leaving them exposed. >> okay. bob, thank you for joining us this morning. >> good to be with you again. >> appreciate it very much on this anniversary date 13 years later after 9/11. join us tomorrow. "squawk on the street" begins right now. good thursday morning. welcome to "squawk on the street." on this 13th anniversary of the 9/11 attacks, it is a morning of remembrance. we will see a moment of silence at the exchange in a few minutes. it is a busy news day. david will have an interview with sprint's ceo. >> the dow failed to put two winning days together since august 22nd. the president laying out his strategy for isis.

gold, crude moving lower this morning. the dollar setting some new highs. just now, jobless claims rise to the highest levels since june. poised for a higher open, lulu lemon beats on the top and bottom line. raises forecast for the rest of the year. another retailer trying to regain its cool. more from target, as well. the exclusive interview we just mentioned, that newly minted chief of sprint will sit down with favre. oil prices falling on worries about growing supply, international energy agency lowering its oil demand forecast. this on the morning after the president delivered that primetime address outlining his strategy for combatting the threat from those islamic militants, including american air strikes in syria. >> this counterterrorism campaign will be waged through a steady, relentless effort to take out isil wherever they

exist and support for our partner forces on the ground. this strategy taking out terrorists who threaten us while supporting partners on the front line is one we have successfully pursued in yemen and somalia for years. >> we have an open-ended military campaign that is getting broader. let's look at it through the lens of mashts and stocks. >> i think there is a sense this adds to what is evolving to what looks to be a worldwide slowdown. we juxtaposed the president's speech with oil. that's very important because we are supposed to have go up at the time of turmoil. iraq is a couple million barrels a day. we look at what's going on in libya that's big. nigeria, ebola, russia. they already started cutting back natural gas to poland, an unlooked upon story. oil should be up.

it's confusing people. demand is down. if we see demand down, we'll be worried about companies with international growth. meaning the same american companies with good business in china, good business in europe. people are just trying to calculate it. people must have been long oil betting one of these three hot spots would indeed go up and cause oil to have a super spike. it didn't happen. >> gold as well. $1,246 is around the level bulls argue has to hold before they start setting the targets in the $1,200 range. >> people are confused. we know in a time of turmoil what we reach for and what we sell. what we obviously got to own gold. we have to think oil is going to go up. this looks very much like 1990 or before the second gold foreign. when the playbook doesn't work, people sell. there are a lot of people who say, wait a second, i can't make

any sense of it. i'm speaking of hedge funds, typically. i'll just leave. that's why futures are down. >> how about names that are domestic, aren't leveraged to europe. momentum names you say bifurcated this market. >> the money comes back to them. it is daunting for people to recognize there are companies that get anointed. this morning, people -- i read jim cramer on twitter, people criticize me. go pro. quintessential domestic name. the new product is very, very strong. that stock goes up. people say, jim, that is a hideous market go pro. >> i'm saying when twitter comes down, you buy twitter. you don't look at the international news flow and say i'm going to sell gilead. the world doesn't work like that. the world is not a fair place. money goes somewhere.

alibaba is going to cause selling. i was on the alibaba site last night trying to buy something. people should go there before they put in for stock. >> because? >> it's fabulous. >> really? >> it's fabulous. >> having started mostly as a b2b. >> if you design something and want to have it made, it's so expensive, i can't justify it. i can put out an order that says i want chairs for my small plate mexican restaurant. i can get them designed. shipping is expensive, but labor cost worldwide -- this is like a globalization play. people view it as amazon. i can't go on amazon and do a purchase ordinary for the kind of chairs i want. it's very easy. people have to understand why it can have more sales than amazon and ebay.

use the site. >> absolutely good advice. speaking of retail, shares of lulu lemon up. 33 cents a share. that was a beat. revenues beating consensus helped by higher direct to consumer shares. lulu lemon raising full year guidance by a penny. we know what they've been through over the course of the year. >> it's not sleight of hand, it is forecasting. lululemon is down a lot. i still think yoga is big. i've been focused on deckers brand because they have a new yoga shoe. do you buy lulu? yeah, yesterday you buy it. come on. let's face it. you missed it. >> we should point out, the guidance they are raising is

nowhere near making up for the june guidance they gave which slashed everything. >> exactly. exactly right. is the yoga concept good? yes. that's why others are getting in on it. i think there is definitely a cessation of the turmoil at lulu, which is good. whenever we see cessation of the turmoil, management can focus on the business. i do believe yoga is not a craze or a fad. i miss christine day, the former ceo. i like to see positive comps. jc penney did not bounce until you had positive comps. i like to see positive comps. i'll make five below, i'll deal with that. i will accept restoration hardware. when comps are negative, it's tough to get behind something. >> interesting morning for retail. downgrade at macy's at stern's.

this news out of radioshack today, an adjusted per share loss doubled the estimates, actively exploring options to overhaul the balance sheet. they need to recapitalize before running out of cash in the very short term. judge, that made me look $600 million plus in revs the corner. those shorting best buy, keep track of the fact radioshack -- you want to be in business against radioshack. circuit city folded overnight. you should recall when that next store goes under, if that happens to radioshack, people want electronics. they are not all going to go to amazon. is there a big theme in research about web rooming. people have been going to best buy and buying it online. just be careful if you are short best buy. this could be an unseen positive

that happened very quickly. >> right. best buy with a huge short interest, as well. >> a year ago we were talking about the very exciting radioshack ads. i go to the shack. why do i go to the shack? i have no idea. >> that's an excellent point. finally on the stern downgrade of macy's, you liked the name for a long time. >> compelling points. compelling points are a peak. remember, there are a lot of retailers, particularly kohls we don't talk about, jc penney, nordstrom. macy's did not make the number. the theme of this piece is macy's had a really good run. it's given you a dividend boost. everything is good there. that's why it's where it is. you need more to get it higher. more like it can't go up a lot from here. it's not anything that makes me feel like macy's isn't a great operator. the up side is limited after this run. >> given the take today will be

reflective. >> very much so. when we come back, our exclusive with the new ceo of sprint, marcelo claure took the top job a month ago. we settle into this anniversary of 9/11. of course, a moment of silence here at the new york stock exchange in just about 15 minutes. opinions. there's no shortage in this world. who do you trust? whose analysis is accurate? how do you make sense of it all?

a simple, unbiased stock score consolidated from the opinions of independent analysts... is that too much to ask? nope. equity summary score, powered by starmine, will help you execute your ideas with speed and conviction. and it's only on fidelity.com. open an account and find more of the expertise you need to be a better investor.

i'm david faber.

at goldman sachs annual communications and media conference. joined by the new ceo marcelo claure, prior to your presentation that will take place about an hour from now. thank you for joining us. >> thank you for the opportunity. happy to be here. >> i sat down with your main shareholder who controls roughly 80% of sprint earlier this year. he and i talked about the need for scale at sprint. i asked him without that scale, what are the chances for success? he said to me and i checked the transcript, it's a long shot. do you think it's a long shot? >> no. i mean the reason why i took this job because i believe in the prospect of sprint. i believe we only have 16% market share so i see tremendous opportunity. i see a chance that this industry can be a lot simpler. i'm in it and i think we have a good opportunity to continue to grow sprint. >> what do you mean simpler?

