as an armed force on behalf of the shia and if it is framed in that fashion the one thing that i think is if it's view of the

region is solely through sec retarian frames they could find themselves fighting in a whole lot of places. we'll have to take what i think

will be a more promises path over the next couple of days. >> president obama addressing the deteriorating situation in iraq. let's bring in cnbc's chief washington correspondent john harwood. there are several not so subtle signals that they want a new administration in iraq. he gets ready to go to europe in the middle east. how much pressure is he going to be able to exert on the president stepping down? >> i think what they have to hope is that maliki sees the deterioration itself as a reason for him to leave as opposed to u.s. pressure. what we saw there was the role of the united states by sending ker sendingksending

kerry to the region and sending 300 military advisers their goal is to provide the space and the tools for them to sort this out themselves. the president was on the defensive. one for his failure to reach a status of force with the iraqis that would have left in place. finally, on the question of iran, he said if iran is willing to approach this not just advancing the interests of the shia in the region, then they

could play a constructive role in nudging the government in iraq to do what the united states thinks has to be done. this is a challenge for u.s. foreign policy and for the region and the president is struggling to stay on top of it and keep the american people with it at a time when his own standing with the public is down. >> let's go to michele who is live in northern iraq. let me ask a couple of questions if i might. first, were people watching in northern iraq as the president was speaking? and what is your sense of the reaction in iraq it is badly split right now at the very least the president's comments about maliki. >> first of all it was carried on one of the iraqi television

networks. it is unclear when we spoke to one individual this evening actually in mosul he said are you going to be watching the president? the military will be interested to here you need a team in place who can tell you now is the appropriate time to take military action. you will need special operation

forces c iia and tactical teams that can look at the satellite photos that can gather intelligence on the ground. and we have a precise target that we can go after. does that mean air strikes. you can hand to over to iraqi special forces to take out a target. different constituentsys were hoping to hear something different. precise and targeted if the situation warrants. i think a lot of bases that have to be tagged before that situation warrants would vent wait. thank you very much. sue, down to you. >> we are going to end it now for pow er luer lunch. street signs begins right now.

coming up, plus why amazon's new phone may be bad news for a company named after a fruit and it is not apple. >> well we are look iing lackluster. the strongest so far you can see

there was a $41 gain at $13.14. >> the president speaking at the white house again. the situation in iraq part of the reason gasoline prices here are at their highest level since 2008. i'll probably be filling up there later today. morgan, what am i going to pay. you are going to pay $3.63. the national average is $3.68. that is the highest price we have seen for this time of year since 2008. gas we are seeing these prices tick up thanks to the prices in

iraq. oil companies evacuate workers. gas was actually slightly higher. hitting $3.70. we see refineries go through maintenance before. what is the price near you? there it is $3.40. brian back to you. >> all right. you know it is funny mandy. new jersey is the most expensive state for everything in america except for gas. >> for people who have never been to new jersey it is only full serve. >> i always want to get out of

the car and pump gas. they always do full service here. >> thank you very much. here is a riddle for you. when could a tax hike save you money. senators are proposing raising the gas tax. and many people are upset. let's continue a debate that we had last week. jimmy, i love you buddy. a little math. based on average miles drive ven, a 12 cent hike would cost drivers more than -- that seems like simple math why is the gas tax hike a bad idea? >> first of all, we are going to

have to plan b this. this is not going to pass in congress. i think we should spend money on infrastructure. fixing existing roads. take the money and devote that entirely to road repair. if you want to build new roads and i'm dubious that we have to, you want to hit peak traveled per person you have to come up with an in frinfrastructure to that. fix it first and build it second.

give the guys from both sides of the table sing kum buy ya and do this. >> that is what we had called for and it is also common sense. and while i think jimmy is everybody is correct this isn't happening soon. to me there is no question and history will bear me out that the way this country has paid for it's national highway system. we are not talking about the state's responsibility. the highway system is largely through the federal gas tax. since then we have had price inflation and the materials cost to build roads. and we have had decreased miles driven. we need to make this change. they are talking about a 12 cents phase in.

