is picking up we've been looking at the last month 'numbers. >> sticking with yahoo, the ali baba coming. >> mtw, i bought it today. >> have a great holiday weekend, we'll see you on the other side. power starts right now. >> halftime is over. "power lunch" and the second half the the trading day starts right now. terror alert severe. british prime minister david cameron speaking today, and he is ringing the alarm bell. a september of risk perhaps for investors. we are going to talk about that as well. tuesday's summer vacation ends, wall street will be busy once again, and of course volume may jump, so what do you need to know going into september? and we have a special look at a booming industry. it's tutors. we are going to talk about how much this private tutoring costs, and what the perks are for those who do the tutoring.

and the parents, of course, have to make an awful lot of money to make that happen. tyler is out today. cnbc asia's susan lee is in. we're going to begin with the developing story, the severe terror alert in the uk. the white house saying moments ago it does does not have plans to raise the status. john harwood is live in washington. we begin, though, with international correspondent michelle caruso-cabrera on that uk terror alert. mcc? >> yeah, the united kingdom raising the terror threat to severe, the second highest possible level, the highest level in three years. according to a statement released by the uk government, severe means that a threat is likely, but there's no intelligent to suggest that one is imminent. david cameron followed up with a news conference at 10 downing street. >> we are in the middle of a generational struggle between a

poisonous and extremist ideology that i believe we'll be fighting for years, and probably decades. >> cameron went on to say that hundreds of british citizens are likely fighting on behalf of extremist elementses in world. the first isil-inspired attacks on the continent have already taken place. we believe the 500 people have traveled from britain to fight. >> recall the murder of a british army soerge in 2013, macheted to death. july 7th, 2005, terrorists bombed the london subway system and an iconic doubledecker bus. but david cameron faces a public that is tired of foreign intervention. remember, cameron initially said the uk would -- exactly one year

ago when the obama administration was considering it, but cameron was forced to step down when he lost the vote on the issue in parliament. >> it is very clear tonight that while the house has not passed a motion, it is clear to me the british parliament reflecting the views of the british people, does not want to see military action. i get that and the government will act according lid. >> sue, back to you. >> michelle, thank you very much. before we go to our chief washington correspond john harwood, if you have not heard this sound bite from president obama, listen up. >> i don't want to put the cart before the horse, we don't have a strategy yet. >> john, those words may come back to haunt the president. >> reporter: they're already haunting him, sue. this is a very unfortunate choice of words by the president at a time when he's facing so many foreign policy challenges, not just i want sil or isis, as

we at nbc say it in iraq and syria, that new terrorist state that's trying to expand and erase those borders between those two countries, but also you have a war in gaza, russian incursion into ukraine, if you -- and the president was fostering by that remark the idea that he's not prepared to deal with it. it's exceptionally problematic, sue, because syria has posed such a challenge to its credibility. we had the situation a year ago when the president, having drawn a red line, indicated he was going to go forward with military action, then declined to do that, instead came up with a plan to negotiate the destruction of syria's supplies of chemical weapons, but that raise the questions about american follow-through and the fact that the syrian civil war has persisted and the isis threat has metastasized during that period is a part of a big problem that he made worse yesterday.

>> john harwood, thank you very much. susan, over to you. let's look at the markets. we have virtually no roll heading into the long weekend. tuesday is when america goes back to work and volumes will likely raise then. dom any chu is at the new york stock exchange with the risk and reward of what is traditionally a volatile month. >> susan, september is going to see a host of market catalysts on the international front. let's focus on that in this hour. it could set the tone for the rest of the year. here's going to be at least a handful of the catalysts, first of all, on september 3rd, next week president obama will make a trip to estonia, a former soviet republic. given all the tension, this meeting could lead to important headlines. over the two following days, september 4th and 5th, you have a nato summit to keep an eye on. no doubt ukraine and russia will be on the agenda.

