pullback, when we get a pullback, i don't do one of those things where now we have to have a real big pullback. we've been going under the assumption that the s&p can drop maybe three, four. when it gets there, we want capital. there's always a bull market somewhere, i like to say, there's always a bull market somewhere. i'm jim cramer and i will see you tomorrow. welcome to "the kudlow report." i'm larry kudlow. it's 7:00 p.m. eastern and 4:00 p.m. pacific. it's a rough day on wall street. let's go to the floor of the new york stock exchange where bob pisani has a recap of all of the day's action. good evening, robert. >> hi, larry. stocks sold off today with a dow closing at a 3 1/2 month low. the market started to the downside but took another leg down when january manufacturing data and auto sales both came in weaker than expected. everybody cited the weather, of course. but there are concerns about a

u.s. economy atop of worries about emerging markets. it was an orderly but a broad selloff with almost all sectors down 2 to 3%. even staples was down 2%. the volume was very heavy, one of the heaviest days in a year suggesting that many professional traders were lightening up exposures to stock. there's been a lot of talk about market complacency. as i mentioned, the volume was huge. 4.7 billion. that's one of the heaviest days in more than a year. as i mentioned, the volatility, the v.i.x., closes at the highest level in years. bottom line, most traders saw bonds that continue to rise while stocks continue to move up. so far, the consensus has been completely wrong, larry, but then again it usually is. let's call it the great rotation in reverse. back to you. >> all right. many thanks, bob pisani. appreciate it. let's talk about how the key

asian markets have opened after the big selloff. matthew taylor is joining us live from sydney, australia. the nikkei just opened. 8% on japan. pushing that market further into correction territory. of course, over the month of january we saw that japanese markets sink by more than 8%. we're down 2% yesterday and it looks as though we're going to have another drop for the japanese market of 2% today. well below that 15,000 level. 14,348 is where we sit on that main index. we're likely to see the selling in japan exacerbated. we have a stronger japanese yen. below the 101 level against the u.s. dollar, the strongest level for the yen since the middle of last year. the move is likely going to prompt a sell-down in those

japanese exporter stocks which are well on the overall index. the australian market that has been running for more than an hour, we've been pressured by the big mining stocks like rio tinto. copper prices, of course, the ninth executive drop that we've seen bringing about the worst losing streak for copper in 18 years the gold plays are moving higher. a big key risk event here in australia that reserve bank meeting holding its first policy meeting of 2014. back to you. >> all right. many thanks. we appreciate it. let's get right to our distinguished panel. joining me are our ace investors, carol roth, jeff, lpl financial, chief market strategist. jeff, go to you first on a rough day.

look, you have to respect the market. i respect the market. it is what it is. but somehow, jeff, it didn't add up to a 300-plus day loss, just on a weather distorted ism report. all right? what are you thinking about? >> we haven't seen a lot of emotion. we haven't gone with a lot of pull back in quite a while. but markets have become imbalanced when they go a little too high and too long. you're right. a distorted weather piece of data. we have other manufacturing data and they were fine. we'd have to explain why those were all good and the ism was the wrong one. it was an emotional buildup over what is going on with the emerging markets.

that uncertainty created a lot of emotion. i think it creates a buying opportunity. >> carol roth, thank you. i don't know if you agree with that. it's interesting. we close the year 2013 with better than expected economic growth and higher than he can pebl expected profits. everybody is concerned about 2014. i suspect that's one of the themes of this market selloff. do you think that we are going to just reverse all of that mom men tough from last year and have some kind of slumping economy? >> well, i don't think it's a reversal of momentum. but as you and i have talked about, larry, the growth is still very meh. even though it's increasing a little bit, we're far and away from where we should be. we should be at double the growth right now. investors are starting to think about the risk and reward tradeoff in terms of revenue and earnings evaluation, some market

risk from across the globe and putting that all together, frankly, the valuations got a little bit out of control at the end of the year. i think that this type of pull back is certainly anticipated. you know that i've been anticipating it and i don't think it's any reason to panic but i think that everything got built up so much that now it's a time for people to be more selective about where they put their money. >> i think 10% correction in the market would actually be a very healthy development. but we will see. jeff killbuburg, a high volume with 300 plus and we've had a 6% selloff in the s&p, that troubles me. what does it tell you? >> despite the pros, watching that sluggish gain last night, tonight there was no sluggishes.

