let's send it on over to melissa lee. >> thank you so much. we start with breaking news out of washington, d.c., the justice department about to begin a news conference on its $9 billion fund for breaching u.s. sanctions, we will take you live to that press conference as soon as it begins, our traders are dana than and guy adami and we have utility, fern, healthcare, they have been the leading stocks to record highs, consumer discretion avenue names have been lagging behind. it's not about where we have been. it's where we are going. we want traders to give tear best bold ideas for the second half of the year. guy adami kikt off. >> bold. i will be bold. it's something i have been saying, it's bold. but interest rates will continue to go low. i think the tlt is headed north of 120. now i think it goes north of 1 when the want. i think ten-year rates will trade down to 2%.

look at japan, they look at frg they can to get the economy going. yields are less than .6 of 1%. they can't get rates high fer they try. i don't think we can get rates here higher as well. >> karen, that was bold. >> it was a bold. >> do you think that's right? >> umm, i don't know, actually. >> she's pleading the fifth. >> that's a nice way of saying not really. >> i'm hedging my answer in order to say anything. but, is this my bold trade now? >> i was asking you about guy's bold trade. >> she's passed that now. >> yes. i don't know. you request maybe take it either way. i guess i wouldn't take a position because i feel like either scenario makes sense to me. it goes lower. >> guys, i feel like we do this. >> every day. >> every week. >> the dance, yeah. >> if you are right, janet yellin is really wrong, listen, are you an amazingly right guy. >> you are bright. the second thing, what i'm

saying is the global economy can't pick up and the u.s. economy can't go in the direction it is and rates stay here or go lower him yoep i don't know how that happened. >> the fact is we have this blind faith in our leaders, no matter what they're leading. especially her. maybe she is right. but why haven't -- the data we have gotten recently, gdp aside has been good, rates continue to go down. what's that telling you? it's telling me deflation is the real enemy. we can't get deflation. nobody can. >> we saw ticks last week. she had every opportunity to talk risk assets down. she didn't him we had what is it the global bank of settlements saying they see a big disconnect between equity markets, bond markets and what the economies are. somebody has got to be wrong here. >> i think the negative gdp is more than weather related. i think we will see the markets sell off dramatically the market is due for a correction. >> you could be if guy's camp is

what leads to you your bold trade, right? >> the trade isn't obold, i think you go to utilities. i have been in southern s-o. are you yielding 4.36rs roughly against the backdrop of the overall market is up 6% year-to-date. southern is up 130up 10%. >> you are looking at me. >> hello, waiting on the trade. >> you killedi e. milliom. you killed one person didn't agree with. but it truly was more riskier to see rates coming in. >> because that meant we were getting something wrong. >> karen, water your bold trade? >> you know, energy is at a run. i still think there is a lot to go.

pendulums swings one way or the other. we like the export market. it has not played out at all. d rate versus moved into short-term spot rates, but the story is still. it hasn't played out at all. we haven't seen the big export facilityles come online yet. it will happen in the next year-and-a-half or. so i think there is more room to run here. >> i think you can see a lot of mna in the back half. the mna in the front half, it's a substantiated rumor, i'll stop. you had one today about exxon money. you had one a couple weeks ago about exxon and anadarko. >> there are so many negative headline, i think energy is way too frothy. have you the export you guys were talking about. you also have iraq. if that cools off, you will see

energy coming drastically. you will see crude come in below 100, it will be crushing. >> dan, full trade. >> i think some of the high valuation stocks that sold off in february, march, april into early may, i this i they will make new lows. i know a lot of people feel like 30, 40, 50% in some situations whether they were in cloud software stocks nor web 2 .0 or the biotech stobls. they sold off. they recovered, everything is cool. i do not think they're cool. i think where the s&p is right now and the s&p in that same time period, not moving down more than 3, 4% from the highs. investors showed their hands. i think it was an easy trade possibly off the lows in may, for people who were looking to actually create some alpha in their portfolios. i think that's done. i think if anything reverts to some of the concern wes had in q1. i think we will sell. >> are you sure any of them second half? >> i'm scared to death of stocks like zillow, crip ottley, things

that have never made sense, i think to try to pick a stock and don't make sense. i think if you find situations where there are secular issues going on there. i think cloud is a total joke. i think those are the ones you want to look out a year or two, that's where you will get 50% returns to the downside. >> you mentioned zillow. this is a new high off the housing data we got earlier today. this is off a stock dan said before, nothing can stop. >> he's right, nothing can stop it. now i should know. we had a ceo on a couple weeks ago, we said you'd rather be in zillow than his name. his name has gone sideway itself now for six or seven. what was the? -- >> move. >> thank you very much. we saidville low was better. it will continue to be. general motors announcing another major round of recalls today, pushing the stock lower by almost 1%.

