not tv. she is the infomercial queen. almost none of it is from tv. she had a bad contract deal. she got nothing from the show. all infomercials. >> robert, thank you. eye opening. >> thigh opening. >> let's move on. thanks for watching street signs. see you on "fast money" at 5:00. >> eastern time. take care. welcome, everybody, to a special edition of the closing bell. i'm kelly evans at the new york stock exchange. welcome back. >> thank you. i'm not the reason are it's a special edition. we have a full plate today. so many different great guests coming your way and a market that in the meantime is watching and waiting. watching what happens, of course, next in iraq, and waiting on the fed tomorrow. the fed's meeting today and tomorrow. we'll get janet yellen's news conference tomorrow which you will see right here. the expectation is no big

changes in fed policy in the meantime. >> or will they? the eternal question remains. >> or not. >> yes. >> someone joining us says the fed's next move, jim grant will join us. no big fan of the fed and its policy the last six years. we'll get his take on the fed policy. his take is always controversial. contrary. but it's fun and very wise, too. we love talking to james grant. that's coming up. >> after the bell, elon musk joins us for a special, rare interview. his spacex firm he founded in 2002 was just ranked the number one company on the cnbc top 50 disruptor list. among the plans he has for spacex is to colonize mars. we'll also hit on news involving other companies. solar city and tesla. a lot happening there.

big moves in the shares today as well. >> let's show you the markets, get you caught up. not a wide range for the major averages. the dow range has been 90 points. we are up 39, just off highs of the session now at 16,820. the nasdaq is the outperformer, up 24 points now. technology is doing well. a gain of half a percent. we are at 4345 and the s&p 500 index at this hour is up five points at 1943. let's kick it around, talk about it. get reaction to today's markets and a look at tomorrow. from the finance report for courts, rob morgan, kenny bocari and are rick santelli as welch. kenny, a quiet market. a wait and see market waiting for the fed tomorrow. >> it's been the fed, what's happening in iraq. it's been uncertainty over what the next policy movement will be. not only from the administration

but also from the fed. therefore, you have seen the markets have been stuck in a very tight range. 1950 on the down side. 1950 on the upside. support and resistance in there. not a lot of action as it waits for clarity. >> one of the things that's clearly moving the market and a big development this year is the increase we are seeing in deal activity. we are talking already about the number of deals surpassing 2007 levels. the amount might be shy and we are only in june. this could be a big deal. i wonder how much some of the small cap names that recovered are doing on the back of acquisition hopes. >> yeah. there is a lot of activity in the m & a universe. good news for banking. you are seeing trading instead of the tight range we have been trading in. that will alleviate pressure. there is also a lot of pent up

demand in m & a. we heard hit in 2012, 2013. there is always cash on company balance sheets. we are seeing it trickle out now. >> why now, mark? that's my question. often it will happen at a particular time of the business cycle. whether they expect prices to begin rising so they want to get in before it happens. interest rate wills go up. the cost of borrowing will go up. why is it happening now? >> why not now? perhaps that's the question that some of the companies are asking themselves. certainly you have to think that the m & a bankers are convincing. it's a decent atmosphere to go out there. a lot of negativity we saw two years ago just coming off the financial crisis, that's starting to shed. so if you have a better reason why you shouldn't be making

moves, linking up with companies, figuring out how to start planning for the future, this is perhaps one of the better times to do it. who knows what the future holds? i think it's as good a time as any. >> i want to ask you about andrew ross sorkin's piece that talks about insider trading using data from a research study finding something like a quarter of all public company deals may involve some kind of insider trading. are you aware this level of inside activity and information is the case today? >> yeah. i read the article. it was surprising. it seems to indicate if the findings are true that the fcc is behind the curve on this. if there is a silver lining and andrew ross sorkin mentions this in the article, the s.e.c. has hired palintar technologies which used data to find terrorists for the government.

if three professors could show this, i'm sure they can come up with a program to show the same type of activity as well. >> what about the fact -- and this is outlined in the piece. we know it from a lot of pieces in the news now regarding clorox, green mountain. so much activity is happening in the option space. >> because it's easier in the option space, less expensive than the equity space. it's not a surprise. i don't think people should be surprise bid findings in this article. it's been going on ever since the start of human kind, right? >> secret sharing. >> right. except now the technology exists to be much more on the top of it, catch it, follow and trace it to where it begins and who's taking advantage. >> rick, i bet you have thoughts on that as well. i'm curious how the markets are trading ahead of tomorrow's fed announcement. probably no big expectations

there. >> no. you have to remember whether it's the bank of eng flanlanden u.s. fed, they are flattening in the uk and here. we had two-year fresh flats on fives versus tens. fives versus 30s. the two year at a high yield. the five year at a two month high yield. the ten year at a one month high yield and the 30 year bond at a four day high yield. the curve is a little squirrely. hey, we had weak housing. starts and permits down six and a half. what did the market pay attention to? different. it paid attention to up .4 on headline. that's something to make note of. the market might be in flux. as to the other topic, everything is so easy. i work in an exchange. all the trades on options are done on exchanges that can tell you who the customer is, where he is, the color of shoes he

wore. they can put in different filters. the najarian brothers understand this. if anybody wants to know who did suspicious activities in line with merger activity it would be no trouble at all. they could comply. issue on my mind is nobody is asking for it. >> that's the thing. if the technology exists why isn't the s.e.c. on top of this? they are always crying poverty. they don't have enough resources to go after the bad guys in insider trading cases so they go after the high profile stories and miss the others that the professors at nyu were studying in this case. >> to some extent it's the high profile cases that are more popular. more people care about. that's probably why they focus on it. this isn't the first study to look into insider trading. to the point earlier, this has been going on for a long time.

there is a study by pinkerton, i believe that talked about 1981 that said you could see anomalous trading activity 12 days prior to a big m & a announcement. this more event study talks about how prolific it is. i would say that i'm surprised there isn't more of that type of activity. guys like myself who go out and try to find out about deal activity to write about, you have to have the same sort of force. you have to have the same forces at work looking to find out information about deal activity. you know, there is a whole segment of the industry, merger arbitrage that looks to benefit from m & a activity. it's not going away any time soon. >> thank you. appreciate it. >> thanks, guys. >> we are headed for the close.