i think the reason why, how did a lot of investing community globally gain exposure to the markets through the etfs? they have allowed such a conduit to come back into the market when sentiment changes. today, you saw a ferocious down take. this is really the undercurrent of 2014, larry. we've beaten this horse to death but volatility is back. the v.i.x. is above 21. it stays up here at 21 and the move will be much more severe and deeper. right now we potentially see a bounce. >> technically again, are we anywhere near a bottom? where would you look for the bottom? how far away is the bottom? >> we're focused on the multi-year high. i think we have the potential

here to bounce but there's big resistance up at 1770. that was support. use it. >> one of the things that does disturb me, though, is the influence of all of the emerging markets over the weekend you probably saw the side-by-side stories, turkey countries, one is a dictatorship, both corrupt and going nowhere. people say brazil is turning into argentina. i don't see any of this emerging

market stuff solved any time soon. i think we may have a ways to go. >> i don't think it has to get resolved soon. listen, what is going on in the emerging market is not in the coal mine of weakness. many of these countries have become dependent on global economic weakness. they have become dependent on central banks pumping systems and huge budget deficits and now as it is being drained and interest rates are rising around the world as growth is getting stronger, they now have to adapt to a completely different environment. this is a sign that growth is getting better around the world, not worse. >> some people think, okay, the emerging markets are like a signal. a lot of them are commodity countries. many of them are not. many are moving to the left and doing stupid things.

they are doing too much, they don't care about the currencies, as i said, if turkey is important, forget about it because it's just in absolute shambles. a lot of people are saying the emerging market drop has more to do with china than it has to do with the american monetary policy and there are serious questions about china. some people say it's okay. 7.7% growth in the last quarter. industrial profits, good. technology going good. others say china is going to have a hard landing, carol, and a hard landing means a real hard landing for these emerging markets. what's your take? >> i think you're exactly right. the challenge is, even though we're hearing numbers out of china, we don't know how real those numbers are. china is a really opaque country. we don't know in terms of everything that they have going on over there what we can count on what we can't count on. you and i have said before that not only could china have a hard landing but issues in japan.

we're seeing 10% -- i guess you could call that a correction now in their index. i think it's not just the emerging markets that we were talking about in turkey and argentina but china being the second largest economy and it would be huge, huge issue from a global economy standpoint and i think that if you look at everything in total, this is a big issue with the monetary policy that's been happening nationally and internationally and pendulum has to swing the other way and we're going to end up paying the price for it. >> well, i don't see any systemic financial risk yet. i mean, if you look at some of the indicators, such as the libor rate or two-year swap rate, those things are not ballooning up. i don't see those from the emerging markets. but somehow this whole emerging market thing -- most countries that we talked about, lousy individual policies. it seems to have a psychological impact on the american market. and that's the part that

troubles me and again i say, don't think that they are going to solve -- heck, i don't see any solution to argentina whatsoever. >> no. >> i don't see any solution to turkey whatsoever until something happens that they have to default and the imf comes in. that part is a little tricky to me, jeff. >> it's a tiny portion of s&p 500 sells. the direct impact is very limited. 5% tied to the emerging markets but remember there are other emerging markets and this is why i don't think it's a systemic problem. look at what japan and philippines are doing. those markets are not running deficits. they are much better managed economies. they are not saying that china is falling off a cliff. they are not saying that global demand is weakening. >> and south korea. south korea is doing very well, too. you make a good point. go ahead, carol. >> it's the indirect impact of having all of these currencies. they are built on not having a