no question that the economy could absorb this. why can't they sell the math that we gave better? is. >> i drive 60 miles to work. i break down every three months. why can't we sell this that your car will be saved and you will save money. >> you are right. it is simple. because they don't try. it is that simple. they are so convinced that the work tax is so toxic to anybody that they will kick the can down the road. >> we spend a lot of money in this country on infrastructure. toward the high end, by all measures we spend it poorly. agreed. people who don't want to raise taxes i think they have a strong case. let's fix the roads and use the money we are spending. if you want to build new roads

and bridges make a case at the local level and pay for it with user fees. >> let me push back on that. if they are unable to replentish the highway trust fund. >> do a short-term fix. >> and then do my idea. >> here is the point about your idea. they are going to have to cease work on maintenance projects that are going to have to upkeep the projects here. nobody is talking about p new roads. we are talking about maintaining the system. it costs a fair amount. we can't do that on a 1993 tax. >> if we do the existing fund. >> jimmy here is my fear. i hear you. i don't like taxes either. with my commute i'm worried

about another minneapolis. are we going to fight about this in congress until a major bridge collapses again snp. >> if you did my idea it would free up an immediately $12 billion a year for road maintenance and that is before congestion fees, user tolls, other ways to raise revenue. your way is never going to pass. my way is a better way and it might actually pass. you think we can maintain the current system we have on an 18.4% tax that hasn't changed since 1993. >> that is before you do smart things tolls, congestion fees like they do in london and singapore. we are being uncreative here. >> i think that is right about congestion fees. >> thank you.

>> we will continue this all the way until august when the highway trust fund goes on. >> i don't understand why it is a debate. >> i'm sorry but this is the truth. you can't get to work anymore in new jersey. the trains are broken down. the cars, the roads. i have been to many third world countries here. >> sorry. >> like australia. it was a joke. it is protecting america. >> what will be the single biggest challenge for amazon and the fire phone next? >> plus a great new mystery chart today. this stock has been on a stealth fund. indy car driver andretti. [ male announcer ] what if a small company

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welt cocome back to "street sigsign s". the suit relates to the poison pill or take over defense clauses. you can see they are down about a percent as well. brian, two companies very much info cus.

>> check out shares of blackberry. despite encouraging news, it is trying to get a share in an increasingly dominant market. let me get to you first of all, why would i buy this phone and be forced to move over to at&t while i'm at it.

possibly the most compelling feature on the phone is something called the fire fly button. >> it is a shopping device? >> it is a glorified shopping device? it is an, android phone. yeah, the most compelling thing on here is that it lets you shop more intensively from amazon. my first thought was man, you can learn a whole lot about somebody with this phone. not only what they are buying but what they are looking at. where they are looking at it. this has gps and wi-fi.

this can tell if you are show rooming and comparing them to amazon. it can tell if you are in a walmart and show rooming things. this gives amazon a massive amount of data. and of course it will be for amazon's commercial gain. you are a buy on amazon. are you impressed by all of this? >> yeah, i think the phone was compelling. i think it is compel ping features to the phone. firefly is one of the most compelling features. what is going to happen is that consumers will be shopping more. it could create value for themselves and shareholders. access to date ta is one t is a

compelling offer. >> i might put more money into the pockets of amazon. what if i have an iphone that i really like i'm already with another carrier. why would i ditch that and more over? >> i think it poses less of a threat to apple. for now that could change in the future. i think the target is amazon consumers they could take a share from low end android devices as well. they could come in and help grow the smul end market. i think amazon has shot itself in the foot several times here. with that at&t exclusivity. so i wonder why it is there and the price is that of premium top of the line phones. >> i have to ask it because i

put it in the show open. i meant blackberry, will this phone kill blackberry or nokia? >> this phone is irrelevant to blackberry. no it manager would let this phone into their house. microsoft, no they are going to keep pouring money into that platform. this phone isn't a threat to the other mobil carriers it is a threat to retailers like best buy? >> i think this is early inning for amazon. it is good. i think they expand into verizon and i think the holy grail for them is when they expand internationally. we have to go but i wonder where this phone is going to be seen.

