>> i was was saying migaratory wrong. "closing bell" is coming up next. elon musk interview, do not miss. hi, everybody. welcome to the "closing bell." i'm maria bartiromo coming from the schwab impact conference in washington. financial advisers are watching this market closely as there is word the federal reserve could, in fact, taper as soon as next month. bill, what are the odds? >> yeah, well, we've heard it from a super dove, which was very interesting development there. we'll talk about that, maria. i'm bill griffeth at the new york stock exchange.

atlanta fed president dennis lockhart said it's possible, it's on the table, that they could begin the tapering process as early as december meeting. that's earlier than the market anticipated but we'll talk about that in a little bit coming up here. >> i wonder if that puts on question their decision not to taper in september. we haven't had that much great that date. we're talking about one month. lots to talk about in terms of the fed and what the implications would be there. we also have a very special first on cnbc interview coming up. chairman and ceo of enter continental exchange, better known as i.c.e., jeff sprecher. he made comments about the markets being stacked against the small investor. we'll talk about that as well as the closing of the nyc deal. what happened to the floor? let's to talk about coming up. >> on the floor here at the new

york stock exchange. also, a fascinating investigation on ceos. this is an academic paper but it turns out, according to their research, that the flashier a company's ceo is, the more likely his or her company is to commit fraud. but it's not the ceos doing it. it's their lieutenants. have you to hear the details on this. it's a nuanced report. but we'll check the stocks you own versus how flashy or not the ceos are. >> how flashy is the market today? let's take a look because we have this final hour for the day. the market is under selling pressure. as you can see, off the lows. we bounced off the lows at about 2 p.m. eastern or so. we're looking at a decline of 25 points on the industrial average. 15,758. nasdaq, similar chart pattern in terms of bouncing off the flows. we're down just about a point on the nasdaq. fighting to get into positive territory there. s&p 500 looks like this. also similar chart pattern with

this final hour in front of us. down 3 1/2 points on the standard & poor's sitting right at 768. >> let's get to the markets. joining us in our close bell exchange, ron with me at the big board, anthony chan, kimberly foss, author of "wealth by design" and rick santelli with us as well. ron, more evidence today how important fed policy is to market. all dennis lockhart had to say was, hey, tapering could begin next month and we saw this drop in the market today. >> i still don't understand this. interest rates go up, people in the markets think it's bad but only because they can go up. if they're going to taper, they're data-dependent. that means they see better things. i'm just fine with them getting on with tapering, stop talking about it. do it the right way, which isn't going to be easy, but it means things are better. they wouldn't be talking about it if it wasn't, so i'm fine

with this tapering. >> but i guess at the end of the day it's about expectations, right, kimberly? if the market is not expecting a taper until now, the new expectation is march, perhaps june of 2014, what happens if, in fact, we were to see a taper next month? is that an unexpected surprise that sends markets going down? >> i think you might see that like back in april and may what we saw with the markets. but the reality is the taper in has to deal with the employment data and it's down 7.3. it's kind of a double-edged sword here. my feeling is that, you know, yes, we do have improving economy. yes, we have lower unemployment but the fed has a long way to go to maximize their finish line, to maximize unemployment and

price stability. i still feel tapering might be a ways off. >> anthony chan, the economist on our panel today. do you feel that job growth is sustainable at this point? that's one metric the fed is watching, inflation is another. and it's below where they want to start tapering, don't you think? >> i think so. we saw that playing out in europe with the inflation rate significantly below the target. that's what's holding down the central bank. i think it's early to think december but we can't rule it out. what we heard from lockhart, that's not to prevent them from loosening the reins on other monetary tools. he doesn't want to upset the market and he made that clear. >> rick santelli, what was the reaction when lockhart first made the comment?

