it's 8:00 a.m. in intel headquarters in santa clara, california. it's 11:00 a.m. here on wall street and squawk alley is live. ♪ ole, ole, ol ole, ole ♪ ♪ ole, ole, ol ole, ole ♪ >> i'm andrew ross sorkin and carl quintanilla is off today. joining us, the coxb et toward for recode. as always, jon fortt is here. we have a lot to talk about. to note, the vacant $700,000 house gang bling over a crumbling cliff in texas. take a look at this. it's going to be initially set on fire any moment now. the 4,000 square foot residence was condemned and evacuated

about two weeks ago after a large portion of the 75-foot cliff the home sits on gave way. so we'll see if this starts trending on twitter. >> friday the 13th, a very interesting day to do that. >> absolutely. and as we said, we have a lot of news. this is like a perfect day for "squawk alley" because we're going to start with priceline. today we have deals and we're going to start with priceline. that company buying opentable for $103 a share. $2.6 billion in cash. it's a 46% premium over its closing price from yesterday. check out the moment from these stocks. priceline trading lower while opentable is on full on rally mode. we spoke to the priceline ceo last month and asked him if he'd consider any acquisitions. take a listen to what he had to say. >> everything we do in the acquisition front, we look for medium to long-term gain. we think about it strategically, how it would fit in the world's largest portfolio of online

travel sites. that's how we assess these things. >> cara, does this make any sense? does $2.6 million make sense? >> does anything make sense inspect they want to expand into the area and opentable is the biggest player in that area. it's a hard business for opentable to have been on their own. they were looking for expansion themselves. >> can anybody do some math around the table to get me to $2.6 billion? >> it's hard to get there. specifically, because we don't know exactly how much priep's expertise in global. and they are very good at it will translate to opentable. it's had trouble growing there. user interface, opentable hasn't been good on mobile as far as the user experience. they're concentrated more on the backend. priceline has been better there. if they can accelerate that, sure, it could be good. >> the market is bidding up that stock even above the $103 price. so now everyone is trying to figure out, wait, is priceline

tend buyer of this? >> who else is going to buy? >> citi put out a report today saying ebay could make sense integrating it with payments. the conventional wisdom was that google would buy opentable and integrate it into the restaurant reviews. we'll see if that happens. but it looks like this is unanimously agreed to by both companies. >> do we know if there's a break upfee? i don't know if they've announced one. cara, there is some other company that's supposed to be competing with opentable coming started by one of the founders of uber. it's called reserve. >> there's lots of these things. that's the difficult of how you get ahead. opentable has a great brand. yahoo! might know something who would look at it. google would make the most sense. >> i want to ask about the lockin effect. do you believe that there's a moat around this business?

>> no. >> opentable, a lot of those restaurants had to hook into the system. some of these systems were developed by opentable. in the future, i assume everyone can have an ipad sitting there and they can make the reservation. >> yeah, i don't think so there's anything -- not now, not with all these apps. it seems to me that we've closed and this is probably going to be a thing of the past, to me. >> but then you would suggest that would make this a lousy deal. >> yeah, but this now becoming a loyalty play, too, kara. people that use opentable now you can gain points and you can use them. >> have you used your opentable points lately? i don't know. i haven't. >> i actually have. well, you know, if you're talking about math, i'm still trying to pencil out the what'sapp deal. they want this brand and they think this brand is a good one. it's a good brand.

if you have to sit around and figure out the finance, you'll go crazy. >> kara, i have one other question. if you look at stocks like -- and i'm talking about yelp and the grubhub, all of a sudden they're jumping on this news. and i'm thinking to myself, what does this have to do with anything? >> yelp has always been a perennial acquisition. yelp seems to be something i'm going to watch this week, for sure. and the same thing with grubhub some some of the others. >> i always thought grubhub should merge with opentable. >> everybody should merge, andy. >> let's check out shares of intel right now. that stock rallying after the chipmaker boosted second quarter guidance thanks in large part for demand for business pcs. intel was upgraded to equal weight at morgan stanley. this is the surprise, folks. >> it's somewhat of a surprise.