as well as the growing concerns of isis rebels in iraq and syria. as we've been reporting, the uk is also on heightened alert from a terrorism attack, so that's something to keep an eye on. september 4th, the ecb, the european central bank, will there or won't there be talk out of central bank of europe. how about september 18th, that's when eyes turn to the uk. if you don't know, scotland will vote on whether or not to become an independent country. that may have an effect on a number of companies that do a good amount of business in the uk and around the world. so you think yang i don't and what it may mean to the -- or the banks, those are just a few of the international catalysts. next up on "street signs" we'll tackle the stuff you will want to watch for in the u.s. september has traditionally -- now there may be something else to worry about. the economy contracted two

tenths of 1%, dragging the country back into recession. meantime, consumer prices are falling there as well. there a risk of deflation in europe? let's bring in some strategists. bob, let's talk about the eurozone. it seems they're baked in that mario draghi will do some quantitative easing. >> i think it will be set off. i think it's already probably be discussed in-house, and i think you'll see that the next couple months. the deflationary environment certainly exists over there. i wouldn't be all that concerned. i don't think you'll see all that much trouble, but i think some of these ancillary countries you may start to see some problems. >> sam, what does that -- how is it being affected by the concerns in europe europe? >> i think that the american consumer is definitely concerned by what's going on in the world,

and if we look at the personal consumption spending for the last month, what we saw was the savings rate was up. not that incomes were falling, just that people were more conservative. but if you look at the u.s. economy, i think the threats come from outside, the threats come from europe, the threats come from the middle east, the threats come from asia. the threats do not come from inside the u.s. u.s. economy looks pretty good to us. >> but there's no volume out there right now. in fact talking to some traders they want half the people are off on holidays, so we're in a holding pattern until like at least tuesday of next week. >> i see what you're saying. it's something that's being discussed, but largely i think being discussed to try to push -- the same people that were looking for a correction. but really it was a buying opportunity. i think if you're a long-term investor, you stop worry about the low volume. you can't really compare volume

on the floor now to what it once was, you start to look at the real long-term trends, are we seeing improvements in manufacturing, employment, consumer sentiment, so i think if you start to focus on the real long-term trends, your long-term investor, let the day to day allow it to happen, but still focus on what's cheap, what's working and what would be working a year and a half out, two years out. it's the cyclicals, like technology, energy, consumer discretioniaries, industrialing, financials, health care. those are the areas to fog cows in on. >> you kind of agree with what bob is saying, right? >> yeah, we think that the consumer capital spending business investment is going to be one of the big drivers in the next 12 months. capacity utilization is getting up close to the 80% level. while the consumer is being cautious, businesses see opportunities to expand. banks are more willing to lend,

so we think the industrial sector will be a good place to be. >> bob, sam you have a great labor day hold dahl. sue, over to you. >> take a look at this video. it's google 'tissing a drone delivery in australia. amazon is also working on that. the technology is at the early stages, but concerns over whether or not it's safe has been growing. jon fortt has the latest, and eamon javers on how the f.a.a. plans to regulate drones. we want to know, do you think the faa should allow drone delivery in the u.s.? weigh in at cnbc.com/vote. jon, you're first. >> well, in project called wing out of the google, just the latest in the drone space, as you mentioned amazon has said they are experimenting with drones, and they've become a bit of a hobbyist phenomenon. what's interesting is delivery of physical goods of any sore

over that final mile has become a challenge that's increasingly interesting as people want things here and now, not to wait even two days for amazon prime, and it's not clear exactly how the drone business will shape up. as we talk about it right now, it's agriculture that looks to be the first initial market for drones as a business. they can fly over private land. they can look and see where crops might be blighted. there aren't as many regulatory issue toss deal with. but google and amazon and their research efforts are looking out into the future to figure out what will be the most cost-effective computer-centric nonlabor intensive ways to deliver goods. this particular project has a five-foot wingspan, and it's shaped not like a helicopter, but like a glider. then it can stay aloft. interesting design, a bit

different, we'll see exactly how far it goes, sue. >> jon, stay with us, and let's bring eamon intoed conversation. what is the faa doing? >> i checked in with the faa this morning. there's a key distinction they make between autonomous aircraft, fully robotic vehicles that fly themselves and unmanned aircraft, aircraft controlled by somebody on the ground with a remote control. that distinction makes all the difference to the faa, which has banned -- there's a couple bullet points here from the faa. if you have an autonomous aircraft, you can't fly it in this country. that's why google was testing in australia. they have opened six test sites where you can practice and research on unmanned vehicles. so those remote vehicles controlled by the ground are available in the testing sites and the commercial users have been granted waivers in specific controlled areas to use some of those unmanned vehicles.