reserve. they are built on faith and confidence. when it waivers, the whole thing collapses and that's what we've been concerned about here in the u.s. with the feds and it's really about a competence game. this entire global market is about a competence game. >> i agree. central bankers are pointing fingers at each other. they have intervened for so long, they have pinned themselves in a corner and it has a potential to escalate. >> well, when we come back, this is a good point to end on, you're all going to -- when we come back, i want to talk about the role of janet yellen, the world central bank. is there going to be a yellen put like there was a greenspan put, a bernanke put. is miss yellen going to stop tapering until the stock market settles down? they don't meet until the middle of march so it's not going to

happen soon. anyway, we have much more to focus on. next up, president obama says the obama care website is all fixed now. really? well, don't tell that to the insurance companies and don't tell that to the tens of thousands of americans who got bad information on the website and cannot fix it. we've got the latest on all that. until then, don't forget, free market cal tappism is the i'm kudlow. we'll be right back. when you order the works you want everything. an expert ford technician knows your car's health depends on a full, complete checkup. the works. because when it comes to feeling safe behind the wheel,

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i don't think anybody anticipates the problems you had on healthcare.gov. the good news is, we've decided how are we going to fix it? it got fixed within a month and a half. it was up and running and now it's working the way it's supposed to and we've signed up 3 million people. >> washington post reports today that tens of thousands have

either been overcharged, put on the wrong insurance or denied coverage completely. this is thanks to the dysfunction of obamacare website and the icing on the cake, apparently, the governorment still has no way to fix the errors. here now to talk about it, health policy expert paul howard. he's the director of the manhattan institute for sen tce of progress. people are enrolled in the wrong insurance plan. in some cases they have to get out of it and they have no resource. >> people are paying more for insurance coverage than they have to. they have no access to care so they are just waiting and no one can go into the system and insurance is required to have an

appeals process. >> as i understand, it's a few weeks actually can't get any coverage. they think they have coverage and they don't have coverage because it didn't go through the schanls into the insurance company. >> i believe as of a week or so ago you are having people complain that the physicians are still complaining and people are showing up in their offices and they are having trouble verifying coverage. let's not forget the other elephant in the room. they are paying the insurers. that process is still ongoing. all of those things are still up in the air. the president of aetna said we don't know what our premiums are going to look like. we may have double the increases. lots of unknowns. >> i want to stay with this payment business. it's very, very important. the insurance companies can't be

sure that the customers paid. they don't know if it's the right amount that the customer is paying. they don't know if it's the correct subsidy that the customer is paying. now, question to you, are the insurance companies eating the difference or the potential loss? are they doing that or are they just saying no to the customer? >> well, for the time being, they have a lot of incentives to eat the loss. my colleague scott gottlieb pointed out, insurers are quietly saying they would be taking serious losses on the exchanges right now if it wasn't for the reinsurance, the quote/unquote bailout provisions that redirect taxpayer funds to them to help cushion them against losses. so the way the risk pools are shaping up right now, sicker, older, poorer than expected, those can lead to serious losses in the long term at least if the taxpayer was not there to bail them out. >> well, the republican party at

their conference just a few -- this past weekend, they are talking about chilling any bailout insurance at all. whether it's reinsurance or risk corridor, they are talking about killing in. if fact, they are talking about attaching it to an increase in the debt ceiling that's coming up in a few weeks which may be a market problem. i ask you, how far is this talk going to go. will the gop try to kill any bailout money? >> honestly i think we have learned that you can reform the law with just one branch or one-third of the governorment. y government. i think the really shining example or hope on the horizon is really for the first time lays out a conservative agenda for a market base to not just throw away obamacare or status quo but actually goes towards a

vision of the future. >> all right. we'll leave it there. many thanks. paul howard of the manhattan institute. appreciate it. folks, when you look outside your windows in the northeast, it looks beautiful but it's not so beautiful if you're stuck in an airport or on a highway. that's next up on "the kudlow report. ♪ as a quarterback, i know how it feels to be blindsided. but with the available safety systems in this buick verano -- like side blind zone alert... ♪

