matters here. >> you know, courtney, jan talks about customers coming back to the stores, but yet you go to a place like kohl's, by the way, looking at their sales growth, it's not that hot, but the stock is really hot and for some reason, people have they found kohl's kohl'sor or stay there? no matter who is running the thing, get people back and get them back as firm customers. >> i don't know, maybe not. obviously retail is a very fickle business, technology also another business that people sort of move in and out of depending on what's hot and what's not.

i think it's interesting that kohl's hasn't cop toured poverty jc penney consumer. >> yet the stores are packed. >> with merchandise, and that's part of the problem. the inventory is not something that they have managed really well. they are getting better at it, and i think that's where we're seeing some of the share price pot is because they are getting better and making improvements. the customers aren't there that they should have gotten. spread out between t.j. maxx, the gap, maybe kohl's, maybe sears. >> have to leave it there and i do agree with you on the macy's shopping experience, i do agree. leave it there because there's breaking news right now. kate kelly, what are you hearing on the jpmorgan london whale case? >> mandy, the man who was given the nickname the london whale in connection with jpmorgan's losses will not be prosecuted by the department of justice in terms of losses, potential mismarking or hiding of profits in 2011. he's reached a non-prosecution agreement with the department of

justice from what i'm told and the staff of the securities and exchange commission, the staff of the cftc are going to recommend to the full commission that he not be charged civilly, either. he's been cooperating with investigators as part of the jpmorgan london whale investigation that's been going on for about the past year. we are expecting a likelihood of arrest of some involved in the trade as early as tomorrow, and more details, of course, on that and we do know for sure that bruno iksall will not be charged. >> clearly it pays to cooperate. >> thanks for joining us. >> coming up next, the cbs/time warner blackout is one retailer's gain. we'll tell you who it is and a tv built for two, and we'll dig into the stealth european rally. many of the markets there, and now 52-week highs, but which is the best performer? ♪

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. time warner and cbs fight is radioshack's gain. radioshack reporting a double-digit sales spike in high def antennas since the fight began. the stock is know up over 30% year to date. steve case may be best known as the founder of aol and investor in zip car and living social and he's taking the lead in the next generation of entrepreneurs. he joins our julia boorstin for an exclusive interview. julia. >> very happy to be joined by steve case. long list of titles, founder of aol, ceo revolution and chairman of start-up america but before we talk to you about everything going on here at this south to southwest video conference we have to ask you about the company you founded. a lot of headlines recently about aol and ceo tim armstrong reportedly firing an employee on a conference call that was

recorded. what do you make of that? >> disappointed to hear that but tim's done a good job of stabilizing the company and sorry to hear about that particular incident and hopefully that's a bump in the road and they will continue to build aol. >> do you think that will help impact his reputation down the line? >> probably a bad day, but we all have our bad days. >> have you talked to him since then. >> i've not talked to him. >> well, moving along to this conference south by southwest v 2 v, growing focus on building communities like las vegas. does las vegas have a chance? >> we started start-up america two years ago and said we need to inspire the country to support entrepreneurs at a regional level and we're part of the startup weekend level and there's actually a lot of enthusiasm and momentum.

casino business being here for 0 years led to a lot of technology being installed and a lot of network connections and call centers and data storage operations and now zappo's as well here and building up the downtown vegas area so there's good momentum. >> want to hold that thought one second. to josh lipton with some breaking news. josh? >> hey there, julia. check out the chart of apple right here and you'll see a nice intraday pop, carl icahn on twitter making some news. here's what he had to say. we currently have a large possession apple. we believe the company to be extremely undervalued. icahn saying he spoke to tim cook today, and there is more to come. you can see apple up more than 3% right now. we've been watching apple all day hit a six-month high today. it broke above its 200-day moving average, it long-term trend line but, again, carl icahn on twitter saying we currently have a large position apple believing the company to be extremely under value.