>> at and t stores that is the new spot. >> amazon's website. i can't touch it i want to feel my phone. >> you can preorder it today. >> you can get it delivery date is july 25th. >> are you the guy that can't buy your groceries online because you like to feel the peaches? >> we have to leave. for more technovations you can check out cnbc.com/techdrivers later on after you have finished our fine show. you can catch "amazon rising" this sunday june 29th, 9:00 p.m. eastern. >> on deck, get your investing pencils ready. we are getting ideas from a five star fund managers who is making

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all right a big money gathering in chicago today at morning star's all-star conference. let's bring in justin leverance. all right take us around the world. where are some of your favorite are spots right now? sure. well good afternoon. thanks for having me. we are investors in extraordinary companies. we look across the world for extraordinary companies incredibleably rare.

at the moment there is lots of controversy in china about sustainable growth and the banking sector. we have interesting price that is we haven't seen for a long period of time. >> tell us about the holdings that you have and which ones are chinese. >> i have slightly more than 20% of my fund in china. it is analogous to google and it is the dominant local search engine. search around the world only five search players left. three of which i own. naver and south korea. it is a natural monopoly business and it is also a company creating entirely new businesses associated with online video and also travel.

travel search. >> right. we have to leave it there but thank you for joining us. they were rated the best maps out there ahead of google maps. moving on after years of lawsuits alleging sexual harassment we have a big story today. the founder of americana par rel. this was once a hot brand. we are wondering whether or not he is going to make a come back. what are you hearing? is. >> i got off the phone with a board member who is co-chair of the company who tells me the company was aprised of certain facts this year. they came upon misconduct. doug charney was fired.

if he fights as some have suggested he might do we are prepared. this is 2012. they would not characterize the type of problem here. whether it had anything to do with the lawsuits, but mayer did tell me it had nothing to do with the company's performance. charney called the allegations baseless and said at that time the company was turning around. >> if he had asked me we are not going to bankrupt.

being somewhat different. i cherish that characteristic and many people that work for me and i think that we need people that act differently in society or we are going to be in big trouble. i'm a thinker and i'm proud of that. his dismissal could trigger a defutd defau default. the company believes he could avoid lion capitol. as for the possibility of chapter 11, it is so remote i would not consider it a possibility. mayor said it was a very difficult decision. it was a long meeting. and his commitment was difficult to the company but he had to go.

♪ my americana p apparel under wear ♪ >> i listen to good music. >> it is called she looks so perfect. the composer was waiting in line buying under wear and thought my girlfriend would look nice in this under wear and a spokes woman for the company said they have seen a 10% spike in sales. >> eat the peach. eat the peach. >> i don't think that is selling under wear. >> if you feel like you are overworked and sleep deprived

you are not the average american. this is unbelievable. the average american gets 8 hours and 44 minutes of sleep per night. that compares to 3 hours and 28 minutes per day of working. >> yes. hold on. there is an hour and 46 minutes of other stuff worthy enough. >> that is the 18 to 25 year olds who won't move out of mom's basement and can't get a job.

>> wow. sometimes on a sunday i'll get that. we are hitting the reset button. we are talking coffee and bacon. stocks up 14%. 23 flavors. the answer ahead. smartphones. and now telcos using hp big data solutions are feeling the love, too. by offering things like on-the-spot data upgrades -- an idea that reduced overcharge complaints by 98%. no matter how fast your business needs to adapt, if hp big data solutions can keep wireless customers smiling, imagine what they can do for yours. make it matter. just take a closer look. it works how you want to work.