50 minutes left in the trading session on this tuesday. the dow is up 28 points. been one of those days as we wait for tomorrow's news conference by the fed. >> this is nothing in terms of tight range. we have had sessions where we moved barely 20, 30 points on the dow the whole time. >> the summer doldrums are upon us maybe. >> they struck early. elon musk, spacex rocketing to the top of the disrupter 50 list. he'll be at the new york stock exchange with me later. we'll talk hot competition and the commercial space race. of course we'll talk tesla, a cutting edge company. just last week opening up patents to competitors. that's generating a lot of chatter. we'll ask about that. it's coming up in an hour. don't miss it. >> honeywell's ceo will talk to us. they make thermostats to jet fuel. the new green jet fuel is powering 200 commercial flights

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welcome. we have breaking news on another mortgage settlement. scott? >> another nearly 1 billion settlement between sun trust. over mortgage issues, mortgage issuing origination and foreclosures. the bank is admitting between january 2006 and march 2012 it originated and under wrote fha mornls that didn't meet the standards. tacked onto the existing national mortgage settlement. suntrust to provide relief to homeowners and reform. it does admit wrongdoing in a civil settlement here. >> scott, honeywell celebrating

100 years. company executives are here ringing the closing bell later. first they are talking to us. >> we have a plethora of activity on the set today. that stock is higher as honeywell trades not far off the 52-week high. let's get to it, talk about the trends in their businesses. honeywell ceo dave cody is back with us. tim mahoney is next to him and then honey well performance and technologies ceo darrius adonchick. how did i do? >> very well. >> a hundred years. >> pretty cool. >> and the evolution. >> it's changed a lot. both tim and darrius will tell you it was almost within two days of each other a hundred years ago it started. from that $40 billion company

that's doing well. >> if there is a theme of the show it has to be energy. we are talking to tesla about lech are trick vehicles. the reason we have plants is we have biofuels to power aircraft. how different is the future of energy and emissions going to look than today? >> it could be different for number of reason ares. not just the energy efficiency side which we have a lot of work with. but something that the business leaders cooperated with. we flew planes. some at super sonic speeds. this one we flew across the atlantic to the paris air show using darrius's fuel on tim's plane. we had a nice combination. >> business synergies there. talk about the technology. we have a seed for the tree you have planted here. you use it to make green jet fuel. >> green diesel.

you can use a lot of other biofuels like algae or other plants we have on the floor today. we use our license refining process to convert it to real diesel and real jet fuel rather than an additive. it makes our special. >> how expensive is it? it seems every quality of the fuel makes it attractive except i assume it is much more expensive. >> the process costs are equivalent to fossil fuels. it's the seed where we have a little bit of work to do. the whole secret is to get the scale we need to build up more of the presence in the jet fuel -- >> are we using the same engine or do you have to retro-fit something? >> it goes in the same engine. it's a drop-in fuel where the aircraft doesn't need configuration changes or anything like that. take off.

>> that point is important. >> yeah. >> at the end of the day what you find with renewals people use, it's corrosive to pipelines, engines, dispensing advices. these guys have a drop-in replacement. you can have a quarter tank of diesel and put in three-quarters of a tank of the this fuel and it runs fine. no problems. >> why can't you do it with cars? >> you can. we have it in cars, run ships for the navy, jet fighters all using this fuel. >> competition today in aerospace, elon musk will be with us later and spacex and the cutting edge technology there. how do you view those competitors in this field right now. are they truly the ones you're worried about or the more traditional -- >> i can let tim speak to it more. at the end of the day we feel comfortable about the changes that are occurring. the more technology advances

there are, the better off it is for us. we are a technology bent company whether it's darrius's business, tim's, what terrence is doing. for us it's not a bad thing. >> i would agree. i think technological differentiation has been the man are tra within honeywell as long as aerospace has been here. we continue to innovate for the last hundred years. innovation will accelerate. i think there will be more innovation in the next 25 years than there was in the first hundred years. certainly we have the incredible amount of capability and capacity and talent within the organization to do that. >> that will be something to see. we're curious what you make of france now. they are trying to get the highest possible bid and trying to push companies including general electric to up the price they are willing to pay. >> i'm glad i'm not in the middle of it. >> you don't see that as an attractive asset? >> we're not in the middle of

it. >> that speaks for itself. >> not our business. >> the pushback they have gotten, it's not just about price but sovereignty, the tax implications. is that an issue you face overseas as well? outside the u.s., inside the u.s. >> has it become more difficult if you were interested in european assets to look at them from a strategic point of view because of the national interest many governments there -- >> i can't say we have run into it. who knows. we also haven't done anything huge. we have tended to stay in smaller deals. it's tough for me to have an opinion when i haven't had to confront it. >> i still remember the failed deal between ge and honeywell in 2000.

>> the nice thing was i'm one of the few guys who told mario monte thank you. if it weren't for you i wouldn't have a job are. he thought it was funny also. >> it would be a different general electric, that's for sure. good to see you. i will let you get going. >> this is a fun day for all of us. >> can we keep the plant? this is a nice touch. >> it is. >> my guess is my guys will be happy about that. >> it is renewable. 340i7b9s into the close. the dow jones is posting a gain of 27 points. same for the s&p and nasdaq. building again on the small slight positives we saw yesterday. all ahead of the fed meeting tomorrow. >> the latest on the middle east. islamic militants are targeting a city 40 miles north of baghdad. we'll go there live for a report. >> plus, former u.s. ambassador

to iraq christopher hill telling us how he see it is crisis playing out and the potential to destabilize the region along with the oil market. we'll be right back. thank ythank you for defendiyour sacrifice. and thank you for your bravery. thank you colonel. thank you daddy. military families are uniquely thankful for many things, the legacy of usaa auto insurance can be one of them. if you're a current or former military member or their family, get an auto insurance quote and see why 92% of our members plan to stay for life.

welcome back. here is a look at where we stand with 35 minutes to go. the fed's two-day policy meeting tomorrow. the decision expected tomorrow with the press conference. markets in a waiting mood. >> that's certainly one thing the markets are watching.

the other is the situation in the middle east. militant islamists are on the move in iraq. now targeting a city less than 50 miles from the capital of baghdad. michelle caruso cabrera is in iraq with the special report. >> reporter: the situation is growing increasingly critical here. so much so that the white house announced an hour ago that the president will meet with leaders of congress to consult with them about what the u.s. response should be to the situation here. this as we see more violence. definitely on the rise. we had a car bombing in baghdad today that left sevenen dead. the first time we see violence in the capital city. there is fighting in the northern part of the country. so for oil production in the south of the country is unaffected because it is far i way from the fighting. today the ceo of bp said they have increased production in the south at the request of the

iraqi government. still the price of oil is elevated and near one-year highs for the year. the region of kurdistan is in a financial baghdad. they are going to war as we speak. the oil minister announced today that they are going to load up yet another tanker. this would be the third in roughly three weeks full of ale million barrels of oil in defiance of baghdad and try to sell it on the open market though the last two haven't sold and are on the open ocean waiting for buyers. they think if they push the oil somebody has to buy it. they are taking advantage of the situation to try to ratchet up pressure so they can sell more of their own oil. back to you. >> a pattern we are seeing in the u.s. as well. thank you.

