adviser and one other stock are the best performers. trying to remember there's another one. netflix and trip adviser. >> that's the mystery shot. thanks so much for watching "street signs," everybody. >> "closing bell" starts right now. take care. welcome to "closing bell." i'm kelly evans on this mound down here at the new york stock exchange, bill. >> welcome back, kelly. >> good to be here. >> i'm bill griffith. the stuff you miss. let's remind everybody. any close higher for the dow or s&p would mean new highs for the averages. closed at all-time highs on friday. watching that developing story at this hour along with these stories. >> yes. the news continues to come out of apple's developer's conference. is the company impressing the crowd and we'll ask one tech

judge who will be here with us live in a little bit. >> captain wait to talk to him and get his impressions. stock is not responding at all today. >> look this, programming language is a fascinating one to discuss. >> we'll go to the graphics, sorry, guys. denials of wrongdoing are coming fast and emphatically after leaked reports that the government is investigating insider trading involving activist investor carl icahn, golfer phil michelson and noted gambler bill walters, plus billionaire mark cuban is now taking to twitter in defense of those in the crosshairs of the s.e.c. this is a fast moving story. we'll have the latest on that coming up. >> yes. another important story. can't talk enough about this right now. when the new normal in the auto industry is a seven-year car loan, is that a red flag for auto sales? why some fear that this is a sign that all of this could end badly, much the way housing blew up a few years ago. phil lebeau will give us a full

report. >> for the first three months amount of money we borrowed to buy cars topped $100 million, never borrowed that month in a three-month period. >> and the demand is so strong. that's what's driving a lot of this as well. it is the investors willing because of a reach for yield to pick up all sorts of, even, auto loan packages, a lot of the way the subprime loans were a decade ago. >> here's where we stand in the market, head together close and the dow is staplinging a 21-point rally this year. the s&p 500 slightly positive and the nasdaq is off by 13, and, bill, i believe, s&p and the dow were still on a new record high watch. >> you see the stutter step on the open for all three of the major averages. how much was this bizarre revision we kept getting on a manufacturing report from the government this morning. they had revised it twice. >> twice. >> they got it wrong the first time, got it wrong the second time and finally got it right on the third calculation. >> and this after wall street

economists looking through the data said basically, guys, this doesn't add up. >> crazy, crazy, crazy. >> let's talk about our day on wall street and "closing bell" exchange. danny hughes from divine capital. jeff cox from cnbc.com and joe and andrew aarons and, of course, our our own rick santelli as well. danny, moving into the month of june. they didn't sell in may and go away but will they change their tune in the month of june, as we were saying on friday? >> that was nice, bill. >> actually if you didn't sell in may you were objection but this morning it was a little tricky, like you were alluding to before with the ism redo and then redo again, and once again another trust crushing government al redo, and so, you know, we were saying on the trading desk actually who got the high speed numbers on that ism release and did they get the corrected number, because if they did, they did very well today? but that aside, this is a big

week for numbers. >> yes, it is. >> it's about seven central banks reporting, and we've got big jobs numbers at the end of the week which is really important as well. >> yeah, that number, andrew. can we talk about that number for a second. it's got to be now what people are looking to, estimating we added, what, 200,000 jobs last month for the u.s. economy and after the ism number was revised higher, it's more consistent with an economy that looks like it has some momentum, perhaps sustainable momentum going into the year than one that's losing steam. would you agree? >> i do. i think one thing about the ism numbers that everybody is really hoping for a really good number. i kind of liken the ism number to taking your child and teaching it how to ride a bicycle. you've got the training wheels on. you're letting the child go, and you're hoping that they can go well enough for you to take this thing off. unfortunately the fed doesn't feel like it can just take the training wheels off but some more positive stronger ism

numbers. they may get us there, but i'm hoping that they will get better. >> taking the training wheels off one screw at a time, very, very carefully. >> jeff cox, what do you make of today's market and this reading? when all was said and done, that ism, institutional supply management number was a pretty good number, wasn't it? >> okay. 56 indcates expansion in the economy so i guess that that's as good as much as it stands. goes back to the training wheels analogy which is very interesting. one. things that happens with training swheels when you keep the training wheels on long enough that you get so used to having them on there you don't want them to come off anymore. that's the story for the markets. trade now is being fueled by three things. one thing, disbelieve that the economy is as good -- is as good as the consensus says it is. i think the other thing is the fed knows what it's doing and number through, when the fed doesn't know what it's doing anymore will want to get out in type. my friend rick once made the metaphor, when that point does

come, it will be a room full of ralph crammedens trying to squeeze out through the key hole. >> how much are markets being pushed around here by developments coming out of europe? >> i think they are being helped by that. europe is strengthening as well. two years ago we were talking about a complete break-up of the european union. obviously that talk is long gone, but i think the u.s. economy stands on its own based on all the indicators, the numbers and low leverage. >> this week, if we see an historic move by the european central bank to perhaps push their key rates negative, is that why the markets here are responding why they are, i respective of u.s. data? >> they are rushing to safety over here? >> well, i think that helps. there's no question, and the europeans are trying to infuse capital and a little oomph into their markets, but i -- i

believe with or without europe, the united states is doing quite well be a sent a collapse in europe. >> rick santelli, so here we go. month of june, what are you expecting here as we move into the summer timely? >> well, you know, i think it's very important to assess the jobs number on friday and to see which side of the last number it falls on because if we are looking for this big weather bounce, in my opinion we should be building on the last number, but we'll have to wait and see and we'll all scrutinize the unemployment rate because what it depicts is actually not happening. the drop in the unemployment rate is more respectful of issues within the economy versus positives within the economy, and last but not least, the guest who said two years ago we were talking about europe breaking up, well, sorry to say that it's pretty much the big talk now. as to which countries are going to want to hold on to the euro, sand this going to give france strength because most realize that without the number two economy not buying into the

whole emu story, it probably won't hold together, and france, based on the parliamentary voting count, doesn't seem too enthralled, neither does the uk, so i think the euro and the eurozone is going to be a huge issue whether they go into negative territory on rates or not, and the final question is an easy one. globalization. i'm sorry, but i don't see it. if europe gets off the track, it certainly isn't going to make the locomotive of the u.s. economy run any better on its track. >> rick, what's so interesting is like all the issues that you're talking about, after europe has done so well across the bond markets for the last couple of years, do you get the sense that all the flows are coming into the u.s. because they feel it's now a safer place to put money to work even if the ecb does more stimulus over there in. >> i don't think it's a safer place argument. i think it's a relative value argument. i think when you look at some of the rates in italy and portugal and spain, that those rates

aren't real raise and if you put them to a level, compromise of risk and reward, those countries may be insolvent so i think the flows here are greatly affected, a trend of lower rates that don't reflect the next natural fundamentals of many of the economies in europe. >> danny, the last couple of months here of the second quarter we've seen a gradual shift in the stock market away from growth stocks and back to the defensive plays again. where do you see opportunity right now? where are you investing here? >> it's interesting because we said we'd get away from defensive and into cyclicals and we went back to the playbook and started all over again with defensive. i think people are very well concerned, the first-quarter earnings, actual think they came in pretty well and people still see a drag. productivity may be up but jobs are down. that still gets people nervous, but consumer confidence is at all-time highs, bill, and you have to think that 70% of the gdp is made up of the consumer