cnbc's phil le broe joins us with the latest. you said you felt like the boy who cried wolf because. >> right. >> they have had so many recalls and they keep keep coming and coming. what's the story now? in there the reason i said a lot of people feel like it's the boy that cried wolf, we have heard now for at least three or four weeks, general motors saying both on the record and when they are briefing reporters, we think the peace of recalls is slowing down. that's been the theme for the last three or four weeks. if you go back over the last three or four weengs, over time, there have been a major recall or in the case of today a huge number of recalls, six together 7.6 million recalls, it's the pain problem for general motors this year. we are looking at models built between 1997, 2014 inadvertent ignition key rotation is what a number of these recalls involve, three fatalities, eight injuries

may be linked. at this point still too early to say definitively they're linked to these recalls. look at the broader picture here the number of recalls from joen general motors in the ujs totals more than 25 million vehicles world wide. today's recall was 8.4 million. that brings the total world wide more than 28 million. 1.2 billion in charges in the second quarter. that's an increase they announced today, 2.5 billion. that itself the total number of charges 84-to-date when it comes to dealing with recall expenses and this is one of those stories, melissa, where you want to say, i think we're near the end and then something like this comes out and it really draws into question the broader issue, which is quality control at general motors, not only in the last ten years of, but there are some current models involved in this recall as well today. so it brings some broader questions in here for general motors when it comes to quality control. >> do you think that gm has a credibility issue at this point?

>> i think for a lot of people they do have a credibility issue. what itself the saving grace for general motors right now? the general public, while they pay be making jokes about general motors, they may be zee saying things, do you hear there are more recalls? sales have not dropped off. in fact, they're up about 2% the year. it's not as much as the market as a whole, they haven't fallen off a cliff. it's as if they look at these recalls, oh, okay, more recalls? by the way, interested in more deals? that's the saving grace. >> fill le beau, we will let you know. joining us from d.c., karen, at what point do you think the company has a problem on its hand and i can't believe the ceo? >> i don't know at what point if they recalled everything they ever made still on the market, i don't know. but i actually think maybe there is a quality control issue to talk about. i think the crisis control has actually been excellent. i thought that feinberg's

conference today, there really, they're trying to do the right thing or they're certainly trying to give the appearance of doing the right thing. the stock seems to shrug off any bad news, this is a big recall. the stock is down i don't know 30 cents? >> to that pint, feinberg said it will finish payments and be dissolved by 2015. you have an end point there in terms of compensateing victims. we already have massive amounts of recalls now the stock finished less than a percent. on the flipside, this is grit price action? >> i think it is decent price. greg, i want to make one more point. about the issue is there a credible issue? i think people think that gm in an abundance of caution wants to do everything they possibly can and this would probably not be in a situation were they not? >> if you question the credibility of gm, going forward, so you get to the end of this yv, what's to say that

you don't get another issue two years from now, if you question the credibility of gm? there is no end. >> i disagree with that. they are doing fine on the crisis management from the standpoint, you are a shareholder. this is a company you looked at closely. is this bp when the fires, things are going off? >> you have an issue to me -- >> i'll add one more, implied volatility doesn't care, implied options. >> i know they don't case it's down 11%. ford is up 11%, it's a direct mirror image. i'd rather buy ford on the weakness of ma lally leaving versus buying gm hoping the weakness dissipates. >> i think i'd buy on the relative strength in the stock is telling you something. i think the low level, volatility is telling you something. few are more of a trader type you look out six to twelve monthss, you will boy calls that are really cheap. >> you have to wonder, ford is

