boston scientific up almost 3. and netflix is up 2.65%. >> the nasdaq now in positive territory. and some of the losses have been narrow. that does it for this edition of "power lunch." >> we'll see you tomorrow. "street signs" begins now. ♪ ♪ when i'm in need yeah, no midas touches today, gold taking a big hit on a little concern starting to kick in in these markets. hi, everybody. your other headlines on this thursday. what today's drop in the dow may say about the consumer. we'll tell you who's leading the decline. why social media names have been drinking tiger blood lately, winning. plus, candy crush -- does anybody say that anymore? >> no one says it anymore. >> candy crush is out. we're going to show you the single hottest iphone app right

now. that is what's happening in the markets. the dow and the s&p, as you can see, are down by a third day in a row right now. the dow was down by triple digits earlier on. it's now down by about 92 points, moving away from the 16k mark. gold, as brian mentioned, also down. bullion has lost over a quarter of its value so far this year. let's get straight down to bob pisani. bob, we want to bring up a chart here. this is of the dow from yesterday. now, we can see an acceleration on this chart to the down side late in the session. it's kind of a clear trend that seems to be forming here. so i'd really like to ask you whether or not this is something that is going to happen today as well. >> well, in the case of yesterday, there was more sell orders than there were buy orders. it's not clear if that's happening. let me explain how these imbalances occur. around 2:00, we start getting some indications of what the close might look like. put up a full screen. the important thing is, people put in orders to buy and sell at the close. and sometimes you get imbalances here. put this up.

i want to show this to you. this is excess buy or sell orders. for example, somebody aggregate orders might have 100,000 more to buy at pfizer than to sell. they are required, once you get close to the close, to publish indications of these excess buy and sell orders at 345 and 355. and that purpose is to attract people on the other side. if you've got too many buy orders, you want to attract people who might want to sell. you've got too many sell orders, you might want to attract people who buy. this is a little bit of a game. people watch these orders and say aha! on aggregate, there's more to sell stock than to buy going into the close and often that will be an indication that the market will droop a little going into the close. this doesn't always work. and for many, many day, mandy, they're pretty much paired off on the aggregate. occasionally there are days when it was noticeable like yesterday. i'll keep an eye on them right now. we should be getting them in shortly and let you know if there's something unusual happening. >> please do and get back to us. thanks for explaining, bob.

as bob just said and showed, stocks tended to sell off yesterday afternoon, and right now we're not doing so hot either. but forget about stocks for a second. because gold continues to be a big story out there. it is getting closer to its july lows, which is around, i think, 1212 an ounce. we're down $31 an ounce to 1226. let's bring in wells fargo senior equity strategist as well as frank mcgee who has been negative on gold and has been right. frank, i want to start with you. gold has got a passionate following. some people believe this is a blip. it's a buying opportunity. you are not one of them. >> no. as we've talked over the last several months, as the fear comes out of the market, as the economy actually starts to pick up, as you you have an apparent deal over the budget and the potential now of not having the government shutdown for a couple of years, you're going to see gold continue to be under pressure. i mean, trust me, i'm still a very long-term bull, but in the short term, six, eight months a

year, we're going to have a hard going to get a rally that will sustain itself. >> we're tending now to describe everything to this sort of fed taper idea. i'm not so sure. >> mm-hmm. >> i'm a little more concerned about central banks which bought gold heavily a couple years ago because they were likely hedging volatility in currencies. if you're worried about the dollar being insecure, you're going to buy gold. we've had had some more -- not a lot -- but more security instability of currencies. do you think central banks are going to step back in? >> well, i don't think you're going to see the type of clawing all over each other to have the metal that you've had from the central banks. the banks that clearly add it had to their reserves are long-term players. there's always been a conveyor belt of gold moving from west to east. and it's really been the eastern central banks that have added it. they're always susceptible to a greater amount of currency fluctuation in their own economies, let alone the rest of the world. but i think as you see the u.s. economy start to heal, as you start seeing the benefits coming