spend, so it could be a very interesting second half. i'm still invested. i have a little cash on the sidelines in case anything goes away, but i'm still invested in mostly the bigger names and dividend -- playing stocks. >> what about you? where do you guys have money in this market, and do you worry about risks? i know i asked you about europe. i'm going to list japan as well as a potential worry spot if we're talking globally the second half. year. >> well, there's always risks and we're always concerned about them and new ones that we haven't even thought of will present themselves, but we're generally positive on the equity markets. we think there's opportunity in manufacturing. we think health care is also a good sector to be in right now, and high dividend paying stocks, we think there's some real upside potential for -- for investors. >> kelly, there's an interesting big picture number here, kind of the stat of the day here is

because for the first time since november 2012 we actually saw inflows to bond and outflows from equities on a global basis so you can definitely see that flight to safety is still there, but also just i think a belief or pricing in the level of economic growth that investors are still feeling comfortable in fixed income, a very strange raid to me and it's there and it's prevalent. >> just for the record, jeff, the final revision that we got, at least the last one i saw on the ism number was 55.4, pulled it back a little bit. >> i said 56. >> just want to make sure with a show of record wanted to make sure we had it right. >> very quickly before we go. where do you see value right now? where are you investing? >> i like the publicly traded reits, especially the held care, affordable health care act is bringing 30 million people that didn't have health insurance into the system so we're going to need facilities to handle all the records and things. i also like mlps and like

dividend paying stocks and i do think -- >> you like that yield? >> you have to have yield because you have no other place to go. going to the bond market is just going like when you're playing tag it's like getting on base. investors are forced into the stock market because they have no other place to go, so the stock market is the path of least resistance right now. >> and that's -- >> 5% yield on junk bonds now, that's pretty good? >> go online as well and read jeff coxe's piece on the market correction that hasn't happened. >> it will happen but when? >> it will happen because it has to happen. >> we know. we've heard it. >> something about the laws of physics. >> thank you all. good to see you. >> see you later. have a good rest of the day for this monday where, again, we remind you any positive close for the dow or s&p will be a new all-time high for those averages. the dow is up 20 points right now and the s&p up a fraction. >> sticking with the yield,

we'll be talking more coming up. we'll talk a little apple at its closely watched developers conference. how people will weigh in on the conference. is the programming language significant enough to take apple to highs and then a look forward to apple's review. >> a real estate investment trust was outperforming the faction a lot, but six-fold. the head of the national real estate investment trusts will tell us how long the good times may roll in terms of long-term interest rates having to go up tiantly. >> a look at where he's seen the fastest growth. stick around. that exclusive interview is still coming up. peace of mind is important when you're running a business.

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welcome back. a mixed day. one of the major averages is hovering into the afternoon session. the dow is up 17. any positive close for that or the s&p will be another new all-time high, and the s&p has just dipped back into negative

territory. the nasdaq is underperforming, down 12.5 point. among the underperformers it s apple which is in the midst of its technology conference. >> it's up 1%. >> down 1% the last time i saw. >> it's down. >> biggest name in the index. >> i know that we're comparing apple to oranges, had, ha, ha, o coin a phrase, but back when they had the developers conference the stock would go up because people would be excited about the new products. >> and this is amid new language. bob pisani, a new month, last month of the quarter. what are the big movers right now. >> first trading day of the month. usually get a little more volume. not seeing that today although we are in record territory. want to show you the s&p, little excitement in the middle of the day. suddenly around 10:00 the ism numbers came out much weaker than expected 53-3-.2 and turned around around 11:00 and revised the numbers, made a mistake in the conclusion and said it was

56. that was above expectation and then it was revised another time. you think they would get the slayings right. there's the little dip you see earlier in the day around the ism. it actually did move the markets. back in high territory. the new rawls on the-op emissions have been proposed by the white house and see the effect there. gold stocks, still can't get traction. gold was $1,300 and now $1,250, down $50 in the last week. follow through gold stocks on the weak side. some sectors are up. publishing is up a little bit. gwyneth was mentioned positively in baron's over the weekend. people talk about these magazines don't move stocks. baron's mentions it and it does mention t.zillow downgraded. rbc and pacific crest and still having a pretty good time. big momentum stock holding up pretty well. >> guys, back to you. >> bob, thank you.

speaks of real estate investment trusts, they are lapping the s&p 500 several times since january. >> with us now to talk about at "the new york post" 9 is steve wechsler, the president and ceo of the national real estate investment trusts who will be ringing the bell at the big board. >> good to be here. >> why now, why the outperformance now? where what does that say about where we are in the economic cycle? >> what it says is that we've been in some slow steady growth, notwithstanding the quarter revisions and that growth on a clowe upward basis is good for real estate. the economy is growing slowly, increases demand for fundamentals and for real estate and the properties that they can offer tennants. >> how much different kinds of investment trusts are there?

>> there's about 250 publicly traded real estate companies at reits in the united states. the world today, there's 30 nations with reits, so believe it or not, in the uk, france, japan, singapore, reits are operating in those countries as well, but in the united states, of the 250 stock exchange-listed reits, they cover different sectors, retail, regional malls, strip shopping centers, office, industrial. health care-related, self-storage. >> self-storage. >> apartments. >> anything that has got land under it, right? >> americans have a lot of things they would like to store somewhere. >> i'm hip. >> and are they all built the same such that when rates start to rise they will underperform? that's when we'll start to see them underperform the market. is that what's going to happen? >> the issue of interest rates and the reits is complex. it's not a one-way street.

obviously rising interest rates are negative for all assets generally in asset pricing. with reits you get the potential benefit of in a rising interest rate environment oftentimes the economy is growing and that provides pricing power to the landlords to increase rents, to compensate for the rise in interest rates, so it's a mixed picture and most time periods where interest rates have risen over the last 20 years, reits have done well as opposed to not. >> i would imagine the more the people pile into these products, which i imagine they will chasing the returns that they see, doesn't that mean you'll get lower and lower quality issuers coming to market potentially? >> we've had a limited number of ipos to date, though each year since the great financial crisis there's been some, but what you will have in the public real estate markets for the stock exchange-listed reits is you'll get the liquidity of real estate so you'll get the realtime

pricing. you're not getting in the private markets, and that's a signal. >> yeah. for good or ill? >> for good or ill, and there's a bottom. we quickly saw last year when the tapering talks began, chairman bernanke roughly a year ago, reits cropped, but they bounced back once they found that bottom. >> like a lot of issues at that time. steve, good to see you. we'll let you get going to ring the closing bell. >> appreciate being here. >> we'll take a break. the market with 40 minutes left in the trading session here. the dow up 17 points in all-time high territory once again. finally hit dow all-time highs when you were gone on friday. >> i know, i missed it. >> i did cheer from home. >> we're keeping a close eye on the indexes. clovis oncology stock taking a hit. down more than 7% on news its experimental lung cancer drug is linked to diabetes. the company's ceo will explain what's going on and if there's

hope for a turnaround coming up. >> also ahead, two apple pros will give us their take on the latest announcements coming from apple's developer conference in san francisco going o.so far the company is not impressing investors today. does the street have it wrong? we'll talk about that coming up next. [ girl ] my mom, she makes underwater fans that are powered by the moon. ♪ she can print amazing things, right from her computer. [ whirring ] [ train whistle blows ] she makes trains that are friends with trees. ♪ my mom works at ge. ♪