we have a list of the couple of types of companies that are doing -- have applied to the fundamental aa for waivers, including wolfer inc., wilbur ellis, which is talking about doing agricultural analysis, and cavu media, talking about motion picture and television filming. so a lot of specific industries really interested. >> let's lock in the vote. yes, totally wins by about 62%. it was close for a while, i have to say. 32% say no, they should not allow deliversies at all. 60% say yes, totally, basically. jon, you mentioned the agricultural component. i think maybe there would be less protests against it. you have a lot of open space and it's not in a suburban area. >> exactly, sue. when you think about it, that's a huge market. think about the crops that grow out there. a lot of times farmers don't

know in real time where there might be a pest problem, where there might be blight, a drone could fly over there without having to have a human being with a remote control over there. just over a planned route. actually drone companies right now are working on not only automated routes, but also swarming where multiple drones could automatically follow another one and cover a huge area to capture imagery or do whatever the drones might want to do. it's not just getting this thing in the air, but doing it with minimal human intervention. >> eamon, you want to comment? final word. >> that's exactly the challenge. how do you stitch together this drone economy with the existing civil aviation system in the united states. a fascinating moment just yesterday in malibu when they had the tremendous surf, and some of the news helicopters came out, and the new helicopters saw drones in the air. the helicopters taking pictures

of the drone taking picture of the surfers. all of that in the air at the same time can be challenging for the pilots and those operating the unmanned vehicles. getting them to work together safely will be the challenge. 62% of you say yes, totally. susan, over to you. let's look at what's coming up on the program. the white house come to silicon valley, and would you pay $2 for a virtual boyfriend or girl it's all the rage in china and all the in the power rundown. we also want to hear from you, weigh in. plus spending big bucks on -- you won't believe how much parents are spending to give their kids a leg up. that's coming your way 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.

cozy or cool? exactly the way you want it ... until boom, it's bedtime! your mattress is a battleground of thwarted desire. enter the sleep number bed. right now, all beds are on sale. he's the softy. his sleep number setting is 35. you're the rock, at 60. and snoring? sleep number's even got an adjustment for that. you can only find sleep number at a sleep number store. right now save 50% on the labor day limited edition bed, plus 24-month special financing. hurry ends monday! know better sleep with sleep number.

. might be consideration a buyout. you see the dip on the charts. so it's pretty volatile trading. viva systems, the life sciences software company beatings estimates.

sue? >> well sal kahn on yesterday from the kahn academy, an online educational organization that offers free classes virtually on any subject, but there are parents who don't mind spending money and a lot of it to give their kids a leg up. julia boorstin has that story. >> despite all those free tools, tutors is a $7 billion annual business in the u.s. alone. some parents happily pay hundreds of dollars an hour to help their kids get into college. with the online video chat platform some even spent more than $200,000 a year. >> if you are highly successful

professional, and you've accumulated a significant amount of wealth, $100,000 is not a significant investment. you've spent half a million in your child's k through 12 education. >> that is still a lot of money. the company offers a money-back guarantee though occasionally they swap out tutors if parents are not happy. dom any chu will join the conversation as well, but first we're going to stay with the education theme. according to 18-year-old michael simon's facebook page, he has been hired for a full-time engineering job at the social media site after interning there this summer the do you think it's a new trend for silicon

vall valley? it begs the question, do these kids need to go to college to get that four-year degree for the tech jobs? >> that traditional liberal arts degree very controversial in silicon valley. this has been going on for a while. i was in high school, a classmate of mine was rescrewed by microsoft a million years ago, but i think the big trend, especially for entrepreneurs, they figure if mark zuckerberg dropped out of college, do i need to go to college? and big names are encouraging kids to take a break and think if they need to spend all that time in college when the time is so valuable and they could be starting a new company. >> dom, you want to weigh in? >> my interest and point is it's changing the way we view -- he went to columbia, i went to cornel, julia wen to princeton. a lot of times the education we got maybe in the traditional sense will not be the same you need going forward. if you really do have a

