better than 2% gain for merck. so the markets really holding in pretty well given the turmoil in washington, ty. >> those small company shares keep rocking. the russell 2,000 at yet another all-time high. that will do it for "power lunch" for a tuesday. >> have a great afternoon. we'll see you tomorrow. "street signs" begins now. the government might be mostly shut down but the stock market is not. stocks are higher even with all the political chaos. we're going to find out why and have your full shutdown playbook ahead. what's wrong with gold? it is taking another huge tumble today. but is it when you should be buying gold during this dysfunction? one stock leading money manager called buying a, quote, no-brainer and the best news you're going to hear about the economy all day, we promise. >> i cannot wait.

i have three positive percentage stats for you. 80%, the amount of time the s&p is positive in the fourth quarter. 11s%, how much the s&p has risen on average in the 12 months following a government shutdown. and 100%, that is the number of times the first session of the month has been positive since june of this year. down to the trading floors and fill in the gaps. bob pisani, rick santelli. i understand all the desks are talking about a vague hope some kind of grand bargain might be struck, that we roll up the discussions on the continuing resolution with the debt ceiling negotiations, and that's perhaps why stocks are up today. is that realistic or crazy optimistic? >> i think it's crazy optimistic. a lot of people are talking about it and the first day of the month, but that doesn't necessarily mean that we're going to get huge flows here. take a look at what's going on here. this is what the chatter is here. the most important thing is the hope here is that all the uproar over the shutdown is going to

increase the chances a broad deal on the continuing res louis and debt ceiling can be negotia negotiated. this is going to take some time. we're out of time. the government is shutdown. you can't keep the government shutdown dor two weeks. hopefully that won't happen. there's the problem. you just can't keep going on. you have to figure out a way to get the government working again. the thing that's been floated around, seems very optimistic to me, solution to this is a continuing resolution, essentially for one week. a tone to two week deal to negotiate a broader deal. sounds a little crazy but that's the hope going on around here. mr. boehner lost control of the troops, mr. reid won't negotiate, how do you get them in the room together? >> crazy realistic. rick santelli, the ten-year yield touched the lowest in seven weeks ahead of the partial shutdown. how are bond traders taking the

news. >> they're up a couple basis points. i know everything is going to be blamed on the shutdown or those crazy extremists that obviously have a boat load of power it seems, but look at this chart, mandy. this is a chart from the fed meeting of ten-year rates. i would think that the last few days to the right, really aren't the meat of the chart. the meat of the chart is, the fed meeting changed the direction of interest rates. i think that's the dynamic. listen, if i didn't know anything about what was going on in the government, i see up 60 dow, up 12 s&p, and up two basis points on the ten-year it's pretty hard to pull much out of those three market prices. >> rick santelli, thank you very much. by now you know the federal government is mostly shutdown unless you're gently shoving the rock over your head you've been living under the last 24 hours. 800,000 federal workers furloughed, national parks monuments museums and most federal offices are also closed.

john harwood, we're seeing some headlines crossing from reuters and others citing peter king of new york and saying the house may be ready to vote on smaller chunk funding bills that would keep open parks. do you believe any side will either a, give, or b, pass short-term measures to keep more going than is going right now? >> the house could pass those things and it's a way of trying to absorb some of the heat or deflect some of the heat for a complete shutdown. i would not expect democrats in the senate to accept those proposals. you had one that john cornyn the senator from texas proposed just a few moments ago about keeping war memorials open because world war ii veterans came to washington, saw that their memorial was supposed to be closed, they sort of crashed the site and stayed there and wouldn't be moved. that kind of thing is going to happen. i wouldn't see it as the resolution and you had president obama come out into the rose garden a few minutes ago for an

event that was supposed to be talking about health care implementation, instead he turned it in a very strong attack on republicans, said the costs of this shutdown can't be known yet but they could be serious. here's the president. >> we may not know the full impact of this republican shutdown for some time. it will depend on how long it lasts. but we do know a couple things. we know that the last time republicans should down the government in 1996, it hurt our economy. and unlike 1996 our economy is still recovering from the worst recession in generations. >> so we're really watching this, brian, on an hour by hour basis because things could change very rapidly. peter king, the congressman that you mentioned last night tried to lead a movement by moderates to push a clean cr, clean extension of government funding that would have avoided the shutdown. he didn't get very far, only a handful of members went with him. today we heard from scott ridgel a republican from virginia,

represents government workers here, he came out and said we need a clean cr. we're going to be watching to see how many more members join that caucus, put more pressure on speaker boehner to try to break with some of the hardliners and make a deal to reopen the government. >> willing to lay odds on if that happens this week, john? >> i would expect it to happen by the end of the week, brian. i would. i'm aware that some people think it may go on much longer but there isn't that much time. we're getting -- bleeding closer to the debt limit fight and i think if a, especially if we have to do this battle twice, once on government funding, a second time on raising the debt limit which would avoid a financial crisis, i think they better get on with it and i suspect that since john boehner really doesn't want either of these things to happen in a substantial way, to the detstry mept of republicans, i suspect they can work it out but i've been wrongly optimistic before. >> you tell them john. get on with it. joining us live in washington.