. welcome back. starting the week after stronger than expected. maybe it was stronger than expected data on manufacturing

here this morning in the u.s. >> many different expectations. >> looks like stocks are trying to find their direction. dow adding 20 point and the s&p is barely higher and the nasdaq negative. the apple extravaganza has gone. let's find out about the stock today. >> down 1%, as we were saying. joining us is john maloy, general partner at blue run ventures and robert luna is chief investment officer and the sure vest capital management. you think this is a critical moment for apple, why? >> well, in a way apple is a bit of a victim of its own success. we're all waiting for the next piece of hardware and today is all about software. >> i mean, overall. are we wrong to judge this company that's alive today and

comparing it to a company run by steve jobs? is that just the wrong thing to do. >> just about meeting expectations and we all have great expectations because of what steve jobs and the team there did and they are trying to evolve this company but we as consumers and developers, we all have differences and financial analysts have expectations that are higher and higher and it's a question of will they be able to meet them or not, and i think today -- >> robert, i'm sorry. go ahead. >> and i think today if you're a developer, you're probably marginally happy and very excited if you're an apple developer. if you're a consumer, do i really run out and buy an apple product right now and you didn't really hear anything that lit you up to buy the next great thing. >> that's what i was going to ask. maybe this isn't a great cycle

for people who want to buy the new iwatch or the next great cycle. what do you think? >> i think, kelly, it comes down to this. people are trying to judge apple right now in the silos, is it the next great iphone or ipad, and i think in general that's really the wrong way. right now there's a two-horse race between google and apple going on that right now is about the share of your life. it's not about the next iphone or next ipad or that product because essentially that's just a medium and that might not be what gets them into your house. looking to control your home, your health care and car and in order to do that it comes down to coolness, connectivity and content and when you're looking at movements they are making, that's a luxury brand like burberry, cops like louis vuitton, when they expand it's multiple brands. don't want to saturate the apple brand so as they get into the home they need to implement new products and that's what they are doing right now and with dr.

dre coming on, johnny iovine. i think that's the next big product and what apple is doing is making the move right now. >> john, what about that? are they making the right -- pursuing the right strategies going after the people the way they need in order to incremental increase sales by making our lives all that much easier now? >> oh, i think that their strategies are fine. i think that they are trying to improve their software and their services which everybody is trying to do, and you can't forget about it. there's another company that wasn't mentioned called samsung, and it's also about share. at the end of the day it's about the pieces of hardware that you sell and apple has trained us all to delight and we delight and enjoy the great, great products so you have to connect the dots back to their model to a piece of hardware we ultimately buy so when i look at health kit or home kit which is something announced today, that's great for developers, but there's a missing piece.

they will have to come up with a great piece of hardware that takes advantage of that because that's their business model. >> robert, who is winning the race right now for a share? >> as investors and analyst we've pre-conditioned ourselves to look at hardware. >> tim cook, hardware sales, quoted hardware sales so he reminded everybody that in the past they have done very well with these products that they introduced, right? >> that's true. i mean, look. i was at microsoft a couple weeks ago, and i talked to executives over there, and i asked them point blank, hey, who is you allowing office on ipad a concession you've won the war -- lost the war to apple and they weren't quite able to admit that, but they did say that the apple ecosystem is very tough to penetrate. look at the mental mold and ibm fighting the battle on a share of mainframe rather than computing power and while they kept the mainframe they lost the

bigger war. trying to look at the bigger picture. while hardware is important it's not everywhere where apple is going right now. >> we've got to go at this point. sorry, jop. see you later. thank you for your thoughts though. >> there's never enough time. that's how it works in live television, unfortunately. >> unless we can keep up with a new language. >> we could compress. do a zip drive, zip version of "closing bell" here. 30 minutes left in the trading session. up 21 points on the dow right now. new all-time high if we close there and the same for the s&p. >> now, u.s. auto loans jumping to new highs in monthly payments and in length of terms for the loans. didn't the same thing happen with housing before this all went south? phil lebeau has a special report on that one coming up. >> also, intercontinental hotel stocks soaring by more than 30% in the last year. when we come back, the hotel group ceo will tell us how he plans to keep that kind of mojo going. you won't see him anywhere else here today, so stay tuned on "closing bell." ♪ ♪

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welcome back. just joining us. it's an incremental -- you know how incremental apple has been. the stock market has been the same way. haven't had much drama, not a lot of fireworks, but we just keep moving higher step by step and we're in record territory again today for the dow and the s&p. any positive close for either of those will be a new all-time high again and the nasdaq is down seven points today. >> a great way to put it. >> hotel ceos meanwhile are checking in today at the 36th annual nyu national hospitality industry conference over here in manhattan. >> that's right up midtown. >> cnbc simon hobbs has been right in the middle of the action and joined by internental group ceo richard slomons. it's an exclusive. take it away. >> the big question for many investors is whether the big hotel chains, marriott, starwood

will take over a uk company to basically tax invert to cut their tax bill overall and pay less money to the u.s. government. if they are going to do that, then the guy they probably have to talk to is richard slomons who is the ceo of ihg intercontinental. welcome to the program, richard. >> hi. >> before we get into the rough and tumble of whether you will be taken over i was hoping you would have pictures of the even hotels which is the new wellness complex that you expect exclosive growth from. where are we on those and is it true that you can use the towel rail as an exercise bar? >> may not be something that survives. >> it comes out from a simple reality, 17 million americans who this when they travel feel like they fall off the wagon and can't pursue what they do from a wellness perspective, food, sleep, work, eat, whatever it might be, and so it's a new

brand we've launched. opened the first one very, very shortly and we'll pray around with the brand a little bit but there's a lot of interest from consumers and owners and we're very excited about it. >> the stock has done really well in part because of the reports that starwood's was interested in paying $10 billion for you in order to take on some of the brands that you have and also to tax invert. what are you able to say to us? >> there was a speculative press report in the uk that talked about an offer. we never comment on press speculation. >> kelly, bill, do you want to come in here? >> actually, simon, you talk my towel rack question so i'll come up with something else. mr. solomon, let's say that there was an offer on the table for $10 billion and it was rejected, that was the press report that your company rejected as too low, let me ask you this then, what is your company report right now? >> well, you ask any chief executive what his company is

worth, he'll tell you it's worth more than the current share price and you look at the great that he's got, 1,100 hotels in the pipeline. there's an awful lot of potential in this business around the world so we're very excited about our prospects. >> richard, that's one reason why some of your big shareholders, hedge funds say you guys would be stronger if you merged with a competitor. are we about to see a transformation in the hotel industry much like other parts of the m & a world right now in terms of a pickup and deal making, and don't you want to be part of that? >> i think if you go back ten years, the hotel industry was built through acquisitions and mergers, that was true for us and some others. if you look today, we have about 5% of the world's rooms and about 13% of the future pipeline so the organic growth opportunities in this industry are rough and some of the other big brands are very large so that's where the focus is right now is really on organic growth rather than merger and acquisitions. >> just to pick up this tax

point, richard, i'm trying to think across the european landscape, if they want to pick up someone to divert into, i mean, there's a big french chain and two big spanish chains. if they want to do that, do you hold all the cards for the big four here? >> well, i think in terms of big global players we're the only major one based in the uk. >> and it would be for the uk tax regime that they would invert into. >> people are talking about inversion. i'm not a tax expert and can't talk about that. as a uk-based company, uk is only 5% of our business, so we just happen to be a global player based in the uk. >> simon, just one quick question. the valuation if you want to talk about the transformation of the hotel industry is reflected in air b & b. we've heard other executives speak about this. are you doing anything to come

back at air b & b as a competitive threat? >> it's a robert of the sharing economy and a product of the noise and the views of valuation around tech, but actually if you look at fundamental, the air b & b customer is very much the margin of our business in terms of the wee hours. hotel economy. look at the sharing economy and if there's a big opportunity there for customers who want that sort of product and as a brand we can provide it in a properly regulated and round business way there may be opportunities there and right now it's at the margin and the growth we've been seeing all around the world, the growth in travel demand is all about traditional hotel rooms right now. >> what's interesting is you basically said you would copy them which is what a lot of brands are saying and why they are not doing as well as some have said. >> i think you can do things better. it may be an opportunity. >> you're a good sport because you knew how this interview was going to go.