in from the shale oil boom over the next 18 to 24 months, it's a very different picture. and the fed may have actually a growing economy that it can unwind this position into. >> and certainly big gold importer india has been winding back those imports this year due to an import tariff hike. i should go over to what's happening in the equity market here. as brian just said, scott, are we laying too much blame on fear and loathing over a possible taper announcement next week for what we're seeing in the equity market this week, or is there something else going on? >> well, mandy, i think there's a couple things going on. one, of course, is that we've had, you know, a heck of a run here this year. and we're getting to the end of the year, people want to lock in some profits. people are worried about tapering. i mean, i personally am not. i think we'll see it in march at the earliest. you look at some of the data out lately. gdp was mainly an inventory build. the off and onpharm payroll number was barely ahead of the three-year average number. in my mind the economic news

hasn't been that great. and i think people are just taking a little money off the table. they're a little uncertain. but this tapering situation, in my mind, it's not going to happen in december. we're at least a few months away. >> so would you use this as a buying opportunity? third day in the red here? >> i'd love to see more of a pullback. i mean, really if you look at it from the top, we're only down, you know, 2%, a little more than 2%. i'd love to see a 5 or 8% bu pullback. we want our clients looking at discretionary. i'd love to see a deeper pullback than what we're seeing right now. >> you think we're going to get it? >> you know, i hate to see, i'm keeping my fingers crossed, brian. i'm keeping my fingers crossed. >> i'll put it on your christmas list. >> now we're wishing for drops? that's where we are in this world now, wishing for stocks to go down? merry christmas. stocks are tanking. >> you can get in at a cheaper price. there you go.

>> there you go. that's great. up next, you know what's not been cheap? social media stocks. those stocks have been on fire. they're hot, but is there still room to run? plus, what may be the most relaxing way to travel ever. and later on, forget candy crush, folks, but america is officially obsessed with quizup. if you don't know what that is, it is the fastest growing app ever. we'll be speaking with the creator and have a little play ourselves when "street signs" returns.

social media stocks have been absolutely crushing it this year. after its initial face plant ipo, facebook now more than 90% this year. it's being added to the s&p 500. link linkedin up more than 100% this year. and the new kid on the block, the twitter, also up more than 100% since its ipo in november. obviously, the sector is hot. too hot. let's talk about it. three analysts joining us, colin sebastian, colin gillis on link linkedin and yusef from cantor fitzgerald on twitter. >> colin, let's start with you on facebook. you have an outperform rating on this stock. what do you like about fb? >> well, good morning. so certainly all three of these companies are driving most of the innovation in social media and in advertising, in general. it's not the traditional media

companies. with facebook specifically, we have all of the positives from social media. but at a large scale. so facebook has almost the same scale in terms of users as google. yet still very much undermonetized which we see as a large opportunity for them. >> and where's the risk on facebook, colin? colin sebastian? >> yeah. so, you know, obviously, with a billion users, a billion-plus users, there's always a risk that the next fad in social media takes some of those engaged users away. we're seeing, for example, messaging apps start to gain a lot of traction. >> it's all nice, colin, but you use the word "engaged," i get that, is anybody actually clicking on these ads? is there proof that if i see it, i go out and buy that product? >> that's a great question. what i would point you to is app install ads on facebook are driving the majority of mobile revenues and mobile growth. that is specifically an ad format where users are clicking

on the install button and taking them to the apple app store. >> thank you very much, colin sebastian. let's move on. >> yeah, let's go to our second stock, which is linkedin. colin gillis, no analysts have sell ratings on the stock. it soared. more than half have a buy. average price target is $267. so about $30 and change above where it is right now. everything is so one-sided on linkedin, it makes me nervous. >> absolutely. and that's a fair point, brian. this is a stock that has a lot of momentum. and it's very volatile. but it's a high-growth name. and they own the economic graph. that's a very powerful thing to have. here's why we like linkedin. three reasons. they have three diverse revenue streams. two of those are growing faster than 60%. so if you want traction with the enterprise customers for their talent solutions, you got it. if you want a subscription-based model where you're going in and having a retail subscriber base, they've got that as well. if you want advertising, they'll give that to you as well. so if you look at the market cap

on an absolute basis, there's still plenty of room for linkedin to grow. although on a valuation basis, it does look expensive. >> what else is there in the con corner? what else is there not to like about this stock? >> you know, it moves around a lot. if you go and you look at year to date, we've had about 240 trading days. it's moved up or down 2% or more. 77 times compared to just four times for the s&p 500 index. you go and look for moves, plus or minus 3%. you've got 39 of those moves for linkedin versus zero moves up or down of 3% or more for the s&p index. it whips around a little bit. you have to just be cautious of that. >> okay. thank you very much, colin gillis on linkedin. and last but not least is twitter. yusef, this stock is killing it. you have a hold, though, on the stock. why? >> for a few reasons. first of all, the valuation is now a bit ridiculous. i think we liked it when it was in the 20s.