14 hours into this mess, what is the one thing, the one thing that you should be worried about? joining us from the wharton school is professor jeremy siegel and kim forest from fort pitt capital group. jeremy and kim, great to see you there. kim, ladies first here on cnbc, are you worried? >> great. no, not really. i love a good deadline and it looks like it's working. no one wanted to talk -- neither side wanted to talk to each other and now that the government shutdown it looks like they have an incentive to talk to each other. our chief investment officer this morning in a meeting rightly called this the jv fight and the debt ceiling fight will be the varty fight. i think that's weight going to be interesting for -- what's going to be interesting for the market. >> professor siegel what are you recommending our listeners and viewers do? do they sell anything?

buy into any weak snz. >> i would buy on weakness, but, you know, i agree with kim, i agree with john, it is the debt ceiling, it is that fear on the probability is very, very low, but if there's any default or hint of default on u.s. treasury bonds, there will be chaos in the market. if there is any downgrade, if s&p decides to go another step and downgrade again, remember what happened two years ago, 700 points off on the dow. this is what we need to worry about. now again, i don't think the republicans are going to let it get that far. so once this does get resolved, i do think it will, there's going to be a huge relief rally but doesn't mean there won't be nervousness until we get to that point. >> professor seeing toll play the devil's advocate. back in time to august 2011 the time you're referring to with the downgrade, we did go through

corrections, the dow did have triple digit wild moves for about three weeks. borrowers kept buying our debt and everything settled down. would it be the end of the world -- >> i wrote it was foolish to downgrade the debt and -- but, you know, there is that fear, china, foreigners do hold trillions of dollars, if they get a little bit influenced by some of these ratings, you know, there is that anxiety. i agree with you, we got through it two years ago, but again, this is something the market does not want to happen. >> so, kim, actionable information for us, please. you're not hitting the sell button. are you hitting the buy button? >> not today. >> are you paralyzed with fear? >> hardly. hardly. no. we are looking for good opportunities and quite honestly, the market's run up so far in advance of what we think earnings can grow it's slim

pickings about what is a mispriced stock at this point. we're combing through, looking for stocks that look like they can mature in three to five years. there's still a handful of them out there. but it's a lot narrower choices than we had earlier this year or last year. >> indeed. sticking in the bullish camp still. we also -- >> i don't know. maybe we'll coin that the "street signs" panic and fears siren. no idea what that was but it sounded ominous. >> okay. jeremy, let me get back to you, i was wondering what that buzz as well. i kind like it. jeremy you're sticking with, at the end of this year, your call the dow between 16,000 and 17,000. that's a pretty broad range but suggests up. >> right. >> in either case, right? >> yeah. definitely. first of all, you know, i think once this gets resolved, we could have a thousand points on the dow. remember, there were three uncertainties facing the market. a question about syria, there

was a question about the fed governor, that's pretty well decided now. there's a -- we don't know when the tapering will begin but it's going to be on the light side, very light side, taper light when it happens. this is the last road block i think to it. the data, the economic data has been coming in pretty good and the pmi index today, now we may not get that employment report. >> professor siegel -- >> we get that on the first friday. >> we have to leave it there. once this gets resolved we will have good moves in the market. >> let's hope it does get resolved. thank you very much, professor siegel and kim. >> dear pittsburgh tv stations don't use that noise ever again. thanks to jeremy and kim. despite the shutdown, obama care is up and running. reports the healthcare.gov site is overwhelming, stalling or crashing on some people. new york state reporting 2 million hits on its website in just the first couple hours. how many of those are journalists we have to wait and find out.

until congress figures out what to do with obama care, any play here on the health care stocks that have already had a huge run? let's bring in paul hickey, they've had a big run on anticipation, is there any reason to buy them now? >> some of the sectors you most commonly hear about such as the insurers and hospitals, you know, they've had a good run and health care sector is the second best performing sector since obama care was signed into law in march of 2010. so you have to be weary a little here, if there is any hitches in the system, if a lot of young people don't sign up or, you know, that may hit the insurers. so bad news will likely see outsized reactions by the stocks. the one sector which we find somewhat interesting is health care technology. the digital records aspect of the health care law isn't as talked about and there's a lot of technology related aspects of it, encouraging increased use of technology.