sitting around saying we better be dam sure nothing is wrong here. god forbid something happens, we didn't get in front of this, nair the once, i'm not saying it. you understand the next person is the company that potentially could get physicfricaseed in th stockmarket. ford better have their ducks in order, given what gm is doing, they're setting themselves up. >> the price action is going, i know you said auto parts. >> gm. >> really? >> would you rather, gm, given those constraints you put on me constraint person. >> let's get an auto trade. >> downstream the auto parts. it's been the way to go for a long time still. dell fire warner. >> i think we will go to kate kelly following the paribas story. what do you think about the press conference? >> i think it will be a form amization of the $9 billion fine

for transacting with sanctions fakess, cluck iran, cuba and sudan along with a guilty plea just announced in a new york court a short time ago. we will be hearing from attorney general eric holder as well as from representative senior people from the fbi, the irs and the southern district of manhattan, whose office had some jurisdiction over in kies and cyrus vans, the manhattan da. i'm sure there will be tough language for holding banks accountable for misconduct. this is serious allegations here, some of which they have admitted to. i was just listening to a hearing that occurred a short time ago, where a prosecutor described the mp as acting and sudan's central bank to nominated transactions for period of time t. period here ranges from 2002 to 2012. so very serious allegations, tough language, i mean, this is reminiscent of marc rich, the

international fugitive who traded for mash rich and company if 2004 and led the country after being charged with trading with the enemy. in that case, it was eastern as well. his trading occurred during a hostage crisis between '79 and '81, so very interesting tough case. at the same, for the bearing on the financial crisis or the mortgage issues ab which so many people are angry because there haven't been individuals held accountable and in many people's views, there haven't been tough enough fines. >> i think the conference will start. >> good afternoon, thank you all for being here. i am joined by deputy attorney general tim cole, fbi director james comey, leslie caldwell, u.s. attorney of the southern district of new york. district attorney cyrus vance of new york county and richard weber chief of the criminal investigations for the irs. we are here to announce a significant step forward in our

ongoing effort to hold financial institutions accountable for criminal misconduct. today the department of justice submitted to the united states district court a criminal information against bnp, one of the largest banks in the world for conspireing with other entities to deliberately and repeatedly vieltd long-standing united states sanctions against sudan, cuba, and iran. working with the financial institution based in these countries and others between 2004 and 2012, bnp engaged in a complex and pervasive scheme to illegally move billions through the united states financial system on behalf of sangsd e sanctioned entitys. they represent a serious brophy of united states law. sanctions are a key tool if protecting the united states' natural security interest. but they only work if they are strictly enforced. if sanctions are to have teeth,

violations must be punished. bank thinking ab about conducting business in united states sanctions should think twice before they do so because the justice department will not look the other way. in this case, np went to elaborate lengths to prohibit transactions to cover its tracks and as to deceive united states authorities. they used so-called cover payments to hide the involvement of sanctioned entities if transactions processed through new york and elsewhere in the united states. they were partners and subsidiaries around the world to structure transactions and needlessly complicated ways, using sophisticated techniques that served for the legitimate business purpose but that allowed them to obscure the truth that these transactions violated the law and should not have been occurring in the first place. through these widespread illegal practices, bnp knowingly

processed more than $500 million in elicit united states transactions involving a company controlled by an iranian energy group head quartered in tehran and owned in full by an iranian vidz citizen. the bank also property saysed thousands of transactions, totaling more than $1.7 billion with sanctioned entities in cuba. bnp had sudan and related situations to avail themselves of the united states financial system engaging in billions of dollars in illegal transactions. they did this despite knowing that the sudanese governments ordered terrorism, engaged in human rights abuses and even in the word of one senior compliance management hosted osama bin laden and refuses the united states intervention in darfur, unquote. all of these activities significantly undermine long-standing united states economic sanction, in many cases to the detriment of america's national security interests.

they continued for years, despite repeated indications and warnings that the banks' conduct violated united states embargos. today, following exhaustive, years-long investigations by the department of justice and the new york county district attorney office, i can announce that we are holding the bank accountable. bnp will plead guilty to conspireing united states' sanctions. the bank will forfeit more than $8.83 billion to the united states. they will admit to a statement of facts, detailing the extensive legal conduct i have just outlined. they are taking a variety of steps to provide substantial cooperation to the government and to ensure that moving forward, they will operate in full compliance with the united states law. now, this landmark resolution demonstrates the justice department's firm commitment to enforcing embargos and other measures designed to protect america's security and our vital