>> i think it further pushed what the markets know -- i disagree with our first guest. this isn't about the old time relationships when the economy does better, interest rates go higher. don't be afraid of the stock market. all that should be bullish. i understand. but these aren't normal times. interest rates have gone up, especially due to what was received as a better than expected jobs report. when you add in we are in this surreal -- you know, what mr. lockhart really said is, they should have never used permanent mark wher they designed qe, but they did. and the effects of that norm normalization are going to be an unexpected event in the rise of interest rates. whether it's more aggressive, more short-term aggressive, quicker upside. i can't tell you. but there's a nervousness out there, to be sure. and i think the fed senses it because it looks as though they are trying to find ways within their own defined guidelines to

get rid of the program or wind it down. today was unusual. we saw curve flattening. the fives were the darling of sellers. the dollar is up, with the pound down and euro stabilizing is 81.50, dollar index, perceived by technicians a bit of resistance. >> ron, he took at shot at you. do you want to answer him? >> i don't to want take steve liesman's job away from him. the truth is interest rates went up and market went up. that's good. i don't disagree with rick on many issues. however, on this one, i think the world is getting better. only by a little, but getting better. ceos are doing a great job. i think we can handle getting rid of this mystery, getting rid of this qe. >> i agree. why did they stop going down the taper road then? what you said makes sense.

the fed doesn't think so. they don't have the confidence you do, i guess. >> i look at the markets, the ceos, i'm happy to stay in -- i don't. expect the world but i'm happy to stay in. tapering, if they do it right, god knows what that means, we'll be all right. >> how do you want to allocate capital? anthony chan, what would you be doing in terms of recommending folks allocating capital here? czink right now, maria, when you look at price earnings ratio, and if we use our expectation for the s&p 500 of maybe $115, much lower than the market which is expecting $120, $122, a price earnings ratio of 15 1/2. i'm getting more excited about europe than i am the united states. >> folks, thank you for joining us. appreciate your thoughts. >> next time steve's off, we'll call you. >> please don't. i don't knowfy can handle it. >> bears winning the day on wall street. dominic chu looking at movers

for us. >> tesla, moving lower on rumors of a possible recall. tesla is not commenting on these rumors but a source tells cnbc there has been no discussion of a recall. remember, tesla ceo and founder elon musk will be on later on the show live from the new york times. sarepta is losing two-thirds of value after fda raised concerns about the ms drug calling application for sales premature. vanda pharma doubled after fda recommended approval of sleep disorder drug for blind saying it's safe and effective. fedex moving higher after dan lobe spoke to cnbc saying his fund was long fedex chairs. he met with ceo of fedex and doesn't want fed smith replaced. some movers, back over to you guys. >> thank you very much. let's take a break, shall we?

coming back. we've got about 50 minutes left in the trading session here. the dow off the lows. we were down about 60 at the low of the session right after dennis lockhart spoke today. down 21 points right now. >> the deal is closing. enter continental exchange's acquisition of the nyse set to close tomorrow. up next, i.c.e. chairman jeff sprecher will lay out his views. first on cnbc interview. what did he mean recently when he said the markets are stacked against the little guy? don't miss that interview coming next. >> later -- is tesla considering recall of model s calls to prevent more battery fires from breaking out? we'll hear from the man himself, elon musk, coming up on the "closing bell." 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.

welcome back on the floor with bob pisani. dennis lockhart taking some wind out of the sails here. >> my sense is the trading community has beencying on their hands. complacency is very high. look at the vix. you think people would be panicked, interest rates going up. it's going nowhere 37 remaining around 13. no signs of people buying

protection, no panic. bullishness still high. what we see is concerns over interest-rate sensitive stocks, utilities, home builders, those secs sectors were under pressure. >> the ten-year almost back to 2.80 the stock market is acting well even at that point because we kept figuring if it gets to 2.60 or 2.70, we'll see a selloff. we haven't seen that. >> we keep talking about higher rates and the market keeps being able to handle it. that's the biggest thing the bulls have got. the other thing is the fact there is so much cynicism about the rally. we've been saying this for years. the can i point outside, the new york stock exchange, trades right here, this is the last hour the nyse will be trading as a completely independent company. remember, 179 2 went public, for the first 102 members owned by seat holders, went public in