there's stocks there that we like. one of them is omni. they are in hospitals. they help distribute medications, more of an automated process. it eliminates worker error and it also streamlines the process. we like that company. and then also in the same sector, though they don't look necessarily as good as omni sell but still look attractive and good dividend yields are quality systems and computer systems. cpsi and qsi. so i think ininvesters may witness to look into that area -- want to look into that area. they may be a little bit played out, the insurers and hospitals. >> check out the digitalization and medical records sector. i want to ask about the stirrers of the big old -- about the debate pot the medical device makers. what happens to them now? >> you know, i mean they've -- again, the medical device tax

has been -- as i said has been negative for the sector but they've done well. one of the names that we've liked in this sector all year is boston scientific. the analysts hated it at the beginning of the year. and investors didn't seem to like it. the stock has more than doubled throughout the year. it with az stock we continually featured in our stocks under $10. unfortunately it graduated from this list this quarter because it's over $10. i think we don't -- we think that's priced in and the sector should do okay. >> okay. paul hickey, you're okay. thank you. >> thanks, brian. >> all right. >> on deck, apple getting a lot of love today. value investor bill miller loves it. carl icahn had dinner with tim cook as well last fight. >> night. >> gold may have had its best quarterly performance in about a year. shouldn't it be soaring in the face of a government shutdown. does this mean gold's running is done. we'll debate that coming up. fu, a confident retirement. those dreams, there's just no way we're going to let them die.

♪ like they helped millions of others. by listening. planning. working one on one. that's what ameriprise financial does. that's what they can do with you. that's how ameriprise puts more within reach. ♪ ♪ ♪ [ male announcer ] the new twin turbo xts from cadillac. 410 available horses. ♪ room for four. twice the fun. ♪ ♪

apple stock moving higher up by over % hitting the highs of the day straight after activist billionaire investor carl icahn told scott wapner today that not only does his firm have $2 billion invested in apple shares but he pushed hard for a $150 billion buyback in a, quote, dinner with ceo tim cook. dominic chu here to pluck out the core issues discussed. icahn was adamant he was not threatening apple in any way, shape, or form but made it clear

what he wants. he's a man used to getting what heent whats. >> there was an interesting tone here. we know that apple wants -- icahn wants apple to do a massive stock buyback. when he spoke on the halftime report to scott wapner and said the two sides are far apart on the size and scope of the buyback, apple's board thinking $16 billion range, icahn thinking it should be more like $150 billion. he talked about why apple should do that kind of massive buyback in this environment. >> i can't remember seeing it for the last 20 years where you can borrow money at 3% to 4% which apple could. here they have a golden opportunity go borrow money, which actually, you know, somebody like myself, borrows money today because we can borrow it and we even lose a little bit on the ash traj, and apple can borrow money and buy stock at such a low valation.

>> icahn called that buyback for apple shares really a no-brainer. now that stock has been a laggard so far this year. it's posted actually a negative return. not only is it under performing but it's losing investors money in 2013. investors are looking for anything to help jump start this stock. it wasn't just apple he spoke about. he talked about another tech/media company if you will, netflix. he's a shareholder there, of course. he's also reaped some big rewards. that stock is the biggest gainer in the s&p this year. it sits at record highs. icahn, he's also sticking with that stock. >> netflix, i think has a great model and we haven't sold a share. i think a lot of analysts missed it. when it was 58 or 60, they just missed the fact that, you know, it's almost like apple in a way, you do have a loyalty in netflix. >> so guys, apple and netflix, icahn's winning big on the latter and betting on a big win for the former. >> he does -- he has a strong

statement, strong way of saying stuff and people are listening to him and now he's taking to the twitter. >> yes. we all follow his tweets. you got to. he's active on it now. >> fantastic. >> i only follow you and mandy. that's it. bring in piper jaffray's gene monster, overweight rating and $640 target on apple and j and p securities alex, he has a hold on apple. gene and alex, thank you for joining us. alex, why the hold? >> well, we think it's about growth and right now, apple is not demonstrating any material earnings growth. there's questions with the business model right now. the hardware looks fine to us, but it's under assault from lower margin alternatives. the other side of the business, the break through, the apple tv that hasn't come, the maps that stumbled out of the gate, those are the things that give us pause and why we think the stock is fully valued here. >> certainly sounds like it's not a no-brainer for you. would you like to counter some of the concerns that alex just