we even liked it somewhat when it was in the 0s. at $50, $55, i think the growth that's implied in the valuation, the margins that are implied in valuation are really not reasonably, and particularly considering that you really don't even have a single data point out of this company as a publicly traded entity. so the first data point we'll get sometime in late january, early february. so that's one. two, this is a company that won't turn a profit on a gap basis until sometime in 2016. so that's a long time from now. and lastly, there's a huge lockup expiration that's coming in early may. something like 450 million shares. that's about ten times the amount of flow that's in the market right now. so we just don't feel comfortable. >> do you feel that companies, youseff, will be comfortable? they need corporate america to get on board as an advertising and sales platform to meet some of their goal, right?

and the only time we hear about. cans on twitter is when they do something dumb. >> absolutely. absolutely. we love the business model. we think it's very differentiated. we love their broadcast nature which facebook doesn't have, which linkedin doesn't have, which google can't have. so it's very differentiated, and it is here to stay. we just have an issue with valuation. we have an issue with what's already baked into the stock. until they're in that seven-week-old ipo. >> an incredible one had of w-w performance. thank you so much and to the rest of the crew. on deck, and just after the break, we are going to have some breaking news of our own coming out of mexico that could just move the markets. also, more good travel news ahead. longer lines, more crowded planes, and higher ticket prices. because by good, we meant terrible. and we also found the bright spot, at least if you're passing through chicago. just do the downward dog. we'll explain ahead. (vo) you are a business pro.

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yeah this is some big news, folks, out of mexico. congress in mexico voting to open up the oil industry. michelle, this is the end of a 75-year monopoly on foreign investment. this is a big deal. >> a huge deal for our neighbors to the south. you're absolutely right, brian. second house of congress has finally voted to approve the opening of penmex petroleum to foreign investment. they need to do this because oil production in mexico has declined 25% in the last ten years. consider that in the u.s.-controlled area of the gulf of mexico, we drill for more than 300,000 barrels of oil per day. in the mexico-controlled area of the gulf of mexico, zero. so at this point, they desperately need foreign investment to increase production. it's been prohibited by the country's congress. now with this step by congress, they are 95% of the way there. they now have to go to the states and get it approved.

but that is considered perfunctory. and as a result, it is likely that for the first time, as you said, in decades now, they're going to have foreign investment in mexico which would likely increase production. back to you. >> big news. thank you very much, michelle caruso-cabrera. well, we found for you the ultimate stress relief if you end up getting stuck at chicago's o'hare airport this holiday. the airport is opening a new yoga studio. it's inside terminal 3. and officials are calling it a quiet space to meditate, stretch, take a deep breath, do what you do. although it does not, i believe, come with a yoga instructor. the studio is available for free to all travellers. all right. let's bring in mr. yoga himself, and that would be phil lebeau. i don't know if you have a comment on that. i know that's your home airport. you could be in that room chilling out, doing the sun god pose with your bronzed pecs popping out. other than that, the airlines lobby group is out with big numbers for the new year. how good are they for the airlines? >> they're very good, brian. when you take a look at what the airlines are expected to bring

in in terms of profitability next year, they're going to be up around 19.7 in total profitability. that's the projection worldwide for 2014. now, you might look at that and say, wow! that's a heck of an increase from $12 billion, which is what they're expected to make this year. but when you, you know, strip out how many passengers are going to be flying worldwide, it comes out to average profit per passenger of just $6 for the airlines. by the way, north america, that's the most profitable region next year. they'll make about $8.3 billion here in north america next year. at least that's the projection. >> the headlines are really good. if you read a little further down, there was something that did raise a red flag to me. they were saying that world trade has slowed since the recession, which is clearly not good for cargo trade. >> right. >> and that they do feel that there's been a, quote, halt to globalization. does this spell bad things below the surface? >> certainly on the cargo area. when i talk with people at