>> i mean our industry is confusing. if you just saw the launch of the iphone 6 then you see every carrier throw different offers, i think if you are a consumer and you look at all that, it is confusing. you never know what's the rate, what's the cost of the phone, what is the contract? we are trying to simplify and bring a simplified proposition to consumers. >> i could be confused by what you offered recently. $100 for ten lines. that seems good versus your competitors. the latest is the iphone offer for the 6 and 6 plus, as well. it's $50 for unlimited talk, text, data. >> we call it the best proposition for wireless. if you are a family, bring up ten devices and go at it with 20 gigabytes of data. if you are an individual, it's

simpler. $50 a month, unlimited. go at it, all the text, all the data, all the talking. i think we simplify it. >> you are also potentially bringing prices down. some would say you are in a price war. at&t is repricing its entire base of customers in a way. t-mobile has been extraordinarily aggressive. john legere last night on cnbc said by the end of the year he will pass you, sprint, in customers. do you think that will happen? >> i think it's early to tell. we are focused on running a company profitable. we are running on having a better quality of customer. if you see their offers, they are aimed at bringing back profitability. we are not in the game of chasing t-mobile. >> how do you bring back profitability if you are cutting price, and i would assume, crimping your margins? >> we've done a couple of things on my fourth day on the job we

basically brought some new offers. the new offers doesn't necessarily hinder profitability. the new offers make it simple for consumers to understand what we are offering. our value proposition wasn't clear in the past. we are making it simple. that doesn't mean we are going to hit profitability. on the second way to look at it is, i think we were letting a lot of customers into our network from a credit perspective and that just brings problems in the future. >> you've got $27 billion of debt on your balance sheet. while you have soft bank there it's not going to be the case they are going to unlimitedly fund you, so to speak. that you are boxed in when

you've got verizon and at&t here and an incredibly competitive t-mobile. how do you succeed? >> i look at it differently. yes, we do have a lot of debt but we are generating good ebitda that allows us to have that sort of debt. when i look at a competitive perspective, there is room for everybody. this is the biggest market in the room. consumers are looking for a great value. that is what we are bringing to them. we've seen great things happening. >> when should i say let's sit down again. i want to talk and say whether or not the simplicity you interest deuce e introduced, when should i say you succeeded or it hasn't worked? >> i think it's going to take time. we should sit down every quarter and talk about how we are getting better and what areas we are getting better.

we are attracting better customers. it's been a short period of time. we are focusing on the basics, the fundamentals of the business. that is a good start. this is a long journey. we've got to make sure that we have an appropriate customer to serve. we want to take advantage of something nobody else has. we have a great spectrum position. 160 megahertz. what consumers care about is data. data, you need capacity. with a respectable position we are privileged. that means we've got to work hard and build a network. >> even over three weeks you see improvement. you were living a nice life in miami, bright star, successful company, your company.

an entrepreneur. plenty of money. why would you take this job? >> i think it's one, i like to be the underdog. this is a great job. sprint is a great company. the challenges help make sprint a greater company. i love challenges. i was luck write to sell my company to my largest shareholder of sprint. he identified i could be the leader for the next face of sprint. 43 years old running a company with 33,000 employees. >> only 43 years old. i've got a lot of road ahead of you. >> charlie erkin said of you, you are the right guy to go to war. is it going to be a war? >> you call it -- thanks, charlie, for that comment. every day we battle for consumers. so it's a battle. we market our products. we have three very tough competitors. we go every day to win this what thele.

to win this battle. how many subscribers come and how many go away? the only thing that matters, we've got to get more customers coming to sprint. in the last couple of years, hasn't been the case. now we have a great challenge. we are only being measured by that. i must share we had a couple of days where we had more customers co coming and massa hasn't seen that since the day he bought sprint. we are telling consumers. it's very simple. when you see all this confusion, look at the total cost of ownership. how much does your phone cost? then compare us. i guarantee while i have this job, we'll have the best value for wireless every single day. >> you'll keep the company in kansas city? >> absolutely. that's where the heritage is. it's been there since 1899. we've got to make sure that's where it stays. >> marcelo claure, thank you for joining us. >> thanks for the opportunity.

>> we hope to have you back every quarter. >> we will. we'll measure every quarter. >> great stuff. thank you very much. jim, your reaction to a company that's been behind the 8-ball for a while? >> to me, i think what's happening here is this is just the quintessential long game. it's the long game play. you know what? you and i both looked. who plays a long game? how about a 43-year-old? the guy's got time on his side, doesn't he? >> a moment of silence here at the new york stock exchange. kid: hey dad, who was that man? dad: he's our broker. he helps looks after all our money. kid: do you pay him? dad: of course. kid: how much? dad: i don't know exactly. kid: what if you're not happy? does he have to pay you back? dad: nope. kid: why not? dad: it doesn't work that way.

kid: why not? vo: are you asking enough questions about the way your wealth is managed? wealth management at charles schwab so i can reach ally bank 24/7, but there are24/7branches? it's just i'm a little reluctant to try new things. what's wrong with trying new things? feel that in your muscles? yeah... i do... try a new way to bank, where no branches equals great rates.

the new york stock exchange and the nasdaq each about to observe a moment of silence and remembering those who lost their lives in the 9/11 attacks 13 years ago. it's a tradition, although the day is tough, people take comfort remembering at 8:46 a.m. american hit the north tower. they packaged these into a couple of moments of silence we'll get in about 45 seconds. it's a tough day. i was struck by one fact "the new york times" had this morning. kids in kindergarten on 9/11 are now in college. even though the memory is so fresh, it feels like it was not that long ago. >> it's cloudy today. there's been days where it's a clear day. it was the clearest day of all that day. i woke up and said it's cloudy. thank heavens. we just focus on them, not focus

on that second we saw. >> the president and first lady are with the chairman of the joint chiefs at the pentagon today. they are going to lay a wreath not too long from now. of course, the president is expected to make comments around 10:00 a.m. eastern time. here is a moment of silence at the new york stock exchange.

the president here at the pentagon this morning expected to seek around 10:00 a.m., some brief remarks after his comments to the nation last night regarding the broadening effort to combat isis. we might get a shot of the president walking here. if not, we'll bring you that later on in the morning. [ hoof beats ]

i wish... please, please, please, please, please. [ male announcer ] the wish we wish above all...is health. so we quit selling cigarettes in our cvs pharmacies. expanded minuteclinic, for walk-in medical care. and created programs that encourage people to take their medications regularly. introducing cvs health. a new purpose. a new promise... to help all those wishes come true. cvs health. because health is everything.

