mandy. >> tell wlau else is higher, best bu the headline for the retail sales number was a disappointment, actually electronics were up. as can you see, best sbi gaining by over 1%. >> the dow come back almost 200 points off the low. it is going to be a wild last hour of trading. >> it certainly will. stay with us. and welcome to "the closing bell." i'm here in the middle of the new york stock exchange where we continue our coverage of this dramatic selloff today, scott. >> i'm scott waper in. the most volume day day yet. now we're in the final 06 minutes of trading where we've seen the biggest moves in the market. here's where we stand right now. we're off the lows. take a look at how the dow jones industrial average looks right now. down by 1.75%. the dow was down today more than 450 points at its lows. in fact, dow moved 1200 points today alone. it has been that kind of

volatile day. the s&p 500 currently sits down 1.75%. nasdaq touching correction territory earli earlier before bouncing a bit. s&p 500 is not quite there yet. but we're on that watch over the next 60 minutes as well. >> a couple other gauges to watch, the vix jumping to 31 even. we have the ten year which this morning that was the big headline. the key benchmark u.s. interest rate falling below 2% for the first time since 2013. oil falling briefly or flirting with $80 level before closing at $81. and gas prices are in free fall. the key question snou whether all of this will ultimately be supportive for the u.s. consumer or signals more trouble ahead? >> the biggest outperformer, the vix. ripping to day. the so-called fear gauge on wall street gives you an idea of where the sentiment is within this market. it's up 20%. that is quite a move. and that's not even at the highest levels of the day.

the vix got above 30, a place it hasn't been in an awful long time. all of that helps to tell the story of how the trade has gone thus far with 59 minutes to go. joining our closing bell exchange is david kudlow from main stay investment management. i would say it's all hands on deck but that would be an underestimate for sure. rick santelli, i really want to begin with you. the move in stocks is dramatic. rick, the move in rates has really opened a lot of eyes. i don't think you've even seen anything like it. >> i haven't seen anything like it. but if you do recall 24 hours ago when we were having our debate about 220, i did say the 180s. i think today was a capitulation in trade in treasuries.

maybe not forever and there will still be issues between a good hedge in treasuries for a potentially sloppy equity market. but just to put this in perspective, we're at 209. the low train day yield was 185. we're at 131 in a five year. the low yield was 110! it just to think about these in percentage terms, it's mind boggling. but i do think that given that stocks at one point when they made new low in the day, we couldn't teep the ten year under 2%. i think it's very, very significant. i think that we really saw a lot of the shorts that have been fighting this in treasuries put up the white flag today. so i think these market highs and price lows and yield are going to stick for a while. >> how much damage has been done here? just by the activity that we've seen, talk us through a little bit. i know you're not a chartist here. but what do you think in terms of just the low that's we've seen equities and interest rates

trading on during the session today? >> well, we've seen whether you're looking at it from a fundm fundmental perspective, we've broken down the support levels wlchlt there is capitulation selling or not today, we'll see if this has further to go. but certainly, you know, we came in today with the second case -- second ebola case, three negative economic data points for the u.s., our concern about europe. it was confluence of events that gave us a selloff today that was exacerbated by hedge undz liquidating for potential margin calls. we've just seen selling beget selling and from a technician stand point, we're seeing, you know, break down through the support levels. >> yeah, joe taranova, we spoke so many times about your caution in the market, maybe more so than the others that have been on the desk. what do you make of the way the market is reacting the last few

days, today specifically and where do you think it goes from here? >> i think you have to go back to the week of the ali baba ipo. this is a liquidation. this is an institutional liquidation. there is hedge funds getting squeezed in an environment where they're not making money. we're probably tend of that trade. i think the market needs some time. one of the things i mentioned to before you we came on air that's very important is that the corrections we've had over the last couple of years have always been buffered by corporate activity, by buy backs. if you think for a second right now we're in earnings period. so 80% of the s&p 500 reporting, they can't buy back the stock right now. they'll come back november 1st, full force. november historically is one of the more significant months for buy backs. markets are going to be sloppy until the end of the month. >> and much cheaper values, i might add, too. >> markets will be sloppy until the end of the month. i think november you'll get the potential -- i don't think you take out the highs for the year. i do think the selloff we see

right nbegins to abate. >> aprbigail doolittle, you thought we were headed for a crash, is this the one? >> i think this is the first phase of that potential crash. i hate to use that word. it really, you know, instills a sense of fear. >> why stop now? you called for a 60% decline in the stock market. >> because i think that people need to look at the reality wlaf could be ahead and prepare for it. best way to prepare for it in my view is asset allocation, reducing exposure to equities. i don't think there is a fund manager out there who is going to beat this thing. if you do reduce exposure to equities, i think can you protect yourself against a falling market. i think it's very important to remember not only are bonds rallying, but cash is a position. especially if the markets going down. i think, i agree with joeshgs liquidation event here. i think there is more to go. >> somebody told me the best symbol in the market right now is cash, cash. and if i could, scott, think for just a second, go back to the

hedge funds. we always classify the hedge fund vip list. in fact, goldman sachs puts out the report. there's not many vips left on the list anymore. that's what's happening right now. you have a lot of the hedge fund holdings that are classically vip type names down 20 to 25% from the peak. >> and there are the heavily shorted names. so here is the question f this is happening and institutional shakeout to some extent, jack, maybe this is the best news of all time for the retail investors? [ no audio ] >> i didn't know fit was just me that couldn't hear him or nobody could hear him. go ahead. >> if i could, i've done a couple of morgue an stanley conferences over the last week, spoke to a lot of financial and advisors and to your point, the retail investor is still sitting in bonds. the retail investor is still sitting in taxable fixed income. they're making money on that side of the trade so far year to

date. so they're not feeling right now some of the pain in losing money that institutional side s. >> i can say something to return to the technicals? i think we do need to pay attention here. the russell 2000 and dax are confirmed for 20% to 25% correction for this phase one. that's why i think the liquidation does continue. >> and that's why michelle is here to speak exactly to that. why is there so much damage happening, for example, to the german index? what is going on with greece which they pointed out shed 1,000 dow points today? >> whether we look at the selloff in the dow over the last month and last couple of days, it looks very bad wlchlt you look at what happened in urngs it's far worse. it is double the declines compared to what we've seen in the united states. take a look. germany is off 11% compared to the dow being down 6%, france, italy, et cetera. italy is down 13%. look at greece, down more than 20%. a lot of those declines coming in the last couple of days. we're once again asking whether or not there's a potential within the next year or so about

greece leaving the euro going on with what is going on in the elections and politics there and desire to get out of a bailout. it's not clear they can handle being in the markets on their own' whether or not they'll be able to bore roechlt i think a lot of the future of the stock market and what happens from here in the united states really depends on the decisions that europe makes over the next couple of weeks. a lot of the concerns about the u.s. markets are stemming from what's going on in europe and the fears of deflation. look at that greek ten year. it's been rising dramatically. something very significant in the last 24 hours has happened. the german ten year yield keeps coming down like the u.s. ten year yield. people seeking safety. but then whether you look at the italian ten year yield, for months it followed the german ten year. big rise. you're starting to see a spread. you're starting to seat spreads widen. people making choices about which economies they trust over there and which ones they don't. so that is a troublesome sign and could lead to a feedback loop here.