2006. it's never been owned by somebody else. >> until tomorrow. >> and our mr. sprecher himself will own it. an historic moment. >> enter couldn join meg now on a first on cnbc is jeff sprecher, ceo of i.c.e. intercontinental exchange. thanks for joining us. >> you, too. thank you, maria. >> the deal set to close tomorrow. give us the latest. tell us where we stand and what you're expecting over the near term. >> well, we've spent almost a year getting the regulatory approvals to allow this deal to close. as bob mentioned, today is the last day our two stocks will trade independently. tomorrow when we open we'll be one company. it's going to be quite a company. it will be the largest exchange group in the world. by market cap and by revenues. and we have a lot of tentacles

around the world, people around the world, all kinds of products, including the stocks listed on the new york stock exchange. >> what are you expecting from some of those international exchanges, those local exchanges in europe? you talked in the past about the potential for ipo'ing those exchanges. give us a sense of what this company looks like two years down the road. >> i've been public that i think a number of exchanges we will own on the continent, like the french exchange, dutch exchange, portuguese and belgium stock exchanges need to focus on capital-raising in those countries. obviously, europe has gone through an economic crisis as we have. at this moment in time, there's nothing more important to their economies than fostering entrepreneurship, helping companies raise capital in the same way we saw twitter do that here on the stock exchange. i want to give them more flexibility to become more continental european. and in doing that, i want to list them and take them public

and allow them to have access to capital so they can grow. >> you would list them, then n their local countries, jeff? >> yes, exactly right. and we'll potentially continue to own a large stake in those companies. we'll give them their own capital, their own management team and focus on what our unique local markets that, honestly, as an american, i don't think i could do a very good job at. >> tell us about the margins in new york and how to get those higher for the new york stock exchange and really where the growth comes from as these companies combine. >> well, one of the the things i've been talking about, and you have i have talked about in the past, is focusing on what the new york stock exchange does best. i think we saw it last week in helping jack dorsey and his colleagues from twitter take a very small, modest company and access $30 billion worth of capital literally in front of your audience.

and that's what this exchange is here for. it's to help people like me and others who started businesses, raised capital so we could grow them. we talk a lot about trading and all that goes on with the fragmented trading in the united states. and certainly there are a lot of issues. the greatness of this company is right here in the way it raises capital and matches investors with companies. that's what this business needs to focus on. that's what we need to remind people of, why we're here. every decision we make from here forward needs to be run through a filter that says, are we doing the best things to match investors with companies that are prepared to grow and use their capital wisely. >> yeah. i mean, the twitter deal spoke for itself, frankly, jeff. congratulations on that. that was a big deal. and really showed the world what's possible for new upstarts, technology. how are you going to continue to attract those kinds of companies within technology in particular?

is there a strategy to ensure that you're going to get that business other than, look, the nasdaq has problems? >> no. i think it's even a bigger conversation, which is, we need to remind entrepreneurs that people like the twitter founders, myself and my colleagues who started this company out of my checkbook and now have a $25 billion company, can really do great things by accessing capital. it allows ideas and money to come together that can re-invest and grow. so many people that i meet, particularly younger people, want to avoid going public. they think that there's too much regulation or too much transparency or disclose disclosure or what have you. but, my god, you know, $30 billion. we watched build up on the floor of the stock exchange last week. it was a fascinating thing to watch. for me, it's been an unbelievable exercise to go through. and i want to talk to others

about doing the same thing. we need to attract young people to come here and want to go public. >> and i'm glad you made the point that you started this company with your own checkbook. you yourself are an entrepreneur, so you can c commiserate and hopefully foster those businesses. let me ask you about a comment you made on the earnings call. you said in the infrastructure of trading today is intermediaries who people are turning to and exchanges that people are turning to hoping that they will have a duty of care but in reality those people are insented to take advantage of the people that are the weakest on the day and they have to trade. and i think that is fundamentally wrong. you seem to be the rah-rah for the little guy. was that your intent? >> it is. i feel strongly about what i said. these are the greatest capital markets in the world but i'm a