who found a magic seashell. it told him what was happening on the trading floor in real time. ♪ the shell brought him great fame. ♪ but then, one day, he noticed that everybody could have a magic seashell. [ indistinct talking ] [ male announcer ] right there in their trading platform. ♪ so the magic shell went back to being a...shell. get live squawks right in your trading platform with thinkorswim from td ameritrade. live shot of the pentagon on this anniversary of the 9/11 attacks. they are playing the national anthem. you are watching cnbc "squawk on the street." we'll get the opening bell in about 20 seconds. it's tough to talk about stocks,

specific stories on a day like this, jim, but it's what we do. we'll get you some of the news of the day in just a moment. there's the bell. a look at the s&p at the top of your screen. organizers of 9/11 day, national day of service and remembrance. and tuesday's children, fostering healing and families directly impacted by september 11, 2001. at the nasdaq, fdny, nypd, new york police fire widows fund. >> for those of us who knew people there, it takes your breath away and will always take your breath away. i walk by it every day andrea think about it every day. we just remember, reaching out again, everyone should reach out to anyone who lost someone that day. just do it. just do it.

call them, e-mail them, write them. do it. >> one last note. i was struck by yesterday's move to give the congressional medal of honor to the three pentagon shenksville and here, the lost innocence. it's important to remember those 2,000 plus people. it's a good honor. let's talk business. a couple of interesting strategic moves by emc and jdsu as companies try to reinvent themselves. >> emc, new york post story, i thought that made sense to bring out value. vm wear is an excellent company. it is far more involved in the internet world than emc. jdsu which would stand for just don't sell uses then became just don't sue us for the crater.

this makes sense. i love the piece, the marriage is over, who gets the kids? you are talking about a surface company, optical company. do you want the pieces? people have been crying for a break-up for a long time. it was shotgunned when it was put together during the hype. now it is starting to be more rational. neither business is all that exciting to me. once you split them up, holy cow, hidden value. >> once had a market cap of $100 billion. now $2 billion. they only save $50 million in cost savings on this thing. >> what you have to hope is the company is more focused on the service side of the business. when i look at jdsu, this has always been something people don't want to touch.

it's almost like, it's not us, we didn't do it. maybe the good thing about it, they put behind who they are. get rid of the name jds. get rid of the name uniphase. i remember the merger. >> i think there has been a visceral reaction just to the ticker alone. >> i know. it's the cleveland browns going to baltimore. change your name. >> mcdonald's yesterday, news breaks they copyrighted the term mcbrunch. of course the web went crazy with that. >> it's mcdividend. when it got to 3.5%, people liked the dividend. it's funny, we were saying maybe this is your chance. my problem is, obviously, it is a bit of a bond until they figure this out. does mcbrunch move the needle? no. mcfresh, natural and organic moves the needle. you ate mcdonald's on the set

the other day. does it taste better than chipotle? there are certain things that created -- there is a good article in "the new york times" about cereal and how it is creative to love it. they fool our taste buds, but they never can fool our bodies. >> "journal" had a good piece this week on the pop tart and kellogg's has seen it grow 32 years in a row. people are going organic but love their pop tarts. >> all of us had weaknesses. when i had the krispy kreme people on i said, how do you rationalize selling donuts? they said it's a treat. pop tarts can be a treat. how often a can you treat yourself before you are mistreating your body? >> exactly. twitter is down. >> just go buy it. these are anthony nodo actions.

i love him. i've loved nodo for years. big convertible. >> this is one of the reasons i liked yahoo the whole run up. companies can reinvent themselves. twitter, remember all the stories about how they weren't able to monetize? i think twitter is becoming your personal newspaper. you follow what you want. i was talking to scott yesterday. i was thinking i want to follow namar to see if he is the guy wapner tells me he is. you don't have to tweet, which is the holy gray. >> canacord comes out with a buy. >> there is a huge amount of momentum here being figured out. we know that it has, the numbers

are staggering. this idea of your facebook being yourself, twitter being your newspaper, that's the future. i thought read it. i like redit. redit you can personalize. for people not just of that ilk, i want to follow these stories. i want everything on isil. it's the smartest people i want to know about the toughest issues. >> i think twitter should package things like that. spotify packages a list for an italian dinner date. >> that's great. they are going to say maybe if you were more savvy, would you know it. i say, no, one of the things you have to do is make it for the people who are not savvy. that's what apple did. you're not that savvy? our computers are for the less

savvy, which they are. i always found this operating system i have on my hewlett-packard to be harder than my apple system at home. >> one of the note on one of the biggest gainers of the year, kroger increasing guidance. comps looking better than we thought? >> here is why people have to understand. >> kroger, 4.8% comps. they increase guidance. goes to $3.22 to $3.28. whole foods is 25. whole foods is growing more slowly. that's why there is this convergence between kroger and whole foods. >> let's get to the president this morning at the pentagon. >> we count as blessed those who

have persevered. secretary hagel, general dempsey, members of our armed forces and most of all the survivors of that september day and the families of those we lost, michelle and i are humbled to be with you once again. it has now been 13 years. 13 years since the peace of the american morning was broken. 13 years since nearly 3,000 beautiful lives were taken from us, including 125 men and women serving here at the pentagon. 13 years of moments they would have shared with us. 13 years of memories they would have made. here once more, we pray, for the souls of those we remember. for you, their families who love them forever. and for a nation that has been

inspired by your example, your determination to carry on, your resolve to live lives worthy of their memories. as americans, we draw strength from you, for your love is the ultimate rebuke to the hatred of those who attacked us that bright blue morning. they sought to do more to bring down buildings or murder our people. they sought to break our spirit and to prove to the world that their power to destroy was greater than our power to persevere and to build. but you and america proved them wrong. america endures in the strength of your families, who through your anguish kept living. you kept alive a love that no act of terror can ever extinguish. you, their sons and daughters,

are growing into extraordinary young men and women they knew you could be. by your shining example, your families turned this day into something that those who attacked us could never abide. that is a tribute of hope over fear and love over hate. america endures in the tenacity of our survivors. after grievous wounds, we learned to walk again and stand again. after terrible burns, you smiled once more. for you, for our nation, these have been difficult years, but by your presence here today in the lives of service that you have led, you embody the truth that no matter what comes our way, america will always come out stronger. america endures in the dedication of those who keep us safe. the firefighter.

the officer. the emt who carries the memory of a fallen partner as they report to work each and every day, prepared to make the same sacrifice for us all. because of these men and women, americans now work in a gleaming freedom tower. we visit our great cities. we fill our stadiums and cheer for our teams. we carry on because as americans we do not give in to fear. ever. america endures in the courage of the men and women who serve under our flag. over more than a decade of war, this 9/11 generation has answered our country's call. three months from now, our combat mission in afghanistan will come to an end. today, we honor all who have

made the ultimate sacrifice these 13 years. more than 6,800 american patriots, and we give thanks to those who served in harm's way to keep our country safe and meet the threats of our time. america endures in that perennial optimism. tomorrow there will be teenagers and young adults who were born after 9/11. while these young americans did not know the horrors of that day, their lives have been shaped by all the days since. time that has brought us pain, but also taught us endurance and strength. a time of rebuilding, of resilience and of renewal. what gives us hope, what gives

me hope is that it is these young americans who will shape all the days to come. 13 years after a small and hateful minds conspired to break us, america stands tall and america stands proud. and guided by the values that sustain us, we will only grow stronger. generations from now, americans will still fill our parks, our stadiums, our cities. generations from now, americans will still build towers that reach toward the heavens, still serve in embassies that stand for freedom around the world, still wear the uniform and give meaning to those words written two centuries ago, "land of the free, home of the brave." generations from now, no matter the trial, no matter the challenge, america will always

be america. we count as blessed those who have persevered. may god bless your families who continue to inspire us all. may god bless our armed forces and all who serve to keep us safe. and may god continue to bless the united states of america. >> that is the president using the words repeatedly "america endures" on this anniversary of the 9/11 attacks. the dow is down 55 points this morning. let's get to bob. >> we were weak overnight after jobless claims came out. the weakness is in the commodity xlengs. talking energy as well as material names in general. we are seeing pressure because look what commodities are doing. brent at a 17-month low. base metals are weak, as well. copper at a three-month low.