richard slomons, the ceo of intercontinent intercontinentals. >> i bet you didn't expect the towel rack question though. that was a good one. got him on that one. thank you, simon, very much. headed to the close, 20 minutes left in the trading day, dow up 23 points, a new all-time high, the s&p up half a point, new all-time high there as well. >> the story of the weekend in some ways. how will the government's insider trading pro of golf pro phil michelson affect his $40 million in corporate sponsorships. we'll talk next about the high-stakes you be raveling that the man known as lefty could be facing. >> also up next, u.s. consumer borrowing to buy new cars hit a record in the first quarter, but maybe not the kind of good record you would think. more years, bigger monthly payments, it was all part of the deal there. does that all add up to trouble though? phil lebeau with a special report coming after this.

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ask your doctor about experiencing cialis for daily use and a free 30-tablet trial. welcome back. an issue we've been flagging on "closing bell" for a while now, auto loans heading higher and possibly setting us up for another financial fall. >> phil lebeau joins us now with new data out that has some people concerned. phil, should they be? >> reporter: they should be, especially when you look at

possibility of more consumers going upside down on their auto loans and here's the reason why. the amount financed in the first quarter, according to expirion, hit a new all-time record high of $27,612, up number $1,000 compared to last year. the average monthly payment for a new vehicle is also a record high, $474, and as i mentioned this raises concerns that people, because they are going to be financing more, will ultimately be upside down in their vehicle in part because of this chart. look at the new way people are financing their vehicles. remember the days of the three or four-year loan? those are quaint memories. most people are doing it with five and six-year loans, but it's the last one on the right there, six and seven-year loans, one out of every 4xnew vehicles bought in the first quarter was with a six or seven-year loan. in fact the average length for a loan now for all people buying a vehicle has surged to a new all-time high. it is now at 5 1/2 year, 66

months. the number of repo sessions has moved higher and this is worth watching. it's now less than 1% of all auto loans, but it is moving up, according to when you look at the auto dealer stocks, they have had all had nice year to date. certainly the demand is there, when you have them taking out a seven-year loan for an automobile, you've got it pay off at least the first five and a half years, otherwise you're upside down if you try to turn it in. that's a concern if the economy starts to faller. >> what's it. i grew up leafing through the used car listings, the booklets that tell you can find a volvo in good shape for under $5,000, that kind of thing, recently back at the same pizza place where i used to be groipg, all of the cars were listed, not by the actual selling price and by the monthly payments, walk away, $99 a month, $101 a month, i was astonished to how much of a change there's been in a few years time. >> kelly, it's all about the low monthly payment.

that's why leasing has exploded. one out of every four vehicles quote unquote sold in the first quarter were actually leases, and the reason why, it's about $100 cheaper per month in your monthly payment to lease as opposed to buying, and that's not just with the high-end premium models, also for the mass market models. >> if people are having to reach out with the longer term loan because of the higher price, econ101 says prices would have to moderate, do you agree? >> look what the automakers are doing, putting more technology into the car and people are saying if it's $474 a month, i'll go up to 500 or 525 and stretch that out over seven years, that means automakers have a couple thousand more they can pack into these cars. >> did cash for clunkers contribute to this? >> no, no. this was the industry. it was not because of cash for clunkers. >> all right. not because that have shortage. thank you for now. much more on this, i'm sure. >> not that you ask, but people should keep their cars for seven

years anyway, built party. >> sell your car to kelly. >> exactly. >> up 36 points with 13 minutes left in the trading session. if you're just joining us, i'm just reminding you this is an all-time high, any positive close for the dow and s&p is a new all-time high. >> clovis' ceo speaks with me about when it means for a new cancer drug. meg turrell with more on that. don't miss that interview straight ahead. you read this. watch that. 50 tdd#: 1-800-345-2550 you look for what's next. tdd#: 1-800-345-2550 at schwab, we can help turn inspiration into action tdd#: 1-800-345-2550 boost your trading iq with the help of tdd#: 1-800-345-2550 our live online workshops tdd#: 1-800-345-2550 like identifying market trends. tdd#: 1-800-345-2550 now, earn 300 commission-free online trades. call 1-888-628-2419 or go to schwab.com/trading to learn how.

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all right. here's the dow. we're up 37 points, pulling this off the big board. let me just say this. in the last 10 or 15 minute we've experienced technical issues at cnbc.

>> the ecb is part of the story. >> all right. we're going to take a break. we'll come back with you in just a moment. i've just been told that the data on the ticker, the data on the ticker is accurate again so they have worked out whatever that glitch was that we were experiencing here at cnbc just a

few minutes ago. the dow though as we head towards the close is up 33 points. come back on the closing countdown and see if we get new highs again and after the bell golf pro phil michelson has $40 million in sponsorships. are those in jeopardy now that the word is out that the government has been speaking with him about an insider trading probe? plus, the latest development on that case and now mark cuban is chiming in and getting his two cents via twitter so things are happening fast on the phil michelson insider trading. you're watching cnbc, first in bice world wide. every day of the week.

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coming up in the final two minutes of trade here today as the market incrementally moves higher in the major averages, dow up 28, 29 points, the s&p up about a point and a third and the nasdaq has pulled become a little bit. michael block and anthony chan are still with me here. going into the summer months now. i was asking somebody earl yes, you know, going to go with growth or with the defensive plays that have started to catch on again here. what's your strategy here? >> my point right here is really to go with the small-cap growth with the trade for the short term. for the rest of the summer and rest of the year real my long-term view is towards large cap value, stocks going up fine multiple expansion and there's

going to be people rolling into them. >> give me an example of one. stocks in the staples space, some of the food stocks like conagra. people will find those and buy those and see the story and find the dividend yield. they will like that for the long term. >> which is defensive, let's say. i mean. >> it is. still some leadership there when mixed with some of the other groups and some of the banks as well which i've seen as being better investments, soon. >> we're already talking about the jobs number coming out on friday since last month's was a blowout number. can we match that. i know you're very bullish on the economy but do you think we can match that and have the kind of bounce that people are expecting for the second quarter. >> when you say bullish, may be bullish on the non-farm payroll number. i think that we can actually see a very strong non-farm payroll report, something in the neighborhood of 220,000 to 230,000 and in this kind of