>> jack, bulls like yourself have beetoo easy to dismiss the movement in rates around the world. >> no, i don't think you're dismissing it f you're not scared, if you don't fear this market or respect this market right now, shouldn't be in it. let's face it. when moves like this happen, it rattles everybody. but it's funny. everybody's been talking about how we haven't seen a 10% correction in 40 odd months. we finally got one. and now this is in my opinion a gem of opportunity for people with long term investment horizons. you're getting a fire sale. you're getting an opportunity to get into these markets and quite frankly, remember, you still got low inflation. you still got corporate america making money. unless you're convinced that earnings are going to follow off the cliff, unless you're convinced there is going to be a seizure in the world economy, then, yes, then you might want to, you know, think about abby's case for a 60% decline. other than that -- >> i think you're making really great points wlchlt we think

about the k cause, there is a massive shift in confidence. not only is europe in trouble. question have qe-3 now. but they're not being supported by strong dat yachlt so there is no lift that, lift isn't being held. the data here is weak. it's a triple whammy on confidence. we went from complacency to invincibility and now we're going back. we're seeing a massive repricing of risk. i think it has further to go. when you see this shift, you just feel it. it can go and go. so for long term investor -- >> the kind of selling we saw today was capitulation. luke is absolutely right. >> he said that about the bond market. >> you saw twice the normal trade on the open today. >> no way. no way. no way. >> i'm with you, scott. >> you may have seen it in bond market. >> -- no way that what you saw was capitulation in the stock market. >> look at the high in the cash and look at today's low. it is a textbook 10%.

>> absolutely not. >> that is the way that -- >> it was a blip. what real capitulation would feel like if we were in the midst of that. there is no way. >> you want to talk fundamentals, do you believe that earnings could go down if you have worldwide deflation problems, that is going to punish earnings, right? >> absolutely. >> let's talk about that. there say big difference between worldwide deflation and disinflationary par 4 caused by oversupply of oil, caused by record production around the world. >> you go, jack! you go! >> there is supply side disinflationary pressure. it is not demand side. >> you don't think europe is demand side? >> we're about to get breaking news that feeds into this discussion. breaking news on walmart. what is going on? >> that's right. walmart is holding the annual investor day at the headquarters. charles holly is speaking. the first headline from the presentation, walmart lower eee

2015 guidance to 2% from 3%. that is down from the previous guidance of sales growth from 3% to 5%. they're also lowering the capital expenditures. this is big news that has moved walmart stock. it was lower in the session among all the other stocks that are lower. remember, it's a dow component. the stock has fallen further on this news. the presentation is on point. i might jump back on and tell what you else there is to know about what is going on at walmart. >> please do. >> kimberly this plays right into the type of thing that i'm hearing from the big investors that i'm talking to. you have the retail number today. that was bad. you had empire manufacturing number. that was bad. we know about the issues in europe. we know about the issues in china. we're going to import some bad economic feeling as a result of that. if you start to have some real serious homegrown economic problems, you got a real serious issue. >> you do. this is the volatility that we

haven't seen for some time. i think the retail investor and my flints in general have seen that complaisancy and have that done. that is part of the market and part of investing. you have to get used to it, it's there. going back to one of abigail's points is about allocation and that's where i think the long term retail investors can actually be comfortable in this market and add into the market with dare. diverse fiction, make sure the portfolio is diversified u.s. and globally, allocation, what is your ability to be in the market and take the risk and be kmiz rat and make sure you can be volatile, go through the volume tilts and make money in the long run. and then rebalancing. involve the markets. we want to rebalance the portfolios maybe more actively than we would on annual basis. practice dare in the portfolio and i think investors can actually step back, stay calm, carry on.

these are points, you know, i said two weeks ago when i was on cnbc, we talked about a healthy pull back in the market. this is one of those. there probably is going to be more volatility. get used to it. make sure you stay in your allocation so that you can be in a market and make money and create wealth for long term. >> that's right. >> to be completely candid, i would do nothing. if you're staying at home and the baseball is coming in and looks like a beach ball. to me, that's how the ball looked in the weeks heading into october. the sbal getting smaller right now f you're playing it from the short side, the ball is clearly getting smaller. to your point on capitulation, it doesn't -- the market doesn't -- the market doesn't make a reservation or appointment and say we're going to bottom at 2:00 in the afternoon. it needs time. i think the time over the next couple weeks is going to tell you just how deep this correction potentially is. there are some good things

coming on the other side of that. like the buy backs, like some of the numbers you're going to get. i think there will be a symbolic shift in d.c. if the republicans take the senate. >> you would be nearing a bottom in the current corrective phase. i think people that i talk to, they don't think that is the case. >> that's what i'm saying. i've been through several liquidations in my time. now i'm dating myself n a capitulation, you have a horrendous day. the market gap is open lower. the next morning on tremendous volume in the markets lower and at the end of the day, you're not 286 lower. you're 287 higher. >> down 370 in the market we're in now -- >> that's the feeling. you close up. >> go ahead. >> with he can go back to courtney? >> one at a time. rick, you first. what were you saying? >> we have a 26 basis point bounce in ten year yields and still nine basis points on the day. that sounds a whole lot like

treasury capitulation. i agree with john on the equities. listen, you know, all the greatest markets of all time '87, mini crash in '89, they ended in capitulation. you didn't see both sides of trade in the same day, friday, monday. you know, stock traders, maybe this is just one chapter in the big selloff. but you really do have to take what's the reversal and interest rates about 10:30 this morning serious. >> we should -- could we highlight though the news from courtney about walmart, remember, through this entire discussion we've been talking about weakness in china, weakness in europe, weakness in other parts of the world. at least the united states was holding up. now we're starting to get evidence that maybe that's not the case either. whether you see walmart reducing sales expectations. >> it's a good point. we got to move on this in one second. again, it was this morning whether we saw some big misses from a couple of k pieces of economic dat yachlt we had the retail sales miss on the core side. a big reaction to. that there was a long crowded

dollar trade. you start to get that weakness and pushing out fed rate hikes. then it helps explain the short positioning turns. >> kelly, that we minds me of something. people are not thinking about the yen. we're starting to seat yen rally so the dollar yen is weakening. we think about the 2013 carry trade, just the psychology of that, i think that's helping to pressure the equity markets as well. kind of from behind the scenes. >> i think that is a great point and one you've been following daily. again, what is the catalyst right now? tell me what the catalyst to restart bullish momentum? to your point on japan, they didn't get paid on the yen trade. the expectation was that we were going to get another round from shinzo abe, whatever hour it was supposed to be. it was going to reaccelerate. didn't happen. the ecb in june that, was supposed to lift europe out of the doldrums. >> and then with the u.s. acceleration, higher rates, strong sustained recovery story