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land and air very difficult. alex wilson is live at laguardia airport. thank you, alex. what do you have? >> reporter: sure thing. we still have delays of just over an hour and a half at laguardia, newark. even though things have improved, we saw on-time flights especially as opposed to the morning when the heavy snow was coming down, 1 to 2 inches an hour. places like central park, out on long island, it did cause quite a bit of trouble for the folks looking to do some business traveling, fun traveling and of course all of the fans in town for the super bowl. now, yesterday temperatures were in the 50s for highs in east rutherford, new jersey, where the super bowl was taking place. i had the opportunity to speak with roger goodell this morning and he said that while he was

really thankful that the timing worked out to help with the big game, the big priority now for the nfl and everybody else was getting all of these fans home to where they needed to go and actually the host committee, they really planned ahead because they were giving out packs of playing cards, also hand warmers. i spoke to somebody from the host committee and she said they were planning on giving them out anyway but a lot of people, these playing cards came in handy for as people scattered about the food court, that gave them something to do while they hung out. i have heard from a couple of people who waited hours. eventually the flights did begin to take off. now, the problem is, we could see from the low 20s and this is round one of two headed to the new york city. by midweek, we have another system that will offer up not just snow but wintry mix. some of that iciness as we head

tuesday night into wednesday. we could be dealing with more problems at the airport. with this very heavy, wet snow, we have lots of power outages, especially in pennsylvania in the philadelphia area it was hard ef hardest hit. still over 13,000 people without power in the pennsylvania area. >> all right. many thanks, alex wilson, we appreciate it. now, folks, let's get back to the wild market situation that we've got another panel of great investors standing by to help us out. the futures are trading slightly right now. as we look at this big selloff, we're going to get back with that. stay with us.

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welcome back to the kudlow report. the dow is down 326 points. let's get another check on the asian markets from matthew taylor and cnbc's sydney bureau. >> hi, larry. we've seen a deterioration since i last checked in with you about 30 minutes ago. the japanese and south korean markets have been up and running for half an hour and the japanese market falling by more than 3% at one point. you can see we are now off 2.2%, a decline of almost 400 points.

the story with the japanese market, all about the strengthening yen that we saw overnight that was really hitting those exporter stocks in japan. a heavyweight on the market. the dollar/yen, 115. we're starting to see is strengthen a little bit before the japanese market opened but we did have a trade below the 101 level which puts it at the strongest point since about the middle of november. it's worth pointing out that the japanese market is going to be in correction territory. it was off 8% in january. down 2% yesterday. down another 3% today. here in australia, eyeing a key event today which is the reserve bank monthly meeting. potential to see it easing buyers which could boost the australian dollar. it's sitting at 8736 against the u.s. dollar.

larry, back to you. >> thanks. we have a 7% pull back on the dow. s&p is off from its all-time highs. the question is, are we in a healthy correction? i'm here with danielle hughes, the ceo of divine capital, bob dahl and we welcome back jeff k kilburg. danielle, there seems to be a loss of confidence and a pull back. it looks like it's a worldwide event. that's bigger than the ism and that's bigger than our lousy weather here in the states. what's your take on the causes of the unexpected new year drop. >> well, we had really lousy numbers out of china manufacturing as well, larry. so that combined with the employment numbers, we were waiting for this to happen for so long.

simply because we were waiting for this correction, this is an opportunity, i think, but it's true. since the beginning of this year, really big sectors for example, consumer discretionary down 6% year to date and the consumers is about 7% of the gdp. it doesn't bode well. >> bob, it's interesting, though, we just had a cycle high in consumer confidence that was reported last week. i wanted to ask you about that and also ask you about the importance of china. you know, bob, it's hard to get your arms around china. some people put out decent numbers, 7.7%, they say industrial production is okay, they say retail sales is okay, other people don't carol roth call it is opaque. what's your take on china and the american consumer? >> i think there's more that we don't know about china than we

do and that's been the case for some time and will continue to be. there will be all kinds of cross currents. one day we'll feel okay, the other not so okay. it's in for a bumpy ride. it's been in for a bumpy ride for a while. because it's so important, it has an effect on the u.s. dollar. the carry over and inventory seems to be okay. it's going to be a while to sort this. we need the markets to calm before we can think about what are the causes and how do we move from here? but if the developed world comes back and has a little better future, there's so many people that have been waiting for this, let's hope that they do