national interests. this outcome should send a strong marriage to any institution and any institution anywhere in the world that has business in the united states that illegal conduct will simply not be tolerated. wherever it is uncovered, it will be punished to the fullest extent of the law. i want to thank everyone who made this announcement possible, particularly the u.s. district attorney and assistant attorney general caldwell and the asset for fitch chufr and money laundering section, each of the fbi acts and investigators who contributed to this important matter, district attorney vance and his colleagues and the criminal investigators at the irs. i want to thank you all for your tireless work. i also want to thank the federal reserve, the treasury -- >> to u.s. attorney general eric holder and a serious fine for what he is calling serious violations of u.s. law, breachs of sanctions against sudan, cuba, iran, the actions took

place between 2004 and 2012. so, kate kelly, i want to go to you first, is this precedent setting if anyway for other banks under scrutiny or is this a bnp specific story? >> there are a couple things i do want to draw your attention but it could be precedented setting. the 8.5, it's a massive amount of money and certainly will be debilitating for any bank and certainly for bnp which i think reserved a hair over a billion dollars for this event weight. it's certainly a heavy financial toll t. other issue is, he talked about the enforcement of embargos and u.s. sanction, how we take them seriously. we have sanctions levied against russia. some don't think they go far enough or will have strong teeth, at the same time, obviously, russia is a very important country we have historically done business with, an important source of energy,

natural gas and oil, so to the extent that companies engage if violations of the sanctions we have with them, banks, particularly, it may be an attempt to put them on notice so i think there are some very interesting language there. the other thing is, any regulator or prosecutor that's dealing with a case like this bnp case with sanctioned nations with whom bnp and others may have been doing business will tell you this is an attempt to fight terrorists, essentially. you are threatening to cut off terrorist actions at the knees by cutting off their supplies to the financial markets. i'm sure it's no accident he mentioned osama bin laden and allegedly sudan hosted bin ladin at some point during that period of time. those are my key take aways. >> kate kelly, thank you for that. dana than, you have been trading banks lately? >> i think when you look at how bnp trade and two other names in the news, barclays will be levied a pretty big fine and deutsche bank for other reasons, they're at 52-week lows, the

european banking index is down 10% from the highs two months ago, to me, throw this on the heap the u.s. equity market doesn't give a crap about. to me, we seen this action in euro banks over the last two years. it has weighed on u.s. equities. it doesn't matter right now. >> moving on here pending home sales jumping 6% in the month boosting shares. grasso. >> you heard me talk about kaybee homes. they said they see some growth or uptick in the housing market and with first time home buyers. d.r. horton is very exposed to the first time home buyer. i would say this is a lot of room to the upside. i'm currently home kaybee homes. upgreats i grades saying its stake in alibaba is under levels. he says it could add shares to yahoo if you take in an implied

valuation including the cash and the benefit sheet. >> they will end up owning a bit more. listen, here's the problem. i think one of the reason the stock also sold off from the high 30s to the low 30s, now it's balanced with this upgrade is that people don't really believe that the company and their core business and the company, what they do with this cash they receive from alibaba will be that good. so they will trade it to the discount the sum of the part, which it has for a very long time. i was probably going to take a shot if it touched 30 t. road show will be coming up in the next few weeks. early august ipo. i think it's in the point of the range here. >> when i read it for today, it felt like a by the rumor, by the news. >> i have been in that camp for a while. i was in the camp when it was $40, i was in the camp when it was $30. as dan mentioned, it was right smack in the middle. i'm in the low 40s camp and for yahoo for a long time.

it's been painful. it's been wrong. i think that's where it ends up going. >> true car announcing it will joan the russell 2,000 and 3,000 indices. we talk to the president, plus the best way to make money, dennis gartman will give us his top picks coming up next. .

let's get to the second half and take a closer look at names that are posed to pop. word has crop prices on the move. it's given den nit gartman an investment idea for the coming months. let's bring if dennis gartman live from virginia beach. dennis, it's great to see you.