boeing or airbus or any of the other, you know, company that deal with the cargo trade, they're not optimistic that that's going to change any time soon. despite the fact that you've seen our economy improve, some improvement in other economies around the world. on the cargo side, we're just not seeing it. >> phil, the fcc, we've all been talking about this for a number of weeks, it is moving ever closer, unfortunately, i feel, to allowing phones on airplanes. >> yeah. they're holding a hearing right now. >> yeah. >> and i can tell you what's going to happen at the end of the hearing. they're going to open it up for public comment. they're going to say we think this is probably okay for people to be allowed to use their cell phones to make calls while they're in flight. ultimately, what i think is going to happen is they'll say it's going to be up to every airline to make that decision. and the interesting debate will be which airlines pull the trigger? because survey after survey shows nobody wants it. they don't want the person next to them yapping away on their cell phone. i'll be really interested to see what happens 12 to 18 months from now once they finally say,

as expected, go ahead and do it. >> is there a way to only do data so you could text, hey, mom, i just landed? >> absolutely. they're doing that right now. whether it's with gogo or one of the other firms. they have the ability to flip a switch. >> but i could use the data from gogo through, say, skype and make a phone call. other than, like, punching the person next to you in the jaw, is there a real way to prevent this? >> if the airline comes out and says it's now allowed. and i think that's what you're going to see ultimately. the fcc is going to leave this up probably to the airlines. and they'll have to make this decision in the next year and a half. and as much as we think that nobody will do this, i guarantee that it will be one airline that will say, sure. go ahead. make calls. >> phil, i know who it is. >> who? >> bankruptcy airways. >> bankruptcy airways. >> because the first one that does it is done. >> and you know what? in a few years' time,ist probably going to be so normal, we'll have forgotten the days when you couldn't make cell

phone calls on the plane. >> fly to europe, you see it a lot. >> i love it because there's nobody louder than me. so if everyone wants to escalate i'll win. >> how do you feel about being told, shut up, by 500 people? >> it doesn't happen. >> okay. >> it's 5 million. thank you very much. >> phil, thank you. lots of news happening in the airways. good news, pump prices are continuing to fall. let's get to sharon epperson for today's "pump patrol." >> reporter: gasoline prices have varied widely in 2013. while the national average price for the year is close to $3.50 a gallon, according to gasbuddy.com. in laramie, wyoming, prices have averaged less than $2.50 a gallon this year. meanwhile, in needles, california, the price for the year is closer to the $5 a gallon mark. today the national average for retail unleaded gasoline is $3.25 a gallon. down a penny from yesterday. and in the middle of the

country, there are still five states where the price, on average, is below the $3 a gallon mark. today you can find the cheapest gas prices in and around stations near oklahoma city. at $2.67 a gallon, that's all it will take to fill up. but, again, prices can vary widely. gasbuddy.com says on some dates this year, prices have varied by as much as $2 a gallon. back to you. >> all right, sharon, thank you very much. coming up next, vegas, baby, vegas. the casino stock hot streak. plus, it is the fastest growing app ever. we're going to be speaking with the ceo of quizup when "street signs" returns. the cnbc realtime exchange board is brought to you by interactive brokers. americans take care of business.

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let's take a look at what's happening with the dow jones industrial average. currently down 60. we were down by over triple digits earlier on today. the third day in the red there for the dow.

but we're making a little bit of a comeback. >> is this where we get to put up the vix charge? >> yeah. >> this is pretty cool, folks. we've confirmed with trade alert that a guy -- and i don't want to get all wonky on you -- but basically there's some guy or trader out there who's placing a big bet on volatility. volatility is what we haven't seen. the vix, sort of what they call the fear gauge, is at 1541. somebody put a $5.1 million bet on options for the month of april at a $22 stock price. strike price. so if the vix goes from 15 to 22, stays there, closes there whatever, this trader is going to make a bundle o cash. but the point is that we have not seen volatility. so somebody's putting -- it's not 5 bucks. $5 million bet on volatility. what are they seeing that makes them think stocks are going to gyrate wildly? that's a big-time bet. >> it would be nice to ask him. >> or her. >> or her. or it.