i don't know if it's that big of a surprise. we know the windows xp refresh is driving more corporate demand. intel talked about that last quarter. inventories have been relatively low. they were high a year ago, so the comps are better now. if there's any upside unexpected in the corporate refresh cycle, that flows straight to the top line as opposed to when you've got extra inventory. so it remains to be seen whether this is a longer term multi quarter kind of revival in pcs or just a couple quarters there. >> wall street previously thought that the xp refresh would be a temporary phenomenon, that it would be a fleeting issue, that they would see a one-time benefit and move on from that. but morgan stanley coming out saying we know this is monday morning quarterbacking. why now would we raise our rating? they say we just don't see any identifiable negative catalyst for this company going forward based on the fact that they've now raised their guidance? >> well, you know, it's temporary. pcs are not the future. they just aren't.

the windows upgrades and things like that are important. we just had brian, the ceo at our conference. they're looking at mobile and wearables and all kinds of areas which are the future. pcs, that's not the -- >> are we going to -- really, is nobody going to -- is it all going to be like the surface? >> yeah. i think so. you know, you use -- talk about when is the last time you sat in front of a desktop? it's just a -- nobody is using them. it's going to be tablets, wearables -- >> the surface is a pc. it's more of a pc than it is a tablet. >> kara, when you write your stories on ricode, what sdooid diagnose -- you don't tabatha out on an ipad, do you? >> i did the one last night about twitter, sure did. i don't think it's a trend going that way. you're going to have a keyboard of some sort. maybe there will be one that's projected on to the table. but these will be portable devices. the old pc business is pretty

much -- i think brian called it a post, post, post pcing on something like that. >> we're going to talk about apple. 9:00 to 5:00 mak mac getting a copy of apple's new chief. erin ahrendts's first memo, she said customers still want to feel surprised and delighted by the personalized apple experience we provide at every turn. that's what makes us unique. she was in tokyo today making her first official public appearance at the grand opening of a japan -- of an apple store in japan. this is her first sort of big reveal, if you will. >> yeah, yeah, the key word, i think, throughout all of that was personalized and the fact that she kind of tossed forward to new products that they're going to have and how those experiences need to be incorporated into retail when you look at eye peekons, when you look at the possibility

behind wearables, the stores are going to play a key role in shaping all of that. morale is very important there, a shaping experience. a lot of pressure on her as that memo rolls out. >> she address tess idea that apple needs to keep its products and its customers serious simple. that's what apple's edge was. at the moment, it's being criticized for developing software and developing hardware that's too complicated. people can't figure it out. the fact that she is committed to being the simple option i think is important for them. >> kara, do you think she's a -- part of this is managing lots of people. a huge step. it's a completely different business in some regards to what she was doing at burberry. is she the right person to do this? >> as a marketer, as a retail person. you get strong people who do logist logistics. and apple is very good at that, anyway.

but as a spokesperson being there, she's really sharp. she has such taste and is so in line with what apple is like. i think she's going to be a star. >> kara, there's an apple culture issue. >> yes. >> jim cook has brought in all sorts of really, you know, eos and other people below him. so she's there, she used to run a company. you have johnny now and dr. dre. culturally, what is happening at that company? >> i think it's interesting. dr. dre and angela ahrendts. that's interesting to me. does that work? >> yes, it does. you have to bring in new blood. they're looking outside for a pr person. i think it's going to be a big name, we've reported, that will be a different face. i think every company has to reinvigorate itself. you get used to each other, you know, challenge each other. if you bring in new -- and new people and you're willing to listen, i think that's a great thing. why not? >> finally, kara, yesterday you

joined us to talk about the resignation of twitter's coo. you reported on that first and you have a new article on the winners and losers from that executive shuffle. who is winning and who is losing this morning? >> obviously, the two people who run media and ollie reghani who is the coo. i talked about disk costco being not a winner or loser, but it's crunch time for him. he's put everything on his shoulders. he's put all the growth and revenue on his shoulders. i think a winner is daniel graph who runs product at the company now and who was supposed to report to rowghani. and i think adam bain who is the sales head who would get some of rowghani's things. lastly, katie jobs stanton and others who might get more responsibility and the big pressure probably is on the cfo the to really change the narrative on wall street.