we saw coverage, soy behnks elowest level. what is your best idea? >> reporter: i think first of all with the size of the crop, it is going to be a huge corn crop, a huge soy bean crop, a reasonably large wheat crop. if you are a company incumbent or whose major input costs are grains, you are grand jury to have a great 84. so i think you take a look at the kel locks of the world, you take a look at the general mills of the world, i think you take a look at the companies that livestock producers who are going to be seeing their input costs declineing, i think this is going to be a very important long standing deflation in agricultural commodities i think is a real harsh reality. it's going to be beneficial to those companies that use corn, soy bean an wheat as their major inputs. >> your assumptions, dennis, does it depend on companies speaking to price hikes that i have already enacted or is there a possibly they actually roll them back to help the consumer

out? >> oh, there is not a question they will stick to the price hikes they have put into effect. their propensity to reduce their prices of their godods. almost like it is in the gasoline business. they're not going to rescind their price increases. they will keep sure price increases in effect. their input will go down, taliban lies an increase in their margins over the course of the next year. >> dennis, leave it there. thanks for your time and your pitch for the sec half. dennis gartman of the gartman letter. who agrees with that? >> these stocks, general mills, for example, until a year or so ago has been parabolic in its move. it obviously sold off $3 or $4 off that all-time high we made. archer daniels is a name that comes to mind. we are getting precariously

close to levels we saw in 2008, this 46 level. it better break through there, if not, that can top as with el. >> what we saw negative for corn was positive with soy. we still have monsanto. i agree with kelloggs, i would be a buyer of monsanto out of the corn weakness. still ahead, find out what's happening in puerto rico. it could be a were whating sign. alexander lebenthal tells us how they could impact the portfolio. plus, is wine still a good investment? we will tell you why wall street still betting on the trade. much more "fast" ahead. [ girl ] my mom, she makes underwater fans that are powered by the moon. ♪ she can print amazing things, right from her computer. [ whirring ] [ train whistle blows ] she makes trains that are friends with trees. ♪

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they make payments as if the original bond still exists. baerld they don't accelerate payments, they'll continue to pay interest until those bonds mature, but it is very interesting story and as much as insurers have over the last few years in some ways not been relevant, it brings you back to the idea that bond insurance actually does make sense. >> which is why we saw the action in the bond insurers today. so when does it come to a head? puerto rico is one of the issue. in terms of magnitude, it's enorm ousz. but when will we start seeing the impact? >> as i mentioned there is $8.6

billion in preand another 9 billion in aqueduct and sewer and those entities fall under this. the other thing is while it doesn't affect puerto rico generations, it's coming from puerto rico, it's putting willingness to pay which is one of the most important things any municipal bond issue youer has behind them on the line. the bigger implication for the market is that $66 billion of puerto rico bonds are held by mutual funds across the country. so that's where can you potentially see a bigger effect on the market as a whole. >> let me ask you, you were spot on in seeing puerto rico as a real problem last year. let's say someone held those what do they do now? >> they're not. you know, i actually have a friend in this position and i have been talking to her for two years ab this. look, the bonds are trading right now at 40 krempbts on the

dollar, some estimates have been that they're going to be rather restructured at 10 cents on the dollar, whether that ultimately goes through or not. you can kind in in a position between a rock and a hard place at this point. there is a market, but it's very opportunistic market. >> do you see the hedge funds coming in? an elliot or that investor coming in? >> you know the hedge funds came in big on the last band issue that they did and made a lot of money in the first couple of days or a week of that issue coming out. i think that you will probably see a lot of distressed investors at this point. i can't emphsays enough if you were an individual investor, do not, do not look to invest in puerto ricos right now. there may be a time when the commonwealth is back on its feet. it's not right now. >> alexandra, thank you, alexander lebenthal, lebenthal and company. gierk 13%? >> gopro, if youing will, it's

had an amazing move. it was actually up on the day. we talked about it last week, i wore my gopro, we called eight go pro. actually it was 32. at these levels you got to boy it. this stock has the momentum behind it. >> micron up 5% in there the first thing that got this going is d-ram prices. it's not only d-ram and nan the pc business is not dead. now you have three reasons why micron can defy gravity further. i think you should be taking some profits here. >> allergan has dropped today down 3%. karen. >> drop in the spread, allergan is sort of presenting tear case of what their fantastic stand alone strategy is. i think it's all postureing. i think we see a deal here. >> we got a pop for true car up 11% on news the auto site will join the russell 23,000 and