situation where vocations become the next big thing, remember skilled labor in this country is at a shortage right now. if you could be a great locatal operative, a techie in any way, shape or form, you might have a bright future and get a job. that's the important thing. >> since you all are ivy leaguer, you have to give a shoutout to my alma mater cal state north. reports surfaced that google executive could take over his old job. is the obama administration trying to strengthen its ties with silicon valley? >> i think you're right, why not? think about all the criticism that government got for how it handled obamacare, and how much better the technology should have been? they want to have silicon valley on their side. they want the smartest minds in terms of technology to help make all those government systems

better. >> dom, the last word on this one. chinese online shopping is offering virtual partners, the service reportedly has they girl friends or boyfriends calling or texting you to wake up, say good night, listen to your complaints, for under $5 a days. before you answer whether you would do it, we want our viewers to weigh it. do you think virtual companionship would work in the u.s.? join the conversation. would you go for it, dom? >> i'll tell you what. for $5 a day, ebl probably find other uses. i'm for the passing judgment. i probably wouldn't go for the virtual friend aspect. i don't particular need somebody texting me, hey, how's it going or i love you. i kind of feel if it does create jobs and an industry, i'm all for it. >> quick comment, julia. >> i think this is crazy, sue. i mean, you can communicate with your real friends virtually.

just communicate with your real friends. there are so much social networking tools. reach out a touch a real person. >> i'm with julia. let's lock in the votes. would you pay for a virtual boyfriend or girlfriend? 53% of you say no, too creepy. i think i'm with them, too. susan, over to you. >> that is a closer vote than i thought it would be. another flight diverted over the dispute of a reclining seat. we want to know what you think. do do you think airlines will start charging for reclines? plus. surf allegation up, so is morgan brennan. morgan? >> hi, look behind me, you might see waves, but the surfing industry sees dollars signs. these waving represent multibillion dollar big. we're going to break it down for you after the break. stay tuned. . ♪ do you know what this means?

the greater the curvature, the bigger the difference. [sci-fi tractor beam sound] ...sucked me right in... it's beautiful. gotta admit one thing... ...can't beat the view. ♪ introducing the world's first curved ultra high definition television from samsung. who would have thought masterthree cheese lasagna

would go with chocolate cake and ceviche? the same guy who thought that small caps and bond funds would go with a merging markets. it's a masterpiece. thanks. clearly you are type e. you made it phil. welcome home. now what's our strategy with the fondue? diversifying your portfolio? e*trade gives you the tools and resources to get it right. are you type e*? 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. where the reward was that what if tnew car smelledit card and the freedom of the open road? a card that gave you that

"i'm 16 and just got my first car" feeling. presenting the buypower card from capital one. redeem earnings toward part or even all of a new chevrolet, buick, gmc or cadillac - with no limits. so every time you use it, you're not just shopping for goods. you're shopping for something great. learn more at buypowercard.com all right. electric 'check in on gold prices. looking at gold today, we're down a business. but on the broader markets, leading the way higher today. now, let's take a look at the bond market at the cme. this has been one of these weeks where it's been orderly, but will -- see the intraday charge.

volume send bad new low-yield -- pretty much since june of last year. even though everybody was quiet early, doing better. with regard to geopolitics. we see that it is best levels since mid july of last year, and many traders think the run is just starting to get going. have a great weekend. >> you too, rick. thank you so much. another flight diverted. this time it was forced to land in boston after the 61-year-old frenchman became upset when the

passenger in front of him reclined her seat. do you think airlines can start charging for reclining. go vote now at cnbc.com/vote. they already charge for everything else. they probably could start to charge for reclining. what do you think of the controversy overall? >> seats recline for a reason. more passenger than not want to recline. if you want the right to recline, you've accepted that the person in front of you may want to recline. you know, flight attendants have enough on their minds to keep everybody safe and basically comfortable. you don't want them referees these sorts of flights. iismts what about the device itself, the knee defender? i notice the faa did not judge