>> does the twitter culture need a fix? it seems awfully machiavellian or something. and who can fix it, if so? >> i think it's been very up and down. i called out a soap oprah. there's always something emotional going on with that company. that's a very emotional company. so i think it will be interesting to see if someone can stabilize that management that goes on here a lot. if not, who knows. talk about mergers and acquisitions, they're certainly a county. >> kara fisher, recode, author of the soap opera that is silicone valley, thank you for joining us. >> thanks a lot. >> recode has a partnership with nbc news, minority stakeholder and we have a content sharing partner with them. meantime, we're watching the conflict in iraq which is escalating into what could soon be a full blown civil war.

after taking the second largest city in iraq, militants are now pushing towards the capital city of baghdad. we have the latest from london. >> kayla, it's a situation that continues to deteriorate really by the hour as insurgents now continue to push on to baghdad. according to our reporting from inside iraq, surmths have managed to get within about 40 miles north of the capital city. now, this comes on the heels of several days in which they've been able to take over several key cities, including iraq's second largest city, and that is mosul. in addition to that, not only have they been able to take control of the ground, but they are now capable of imposing tighter measures on some of the civilian populations in those areas. in addition to that, there's looting and ransacking the military bases that have been vacated by the iraqi military. in addition, they have managed to get their hands on about $400 million from the central bank that was in mosul. so they're very well equipped.

they have momentum on their side and they are now making a push on to baghdad. is on for their part, they're calling on young iraqi men in the capital to join the fight. they have open recruitment centers and position themselves to try and repel any attack that may come from these al qaeda linked mill at that points. that has the country bracing for what could be a full blown sectarian war. humanitarian organizations are worrying about the spillover effect from the past several days of fighting. more than 600,000 residents in the northern part of the country have fled their cities and have now moved into various areas in iraq. it is putting a massive humanitarian strain on some of the local resources. it's a very tense situation that continues to unfold, kayla. >> especially with that new funding that they have secured. now those insurgents are fortified even more so we'll continue to watch it. but for now, ayman, thank you for bringing us the latest. speaking of iraq, we want to check in on mosul. there are fears about supply and

as such, you're seeing brent down slightly. wti crude is unchanged. those prices have been at the highest level since september 2013 earlier in today's session. the broader markets are holding on to slight gains right now. the dow up by about 44 points. the s&p up by five. and the nasdaq up by 15, even though we did get a slightly lower consumer confidence number out of the university of michigan this morning. finally, shares of express are rallying after private equity firm sycamore partners announced a nearly 10% stake in the company and said it might be interested in acquiring it. sycamore has had a lot of experience in the retail. they just did funding for aeropostale. they thought about buying talbot's, so we are watching that stock, as well. coming, is opentable worth $276 billion? the former president of yahoo! weighs in on today's massive deal. plus, samsung unveiling its latest galaxy tablet last night and we have our hands on one

thanks to jon fortt who will have a live demo later on. cnbc disrupter 50 is out. who didn't make the cut this year? we'll tell you one big name. being a keen observer of the world has gotten you far, but what if you could see more of what you wanted to know? with fidelity's new active trader pro investing platform, the information that's important to you is all in one place, so finding more insight is easier. it's your idea powered by active trader pro. another way fidelity gives you a more powerful investing experience. call our specialists today to get up and running.

welcome back to squawk alley. check out shares of citigroup. the stock losing ground in the

last couple of minutes after the u.s. is seeking more than $10 billion in a lawsuit. this follows on the heels of a similar settlement of a settlement with jpmorgan of about $13 billion. again, from the jp -- from the doj. there you see citi off just about 1% there at $47.82. back to you, andrew. >> thank you, mary. the numbers keep getting bigger. in the meantime, back to the big story of the morning, priceline agreeing to buy opentable for $2.6 billion in cash. our next guest is recognized as an icon of the internet tech boom that lit up the stock market from the mid to late 1990s. jeff mallett is former president and ceo of yahoo!. he joins us now for a cnbc exclusive and he's the co-owner of the san francisco giants who skrd sheriff best record in major league baseball. >> before we do that, what the heck? does $2.6 billion make sense to

you? >> i'm not going touch the numbers, but i can tell you from experience, broadcast.com, back in the day -- >> but that was good for mark cuban and not good for anybody else. >> you've got the make your moves. priceline is trying to go, you have to go all the way through, they have the kayak transition, and then everybody, whether it's uber, hotel sanai, game time, everyone is looking for the open app that's used time and time again to get down the food chain. >> jim cramer this morning said yahoo! should buy this company, they should then by grubhub, then buy yelp and roll it up into one company. do you see there being a market for companies that do roughly the same thing even though they're in the in reservations, per se? >> cost of entry in this new world that we live in is relatively low. more and more are going to come to the top. there's going to be a couple of brand leaders. i think it's key. >> so they turn a little bit more than ten times expected