julia, back to you. >> thanks so much, josh. really appreciate it. mr. case, thanks for your patience. you were talking about the potential vegas has. what did you learn about building aol in weese? were there advantages being outside silicon valley? >> i think there are advantages and there's a broader trend called the rise of the rest and part of our focus in revolution and investing in companies all across the country. entrepreneurs in different parts of the country where venture capitalistses aren't focusing and now it's cheaper to start companies companies are being started in places like raleigh or des moines or austin or other places that really weren't considered start-up hubs 25 years ago. we started aol in washington, d.c. wasn't a startup community very much at all. really about the government and government contractors and lobbyists and that sort thing but now very robust and takes some time and having successes, aol and mci and wealth that got reinvested in the community. i'm really bullish on what's

happening broadly in the country and particularly regions outside of silicon valley. >> washington can't seem to agree on comprehensive immigration reform. what's the biggest risk to business if they can't pass a bipartisan bill? >> we could lose our status of becoming the leader in the free world, due to the work of many immigrant entrepreneurs, that's the story of america. there's a lot of different ways to look at immigration reform, some through a political prism or security prism and i think the right way is to look at it through an economic prism and winning a global battle for talent but i'm optimistic and the xwang gang of eight passed the senate and house it doing its work taking a step-by-step approach and in the fall they will come up with their approach and hopefully president obama can sign it into law and we'll

be positioned to win the global battle of talent and remain the best entrepreneurial nation. >> what category in startups do you think have the best potential? >> we invest in big ideas that are now little companies that some day could be big companies. like areas like education, done a number of investments recently in e-commerce which we think has a lot of different opportunities and the most recent opportunity e-commerce, giving the tools that big players like amazon had to tens of thousands of people and hundreds of thousands and maybe millions of customers for products like that so there's all kinds of innovation all across the economy and revolution trying to pick a few that we believe in and believe in the entrepreneurs and not just wanting to invest and mentor them and build great companies and celebrating the work of everybody through the start-up america and the start-up weekend everything and to make sure we remain the most innovate of. some of that is making sure that people in washington, d.c. need

to recognize we need to tampa bay steps to support the nation's entrepreneurs because that's the only way we'll have a bright future. >> we have to leave it there. thanks for joining us to talk about these issues and steve case, thanks so much. mandy, back over to you. >> thanks very much for the exclusive interview. would i like to point everyone's eyes in the direction of what's happening in the apple stock. it's currently spike. if you're on the radio i'm going to telling you it's spiking up by 3.7%. this is after carl icahn tweeted out just a sign of the times, right, he tweeted out we currently have a large position in a. we believe the company to be extremely undervalued. spoke to tim cook today. now this is, of course, after the stock. last september hit its record high above $700 a share and it's now sitting in the 400s so once again it's sitting at 485. once again carl icahn tweeting out they had a large position in the stock and they believe it to be extremely undervalued. >> coming up next, the sneaker

edition of "sports talk." we're back in just a couple of minutes.

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let's take a look at what's happening with apple stock once again. currently up 4%. you can see a nice spike on the chart after billionaire investor carl icahn tweeted out in the last ten minutes two things. firstly he tweeted out that they currently have a large position in apple that they believe the company to be extremely undervalued. second tweet minutes later was that they had a nice conversation with tim cook today. he discussed his opinion that a larger buyback should be done now and that they plan to speak again shortly. interestingly, by the way, herb greenberg, carl icahn has only tweeted 12 times and has over 30,000 followers. this is the ultimate activist stock. >> this is the ultimate activist stock, carl icahn at his finest. carl icahn spotting a lot of

cash. >> right. >> and by the way, so many people have looked at this. david einhorn looking at this. everybody looks at the cash and the only surprise he's looking at apple and not microsoft if he's looking at a hoard of cash. looking at a buyback. instead of paying out a special dividend that he sees the buyback and in his analysis or the analysis of his people he sees that this company has not done overtime shown that they can really do something with a cash like a great acquisition that really pushes the company forward. >> and he wants the larger buyback done now. >> let bring jon fortt, our tech reporter. what do you make of all of this? >> it's really interesting in the context of tim cook getting criticism over the past few months for being too shareholder friendly and now you have the ultimate shareholder activist carl icahn coming in and saying there's a lot of value in a. interesting to see how this plays out particularly in the weeks ahead of this september 10th announcement where we expect to see a lot of