environment you may see an increase in the labor participation rate which will tick the unemployment rate higher. >> we continue to move higher, new record high for the dow and s&p. we'll see how we can do as we continue tomorrow. stay tuned now for the second hour of the "closing bell" with kelly evans and can. i'll see you tomorrow, kell. >> and welcome to "closing bell," everybody. you see that graphic, you know what that means. it looks like with today's close we're notching a new high for the s&p 500. the dow jones industrial average, the nasdaq sitting this one out, not in terms of new highs but also lower on the day. a look at how we're finishing up. the dow is adding 26 points, the s&p 500 up just about one point, 1924 is the level there, the nasdaq giving up some ground and giving up five points. i love this richer look that we're going with right now. as bill griffith mentioned last

hour, there may be problems we're experiencing with data, but the ticker you're seeing across the bottom of the screen should be all right. joining me is moshe cohen from columbia business school, our very own kayla touchy and dominic chu and more on today's market. our "fast money" friends, guy adami. great to see everybody. >> hi, kell. >> i was waiting. >> when you say, hi, everybody. you're supposed to say hi, back. >> hi back. >> welcome. guy. let you have the first word here. what do you make of these highs, granted not a decisive move but we did get a turnaround in some of the financials. >> hasn't been a decisive move for a while. keeps grinding higher. >> feels like they found some footing a little bit. pete has been on these chips. this is renaissance in the chip sector that's been going on very quietly for quite some time. those are the good things. i guess sort of on the negative front, the underperformance of

the russell today concerns me a little. has this been a bounce off an oversold condition, or, you know, is this just the pause as we continue to go higher? i think that's going to be worth watching over the next couple of days? >> right. michael crossen, the view from philly, does it look different? >> this market is really anticipating a much stronger economy, and it's giving the economy plenty of room to prove itself, so i think if we see a third quarter number that's significant police higher than the last couple of numbers we've seen it will justify the market and allows us to get to the higher levels. >> meantime, dom, got to figure out what the numbers are. >> that's, again, not a shot. obviously everybody has technical difficulties every once in a while but with ism and those numbers that came out today, we're not, but when you have ism numbers like they came out this morning, the initial reaction was, yes, maybe they weren't as god as people thought they would be, but after being revised not once but revised

twice we timely got a picture for what things were going to look like and at that point what looked like a modest down day for stocks turned around. steve liesman has been talking for weeks now about this idea that the economic data has been mixed at best. this is one of those things that tips the scale maybe a little bit more towards the positive side, and that's important because it means, like guy said, the path of least resistance for this market right now seems to be to the upside and we need that gradual move up. >> mixed bag of data, but nothing so alarming that it brought the market to its knees and the overwhelming sense from traders that i speak to is that without one of the really glaring red flags the market will continue to go higher even if it's just drift drifting higher. guy mentioned financials and i can't talk about the market without talking about them even when you see a day like today when you see the sector moving higher. this is such an undervalued basket of stocks trading at roughly 12 times earnings and the s&p is trading far more

expensively than that, a sign that there isn't a lot of growth or promise and especially when you're seeing bonds trading the way that they are, that's really going to be a negative for the banks in the near term. >> i was going to a wedding and i joked i wouldn't come back until the ten-year was back to 2.5%. it did achieve that today. what do you make of the signal we're getting from the bond market? should we ignore it? does everybody seem to have taken this message to heart that maybe even as the fed raises interest rates they are never going to go back to say 4%, 5%? >> there's a real important inflation question that still sitting on the sidelines and is waiting to be asked. the way the measures are calculated. forward expectations will start sinking a little more deeply about what prices are going up, which prices are going down. where the money is coming into the system and who is spending it and it doesn't do much until you have the ripple effect that you start losing the systems

significantly, but until that happens, the path of least resistance as dom said, stocks move up, still money going into stocks and we look at the ecb and look at europe, spreads are down, so might as well park your money in u.s. bonds as opposed to being a lot riskier european ponds that aren't giving you a whole lot more. >> bring up an interesting point. >> a couple of fascinating sections last week talking about why interest rates haven't moved up on some signs of price pressure, upwards pressure for once in this economy and even the ism report today did show pri pricing index edging higher. is this a sign we could see more normal levels of price appreciation here, inflation, dare i use the word? >> short-term interest rates are another question, but longer term interest rates should move up and they will move up significantly if and when the economy gains the momentum. economy gains momentum, volume into the stock market and interest rates up, that's a real formula for a big move up in the

market. >> let me read, guy, a couple of the comb in the of the dow, one of the strongest gapers in percentage terms, caterpillar adding 1.5%, home depot up .75% and a 1% move in technology. >> ibm. >> more cyclically sensitive names, what you would want to see if people were looking for a better growth outcome. >> one day does not a trend make so let's see if it happens for a few more days. ibm has sold off obviously from about the 196 level and got down to 113. caterpillar had a recent selloff. that's bouncing, so the names you mentioned, a lot of these names have just been bouncing off and in certain instances are in an oversold condition. back to the rates real quick, you know. rates go higher over the next couple of days, all the voices you've heard for the last six months will come back talking about this is it, this is the move, rate are higher, but good thing you came back from that wedding this week because in a couple of weeks i'm pretty convinced that rates are going to be right back down.

>> i think this is a new vacation strategy, i will leave every time they go below 2.5%, moshe. >> waiting for a big event, not small movements, there will be a big event that has to do with the fundamental question of will this economy grow and how will it grow in the medium and longer term? when you look at the five-year and ten-year, you can keep talking about how the fed will influence short-term rates and influence short-term rates and influence short-term rates but at some point the question is will the economy create fundamental growth potential that will come from a real resurgence of important sectors? >> that's interesting. is there a sense that there is something lurking out there that's going to suddenly -- >> i think -- there are two things lurking out there. the dangerous side is if we start to get very suspicious of the really low inflation this environment, but i vote for the optimistic side. the optimistic side is not talking about all this boring gloomy market movement that's

dangerous, yields are low but it's dangerous, start talking about really exciting developments in the economy like in technology and education and the energy sector, in health technology and infrastructure. once we start having these more highlight policy that can show real growth potential there's a real upside that people can be hopeful for. >> we always think we're running over the abyss. >> start talking about the economy rather than the market. >> let's be happy. >> here's the thing. you can be happy or not happy but a lot of the experts we talk to say the fundamentals don't matter in the fixed income markets anymore and that's the reason why you're seeing these deals stay where they are and it could be a while before they get back to normal despite the fact that the economic data could be good, despite the fact that the fed is reducing its bond-buying program. all of these things are getting back to normal, but the problem is nobody can volume. none of the models for

valuations of fixed income really work anymore and if you try you've been work. >> even today there's a great story out with great anecdotes that the federal reserve doesn't know what it's doing. >> and this notion that janet yellen has a secret playbook that she's imparting on us is ridiculous. we know her fed policy and know the balancing act, know the economic models that are out there. understand she wants to maintain sentiment there. isn't a big secret waiting to be revealed that we're going to find. yes, lots of people are staring at the screen and trading for very short term and this is my point. something has to rattle the system a little bit and then people say, wait a minute, a ten-year bond is a ten-year bond. what's going to happen over the next ten years in the country? i think something will happen. >> this is the week where a lot of the big moves often for the month are made so we made it through the ism today, sort of. ism services coming on wednesday and jobless claims thursday and

adp, the jobs report and european central bank. if you had to guess which one of those were some sort of repricing, what do you think it is? >> you asking me. i think it's the european central. i think that's sort of the wild card out there, in my opinion, the other numbers are somewhat -- many are interesting and stuff but i think the ecb is the complete wild card. real quick to the ten-year. i don't think people buy the ten-year yield for a ten-year play. buy the ten-year yield because they think over the course of however many months, weeks, days, the instrument that values the ten-year is going to go higher. that's what i think. >> or they have to because they are using a paper and holding it for collateral or something else. >> not fundamental reasons. >> and at some point fundamentals will catch up. >> as long as they stay disconnected from the fundamentals, the longer and more serious the adjustment will be. >> just a sentence, michael, what are you guys buying here? >> buying banks. we think banks are a great place to be as interest rates go up and as the economy recovers, the financials are going to really show us that they have a lot of strength. >> all right. we'll leave it there.