let's look at the stock stories. investment recommendations that you may have missed. or may not. but let's bring them to you anyway. southwest air getting an upgrade, bank of america. >> it's helping. southwest has been one of these stealth studs we talked about. it has raised to a price target of 23 bucks. they see better momentum in travel agency bookings for small business as well as leisure. that stock is up more than 80% year to date. and intel getting an upgrade. we were actually just talking about intel yesterday. i think it was matt mccormick who said this was his pick. >> the target going to $24. so it's bakally where the price is now. i just want to throw this in because of another piece of news. they signed a very bizarre sponsorship deal with barcelona soccer team, one of the most popular in the world. the intel logo won't be on the outside. it's on the inside under the flap. so when the players score and they pull up their shirt, you're going to see it. but, like, it's on the inside of the shirt. and you can't even read it. anyway. >> okay.

well, whatever. okay. zeiling from a neutral to a buy. >> same call as intel. same analyst. this one a little more bullish. raising the target from 40 to 50. that's about 25% upside. also, jmp securities initiative coverage with a market outperform and an even higher priced target of 55. stock right now is at $43.62. >> we've also got oracle getting a double downgrade. >> morgan stanley slicing it to an overweight. rbc cutting it. rbc citing valuation. interesting because the stock is actually about 8% off of its 52-week high. still, it may be hurting. stock down 2.5% to 33.72. do you want to talk about a winning streak? if you're in a casino, you like to get on these hot streaks, right? well, check out the one-month return. ran this on our facts and i was surprised to see wynn, sands and mgm caesars are all up 7% in the

last month. >> the lucky seven. >> lucky seven for all of these names here. i think they've popped a little bit here. on our viewers are seeing eight because they've come up in the last few minutes. i ran the search right before the show. still, very nice. in fact, this year wynn, winning, i'm going to bring that back single-handedly. w-y-n-n which is up about 60% this year. let's talk numbers. on the technicals, andy bush. he's on the fundfundamentals. on the technicals, cameron, he's also on the fundamentals. i don't know what i'm talking about. cameron, would you roll the dice and buy shares of wynn right here? >> absolutely. wynn's one of our favorite stocks, and we generally like the large cap gaming names here. there are three specific reasons why we like wynn. one, it's very superior exposure to mccow which is the only place in china where casino gaming is legal. three, it's got three growth options, and thirdly wynn has been a consistent returner of capital and valuation is

relatively attractive here. >> i'm having trouble understanding your bizarre accent, cameron. i'm struggling to get through to it. >> i was going to say double winning here on "street signs." >> please, the queen's english, here. >> absolutely. >> i've got to work with an aussie every day. >> you make it sound like it's a bad thing. come on. >> so you like the stock, right, cameron? all kidding aside. >> we do. >> fantastic. >> andy, walk us through wynn's chart. would you be buying here? >> no. i wouldn't. maybe medium term to long term, for all the reasons that your previous guest said, wynn is a really great stock, but for right now, i've got a three-year chart for you. it's been in an uptrend channel ever since it put its in low about 18 months ago. this thing has rocketed up as brian pointed out. but we've really hit the top end of the channel. we got to about 183.50 this week. we're back down to 180.

at the minimum, i'd go flat here. you could put a short on right now, sell it here, leave a stop above 183.50 and really look for a big move to the down side just to get to the bottom of the uptrend channel. genl, i again, i'm not a real big fan of wynn and i wouldn't make a recommendation to stay there. >> okay. we've got to leave it there. quick question to cameron, where are you from in australia? >> from sydney. >> okay, i'm from melbourne. no hard feelings. >> i have no idea what the guy is saying. cameron, you know we're just pulling your leg. we're total saysly kidding. thank you very much. great stuff. had to get the aussie jab in there. cameron, see you again soon. he'll probably never come on the show again. >> thank you. zloo cheer >> cheers, man. check out "talking numbers." on deck, the battle lines are drawn. it is time for another edition of fierce competitors. this time pitting ann taylor versus chico's. who is in it to win it this

holiday season? plus, it is the fastest growing app ever called quizup. the creator is here spilling the secrets to his success. we're also going to play it. kelly evans, here's a quiz. what's coming up on your own show? >> very well done, brian. we've got another big selloff, guys, on wall street. and we'll reveal a major red flag for this market no one's really been talking about and why it could mean a not-so-happy year for managers. we'll ask bob olsteen and speaking to the ceo of blue nile to find out if sales are, yes, spa sparkling this holiday season. that and much more on "closing bell" top of the hour. "street signs" continues right after this. tdd#: 1-800-345-2550 trading inspires your life. tdd#: 1-800-345-2550 life inspires your trading. tdd#: 1-800-345-2550 where others see fads... tdd#: 1-800-345-2550 ...you see opportunities. tdd#: 1-800-345-2550 at schwab, we're here to help