them to be a safety issue. should the airlines and/or the f aft a make them illegal? >> i don't know that it's an faa issue. i agree that they should worry about thing that are truly saved issues, but if an airline wants to ban it, absolutely. i like to recline my own seat. i september that the person in front of me can recline. i think that's a fairly fair trade-off. what happened on united several days those people were seated in the economy-plus section, with plenty of legroom. c'mon. >> they're putting more people in the planes in less room. >> air lines discovered a few years ago that the surefire way to lower yew unit cost is to pack more seats in the plane.

the drive down the united states cost. they're doing it not only in terms of legroom, but a little more quietly in terms of seat width. american with what just happened they're packing it more across some flights. >> seth, good to see you. have a great long holiday weekend. >> likewise, sue. do you think the airline should start charging for reclining. about 37% say yes they will, but the winner says no, that's too far with 63% of the vote. susan. over to you. storms in the pacific and atlantic have generated monster waves. we've been showing some of the best footage right here on "power lunch." it's not just waves on the rise. the surfing industry has seen impressive growth over the last few years. it doesn't show any signs of stopping just yet. morgan brennan on a tough

assignment today in beautiful beach haven, new jersey. morgan? >> thank you. it's a tough assignment, but somebody had to do it. big storms, by waves. that's bringing out a lot of surfers. global industry analysts, one of the few companies that cover it, serving is on track to become a $13 billion industry worldwide. analysts say it's growing by double digits. and overall push from associations to make this more acceptable and affordable. perhaps the biggest contributor to that growth has been new tech and new media. what some industry experts are call the go pro effect, but don't take my word for it. here's what kelly slater had to say about this on cnbc a few weeks ago. >> i've been involved with go pro for a few years now. i had a camera for months, didn't use it, went out one day

and used it for a single shot, a video shot and got this incredible shot, and thought gosh, i should have using it the last six months. >> slater has been a big investor in go pro. he's seen other surfers take to it as well. other tech, too, like drones. this footage was shot just this week as surfers caught massive 20-feet wave. just this morning i saw a drone, flying around and videotape the surfers here. the association of surfing professionals says all this cool video has made serving more possibly than evers. they're inks broadcast deals, with 40% of those viewers streaming this content on mobile devices. not only that, but this is taking effect in the social mooia, as well as surf fabs are engaging in social media.

susan, back to you. >> that's pretty cool. california going through a major drought, now has a new weapon to fight the wear crisis, but it's going to come at a cost. plus ace partment reits are on fire this user easily outperforming the major averages, and apartment construction at the highest level for years. is this a bubble, or more room to run? power is back in two. over 20 million kids everyday in our country lack access to healthy food. for the first time american kids are slated to live a shorter life span than their parents. it's a problem that we can turn around and change. revolution foods is a company we started to provide access to healthy, affordable, kid-inspired, chef-crafted food. we looked at what are the aspects of food that will help set up kids for success? making sure foods are made with high quality ingredients and prepared fresh everyday.

our collaboration with citi has helped us really accelerate the expansion of our business in terms of how many communities we can serve. working with citi has also helped to fuel our innovation process and the speed at which we can bring new products into the grocery stores. we are employing 1,000 people across 27 urban areas and today, serve over 1 million meals a week. until every kid has built those life-long eating habits, we'll keep working. has this kind of passion, this kind of innovation, engineering, design and performance... been available... for this kind of price. the 2014 cla from mercedes-benz. see your authorized dealer for exceptional offers through mercedes-benz financial services.

a volcano erupting in papau, new guinea this morning. the ash cloud prompted qantas to make changes to their flight path between sydney and tokyo and sydney and shanghai. this particular volcano is very powerful and deadly, destroyed a nearby town 20 years ago. pretty dramatic footage. let's get back to the markets, as we have stocks struggling to end on this final trading day of august, heading into the labor day holiday weekend. dom any chu joins you from the new york stock exchange.