>> a former assistant secretary of state. now the dean of the school of international studies at the university of denver. he joins us today. mr. ambassador, good to see you. thanks for joining us. what role could the u.n. or united states now to tie to keep rebels out of baghdad. >> the administration is looking very carefully at the progress of the rebels. i think there is a big question whether they will try to take baghdad. baghdad is a shia city and the rebels will have a tough time with that. i'm concerned about baghdad falling and more concerned that this is looking like a three-way partition of iraq now. your piece about the kurds, quote/unquote, taking advantage of the situation, well, shocking

as that might be, that's what they are doing. i think we are in for a tough situation. the concern was this is not just about iraq and not just about iraq and syria. this is a broad sunni/shia issue in the region. that's what we have to keep attention on especially with respect to hydro carbon exports. >> with regard are to how much the u.s. and other powers can confront isis and other militant sunni groups. >> you can imagine the concern of the saudis that the americans may be having political discussions or maybe more with the iranians. we would be concerned about saudi assistance to groups in syria who, to put it mildly, do not share our values. the saudis are the major

bankrollers if not the saudi government then saudi citizens have been bank rolling along with people from the gulf. the sunni insurgents in syria and now in iraq. i know we have big problems with the saudis. i suspect there are discussions there to maybe try to get saudis to knock this off. in the long run this isn't going to help anybody. it's not going to help the saudis. >> the big picture has been the longsta longstanding feud this is every diplomat's nightmare, what everybody has been fearing for so long that you would see the continuation of the generation's long feud. >> when you talk about fault lines in the middle east between those who want democracy and those who want dictatorship, it's worthwhile paying for the fault line that some that's the

divide. this won't be bridged soon. it was never bridged earlier. the best you can do is quiet it down. what has to happen is sunni countries have to step up and understand that dismembering iraq over the issues is not in anyone's interests. the real diplomacy, sure, there needs to be diplomacy with the iranians and with mr. malaki who is trying to get himself a third term. there has to be diplomacy with states like saudi arabia who are bank rolling some of the insurgents. >> the diplomacy is not an answer. or is there an answer to the situation that confronts us today? >> well, you know, diplomacy alone can't solve all of this. which is why it's important for the obama administration to look

at what it might be able to do militarily in terms of hitting some of the targets with some kind of air strikes. that's not an easy proposition. that's being looked at not just from the president's point of view but also from the military point of view to see whether it can be done and makes sense and could have an effect on the battlefield. >> to accomplish what, exactly? is the idea to drive isis out of iraq and keep it a unified state even if the status quo before was oppression against the sunnis, further divisions because the government wasn't inclusive enough? >> to be sure malaki's government wasn't inclusive enough. oh i don't put the sectarian blame on his head. i don't think the sunnis in iraq were with thrilled to turn things over to the shias. they have never accepted majority rule. majority rule in the context in

the which people vote sectarian preferences means shia rule. that's been a problem. in trying to bridge that, yes. malaki needs to do more of the so-called sunni outreach. the sunnis frankly need to do more. the fact that the insurgents were able to go through sunni territories so quickly suggests that the sunnis somehow have been either intimidated, and that's a big part of the story. or they preferred to deal with isis more than baghdad. >> mr. ambassador, thank you for your insights, sir. appreciate it. >> okay. >> thank you. >> christopher hill from denver today. we are headed for the close. 30 minutes left in the tading session with the dow up 23. it's been one of those days. typical of a market waiting to see what the fed will do tomorrow. they are in the midst of a meeting today and tomorrow. we'll get more answers during the news conference which you will see here tomorrow on cnbc. >>. coming up, billionaire elon musk, ceo and founder of spacex.

just named tops on the cnbc disruptor list. musk will talk about that and more. don't miss it. >> up next, speaking of the fed, james grant, founder and editor of grant's interest rate observer tells us if he thinks janet yellen and company are stirring the economy to recovery or ruin. having the cloud allows us to rapid prototype a lot of ideas. being able to pay as we go is crucial for a start up. having to fork out a lot of money up front was risky. we can launch a feature really quick, and if the feature doesn't work, we haven't lost anything, and we can have something up and running in days. and this would not be possible without the cloud. we are now supporting over 25 million users each month.

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welcome back. as we head to the last half hour of trading the dow is up 30 points just off the highs of the day. the nasdaq is up 19. the s&p is up five points as we await results of the two-day fed meeting. >> the fed meeting is under way. here with the preview now of what he's expecting from janet yellen's press conference tomorrow is none other than jim grant from grant's interest rate observer. >> a great friend of janet yellen's. >> an acquaintance. >> yes. >> one thing you have fingered that people in the markets now seem to be talking about is that price discovery has gone away. and price dictation --

>> administration. >> administration. >> supervision. there is not an honest price in the house. the fed is in the course of the price mek simple. the wisdom that presumably conjures from the meetings. >> not to over simplify what you said but stock prices should not be where they are now? bond prices aren't where they should be. oil prices? >> every price exists in the fed's world of suppressed or manipulated interest rates. equities are valued. one factors by a suitable rate of interest. if it is unsuitable it stands to reason equities are aren't where they ought to be, i presume because they are zero at the short end. asset prices are generally higher than they would be. >> doesn't it show that the fed -- there are a couple of ways people are positioning for what could happen. one is that the fed tomorrow does something unexpected to wake up the markets. the other is all of this will lead thomas sieve policy mistake

that will be a tradeable event. where do you see the investable opportunities around this. >> in the nontranquility debts. we are looking at 20 or 30 lows in volatility. the oil market, s&p puts are somnolent. the gold market is snoozing, if not dead. the fed with a lack of self-awareness is deploring the complacency of the markets. the fed having administered the sleeping potion. i think we should all recall and reare cite tomorrow jamie diamond's admonition or question to ben bernanke three years ago. he said, has anyone considered the cumulative effect of these things meaning the sum total of fed interventions? through dodd frank the banks are admonished not to make markets. we learned likd ti and debt

markets is at lows and the fed is out today where at least the internally ruminated scheme to throw down gates innen front of would be sellers of corporate bond mutual funds. the fed launched with a certain amount of excess a repurchase scheme by which the fed lends out securities and takes in hundreds of billions of dollars. that's an invitation to a bank run. the interventions are like lies. you do one and you need another one. you can't just lie once or intervene once. you must keep intervening to negate or counteract or mollify the effects of earlier interventions. it's complicated. >> i suspect i know the answer. are you worried about inflation happening because of the easy money? i ask because the consumer price index and producer price index are picking up. >> inflation is a fixed term.