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i think the best days are behind this stock. first of all, you see the stock is down one percent a year. hitting record highs. we get a 50 day crossing below the 200 day. i like that double bottom in there. $70 that is your key support. longer term, we have ridden that average all the way back since 2009, as low as 8 and as high as 80. the best days are behind

starbucks. famous last words. i don't think. >> steve, are the best days behind it? >> no. it is a good day to talk coffee. they have a lot of reason to toast. they are drare drinking coffee. look, betting against starbuck's has been a losing position. schultz is perhaps the finest ceo. that situation has turned around dramatically. that is down since may 1st. 20%. coffee prices are turning around to the downside. i'm a fan, a customer.

viva columbia and viva starbuck's. >> quickly. >> real quick on coffee prices. yes, they have come down. 23% but they are up 50% and if you haven't noticed to date there is a strong aroma of inflation. crude oil is sharply higher. i think inflation is going to be one of the bigger stories. coffee prices are back on the rise. the stock should continue to underperform throughout the rest of the year. >> it's a lock. it is over in three weeks. >> guaranteed win. not even close. >> you can check out the online edition as well if you want. >> okay. take a look at this. this is exciting. it does not look like much now.

it is hard to see now. i know. focus in, it is in the nation of chile. in moments engineers are going to blow that mountain to smit r smitherines. but when it does, we are going to show it to you here. >> there is nothing more i can add. >> here is to the second best tease. if you like bacon, you have a lot of company. tdd#: 1-800-345-2550 trading inspires your life. tdd#: 1-800-345-2550 life inspires your trading. tdd#: 1-800-345-2550 where others see fads... tdd#: 1-800-345-2550 ...you see opportunities. tdd#: 1-800-345-2550 at schwab, we're here to help tdd#: 1-800-345-2550 turn inspiration into action.

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all right don't come between america and it's pork. 1.1 billion servings of bacon were cooked up in restaurants in the past year. that does not include the bacon you eat at home and it is not just pork bacon.

there is a big increase in demand for turkey and duck bacon. >> what is the point? >> well, we are keeping an eye on this mountain top in northern chile. why you ask? it is expected to be blown up now. we are going to show it to you when it happens. also a canadian company. that is a big bet on, online poker we'll have the latest. >> now is your last chance to re-tweet your mystery chart. it has nothing to do with medicine whu it is a doctor. not really. when you run a business, you can't settle for slow.

that's why i always choose the fastest intern. the fastest printer. the fastest lunch. turkey club. the fastest pencil sharpener. the fastest elevator. the fastest speed dial. the fastest office plant. so why wouldn't i choose the fastest wifi? i would. switch to comcast business internet and get the fastest wifi included. comcast business. built for business. mplts now to unvail today's mystery chart, it's been on fire. if you're an indy car fan, you know who it is -- dr. pepper snapple. ticker dps, up by about 14%.

marco andretti knows. mplts your next guest, beverage analyst at csa. what are your top picks? >> budweiser, sam adams. >> why bud? >> brilliant strategists, great execution, best at cost management across any consumer group i've ever seen. m and a core competency and i think they'll be on the hunt soo. >>for what? >> south african breweries. this are pros and cons. there is also speculation they'd be interested in a soft drink company but i think a brewer would be foremost in their

minds. they're not in ever africa so south african breweries comes up a lot. >> what about monster? you have a target price of $86. but isn't this a sector, the energy drink sector, that's kind of slowed down? >> it has slowed down. but it's still growing at a mid single digit rate in difficult times which is right now. i think that could reaction sell rate. within monster's current stock price we think there's $14 of value for the international business. $14 to $16, possibly as much as $20 of value on international. the rest of the business is trading not much higher than the multiple on coke which has no growth at all in the u.s. and swla lim somewhat limited outside the u.s. >> given some of the growth stats are any of these companies takeover targets? >> boston beer would be but it is not for sale. zpl well everything is for sale if it is public. zpl no. jim cook runs it. he controls it. he's not selling it as long as jim is alive. but it is a wonderful company