raised? because you've always been a bull on apple as far as i'm concerned and you've already got an overweight on it with 640 target? >> yeah. you know, talked about the no growth. that's been actually -- that's absolutely true over the last year. there's not been earnings growth. the march quarter we should get return to earnings growth and these stories as you go from negative to positive earnings, i think that that's going to be an inflection point. think that's one piece to it. separately, it's interesting to look at what the unit numbers for the iphone were in the june quarter. they're outpacing the industry. i think not only do you have a pivotable moment in the march quarter where it returns to growth but also the concept of apple kind of growing at slightly higher than market rates i think is very possible in 2014. >> gene, are you concerned about margin erosion? when apple introduced the iphone it had no competition, almost price where it wants. not the case now. >> you know, we're less concerned about it now than we were a few weeks ago when we thought they were going to lower

the price. we've gone back and checked the pricing of the iphone since they launched the iphone s in nine different countries and they're the same the pricing was before the reality is the margin should inch higher which gets us more comfortable with that earnings growth in the march 2014 quarter. >> alex and gene, thank you very much for joining us on apple. >> thank you. up next, walmart, which is the world's biggest retailer, makes a move on the world's biggest on-line retailer amazon. numbers to see which of the two is the better stock play. >> and later on we'll be taking you to fashion week for wearable technology. not just smart watches here, wait until you see the various other cool gaj gets you could be wearing soon. (vo) you are a business pro. maestro of project management. baron of the build-out. you need a permit... to be this awesome.

and you...rent from national. because only national lets you choose any car in the aisle... and go. you can even take a full-size or above, and still pay the mid-size price. (aaron) purrrfect. (vo) meee-ow, business pro. meee-ow. go national. go like a pro. so ally bank really has no hidden fees on savings accounts?

no hidden fees. it's just that i'm worried about you know "hidden things." ok, why's that? well uhhh... hey daddy, what's your job? daddy's a uhh florist. are you really a florist? dad, why are there shovels in the trunk? there's no shovels in my trunk. i see shovels... you don't see no shovels. just am. well, it's true. at ally there are no hidden fees. not one. that's nice. no hidden fees, no worries. ally bank. your money needs an ally. in a we believe outshining the competition tomorrow requires challenging your business inside and out today. at cognizant,

we help forward-looking companies run better and run different - to give your customers every reason to keep looking for you. so if you're ready to see opportunities and see them through, we say: let's get to work. because the future belongs to those who challenge the present. let's get to washington, d.c. we have new developments in the fight. john harwood, any movement by the president or the republicans? >> no, brian. but it's an update on what we talked about just a few minutes ago. you remember, we discussed the idea that republicans would put forward a group of mini

continuing resolutions to fund different parts of the government and i said i did notp expect democrats to accept them. jay carney is briefing at the white house and the white house is rejecting that idea saying republicans are twisting themselves into pretzels trying to come up with different partisan spin on this resolution of this controversy. the white house is shutting the door on that and i would expect harry reid to as well. i don't think this represents movement toward a solution. >> all right. unfortunately, not. no movement on the clean mini crs if you want to call them that. thank you very much. >> the pretzel is a hard yoga move. the titans of tech are gaming at the wearable computing market. intel, qualcomm, apple and samsung all making big bets. john forth is in san francisco with some edgy ideas john. >> if there were movement in washington some of this technology would be able at the

conference, not just watches but about sensors and the software that helps communicate what those sensors are measuring about your sleep, about your exercise. things like that. take a listen to what one of the ceos in this company had to say about what he's looking for in the future of wearables. >> we want to be in the software industry and run technology that can help people not just read your text messages and see you have a phone call coming in on your wrist, but help you understand how your behavior is faegting your overall performance. >> he's talking about companies like apple and google there. the companies that will provide the platform to allow a lot of this technology to really take off from the folks i've been talking to here, the idea they are having to make the devices but once somebody cracks the code, gets the ipod of the wearable market and the itunes of the wearable market there will be more to come. i was talking to the ceo of intel a couple months ago. he said he believes that units wise the wearable market would

be ten times as big as the smartphone market but the prices will be lower. the profits will certainly be lower per device. we'll see who exactly is able to capitalize on that. here i'm hearing also that en e entrepreneurs are talking to google, apple, to all soirts sorts of companies like that. they expect apple might have a smart watch in the first quarter of 2014. a couple people have said that to me which is an interesting prediction. maybe a january unveil and a later spring launch. as we've seen from apple in the past. really sensors, power management are the key in these devices. might have seen me wearing a little backpack, like a subwoofer you can feel the base through the back pook while you got the headphones on. things like that. entertainment that's cool too. >> john fortt thank you very much. we appreciate it. blade runner fortt. we hear we're not going to get any economic data out of the federal government. that is not entirely untrue.

we are hearing on thursday as normal at 8:30 a.m. eastern time going to get this week's at least this week's unemployment claims. so not sure if this will be every week. we have no update on the monthly jobs number which is due on friday. but this thursday at 8:30 as normal, right here on cnbc, we will get those weekly unemployment claims numbers. all right. still ahead, money manager's top three stock picks. think big money and big tech. >> how about some good news in the midst of this shutdown insanity. gas prices have been plum netting. just wait until you hear how low they might go just in time for the holiday season.