revenue for 2014, which implies a big growth area. looking at what price line has been able to accomplish interfacially, should we place our bet on them that they'll be able to do the same with open table? >> that is one of the areas that they have struggled with. to me, priceline will have to use their market power outside the u.s. and north america. >> but help me here. people talk about the network effects of these things and therefore they become very defensive in that it becomes very hard for competitor to show up at your doorstep. but is it really hard? >> no. >> can somebody show up? when you look at all of these types of apps, cost of entry and time of entry is relatively low. to gain market share, on the good side of it, once you get ado want deposition -- >> winner take all. >> and it is close to a we knower take all. there will be second and third tier players, but net-net, you

can get big really fast or you can go out of business really fast. and the one that's go fast are going to get -- >> we have to ask you, in a few months, yahoo! would have a windfall from this al by ba ba i alibaba ipo. what do you think yahoo! should buy? >> i don't know on the buying front. i won't pick companies right now. but i think one of the areas is getting back to search and i think yahoo! got away from search over a period of time. not head to head necessarily with google, but improving how they present their offer. >> can you grate grade melissa's performance? >> i've been behind the desk, so i know how hard it is. but for me, she's done all the right things to this point. stabilize the environment, made it a place people want to work. put products first. now it's about sustainable growth, time to get forward, which is the hardest part. >> how long is the honeymoon

after the alibaba transaction? >> 12 to 18 months. balance sheet is going to look great for a while. she won't do anything great out of the gait gate, my guess. >> we're going to talk to you about your latest venture backed by nba star steve nash. >> he's wearing it. >> that will be when we come back. >> it's an amazing suit. plus, 3,608 tweets per minute. that's how many people were tweeting about the opening world cup match yesterday. a visual look at one of the top trending topics #worldcup. and we're still awaiting the dangling house in texas to be lit on fire. look at that. you won't want to miss the pictures from whitney, texas. that when squawk alley comes back. [ cows moo ] [ sizzling ] more rain... [ thunder rumbles ] ♪ [ male announcer ] when the world moves... 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. thebut in the case of the s to thlexus ls... ...which eyes? eyes that pivot with the road... ...that can see what light misses... ...eyes designed to warn when yours wander... or ones that can automatically bring the ls to a complete stop. all help make the unseen... ...seen. and make the ls perhaps the most visionary vehicle on the road. this is the pursuit of perfection. just want to say, i bundled home and auto with state farm, saved 760 bucks. love this guy. so sorry. okay, does it bother anybody else that the mime is talking? frrreeeeaky! [ male announcer ] savings worth talking about. state farm. frrreeeeaky! predibut, manufacturings a prettin the united states do.

means advanced technology. we learned that technology allows us to be craft oriented. no one's losing their job. there's no beer robot that has suddenly chased them out. the technology is actually creating new jobs. siemens designed and built the right tools and resources to get the job done.

in case you're still looking for a father's day gift for dad, we may have a perfect solution for you. indochino offers custom sized men's suits. we want to bring back jeff mallett. welcoming the company's co-founder and ceo, kyle. good morning. >> and you're wearing it. >> are you all head to toe? >> head to toe. >> tell me, what is this suit going to set me back? >> our suits start at $449 and go up to $700. it's the fraction of the price of what you can get comparable off-line. >> and fully custom? >> fully custom. we'll take care of alterations at a taker and would he we'll do your al ragzs pore free. for us, it's about getting it look great on you and making us get the fit right. >> there are a few other

entrants into this space. we just had bonobos, co-founder andy dunn in who has a new store. what about people who said we want to feel the material, we want to see what's being done. >> yes, we do pop-up stores in every major city throughout north america for those who want to touch and feel. so we roll into the market every couple of months. still, the majority of people are buying online. they're getting measurements, pretty simple, straightforward, put them in there and their suit is deliver in a few weeks. >> how do you get the middle american guy who isn't sure what to wear into your fold as opposed to having somebody else buying close for him or doing the easy thing and rolling into a joseph a. bank or the men's wearhouse or a macy's down the road. >> a lot of guys don't like

shopping. they don't know what they're looking for. by doing it from the webb, you can do some research, you can talk to one of our customer service agents. it's so much easier to do it from home with our expert help. >> and just during the most recent month when they came out with their review they said buying a suit online does not seem obvious. yet are they wrong on that? >> i think they're dead wrong, yeah. i think it was the age of the guys that were doing the interview. i think anybody below the age of 30, that's what they're going for. >> what did their suits look like when theerp doing the interview? >> i listened by phone. >> taking your own measurements for things like that, that's difficult. how do you solve that problem? >> it's all about technology. we've got an algorithmic set up in the back end based on what you put in, weight, height,