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powerful move for that social media stock. >> it certainly is. the twitter is on fire. well, it looks like congress will be voting on the budget deal will be voting sometime tonight. aetna's ceo is weighing in on how obama care is impacting his company. the newest member of our team is here. welcome to cnbc and "street signs." great to see you. whoo! that's the official "street signs" welcome. >> it is now. >> so what's going on? >> thanks, mandy. some fresh comments coming out of the company's shareholder meeting, ceo mark better lean b its team working on the bugs and fixes with the exchange. he says they will not reinstate individual plans that were canceled in the initial rollout. but it is offering early renewals on the plans that would allow consumers to keach coverage a year longer. adding he doesn't expect obama care to go away. believes the midterm elections next year will likely result

only in changes and improvements to the act. noting that, quote, by 2015, if we get it fixed right, it will be a new start. aetna down a little over 1% on the day. cigna, united health group and humana down. the sector down about 2.5% since month as companies like athen that health and lab core have issued weaker outlooks below street expectations. back to you. >> thank you very much, morgan. >> thank you. >> thank you. >> got that down, by the way? >> yeah. >> yep, i'm ready. >> how was it for you? welcome to the show. move over, candy crush. there is a new app in town. it is called quizup. it is the faesest growing iphone app ever. it's incredibly addictive. we were playing it in the commercial break. the ceo of the company behind the game straight from iceland is here. welcome. how fast is this thing selling? >> quite a lot faster than anticipated, actually.

we were just kind of -- we were working on this title for, like, over two years now. we really thought we got something when we were doing it. then we launched it only, like, four weeks ago. and it kind of just exploded. we were overwhelmed. >> how many times an hour? a minute? a day? is this thing downloaded? >> we launched it on iphone already. we have over just about 5 million players in the game now. >> 5 million players in four weeks. >> yeah. it's bizarre. it's not only how many players we got. it's actually how much people are playing it. it seems that people just really connected with being able to compete against other people all around the world in realtime in all these different trivias. >> it's only on apple at the moment. however, i believe you've got an android app in january as well. how are you making money off of this? >> we're not really making that much money right now. it's kind of like what do you really want to do to start with is we really want to make a good

user experience. to have people all around the world compete in what they are good at and to meet other people. >> yeah, but you also want to make money, as much as you want people to play it. >> yeah. what we're doing is basically building up our user base. there are many potentials here. we have all these different subjects and topics. we're going to be looking at that. the only thing we have to be careful about, like many other companies, is we don't want to ruin the experience. >> you often hear how android's killing it, right? that they are the fastest growing operating system. everybody in the world now has an android phone. and yet you chose to come out on the iphone first. how come? >> well, to be absolutely honest, we were just like a small studio with resource skon straint constraints and we were better at making iphone games. if i had known how incredibly successful we'd become, probably we would have, you know, tried to launch it together. but now since we've had this hit, we're working day and night. because android users all around the world are just trying for it. we really want to, you know,

give them what they need. >> you're also trying to take it to the next level. i believe you're partnering with certain brands out there already like the "twilight" series to create sponsored games? >> that's how we actually started. like working with brands, we started doing this realtime quiz and working with all these different fan bases. that's where we saw the opportunity. and saw how incredibly engaged people game. >> trying to play the game. we just got crushed by some kid with a pig avatar because i didn't have time to answer the question. >> negligently paying attention to our game. >> congratulations. i was, like, doing this randomly trying to hit stuff. >> i was watching that. you were just saying something. >> i couldn't see the question so i was kind of poking damian with the little hog avatar, "street signs" goes down in a ball of flames. what's next for you, then? let's do sports. >> gooef got an incredibly exciting road map. we're getting players, new playerers every single day. >> '80s music. and so it searches -- wade