excitement over perhaps not just one new high-end iphone but some lower cost models. i do expect to see lower cost models. this is the sort of rumor apple would have knocked down by now if it weren't going to come out with lower cost iphones and tim cook did hint at that back in may, that such a thing could be coming. this is a real interesting dynamic leading up to that. apple has done well to take on debt. it has some wiggle room to do this sort of thing, if they did want to do an additional buyback. interesting to see this interplay between tim cook and carl icahn. >> let's bring in tim gillis. what do you think this will do for the stock, sir? >> it will give you a nice little pop and when you have a big name coming in that's always a positive thing. >> do you think it will be a pop beyond what we're seeing now? do you think other people will

get on the bandwagon and get behind carl icahn and headache this a more sustainable gain for apple stock? >> that's hard to call. i would say that the fundamentals are still going to be driving the apple stock price. they already have a significant buyback that they are executing against, right, and while people love to talk about the cash balance at 146 billion, it is an impressive amount, you have to remember that the majority of that is overseas cash that cannot be used to repurchase shares or for dividends. >> that was herb's point. why not something like a special dividend. why go for a larger buyback? >> correct. i think the point is that their-balances are overseas and cannot be used for either dividends or buybacks. they would have to likely issue debt to -- to do so because they have used the majority of their -- of their domestic-based cash. >> in terms of using of the domestic-based cash, that's one think. this is a perfect time to raise

debt. colin, could thereby something for taking that overseas and bringing it back and just using it? >> you know, i'm a supporter of that. pay the taxes and show good corporate citizenship from that regard and have the cash available. certainly given the quantity of cash that they have, they could afford to do that with a portion of the balance. >> carl icahn says that they currently have a large position in apple. do we have any inkling whatsoever in terms of how large? >> i've not seen anything to that degree and see that when the finals get submitted. >> what's your recommendation on the stock? >> we'll buy, a $500 price target and we're getting close to that. we tend to think that apple does well in front of a product refresh cycle so the september 10th date is something we'll be watching closely, particularly as the stock gets closer to our price target. >> when tim cook and carl icahn sit down and speak hopefully they will tweet out the details and let us all know.

thank you very much. >> my pleasure. >> still ahaets head, bigskins, ducks, is this further proof of america's obsession with football, but, first, let's goat bill griffith what. are you obsessing on the "closing bell" today? >> we'll cope an eye on apple and also the hindenberg omen is making a comeback on wall street. we'll explain what it is, and we'll talk about whether you should be concerned and how to row text your portfolio against a possible selloff that it seems to signal. also we'll hear from somebody who says that blackberry is a dead company walking, even if it does go private, and sea world is ready for its first post-ipo warning and the first instant analysis of numbers and an exclusive interview with shamu. kayla tausche joins me. should be a very interesting last hour of trading today on the "closing bell." stay tuned.

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his opinion is that a larger buyback should be done now. let's get straight to jon fortt. what are we hearing from apple's side of things? >> from apple's side of things? >> yeah. do we have a statement from apple or not? >> i haven't personally received one. >> okay. okay. so what more are we hearing on this? >> well, i think right now it's where we had it before. we've got those two tweets from carl icahn. i'll be listening for a statement directly from apple if there is one. it's an interesting interplay between one of the most valuable companies in the world and the most visible investor and certainly one of the most successful. >> john, i'm also getting. this is breaking news. we do have a statement from apple and that is for those viewing here, tim cook, the ceo of apple did have a very positive conversation with mr. icahn today and he said they plan to speak again shortly so