asset prices are inflated. we are beginning to see warmth in the various measures of consumer prices. the fed wants 2% inflation. it's got it. >> we're there now. >> the fed is expanding its balance sheet. something they call reserve bank credit at the annual rate of oh 30% and the three month annual rate of 20% in the midst of a tapering. the fed is pouring fire on glowing embers of inflation. >> do you fear that we are in for a higher inflation rate? >> we'll see. i think to bet on that higher rate inflation you were presented with many interesting opportunities. gold stocks are at lows. certainly the interest expressed in gold mining shares is near generation lows. one of the areas they haven't caught any interest. we can't know the future, observe how the future is being handicapp handicapped. we can lay down bets on the

odds. >> all the same by the way -- >> they're shouting. i can't -- >> we have a busy floor here. >> there are concerns about this. they talk about instability. >> sure. they love to talk. >> yes, but -- >> a lot of them are on record as anticipating the troubles they have been instrumental in seating. they want to say i told you so. >> what's your biggest fear about the period we are going through now where the fed is slowly removing the morphine drip from the economy. >> i don't have a fear. i have ideas and theories. . the fed with every good intention has erected a great big super structure of over structure and price suppression. >> does that lead to higher

inflation. deflation? where does -- where do you see this taking us? >> it's likely to lead to a higher consumer price inflation. it will certainly lead with all due respect to the fact one can't know the future. i would say it will lead to financial turmoil. which turmoil, if it's severe enough may introduce the risk of deflation. when people are selling, prices go down. it is not benign. it's not a benign everyday lower price at walmart. deflation is a monetary event such that prices collapse not because productivity is higher but because everyone has to sell. that's part and parcel a financial accident. the fed will give us a financial accident. >> it's good to see you for now.

>> thank you. >> i'm going to crawl under the bed and hide. >> buy the tuna fish and hide. >> the dow up 39 points. five or six for the s&p. 20 for the nasdaq. shoes are kicking things up on a slow market day. shares of dsw were on the move. we'll tell you why next. >> that's what that was about. we are headed into the final fredricton tier. he's wandering the floor here. elon musk in a cnbc interview after the bell. that company is number one on the disruptor list. he'll talk about that. talk about solar cities, spacex, tesla and more just ahead. what can your fidelity greenline do for you? just take a closer look. it works how you want to work. with a fidelity investment professional... or managing your investments on your own.

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the company said its experimental cannabis products showed results in children and adults with treatment resistant epilepsy. and solar city. a programming note, the chairman elon musk will be on the closing bell in the next half an hour right here on cnbc. do not change the channel. netflix getting a boost from morgan stanley which up graded the stock with a price target of $500. the firm believes they can reach 50 million u.s. subscribers by tend of the decade. dsw moving higher after the shares were upgraded by goldman sachs to buy. and they're awesome shoes. i just added that part. >> 36 points for the dow. we'll go out quietly as we wait for the fed meeting.

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welcome back. ten minutes left in the trading session. we are going out with a gain of 30 points on the dow. the nasdaq is the better performer but not by a lot. up 17 now on the s&p. up four points. joining us from gary goldberg financial services. good to see you both. is there anything possible that the fed could do tomorrow to surprise this market? >> i think the fed has been really clear in its communication about what it tends to do with tapering. the only surprise will be whether or not they decide to make an oil in the middle east crisis. other than that they have laid out plans for most of the rest of the year. >> in other words, pertaining to oil. we are at their inflation target at 2%. >> we are.

from my perspective we've got inflation that's low but uncomfortable. eventually the fed will be raising rates. we are positioning the allocation strategy, shorter duration. that said it will be a while. janet yellen has been clear that the employment metrics are the key for her. labor market slack is what's the real inflation gauge she's watching. >> in the meantime we have talked about this before. the summer doldrums are here. there is a lock lack of volatility now. >> you have gone through a self-correction with a couple of sectors retreating. now you're in the consolidation phase. >> utilities hit an all time high yesterday. >> transports are doing well. they are not necessarily bumping against the owl time highs. i don't think there is a lot of risk of a significant market correction. a short-term dip in correction is possible. certainly plenty of geopolitical events. the concern with the fed is they

talked down strength of the economy. to me that could cause a dip on wednesday afternoon. >> how and why would they do that? >> they could warn in terms of interest rate policy in keeping the message consistent with low interest rates, especially as we bump up the inflation target. that they point out that they see pockets of weakness in the economy. that could spook market miss the short term. nothing to dethe rail the bull market. >> are you buying anything now? >> we trimmed some of the over weight in stocks. we think technology is making a comeback. we like health care and industrials. during the consolidation phase the place you want to be is there. >> the tent pole of the economy. what are you looking at? >> with the industrials and health care stocks.

we like those in our portfolios. we like some of the european multinationals. names like totale, royal dutch petroleum. great companies. they have been beating down more than the u.s. counterparts. you are getting a dividend yield. >> is that a risky bet? >> we don't think so. you have a very active ecb out there. mario draghi is taking the bull by the horns. negd interest rates. who would have thought that? >> we'll come back and continue this conversation. we'll have the closing countdown, see how we get ready for tomorrow and the big news conference by janet yellen. after the bell, an interview you won't see anywhere else on another business network. there are other business networks, he said? spacex founder and ceo elon musk joins us live.

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meeting tomorrow. what's the ten-year doing innen anticipation of the fed meeting? the yields are creeping up lately. today we are up to 265 on that ten-year yield. we were below 2.6% at the beginning of the day. it's moved up a little bit. elon musk joins kleenex hour on the second hour of the closing bell. tesla is up 3% today. it was up 6% yesterday. up to the high it hit in late february around $250. today 231 and change. i'm guessing you don't play a volatile stock like tesla. i will put you on the spot. >> tesla is a good stock but for the retiree it's a little bit spicy. >> when musk decides to pay a

dividend, maybe a look at it. >> i think so. >> we'll see it some day. >> what do you think janet yellen will say tomorrow? we'll have the news conference live around this time tomorrow. >> we expect her to talk about the same forward guidance. they have been steady and disciplined in that messaging. the big question mark is with expectations of growth in the second part of the year will she talk it down so we don't get a nasty surprise down the road? >> there is a timetable of taking back $10 billion -- >> tapering. august or september that will be done with at that point. i don't think we'll skip months into october in terms of the announcements. who do they do there after? i disagree with the notion they will raise are interest rates. >> they won't follow the bank of england. thanks for joining us today.