which is falling apart as well. >> right. and the economic data in the u.s. is confusing. if you look at iso manufacturing, the last three months are the highest three month period in the last three years. who knows what the reality of it is. but what is the catalyst? that's the question. >> one of the biggest issues that i continue to hear from people i speak to is the fact that europe has not done what really needs to be done. there is real question whether he is going to react to the market that the market needs and expects him to. >> he really can't get the support. even for the asset backed purchases now, it is looking like he may not be able to put. that forgetting about real qe. i think that's why the sovereign yields in europe are spiking. >> it's a growth issue. >> right. >> my point, rick, is he better -- he better get the support of the germans at some point. >> he's not. no. >> you know -- [ all talking at once ] >> it's not enough. those economies are going

different ways. >> -- politically inspired things to fix economies. >> exactly. >> they're as far away from that as we. we haven't done immigration or taxes. we haven't done entitlements. we're every bit off the mark as they are. >> let me get one word. we can only do so much, guys. >> david? give us a sense from dayton, ohio, right now, okay, how concerned are your clients need to be about all of this? >> i'm sorry, kelly? >> will you give us perspective from the countries interior, david ashgss to whether you think all of there sult matly fear or fund menfundmentals? >> what we're talk about is what makes up the worry that stock market declined. and we did have strong economic data until just recently. so now we have the catalyst for the market to sell off. and we're in the middle of that selling. and selling begets selling with hedge fund liquidations and

panic and fear over ebola and these other matters. we're in a long term secular bull market. that's what we're telling clients and investors that will continue. >> david, thank you. everybody, stay right. there he brought up ebola. the fears may be playing a role in the selloff. look at the stocks that are rallying and airlines getting hit. we have the latest on this now. >> just now in the whus daily press briefing getting word that the white house is acknowledging shortcomings in response to ebola. en that they're saying right now an ebola czar is not necessary but they will consider it. of course, president obama is meeting this afternoon with his team on ebola response. we've been getting details all day about the second health care worker to be diagnosed with ebola. her name is amber vincent. she was involved in the care of mr. duncan. they say 50 workers went in and out of his room while he was being treated there in dallas. and that it's possible we'll see other cases in dallas flt coming

days. they've identified three contacts of miss vincent who are being mondayored. she took a flight monday from cleveland to dallas. there were 132 passenger onz that flight. she didn't have the symptoms she showed up with the symptom yet with on monday. she did a temperature of 99.adegrees. folks in that position who have been monitored for a disease like ebola and have any sort of temperature should not be traveling on public transportation. she should not have gotten on that plane. she is currently ill but stable and will be moved from dallas to emory university who treated three other patients and just getting word today from emory that a third patient there who has not been named but we knew was being treated there says that expected to be discharged soon free from ebola. so some good news at least there. kelly? >> meg, thank you. we are expecting to hear from the president on this as well. we'll bring that you sound whether we get it. the question is how much have ebola fears impacted the market?

how does that create potential opportunity? >> our panel rejoins us now along with our own bob pisani. joe, it appeared to me listening to the phone news conference, whatever waunt to call it earlier, that the cdc is making this up as they go. >> shocked almost that a health care worker who is in such close contact with the patient who passed away then got on an airplane. it seems like the cdc as well as everybody else including investors are trying to get their arms truly around situation and right now they just can't. >> i think, you know, if you step back for a second and think globally, obviously beyond the u.s., no one can get their hands around it. and i think fortunate, unfortunate, whatever you may call it, the fact that it's here in my opinion means that there will be a resolution to it. because we have the best and i think we have the ability to arrest what is going on right now. in terms of the impact on the market, many are suggesting that it could be incredibly problematic. i disagree. that i just don't see it.

i don't see it. >> bob pisani? >> i think it's great headlines. >> i completely agree. the problem i have and that everybody has is how do you model ebola, how it's going to affect the health of the citizens but how do you affect the stock market? i don't know any methodology can you use. we have these x factors popping up like an unexpected infection one place, somebody gets on the plane. obviously they're going to tighten the parameters up under which people can travel. but right now we just don't know how to model the effect. and that x factor is really weighing. >> whether you saw what happened with sars in hong kong way back whether, you saw dramatic declines in people going out, people getting on planes, people going to movies, retail sales dropped. once it was contained, wow. it was like a v recovery, boom. it can can come back very quickly once it's taken care of. >> in the absence of that, you see the infect. look at the hospitals. >> look at the airlines.

they're down 5%. but also note that truckers are down and the railroads are down. that is a sign that there is a concern about overall slowed u.s. economic growth. not just ebola. there is a definite series of overlays of concerns on the market. it's not just one factor weighing on it right now. >> the problem is the market has a sentiment problem. and until something happens to change the direction of se sentiment, you'll be in a downward market zblchl yeah, that's exactly it. you know, what we're seeing right now is just a headline risk of ebola. with the announcement this morning and, you know, what this means on an on going basis. there is concern cnbc poll showed the concerned nation lied about contracting ebola, does the cdc really have a hand will on this? can we control it in this country? and until investors, talking about investors here in the states, it will effect some

industry sectors. overall, part of the selling today is definitely a result of the ebola scare. and until investors feel good about the cdc and our hospitals having their arms around it, it will continue to impact the markets. >> there will be a hearing tomorrow where we will hear from the director of the cdc. also onest directors i believe with the national institutes for health. that is a house hearing. it is a subcommittee. and that's about noon. so certainly a lot of questions, scott. maybe some answers. but it's already quite clear that whatever plans should have been in place to deal with this was not in place. and now it's a matter of what resources can marshal and get your arms around it. >> kimberly foss, as you look at the internals and the sectors, it's interesting on a day where if you get a pretty good earnings frort bareport from ba america, how concerned would you be about that? really on the back of what had been pretty decent earnings from that space to begin with citi and some others? >> well, you know, we've had

good earnings. and the market and the economy is kind of mud willingdling alo positive direction w this pull back, i'm not too concerned about it. we're long term investors. my clients are long term investors and broadly diversified. i think the big question is for investors and retail investors out there alike is, you know what? these things we can't control. we can't control the effect of ebola. we can't control the geopolitical issues. we can't control the slow down maybe of global economies. but what they can control is their -- >> we have the 30 years below 3%. that seems to be the problem if you're in the financials right now. >> that's right. >> whether you're at 2% on the ten year, the net interest margin is xas batd. look at wells fargo did this yesterday. 0.3% is the net interest. they are depositors they have to pay interest rates on. they can't make any money on their loans because the rates are so low at this point. and that's why the financials are the weakest sector today.