3,000. it's up 50% since the ipo in may. let's bring in the president jonl krajicek. john, great to have you here with us. >> great to be here. >> i have to ask you this, you said to our segment producer prior to the latest news of the latest recalls that you have not seen evidence that consumers were concerned about any of the recalls to date. does a pick change in your view now there is what 8.5 million additional recalls recalled? >> certainly, there is new news today, it was astonishing news in the scope and the scale of the announcement. gm asked to be stopped for 30 minutes. it happens in situation loose thick at times? but the reality is a lot of these cars are really old cars that go back quite a ways, many of them are no longer in production. i think, we've looked deeply at this at true car trying to see if there has been any correlation to all of the news gm has been generating on the recall side and any interaction with consumer points of view,

there could be a change with today's announcement. my own gut tells me in a week or two or three, gm will put most of this news behind them t. metrics, transaction price, gm is very strong, they have an interest leading transaction level right now, their incentive spending remarkably is down right now year over 84 for june the market metrics seem to indicate consumers are saying, yeah, remembers so what, we get it, let's move on. >> let's talk about your business then, since are you not seeing much with gm, we're getting a note about your business model and you saved for the consumer the average is $3,000 per transaction and the dealers because instead of spending about $616 per transaction marketing costs, they're paying doctor 2.99 for new parcels and $399 for used parcels, are you pushing back from the dealer pseudoof things?

could they say, why are we paying this much? >> you know, i think it's true, from a dealer standpoint, we represent a really attractive opportunity. it's troou true, last year, they and spent marketing expenses alone, true car seems like a really good dell. if you look at consumer's points of view, they believe dealers make a 20% margin, right? if you ask them what a fair price would be, a fair margin, they come in around 10% t. reality is they make 3 to 10%. so the tools we are providing consumers and deem officer, what we call price confidence, short of showing the transaction prices in market, really help bring dealers and consumers towing. >> why don't you raise your prices? if the spread between what they would normally be spending and a new car is about $300, why can't you say, you know what, pay us $100 more to increase your

margin? >> i think right now we are more interested in solving other aspects of the problem. i think we have a good solution on the new car side, there is still the drem ma on the used car side we think we can help the industry and dealers with. right now, if you go to a new car dealer, you ask what the number one thing is they need, honestly, they're going to tell you, they need more used cars, for every 100 new cars sold, about 75 used cars are disposed of. it's sort of interesting, only about 30 end up in the hands of new car dealers. most are sold privately. if you ever sold a car privately, it's really a difficult thing to do. it takes on average about 30 days, but consumers do that, they're not sure of the deem they're going to get from the new car dealer. so we got a new product coming out called sell my car. it's an app at apple, which will help consumers get a fair priesz and should increase that supply of used cars. >> got it. thank you, john krajicek, let's trade the auto trade again.

i don't know if you have sold a car or not. >> when i'm done with it, i give it to my neighbors. the rest is -- you never do that? >> i have one car i donated. >> i love how you took me seriously there as if i gift my cars to my neighbors. >> i don't know what you do. >> grasso. >> a doctor 17 price target. it hasn't been all that volatile lately. it might trend up there. you pointed out a couple potential blahs, levers to pull or get pulled against. i'd just rather 14-and-a-half, i'd rather avoid it. >> all right. i think we got breaking news here, kate kelly has been listening in on the news conference on paribas. there has been strong language used, kate. >> yes, a series of speakers, all united states officials who worked on the case and a tough call to action for corporate shareholders, actually, from fbi director who talked about the ramificationles of prosecutorial actions from companies. take a quick listen.

>> the $9 billion that's walking out the door today is your money. all right. we do these cases over and over again and the shareholder's money walks out the door him until shareholders demand from their boards that those boards choose leaders who understand what it means to create a el-thy culture of compliance, the money will keep walking out the door, we will have to keep doing this work. >> so, mem lisa, i thought that was interesting red rick coming from fbi director comey, specifically, this is a specific case involving a violations of international sanctions with specific sort of enemy countries, but this broad language really could apply probably to cases like sac capital, which had, you know, public investors for a time before it became a family office amid a prosecutorial investigation and settlement as well as perhaps j.p. morgan, bank of america, banks undergoing civil investigations of their mortgage practices,

citigroup, too, the list goes on. this is certainly a theme, melissa, that the department of justice and other regulators and prosecutors are touching on right now with their cases. >> thanks for the update. i appreciate it. kate kelly. still ahead, cnbc continues to celebrate 25 years. we take a look at what the dow will look like 25 years from now the trader's name, they expect to see as a part of the index by then. stay tuned. tdd#: 1-800-345-2550 there are trading opportunities