general questions, we can more or less guess your measurements within an inch. the measurements you put in get us that much closer. >> this could be mistaken for a tom ford dude. what's the comparable if you're a guy at home trying to figure out, like brooks are you j. crew, are you ralph lauren? black label? what are you? >> with look at providing three classic ranges, yao blues, your standard cuts, everyone fooems feels comfortable out of the gate. then you're looking at some of the premium sites. those who really want that top end, hugo boss, that type of deal. so we have a range in there. >> jeff kyle, i'm going thank you. maybe i can get my dad a suit for the weekend. >> thanks so much. >> simon hobbs, the market just closed a few months ago and what do we see? >> the week is lightly lower overall. not a huge amount of action. the big news that everybody is

talking about is from the bank of england's mark carney. the governor of the bank of england addresses the financial community once a year of what they call the mansion house speech for the lord mayor of london. a 260 yooeld mansion house. that was where he said yesterday interest rate rises could happen sooner than the market is expecting. today there's been quite a shift of expectations. now they're talking about a quarter point ride by the end of the year. it pushed sterling up to close to a five-year high trading just below $1.70 for those of you traveling to the uk. it will be expensive this summer. the other thing that's happened is the uk government actually through the chancellor, which is the finance minister said the bank of england will increasingly regulate mortgages and that they will regulate the size of the mortgage relative to the value of the house and the income of the person and that's really hit some of the home builders as you can see. airline res down for a third

session. it's been a rough week for the airlines, the eye of the storm in addition to oil price rises in iraq. it's been lufthansa with that profit warning that they had out. left hans ya is now down, the german carrier, a whooping 18%. have a good weekend, guys. >> same to you, simon. we're just getting word that the president will be making a statement on the situation in iraq at 11:50 a.m. eastern time from the south lawn of the white house. so we'll, of course, have that for you when it happens. andrew. >> in the meantime, coming up with such a beautiful display, the samsung galaxy pad leaves a favorable impression. that was ed bag from usa today on the tablet. our own jon fortt got his hands on one. plus, one big name missing out on the cnbc disrupter 50.

we'll tell you who missed out on that dubious distinction. that's been called the benchmark of its class. really, guys, i thought... it also has more rear legroom than other midsize sedans. and the volkswagen passat has a lower starting price than... much better. vo: hurry in and get 0% apr for 60 months on 2014 passat gasoline models plus a $1000 contract bonus. we stathat the kid onhe thought the back of the bus might have a song that he has in his head but he just can't get out. with the technology of cloud, we change all that. i can sing something into my device. up to the cloud it goes. back down it comes sounding better. we break down the walls of creation, and we give music creation for the masses. ♪ ♪

tap it here, digital insurance id card. and tap it here, boom, roadside assistance. on'tday ooklay, it's axwellmay. the igpay? otallytay. take an icturepay! onephay, onephay! really, pig latin? [ male announcer ] geico. anywhere, anytime. just an aptay away on the geico appay.

samsung has unveiled its galaxy tab. $399 for the mauler one, 8.4 inner. $499 for this 10.5. right now, the tablets are wi-fi only. the company says it will come to verizon, at&t and sprint later

this year. we have a couple of them here right now. samsung really known for screen quality. they've been able to do this in volume and amazed that even apple hasn't. these screens, to my eye, look pretty brilliant. running the latest version of android. we expect to get a new version from io in just the coming days. it has a qualcomm processor, quad core, so it should be pretty fast, very thin. has expandable memory here for storage. that's always a problem with these mobile devices. so samsung has said that they plan to take on apple in tablet volume this year. you can expect these to be a key part of that strategy. but a real question on whether they'll be able to do it. of course, apple is expected to unveil some new ipads later this year, probably around the october time frame. these two from samsung will be trying to head them off at the path. >> what about the weight? how heavy are they? >> well, they're really light.