lewis, prominent archer. i know people who are not prominent archers. their arrows never hit the target. >> that's because he's probably got the title playing "hunger games" or some other topic. >> and who comes up with all the trivia questions? >> we don't make them ourselves. we work with all these different fan communities. so what we really want to do, instead of trying to hire writers -- >> what's the answer? duran duran got their name from a character from which movie? >> "barbarella." >> could you sit here and win know? >> i know all 200,000 answers. >> with a name like thor, you'd better. >> we've got to leave it there. we look forward to the next chapter in what you're doing with quizup. up next, a big and fairly eyebrow-raising move from jc penney today, but is it too little, too late? plus, the all-out war for

women's clothes. which retailer will win? the fierce compete between ann taylor and chico's. which song in 1981? not "come on eileen." >> "walking on sunshine." >> it's a great game. thank you very much. >> thank you. over the next 40 years the united states population is going to grow by over 90 million people,

and almost all that growth is going to be in cities. what's the healthiest and best way for them to grow so that they really become cauldrons of prosperity and cities of opportunity? what we have found is that if that family is moved into safe, clean affordable housing, places that have access to great school systems, access to jobs and multiple transportation modes then the neighborhood begins to thrive and then really really take off. the oxygen of community redevelopment is financing. and all this rebuilding that happened could not have happened without organizations like citi. citi has formed a partnership with our company so that we can take all the lessons from the revitalization of urban america to other cities. so we are now working in chicago and in washington, dc and newark. it's amazing how important safe, affordable housing is to the future of our society.

let's look at what's happening in the markets. the dow has been cutting some of its losses over the past hour, but at this stage, the biggest drags on that index are j&j and p&g. meantime, we've got pretty surprising moves coming out of jc penney. let's get straight to our retail report and courtney reagan. this is raising eyebrows. turning back the clock. >> that's right. most retailers don't get much detail in editing assortments. if they're the brands that you celebrated so publicly, it's a different story. it tells me it's refreshing its joe fresh assortment and moving it, putting its private label in

its place. the retailer is also eliminating its private label jcp menswear and reducing michael graves inventory. it's going to launch under the liz claiborne brand to replace martha stewart designed jcp everyday goods that were the source of contention in the lawsuit with macy's. in the eight months since returning, ceo mike alleman has been undoing much of what ron johnson did, near the top of the list, bringing back private label brands that jc penney shoppers actually buy. >> thank you very much. let's bring in buzzfeed's reporter. she actually wrote about it when it first happened. also here from fierce competitors. we're going to milk you over this story as well. i was reading the story you wrote back in march, i believe, when they announced this deal. of course, you get the optimistic comments from the executives. this is going to really take off. obviously, it didn't. what do you think happened here? >> ray, i mean, it's another in a string of changes michael has

been making since he came back to be the ceo of jc penney. i think it didn't resonate with the core customers. that's been the biggest problem is getting the shoppers back. >> i'm going to say something embarrassing but i don't but i. okay? i bought something from joe fresh. i don't think i'm grotesquely obese. i'm sort of heavier. whatever. i buy an xl polo. i couldn't get the thing over my arm. it was a weird slender fit. i'm thinking, who's buying this stuff? it's never going to work. was it just the wrong, pardon the pun, fit? >> i guess it was. i mean, they were trying to get younger shoppers in the door. they're trying to get a trendier consumer. it didn't seem to be clicking with the people who are actually going to jc penney. >> when you say the people going to jc penney, they're trying to get to the core customer, maybe an older woman if you like. they risk also alienating the younger kids out there who might

like these sort of trendy brands like joe fresh. >> i think so. i think in the short term this decision makes sense in getting those customers back. but in the long term, you're right. i mean, how are they going to get younger customers without a brand like joe fresh? >> sapna, thank you. >> what about you? what do you think? >> it says to me, jc penney doesn't know who their customer is. >> brian is not a millennial shopper. that's why it didn't fit him. mike is looking at it, going, this is a low gross margin business because they cut a pretty bad deal with joe fresh. and i don't have enough of those millennial customers. i'm probably not going to get them that fast. so he's scaling it back. he's not getting rid of it. he's scaleing it back to a more reasonable size. a lot of the other things he'll get rid of. he's keeping the ones that work for the younger customer.