here's what is happening. if you look at what's happening with the market, we're just about flat but near session highs. the month of august has been doing pretty decently overall. the s&p, though, so far, if you look at we'll call it, it's bum about 4% through the month of august. this is a big deal. if you look at the sectors, there are in outperformers in this particular month. say health care and consumer staples they're up by about 4.5%. energy and telecom stocks have been some of the lagging type of sectors. still we're on pace to at least close out slightly positive. with the s&p 500 today, if we can hold these levels, we are on pace for at least four weeks worth of gains, but we talk about this idea that things are a bit slow slower. whether or not they pick up next week, for the long weekend, that remains to be seen. for right now, ten-year yields

at 2.33%, and for the most part stocks holding fairly steady. i did speak to art cashin arier today, he said his bias right now is to take a bit of risk off the table. those are some of the themes on the floor today. so the big winner in august is the nasdaq, up more than 4%. melissa lee is following the big movers this hour. >> hey there, susan. some of the big winners, in fact making some new highs in today's session of know, take a look at shares of tesla. there's an agreement that it will build out 400 charging points across china. there'sing been a "wall street journal" report that china could consider a gas tax which will encourage the use of electric vehicles. as we're firing up the barbecues on monday, in china the tax incentives for electric vehicle will take effect.

meantime we're also watching a lot of cybersecurity stock. take a look at fireeye. even though it's been a rough ride since its high back in march. a lot of the other names in this space, they're also moving higher sharply in today's session. we should keep in mind, too that fireeye, palo alto, fort net are getting a boost, but they've also been named as potential takeout targets. raymond james had a note that hp could be looking at any of these names. we have to talk about apple, september 9th is just around the corner. lots of speculation in the marketplace, but this time it's a second report in as many days. today the f.t. is backing up what "wired" recorded yet that the iphone 6 will support a nfc

based mobile payments platform. we are seeing that stock jump. this has been a steady run. it's about a 50% year to date. sue, back to you. >> 5.3% this week alone. apartment reits are up this year, easily outperforming the major averages. at the same time apartment construction is at the highs level since 2006. might we be in double territory. diana has some answers. >> reporter: hi, sue. the question is, is it a bubble or not? we see apartment rental demand continue to surge despite the recovery in the housing market. i tell you, you don't have to go far to find sites like this one across washington and in make cities across the nation. up 50% in july from a years ago, and building permits, which are an indicator of future

constructions up 15%. again the reit returns are outperforming the s&p and outperforming all over major reit sectors. together some answers joining me is calvin shnorr, the reit industry association. let's start her. are we overbilling? >> what we see behind us is not an exception. we're seeing building all across the country. but you have to railroad there was almost no building immediately after the -- during the recession. you didn't have the cranes, you didn't have the construction. we're coming off an extremely low level. in fact, if you look at the overall housing stock, we were underbuilding by half a million a year for the demographics needed. that means we have a lot of catch-up to do. >> well, we look at those demographics, but say there's still folks living in the apartments. are we starting to see that ease

up? are we starting to see that move in here? vacancies are still very low. are we going to see a surge in that demand? >> we're seeing some increase in rentals, the number of increased over half a million. we hadn't seen it being quite that strong before. what's happening is there's a lot of people doubled up. mill lennial, there are people hurt by the housing crisis who left the single-family home who didn't buy and are doubled up. as the job market improves and they have a steady paycheck, they're more likely to go go out and sign a lease. >> we see these incredible rise in rents going out there. in many markets we've seen reports it is far more affordable to own a home than to rent. why would you keep renting? >> it's only affordable to own on home if you can qualify for the mortgage and have a down payment. those who might want to own but not in the near term. >> do you feel the stocks are overbought? >> i get that question a lot but

for the previous two years the stocks went nowhere, but the whole time the market was gathering momentum. you say vacancy rates fall, in fact the earnings are much higher. so no, it does not look like a bubble. >> thank you very much. back to you guys. california caught a severe drought crisis. the golden state now finding a new way to tackle the water shortage. jane wells is live in san diego. >> reporter: california needs water, there's a bunch of water. is it finally economical to do desalination, a billion dollar plant is betting it is. it will be the largest in the western hem fear. we'll show it to you after the break.