we'll wait and see what they all have to say. >> thanks, jon. >> there has actually been a real strong rally in european markets. new 52-week highs today for spain, netherlands, france, and romania. ireland is the best performing european market year to date so the question is has europe finally turned the corner, and is now the time to put the money back into europe? joining us now is the five-sta star monday manager from franklin adviser. philippe, great to have you with us today. >> thank. >> you people have been focusing so much on all the negative headlines coming out of europe and have perhaps missed what's been happening in the market and that's a good story, isn't it? >> it is. the real money has been made when people start investing a year ago and markets up 30% and what's interesting here is that in the u.s. markets are at an all-time historic high. this is not the case in europe

by a long margin so there is a lot to do for you it and you should look at european equities. it's a lot cheaper. >> how do you invest? if you're a u.s. investor or maybe even a u.s. retail investors, how do you get into europe now? >> the few stocks here, either directly on the stock or the new york stock exchange or you have a lot of adrs or you invest in professional investment funds like my fund which invests directly overseas on the european stock exchange and at the same time take care of the currency race. >> do you want to go for a european basket, or do you want to go into one of those countries in particular? >> we look across the board because there's really opportunities in england and switzerland and france and germany, everywhere. >> any danger that perhaps europe's gain could potential,ly be the u.s.' loss. in other words, a lot of good news is being priced in according to some people so we might see some people flowing

out of here and going into europe where you still see gates. >> money is going to flow into you're. it would not be so much from u.s. equity but perhaps from u.s. fixed income. there's no doubt that u.s. situation is severely underweight and to me that's a very positive fact because that provides another measure of support. >> thank you very much. >> you're very welcome. >> very interesting to be able to take a look at what's going on in europe. coming up next, the big business of college football. if you're serious about taking your trading to a higher level, tdd#: 1-800-345-2550 then schwab is the place to trade. tdd#: 1-800-345-2550 call 1-888-284-9410 or visit schwab.com/trading to tdd#: 1-800-345-2550 learn how you can earn up to 300 commission-free online trades tdd#: 1-800-345-2550 for six months with qualifying net deposits. tdd#: 1-800-345-2550 see how easy and intuitive it is to use tdd#: 1-800-345-2550 our most powerful platform, streetsmart edge. tdd#: 1-800-345-2550 we put it in the cloud so you can use it on the web. tdd#: 1-800-345-2550 and trade with our most advanced tools tdd#: 1-800-345-2550 on whatever computer you're on. tdd#: 1-800-345-2550 also, get a dedicated team of schwab trading specialists tdd#: 1-800-345-2550

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welcome back. let's take a look at what's happening with apple. in the last half hour, we have watched the stock of apple popping. it's currently up by 3.6% after billionaire investor carl icahn revealed they have a large position in apple and they believe the company to be extremely undervalued. he also said he had a positive conversation with the ceo, tim cook. apple came back with a statement saying that, yes, tim cook did have a positive conversation with carl icahn. of course, we're wanting to hear more on this, and i believe carl icahn says they plan to speak again shortly. pigskins, ducks, $68 million sports facility. jane wells has america's obsession with football, just hit a new high? >> reporter: mandy, it certainly

has. if you talk about the money, we're not going to talk about apple, we're going to talk about nike. i'm the university of oregon with the head coach and the star quarterback, talking about the duck star, the $68 million facility that phil knight has built for the university. i don't even know where to begin with this. what is the most over-the-top element, coach, the first thing you first saw, you went, "oh, my god"? >> for us, it's the function at. i know a boring answer. we've not had a space like this from an educational standpoint to teach and coach our guys and the field space out here is something we've never had before. >> reporter: it's not your personal hot tub and the -- >> no personal hot tub, no. no. it's obviously a superhero. unbelievable. >> marcus, when you walked in, what was your first reaction? >> i was speechless. it's unbelievable. you walk in, and there's 55, 65-inch tvs in the lobby. >> and in the lounge, the italian leather and handwoven rugs from nepal. i have a 21-year-old son, and