>> well, we'll leave it right there for right now. on that topic. we want to now bring in our jackie deangeles. you have to watch oil. that is setting the direction for the tone of the market earlier today, weighing on things even into the close here. what can you tell us? >> i'll be right back. >> yes. >> prospect in the oil space now? >> all right. let's start with the good news, kelly. got news is that oil does stabilize as we moved into the close. question close today at $81.78. only down about six cents. the bad news is the volatility that we saw throughout the session today. we started negative and then we were in positive territory. traders are trying to gain this right now. some of them are just standing on the sidelines altogether and saying, you know what? it's a little too volatile for me. some are looking for the singles and doubles and trying to book a profit here and there. there are two views on oil right now. the first is that we hit a bottom and going to move higher from ear. the other view is we have

another $5 or $6 to the down side f that is the case and we get to that $57, $76 level, now you're talking about where the produces have to think about supply cuts and consider it seriously. traders are saying they think that 75 mark in some ways as. a support because the market will start to anticipate that tightness and then all of aid sudden will rebound from there. still, there are other traders saying, look fshgts he c, if te market is really in this, the prices are going to go with it. of course, there was a lot of financial turmoil. you had dollar fluk weighctuati well. people are saying right now we're a far away from 33. dl is still a lot of down side here. the other thing i want to point out is you have opec not only sort of fighting among themselves but also digging their heels in the sand and saying we're not cutting production. we really want to force these prices down and get the u.s.

producers to do it. it's the u.s. supply that is essentially floded the market here. so a lot of really interesting things to watch. as i said, the good news is that we did stabilize at this point. and one final point actually before i throw it back you to. a couple of traders looking at the ebola situation and saying that really spooked the market today. and that also took oil down afterwards as well. they are worried about consumers saying we don't want to go out. we don't want to spend money. we don't want to get in the car. if that's the case, it will have an impact on the market and on the energy market as well. back to you. >> jackie, thank you. let's take a quick look here at markets. we're now seeing the dow off less than 200 points. on any other day, of course, this would have been a shocking selloff. but not today. we've now halved our losses. >> look at the bottom there on your screen right now. small caps actually going into positive territory. >> that's pretty interesting actually.

so it's interesting to see the kind of stabilization. but to your point before, not cat pit lags. i think it's probably a pause and probably down more. >> hold that thought right now. we want to introduce a couple guest wloz talk specifically about oil and see if that can provide the direction for the markets move here. >> joining us is the ceo contradict faulkner and the short reports, stephen short. stephen, how low do you think crude, wti ends up going? >> right now we're already too low at that $81. so if we don't hold here, and i'm really skeptical we can hold here, i think we can be down to $75 level. we have a situation where we do not have enough demand. that is demand with concern of economic growth, the imf continues to downgrade the situation in europe. this is translated into a strong dollar which is bearish with crude oil. we've already eluded it to

perform with regard to the equity markets. there is a strong positive correlation with oil. so equity market will weigh on oil prices. yesterday the iaea for 2009 came down. downgraded oil demand to the lowest lows since 2009. let's not discount ebola f we saw something like this ten years ago, we saw a 30% decline in sars. we saw 20% decline in jet fuel prices because of the avian bird flu situation. demand is extremely weak right now. >> but you're still saying the price is too low, stephen? that's your point? you think it's overdone relative to where the price should be? am i hearing you sfligt. >> absolutely. absolutely. we're looking at a situation now where oil prices for most of the opec nations, saudi included, is now lower than they need to keep their books balanced. >> chris faulkner, want to get

chris faulkner in here now. do you agree this move is overdone and do you think it could have further to fall? >> i think two weeks ago we talked about oil testing $85 then testing $80. both of those things occurred. i think there is a floor definitely at 80. but look, as a producer, where we're at today begins to scare me. they're tl are economical areas in the united states already at 8 aand below. the reality is what happened now is saudi and the u.s. are two freight trains heading down the track. in this ok, the brakes are on production. so on november 27th when you're having turkey dinner and watching the dallas cowboys win, they're going to be fighting at opec over who is going to cut production and if they're going to. starting, we may want to keep these numbers at 80. >> to be clear, you just said

the number is already uneconomic. you're talking about affecting one of the strongest parts of the u.s. economy. >> between -- the balkan is a pretty expensive heir to look to. we spent about $60 to lift the price of a barrel of oil out of the ground plus transportation for crude by veil $10 to $12 more. it is about break even business. bankers are going to get concerned if the price of oil begins to get near $75. so at $85, a lot of people say the balkan is at a challenging area. folks get worried in these areas. if we get to $70, for example, i bet the production in this country begins to curb near 50%. rigs will lay down. oil will stay in the ground. and that's a challenge. saudi knows that. they want to be able to slow down american oil boom so they keep their market share and their nun position in the world. that's what they may do come

november 27th. we'll dig into our $750 billion foreign exchange reserve. we'll keep oil at $80. we'll make up our budget numbers by pulling money out of that reserve, $20 billion maybe. and we'll force america to slow down. that's a scenario we're in right now. that is a reality. >> scott? >> i think that's great point. it's a conversation that i've had in the last couple days with mark fisher. he seems to have a similar feeling on it. again in, my opinion where oil is right now and look teg overall market, the xl sechlt higher. you have the favorite names that you know i like. as i was coming in playing index, i'll buying back the energy names. >> and i think oil found a bottom. one of the reasons why is just as i go around and i talk to all the old men and ladies i know that traded oil for 25 years with me, everyone short oil now. seven short oil on the belief that oil is going down to $70.

>> i mean this is a selectively open opportunistic market. you just have to be very selective in where your opportunities r. >> yes. >> sure. >> and i think also when you look at the coal names, they highlight thchltd republicans taking the senate. that is a favorable thing for coal. i would look at that as well. coal has been obliterated in this hedge fund liquidation. >> guys, somebody trying to comment on the snanl. >> be careful what you wish for, we'll pay for this in 2015. if oil slides this could create a global weakened economy. it could be a big global issue that we haven't thought about. so it's not a situation we want to be entering 2015 in. so if we can stabilize oil here now, fine. most of the areas in the u.s. we can still drill, still produce more oil. that's fine. in saudi, we can keep up with this price that, is fine as well. if you drive it down to $70,

we're going to see a chaotic situation in america. >> we'll leave it right there for now. thank you both. some pretty significant headlines, scott. >> yep. take a look at where we stand right now. we do have about 25 minutes to go in the market. the dow is down by less than 200 points here. russell 2000, that's a big story going positive. up by .75%. i do want you to recall though in the past days when the russell has gone positive, it's given it all up and then some in the last 15 to 20 minutes of trade. >> buckle up. bertha coombs is tracking the agency over at the nasdaq. >> what's been interesting, the russell has been relative outperformer all day. it had gone positive earlier today. then we got those second ebola headlines about the second nurse who was sick and then that cdc press conference and things went south for the market overall.