manager paid to discover problems and solve them, and i think we can do better here. i think the markets have become too fragmented. there's always a day when somebody has to sell a stock or an index fund has to sell in order to rebalance or you and i go in and redeem our pension in order to pay the rent. and that fund has to sell. and the markets should not take advantage of people on those days when they have to take action. i think -- i come out of the futures industry where we have a very big portfolio of exchanges and we have tried to treat everybody fairly. and in the fragmentation that's gone on in the equities market in the united states, the way they fragmented is different venues are kairting to different people. depending on where you're routed, you're going to be treated differently. i think that's fundamentally wrong. i think we have a duty of care in this industry to treat everybody the same, everybody fairly and i want to talk about it and i want to find incidences

where we can change that behavior and fix it. >> we were having a debate yesterday about whether or not the retail investor is actually back. what do you think? do you think the retail invest has been putting money -- i spoke with the ceo of schwab and he said, i can't see it but there was an article in the journal saying they poured a lot of money, $76 billion, i think, after having sat out the market since 20 06. >> right. i live in atlanta, georgia, so i'm a business disconnected from what goes on here in the new york stock exchange and wall street more broadly. i'm talking to my friends who are not in capital markets. they have a sense of things don't feel right, they don't feel fair. it may just be a sense or it may be an informed view. the reality is it's incumbent on us in financial markets to make sure they're treated fairly and treated right and that they want to put their money into great companies like the twitter ipo that happened just the other

day. by the way, let me mention to you that, you know, large institutional investors, in my mind, are just collections of small people. like you and i and the people that are watching. they're just managing our pension money. i don't view treating a pension manager differently than you and i as an individual that may be trading from an online brokerage account. at the end of the day that capital belongs to all of us and needs to be treated fairly. >> it's true. the pension guys are working on behalf of the retail. let me ask you, jeff, the culture of i.c.e. has been in place -- you know, you're an entrepreneur, as you mentioned. how does the culture change at i.c.e. and the new york stock exchange given the fact that you're doubling in size, you have a market cap of $20 billion. i know everybody on the floor wants me to ask you, is the floor going away? can you categorically say the floor stays? what about the change in culture? what kind of practical changes might we see? >> sure. let me first deal with the floor. again, i refer back to last week when we saw the twitter ipo.

it showed everything that was great about going slow, building a book, having the human involved and then releasing that stock for trading when everybody was satisfied. that is very different than having an algorithm build a book. we've seen incidences where that's really been a disaster in terms of an ipo. so, this floor proved itself to me last week. as it has dozens and dozens of times before. and including the day that i took my own company public and got to stand in front of the booth and had that same fabulous experience. >> i remember the day. >> yeah. thank you. with respect to our culture, you know, we're a small company that grew quickly and in order to do that, we make a lot of decisions quickly. that means we make a lot of decisions by not having complete information. we go with the best we can at the time. and it also means we make a lot of mistakes because our decisions are not always informed. and what -- that's fine with me. i think, you know, if you can make decisions move forward,

make mistakes and then correct your behavior, be honest and open and transparent about when you fail, which we have done, i think that's a great culture. that's what i want to put into this organization. let's try to make some changes. let's be thoughtful about what we do. but let's keep moving forward because our markets are changing so quickly. we really don't have time not to take a leadership position and make the right decisions. >> you make a lot of good points, jeff. we're wishing you well. congratulations. we're going to be there with you on the floor. thanks so much, jeff sprecher, for being with us. >> thank you. >> we'll see you soon. jeff sprecher, chairman and ceo of i.c.e. 35 minutes before the closing bell sounds for the day. we have a market under pressure, although off the lows. down about 30 points right here, bill. >> here's question, provocative question we're going to ask. are ceos who lead a lavish lifestyle an indicator of a company that might not be walking the chalk line, you might say? a new academic study says a

corporate click of comfort could lead to trouble. also, the s.e.c. is supposed to prosecute securities crimes, right? now the s.e.c. staffers themselves are finding themselves the focus of a probe into whether they are improperly trading shares of companies. under investigation by the s.e.c. the so the s.e.c. is investigating its staffers. unbelievable story. we went out and asked people a simple question: how old is the oldest person you've known?