>> we're going out with modest gains for the blue chip averages. the dow at 32. the nasdaq up 16 and the s&p up 4.5. stick around. it's shark tank tuesday. elon musk live coming up on the second hour of "the closing ball." see you tomorrow. thank you, bill. welcome. as we hit 4:00 on the east coast i'm kelly evans. this is how we are finishing the day on wall street. green arrows across the board as the federal reserve begins its two-day policy meeting. we'll hear from fed chair janet yellen tomorrow around 2:00 p.m. the s&p 500, about four. the closing level on the dow. just a reminder h. 16945 is the closing high hit back on june 10. we are moments away from elon musk joining us. first a look at markets settl g

settling. kate kelly and john ford and kevin o'leary. also bob pisani for more on today's markets. bob, a positive session despite questions about the fed and geopolitical concerns. the important thing is move uh. we saw the consumer price index. hotter than expected. you don't see a lot of inflation is market is concerned it might manifest. is complacency an issue? what about inflation. >> we have talked about this on this show. going back to markets at that time end of last week saying it was raising the revenue outlook for the year. is there strength in the corporate space? are companies spending both on investment, tech and also in what we are seeing across the

deal space putting the cash to work? >> yeah. i think the m & a part has excited investors. look at the stocks that are doing particularly well today. you've got expedia, king, trulia, netflix. some of the momentum names which might be take out targets. volume stronger than it's been lately. volume overall has been weak over the past 30 days. it will be interesting to see what addone's got. it's reporting earnings this afternoon. not a lot of enterprise, per se in materials of the customers. but certainly people who work in enterprise there. particularly marketing budgets. >> a lot of people are talking about the financials. up 1.4% today. >> i will bring that uh up. we saw strength in goldman sachs and jpmorgan. they had to benefit prosecute the jeffreys results.

it's been seen as a harbinger of what the financial tefirms will show us. investment banking was strong. equities were strong. fixed income is a drag. their net income was up strongly, despite the shortfall. the other thing i noticed was the russell string. that suggests some of the hedge funds are towing back into it. good way to play risk if you feel comfortable with the profile of the market. >> it was interest iing. that may be a bullish signal. it gives food to the fed. >> when the cpi index, if you want to talk about changing the

minds of policy makers, especially the kor inflation gauge moving back to the 2% level year on year. we were talking about amazon, at&t specifically. what are your feelings on the market more broadly? >> i think the market is ready for a full 25 basis point hit from the fed. i like inflation. it gives corporationses pricing power which means higher earnings in the fourth quarter. it's baked in. bring it in. let's go. >> speaking of inflation. food costs are at something like a three-year high. you mentioned tensions in iraq now. although the market has digested the news better we have seen oil calmer than in previous days. i think this is a risk factor overall. the costs per average people are getting higher in an essential way. then you have geo politics that could go volatile at any moment.

it could be an expensive year in terms of energy costs. >> at the same time. the fact that oil hasn't popped, is that a reflection of the fact -- the i think it was the iaea talking about u.s. oil output at decades plus highs. >> it's strange. in theory oil supplies are tight. a small reduction could move it. there is a sense that global demand isn't exploding overall. we can see that while it moved more than west texas isn't blowing up. i think the point made a moment ago is important. the market is hyper sensitive to a change in inflation. you saw it today with the cpi. i want to hear what the fed has to say about it tomorrow. what i would like to see in inflation is on jobs. and on wages. we don't see it yet at all. >> exactly. >> just so people know, real wages were down year on year. >> right. >> this is the sticking point.

>> that will affect housing as well. >> we'll leave it there. shaking up the auto industry. now spacex has taken a top spot in the adisruptor 50 list. elon musk at the new york stock exchange when we come back. we're moving our company to new york state. 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 to fit your business needs. and now it's even better because they've introduced startup new york...

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welcome back. this disruptor 50 list highlighting key players across 27 industries. companies innovating and revolutionizing and disrupting their respective sectorses. julia borsten fronted the initiative and joins me now. so does the man behind our number one disruptor. it's spacex and elon musk is here. welcome to you both. >> thanks for having me. >> spacex chosen as the most disruptive company. what's your vision? >> for spacex, what we have done thus far is relatively minor honestly. i would characterize it as

evolutionary. what we hope to achieve and can perhaps encourage industry to do is have full usability with rocketry. it's never been done. you can imagine with aircraft and cars there could be very little use of that. if we can achieve it, that's quite disruptive. what we have done thus far is relative to that, mod atly dis-rupp tuf. >> you have a big commercial satellite launch on friday. what's the next horizon for commercial spacecraft? >> well, essentially to be able to recover the rocket booster and refly it. that's the revolutionary potential. we have been trying for 12 years and haven't yet succeeded. i feel like we are finally close to achieving it. we have a shot with the next launch of covering the rocket

booster. if not with this launch a good chance later this year and potentially to refly the booster next year. this would mark a significant change in the technology of rocketry. >> how are you capitalizing the company? obviously the u.s. government is involved in your other initiatives including the next possible crew carrier to the space station. >> right. >> if they don't choose the dragon v-2, how much is that a problem? >> i should acknowledge the critical role nasa played in the success of spacex. we wouldn't be are where we are without nasa. it's possible we may not win the commercial crew contract. we have done what we can for our part. we have a great design solution. if nasa didn't go with us, competing with big established

companies like boeing then we'll do our best to continue with our own money. >> do you have enough money to continue on your own? >> we would be launching commercial satellites. we have an existing one. it would be slower. >> in terms of financing you said your time horizon is too long to go public. is that the case? >> it is. >> as you know, incredible familiarity with the public markets. structure tends to be short term. you can trace it back to people that own the stocks, portfolio managers. they are evaluated on a quarterly or annual basis. they push companies to produce results. with spacex we are trying to develop technology to take large numbers of people to mars. that's really difficult to get portfolio managers.

it's beyond their ten-year in owning the stock. >> in this country, we have institutions, pension funds, insurance companies who potentially are structured to invest for a period of 30 years or more. why couldn't it be the case that you probably have more pirerson capital to transform this industry as anybody out there. couldn't you say, look, i want to piece of your capital. this is a speculative project. maybe i'm saying too much. it sounds speculative. >> it is. >> why go the to the public directly? people have talked about the need for a long-term stock market. there are certainly investors that have a long time horizon. we see it in the huge fluctuations in the stock price. i do find it's also a bit of a distraction to employees. sometimes a mood barometer.

you really don't want people to be happy or sad based on the stock move lt. you want them working on the improvements with the company. i think for spacex we need to get to where things are steady or predictable. we are close to developing the mars vehicle. we have flown it a few times. i think going public makes sense. >> how feasible is it to put peel on mars? how many years and billions or millions of dollars will it take? >>. >> this is a difficult thing obviously. i'll hopeful that the first people could be taken to mars in 10, 12 years. it's possible for that to occur. the thing that matters long term is to have a self-sustaining city on mars. to make life multi planetary.