>> guy, thank you. >> right on. >> good to see you. >> thanks, everybody, for bearing with us. looks like we're getting more of our data feeds. stay with us for the rest of the "fast money" crew. there's dennis gartman, author of "the gartman letter" on why he thinks china's bears will end up on the wrong side of history. don't miss a minute of that. coming up the fbi and s.e.c. reportedly teeing off an insider trading probe against carl icahn, golf legend phil michelson and big-time las vegas gambler, all parties denying any wrongdoing. could this do irreparable damage to michelson's career even if charges aren't brought and the more than $40 million he brings in a year from sponsorship deals and if you're waiting for exciting news from the apple developer's conference. keep waiting. could this put apple's recent rally at risk? that when we come back. nation in new private sector job creation... with 10 regional development strategies

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welcome back, our senior correspondent scott cohn has more on the story rocking the world of golf. >> reporter: we don't know where this is going to go because in part the fact that the information is out there has

confounded the fed efforts to try to make the thing go forward. the reason that we know that there is an insider trading investigation going on is from golfer phil michelson who just yesterday at end of the memorial tournament in high high confirmed it and says he's cooperating. listen. >> i have done absolutely nothing wrong and that's why i've been fully cooperating with the fbi agents and i'm happy to do so in the future until this is resolved and for right now, hopefully it will be soon and right now i can't talk much about it. >> michelson has been known to play the stock market and his trading partner, so to speak is billy walters. he is a gambler basically from las vegas, a very successful sports kwbler and businessman from las vegas. he, too, said he did nothing wrong and at issue is holding of carl icahn or at least a holding

from 2011. it is clorox. you may remember that he launched a takeover bid that didn't go anywhere in july of 2011. the stock popped on news that icahn was launching this bid, but before it was some heavy trader in trading options reportedly trading by phil michelson and billy watchers and the big question is whether what they knew was material inside information. as news of this leaked out, fbi agent questioned phil michelson on the golf course after his first round at memorial on thursday. he says he's cooperating. everyone says they did nothing wrong. we'll see where it's going but it certainly, kelly, brings some attention to the whole idea of activist investors and knowing what they are going to do and whether that's inside information. >> we'll talk about it. thank you for now. mark cuban taking to twitter to

slam the media's treatment of phil michelson. cuban works has dealt with his own media scrutiny tweeted, quote, carl icahn has never met or spoken to phil michelson and yet both are in the middle of a media firestorm, #headlineporn and until you wake up to headlines accusing of you wrongdoing by the government or others, you have no idea how important due process is. now many are wondering what will happen to michelson's brand and if this could drive his sponsors to drop him? let's bring in a sponsorship veteran phil colvin. great to see you, bill, welcome. >> thanks, kelly, great to be here. >> he's wearing a kpmg hat, standing next to a sign with nationwide on it. is this a problem for those kinds of firms? >> i don't think right now, you

know, to mark cuban's point to rush to judgment, i think we live in a word where it's easier to get it now and i would like us to go back to get it right and i think we need to let it play out a little bit before we analyze that anyfurther. >> bill, could it be more -- i mean, this is the case, no doubt about it, no question about it. raise it only because. if you're barclay's and kpmg and sponsor phil michelson, do you have a opportunity to address this issue today? >> i think they will need to address it as a little bit more information becomes available. i think people following the story saw what calloway did today. i think barclays and kpmg obviously in different industries, they have a limb bit more direct connection with the s.e.c., stocks, financial industry, et cetera. however, i think they will be

very cautious because phil michelson has been a very well respected endorser of these products for years and years and at a minimum he's built up a little bit of allowance and we don't know at this point if there has to be. >> i think the main problem with this insider trading is there's a lot of legislative uncertainty. folks that don't know what is legal and what is not legal, i think there is this notion that the anti-social bad behavior is that there isn't a fair playing field but the fair playing field is not what is criminalized and the problem here is, and hence this segment, if you compare this to tiger woods, right, tiger woods was a sex scandal, americans hate infidelity, but wall street is getting a lot of bad buzz and a lot of sentiment against wall street representing profits and, you know, the old boys club and all this inside information, and sponsorships

are so sensitive to sentiment because it's all intangible. it's all unclear, so it's very dangerous once these issues start to surface, clouding potentially a reputation of someone who may be completely within the law. >> so you think sponsorships, there's no presumption of innocence. >> i think the society and advisers don't have to worry about presumption of inzent. they worry about real profits. >> our system of jurisprudence is based on it and if you're an advertiser and choosing between one golfer that has no aspersions cast to them whatsoever and then squeaky clean and another golfer who may be there is some rumors or some smoke around them which may be completely legal, you may not take the risk. >> and that's just as important as reality and not that these two are related at all but i think around the s.a.c. capital

situation, when actual charges were brought by the government, so many banks came out and said we're not willing to stop trading with s.a.c. because it's not our job to tell this company whether or not they are guilty or not. that's for the company and the government to actually decide. i get your point that there's a bunch of golfers for some of these companies to choose from but at the same time every single story you read says the probe may even fizzle out. it's been going on for three years and they may not even at this point have enough information. >> it should fizzle out if it should fizzle out the point is there's a possibility in these discussions because there is harm that is inevitably done once these some of these aspersions are cast. if it was leaked out because of michelson himself that's a separate challenge we have to deal with. >> there's a decision that has to be made because everybody, even with the donald sterling situation, you saw a lot of sponsors come out and some immediately cut ties. some said that they were going to monitor the situation and see what developed. i would say with michelson the

sponsors have not made a statement like calloway has against their firm form. they are waiting to see that happen and it's a huge, huge supporter of phil michelson. phil and amy michelson have a foundation to help foster teachers in this country in cooperation with exxon mobil so on the balance side of thing, remember, there are good things that these people do as well that will be weighed in the -- >> if i could jump in for a second. if they were new sponsors or in the midst of signing a deal they will probably sit back and cool a little bit on that and wait until it comes out. if you're an existing sponsor, would i not be surprise federal they came out very shortly and gave a vote of confidence to phil michelson. he's earned it. >> bill, thank you for now. >> this one is going to play out as we especially head into this critical tournament time.