we gave people a sticker and had them show us. we learned a lot of us have known someone who's lived well into their 90s. and that's a great thing. but even though we're living longer, one thing that hasn't changed much is the official retirement age. ♪ the question is how do you make sure you have the money you need to enjoy all of these years. ♪ to enjoy all of these years. sometimes they just drop in. always obvious. cme group can help you navigate risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group: how the world advances.

♪ ♪ so you can have a getaway from what you know. so you can be surprised by what you don't. get two times the points on travel and dining at restaurants from chase sapphire preferred. so you can taste something that wakes up your soul. chase sapphire preferred so you can.

the white house has just announced its pick to run commodities futures trading commission. our john harwood has details. >> reporter: there are a lot of things the president of the united states can't control right now as he waits for a fix on his health care website. but one thing he can control is his own nominations. he is nominating tim massad, replacing the regulator. tim has worked at the treasury department, overseen the t.a.r.p. program, the white house mentioned that in the announcement. wouldn't expect any confirmation difficulties with tim massad. >> thank you so much. wearing the hat of ceo means big responsibility. quite often, big money as well. a new study is concluding chief

executives living opulent lifestyles are increasing chances others at their company will commit fraud. i can't connect the dots on this one. >> it's an eye-opening report. this is an academic study. goes on page after page by page. done by three researchers aren't the country. they found for every year ceo that likes to live big lifestyles, fraud raises by 6%. j.p., we have our own robert frank, who wines and dines with the rich and famous for us as well. j.p., do you buy this connection these researchers are trying to put together?

>>. >> i think it's a bit of a stretch. especially conceptually. 30 million businesses in the u.s., 197,000 mid-market firms, most private, and less than 6,000 publicly traded firms. this research seemed to be based on a number of things, such as 852 public companies that were cited by the s.e.c. for some technical infraction. anecdotal anecdotally, i don't see it. the most lavish living ceo that i'm aware of is larry ellison of oracle. although they may have sharp practices, i've not heard of reports of fraud of anyone below larry. >> robert, what do you think? the study found these more ceos will cause underlings to cook

the books. >> that was the most interesting thing. that the lavish ceos have fraudulent companies, but they hire people underneath them that have material misstatements with the company. that speaks to the idea that if you're a free-spending ceo you have loose control environment in the company just as you may have loose discipline in your own life. it may mean if the ceo is spending a lot and living large, those around him in the workplace may feel like they have to spend to keep up, too, and, therefore, juice the stock price because they're paid in stock. >> it comes down to culture, corporate culture is what they're trying to talk about. j.p., when you got the boss out living that lavish lifestyle, the cat's away, the mouse might play. plus this competitive edge that they want to be just like the boss and they'll do whatever it takes to achieve that. that's loosely what they're talking about here. you still don't buy that? >> well, your colleague rick

santelli, in a slightly different context, that today's a different world. and the world of the dennis k kozlowskis of the livish don't exist. if anyone's a closet kozlowski, they have enough sense about them to keep their head down and not attract attention to themselves. so, i somewhat remain skeptical. >> dennis kozlowski had the company paying for a lot of his parties. ceos are paying for it themselves. it's what they're doing. it's their behavior they're looking at, not so much themselves who might be cooking the book or, you know, imposing fraud. >> yes, i understand that. but if having $75,000 personal sports cars, which is one of the criteria the researchers used was an indication of this, you

have to look up and down silicon valley from cooper teto san jos that's a rite of passage. that filters down to other reports of the company. we don't see it. in part because we have a climate of people being a lot more closely adhering to laws. we have sarbanes oxley. and those who are are tried to sail close have been knocked down. >> i would add, the wealthy are laying lower. you still have examples of this. eike batista, clear example of a guy that lived large, had the sports car, the mansions, blew up. and a lot of people connected that hubrus to his company. i was at the yacht show last week, a lot of people still buying yachts and jets and -- >> robert, that's not fraud. we're talking about --