that will define a fundamental bifurcation of the future of human civilization. will either be a multi planet species among the stars or a single planet species until an extinction event, natural or man made. >> i wonder what's the difficult challenge. getting people to mars or getting a car battery that costses less than $5,000. >> probably mars. the car battery is hard. i'm optimistic though about improvement in the battery price or the cost. the fundamental cost. whiff daily meetings with panasonic, our key development partner, on this. i feel good about being able to produce a compelling mass market car in three years. >> there is an israeli company,

perhaps you are familiar with them. >> maybe something cool. >> they are testing an electric vehicle with a range of 1100 miles on aluminum air technology. been around since the 1960s. alcoa is a partner for them. could this method supplant or go a step beyond what tez la has been able to develop? >> my response, when there is a battery breakthrough announced is to invite them to send us an example that we can evaluate in the labs. just to verify claims. we find a lot of claims made but they do not survive the light of day. >> i can tell you the general problem with anything air which is that they have a cycle life.

you can have lithium air batteries. that's high energy. you can't recharge them easily. they have dendretic growth and fall apart after a few charges. you need a new battery frequently. >> your move to open up tesla's patents to anyone was disruptive. what's the long term play in terms of the services or technology tesla could sell to make it worthwhile. >> we are really not -- there is no grand plan with the open sourcing of patents. we thought it would be helpful to the industry. people could use them or not. for a while we thought we have to have patents because the big car companies would just copy our stuff and use their scale to the overwhelm us. then we'll be dead. what we found is the big car companies aren't going twrd

those swiftly or at all in some cases. we thought there was no point in having the patents. they are not what's stopping them from going. maybe if we open source the patents they will be more inclined to make electric cars. that seems like a good thing. >> what's the point of having electric vehicles? is it an environmental sustainability point of view? is it a reduction of traditional oil and other fossil fuels? i asked because more people are starting to say if it takes the equivalent of lots of coal to power or fire the vehicles, how is it? what's the point of having electric vehicles? >> i'm glad you asked. today we announced at solar city we are acquiring a company with great solar panel technology. there is a potential break through with high efficiency low cost solar panels to generate low cost electricity.

you combine that generation with electric cars and you have an overall system that works and can scale to worldwide capability. you're right. it wouldn't help to have electric cars powered by coal. we need sustainable power consumption. >> one of the otherses is about charge point. i know you are in talks to collaborate are with nissan and bmw, your rivals, on charging stations. what's the next fredricton tier to build out infrastructure so it's worthwhile for people to build electricer cars and buy them. >> well, yeah. the reason we built up the super charged network is because there was no high speed charging available. you have to match the convenience of the gas car in order for people to buy an electric car. they don't want their freedom curtailed in buying.

they want to do a cross country trip, go on vacation. these things. there was no system that could do it. we developed the super charger technology. we are more than happy to have other manufacturers use it. we have offered this to bmw and daimler and toyota and others. really the only requirements is the car has to be able to take the power level of the super charger. if it only takes a small amount of power it will hug the spot. it has to take the power level. then they have to share the cost of the system. that's all. >> you're encouraging of competitors in tesla, the electric car space. it seems different when it comes to spacex. you have expressed frustration about the fact that boeing and lockheed have a virtual monopoly on the launches. >> yes. >> how do you deal with the competitors? >> the thing we are mad about

there is that there was a huge block of national security launches that were not open to competition. so sometimes people think we are mad because we didn't win. we're just mad because we never got the opportunity to compete. that doesn't seem right. it seems the law of the land is you should compete things. that's the nature of our protest. you know, launches should be competed. whatever the best deal for the american taxpayer, that should win. >> we want to talk about big ideas. before we do, you mentioned the deal solar city made buying solevo. this is interesting for a couple of reasons. if you talk about solar technology today, solar panel manufacturing, there is a lot of oversupply in the industry. herb greenberg said, we still need consolidation. we still need fewer of the panels made. others say it's still too expensive. it might cost $25,000 or something for a household on top of the cost of installing panels

to use them. how will the this acquisition change the game, make it cheaper? how much cheaper and how long until households and cars are genuinely running on solar technology in this country >> we have a long way to go before solar is a huge percentage of the electricity squen radiation. the way we see it at solar city is although there is an oversupply of a particular type of panel, the low efficiency or moderate efficiency panels today, what there is is not enough of the high efficiency panels. as we look further out, even just two or three years out, we see there being insufficient capacity for solar panels. which is in part caused by the oversupply of the sort of low

efficiency panels to date which pe vents people from investing in the future. it's a weird boom and bust. in the bust times, you have to invest in order for the boom times to work out. and not be supply constrained two or three years from now. we want to make sure the high efficiency panels are made in high volume. at the risk of getting into a complicated situation, the higher efficiency panels allow you to have a smaller footprint of the solar panels. you need fewer panels to generate the same amount of electricity. the labor and installation costs and the wiring are proprorgs gnat to the surface area. to lower the system cost it's important to have high efficiency panels. >> i have to ask you about a company that invested in you. you said you make almost no

investme investments outside of spacex. >> that's amazing. you did invest in a company of artificial intelligence. what is this? >> i was an investor in deep mined before google acquired it. mostly i want -- it's not from the standpoint of trying to make investment returns. it's really to keep an eye on what's going on with artificial intelligence. there is potentially a dangerous outcome there. >> dangerous? >> potentially, yes. there have been movies like this. "terminator". >> what do you do about that? what dangers do you see that you can do something about? >> i don't know. >> why did you invest in vicarious? what's it doing down the line? >> it's essentially emulating

the human brain. >> you want the technology used for good and not terminator-like evil? >> yeah. if the movie "terminator," they didn't create a.i. -- they didn't expect, you know some sort of terminator-like outcome. like the monty python thing. nobody expects the spanish inquisition. you know. you have to be careful. yeah. >> it's interesting somebody is worried about the technology you're aware of. i guess that's why i'm asking what you can do. this stuff is welcome inexorable. can you really do anything to stop it? >> i don't know. >> what should a.i. be used for?