zinc and aluminum trending to the down side. your big names like freeport and southern copper, bhp, rio tinto, they are down about 4%, 5% on the month. been a steady decline for most of these big names. oil and gas. i've been telling you about shale plays. even big names in the energy complex like chevron, for example, or pioneer or hess, for example, are also under pressure. they are not exempt from this decline we've seen in the commodities. elsewhere, airlines, well they are holding up pretty well. they are modestly on the up side. you can see not big gains today. want to talk about the ipo market. we'll have an interesting test tomorrow morning about whether there is an alibaba effect or not. talking about the idea perhaps alibaba is such a gigantic offering it will reduce interest

in other ipos. we have a small one rewalk robotics. great idea, great company, but it's a small offering. we'll see if there is any kind of effect. a lot of people worry alibaba sucking the oxygen out of other ipos coming. we've finally got a tech ipo they announced. cyb cyber-arc software. they are going public on september 24th. about $70 million offer, $13 to $15. no u.s. tech names. i don't see go daddy saying anything. line, the big messaging system in japan. don't hear anything. those are the big names everybody is waiting for. silence until now. we have a big bank coming. the largest bank in colombia will be going up september 24th.

big names coming. finally, the ipo etf is at a new high. there is some interest in ipos. down a little bit today, but new high. back to you. >> bob, thank you so much. david faber in the last half hour brought us that exclusive with marcelo claure, the new ceo of sprint, talking about the challenges for that company. take a listen. >> i like to be the underdog. this is a great job. sprint is a great company. the challenges help make sprint a greater company. i love challenges. i was lucky to sell my company to my largest shareholder of sprint. he identified i could be the leader for the next face of sprint. how lucky can i be, 43 years old, running a company with over 32,000 employees and one of the leading telcos in the world? >> crammer called it the quintessential long game. >> he didn't have an answer when

i mentioned his age to him. first time we heard from him, of course. he does seem committed to the job. not a great deal of clarity there except the basic idea we are going to try to win customers by offering them a simple, straight forward value proposition to buy our service. >> one thing that confuses me, dan hessy said it's billions and billions that need to be spreen. money seems free when you are talking about for twitter. is money going to be forever free for sprint? >> good question, jim. right now you and i talk every morning when we look at the fixed income facts. you know from me that this company issuing this debt at this price, they can. $27 billion is a lot of debt. you've got to remember they've

got an 08% owner. how much more do they want to throw in? how much more will be needed? scale is what this company wanted with potential merger with t-mobile. they did not get it. they are going to plan b which is to be very competitive on price. he said judge me every quarter. i'll be following this story as you will closely for years to come, perhaps, to see if sprint can make a go in what is becoming a much more competitive market. >> i love the interview. i kept thinking, why do i want to own this common stock? you basically are being told, look, we are just many years away, it's 20%, maybe there is a new product story or something exciting we don't know about. we talked about how the new

phone apple has the spectrum for sprint is good in conjunction with apple. is there some trick to it we are not thinking about? >> i don't believe so. i think the trick eis trying to execute every day and get out there in the marketplace and offer a value proposition, simply put. i did ask claure about the new plan for the iphone and his expectation for the launch of the 6 and 6 plus. we'll have that in the next hour. guys, quickly, did want to get to a faber report, as well. change things completely from communications, if i can, back to the big battle i've been following for so long. we talk about often allergan versus val eant. we follow the continue consensus coming in.

later today they will have reached 35% of the shareholders of allergan consenting to a special meeting. why is that important? you may recall allergan is trying to enjoin bill ekman voting their 9% stake in allergan in a special meeting. if that were to be the case ackman couldn't vote those shares, they have enough to meet the 25% threshold needed, that they need to meet by september 14th to call that special meeting. the company has not committed. they told us a date of december 18th. we shall see. when it comes back to allergan, if there is going to be a deal they try to pursue to perhaps use up that balance sheet in the past, something we talked about a lot, time is of the essence for them to a certain extent if they want to try to get something announced and perhaps closed prior to potential special meeting. again, they are at 35% or will be by the end of today. back to you guys. >> all right. david, thank you so much. great stop.

we'll get stock trading with jim in a moment. s&p back down to 1990. how do you beat the number one seed? you just have to win 70% of your points at net. and keep unforced errors under 10%. on the ibm cloud, the us open analyzes 41 million data points from 8 years of competition to uncover key insights. data can help show you how to win, no matter what business you're in. today there's a new way to work. and it's made with ibm.

>> hard to talk individual stocks, get fired up, gloomy day, sad day. but we do this. white wave, wwav a stock i like very much will be taken over by a beverage company. they do plant-based beverages. whoever buys them will become more natural and organic. the other, i think yesterday david did this terrific piece about cbs outdoors. facebook again is the way people are getting in touch. the news feed thing that zuckerberg came up, the advertisers love it. the advertisers just love it. you are reaching the people you want to reach on their personal page. >> targeting that outdoor can't begin to match. >> nobody can. >> i want guys in new york aged

25 to 30 who make x and recently bought a blender. >> remember half the people read the advertisement we don't know which half? 100% people in advertising know exactly who they are, the people in facebook. you are going to get a chance to buy it, i think, when the big mutual funds sells stocks to take in alibaba. they can't just sell amazon. they are going to sell other stocks that are growth stocks. i suggest i wait. i would not buy more here. wait until you get some selling off of what i see to be the deluge that is going to come from alibaba. you probably want to do the same thing for twitter. i'm itching to do it now. >> you really like that. what's coming up tonight? >> the money goes somewhere, basically do you just go back, forget? s yes. go to biotechs. isn't there more than gilead and

biogen and celgene? we have them. >> that is a lot of homework. >> this piece we held off two weeks to get the homework done. >> can't wait to see it. >> families, everyone, sad day. no getting around it. >> no way around it. jim, we'll see you tonight, "mad money" 6:00 p.m. good morning, carl. the country digests what president obama said last night in his address to the nation, notably on syria, the former deputy treasure secretary robert kimmitt will downus live. we'll have a good look at lulu. on this day to remember, 13 years on, art cashin will join us.

in a world that's changing faster than ever, we believe outshining the competition tomorrow requires challenging your business inside and out today. at cognizant, we help forward-looking companies run better and run different - to give your customers every reason to keep looking for you. so if you're ready to see opportunities and see them through, we say: let's get to work. because the future belongs to those who challenge the present.

the president saying the u.s. will hunt down isis extremists wherever they are. is the new plan the right one? lululemon spiking as the stock spiked expectations. is now the time to buy?