i want peacocks. peacocks? walking the grounds. in tuscany. [ man ] her parents didn't expect her dreams to be so ambitious. italy? oh, that's not good. [ man ] by exploring their options, they learned that instead of going to italy, they could use a home equity loan to renovate their yard and have a beautiful wedding right here while possibly increasing the value of their home. you and roger could get married in our backyard. it's robert, dad. [ female announcer ] come in to find the right credit options for your needs. because when people talk, great things happen.

it is street talk time. hitting the stories you need to know about every single day. okay. first of all we've got raymond james announcing five restaurant stock downgrades.

>> listen up, here we go, buffalo wild wings, fiesta restaurant group red robin and carol's cut to outperform. still a good rating but from a strong buy not a huge downgrade but risk to sales and the overall environment for restaurants, maybe not so great. they highlight it's unusual to have strong buy ratings on restaurants so this does emphasize their near term concerns. stocks mostly -- >> yeah. pretty mixed picture out there. >> h and b block upgrade from morgan stanley from overweight to equal weight. >> they note last month's h&r block branded effort to buy coverage under new obama care program, their target to 33, about a 32% upside move seen on h&r block shares as of this morning. stock has been hot up 54% over the past 12 months. >> we have under armor upgrade to neutral. they like nike more. >> they do. it's a dual call. jpmorgan analysts citing increased amount of department

space devoted to active wear. doubling of the square footage devoted to active wear. raising underarmor but nike is best in place with something called significant runway remaining in the long term. >> and we have today's under the radar pick. today it is carter holdings. >> this is the holding company of the baby clothes company. they own oshkosh and others, upgraded to a buy from a neutral. goldman sachs target to 89, about a 16% upside to the current price. stock is up 37% year to date. a lot of people nesting, more people having kids. >> all right. time for our new special segment. talking numbers. hitting a stock from a fundamental and technical perspective. walmart in one quarter, amazon in another. they are in a fulfillment arms race. walmart unveiling 2 million square feet of warehouse space in pennsylvania and texas. amazon revealing two in texas. which stock could be a better buy for your portfolio? let us begin talking numbers.

it's walmart versus amazon. on the technicals, rich ross, global technician at hour back grayson. on the fundamentals joe with equity partners. rich, first to you, which chart looks better? walmart or amazon? >> well, amazon is the much better looking chart and, in fact, walmart is a sell here. based not only on the technicals but fundamentals as well. perhaps they can use that new warehouse to store some of that inventory that they reportedly is building up, cutting orders for the third and fourth quarter reducing full year guidance. look at this year to date chart and you can see the stock climbs the wall, get s out to a hot start, runs into resistance at $79 and we settle into the wild trading range between 72 on the low end, 79 on the high end. for the past seven months we have a telling false breakout to a fresh high around $80. a price we're likely not to see for many years to come. in fact, you see that gap down on earnings, we run right back

into resistance. when we close that gap. i think we break down below the low end of that trading range around $72 and there could be another $7 downside from there. i would be a seller right here, brian. >> okay. you would be a seller right there. joe, do you agree or disagree? seller or not? >> well, i don't know if i can agree on the selling walmart here but i agree in amazon's model more so than walmart's going forward. if i had to take a position i would have to echo the thoughts of rick there. i mean walmart what they're doing now is a must do versus what amazon has always done and focus on, of course, e-commerce. amazon does not only deeper but wider what walmart is chasing them on. to a tune of almost six times the amount of on-line sales. so walmart as we learned a few weeks ago, of course, has a lot of inventory on the shelves and trying to scale back their future purchases to meet that demand or at least meet future demand which may be dwindling with people walking around the stores. we all know that the shopping malls are not as busy and so are the big retailers like walmart. they're also very sensitive to

aca and, of course, minimum wage which are hot topics in washington. and as those numbers start to rise and as we get the fleshing out of aca over the next 12 months i think you're going to see companies like walmart really be saddled with costs to keep the types of employment they have. if they start laying people off then that's going to be really trouble for the stock. amazon i li. they saw this over a decade ago and bezos has done a great job. the future what he does combining in washington post and figuring out how content can be markble and putting that together with the kindles he will be pushing out the door for hotel day season. >> if i can add while i think the chart is far more classically bullish many of the problems that are facing walmart are also facing amazon. with the stock at an all-time high as we enter the month of october, i like the chart here but i like it much better on a pullback. i think there could be 10% downside, perhaps a test of the 200 day moving average around 270 where i would be a much better buyer of the stock.