bioteches, the biotech indices remain up for the year after having had such a volatile start to the year. one of the things he was watching is the ibb. that is the etf. a lot of people move in and out of that. this morning at held a technical level at the 200 day moving average. he was going to watch it into the close. here we are watching it move higher into the close. a number of the names that are moving higher there this afternoon are small cap names. kamerics is a drug developer that has a ebola treatment is one of the strong names. it's been up all day. movie bioteches higher. chip stocks have moved positively into positive territory this afternoon as well. chip stocks since the beginning of the quarter have really been down hard about 14%. and what looks like we're seeing

some bargain hunting moving in there. atmel hitting a 52-week high, moving into positive territory here this afternoon. we'll see if these gains hold going into the close. back to you. >> berth yashgs yes, we will. we should note the small caps have turned positive. nasdaq is only off 4 points. the s&p 500 is only off 12. the dow is off 161. a few more bright spots this afternoon certainly than we saw dominick chew in that sharp selloff at the start of the session today. >> overall, let's talk about what happened so far this week. it's been a volatile week already. despite the selloff in stocks so far this week to date, there were some bright spots. one sector that is bucking the trend overall are the home builders. this as investors flocking the bonds sending interest rates lower if those lower rates hold. maybe that makes homes more affordable. you look at lena rcht, k.b. homes and horton moving higher week to date so far. so a shoert term trend. utilities even though they sold off today, they held up pretty well this week. duke energy, southern company, also in the green as well. and then one area that's

interesting here as interest rates fall. we talk about the interest rate sensitive stocks. how about real estate investment trusts? you look at avalon bay communities on the reds dential side, equity residential, nation star mortgage, all posting solid week to date gains. if you're looking for where investors are looking to hide out this is one of the place that's they're looking to, utilities as well as though reats as well. >> thank you. >> joe as you look at the dow now down 162 points or so, i mean why don't you tell folks. you get tradable bounces within a corrective phase of a market. >> absolutely. >> you get them all the time. and really the question becomes what does the institutional side do with them? and it gives you some insight. you're going to get great inside here. if there has been let's say a classic washout so to speak, then the market will close on the highs. tomorrow morning it opens higher. then it will continue to move higher. the pattern has been over the last couple of weeks that any time you get the rally, that's

the moment of let's get out of all the bad inven torey. think for a second. last week one of the more troubling days is the day the market was up 274. think about buying the market that day. you never a chance. you're going to get great insight here in the final 20 minutes and tomorrow morning if true think was what i would call a washout. the short trade, as i told before you, does not look as appealing as it did coming into 12:00 today. >> perhaps already getting some idea of where this bounce could be heading. from the bond market now where we've seen the ten year do a full round trip on this session, incredible moves when you put it into context. we're back at 2.15 after being at 1.9% earlier today. joining the conversation, steve liesman. from the economist and our own rick santelli, welcome one and all. greg, first you to. were you shaking your head at the action this morning? >> yeah, it's pretty amagz, kelly. if you think about the story of

the bond market, you've seen the ten-year yield moving down from around 3% to 2.5% to 2%. the same year the two year moving up. what is the message snt message is market is preparing for the fed to start tightening but also concluding that that tightening would take us to a new normal of only around 2% or 3% on the fed funds rate instead of 4%. that all changed in the last few days. the two year yield has come down almost as much as the two year yield. the market is pushing up the date of fed tightening. they are getting a growth scare. the question is, are they right? if you look at the funneled. ales at this point, i don't think they're right. the tone of fed speak is going to push back in the other direction. >> steve, you gr he? >> you know, it co. here's what i know. i know that the market dramatically changed its view of what the fed doll in 2015 based in large part on data this morning. i can say with absolute certainty the federal reserve is not changing its mind that dramatically based on today's data.

there are a lot of reasons to lean against this story of weakness on the part of the consumer that has to do with the morgan stanley report that says there will be $129 billion more in consumer's pockets. this holiday season compared with last one. and that's before you get to oil and gas and the cheaper energy prices. that's $40 billion more. if you want to take the other side of the bet, kelly, that the consumer is not going to spend a good part of that, i'm willing to make a deal right now on tv right now. >> steervegs the lower the rates go, the big ert problem for the fed. >> why do low rates create a problem for the federal reserve? it is really communication problem. >> it's clearly signalling that people think will is something wrong with the economy. and it perpetuates the view that the fed is going to have to stay lower for longer. >> mostst fixed income guys i talk to, they say there are two things that go on with the fixed income market. it's a bet on inflation but not

a good barometer of the economy. >> yeah. i'm totally with you, steve. the question about whether this is a problem for the fed really come down to who is right? the fed with their up beat view or the market with their down beat view sflt market will tell us. one retail sales report, a sloppy report like we will today is not going to cause the fed to turn on a dime. let's remember it was just a few weeks ago that everybody thought that the fed was going to remove considerable time from the -- because the labor market was outperforming. the fed never turn on a dime whether the news is gr o bad. i would really us is spkt we have to see way worse data to get a big change in the the outlook. >> rick santelli wloshgs do you think is right snt upbeat fed or down beat market? >> neither. >> neither. we know the fed is not on this kind of pull-pull or tug-push. they're on a one way street. okay? they're on lake shore drive.

one way street. anybody who believes fed funds will be accurate or the markets or janet yellen is being transparent, i'm sticking with jim. tightening isn't going to happen. >> rick, if you could only take one to a desert island, do you take the fed's projectionors wlat market is doing on any given day? >> there are so many issues that mix the signals of the fixed income market and especially the equity market. we've sealed off a lot of the feedback loops. in the end, we could talk about all of this. but really the fed is an interloper. the only thing that truly mat serz growth and economies and when you put it all together, growth on the globe. and as you look at all the various parts of the globe that are kicking and much less, whether the u.s. is still holding up or not, almost becomes a mute point. and my evidence of that is your very own fed. boy did they certainly ramp up the dollar and what's going on

in europe from the minute and from the statement i heard the press conference that wasn't the main topic after the last meeting. >> i don't think the issue of u.s. growth is besides the point. the issue of u.s. growth is right at the center of where and how the market will move. i will point out -- >> and point to the growth that you're most proud of. i want to know what the growth is. because growth is key. what is the growth that you're proud snf. >> what i want to point out is based on today's data, our cnbc rapid update went down by .2. it still rains at 3.2% it ch is decent follow on from the 4.25 last quarter it may happen. i haven't given up the ghost on pretty decent above trend growth in the third dwarter here. now if that really comes off then i'll change my mind and i think a lot of people would change their mind that are out there. economists really leaned against this really overall apocalyptic reading of the sales report today and the idea of stronger growth in the third quarter

remains pretty much the market consensus of people that i'm reading right now. >> i don't think -- >> if you're adjectives are pretty decent, pretty decent in the day and age we live in with 92.5 million able bodied workers not in the workforce with entitlements we ignored and all the policies we've ignored and debt that continues to grow, forget the deficits are smaller, pretty good not quite great is just not enough. it's better than a lot of other countries. but sometimes that really isn't the point. i'm with you. >> grelg, final word? >> yeah. what is the new information we have today versus a week ago? we know that europe is weaker. germany has had bad numbers. but those are external demand numbers. we know that europe's environment was weak. we also know that oil prices are lower. that's obviously bad if you're an oil exporter like norway or canada tlachlt is good for almost everybody else. it is really hard to look at the fund demtasl. our things are worse?