something about it. >> jeff, let me come back to the intriguing question about the new fed chair who, by the way, said she would not accept nor like any of us calling her fed chairman. so we're going to stick with fed chair. this is very important and i get that, okay? i want to ask you, is the new fed chair going to at least temporarily, monthly starting the taper down of bond buying in they don't meet until the 19th. that's a way down the road. is yellen going to work to change the u.s. stock market? >> she has a potential but it's a timing situation. so i think she clearly stated she was more dovish in her interview than anticipated. this market right now is at a crossroad and i think bob hit the nail on the head.

what has been suppressed for so long, why has the fed done such a great job of doing, suppressing volatility. they still have the long end of the curve. we will see this stock market, people rethink allocations and that's where it could get hairy. >> danielle, if you were going to dip your small toe into the market, because corrections come and go and america is a great country and i, frankly, don't see any death defying obstacles to the market in at least the median term, if you were going to stick your toe in the market, where would you go? >> there's still some opportunities in defensive stocks paying nice dividends but also industrials actually look fairly good. their fundamentals are improving and if you can focus on some industrials that are not so commodityized, i have a u.s. focus and i think you may be able to ride this out.

health care is the only thing that's held its head above water in the green. that's another place where we think long-term health care is one of the places to be. >> bob, you heard danielle, industrials and health care. front page of the investors business deal this weekend profits exceeded expectations in the fourth quarter. they said financials were leading the charge followed by tech. so i want to ask you about those two. >> i liken do endorsing health as well. i think they are part of the softer cyclicals. i agree. i don't want a lot of deep cyclicals where answer and materials and less excited there. financials are fish nor foul. i'm neutral. some of the consumer cyclicals that have come down so much. >> do you think the fed should or should not be tapering?

the federal reserve is the world central bank. they are starting to throttle back liquidity, although barely, barely, barely. some people say the european central bank is actually too tight. some people are saying this rise in the yen shows that the bank of japan is too tight. some people are saying that they want to stop credit lending. is it possible, bob doll, that one of the signals for this global selloff is that the central banks are too tight? >> i don't disagree with that. there is deflationary threat most places. i'm not disagreeing with the fed. i have to recognize that the u.s. economy is more able to get up on its own two feet. i'm not sure that's the case in europe or japan. i think they both need some help. >> jeff kilburg, is there a

deflationary threat? the fed's liquidity hasn't circulated in the economy. people say europe is too tight. people say china is getting too tight. do you think it's possible that monetary policy is too tight and that's the message of this global selloff? >> no, i think we've passed that time period. no. i don't see it happening. we have to be very focused on where this u.s. dollar is trading because it's been a great precursor for these types of moves. >> we'll leave it there. thanks very, very much. former governor tim pawlenty is about to join me live and i'm going to ask if he thinks there is a war on banks and he's going to tell me what he thinks the republican party needs to do to reinvent itself. does this mean he'll run for president again, too? former governor tim pawlenty has the financial round table. he's next on kudlow. [ park sounds, sound of spray paint ]

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and a free 30-tablet trial. anbe a name and not a number?tor scottrade. ron: i'm never alone with scottrade. i can always call or stop by my local office. they're nearby and ready to help. so when i have questions, i can talk to someone who knows exactly how i trade. because i don't trade like everybody. i trade like me. that's why i'm with scottrade. announcer: ranked highest in investor satisfaction with self-directed services by j.d. power and associates. welcome back to "the kudlow report." i have with me tim paul lwlenty former governor of minnesota. great to see you. >> great to see you, larry.