>> absolutely. >> -- this equating to fraud by underlings. that's a whole other conversation, living large -- >> i'm just saying that eike batista, they're now saying there were material misstatements. that's what this statement is about. that's an example in the news recently with a guy living large and having material statements there. i'm not saying if there was fraud there. >> as they famously asked, where are the customer's yachts? thank you. i think fair to say, all four of us are skeptical. >> i'd say. >> the dow is down 32 points right now. >> we've heard a lot about individual investors finally getting back into this market recently, but is it really the case? the ceo of schwab told me yesterday, not so much. we'll hear from a round table of retail investors. that's coming up. >> retail investors may want to stick around to hear what liz

ann sonders has ho say. why she thinks a correction is a great buying opportunity. they'll still to come. [ music transitions to rock ] make it happen with the all-new fidelity active trader pro. it's one more innovative reason serious investors are choosing fidelity. get 200 free trades when you open an account.

they're not pouring in. >> the market is up 20% or more so far this year. you're saying it's largely institutional? >> i don't know if it's institutional but it's certainly not schwab retail investors. now, it could be 401(k) investors because they have to make regular ongoing investments. our clients are engaged but very cautious about the markets overall. only half of them think this is a good time to be making additional investments into the equity market. >> and that was schwab ceo walt bettinger here yesterday telling me exclusively that retail investors are actually not pouring their money back into the market at huge clips despite some front page stories to the contrary. >> not small investors are getting their legs back. right here on "closing bell,"

we're going to start talking to some small investors on a regular base. call it sort of a retail investor round table. meet two today. jonah is publisher at washington magazine and both invest in the stock market on their own. gentlemen, welcome. john, you realize, you're in the minority. a lot of your friends and colleagues don't invest in the stock market. why do you? >> well, i still believe in the market because this is the foundation of our great economy. heck, we're up 20% this year. why wouldn't i invest? we haven't had a bull market like this since 2003 where we went up 25%. a lot of great opportunities out there, despite the dysfunction in congress, we are now the -- we're still the strongest economy in the world and a great place to invest. >> when you look at the

landscape, right, john and wayne, when you look at the environment, you've got rates at rock bottom levels, what are the alternatives? are you trading or investing more so now than in the past? have you picked it up from the 2008 financial crisis? or is it sort of steady? >> i started getting back into the market just before the 2008 crash. so, you can sort of say it was bad timing but i held strong and after i saw a rebound on the way i doubled down on the stock i was interested in at the time, was apple, which i traded in and out of many times over the last several years. >> do you find yourself trading in and out of things you like well, like apple, tesla? these have been the momentum names? >> yes, it's very smart to trade with a product line you're familiar with and supply chain

of the firm. apple, of course, everyone knows about. back in 2009 it was more of a nervous -- it was tough go yoet your arm around it. >> it was $700 at that point. do you remember -- >> i entered at $180. >> holy moly! that's pretty sweet. >> good job. i'm getting tweets from viewers pointing out, a lot of small investors aren't looking at the value in the market. that's not why they're avoiding it. they're worried about the market being rigged or worried about another financial crisis hitting. they were scared after what happened in 2008 and 2009. why weren't you? why aren't you concerned about that? >> i went through a couple of bad corrections, 2000 correction shellacked me.