yes. this is a lot of psychology going on here. when you see the stock market and bond market moving as much as they are in such a short period of time, it has to be psychology. i think we need to just keep in mind that we got lulled into thinking that world was a really ordinary place because volatility was so low. i know we've talked about this in the past. get used to it. there is what volatility is supposed to look like. >> understood. for right now we have 12 minutes to go. the nasdaq, there was fighting back into the green. now it's off by six points. we're going to send it to dominick chew with a quick market flash. >> we're watching the transportation stocks moving into positive territory as well. they're up .5%. among the big gainers, the rail companies like norfolk southern and parcel carriers, u.p.s. and csx and rider to the upside as well. transportation stocks doing all right. small and mid cap stocks

strangely enough real outperformers on the day's session. back to you. >> strange or not so strange, dpenlding on how and where you're looking at this market, scott, trying to find those signals of a bounce like we talked about. but your point about capitulation stands. the trend is one way to gauge it on the floor here. people are often like to see that jum tp to a level of three. the highest is 2.5. >> all i secretary is the people that i speak with on a fairly daily basis, what we saw this morning was not -- was not the type of capitulation you see in the midst of a strong correction. >> fair enough. and now we have ten minutes to go. we're going to get signals out in how we close here. one of them is going to come from the financials. they were leading the way lower today. off to the tune of 3% individual names even harder hit. coincidence or not that they're reporting earnings? >> i think not f you're bank of america or you're black rock, you're saying wait a second, i put up pretty good numbers this morning. what is happening to my stock right now?

financial es have been leading. the sector is off 4%. that is the biggest drop in about three years since december 2011. take a look at the financials just in the last month. they're down 8.3% since the sector's high on september 18th. less than a month ago, of course that, was the day before the ipo whether risk was on. there are few factors leading to risk being off today. they said at the retail numbers was not apocalyptic but it is really hurting this sector. when you have a broad retail slump, think about how banks make their money. and today's data go directly against the thesis that consumers are healthy and spending and earning bank's money. when you see yields fall to lows like we see today, it makes the bank business model overall less

profitable. then there is europe. we're talking about it. more fears of a euro-zone slow down. also stoking fears about the weakness we might see next sunday when they reveal stress test results. can you seat financials down in the range of 4% to 5%. now the europe fear is a bit of deja vu when you look at the treachery yield. the ten year yield today had its biggest one day drop since halloween 2011. that is the day mf global went belly up. that was all because of a bet $6.3 billion to be exact on europe, portugal, italy, spain. so the fact that three years ago -- >> on halloween. >> that spooked the markets enough to drive treasury yields down that much? and now today we're talking about europe all over again. a lot of people are saying there is not coincidental. >> there is splg to be said for

something that happens in october. it is also interesting the way in which -- we hear people say we're in to this for the long term. even the trade that jon corzine is making on european debt, i may have done okay. in these markets, people can get pushed out of all kinds of positions. >> sure. we've been talking about the fact that, yes, europe is slowing down. and that might have some ancillary effects. but the consumer recovery is under way. i have to tell you, kelly, after looking at bank earnings so far, we haven't really seen loan growth on the consumer side. we've seen it on the high net worth site. asset management loans are growing. the every day consumer is not borrowing. there is not that demand there. does it raise questions about whether that consumer recovery is really happening. >> great point. thank you for now as we keep an eye on the financials. broadly speaking here, scott, now the dow looking like it's weakening a little bit again. it's off 200 points. we were off 460. >> i think the point is it's going to be volatile from here forward. >> yes. while kayla was talking, it came

off eight handles. again, i re-emphasize there is a trade. i said you to if, you're buying the market right here, you are buying the market because you believe there is a bounce in the market that maybe takes you to 200-die moving average. you're not buying because you think you're warren buffett. that's overwith. that's not happening this year. >> that high from the week that they went public is the high for the year? >> i would be amaze philadelphia that is not the high for the year. >> it will be interesting to watch wall street. the sell side trying to get their armdz around what to do with the price targets. >> ben, what you are hearing on the floor? >> a lot of noise and chaos as to exactly what we just heard. is this a temporary bottom? will we be able to make it to new highs later in the year? was this the indication that financials are big story? i would agree the financials are a place you should have the shopping list out but more on

the regional side. take a look at the. >> narrator: radar kind of looks, you have massive limited partnerships trading on the plus side. there was an ipo again. dm trading over $6 whether i stepped in front of the camera from the ipo price just today alone. so the philadelphia oil service index trading on the plus side with some upgrades in that sector. so all is not bad particularly in the energy sector. you would think they're taking the hardest. that is what let us down. but there is a lot of noise. this is a trading opportunity without a doubt. >> yeah, mark. what is your read? does it mesh with ben's? >> yes, it does. i'm telling my clients now is the time to put money patiently to work. fear and capitulation are good to make -- to be able to make the market bottom. but if you have a long term horizon as an adviser, we're making sure the long term horizons are in sifrpg wiync.

>> do you think that happened this morning? was that capitulation in the equity market? are we getting close to a bottom or a trading opportunity for a longer term investors? >> i wish i knew the answer. i do think we still have a little way to go. i expect a little more pain at least throughout the rest of this month. so if we're off six months and -- 6% and year to date and we've given back the gains we have in the market, i still think we have a little way to go. i wouldn't be surprised if it reaches 10%. a closing 10% correction is 1810. stick your neck out, mark. >> i think it's a great time to buy. i do think this volatility will persist. for longer term assets and

investors now is the time to expect no surprises. we should put our money to work. that's what i'm telling my investors to do. put the money to work patiently. be disciplined and don't push the panic button. >> briefly, can you touch on volume for one and again the kind of swing that's we're seeing even into the close here? >> the volume is much better. this may not be a warren buffett moment, i believe this is a time that you will look back in late december and realize you really should have been buying on a day like today, not panicking and avoiding it. >> do you disagree with what joe said? >> i do. >> why do you have such confidence? >> the fundmentals led the world to the bottom is what is going to make the market rise. the dow jones industrial average and the s&p 500 are advance

indicators wlaf is to come. we are repricing now what is going on in the currency markets and the fight that's been going on between the central banks of the world. i'm not saying we'll have 10% increase by the end of the year. i think now is a buying opportunity for those people that should have money in the stosh stock market if they want to attempt to retire on time. >> what you would be buying then? >> i still -- >> belts and braces for me as far as it goes. take a look at the utility stocks. if the economy improves, people are still going to be using electricity. mlps, it doesn't mat wlaer ter e cost of the product, is you still have to pay to use the pipeline. regional banks if, the economy is improving and rates going to go up that, means the spread on the book to loan is going to make the money. so that is another place i'd be looking. >> yeah, mark. what are you looking for off the open tomorrow? what is going to help the buyer

at home really get a grip? >> there's no bell that marks the bottom. as a main street investor, you have to listen to your adviser. if you're working with an adviser. as a high net worth investor when i work with mr. of them, they are fearful but with the right discipline and the right patience. we look at our portfolio. we look at exactly where we want to be. we want to be, you know, in the low large cap. we want to be in emerging markets with regional precision in particular. you know, india, brazil, china. we still want to be. there we want to avoid mid cap and avoid small cap. the riskier. we want to avoid high yield. we want to avoid certain fixed income sectors like senior bank loans. we do want municipal bands for the ultra high net worth investors. >> interesting. you think maybe by part of your thesis earlier where you think the market is certainly how it

is setting up perhaps in your belief for the long term that small caps and mid caps may be where the value is relative to how they've gotten crushed. >> they've been getting crushed. the outflows started in q-3. 1.9 trillion market and most of the inflows in the third quarter went into the large cap, low beta funds. and he mrnemerging markets as w. europe, because of the stagnation and the deflation, that really concerns me. i would be very, very careful. i understand what you're saying about buying when the values are down. i'd still be careful that risk is off on those small cap and mid cap. >> understood. the bell is going to ring in 30 seconds. give me a short answer. ebola, how big a factor is that in the psyche of traders? >> it's huge psyche for impacting the trading decisions.