>> yeah. walmart -- we have to go there. walmart not getting -- about as much love as a rabid raccoon in your garbage can. thank you very much. catch more talking numbers on-line at cnbc.com/talking. breaking news here about the federal government shutdown. football fans listen up. the defense department now out saying the navy air force game this weekend has been suspended due to a shutdown. hoping to see the mid ship men against air force, not happening. >> okay. still ahead what is up with gold these days? not the prices are down that much today, but nonetheless, we have to find out where they're going from here. >> plus, one money manager is finding big money in big tech. he's here with his top three stock picks. but first, let's get now to michele caruso career ra. what is coming up on the closing bell? whether or not lawmakers are near a deal to end the government shutdown now that football has been affected, maybe we might get there. we're going to hear from

republican congressman darrell issa and why the market may have more to worry about than the shutdown and have greater fears over the debt ceiling. noted portfolio manager bill miller turning bullish on the airline sector. find out if you should follow his lead ahead on "the closing bell." vo: two years of grad school. 20 years with the company. thousands of presentations. and one hard earned partnership. it took a lot of work to get this far. so now i'm supposed to take a back seat when it comes to my investments? there's zero chance of that happening. avo: when you work with a schwab financial consultant, you'll get the guidance you need with the control you want. talk to us today. because what you dont know can hurt you.urance, what if you didn't know that it's smart to replace washing-machine hoses every five years? what if you didn't know that you might need extra coverage

for more expensive items? and what if you didn't know that teen drivers are four times more likely to get into an accident? 'sup the more you know, the better you can plan for what's ahead. talk to farmers and get smarter about your insurance. ♪ we are farmers bum - pa - dum, bum - bum - bum -bum ♪ the most free research reports, customizable charts, powerful screening tools, and guaranteed 1-second trades. and at the center of it all is a surprisingly low price -- just $7.95. in fact, fidelity gives you lower trade commissions than schwab, td ameritrade, and etrade. i'm monica santiago of fidelity investments, and low fees and commissions are another reason serious investors are choosing fidelity. now get 200 free trades when you open an account. life's an adventure and it always has been. but your erectile dysfunction - it could be a question of blood flow. cialis tadalafil for daily use

helps you be ready anytime the moment's right. you can be more confident in your ability to be ready. and the same cialis is the only daily ed tablet approved to treat ed and symptoms of bph, like needing to go frequently or urgently. tell your doctor about all your medical conditions and medications, and ask if your heart is healthy enough for sexual activity. do not take cialis if you take nitrates for chest pain, as this may cause an unsafe drop in blood pressure. do not drink alcohol in excess with cialis. side effects may include headache, upset stomach, delayed backache or muscle ache. to avoid long-term injury, seek immediate medical help for an erection lasting more than 4 hours. if you have any sudden decrease or loss in hearing or vision, or if you have any allergic reactions such as rash, hives, swelling of the lips, tongue or throat, or difficulty breathing or swallowing, stop taking cialis and get medical help right away. ask your doctor about cialis for daily use and a 30-tablet free trial.

our next guest says techs and financials is where you should be putting your money, cisco, jpmorgan and black rock. let's have him on, mark tepper. i'm going to start with jpm because this is the third time in the past three weeks that we have had a stock picker on our show and they have picked jpm. lot of love. make your case for the love. >> one of our core investment themes revolves around the fact that businesses es in general done very little in the terms of capital investment and we do

expect since the capital stock in the united states is aging we expect that trend is going to reverse itself over the course of the next ten years. so the best way to play that is by investing in the technology companies that are going to benefit, businesses are going to buy for their own businesses, but also the financials because somebody has to finance those purchases. so when we look at the financial sector in general, we like the entire sector. we have a high conviction overweight on the sector but jp morgan in particular is a very well run company. i foe they have some legal issues right now. but -- >> some legal issues? $11 billion in fines, a ceo under fire, they're pretty much criticized every day by somebody. that's not just some legal issues. >> you're absolutely correct. however, we look at this as really just a short-term issue that any good company is going to come across. you know, if we were trading the stock right now, we probably wouldn't be making a buy recommendation on jpmorgan. however when managing money for our clients we're looking at which stocks are going to give

our clients the best risk adjusted returns over the next three to five years. when you have some negative news out front like an $11 billion legal issue, i mean, obviously we're looking at po it eshl lay very good buying opportunity to get into a stock that has a great track record, paying a great dividend and fits the ideal profile for what our clients are looking for. >> underperforming in the broader market. to keep you honest since you like the entire financial sector, since you were on the 7th of august this year you picked wells fargo and it is down 6%. are you still sticking with wells? >> yeah. one of the main issues over that time frame would be the fact that mortgage financing and refinancing has gone down considerably as the financial conditions tightened as a lot of investors were preparing for the fed to taper. since that tapering has been delayed, we would expect the financial conditions to ease a little bit and yeah, we do like