you're in fine form, as always. >> it's a tricky day but thank you for coming on. governor, in terms of the financial world, you're the head of the financial round table. jpmorgan has to pay, what, a total of $20 billion in fines to the federal government, some people believe the governormemeo pay as much as $50 billion for actions taken four, five, six years ago. is there a washington war on banks right now? >> well, larry, i don't know if i'd say there is a war but obviously in the wake of the crisis there was an understandable reaction in the form of dodd/frank by way of oversight and capital regulations for banks and other financial institutions. that was directionally

appropriate. the regulatory framework overall doesn't put a heavy burden on these institutions that it begins to deter lending, capital formation, capital deployment and all of the other things that you need to have the spark that keeps the economy going and obviously financial institutions plays such an important role in that regard. >> well, that's one of the things. i looked, as did many, at the allocations of the jpmorgan fines. a lot of it went for mortgage bailouts that the congress wanted no more of. a lot of it went for community groups. one calls neighbor works america which is sort of a left-wing financial version of a.c.o.r.n. it seems like this was the shakedown and it seems like an odd thing five or six years after the crisis has passed. >> well, when you look at these settlements, it's important to see where is the money really going and is that going to reflect or inform some agenda that might relate to why the case was brought in the first place or certainly the terms and

conditions and timing around which was it was settled. a lot of these financial institutions did things they shouldn't have done and so making sure that they are held to account is important but you don't want to overbake the cake to the point where you tie people internationally or nationally or do things that will stifle lending. you know how important it is that banks play the role in that regard and, look, if we put a burden on them that has deterred or discouraged, we're going to have big problems. >> a lot of people say, governor, they are suing the institutions. they are fining the institutions. there were specific individuals inside the institutions. why don't they ever get singled out? why does the corporation have to always pay? why not the people -- i know there were guilty parties and i know there were things done improperly. why are individuals being singled out? >> well, if there are individuals culpable, some cases

criminally prosecuted, so i don't want to say individuals haven't been but you're right, if you have one individual and an isolated or semi-isolated set of facts and he or she drag as global company into the crosshairs, you want to target the consequences to the group or unit that was at fault. it's not always a companywide phenomena. >> you were governor of minnesota for two terms, i think it was two terms. you're in washington, d.c., and you're looking at this story. in your opinion, is the republican party on the right track with the right message to win the senate back in 2014 on the way to capturing the white house in 2016? >> well, i think the republicans have a very good chance, actually, of taking the senate, although it's going to be close. but as to their message, larry, i wouldn't say it's because of their message. i think it's for other factors.

the message needs to be jobs and economic growth. and when you look at that message, we need certainly. in other words, don't tip the country into a crisis with respect to not raising the debt limit for money you've already spent, number one. number two, get tax rates into a pro growth mode. number three, have health care that is not government centric but consumer and market centric. make sure we have a policy that reflects the energy renaissance, including the keystone pipeline which is a no-brainer in my view. what do you need to do to get jobs growing and get the economy ignited, get the message around that. and by the way, be on the side of small businesses and entrepreneurs and that's the winning message. >> do you have a thought on governor chris christie, head of the republican governor associations, some kind of favorite for running for president. what happens to that? does that affect the whole party? where is this whole christie thing going? >> well, i do have a thought on it and it's this.

he should be given the benefit of the doubt until someone offers evidence that he did anything wrong and that hasn't happened. there's been a lot of people who have done some things wrong in terms of shutting down that bridge. they were fired. but chris christie, the governor, has said he didn't know until after that occurred. and there's no actual evidence yet that that's not the case. so i think he gets the benefit of the doubt here. >> don't you think it's a bit odd, "the new york times" and others running this idea that evidence exists from a lawyer's letter looking for immunity, wildstein, evidence exists and that's been pinned on christie. where is this evidence? >> that's like saying, larry, you have thoughts about economic growth, thoughts about the keystone pipeline. well, until you say what they are and are able to back them up, they don't hold them a lot of water. so this individual, if there is such evidence, you know, put it on the table. put it out in front of the media. put it in front of the judicial process or the legislative

review process so people can i can ckick the tires and see if it's real or not. until then, it looks like a game. >> well, i do want to build the keystone pipeline and abolish the corporate income tax, but that's for another time. governor time pawlenty, thank you, sir. it's good to see you. >> thank you. raw markets as you prepare for tomorrow's opening bell, selloff going to come to an end? please stay with us. we're coming right back. vo: once upon a time there was a boy who traveled to a faraway place where villages floated on water and castles were houses dragons lurked, giants stood tall, and the good queen showed the boy it could all be real. avo: whatever you can imagine, all in one place. expedia, find yours.