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welcome back, an earnings alert. morgan brennan back at headquarters with the details. >> check out krispy kreme, it's getting creamed in the after hour. the doughnut-maker reporting first-quarter earnings that match street estimates with sales coming in a bit light. here's what investors are really focusing often the company lowered its 2015 earnings outlook so in the after hours the stock is trading down about 10%. kelly, back to you. >> all right. quite a hit there, morgan. thank you. >> breaking news from apple's developer's conference. following this. all day josh lipton joins us with the very latest. josh? >> yeah, kelly, i just had the chance to speak to apple's craig federigi and paul schiller about the news and there was a lot about it at this conference, asked him about the new desk top

operating system yosemite. that soft weigh update will be for free. a big part of that theme is what apple executives called continuity, an idea there shouldn't be any boundaries between your mac and other apple devices. you should be able to get phone calls on your map. craig demonstrate that had technology by calling dr. dre who, of course, is now an apple and employee after that beats acquisition. craig telling me the idea is to eliminate barriers. apple also unveiled, of course, ios eight, new mobile operating system. new features from messages and searches, also though, kelly, some new services. you have health kit. this is where apple's big push is for help and fitness. what health fit does is pull in data from third party applications and put it all together in one place so one source for your health and fitness. apple announcing its partners will be nike and the mayo clinic

and really is sort of suggesting that perhaps this long rumored iwatch could be on the horizon. we'll have to wait to find out. in the same vein apple announcing that home kit, a home automation platform, the idea would be you would use your iphone to control your home, your lights and front doors, your garage doors, there's no hotter topic in silicon valley, and the idea of the smart home, google moved into it with the $3 million acquisition and cisco talked about its own version. paul schiller saying the point is to create easy-to-'s secure platforms. developers can now come in and create apps so a lot of software services and software updates. the idea here is maybe pointing suggestions to new products coming in the future. kelly, back to you. >> all right, josh. if you're losing your voice you've got to be careful. a couple more days to go still. have tie with honey or something. >> clovis oncology ceo told

analysts that the company's experimental cancer drug may cause diabetes. up next we'll hear from him exclusively to find out if that's the case and what does it mean for the prospects and we'll speak exclusively with the ceo of king fisher. the largest home improvement's ian chesire is in the house. pags

welcome back. we've been reporting from the american society of clinical conference. it's the world's biggest chance for research with 30,000 attendees and biotech and reporter extraordinary air meg turrell joins me with patrick mahaffy, ceo of clovis oncology who recently introduced a drug that reduced tumor size in patient but there was a catch. meg, take it away. >> thanks so much. >> here with mr. patrick mahaffy. thanks so much for joining us. >> nice to be here. >> let talk about the data. talks down a bit and some concern over side effects. some talk of diabetes with the drug. can you explain? >> yeah. kind of ended up on sort of a

game of shorts worse for me right now than "game of thrones." we presented data on a dresses no true therapies and presented data that showed about 95% of patients get a real benefit and 60% get a formal response and most importantly the durability of that response is startling. we've seen now that we've been treating patients for a year or so and our aggression for survival, really a measure of how long a patient can maintain a benefit from a drug is trending for beyond a year. patient whose first line therapy lasted only 10 months have the population that has a longer benefit on the drug, fantastic. we do, like all oncology drugs, see some side effects. 20% of patients get

hyperglimsia. it's in almost everybody, especially as we've understood it, readily met with a widely available vagt. we have three patients who were when this first emerged. it does not cause diabetes. >> is that a concern for patients that they have to start take insulin along with the drug. >> they are taking an oral agent, not insulin, and, sure, side effects are always a worry to any oncology patient and any oncology drug delivers some form of side effect. this happens to be really easily managed and once the forman comes on board the patient's quality of life is really superior and one thing i'll point out is if it's a problem, you'll have the number of patients who have gone out of

our trial because of hyperglycemic is actually zero. >> kelly, do you have a question. >> brate to have you here. >> i thought that was an interesting choice of phrase, game of shorts that you use. had a do you mean by that. >> oh, come on. we all know that there's a -- a wall street trading that is positive and is negative and people may want to seize on a story and tell it for a while and people profit with shorting and people profit with longing and it's just the environment that i'm in. i'm really proud of what we're delivering to patients and i've always known as long as our company delivers great drugs to patients the long-term takes care of itself. really happy about the data that we've presented. >> right, because this seems to be a point in time which there is so much interest from the retail and the biotech communities, as you know. i would imagine there's

tremendous pressure because shares move double digits each and every day on the latest of news and rumor and what have you and i wonder what you meant by the anecdote of the weekend what has happened and if that's an increasing frustration for you leading this company today relative to perhaps the past. >> i'm not going to tell you what i'm frustrated by. it's no fun, but i've spent a lot of time with this here and it's rewarding to hear the physician stories to hear how patients are den fitting from the drug. i'm pretty focused. i've always known that the patient comes first and luckily what we're delivering to patients is a tremendous power. i've met some, and it's the most motivating rewarding part of my job so all teasing aside, yes, it happens. really good at developing drugs and have a great portfolio so we're pretty secure in what we're doing. >> here we saw some data also

from astrazeneca, a competing drug. you both have this important breakthrough therapy designation from the fda, you know. how do you compete? how do you win here necessarily if both drugs come to market? how will physicians decide? >> i've been the underdog kind of all of my career. it probably would be fun to be overdone one time, but i think you can compete on data and then this industry you always compete on data. they presented a very encouraging efficacy data as well. they have different side effects, different than ours. all the patients and physicians can make a choice about the balance of efficacy. i'm really confident with the progression for survival that we've seen, that knowing what we know right now and i'll acknowledge in the early days, i think we have a very meaningful potential to demonstrate a more meaningful improvement in

progression-free survive. the data thus far early days is showing that so i'm feeling really good about it. >> thank you so much for joining us. >> our thanks as well. let's send it over to morgan brennan for a quick earnings alert. >> hey, kelly, another stock getting hit hard in the after hours teen retailer quick silver. this after a reported bigger loss in its second loss that be the street was forecasting and that's on weaker than expected sales. the stock currently trading down about 28%. kelly, back to you. >> yeah, makes krispy kreme look a little bit better in retrospect, morgan. in bk it's bq king and coming up ceo ian fisher and news making headlines from the developer conference and is it enough to make the cnbc hot list?

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40,000 sets of eyes, or a million sleepless nights. whether it's building the world's most advanced satellite, the space station, or the next leap in unmanned systems. at boeing, one thing never changes. our passion to make it real. ♪ . welcome back. often on cnbc we talk about the big hedge fund managers. managers must be wondering how you become one because the top schools of hedge fund professionals are burning up the cnbc hot list. for that entire hot list allen joins me now. people want to be a master of the universe? >> want to be a master of the universe there's certain schools you should go to that puts you

in there. you've got ahold of a survey from e-vestment. bachelor's degree, university of pep pens, top one. going for mba, university of chicago's booth school of business. that's the main channeler there. that has been doing well all day long but it just got trumped by our ism postmortem. you may remember there were a number of problems this morning. >> we went around and made a few calls. they got quite a collection of comments. our favorite one we put in the headline. one analyst is downgrading the economist to pure moron. that's a direct quote? >> a disgruntled trader. >> our third one is mark cuban put out a number of tweets this morning sort of commenting on the phil michelson situation, and, of course, mr. cuban has his own unique perspective on things because he had a little fracas with insider trading accusations proven untrue in cow. readers have been gobbling up

the tweets and reading all through them. >> an issue just discussing here. allen, thank you for now. >> take care, kelly. >> appreciate it. >> this past weekend many of you have spent some time in home depot or lowe's, the two leaders in retail home improvement. up next we talk to the british home improvement store and we'll get a look at the strength of the global economy from the other side of the pond. ♪ fu futures move first. learn futures from experienced pros with dedicated chats and daily live webinars. and trade with papermoney to test-drive the market. ♪ all on thinkorswim from td ameritrade. the numbers are impressive. over 400,000 new private sector jobs... making new york state number two in the nation in new private sector job creation... with 10 regional development strategies