this feels pretty similar to the ipad mini. this one has a little case on it, so i can't tell you weight specifically. ipad air, it's comparable to the ipad air, ipad mini. >> the game time audible, would you take that or an ipad, what do you do? >> it depends on how heavily invested you are in google or samsung's ecosystem. samsung is trying to build up its own media system versus apple. in terms of hardware build quality, you wouldn't be ashamed walking down the street with this, pulling this out in a meeting or coffee shop. the thinness, the lightness, and the screen quality too. haven't had a chance to test out battery life. it looks pretty good. >> i can imagine you taking a giant phone call on that smaller one. well, it doesn't have cellular, but you can bet that samsung will be out with a phone this size in just a few weeks. i'm kidding. but not really, but i'm kidding. but not really. >> you never know until you

know. jon fortt, thanks for bringing that to us. cnbc is unveiling its second annual disrupter 50 list. even the most disruptive ideas sometimes fall flat. julia boorstin joins us with one company that made the list in the past and probably won't make it again because the big factor is one that can drive a disrupter fail. julia, what's behind this? >> sometimes a disrupter idea is so good it's coopted by a giant. making that original start-up irrelevant. last year, four score was named to our list for revolutionizing the power of location with its mobile check-ins, allowing clients including starbucks, best buy and american express to target deals based on specific location. it narrowly targeted local ads and offers base odd where you are, a range of other internet giants adopted them. facebook launched a check in service in 2010. the next year, google started inviting users to check in for

deals. even groupon has increasingly focused on mobile deals based on where you are. in respond to go that competitive pressure, the new foursquare focuses a local recommendations to compete with yelp. the others swarm does have those check-ins and shows friends nearby. foursquare is one of many start-ups whose smart idea is coopted. another innovator, news reader fort board has seem that imitation is the sincerest form of flattery with facebook's paper adopting many of its tools to flip between articles. the key for disrupter success is having enough barriers for entry or a unique enough product that a product or company can't be easily copies. that was an important factor in determining the 2014 cnbc disrupter 50. so who will make this year's list? we'll unveil the big names coming up on tuesday and check

out all our great content online at disrupter 50.cnbc.com. nearly 4,000 tweets per minute. what got everyone so excited? was it the soccer? find out next. but first, rick santelli, what are you watching today? >> we are going to consider what makes markets richer, and how many does geopolitics really play in to truly moving markets outside of energy, of course, and why is it so important? i'll tell you why it's important. geopolitics and weather seem to be overhyped. why? come back after the break. we'll discuss that and more. alright. let's share the news tomorrow. today we failrly busy. tomorrow we're booked solid. we close on the house tomorrow. i want one of these opened up. because tomorow we go live... it's a day full of promise. and often, that day arrives by train. big day today? even bigger one tomorrow. when csx trains move forward, so does the rest of the economy.

csx. how tomorrow moves. seeing the world in reverse, and i loved every minute of it. but then you grow up and there's no going back. but it's okay, it's just a new kind of adventure. and really, who wants to look backwards when you can look forward? in a we believe outshining the competition tomorrow requires challenging your business inside and out today. at cognizant, we help forward-looking companies run better and run different - to give your customers every reason to keep looking for you. so if you're ready to see opportunities and see them through, we say: let's get to work. because the future belongs to those who challenge the present.

you wouldn't have it she any other way.our toes. but your erectile dysfunction - it could be a question of blood flow. cialis tadalafil for daily use helps you be ready anytime the moment's right. you can be more confident in your ability to be ready. and the same cialis is the only daily ed tablet approved to treat ed and symptoms of bph, like needing to go frequently or urgently. tell your doctor about all your medical conditions and medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain, as it may cause an unsafe drop in blood pressure. do not drink alcohol in excess. side effects may include headache, upset stomach, delayed backache or muscle ache. to avoid long-term injury, get medical help right away for an erection lasting more than four hours. if you have any sudden decrease or loss in hearing or vision, or any allergic reactions like rash, hives, swelling of the lips, tongue or throat, or difficulty breathing or swallowing, stop taking cialis and get medical help right away. ask your doctor about

experiencing cialis for daily use and a free 30-tablet trial. koupg up at the top of the hour, the latest on iraq and the fallout from global markets. plus, why one oil analyst says rising oil could be good for many stocks. and the dad in the house, we're going to talk about the best lessons they've learned. and we all know some dads can be embarrassing. but your dad has nothing on a new jersey governor named chris christie. wait until you see him in our worst trade of the day. that and much more straight ahead of halftime show.