in 2008 correction, that was the bottom. we went on a heck of a run from there. almost 7,000 points. and there are still great values out in the market. i'm particularly fond of the oil drillers. i have never lost any substantial amount of money by investing in oil. "the wall street journal" says that sector has led the market seven of the last ten years. it's a winner. >> what kind of work do you guys do in terms of research? i mean, what are the metrics you look at? for example, why did you choose appear snl give me the metrics. >> it was funny. at first, i didn't -- i'm an old school microsoft guy. i bought an iphone first, one by happenstance. i loved the phone so much, then i bought the computer and i thought, buy nothing but the stock. >> you buy what you know. >> i was comfortable enough to double down to which is a relatively dangerous way of cashing because you're trading your own cash as well as borrowing from the broker but it proved to be successful. i held it until the 500s.

i also held cirrus/xm from the 50 cent level. >> on wow. >> so it's been a couple of good years. >> that is awesome, sirius satellite and apple. apple, why? is it the demand story for u.s. oil exporter? >> i love the yields. the only reason i got into oil drillers is because of what happened in 2000 when everyone got shellacked by a bad market. they were looking for yield, consistency. oil was at $19d a barrel. we went north of $150 a barrel. i was looking for yield and i actually got great returns and continue to get great returns on oil drilling. not the big oil companies that are in the, you know, convenient stores and that kind of thing. >> the smaller service companies. >> that was fun. >> gentlemen, thank for sharing your story. >> really appreciate your time. >> we're going to do this more often. we should have them on the

"close bell exchange" or something. >> i think i want stock picks from these guys as well. >> heading to the close, dow still down 30 points. >> here's a turn of the tables, bill. a new justice department probe is looking into all -- of all places, the securities and exchange commission for possible financial improprieties. that man bites dog story is next. after the bell there's a new space race with a familiar finish line. it's the moon. we have hotel mogul robert bigelow eyeing a lunar base as one of his new properties which could house several commercial enterprises. however, there is competition, believe it or not, on the horizon. details ahead with a re rare interview with robert bigelow ahead on the "closing bell." kin. fedex one rate. really makes my life easier. maybe a promotion is in order.

good news. i got a new title. and a raise? management couldn't make that happen. [ male announcer ] introducing fedex one rate. simple, flat rate shipping with the reliability of fedex. 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. ♪ that's how ameriprise puts more within reach. 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.

welcome back. the securities and exchange commission often makes headlines for investigations of bad financial players, but today the s.e.c. is getting the tables turned on it. eamon javers with the story. over to you, eamon. >> hi. "the wall street journal" is reporting today that federal prosecutors and the s.e.c.'s inspector general office are looking at certain employees at the s.e.c. and questioning whether or not they broke

internal s.e.c. rules about disclosing and holding certain assets. this would be an investigation of whether or not they were following up on rules the s.e.c. requires them to follow in terms of asset holding and disclosure. now, the s.e.c.'s mary jo white was asked about this earlier today and she had a chance to answer the question. here's what she said. >> what i can say, and i've looked into this, is that the s.e.c. has one of the strongest compliance programs and trading area of any of the federal agencies. and a number of reforms and procedures put in my by predecessors, obviously. for example, every single purchaser sale of security has to be approved by our ethic officer. >> obviously, any question about s.e.c. employees and potential insider trading is something that's going to get a lot of attention from law enforcement and from the inspector general's office. but my own sense, maria, from reporting that i've done is that what they may be looking at here is a question of whether the

paperwork was properly filled out by s.e.c. employees and whether or not they disclosed appropriately what assets they held and whether they're holding assets in the right buckets in terms of what was permissible and not permissible. don't get any sense there's any major headway behind this investigation, but because it's such a sensitive area, they'll want to take a look. >> thank you, eamon javers. market under selling pressure today. just about ten minutes before the closing bell sound with the dow down 41 points. >> still to come on "closing bell," tesla stock has hit major speed bumps after hitting the new high in late september. down 30% from that top. maybe three recent headline-grabbing car fires had something to do with that. ee hawe have elon musk pulling into the "closing bell." [ laughter ]

♪ [ female announcer ] each one of us is our own boss. ♪ and no matter where you are in life, ask your financial professional how lincoln financial can help you take charge of your future. ♪

welcome back to the "closing bell." we're coming to you live from charles schwab impact conference. we have a big crowd around.