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welcome back. if you live in the u.s. you've probably been to home depot and lowe's but what about the third largest home improvement store in the world, that's king fisher and joining me now the ceo of king fisher joins us here on the floor of the new york stock exchange. ian chesire, welcome. >> this is a great opportunity for me to our investors here. >> you operate primarily in europe, including eastern europe. what can you tell us about what's going on right now in france? >> well, france is probably the one sort of mystery and question for us right now and what we're seeing in the rest of europe, uk is up and places like russia

despite the situation are actually in good shape. there's a question of customer confidence, not happy about unemployment and where the government is going in terms of fiscal policy so they are sitting on money at the moment and it's a very difficult market to read right now. >> how do you plan for a european uniion the union of which is being hotly debated and when you have great britain talking about potentially splitting up? >> two things. one from the economics point of view we know that the different countries move at different speeds and we're constantly looking and retail is very much week by week so we're constantly adjusting. i think on the longer term question the role of the union and euro and broughter eu does need to seem. it's essentially a wake-up call and europe has to be reformed in order to be supported by the majority of its citizens. that's eminently possible and something we should do because

the market is really critical for us. >> why should home depot look into a tax inversion? >> i don't think that's probably high on the list and we're getting our business the same way we always have. >> do you have these discussions as you watch other industries and realize that you may well be a target for that kind of activity? >> our company, we will maximize our value of business over the longer term. we just have to run it the best way we can and that -- what we've seen with some of the other approaches it's clearly made this topic more sort of, if you like, fashionable, but i don't think it's something we spend any time worrying about. >> another fashionable topic is whether the united kingdom is in a housing bubble the likes of which the u.s. has all been through. >> i don't think it's happening in the uk, what we're seeing is the london effect outside of the 25 ring roads that actually the

housing market is not really moving that far. what we have got an issue within the uk is lack of housing supply and that's really the thing we've got to address. the planning arrangements which means there's not enough homes being built, unlike the u.s. where the supply of kickbacks fill in pretty quickly. >> i'm sure your business would benefit from that. >> thanks so much for being here. really good to see you on the floor of the new york stock exchange, sir ian chesire. >> a look at whether apple delivered at its developer's conference. we'll take a short break. if it becomes simpler... if frustration and paperwork decrease... if grandparents get to live at home instead of in a home... the gap begins to close. so let's simplify things. let's close the gap between people and care. ♪ i'm spending too much time hiring

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welcome back. cnbc has been live at apple's worldwide developers conference. several big announcements for the developers community and how it affects the millions of us. let's check in with the koe founder. a minority stakeholder in rico. walt, it's great to see you. were you dazzled by anything? >> you know, i think they did some really interesting things. there were a few catchup things like the ability to put widgets on an iphone which have been on android for a while. there were new things where they

moved ahead. i think the most interesting one to me was this thing they're calling continuity where to strengthen the incentive that you might have have own all their different devices. they have got new software available in the fall where you can be in the middle of an e-mail or document on an ipad. you can -- it immediately pops up on a mac anywhere within 30-foot radius and continue writing it on the mac and switch back to an iphone. they all work in concert. i thought that was probably the most unexpected thing on the consumers side that i saw there today. >> let me ask you this. is this not the most boring wwdc you have ever seen? i mean, there's nothing about hardware. we're talking about software where a lot of stuff we can't imagine happening on the app

store, they could be developed through stand-alone apps. remember what happened with maps and how that worked? we all went back to google maps. where is this excitement and how does it relate to other -- >> i don't know if it was the most boring -- no, i don't think it was the most boring i have ever seen. i had zero expectation there would be hardware. there hasn't been in a couple of years. they tend to now use it for software to announce their new platforms, to give the independent developers a chance to move over the summer to develop new apps to use new api's in the hardware announced in the fall. so i don't know -- i don't agree with you at all. i don't agree with you at all on that. >> walt, this is kayla back at the new york stock exchange. i'm wondering about the k

competitors. there were some tweets about how some of the messaging software of the app and box ceo was complimenta complimentary. i wonder if you see apple being more of a competitive threat or if you're seeing then as working together with some of these companies a little bit better through what you saw today? >> i think it's co-optitian. the i cloud drive is something long over due. it's all in the background. people who use these devices use it every day and they don't know it. now they're make ing it visible and keeps them in direct competition. google drive. but they're letting -- on the other hand, they're letting apps

bring more prominently to the surface sharing opportunities like pinterest and box that weren't easily used unless using the separate apps those companies had before. that's why aaron levy said what he said. they're doing both those things. it's been -- steve jobs had a very strong point of view that he didn't want to create a file system in the cloud which is what fox and drop box are and the new regime is basically saying we think we need to do that now. and we need to be visible in that cloud arm's race. that's what they're doing there. >> walt -- >> there's one other really big thing they did here. >> is it the language? >> that i think will have -- yes. the huge implications, they're changing the whole developer system. >> what does that mean? >> yeah. here's how it was described to me in some briefings i came out of. they're taking what it took to

make an app on ios. on their platform. and they're making it much thinner, much less code that you have to write and you still get to the same place or a better place even. they're saying it's going to speed up the development of apps. going to let people write a whole lot less code and let people with less training write these apps. now, you know, i don't know if any of this will turn out to be true. that's their plan and intention. that's what this new development system is. >> and it did seem like the developers -- >> that's a big part of the -- >> go ahead. walt, quickly. i know we have to let you know go. >> okay. so you know, i mean, to me i'm sorry that it was -- the traffic made it hard for me to hear what you said. basically what this is all about is keeping apps first or at least tied between ios and android despite android's

greater share. what i see as a commentator is app after after continues to come out first on apple or at least at the same time as it comes out on android. even though apple's shares so much lower. it's because it's been easier to develop for apple and apple users tend to spend more money on apps than android users. what they have done today is to try to keep ahead of that even by making even more atracktive for the developers to be on the platform. >> good point. thank you. from the conference in san francisco. is it fair to say maybe no big headlines but still important development? not like nothing came out of it. >> here's important. what it does is set the stage for product innovation for apple. so the real question for investors and why people turn to people like walt is to understand whether or not this is going to be the next catalyst to drive a product cycle or any

development in terms of applications for apple. ultimately that matters for investors. that's going to move the stock. >> moving forward in the deliverance. >> it's so slow. it's such a long story. >> isn't this a good example of that? >> i didn't tell you to buy it. i said believe in the united states of america. i believe that apple is a new company. >> come back in the fall when there will be product announcements. >> are you buying apple here? >> we're already a fairly large shareholder of app. >> anyone else before we get you go? >> i love the banks. the industrials. i believe in america. and i think america is going to have a great third and fourth quarter and take it to new levels. >> this would be a great message if it didn't make me worried it was some sort of kos mick market

top. "fast money" in just a few moments. melissa lee with a look at what's on top. >> talking about china and what the new epa missions rule might mean. of course, we are trading apple. >> i was going to say, no one does it better. over to you guys. >> "fast money" starts right now in new york city's time squares. our traders are tim, anthony and guy dadami. apple's new announcement. it's worldwide dweveloper conference. let's go to josh with all the details. josh. >> melissa, big crowds at this developer's conference. they were lining up while it was still dark out. 5,000 developers. 1,000 apple engineers on hand. and speeches by apple's t