what's its best value? le. >> i don't know. there are some scary outcomes. we should try to make sure the outcomes are good, not bad. yeah. >> or escape to mars if there is no other option. >> the a.i. will chase us there quickly. >> what else is in the elon musk notebook? what's the latest with the hyper loop? >> there are companies forming to try to make it happen. i encourage them. that's great. a small amount on solar cities. that basically uses up my brain. i hope something happens with the hyper loop. if not, i will probably do something down to road to try to make it happen. >> you said once you get tesla to a certain point with an affordable car on the market you will be ready for the next thing. what is the next hinge? >> i wills always be involved

with tesla, i mean, forever. the question is if i will be ceo forever or supply value. i'm committed to be ceo of tesla through volume production of the mass market vehicle. i will be involved with tesla as far into the future as i can imagine. the question is if i will remain a ceo, say, five years from now. that's the only question. >> as the ultimate disruptor when you look at the technologies you talked about artificial intelligence. what else is disruptive to the status quo now? >> rewriting human genetics would be disruptive. >> are there companies you would point to that are doing a good job, leading the charge? >> i don't know much about the arena. if you ask if it would be disruptive, that would be disruptive. at this point, human life span is mostly about old age. it's not about cancer or

anything else. if you cured cancer the average life expectancy would increase from two years. 80 to 82 or something. we just have a genetic life span. it's like if you take a fruit fly and gave it the best exercise and diet possible, the perfect life. maybe it will live four weeks instead of thee. genetics drives a lot of these things. so you have to do something with the genetics. i don't have much involvement there. or any involvement really. >> there is a company that sequence ed dna, 23 and me, tha came up with government regulation that in effect shut down its business. you have come against government regulation with the tesla deal in new jersey. what's your thought on the role government should play in innovation? >> the government is like the

referee. i guess the referee and rule maker. that's really the role of the government. the government shouldn't get on the field unless it really has to. i do think there was a role for government to make sure that the right thing is happening. in the case of new jersey, of course sometimes it doesn't happen. i should on it out that the new jersey legislator passed a law to allow tez la sales in new york, at least on the house side. we are awaiting to see what happens on the senate side. >> do you expect that? >> it was unanimously approve bid the new jersey house. there were two people that weren't there. one abstained. essentially it was unanimous. i would assume the government would sign that law. >> have you made up your mind on the giga factoctorfactory.

>> a lot of people think we are with trying to put the sclus to states to get the most -- as much incentive as possible. >> there is a logic to it. >> i guessful but that's not the goal. our main concern is really to make sure the battery factory is ready when the third generation car is ready. if we design a car and tool up to produce the rest of the car which is a big expense there are no batteries to supply it, it would be a terrible outcome for tesla. we might fail as a company. so that has to be paramount in decision-making. we'll move forward with at least two, maybe three locations. all with an eye to completing it when the rest of the car is ready. >> thank you for your thoughts on a wide range of issues. appreciate your time. julia, thank you for the

disruptor 50 list and your work. be sure to tune in to the rest of the disruptor 50 online. tomorrow, as we continue to dive into the list, it will begin again at 7:00 a.m. eastern. now, elon musk, we appreciate it. we'll get reaction from the panel on what we have heard when we come back. we started zya with the thought that the kid on 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. ♪ ♪ tdd#: 1-800-345-2550 can take you in many directions. spark your curiosity tdd#: 1-800-345-2550 you read this. watch that. 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

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welcome back. we are with our panel for their

take on what elon musk just had to say. jon fortt, there were a number of issues ranging from the reusability of rockets to the gigafactory which we eh says is important to align that with the third generation of tesla cars. then the issue about solar. is it sustainable, do you think? >> i don't know. these are big speculative plays. the two things you mentioned that i zeroed in on from your interview with him were the gigafactory and the importance of that succeeding out of the gate. they are hedging their bets to get things going on a number of sites at once. be sure to pick the right one. his tenure there, he's continuing to be there for years. the question is will he be there beyond five. for a company closely tied to the founder and current ceo,

what he decides to do in terms of the chairmanship, who takes the role should he step down, that's huge. he's a steve jobs-like figure. certainly here with the stock. and others as well. >> i interviewed his cousin last week, the solar city ceo. it seems on the solar side there is plenty of long-term opportunity there. it seems there is a lot of public interest. the point to me cutting through the red tape, he pointed out putting up a tool shed in your backyard in california is easier than installing solar panels in the home. if you can cut through it and make it efficient without weighing your company down with costs you're in a great position. >> the take away was the juxtaposition of elon musk, this inno say tor and government which is the least innovative entity out there. even when you talk about the

gigafactory, arizona is in contention for it. they voted not to allow tesla to sell direct. in every turn he's butting up against government regulation. so i love that he's pushing the envelope. >> kevin, what was your take? >> the adoption of the electric car. they are developing the idea of electric cars. if you think about consumer interest, he's proved it on the high end. there is a tremendous amount of resistance on the technology as a baseline transportation device. i wonder if there is a new message here that if you see the rest of the industry abandon it. if he's willing to give up patents, maybe they know something we don't know. maybe at the end of the day this is a very niche product for high

enthusiasts. wouldn't that be interesting. >> let's mull on that for a second while we listen to some of his comments about humanity going to space. take a listen. >> i'm hopeful people could go to mars in 10 to 12 years. being multi planetary will be a fundamental by fur of the future of human civilization. >> what's the tax rate on mars going to be. if they have a low tax rate there will be a lot of people who want to go there. >> kevinen, what do you think? >> the hotels are terrible there. i won't go any time soon. there is nowhere with a mint on your pillow there. >> he said 10 to 12 years. >> this gives new meaning to the word ambitious.

it's wonderful. how many ceos are talking in these terms? even remote tli so. spacex is for the super wealthy for obvious reason ares. this is a fascinating idea he's articulating about the future of civilization. i love it as a provocative idea. talk about disruptive. >> definitely. what we see happening here more and more is that rich kpaens and individuals have been picking the areas where we innovate. it's wonderful he's doing this, pushing it in a way that government isn't. as citizens, as investors you have to think what are the implications of this long term? are there changes to government that we need to make to make sure -- >> in other words, this isn't the tinkering that drove the industrial revolution at its origins 200 years ago. >> speaking of government versus private industry he said nice things about nasa and the help

they have given him. at the same time obviously private industry is picking up where nasa and others left off. >> go ahead. >> i love john's point. this is an individual that speaks to what we do with taxation. he's taking a portion of his income and capital, reinvesting in innovation. is it better to let him do that or should we with tax him, even increase taxes higher, then give it to the government to do the same thing? i think individuals like this and super wealthy people shouldn't be taxed at all. they seem much more efficient at redeploying capital. >> is that ayn rand? >> that's where gull's gulch will be, on mars. >> the point about elon as well, john, is he is so idiosyncratic. there aren't everybody of his ilk spending time not just to think about the issues but