for the actual market impact, i don't really think it's a significant as you -- it will play out to be, anyway. it shouldn't be as significant in the end. >> all right. well there it goes. the dow jones industrial average is going to close down well, well off the low of the day. much more coming up in the second hour right now. >> the dow is going off with a decline of 172 points. the s&p 500 off 15. the nasdaq off 11. and that russell positive by 1%. guess what? we've had more than 1200 points notched on the dow as we've gone up and down on this trading session. off 460 points at the lows just a couple hours ago. br this rather stunning come back, scott. >> the nasdaq actually made it down into correction territory

earlier today. the s s&p 500 got within 1% or so of that dubious mark. did it not quite get there. the scory really centers around the move in the russell 2000. if you go down a checklist of the thing thas you need to see know that they're nearing an end. is russell 2000 is a clear and important thing to watch for. i'm not talk ong a one day basis. it is something to build momentup for. >> this all goes back and forth between whether we put in the lows for the year or in, fact, whether we put in the highs. but let's get a little micro, shall we? netflix out with the earns. time warner cable one of the few movers to the upside today. we have the numbers. julia? >> netflix earns just out. earnings per share beating to the upside. coming in at 96 cents per share. that is three cents better than expected. revenue right in line with expectations at $1.049 billion. netflix, the focus is on the subscriber numbers.

both in the u.s. and internationally are both coming in light. net additions in the u.s. coming about -- streaming subscribers, 400,000 lighter than expected. international streaming subscribers coming in at 300,000 subscribers lighter than expected. a couple of other key details here comes to the hbo story, read hastings weighing in saying it was inevitable and sensible that they would eventually offer their services as stand alone complication. many subscribe to netflix and hbo. another couple of really key notes here is the company said that forecasts for the fourth quarter that it will continue to see lower net subscriber additions than expected. they say part of this is the impact of higher prices that they enacted in the second quarter. they think -- >> i want to interrupt you real quick. forgive me for interrupting. i just want to call to everybody's attention, you probably can't see it from where

you're sitting, is the move that we're seeing right now in netflix shares as you deliver the earnings report and the fact that the subnumbers came in light. we can see -- can we see it on our screen? >> off 11%, 12% as soon as that number hit. >> it is down almost $60. >> 13% now. it isn't going it help. this is the day -- let's remind people what we're talking about. time warner is going to put hbo effectively online. talk about competition for netflix. this would be the time when they have to deliver strong growth. i'm sure it's compounding the miss. >> absolutely. and i point out the last three quarters, the prior three quarters netflix delivered higher than expected subscriber editions. this is the first time in the past year that netflix delivered lower than expected subscriber additions. they're showing strong growth. the company aflouncing that the international markets that it rolled out into in prior years are now profitable. so there are a lot of positive things in here. but with netflix, the folk us is on the subscriber numbers which

explains the stock's decline. >> we're just going to hit the numbers as well. american express with its third quarter earnings. mary thompson with detail on this one. >> kelly, we have better than expected earnings from american express of $1.40. analysts were looking for $1.36. revenue is a little lighter. estimates for $8.35 billion. just quick headlines. we're going to read through there and come back with you with more card member spending was 9% in the quarter. pretty healthy number. loan balances increased by 5%. again, we'll read through the release and have more in a moment. but on the bottom line, american express beating by four cents with $1.40 a share. back to you. >> mary, thanks very much. >> dr. j, as you take a look at the netflix numbers, the fact this is one of the high momentum names that has remained up there, people have continually bit that stock up for the most part despite some pull backs here and. there nobody i don't think or very few people were counting on

a miss in subscribers domestically or internationally. >> and it's a one-two punch, too. you're getting the news that we just heard about the hbo and the competition there as a one off. as online competitor. and you're getting the idea that subscriber growth is not as fast, not as robust as they hoped. and obviously they didn't warn anybody about this. and that's why you're seeing that 60% or $60 selloff. >> especially in the face of as much money is being spent on content by that, that's an issue. >> i mean what you're looking at, netflix is now in the business of attracting viewers based on their great new shows. and it feels great with them. it's about people not being excited about the new content. >> puts more pressure on them. >> i should welcome everybody here first of all. nicholas carlson, dr. j on set us with. we have your friend joe nova

coming back. and bob pisani is on the floor. all hands on deck as we recap a wild day. if you think netflix is wild, take a look at what just happened in both stocks and bonds today. >> yeah, what a dramatic drop there in next flichl. hbo was a spectacular announcement wlachlt a day to day. it's been a couple years since it's been this exciting to be a markets reporter. you have to go back to the european financial crisis. let's roll through stock charts and numbers here. dow jones industrial average down 370 points at the open. down 460 points at its low. comes back down 173 points. the dow transports was down 2.7% around 1:30 eastern time. spectacular move to the down side. and ends positive on the day. the russell 2000 was down at 1:30. it ends positive on the day. these are jaw dropping moves. we haven't seen this in a long, long time. there were plenty of problems. we had very disappointing retail

sales numbers. it weighed on the retail irz. nordstrom, coors, everything was weak. even look at those stocks. nordstrom coming back late in the day. as an kafgs weaker growth, look at the transports. yes, there were airlines on ebola concerns. but railroads and the truckers were weak as well. conway union pacific rallied back off their lows. still ended to the down side. as an indication that weaker growth is an issue, walmart didn't help. the stock dropped a couple bucks on that. it came off the lows here. ebola concerns, definitely an issue. hk facilities, hospitals, for example, ten enlt, universal health care were down noticeably. they, too, came back. down more than 2% in tenant. lower yields, when you have a ten year at 2% an even below, banks have a really hard time all throughout the day. again, they moved up here.

a loost encouraging actions in the big etfs like spider. >> thank you for that, bob. we want to go right back to netflix and talk about it with our panel. we have nicholas carlson with us. and sarah eisen. >> wow. >> joe taranova, give me your thoughts on netflix. >> my thoughts on next flichl, a classic example of -- >> he is joined by art cashan. i love. that dr. j, let's talk about the way this is trading after hours. >> sure. blew threw the 200 day to the down side. down 86 dlor about $363. so that is a -- that's an eyeopener.

now a lot of people are higt the exits in a very i will liquid time, after hours. normally you don't see near lit volumes of buyers. so i bet it gets a little overstretched in the after hours tonight. >> i wonder if there is any sort of rollover he vekt into any of the other names that you put into that category, whether a tesla should be discussed. i have no idea what the stock is doing in the after hours trade. >> if you were saying there is tapped as a piggy bank, i don't think that's what they're doing here. i think this is pan nick the after hours, like i say. but if you were going to tap a piggy bank, i would say apple, tesl afl, those are ones you hit. i don't think that's what is happening here. there is a news-related vent in netflix.