>> more of david faber's exclusive interview with the new ceo of sprint. first up, president obama. simon mentions lulu. beats by four cents. revenue raising their view after that terrible guidance in june. >> it's an interesting stock. let's bring in our research analyst. sam, welcome to the program. it's a heavily shorted stock. about a quarter of the float. you would expect to get a move like this on good news. is it a fundamentally a turning point? >> i don't think so. the total same-store sales were better. their brick and mortar, their own retail stores were down 5% on a comps basis. they are still opening a lot of stores. begin that probably 30% plus of their store base is less than three years old, they should be

comping significantly better than that. they said traffic improved, but conversions were down. i think they lost a lot of customers to other people. they continue -- >> interesting. >> sorry. >> directly customers up about 30%. keeps the overall same store sales figure, for want of a better expression, constant. much has been made of the new fashion, more of a focus on street wear. potentially, is that a game changer? >> anything potentially is a game-changer. i think -- i've been of the mind for a long time the success of lululemon has been half product and half exceptional service for people to pay up for that kind of product. the problem that we see here, i think they are going to fix the product, but for people to pay that money for it, that service has to be exceptional.

we haven't seen the exceptional service for over a year now. don't necessarily see that coming. we don't think they have the kind of leadership at the store level that they have with the product right now. the success is the combination. i think the overwhelming look towards product is missing half the conversation. >> sam, there's always the speculation about someone is going to come out there and buy it. nike perhaps. how does lulu look as an acquisition target? it got more attention recently because it's actually head quartered in canada. >> right. i think it's a culture game there it's very hard to sustain that culture if it gets bought by any number of people. i think it's much more complicated. it doesn't give them wholesale opportunity without the price

going up significantly. >> the elephant standing in the room, the founder sold off half his stake to advent. he's not going to make a move for another year. what is your best investment at the moment on the space you cover? >> skechers and deckers and underarmour and nike. i think those companies are well positioned. >> thank you very much for joining us in the wake of lululemon coming through with results. the president outlining his strategy to defeat isis in that primetime address to the nation last night. take a listen. >> i made it clear we will hunt down terrorists who threaten our country wherever they are. that means i will not hesitate to take action against isil in syria as well as iraq. this is the core principle of my

presidency. if you threaten america, you will find no safe haven. >> so did the president make his sale for his new war on terror strategy? we pause this morning to remember the lives lost on september 11, 2001 and in the war on terror since. joining us this morning is form are deputy secretary bob kimmitt. good to have you with us this morning. >> good to be back. >> the response this morning is okay. we need specifics how this is going to work in syria, what you are going to need from the saudis. the white house says we are not going to telegraph our punches. what should we reasonably know? >> i think the white house has telegraphed a punch by saying no boots on the ground. i personally would never take anything off the table, even if there is not consideration of boots on the ground. i think this was an important speech. the president laid out key elements. i think the execution of this is left largely to his national security team and the national

command authority chain of command. i think this is a speech that could have been given two or three months ago when members of his administration, including general dempsey, identified the need to go after isil in syria. i think now we have to make sure we are prepared to do whatever is necessary to go after this growing threat. >> two to three months ago, he might not have been able to make the pitch we had a coalition behind us. last night, there was another lack of specifics as to which countries those were and what their role would be. >> well, within the last three months, the isil coalition has grown to 50 countries contributing fighters to the isil cause. i'm glad the president is trying to build a coalition as we did successfully during the first gulf war in 1990, '91. it's important to have both friends in the region and allies around the world supporting this effort. the u.s. has unique

capabilities. i actually think had we been prepared to use some of those unique capabilities in syria, showing that steadfastness of purpose, it would have been easier to put the coalition together. we needed to start moving forces to saudi arabia to show the seriousness of our purpose in 1990 to build the coalition we did in the first gulf war. >> let me pick up that seriousness of purpose point you make. clearly, the president last night was trying to project a very strong, a very determined military leadership. the leader in "the washington post" points out you only get the result you want in the region if, and that would be through fear and also through compromise, if it is believed that this country presents multilayer support. if you look at the three main components of that, his own party, gop or public opinion in this country, all three of those seem to be in flux at the moment, mr. secretary. i wonder how he pulls those

together, more than just the words we got last night. >> that's what presidential leadership is all about, simon. whether it be franklin roosevelt taking a reluctant america into world war ii, george h.w. bush taking a reluctant america into the gulf war. presidents have to be proactive, including in their leadership of the public. we are celebrating today or commemorating the 13th anniversary of a horrible attack on the united states. we are also approaching the 25th anniversary of the fall of the berlin wall, the end of the cold war that let loose many of these factors that we're dealing with today. i think we have to have a global strategy that has an important regional component. i think the president started laying that out last night. i think there is more to come, both in that region, the middle east, that has become increasingly more destabilized in the last 25 years. and we have to have an integrated strategy, political,

economic and military. we heard a lot about the military strategy last night. i would like to see that more comprehensive strategy laid out more clearly. >> it's not just the middle east. one question we grapple with here is how do you look at this new landscape of elevated geopolitical risks? we are talking about obviously iraq and syria right now. what's going on, russia and europe are still trading back and forth sanctions, waiting on a scotland vote whether it will secede from the united kingdom. how should investors look at this? >> we are in a period of global transition now as significant as what we went through in '89 and '90 with tiananmen square, the fall of the berlin wall, the first gulf war. i would bring up china and all

that is going on in asia. let's not forget major change in latin america, change we hope for the better in africa. i think, again, what you have to do is have a coordinated national security strategy that recognizes that our national security is based on the summation, the collection of our foreign plus defense, plus international economic policies all resting on a strong intelligence base. you are right. i think investors have to realize that this is a time of transition, a time that is producing turbulence. if i look at specific issues, for example, why is it that the middle east is the only region of the world without its own regional multilateral development bank? that makes no sense. underlying a lot of what we are seeing is the lack of opportunity for young men and women in the middle east. yet, it is a region that is bereft of the global approach to

its economic recovery and its future. i think again, as we look at this, as the president talks about the military issues, both investors and the government look very closely at those crucial economic and financial components. >> even though that's aiming awfully high, we hear you. mr. secretary, thank you so much for your time. >> thank you, carl. >> let's get to dominic for a quick market flash. >> we are watching shares of orexigen therapeutics. its diet pill had received fda okay to sell in the united states. no word when it will be available or how much it will cost. shares down by 8% on the trade. only the third obesity treatment to win approval in more than a decade. it joins vivus and arena in the battle of the bulge. back to you guys. >> we'll keep an eye on it. a group of senators want

burger king to scrap its move to canada, reigniting the tax inversion debate up next. we'll talk to the commerce secretary penny pritzker about inversions, what needs to be done in washington. [bell rings] ♪ time and sales data. split-second stats. ♪ its so close to the options floor, you'll bust your brain-box. all on thinkorswim, from td ameritrade.