wells fargo over the long run. >> you like blackrock but your picks from august you're right, you recommended wall green, stock up 12% since then, one of the best performing stocks over the last 30 days in the s&p 500. are you selling or trimming any wall green? >>. no. we still like that. with the affordable health care act kicking off today we do feel that walgreens is going to be a big beneficiary and we like the business model, the fact that they're really a one-stop shop for everyone that's coming in to purchase not just their prescription medications, but beauty products and what not. we think walgreens has that market correspondent. >> thank you so much for joining us. your picks from today, jpmorgan, cisco and blackrock. >> all right. still ahead, forget the shutdown. i know you wish you could. but we found some real good news out there. in fact, it may just be the best economic news you will hear all day. >> the ponzi scheme edition.

bernie madoff's ex-penthouse when "street signs" returns. the ocean gets warmer. the peruvian anchovy harvest suffers. it raises the price of fishmeal, cattle feed and beef. bny mellon turns insights like these into powerful investment strategies. for a university endowment. it funds a marine biologist... who studies the peruvian anchovy. invested in the world. bny mellon.

gold losing a lot of luster

today down about 2.5%. prices are down almost 8% over the past month though sitting well below $1300 an ounce as we speak right now. let's bring in frank holmes, ceo of u.s. global investors. where do we go from here and how does the shutdown play into it? frank? >> hi. >> hi. can you hear us? >> playing a xylophone? what is that nois >> i have no idea. >> can you hear us? >> hopefully it stops shortly. >> going down despite the shutdown, do they keep on falling? >> well, it's a bizarre behavior in the month of september because historically gold is up in the month of september on a seasonal pattern. 70% of the time these patterns in october seems to have a dip before going into the indian wedding season. this morning there was over a billion dollars in the futures market of gold sold that triggered this cascading down. so that's the fact tore driving that. >> frank, at what point i mean

do we say, gold might be over? for good? >> that would be like you car racing over for good. >> that could happen. listen -- >> never. never. you're always -- >> and dislocate -- >> no, i wouldn't say that. no, your enthusiasm, your passion, your enthusiasm is what i'm talking about. >> okay. that's a good point. >> and i think let's put it in context. apple's down more than gold in the past 12 months. apple's down over $100 billion investors have lost, more than three times the gld total dollar value is. . and i think when you get this trigger today like 10,000, 12,000 contracts in a very few minutes triggers this cascading and sets up as a buying opportunity. almost every time gold has had these $40 drops, it's a buying opportunity, every time it spikes $40, it's time to take profits for the short trader. but i think long-term the scenario's very strong for gold.

governments continue to have to print money below the inflationary rate. take a look at five-year money, it's below the cpi number. this is very -- this is very strong for gold long-term. and i think the short-term factor for me has been the emerging markets, ryan. if you take a look at gdp per capita, it's been basically flat sidelined. and this is very significant for that sort of additional traction towards consumption. >> well, certainly sees a little room for rebound in the gold prices over the next few years. when you say long-term, who knows how long it is, but thank you very much for joining us on gold. >> thank you very much. well, we promised you good news, america, and here it is. gas prices are falling. national gas prices fell 19 cents in september. that is the biggest drop since last year. the average gas price now at $3.39 a gallon, the lowest price since january. all right. let's go now to i believe sharon epperson is with us.

are you there? >> i am. >> tell us why -- you're the good news deliverer, which is why we like you. >> i love it. and especially on a day like today. it's good news to say we could see gas prices drop significantly for the national average. in fact, some drivers in south carolina, right now they're paying less than $3 a gallon for gasoline. that's the lowest level we're seeing for statewide prices. across the south, many states, the statewide average is $3.25 or less. and prices are likely to continue to drop. we've already seen a 20 cent drop since the first day of september. and here's why we might see this continue. it's simple supply and demand. gasoline supplies up about 10% from where they were this time a year ago. but consumption is down. what does this mean? prices are likely to continue to slide. how far? aaa says we could see prices down as much as 30 cents by december. so, brian, that will bring the national average pretty close to that $3 a gallon mark. >> good news deliverer, sharon epperson. thank you very much. lower gas prices should mean

good news for the economy, right? let's find out. host and senior editor of the marketplace and i believe, kyle, you're an l.a. guy, correct? >> i am. >> so you live in your car like 23 hours a day. >> and i'm paying $3.95 or $4 a gallon. >> that's good for you, right? this is a big deal for the u.s. economy. >> it is a big deal for the u.s. economy. let's think about why this is happening. sharon was talking about supply being up, which is great. the second part of what she said, though, was demand is down and why is demand down? maybe people are driving less because they have fewer interviews to go to. maybe something else is happening they're not quite so confident. yeah, it's a good thing for the economy but you've got to think about why and look under the layers. >> maybe a seasonality issue. >> totally could be. they're changing formulations. part of the reason it's expensive in california, they're adding oxygenated gas. it's volatile, that's why it's not in the cpi numbers, that's why it's not included in all the