the white house, president obama will be speaking about the situation in iraq and, of course, we'll be monitoring that and bringing it to you. in the meantime, let's get to the cme group. rick santelli. >> thanks, andrew. yes, with the president getting ready to speak on iraq, i think geopolitics is a big issue especially, of course, when you're trading markets. i can remember on that wednesday i w i was bowling test of the first gulf war. i was trading energy. it was buy rumors, sell fact. why is any of this important? because geopolitics and weather are definitely trading desktopics of discussion. in very large and profound ways, actually.. but yet as i walk through this building as i have over so many events over the last 35 years, i find there's a whole lot more talk than trade with some of these issues. and when you take into account

how polarized the country has gotten on politics, that really has moved into the space of markets. now with social media and tweets and facebook and all the different venues that we cover on "squawk alley" so many more follow the markets in a very superficial conventional wisdom sort of way. so when we get bad weather, everything that happens in the weather is about the same. but for so many of us that watch every tick on trading floors, there are certain truths garnered that are outside conventional wisdom. look at this two-day chart. a lot of the activity is being pegged on what's going on in iraq. husband, yesterday we had a blowout auction that ended at 1:00 eastern. as you can clearly see on the two-day chart, that's when yields came down. today, yields are higher. but if you take out that drop, it all fits rather well. look at the five-year chart of energy prices. we've been higher, which brings me to the crux of the matter. the way geopolitics plays into trading and always has for the

most part isn't the event itself. it's the effects those geopolitics, political events have on prodominantly on the energy markets. but since we've been higher in energy, i would say the way to view this is the way our one guest, mr. max well for dg energy said, it's about securing more energy here. that's the way you combat what's going on. >> thanks so much for that, rick, we appreciate it on this friday. have a great weekend. earlier this week, we showed you a chart of the orange is the new black hash talking on twitter. today we're back with a #worldcup. that line you're seeing on your screen is all the tweets you're seeing per minute. the bbc world in england showing the signage and the fanfare at people are getting ready for the world cup. that was early yesterday morning. you can see all of those flags for england just ahead of the

kickoff yesterday. then we moved to astronaut reed wiseman. this is a picture he tweeted from the international space station where he said rio and sao paolo shine bright. that got retweeted almost 3,000 times. then you have the guitarist from maxbox 20 on dual tv action. that one got 6.3,000 retweets. but the most that got retweeted, camilla from fifth harmony, a band from xfactor is likened to justin bieber by one of our producers deborah finley who might be a tiny fan of hers. scooter brawn, justin bieber's manager. >> wow. the guitarist from matchbox 20, that's a win for him. straight ahead, comments on the company's acquisition of opentable. and while we're wait, president obama is expected to comment on the situation in iraq.

oh my god! look. you need to see this. show 'em the curve. ♪ do you know what this means? the greater the curvature, the bigger the difference. [sci-fi tractor beam sound] ...sucked me right in... it's beautiful. gotta admit one thing... ...can't beat the view. ♪ introducing the world's first curved ultra high definition television from samsung.

trwith secure wifie for your business. it also comes with public wifi for your customers. not so with internet from the phone company. i would email the phone company to inquire as to why they have shortchanged these customers. but that would require wifi. switch to comcast business internet and get two wifi networks included. comcast business built for business.

it's the deal of the morning. priceline buying open table for $2.6 billion. mr. hobbs has some details. >> $103 a share. the big question is why would you pay almost $1 billion in the market, it was valuing open table for, and today we had a conference call with analysts from darren huston, the ceo of priceline where he explained that it's about taking open table outside the united states,

germany, the u.k. and so on to the 200 territories in which they already operate. helping price -- helping opentable deal with the currency and the language problems, integrating wit the existing platforms that they have like kayak, like booking.com, this is how he put it to the analysts. >> it's important to understand that it's the same customers. i mean, travelers are diners. in fact, some of the most valuable diners because they're transient diners. and we believe that there's opportunity to cross promote the open table and the rest of the group's brand to the same customer. >> the reason why opentable has been able to do this deal, the advance in the technology. on the one hand, it's going to a cloud-based system. and priceline likes that because that gives it a lighter footprint. less investment to take it around the world. the other thing that is very important with opentable, the coo of priceline said he tried it himself and he liked it, and

we have spoke about this many times, testing the technology in san francisco where you can pay for your meal at the table without reference to your server. that's very important for priceline moving forward because the online travel agencies want you to do more than just book your flight or hotel room. they want you to be buying an and experiencing through their sites when at their hotel. ordering room service or alternatively paying for your hotel room and arguably the opentable technology could stretch to that. as the ceo of priceline put it. >> it does have, you know, a lot of potential. also we believe in the group. it's still early days. but if you think of the scenarios, you know, of paying your check at the table, or paying your hotel room in your room, without having to go to the waiter or the checkout desk those are obvious ideas that we want look into and then continue to enhance the experience on the mobile products.