oh, he fakes a handoff quaand he's making a run..... 'cause mattress discounters fall kickoff sale is ending soon! hurry to save up to $300 on sealy posturepedic and serta mattress sets. even get 24 months interest-free financing on every tempur-pedic. you're going to love their football field-size selection. this calls for a little touchdown dance. mattress discounters fall kickoff sale is ending soon. ♪ mattress discounters

billionaire investor george soros writing in the "financial times," this was the worst possible time for scotland to think about leaving the union. the eu is an unfinished project of european states that have sacrificed part of their sovereignty to form an ever-closer union based on shared values and ideals." george soros famously betting against the british pound, has taken a new role. he weighed in during a critical time. you may remember sort of more academic level like this. >> whenever he makes a pronouncement like this, i'm suspicious. i think he is running a family

operation. he doesn't have to disclose where he is. i take all this with a big pinch of salt. >> good point. the latest poll does show moving away from that yes vote after the momentum over the weekend. you did see the pound rebounding, reaching a low of 160. it is a risk. >> i thought it was fascinating. cameron's pitch going over that saying it's one thing to be frustrated and vote no or yes on anything, but this isn't one of those things you can redo four years later, this is for good. >> at the end of the day when they get into the polls, they will understand huge wealth transfers from southeast of england to scotland and they will be poorer on their own. it's the same as if people wanted to break away in the midwest.

>> when we come back, a lot more of david faber's exclusive interview with the ceo of sprint. mp-starting business with startup-ny. an unprecedented program that partners businesses with universities across the state. for better access to talent, cutting edge research, and state of the art facilities. and you pay no taxes for ten years. from biotech in brooklyn, to next gen energy in binghamton, to manufacturing in buffalo... startup-ny has new businesses popping up across the state. see how startup-ny can help your business grow at startup.ny.gov 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. as the company that's all about printing. but did you know we also support hospitals using electronic health records for more than 30 million patients? or that our software helps over 20 million smartphone users remotely configure e-mail every month? or how about processing nearly $5 billion in electronic toll payments a year? in fact, today's xerox is working in surprising ways

to help companies simplify the way work gets done and life gets lived. with xerox, you're ready for real business.

after the president announced he is stepping up air strikes in syria, questions already about the u.s. economy's resilience and strength in american companies, let's get the white house view on the economy and corporate america. commerce secretary penny pritzker joins us live from washington where she is at the commerce department. good to see you, madam secretary. >> good to see you. >> i want to start with the price of oil. near $90 a barrel when we are talking about major instability in oil-producing regions. there is an energy revolution changing the entire dynamic here in this country on world prices. >> let me start saying this morning it's 9/11. it's a solemn day and we at the commerce department had a moment of silence at 8:46 to remember the lives lost and families touched by that loss. when you are talking about oil

and the economy, first of all, let's look at what's happening with our economy. we have tremendous growth going on with 4.2% gdp growth, great job creation. oil as it is, we've got production up in this country, which is a reflection of the president's all of the above energy strategy and something that's been really good for american business. it's always been good for attracting foreign direct investment into the united states. we are pleased with what's happening with oil production here in the united states. >> you mentioned the 4.2% growth we saw in gdp. is that your view that that is going to be the sustainable kind of economy going forward here and that 104,000 jobs number in august was an anomaly? >> what we have to remember, we had 10 million jobs created since the great recession. our private sector is growing.

you see manufacturing is up with over 700,000 jobs created in the manufacturing sector, manufacturing output is up. vehicle sales were up over 6% in august. home sales are up. you are seeing the economy growing across a number of sectors, exports. we had record exports from the united states. july was a record month at $198 billion. we are on track to meet, to grow exports greater than 2013. >> i don't mean to cut you off, but you've been touting exports a lot. are you not worried about the strength of the u.s. dollar? flexi flexing its muscles here. >> what i'm seeing, and i talk to over 1,300 business leaders around the united states. what i'm seeing is they are all interested in growing exports. and what i'm seeing in the travels we've done all over the world, whether it's in asia and

africa, europe and other parts of the world, latin america, what we are seeing is there is demand for american goods and services. so i think there is a continuing opportunity for us to sell our goods. as i said, we have record $2.3 trillion worth of exports in 2013. we are on trend in 2014 to beat that number. so the long-term trends are good. >> just want to ask you about inversions. we are talking about how competitive the united states is, yet we are seeing major american companies like burger king redomecile in other countries. you are from the private sector in this cabinet. do you think it's unpatriotic of these companies and they should be banned retro actively from relocating to save tax money? >> i spent 27 years in the private sector. what i know is we need to

address corporate tax reform. inversions is one piece of the issue. we have got to have comprehensive corporate tax reform. it's putting a number of our american companies in a competitive global disadvantage. we can't have that. we have great companies that are able to compete if they are on a level playing field. it's time. the president has been in favor of corporate tax reform. it's something i'm hopeful after the elections that congress will take up and address. >> all right. after the elections is the key. always good to see you. thanks for weighing in on the economy today. commerce secretary penny pritzker joining us from washington. >> terrific. thank you, sarah. on this day, cantor fitzgerald commemorates the employees lost in the 9/11 attacks by donating all revenues raised on the day to charities around the world. mary thompson is with one of the special guests. >> i am here with the gentleman who gave hockey fans around the

world a big thrill early this spring in the stanley cup finals. henrik lundqvist, goalie for the new york rangers. you've been involved with this charity day for a couple of years now, is that right? >> yes. that's right. i've lived in new york nine years this. day means a lot for this city. for me as a european to come here and try to be part of it and help out and raise money for a great cause just feels really good. >> celebrities like yourself, sports stars like yourself come and you are actually raising money for specific charities. tell us about the charity you are raising money for. >> i've been involved as a spokesperson. now i'm starting my own henrik lundqvist foundation. focus is health and education for children all over the world. i want to reach kids in the new york area, but back home in sweden and other places around the world. it's exciting to start your own foundation, your own platform and try to develop a little bit

more. i look forward to it. >> we are all looking forward to the next hockey season. training camp starts next week. how do you feel going into this season? >> i feel good. now is the time you get really excited for next season. you work out harder. you're on the ice a lot more. it's hard to believe camp is only a week away. i feel really good about the team. obviously, coming from a great year last year as a group we can build off that. we have a couple new players i hope will fit in well. here we go again. i look forward to that. >> what are your chances about reaching? what do you think the rangers' chances are of reaching? >> we have a great chance. there are a lot gf teams. it's important to start over, start fresh and leave last year behind us and really just focus on having a good camp and good start in october. then you start building. i think last year showed it is a process to reach your top level. it won't be there right away,

but you have to take it step by step. step one for us is a good training camp here. >> henrik lundqvist, thank you for join us today. good luck raising money for your charity. >> thank you very much. >> we've been speaking with henrik lundqvist, new york ranger goalie. >> mary, thank you very much. mary thompson. we are down 51 points on the dow. art cashin will join us next.

whenwork with equity experts who work with regional experts that's when expertise happens. mfs. because there is no expertise without collaboration.

markets are slightly lower. this is always a tough day but we get through it what do we make of the inactivity, number of days we have not had a dramatic move. is this time different? >> i think people are still concerned about the general complexities. we've got geopolitical events and near geopolitical events. markets seem to shrug them off for now looked like we were setting up for a little bit of a topping process over the past several days with the way the market acted. they threw us a curve. we are back at that very important 1990 level. >> is that where the line was? >> it has been.