inflation numbers, right? it's notoriously volatile. it's down now, could be up in a month and a half. i don't know. >> can we quantify this? will it be a positive to us the consumer? >> sure. let's think about this. i drive a minivan that's got 16 gallons in the gas tank, $3.66 a week if you fill it up a week, that's like couple hundred dollars a year. it's enough to make somebody feel like they've got a little bit more money in their pocket and that's what consumer confidence is all about. >> you don't use a lot of heat where you are, but you forget heating costs have gone down, gasoline prices are starting to fall. there's been actually a lot of little things that have maybe helped mitigate some of that. >> i think you're right. and when the economy is soft, i'm not going to say it's bad. it is soft. it's all about the consumer and you guys know this, right? it's all about the consumer and anything we can do to make the

consumer feel like they've got more money in their pocket. it's a start, you know, and i think you've got to go with that. >> things good in l.a.? strong? the economy. only about 1 in 7 americans lives in california. >> it's crowded out there. >> and the weather's nice. i can totally understand. >> that's true. >> thank you very much for joining us. still ahead, penthouse porn. yeah, we're taking you -- and tonight is the 2,000th episode of "mad money," he will be live outside the new york stock exchange. he's got duncan, all kinds of great guests. it's going to be a great show tonight, 6:00 p.m. tonight, don't miss it. americans take care of business.

they always have. they always will. that's why you take charge of your future. your retirement. ♪ ameriprise advisors can help you like they've helped millions of others. listening, planning, working one on one. to help you retire your way... with confidence. that's what ameriprise financial does. that's what they can do with you. ameriprise financial. more within reach. that's what they can do with you. if yand you're talking toevere rheuyour rheumatologistike me, about trying or adding a biologic. this is humira, adalimumab.

this is humira working to help relieve my pain. this is humira helping me through the twists and turns. this is humira helping to protect my joints from further damage. doctors have been prescribing humira for over ten years. humira works by targeting and helping to block a specific source of inflammation that contributes to ra symptoms. for many adults, humira is proven to help relieve pain and stop further joint damage. humira can lower your ability to fight infections, including tuberculosis. serious, sometimes fatal events, such as infections, lymphoma, or other types of cancer, have happened. blood, liver and nervous system problems, serious allergic reactions, and new or worsening heart failure have occurred. before starting humira , your doctor should test you for tb. ask your doctor if you live in or have been to a region where certain fungal infections are common. tell your doctor if you have had tb, hepatitis b, are prone to infections, or have symptoms such as fever, fatigue, cough, or sores. you should not start humira if you have any kind of infection.

ask your doctor if humira can work for you. this is ra at work. bernie madoff's penthouse is on the market and the new owners are hoping to make a profit on this. robert frank is here with a first look inside madoff mansion. >> if you can forget about the previous owner for a minute, this is a pretty sweet apartment. the question is whether anyone will forget and buy this thing, bernie madoff's seven-room penthouse on the upper east side is on the market for $17.25 million. the sellers are toy tycoon and his wife who bought it in 2010

from the government. their current asking price $17.25 million, more than twice of what they paid. it's got new paint, new furniture, a lot of new fixtures and decor, but the space has great 11-foot ceilings, palladium windows, massive wrap around terrace with great views. says madoff may actually add to the value. >> it certainly will get more eyes on it and that's what makes it worth more. >> i see. >> it's not so much that it was his notorious apartment, but rather that he was someone in the news and people will be curious to come and see where he lived. >> i see. >> the only thing left from madoff's time was his office which has its own fireplace, convenient for burning papers if you have to and bernie's bathroom, which i had a seat on and which he did in all black. a little bit creepy, but he was a creepy guy. >> my house back in sydney has an all black bathroom.

>> it was big in the '80s. >> kind of like a mausoleum. >> did you say you had a seat on it? >> i did. >> a bathroom while touring an open house. >> i did not -- >> you cannot use the toilet -- >> thank you for joining us. robert frank. >> both weirdos. thanks for watching "street signs," everybody. >> "closing bell" is next. hello and welcome to the "closing bell," i'm scott wapner. >> i'm michelle caruso-cabrera in for maria bartiromo. a bit of a shrug, today at least. >> yes, you walked out today and had the world come to an end when you left the apartment this morning? >> it did not. >> no, it's amazing. >> i was expecting the markets to be down today, but that's not the case. maybe it's a settlement coming. who knows. >> or