hi, everybody. good to see you. i'm here with liz ann sonders, chief investment strategist, nice to have on you the program. nice to see you in person. >> rather than in separate studios, remote. >> markets today. seems like no matter what they throw at us, this market keeps going higher. where are you on this? would you put new money to work in this market right here? >> yes. you and i were talking off camera. i actually think we have the possibility, and i've said this publicly, i think we could have a melt-up. as fun as those are when they're happening, they don't tend to end well. so, i actually would like to see this kind of grinding higher market where you take two steps forward, you take a little step back. single-digit correction, like we've had two this year. you bring short-term pessimism back in. you rally again. you pull the begrudging investors off the environment. that's a better environment. >> but you think we're in a

melt-up? >> i think we could get one. i think we're starting to see the seeds of finally what i would call the capitulation back in after 4 1/2 years of people saying, okay, it is a bull market. >> yes, bill, you're on. >> how much is -- of your forecast is based on like what your boss, walt bettinger told maria yesterday, the small guy is not in this market? history suggests we don't get a top in the market until the little guy starts piling in. is that what you're waiting for? >> normally when the little guy gets in in droves, that's when you want to start to worry. if you look at things like mutual fund flows, we're nowhere near that. i know walt was on yesterday talking to you about it. >> he said he doesn't see it. >> we've seen a little term in terms of equity fund, but it's been relatively steady. where i think some interesting opportunities are for the whole notion of this great rotation is not necessarily just retail investor. pension funds have more fixed income exposure than equity

exposure. the endowments and foundations have now in the last ten years, their public equity exposure has gone down from 50 to 30. fixed income has gone down, too. all the action is in alternatives. that's a catch-all category but hedge funds, private equity, commodities, precious metals, most of which are underperforming public equities, but at higher fee structure and less liquidity. this whole notion of where money is going to come from into equities, i don't know that you just need to look at individual investors. i think a lot of cohorts are underexposed? >> are you expecting retail investor to come into the market and are you expecting this great rotation? >> i am expecting retail investors to come into the market. i don't think it comes from a max exodus and fixed income. i think you'll see much more volatility in fixed income and probably see a need to shift

things around. i'm not sure it's going to be the mass exodus out into equities. >> liz ann, great to have on you the program, chief investment strategist. >> we'll take a break with the dow down 36. back with the closing countdown. so there i was again, explaining my moderate to severe chronic plaque psoriasis

to another new stylist. it was a total embarrassment. and not the kind of attention i wanted. so i had a serious talk with my dermatologist about my treatment options. this time, she prescribed humira-adalimumab. humira helps to clear the surface of my skin by actually working inside my body. in clinical trials, most adults with moderate to severe plaque psoriasis saw 75% skin clearance. and the majority of people were clear or almost clear in just 4 months. 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.

make the most of every moment. ask your dermatologist about humira, today. clearer skin is possible. [ bell ringing, applause ] five tech stocks with more than a 10%... change in after-market trading. ♪ all the tech stocks with a market cap... of at least 50 billion... are up on the day. 12 low-volume stocks... breaking into 52-week highs. six upcoming earnings plays... that recently gapped up. [ male announcer ] now the world is your trading floor. get real-time market scanning wherever you are with the mobile trader app. from td ameritrade. about 30 seconds left in the trading session here on an historic day on the floor of the new york stock exchange. its final day as an independent

entity, ending history going back to 1792. going back with a decline of 25 points on the dow jones. stay tuned. much more to come with investors mario gabelli at schwab impact conference and rare interview with tesla's elon musk. all coming up on the second hour of "closing bell" with maria bartiromo. i'm see you tomorrow. and it is 4:00 on wall street and in washington, do you know where your money is? hi, everybody, coming back to you on "closing bell." i'm maria bartiromo from the schwab impact conference where a host are talking about market allocating. we had some selling at the close. the dow jones still average down in the double digits, down about 31 points. quarter percent lower. volume on the light side, 540 million shares traded at the big board. na