you know, that's the way we have been approaching mobiles. others who follow us, as of course it's an important place to get bookings. but it's really -- particularly the mobile phone has become an important tool to enhance the experience of the customer and certainly being able to pay your bill at the restaurant -- i had a chance to use the product myself. it's a pretty amazing experience. >> the question is of course, can they occupy that space? because the hotels really like you the order room service on their app. can the online travel agencies fill that space and go to hilton and hyatt and say, hey, we've got the customers. let us integrate. >> it's like trying to do the uber of hospitality, that seamless experience, you get out of the car -- >> no money changes hands. money changes hands but you don't feel it. >> you have the onlytable technology, what else in travel and leisure, what else can you pick up and take around the world and he's like we're sticking with for now. >> thank you for that.

simon hobbs -- >> i'm here to help. >> thank you for that. as we told you earlier we are awaiting a speech by president obama to talk about the situation in iraq. we have some details from washington. what are we going to be hearing, amin? >> hi, we're not expecting the president to announce any specific military action. we are expecting the president to give us a briefing on the state of play in iraq. obviously, a very confused situation right now, as rebels are moving toward baghdad from the north. we have a situation where major shiite clerics in the south of the country calling on shiite civilian men to join with the iraqi military and resist the isis incursion. we see pictures of police officers digging trenches, getting ready for a military onslaught here. not clear what the u.s. involvement would be. yesterday, the press secretary was very clear after the president said that all options are on the table.

that actually ground troops in iraq, u.s. ground troops in iraq again is not an option on the table. they're talking about the possibility of some kind of coordinated air strikes and military assistance to the iraqi government. andrew, a lot of frustration here in washington with the al maliki government, pushing the sunnis out of the governing coalition and in effect pushed them into the arms of the isis rebels. so the president has to distill that and make a decision about what he wants to do. >> especially since the last three days have been as violent or not as violent since the ten years ago in 2003, since the u.s. invasion. we'll see what the president says when we come back. as amin said, we're awaiting the president. you're looking at the south lawn of the white house. we'll go to washington as soon as he starts speaking. that when "squawk alley" returns. all stations come over to mission a for a final go. this is for real this time. step seven point two one two. verify and lock.

command is locked. five seconds. three, two, one. standing by for capture. the most innovative software on the planet... dragon is captured. is connecting today's leading companies to places beyond it. siemens. answers. the porter was so incredibly... careful... careless... with our bags. and the room they gave us -- it was...

beautiful. a broom closet. but the best part but the worst part was the shower. my wife drying herself with the... egyptian cotton towels... shower curtain... defined that whole vacation for her. don't just visit new york. visit tripadvisor new york. [ male announcer ] with millions of reviews, a visit to tripadvisor makes any destination better. but we're not in the business of spokespenaming names.kswagen [passat is heads above with mithe competition,s, the fact is, it comes standard with an engine that's been called the benchmark of its class.

really, guys, i thought... it also has more rear legroom than other midsize sedans. and the volkswagen passat has a lower starting price than... much better. vo: hurry in and get 0% apr for 60 months on 2014 passat gasoline models plus a $1000 contract bonus. we are awaiting a speech by president obama on the situation in iraq. we are told that's going to begin in a couple of moments. not expecting him to say too much about a plan of action, but to give us some details of where things stand and i imagine this floor will get quiet to try to

understand what it means to the oil markets and the larger economy. >> especially as not only the violence is escalating, by the offensive by the gop, as john boehner said that president obama was taking a nap on iraq. so certainly we're waiting to hear from the president right now and he's getting up to the podium right now. >> take some time to give you a quick update about the situation in iraq. yesterday i convened a meeting with my national security council to discuss the situation there. and this morning i received an update from my team. over the last several days, we have seen significant gains made by isil, the terrorist organization that operates in both iraq and in syria. in the face of a terrorist offensive, iraqi security forces have proven unable to defend the number of cities. which has allowed the terrorists to overreturn part of iraq's territory. this poses a danger to iraq and its people and given the nature of these terrorists, it could

pose a threat eventually to american interests as well. this threat is not brand new. over the last year, we have been steadily ramping up our security assistance to the iraqi government with increased training, equipping and intelligence. now iraq needs additional support to break the momentum of extremist groups and bolster the capabilities of iraqi security forces. we will not be sending u.s. troops back into combat in iraq, but i have asked my national security team to prepare a range of other options that can help support iraq security forces and i'll be reviewing those options in the days ahead. i do want to be clear though. this is not solely or even primarily a military challenge. over the past decade, american troops have made extraordinary sacrifices to give iraqis an opportunity to claim their own future.