virtually all your important legal matters in just minutes. now it's quicker and easier for you to start your business, protect your family, and launch your dreams. at legalzoom.com we put the law on your side.

in a we believe outshining the competition tomorrow quires challenging your business inside and out today. at cognizant, we help forward-looking companies run better and run different - to give your customers every reason to keep looking for you. so if you're ready to see opportunities and see them through, we say: let's get to work. because the future belongs to those who challenge the present. 2% of you say only high-tech jobs, 44% say no, they're gone forever. 33% say yes, we're making

progress. >> let's check in on some of the movers. big lots in the red beating profit estimate, but revenue -- however, big lots is racing the lower end of the full-year forecast. astrazeneca is higher. moving one of the new cancer drugs into a mid stake study. the drug is designed to help the body ace immune sim ward off tumors. now the case has been confirmed in senegal. california going through as historic drought, farmers, the state's agriculture, even city folks are suffering in one form or another, but the golden state is trying to fight back. jane wells is live in beautiful san diego, california. hi, jane. >> hey, sue, not everyone is a

fan. california has never been drier, at least in recent memoli, but it has access to the biggest -- so could the expensive process ofesn na >> this is one of the reversus osmosis membranes that will be in the plant earp everybody is watching the plant being built in carlsbad. when completed next year it will be the largest facility in the western hem i sphere. the plant will provide 50 million gallons of freshwater every day. that's 7% of the region's needs, a potential project that's been 14 years, 14 lawsuits in the making, but with san diego importing nearly all of its water and an epic drought, perhaps the timing is everybody. >> right now the cost is about twice as expensive as imported water, but imported water rates continue to rise, and the cost

of delynnated water is a fixed price for 30 years. it takes 2 gallons of seawater to make one gallon of fresh, but po siden says the taste tests prove they taste about the same. however, it will raise local water bills $60 a year critics worry about the impact to marine life, the high energy cost of running the plant. if the drought does end in coming years, do you really need it? but if the plant succeeds, it could bring new life into a dozen such projects planned on the books at least. it is a big deal, a lot of money, and people are watching it closely. back to you. >> jane, thank you. coming up, getting out of the rat race from weight to the water. coming up, this former broker decided to ditch the suit and tie when he traded wall street for a wakeboard. >> i would do this for free. >> escaping the cube, next. you do a lot of things great.

but parallel parking isn't one of them. you're either too far from the curb. or too close to other cars... it's just a matter of time until you rip some guy's bumper off. so, here are your choices: take the bus. or get liberty mutual insurance. for drivers with accident forgiveness, liberty mutual won't raise your rates due to your first accident. see car insurance in a whole new light. call liberty mutual insurance.

but what if you could see more of what you wanted to know? with fidelity's new active trader pro investing platform, the information that's important to you is all in one place, so finding more insight is easier. it's your idea powered by active trader pro. another way fidelity gives you a more powerful investing experience. call our specialists today to get up and running.

could help your business didavoid hours of delaynd test caused by slow internet from the phone company? that's enough time to record a memo. idea for sales giveaway. return a call. sign a contract. pick a tie. take a break with mr. duck. practice up for the business trip. fly to florida. win an award. close a deal. hire an intern. and still have time to spare. go to comcastbusiness.com/ checkyourspeed if we can't offer faster speeds - or save you money - we'll give you $150. comcast business. built for business. thee years ago joey decided that a desk job at a wall street brokerage firm didn't quite suit him form the derivatives broker traded his jacket and tie for a wetsuit, a wakeboard, and never

looked back. >> i had this realize sag that you're going to stare at the same screen next to the same people every day for the rest of your life. hi, i'm joey, and i own piconic water sports. but i used to work on wall street. here i worked at a broker firm trading derivatives, i knew i didn't want to do it after about four months. i didn't know what i was going to do next. i actually just quit to not be unhappy anymore. i went back to my old wackboarding jobs. i worked at schools like this through the end of college. i was working at greenport, it started with just me, but i quickly hired my brother and friend. >> he looks better in a tank top than a suit. i'm joey's younger brother.