it was key support. they broke it. they got down to about 1982 or so where they didn't break 1980. it was like a one-two domino you need to get done. it was unresolved. >> i'm sorry, the action is in the currency market. dollar/yen back to $1.07. as a result you are seeing all this pressure on oil at a time you would think would you see higher prices. >> i don't know how the multinationals are going to hold up if the dollar shows this strength. some brokerage firms are going around offering clients lists if you need to be in the s&p, you might want to hedge out or exempt certain companies that have exposure to europe on a negative basis because of where the dollar is. >> that s&p chart on the screen is interesting.

you had an up trend. >> it seemed to hit and for a variety of arcane technical reasons, it looks like you might be setting up a topping process. they threw us a curve ball yesterday. you won't know for a week or so. if they break 1980, you will be setting up a big press. >> the talk from the san francisco fed on monday that the fed might be about to change its language, albeit incrementally next week. >> i don't think that will be a surprise really. they've been dying to get out of the timing process. >> it's beginning to lift the yields. >> it needs to move up. they wanted to get out of the wording of timing. just as they found themselves trapped by setting the original

goals. yes, we might move when the unemployment rate gets to -- whoops, wait a minute, we didn't mean it literally. they didn't want to get stuck in another literal trap. i don't know they will say we are going to go sooner rather than later. they want to get away from the timing issues. >> 9/11. the president made comments about kids who are teenagers now born back then. they don't remember it. their days will be colored by all the days since. recollection as fresh as if it happened yesterday? >> absolutely. in the days that followed, the only smiles down here in wall street were the photographs on the missing posters that the family put up. people trudged here to work. the president, the governor, the people at the federal reserve said we need to reopen the market to keep the economy moving. it became a duty.

it's a completely different world. would you hit check points where there would be a national guardsman. people would not bristle or complain, simply say thank you and move on. >> yet on the day itself you tell the tale of moving towards the east side of manhattan to the brooklyn side. describe to me the scene, if you would. >> we left the building here. my son and i were walking. if we could get over to the east side we could walk to 38th street and get a ferry to new jersey. on the way, we met two ladies who were lost standing about in high heels and coughing. we had prepared some wet terry

cloth towels and gave them to them so they could breathe. we walked east to get away from what was going on. to our surprise, when we hit the east river, there was a make shift flotilla of speed boats and fishing trawlers and a variety of other things. they held up signs, going to manhattan island, going to brooklyn. if you went in that direction, you went over and climbed onboard. everybody thankfully and unfortunately silently went to wherever they were. we made it back to the foot of jersey city and the colgate clock and walked four miles to get home. >> one last point. we didn't think anything of how we looked, but the people in new jersey were staring at us. then finally, i looked deeper at my son and realized we were

covered with ash. we looked like two statues standing there. >> we are going to recall these memories every year, and we should. thank you. >> art cashin. the business of this network is financial data, analysis and asset markets. we have breaking data from the eia. >> good morning to you, simon. we are bringing that data later because the traders on the floor at the nymex taking another moment of silence in remembrance of 9/11. the doe did release its new. we saw a build in natural gas of 92 billion cubic feet last week. that was more than traders were expecting. numbers were down this morning, prices that is. they dropped about 7 cents on that number. traders are saying we are above the five-year average. above where we were in terms of storage at this time last year. this is all good news as we are heading into the fall and winter and those colder temperatures are on the way. we are looking for temperatures

hopefully mother nature will cooperate and stay a little bit stable in this period. if we could get build in that 100 cubic range that could be positive for nat gas. they could continue from here. >> thank you. let's send it to dominic. >> two speciality chemical makers teaming up. eastman chemical is going to buy taminco for $26 a share. both shares are still halted right now. still, you can see eastman chemical and taminco shares having action associated with them. >> more of the exclusive interview in sprint. i'm type e.

my golden years will not just be gold plated. i had 3 different 401(k)s. e*trade offers rollover options and a retirement planning calculator. now i know "when" i'm going to retire. not "if." my motheit's delicious. toffee in the world. so now we've turned her toffee into a business. my goal was to take an idea and make it happen. i'm janet long and i formed my toffee company through legalzoom. i never really thought i would make money doing what i love.

we created legalzoom to help people start their business and launch their dreams. go to legalzoom.com today and make your business dream a reality. at legalzoom.com we put the law on your side. are we still on for tomorrow? tomorrow. tomorrow is full of promise. we can come back tomorrrow. and we promise to keep it that way. csx. how tomorrow moves. what a day. can't wait til tomorrow. this guy could take down your entire company.h? stay with me. on thursday a hamster video goes online. on friday it goes viral - a network choking phenomenon. why do you care? he's on the same cloud as your business. the more hits he gets, the slower your business may get. do you want to share your cloud with a hamster? today there's a new way to work. and it's made with ibm.

in a we believe outshining the competition tomorrow requires challenging your business inside and out today. at cognizant, we help forward-looking companies run better and run different - to give your customers every reason to keep looking for you. so if you're ready to see opportunities and see them through, we say: let's get to work. because the future belongs to those who challenge the present.

take a look at the energy sector trailing the broader s&p. dom is back at hq with more on that. tough times for oil. >> the trend continues here. energy stocks are the weakest stocks in the s&p 500 as a group. oil prices continue to slide here. off from 7% of its highs we saw in late june. a steep pullback. leading the way lower are nabors industry. cabot oil and gas, chesapeake energy, denbury resources, range resources. a whole swath of these energy companies to the down side

today. month to date it is down about 5%. >> in the meantime, david faber sat down with the new ceo of sprint today. david joins us from that conference. it's a big interview, david. >> yeah. interesting to speak to marcelo claure who has taken over sprint, running it about a month after dan hessy stepped down. they are now involved in trying to grow this company organically and stem what has been an outflow of customers. one key component perhaps in their attempts to try to bring back customers and actually get things to flatten if not start to grow in terms of subscriber role is the new introduction of the iphone. iphone 6 and 6 plus. i asked claure whether he thought this would be a significant introduction not just for apple, but for sprint.