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many investors, including myself, include the selloff a perfect time for opportunity. joining me right now, just two quick things we didn't cover earlier before we get to tomorrow morning. number one, carol, president obama had a lot of class warfare in the state of the union speech, talked about taxing businesses, particularly businesses with cash overseas. >> i think the overall political rhetoric if washington, president obama doesn't seem to be on the same page, particularly the small businesses in this country, is

something that creates a lot of opportunity. it's not just president obama, it's the house, the senate, all of the government together that has not created a pro business environment that will lead to the right kind of jobs. that's an issue. >> i want to be very even-handed here. also we heard over the weekend that the republican conference, republican house conference was talking about raising the debt ceiling, which is coming due in a few weeks, i think. but they want to attach end the insurance bailout and then we'll raise the debt ceiling. if you don't, we won't. could that be causing market jitters? >> i don't think so, larry. it's a little too far on the horizon. february 7th is the date that we start to move into extraordinary measures to keep that debt ceiling going. i don't think that market is focused on that at all. i don't get questions as i

travel around the country about the debt ceiling. by the way, the national federation of independent businesses, small businesses in the u.s., their latest survey, one of the highest ratings in years, i think they are ignoring washington right now. >> very, very interesting. carol roth, what does one do tomorrow? >> i certainly don't have a crystal ball but i would wait. there's a lot of information coming out this week that's very important, especially being the jobs report. if you're an investor that is concerned about the overall factors here, i think you're going to be looking towards the jobs report. you're waiting for those numbers under the week. >> you've got roughly a 6% s&p 500% correction. is it time to nibble and go back in? >> it is time to buy, larry. you can buy the broader market,

small caps actually corrected a lot more than large caps did today. we did across many of our portfolios today at the close, bought some small cap stocks. what we did is a great idea. if you can't stomach buying some stocks, think about trimming some bonds here. there's been a tremendous rally in the bond market year-to-date. muni is up a whole year's worth of interest. that's what which did, sold some munis and bought some stocks. >> what sectors do you like, jeffrey? >> the most outstanding ones, look at industrials. you've got a return here of some business spending in 2014 that you don't sustain them technology and overall health care looks good to us. >> carol roth, i want to buy the dollar and stocks. psycho analyze me. give me some therapy. >> i think, larry, you've been very optimistic lately and i applaud you for that.

but the reality is that companies really miss the boat here. they had an opportunity in a low interest rate environment to take that money and to deploy that capital and what did they do? they either hoarded it or returned it back to investors and i think that is going to lead to a slow growth environment going forward so i'm not really going to psycho analyze you but if you're buying in this market you should be looking at certain sectors. i agree on technology, maybe financial services, maybe some of the consumer staples and to be really selective about high quality names. >> i think you would agree with me, carol roth, i hope you'll agree with me, after the cold months are over, spring will come and the weather will get warmer and that will have a positive impact. do you agree, do you agree that spring will come in the united states? >> this is like after groundhog

day and larry has seen his shadow and yes we'll see a rally because you've seen your shadow. >> you two are great. carol, jeff, thanks so much. that's it for this evening's show. thanks for watching. tomorrow i'll be joined by harold hamm, the man most responsible for the fracking boom in this country. tomorrow you can see savannah guthrie's interview with facebook founder's mark sgruk customer be zuckerberg at 7:00 a.m. of one drop of the leading non-concentrated brand... ♪ [ crowd cheering ] ...to clean two times more greasy dishes. dawn does more, so it's not a chore.

>> narrator: in this episode of "american greed"... two grannies in jail ... caught on tape.... their cold-blooded murder for money plot is finally up. >> jimmy covington: they already killed two men and were gonna murder me. >> their story... is about to unravel... >> ed webster: they just fed them and housed them like animals, just for the sole purpose of killing them. >> and it sounds just like something out of a hollywood movie... >> i think i still could not really get my brain around the fact that these two geriatrics had executed this guy.