actually create solutions. >> definitely. my point is more that there was a time when government was more productive with innovators and private industry in pushing important innovations forward. when nasa was a driving force. we are now at a point where spacex is a driving force. that's something to think about. i question where we are going with that and what changes we can make. >> he also raised the issue of artificial intelligence. take a listen to some of the comments, pessimism here elon musk expressed. >> you just invested in artificial intelligence. what is this company? >> right. i was also an investor in deep mind before google acquired it. mostly i want to -- it's not from the standpoint of trying to make any investment return. i would like to keep an eye on

art tishl intelligence. i think there is potentially a dangerous outcome there and we need to -- >> dangerous? >> potentially, yes. >> how so? >> there have been movies about this. "terminator". >> what do you do? what dangers do you see that you can do something about. >> i don't know. >> i don't believe he doesn't know. i think we are very lucky to have somebody like elon musk with the foresight to anticipate problems. once you create solutions before they are full scale problems instead of trying to catch up. >> you fight technology. >> he didn't have the answer to the question. he seemed to argue against his investment. he's scared of what he just invested in. >> but he's going to get in there and look at the answers. he doesn't have the one defined answer going in. >> right. >> he'll take time to look at the technology and find the different outcomes. it's a great approach. >> isn't it possible he was bow being coy? >> maybe. he seems like a straightforward

guy. >> maybe he doesn't want to reveal his hand here. >> had we world enough and time this coyness would be no crime. all public insider trading deals. the hot list is next. with all the opinions about stocks out there, how do you know which ones to follow? the equity summary score consolidates the ratings of up to 10 independent research providers into a single score that's weighted based on how accurate they've been in the past. i'm howard spielberg of fidelity investments. the equity summary score is one more innovative reason serious investors are choosing fidelity. call or click to open your fidelity account today.

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welcome back. moments ago you heard from cnbc's top disruptor elon musk. today on the website the entire list of companies shaking up business is burning up the hot list. alan w with asler are joins us with that and more. >> the disruptor list has been killing it all day long. >> literally? >> 47,000 people have already read the thing. it keeps climbing and climbing. >> wow. >> there are all sortses of companies you know like spotify or those types. there are ones people never heard of like hampton farms and stuff. i have a feeling people are going exploring in the list. that's making it hot. number two, sort of elated, we have the new richest start-up in new york city which is always feeling inferior to silicon valley. it's zocdoc. my favorite of the day, five

brain flaws that make you a lousy investor. that's a pick-up from "usa today." people are going to see if they have the flaws. overconfidence? that's one. >> i was going to ask. maybe i'm over confident. have a good afternoon. we'll send it to courtney reagan for a quick earnings alert. >>we got a couple after the bell. la-z-boy fourth quarter earnings beat estimates by a penny. revenue was light. the stock is town more than 8.5% in after hours. different for adobe systems. it's higher by nearly 7% t. ceo will join squawk alley tomorrow morning. kelly? >> all right. that sounds great, courtney. >> it is great. >> laughing with jon fortt who is eager to talk about i. save it for 24 hours. we have heard it before, chargeses of a rigged market due to high speed training. congress is holding a hearing on

the issue today. we'll have highlights next. why is france telling suitors to increase offers for the company alstom. we'll debate it on "closing bell." keep it here. et your needs every day of the week.

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welcome back. high speed trading under fire on capitol hill hill today. eamon javes on capitol hill today. >> real focus on market structure on capitol hill and whether there is an embedded

conflict of interest in rebates and payment for order flow that exchanges are are giving to some brokers. some of the folks on the panel said there may be but they can handle it, particularly td ameritrade's steven particularly t.d. ameritrade steven quirk. >> we strongly believe with proper disclosure, brokers can effectively manage conflicts that may arise from payments. if you remember, we strongly say we manage any such conflict. >> not everybody was so confident, though, that the industry can manage those conflicts of interest, kelly, senator levin particularly skeptical here. there seemed to be a sense on capitol hill that there might be a call for more transparency, nothing definitive out of this. >> aamon, thank you for now. ge is prepared to make a power

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welcome back to french energy giant alstom is heating

up. >> reporter: we are getting reports general electric could sweeten its offer for the french company, selling to alstom, in addition to selling 12.4 euro, we are all cash for alstom's energy assets. this hours after another report that the french government wants seamens a.g. to up their offers, siemens with heavy industries commit i submitted a count bid buying mitsubishi taking a minority stake in other operations. that altered their assets to 2.4 euro, that is about $9.5 billion if cash. the ceo today said he sees no reason that the quote is superior and really comprehensive. france's government as you will recall has the grounds of protecting the company from

cutting jobs or braking up, so both companies are trying to come up with bids that will pass muster with the french economy minister. they all have until june 23rd, so next monday alstom's board will choose a bidder. back to you. >> morgan, thank you. all eyes, meanwhile, on fed chair janet yellin. up next the panel tells us what they expect the fed chair to do in her press conference tomorrow and how the market will react. ♪

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welcome back. what an hour. let get some final thoughts here from the panel again with on important sunday coming up tomorrow. carol, what are you watching? >> obviously, all eyes will be on the fed. expect them to go crazy an raise the rates? i don't think it will do anything. i think it will be more of the same. expect a little tapering, a little more of what we have been hearing. kate. >> i'm actually watching a commodity policy on thursday. there is a round table at the cftc to discussion limits, their best tool for limiting the commodity markets. >> i reend interesting book on commodity. >> what is it called? >> i one kate kelly.

i recommend it to everybody. >> i am watching the aftermath of the adobe, the first tech company out of the gate. we got oracle coming up on thursday, what they say in "squawk" alley tomorrow about his outlook, they will be announcing new things having to do with creative cloud, all of that will be important. watch the momentum is, too. >> i might have to crash that. kevin o'leary, what are you watching? >> i am going to the cap the fed will be belying tomorrow. everything else has got inflationary on theality to it. i am moving into a three hand him on the ten year by december. that's what i think. >> all right. you know we have been watching that bond space, kevin, thank you for joining us this afternoon. thanks to everybody again, thanks to you elan musk. you can catch all the details on cnbc.com the drk future of intelligence he is talking about.

melissa lee, i don't know if you caught it. he had interesting things about short-termism. >> it was a great interview you and julia did with elan, we will trade that interview, especially his comments about what they could possibly do, amazon out with a new phone tomorrow, amazon going apple and creating it's own ecosystem between going to music streaming to now launching its own phone and what can that do to the apple trade? >> back to you guys. >> live from the nasdaq markets, new york city's time's square, i'm melissa lee. the elan musk moves are topping today, tesla and solarcity, both topping in today's session, muck issued a warning for tesla on the closing bell in the last hour. >> it would be a terrible outcome for tesla, they might fail. >> well, under what circumstances could tesla fail? we'll have more of those commentsin