>> we've been pretty clear. we think it will be the most successful launch ever of an iphone. we are the only one putting a rate plan for the iphone p. you can bet we feel very comfortable with the iphone. we made it simple, 50 only with an iphone 6. talk all you want. text all you want and go at it with all the data you want. that is a statement we are making. we feel comfortable this is going to be a great phone. >> also offering this unlimited iphone for life plan. sounds good. i don't know exactly how it would work. is it something you think consumers will gravitate towards? >> we guarantee use for $20 a month. pretty much every two years, come back, drop off your iphone and pick up a new iphone. $50 unlimited and $20 for iphone for life, for $70, you get an iphone you can use all you want. when compared to the competition, it's a world of difference. you are talking about saving thousands of dollars over

competition. that's why we encourage customers, before you commit to anything, look at sprint. add two basic things. you have service and your phone. add it together, we are in business to make sure we give you the best value. >> that is what they are focused on, keeping it simple and what they view will be the best value. they have a long hill to climb here competing with the likes of t-mobile, not to mention at&t and verizon. back to you. >> it's $50 for the telecon package and $20 extra for iphone for life. i told you i was looking for a new phone. i went into t-mobile over the weekend. they are offering, i think from memory, about $19.99 with no contract.

sprint is clearly what is with t-mobile in terms of pricing. >> the no contract, we talked yesterday, is quite attractive. he is saying for $70 a year, you have a new iphone for life. for that, you are also going to be able to use it however much you want, however many minutes. how much data. what does that do to margins? in our earlier conversation i asked claure about that. he really would not say that it was going to crimp their profitability. time will tell. >> certainly a lot of ambition there. david, thank you very much. david faber with that interview with the new ceo of sprint. the future of nfl commissioner roger goodell in question after the ray rice controversy takes a new twist. should he step down?

what did the nfl know? the league hired former fbi director robert muller to lead an interest investigation to the handling of evidence of the ray rice domestic violence case.

this after they placed a copy of this infamous nfl video inside nfl headquarters as early as april. joining us to discuss the controversy and potential fallout is rick horrow, a sports business lecturer. it's good to have you back. good morning. >> thank you, sir. >> you worked with goodell 15 years. he is under the gun. what determines whether he stays or goes? >> let's remember, a lawyer has to provide some reasonable breathing room on this issue. no one, no one excuses how this is all done. frankly, we already understand if it was in the nfl office by april, it's bad management. what did roger know and how did he know it? inconceivable he could give somebody a two-game suspension as the law an enforcement commissioner having seen that video. you don't know.

the fact an investigator has been hire as robert muller, but he has been involved against the nfl. with the rooney pittsburgh steeler family involved against nfl. they have a lot of incentive to make sure the investigation is credible. my take is wait until the investigation is done. hopefully this doesn't take long and then just avoid a rush to judgment. that's really important. >> yeah. we know the impact would be felt -- might already be felt among female fans. we know nike dropped ray rice. do you think, i know you're not a stock analyst or an analyst of publicly traded companies, do you see risk to apparel here? is nike under the gun here as well? >> i have a diverse staff and they are all very emotional and incendiary as well. dropping the fantasy league as. women fans need good answers. we don't know what the answers

are. 40 million play fantasy. $5 billion operation. retail. sponsorship all at risk but not at risk if the process is done well and the good thing is the nfl made this decision with very quick deadline on it, 11:00 last night appointing the most credible person they could find and let's make sure the investigation carries the day no matter what happens. >> rick, i wonder if you could help us understand perhaps why they were so slow in moving in the first place. i'm fascinated so much is hung on the commissioner who at the end of the day behind him stands these hugely wealthy many of them billionaires running a very profitable sport that he has to take into consideration. if he's going to create on the hoof as it were or spur of the moment laws and rules that will have huge implications for when you have to sack potentially star movers moving forward. the guy doesn't operate in a vacuum and would not have done at any point through this surely.

>> social media made this even more difficult as we understand because we all have an opinion about this within 30 seconds of seeing it. it's a terrible video. ray rice should be suspended indefinitely if not longer. the bottom line is he knew about this in april we're all in serious trouble as far as the nfl is concerned and if he knew about it and acted very quickly then people will under. it's all about the investigation. the owners, by the way, the value of the steelers about a billion three, the giants about a billion eight. those two owners have reasons to protect their brand as well. the nfl can hire as many people as they can but there's a timeline discrepancy on how they can get this tape relevant to the ongoing investigation and criminal charges. that will come out over time which is why you should avoid the rush to judgment. that's the point. >> the longer it goes, rick, could you see some damage to the

nfl itself in terms of advertising contraction. this is a blow-out business. >> of course. they have to approve the buffalo bill sale. they have to have their ongoing owners meeting. you got domestic abuse issues of two others that's in the commissioner's lap. how will he rule on this. if this goes on for months we have a major issue. if it's resolved in weeks, it depends on how it's resolved. >> rick, last question. you know when they went after the saints and payton the thinking was look you're at the top of the chain it's ultimately your responsibility. is that stance, should that be mirrored as it applies to goodell and the nfl. >> the payton issue there were warnings there. knock it off. they didn't knock it off. if roger goodell knew about this we have an entirely different opinion. i've worked with him for 15 years. there's no sympathy there if he

knew from me or anybody else. the whole issue is he's pretty clear to say he didn't know so let's see what the investigation uncovers. >> rick, thanks for your time. >> any time. >> let's get over to dominic chu. the market down 70 points. >> dow is down 70. check out eastern chemical and taminco. taminco is $26.57 trading above the bid price. for eastman chemical up by 1.25%. a big deal on the chemical side of things. >> thanks. kayla has a look at what we can expect at the top of the hour. >> we do have a big hour for you guys. we're talking to the acting executive leading pay pal about how that company plans to stand

its ground with apple moving on to the payment turf. also have yahoo's executive talking about what that company is building in terms of development ahead of the iwatch. what does john ledger think about this. we'll tell you exactly what he had to say. that's all coming up on squawk alley.

dad,thank you mom for said this oftprotecting my future.you. thank you for being my hero and my dad. military families are uniquely thankful for many things, the legacy of usaa auto insurance could 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.

i make a lot of purchases foand i get ass. lot in return with ink plus from chase. like 50,000 bonus points when i spent $5,000 in the first 3 months after i opened my account. and i earn 5 times the rewards on internet, phone services and at office supply stores. with ink plus i can choose how to redeem my points. travel, gift cards, even cash back. and my rewards points won't expire. so you can make owning a business even more rewarding. ink from chase. so you can.

the long time chairman of ferrari stepping down after that public disagreement with fiat and chrysler owner about the performance of formula one and a wave of outrage from italian that are enthusiasts. good morning robert. >> reporter: my inbox has been filled with ferrari owners and collectors outraged about this. ferrari posted its earnings today first half hitting a record $185 million euros for the first half. that was terrific. ferrari owners and fans not as happy with luca leaving yesterday. the chief of formula one saying his leaving for me is the same as enzo ferrari dying. some other comments i received,

catastrophic. another says ferrari, 60 to 0 in three seconds. the greatest brand in the world just got ruined and the last and my favorite coming soon from sergio a ferrari suv. we don't have word that ferrari is planning a suv. this shows you got race fans, ferrari buyers, collectors who are spending millions on these cars. they are all worried that fiat will take this to be a mass brand rather than a special brand that it is today. guys, back to you. >> or alternatively i heard they might ipo it. they will launch chrysler fiat here next month but further down the line they spin off from ferrari. >> that's another rumor. that's been on the table for at that long time. >> a crown jewel for fiat as well. >> absolutely. >> thanks very much. >> less than a minute to go. dow down 62, going for a string of losses first week we have

seen thant long time. >> good morning. it is 8:00 a.m. out west, 11:00 a.m. on the east coast. "squawk alley" is live. ♪ welcome to "squawk alley". joining us this morning, founder, editor ceo of business insider. henry great to have you back. and kayla is here as well as we get started talking about apple. not all retailers are convinced apple pay will work. there are no plans to use apple pay with best buy saying the cost of supporting near field communication too high. square,