i'm thinking, i would not let my son sit on this, especially after a day on the football field. what's it like? >> awesome. guys spend some time up there, and you build some quality relationships. just to be able to sit and relax and have our own space, you know, get away a little bit, it's awesome. >> kelly, the eagles, the first-time head coach. they have something called no excuses, because phil knight has provided everything for you. they joke it's the university of nike. how much pressure is there on you to deliver this year? >> not any different from another year. >> really? >> obviously, the university of oregon has been the winningest program in the pac 12 for the past 25 years. the most bowl games in the last years. >> don't remind you. >> yeah, we won't talk about the s.e.c. with that comes the certain level of pride, culture, the way we do things. we don't talk about the national championship except for one time a year. we've already done that. it's now about going to work. >> marcus, how does this make you a better quarterback? does it even make you a better quarterback? >> the coach explained the functionality, it really helps us to -- we have meeting rooms that are just a step away from

the locker room. you can go in there, watch film, different things, and then walk right here to the field and take what you learned in the film room out to the practice field. >> we talk about money. a lot of money in college football. you're going through some ncaa recruiting violations, and this is a huge recruiting tool. there's a lot of discussion over whether players should get paid. do you think players shut ged paid? >> you know, as an athlete, you know, we really take a lot of value in our education. you know, at the same time, a lot of us are here, you know, 24/7. you know, if we're able to get a little more money -- it's not even that. we enjoy the fact that we're blessed in the fact that we do get an education, but at the same time, a lot of us -- you're talking to a 19-year-old athlete. if you're able to have money in your pocket, it would be nice. >> coach, what do you think? >> i agree with marcus. we support from the university the stipend legislation that came out. and obviously, a done of speed bumps to get to that point, to

make it equitable across the board for everybody at, you know, the university of oregon, all the way down to somebody with maybe not as many resources. and so, that's something ongoing. our guys -- our guys get a great education. it's a fantastic university. they're well taken care of. >> coach, thank you very much. marcus, best of luck. maybe we'll see you in new york later this year. >> thank you. >> mandy, back to you. >> thank you very much, jane wells. coming up next, inside apple's big move today. (announcer) scottrade knows our clients trade and invest their own way. with scottrade's smart text, i can quickly understand my charts, and spend more time trading. their quick trade bar lets my account follow me online so i can react in real-time. plus, my local scottrade office is there to help. because they know i don't trade like everybody. i trade like me. i'm with scottrade. (announcer) scottrade. voted "best investment services company." a quarter million tweeters is beare tweeting.

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welcome back to "street signs," everybody. once again, let's look at what's happening with apple stock today. half an hour ago, carl icahn tweeted out to the world he has taken a large stake in apple and called the company extremely undervalued. let's look at the internals here in terms of what apple stock is up to, right? it's now up 26% from its 52-week low of $385. that was back in april. it is still down over 30% from its record high from last september of $705. by the way, folks, it's a market cap loss of $221 billion. here's what's amazing. in terms of the magic touch of investor carl icahn, year-to-date gains in some of his biggest holding -- netflix up 186%. federal mogul, 113%. webmd, 131%. herbalife, we were talking about a moment ago with herb, up 98%, and chesapeake, 51%. these are the biggest winners

for icahn associates so far this year. he has had very few losers among his 21 holdings. so as we say, this is the magic touch of mr. icahn. thank you for watching "street signs," everybody. "closing bell" is coming up next. welcome, every -- welcome, he said, everybody, to the "closing bell." it's a good start. bill griffeth here on the new york stock exchange. the stock market kind of steady here. boy, do we have some great stories to tell today. >> low value, and it seems like the big stories are elsewhere. we'll get to them. i'm kayla, in for maria, back tomorrow. we have a big show for you. it seems carl icahn couldn't let bill ackman be the most talked-about activist this week. in the last hour, the 77-year-old billionaire tweeting that he has taken a large position in apple and that he told ceo tim cook he wants a big share buyback now. and would you look