and some day i think it will eventually be acquired but not -- >> could a coke or pepsi make a play for dr. pepper? does the company's ph.d care them off? >> dr. pepper, the stock's been on fire. i actually guessed it right when i saw the chart. it is a little confusing because the top line is so weak but the cash flow characteristics are fantastic zplp which b fantastic. which buyers love. cash flow is king. >> uncertain times, people want the cash flow. >> we'll be watching. >> new jersey gaming regulators talking about licensing poker stars in new jersey. who is amai? they bought poker stars last week for 4.9 billion, with a b. is it the first domino that needs to fall that eventually leads to online poker coming back to america? joining us, a partner at wolf law and a forbes contributor. some listeners might being

what's the bigger meaning here? why do we care? >> the big meaning is this is not an obscure poker company. poker stars has 85 million registered players. it is the largest poker company in the world. now that it was purchased by amiya gaming, other states that have already allowed online poker, nevada, delaware, then california, new york, and possibly other states that institute online poker where poker stars could become once again the leader in online poke zble . >> there isn't a state out there that wouldn't like a little extra revenue in its coffers. what kind of revenue are we talking from taxation of online poker? >> when governor christie in new jersey first thought of bringing in online poker he suggested it would bring in $1 million for

the first year. the estimate has been brought down to real amounts of nan can really enhance the state budgets if taxable. >> listen, i like playing a good hand of blackjack as much as the next guy, though you could argue you are not actually raising money, are you just transferring money from somebody who plays an somebody who doesn't in the state coffers. no new money is being created, is it? >> a lot of poker players just don't trust these new systems that are put into place. i spoke to a grad rootsed a video ca advocacy group. they're saying the algorithms have been tested, big-time poker players are itching for it to come back. you may see an increase just as a byproduct in playing with poker stars reentering the united states market. >> darren, good article out

there on "forbes" about the bigger meaning of the poker stars deal. we appreciate it. thanks very much. >> wait until you see barbie's new look and new accessories. so i can reach ally bank 24/7 but there are no branches? 24/7 i'm sorry- i'm just really reluctant to try new things. really? what's wrong with trying new things? you feel that in your muscles? yeah...i do... drink water. it's a long story. well, not having branches lets us give you great rates and service. i'd like that. experience a new way to bank where no branches = great rates. ally bank. your money needs an ally.

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stylish clothes but she also carries a smartphone and tablet computer. do you prefer entrepreneur barbie or aussie barbie? be careful. on "closing bell," chris murphy is going to be a guest. that's a true story. i'm avoiding your question and i'm just teasing closing bell because they got chris murphy coming on. connecticut has the fourth highest gas tax in the united states. he has to make the argument for the higher gas tax. i won't answer your question but i'll say this. entrepreneur barbie if it is silicon valley barbie, there is one accessory that's missing. >>? what? >> the bmw 328i. or 325 or whatever the model is. 330? >> i would also add google glass. >> nobody in silicon valley uses

google glass. nobody in america uses google glass. >> maybe if barbie had google glass she'd start the trend. >> we promised you mountains being blown to smithereens. "closing bell" gets the honor and privilege. for me to listen to bill griffeth call a mountain explosion is a dream come true, bill. you are like a british soccer announcer winning the world cup with this, buddy. show how it's done. he's over there. >> enjoy. thanks for watching "street signs," everybody. hi, everybody. welcome to this explosive edition of the "closing bell." i'm kelly evans at the new york stock exchange. >> i'm called many things but never an exploding mountain. we'll get to that a little bit later. i'm bill griffeth here at cnbc headquarters. yo, kelly. in the markets today, no follow-through after the fed helped fuel that late rally we saw in stocks yesterday that