>> which of the brands that ron johnson brought in are still working? >> he's going to try to make them be more affordable. appeal to that more hip, millennial customer, the three that go there. they're going to try to not sell that product to brian. they're going to try to sell him the traditional large r sir siz >> wider fit. loose in the legs. >> and the st. john's bay for men product. >> it's granimals. match up the rhino top and pants. looks sharp. >> i saw the other day in jc penney they were selling massive men's onesies as well. maybe we can put that in the stocking for you. it's day four of our fierce competitors series. today all out war over women. ann taylor in one corner. chico's in the other. who's going to win this christmas? >> senior research analyst at piper jaffray. >> it's ann taylor. not just for this holiday season, but into 2014.

this is who you're going to want to own. women are employed. if they're employed, they get to look good. if they're looking good, they're shopping ann taylor. we say it's ann taylor this holiday season. >> what about you? >> i like chico's better. i think their intimate apparel brand is working. it's growing. chico's. i also think white house black market, their other division, looks about as good as a company is going to look right now in the mall for the missing customer which does compete with ann taylor, actually. >> is ann -- this is not my market specialty. let's be clear about that. but is chico's really a direct competitor to ann? chico's always seemed to be -- >> a little older than ann. >> i don't want to call it hippyish. less professional. more of a fun type -- i don't know what the hell i'm saying. >> white house black market is more like ann taylor. it is more wear to work. it does compete directly.

i also think the negative i have on ann taylor, i also think the department stores are competing more directly with ann now. both penney's, macy's. >> in specialty format, absolutely ann taylor is just looking better. postrecession, a lot of these department stores walked away from the career business. it was lower margin goods at that point in time. ann taylor has maintained that dominance the entire time. we think they are the market share leader. >> we're obviously comparing chico's to ann. you think ann is better of the two. >> correct. >> where does it rank in terms of the overall retail and apparel stocks that you cover? >> well, we like anything that's tied to digital. right? people who really know how to execute on good digital strategies. nordstrom, urban outfitters. for us ann taylor does a really good job as well. >> you like urban outfitters as well? >> we do. we like urban outfitters. happens to be one of our top picks right now. >> why? >> i'm on the other side of that

one. >> is anthropology performing? >> it's comping up double digits right now. that's phenomenally strong in this environment. we're very bullish right now. >> you said you're on the other side of this? >> i love free people. one of the urban divisions. i think anthro is working relatively well. i think urban is struggling. i'm waiting for urban to come back, not be struggling. i think that could be a longer struggle. i do love the free people. i agree anthro looks pretty good. >> that is a bold call. it's an ugly stock chart. >> 2013's ugly stock charts can be 2014's better looking stock charts, brian. that's the one we've got to focus on. >> put me in my place. which apparently is the xxl aisle of joe fresh. humilia humiliating. thank you. >> thank you very much. be sure to catch an all new "mad money" tonight. we're going to be continuing the retail theme. jim, you went to the macy's store this morning. interviewed macy's ceo terry

lundgren. tonight 6:00 and 11:00 eastern right here on cnbc. coming up next, it really does pay to be polite in the most unlikely of places. >> how do you know? zing. >> zip it. >> winning. >> zip it. zip it. [ 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. where does the united states get most of its energy? is it africa? the middle east? canada? or the u.s.? the answer is...

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the green. higher. they're up. >> when you say you're welcome, america, are you taking credit for turning the dow back up a little bit? >> no. >> taking it off its lows? no. okay. it pays to be polite. one french cafe in nice where customers order their coffee nicely are charged less than those who are rude. a coffee order with a no hello but a please will cost $5.85. the cafe owner did actually start the pricing ad as a joke but said it's made customers a whole lot nicer. great idea, is what i say. >> i tell you, it's great. it's sad they've got to put it on the menu. basically say, we're going to penalize you for not being polite. i think it's a great idea. i'd like to see it implemented

here. they should even do it in french here just to doubly confuse the customers. >> if we get polite guests, we'll keep them on for longer. if they're rude to us, we'll kick them off. >> thank you for watching "street signs," everybody. have a wonderful day. >> "closing bell" is next. see you tomorrow, same time. welcome to the "closing bell." i'm kelly evans at the new york stock exchange where it's another day in the red for the dow, bill. >> so far. but just wait. i am told, because i wasn't here yesterday, it was at this hour yesterday we really started to see the selling kick in. >> a billion dollars of sell side orders was the word going around the floor at the time. real money potentially looking to get out of the market. >> not today, though. dow is coming back. s&p positive once again. now it's turning slightly negative. nasdaq's positive. dow was down 120 points at low. down 52 right now. we'll keep an eye on this as we