my biggest concern was how we were gets to get money. >> i had a bunch of money saved up. i got a loan and borrowed money for the first bot. our first june was rainy and slow. we didn't turn business, and then that fourth fourth of july, we just exploded. ♪ by the end of our first season, we knew this was something we were going to keep doing. we started with just one boat and pretty quickly went from 1 to 2. we do credit card transactions on the iphone, do the booking through a cell phone, so we don't carry the fixed costs of a traditional business. >> i think it gave my a chance to say i could do something else. >> i would do this for free. to get up and do what i would be doing all day anyway is the greatest thing you could imagine. >> it looks great, right? before you get too jealous, he says that he and his staff work

seven days a week during the summer to take advantage of the short season. when that season is over, they relocate to warmer climates to do research and prep for the next year. it looks pretty good to me. >> still a pretty good job, i'll say. we have stocks ending higher in august. three of the biggest etf winner this month. first what's coming up on "street signs" at the top of the hour. in a week, we're going to explain why volume does matter and why it should matter. also a further storeowner that gave away $1 million in furniture, all thanks to texas a&m's big win. how to invest in wine rather than just drinking it. last but not least, why brian says he is now moving to germany. all is revealed at the top of the hour. make sure you join us on "street signs." a card that gave you that "i'm 16 and just got my first car" feeling. presenting the buypower card from capital one.

redeem earnings toward part or even all of a new chevrolet, buick, gmc or cadillac - with no limits. so every time you use it, you're not just shopping for goods. you're shopping for something great. learn more at buypowercard.com cozy or cool? exactly the way you want it ... until boom, it's bedtime! your mattress is a battleground of thwarted desire. enter the sleep number bed. right now, all beds are on sale. he's the softy. his sleep number setting is 35. you're the rock, at 60. and snoring? sleep number's even got an adjustment for that. you can only find sleep number at a sleep number store. right now save 50% on the labor day limited edition bed, plus 24-month special financing. hurry ends monday! know better sleep with sleep number. 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. frothere's no reasonn average 17 we can't manufacture in shuthe united states. here at timbuk2, we make more than 70,000 custom bags a year, right here in san francisco. we knew we needed to grow internationally, we also knew that it was much more complicated to deal with. i can't imagine having executed what we've executed without having citi side by side with us. their global expertise was critical to our international expansion into asia, into europe and into canada. so today, a customer can walk into our store in singapore, will design a custom bag

and that customer will have that american made bag within a few days in singapore. citi has helped us expand our manufacturing facility; the company has doubled in size since 2007. if it can be done here in san francisco, it can be done anywhere in america. all right. before we hand it over to mandy and brian, let's look at the markets. the dow down just a fraction of a percent, really. the s&p is still in the green. the nasdaq is in the green as well. the ten-year note, the yield, there's geopolitical risk, you have britain increasing its threat level today, so the

yield, we did see a flight into the ten-year note and came down to 2.33% on that. 3 of the biggest movers in terms of the month for the dow, the dow up about 3% for the month of, the s&p up a bit better than that and the nasdaq composite was the winner overall. as for the etf winners, you wouldn't think that retail would be there, but it is, because the spdr s&p index was up 6%. i-shares, nasdaq, biotech, up 10%. market vector semiconnector index up almost 6%, as for the transports for the month, it was a rocky road, down a bit today, but for the month up about 2.25%. a ten-year note for the month down almost 5.5%, but that's -- it's been fun to have you here,

susan. >> thank you so much. >> safe travels. >> and have a great labor day weekend as well. >> absolutely. all right. that does it for "power lunch." have a great long weekend as well. "street signs" begins right now. so much for the dog days of august. stocks set to close one of the best months of the year, but forget the past, folks, your fall playbook is coming up. plus the good news story about the economy that nobody else seems to be talking about the jean yes, sir move one -- and if you want to invest in wine, but don't know a caber nate from a cabaret, don't worry, we're going to show you how to invest in wineries. >> it's also national chop suey day, brian. it doesn't get any better than that. i want to do a checklist of all the things we have accomplished in the markets this week. s&p 500 reaches