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the dow has historically represented some of the most influential companies in the u.s. economy. so as we celebrate cnbc's 25th anniversary, we look at what the dow could look like 25 years from now. >> there are some big names. we talk that goldman are doing big work in terms of the dow. names like celgene which jim cramer loves. he thinks they will cure more companies than any in the next ten years we thought, look at the younger companies when they join, they means they could be hypothetic cal, first of all, it's facebook, right, if there is any company that's come out

in the past couple years, that might be facebook, right, a big 76% move here's where it gets more interesting for me, i guess. solar city has come out public, a whopping almost 800% here's another one. it will be a huge part of the gdp. intercept pharmaceuticals, it does a lot of liver disease research and drugs and that kind of stuff they came out 1,500% tins their ipos that's the part. >> dominator, dominating the picks. >> facebook, i think it's equally could be in the dow. >> non-existent.

>> maybe. >> cell gynelove. i know jim cramer loves it. the whole space got whacked. they're a biotech name. >> i think there will be a dow in 25 years. >> i think nobody will focus on the dow. >> it's a bummer. >> it won't exist if 25 years, thanks, karen. >> all right. sorry. >> karen has a great point. >> i think so. >> i never look at the dow. we on the desk probably don't look at the dow. the s&p, russell. so we don't look at things like that just to play the game since the clock is ticking, i would say apple and dom would now with the split, that's been the topic

where you would think apple could have a better chance of going in. it's price weighted. >> so everyone has been pondering that. i'm go with apple. >> sorry for that, one name in particular is about to be right back out. dan has today's option action. dan. >> cisco systems one of the themes has been large cap tech, oracle make 14-year highs, today, cisco is doing okay. up 10% of the year it was actually a buyer of september 27 calls. we bought 50,000 of them. let's calm it about 20 cents. it's a million in premium. the volatility is cheap. i suspect this trader is looking for cheap upside leverage.

look at that chart, that's the play right there the previous high last august was 27. that's the break even i like the action. >> check out the action. all right. question should you be investing if wine? it's dropped 33% from june of 2011. the numbers may not tell the whole story. we got the details next. in the spirit of knowing what you are investing in. >> i love spirits. >> i know you do. >> here are two wines, we are doing a pepsi challenge one is wore atmosphere couple hundred bucks. the other less than $10. guy, put your palette to the test. >> i'll start with this one right here nice bouquet. >> i'll tell you, that's it. that wine is a $300 bottle of

wine. this is balsamic vinegar. >> we'll tell you out there if guy is a set closer to being a wine consewer connoisseur right after this break. [bell rings] ♪ .

the price of fine wines dropped 33% from euan of 2011 t. s&p climbed nearly 50% in that time. we ask is wine still a good question? . we asked one of the largest auctioneers and someone at one of the auctions last week joins us, john capon, tell me about where the value is in today's market for wine. what kind of wine? >> you are talking about bordeaux, the rest of the wine market is as high as it's ever been and is incredibly strong so bordeaux used to be 50% of the wine market in 2012. it shrank to 40% if in 192013, 30% in 2014 t. rest of the market is quite healthy and

active. >> is burgundy taking over as the favored investment vehicle of choice? >> absolutely. burgundy is 47% on the market. huge increases in top domains, these top producer versus gone up over the past two years 50 to 100% in value. >> who is buying it, john? >> a variety of buyers. with one thing you got to think about in the wine market, you don't have to be a billionaire to invest if fine wines. yet some do. if you have a couple thousand dollars, you might show up at one of these auctions and make an investment. hedge funds, believe it or not, are active. since 2011, the amount of money among hedge funds has grown to $500 million. lots more money is going into it. >> john capon, thank you for don't joining us, sorry we had to be short. we appreciate it. we will reveal is guy was able to guess the wine after this

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98 is on top. that's ridiculous, much better than this black box, just saying. >> we should know the wine you actively predicted as being the fine wine actually costs $15 to see you back here at 5:00. "mad money" starts right now. \s. my mission is simple -- to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere. i promise to help you find it. "mad money" starts now. hey, i'm cramer. welcome to "mad money." welcome to cramerica. other people want to make friends. i'm just triing to make you money. so call me at 1-800-743-cnbc or tweet me @jimcramer. amazing, isn't