>> let's stay on netflix, what can you tell us, julia? >> netflix saying that it expects to add around four million more members in q-4 tlachlt is about 700,000 less new members for q-4 than quality had been expecting. they don't think it's from increased competition from piracy tv. they say per member viewing and retension in the u.s. are stronger than ever. they say it's really seems to be about the impact with the higher prices being enacted in q-2. the company also notes that it's contribution margin increased beyond 30% and growing the u.s. contribution margin about 500 basis points in the quarter. so a lot of growth. just not enough growth whether it comes to these numbers. >> just to be clear, they raised

prices by $1. am i wrong? >> that's right. and, you know, going forward, netflix is going to increase the prices over the years as thing goes along. they've had a free ride in terms of the piping that goes into your computer and tvs. that's going to go up. you don't think cable providers will start charging more. prices are going to go up. the big thing about this is people are saying that hbo news is terrible for netflix and that's a reason to sell the stock. i don't know what is a reason to sell the stock. i don't think the hbo news is bad for netflix. i that i is good for ned flichl. i think it sthaez hbo and time warner recognize this is a behavior of consumers going forward. they're investing in what netflix does. there say whole market out there that this is what you need to be in. i think it's a vote of confidence. >> we don't know the sale pricing yet, sfligt. >> number. >> that could be key. >> can we throw up tesla in after hours? i'm hearing it's taking a drop of some magnitude. i'm not sure. you put all the big names in and

now that netflix is getting hit and who knows what it's going to look like tomorrow, what is your view of the types of stocks in this particular market we're in with sent. as it is? >> it's not going to encourage people, clearly. it feels, you know, down 20% in netflix. i'm not reading a lot. if you don't know the movie, you can rent it on netflix. it feels as though 20% is extreme. i think the most important thing to take away from the day, the russell is leading lower. judge, you pointed that out earlier. and today on a pretty horrible take, it was holding in there pretty well. a bunch of people tweeted about it midday and obviously closed positive. i actually think that is encouraging but i think the late day selloff in bonds is ridiculous as this is going to sound is probably bullish again for tlt, the fact that you're not going to have one of the island reversals probably means the -- >> rich eyes sen smiling. >> i've been in the lower camp for a while. >> you have. >> it's not because of anything

but inflationary global pressures. >> it's not just the hat tip. now i have to buy him dinner. we were inching toward 3% earlier in the year. every sij bond strategist out there said yields are going up. the federal reserve is going to end tapering. we're going to normalization. who knew? he would make such an accurate call. >> you're right if you remember. it was over the summer one of the surveys, 56 out of 56 economists say interest rates are going higher. we all should have known. we have to leave it there for right now. guy, thank you very much. keep us post ond what the next move is if you would sob kind. coming up with the "fast money" crew at 5:00 p.m. here. stay tuned for that. they're talking about their best protection plays and a selloff like today. don't miss that. straight ahead here, we're looking at a market that was a pretty wild ride today. >> i'll say. >> 460 at the lows. >> much more of our special report on this market with our

cnbc all stars is coming up after this short break. opportunities aren't always obvious. sometimes they just drop in. cme group can help you navigate risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group: how the world advances.

or a helping paw!ater, everyone needs a helping hand, so mattress discounters good deed dogs is raising money to help train assistance dogs for wounded veterans. veteran: i live independently because of what all it provides for me. and it's huge! there's a lot of wounded, ill, and injured out there just like myself, who just maybe need a little bit of help. tag: you can lend a helping paw too. give at mattressdiscountersdogs.com or any mattress discounters. mattress discounters good deed dogs--

helping dogs help people. welcome back. on ton of everything else happening today, it's been an earnings barrage after hours.

netflix is whacked. american express shares slumping after reporting earnings and mary thompson has more details on that report for us. >> kelly, as we mentioned earlier, american express beat on the top line at $1.40. revenue missed slightly. the company's ceo commented on the revenues. he said they continue to rise at a steady pace, growth is still below their long term target. he also made comments about the economy saying the economy is stronger it's not growing fast or steadily as most people would like. and those same levers will continue to be an important part of the strategy. the company breaking out the business segments u.s. card spending up 14. the uk card operations are up 14%. international operations were unchanged and commercial services want to adjust for the saeflt business travel operations, they were up and adjusted 9%. are we also increased in the quarter. the stock taking a hit in after hours. kelly, back to you. >> yes, it s down about 1%. thank you. and ebay out with the third

quarter results. josh? >> kelly, so ebay just reported. let's get you the numbers. ebay reporting 68 cents on $4.35 billion. the street was looking for 67 cents on 4.37 billion. so that's a beat on the bottom by a penny. a little light on the top line. looking through the business lines here. paypal revenue, $2 billion. that is a bit better than expected. marketplaces, $2.2 billion tlachlt is in line with what the street was looking for. looking ahead to q-4, ebay is telling the street to look for 91 cents. analysts wanted to see 91 cents. revenue they're saying to expect 4.85 to $3.95 billion. that is light. of course, just two weeks ago ebay unveiled a plan to spin off paypal and expect analysts to have a lot of questions about that decision when the conference call kicks off at 5:00 p.m. eastern. back to you. >> thank you, josh. we should note ebay shares

responding down 4.5% after hours. we saw that there. what jumps out you to, gill? >> it looks like the guidance means the marketplace business is not yet going to accelerate. that's where the disappointment is going to come from. on the paypal side, the numbers are impressive. they're growing 37%. that is very good. but the overall revenue guidance for the year implies that the ebay marketplace business has not yet recovered from the combined impact of stub hub, the breech to their website and the google search engine changes. >> what does that mean then with the pending split? does it make ebay as the marketplace business more or less desirable to somebody else? >> i think it makes the ebay market place look not as good as it looked before. it makes it even more of a case to spin paypal off because there is more of a divergence between the growth rates. i think that's what a lot of investors are going to take away. >> and i want to get a quick

word from nicholas carlson on this. >> after the split off was announced, they did a little reporting and talked to people working with this company and people in the industry. there's a lot of pessimism around paypal. it is sort of recorded -- >> especially after this report much it's the exciting growth engine. >> optimism about pay signal. >> about paypal. people that are aren't company feel it is being squeezed. apple, google, amazon are the button that's people are going to use to buy things in the future. they feel like developors are not going to use paypal in the future to be the reason how you do the mechanics of buying something. they feel that is going to be stripe. then they feel like credit cards are fine. people don't want to replace. that they feel that paypal is a squeezed business. then i get the impression that management will is very messy. one of the things that people are really excited about is this app called venmo. it is sharing money, things like that. >> apparent lit founder have venmo and left ebay. i don't know if that is reported

yet. management sounds messy. >> if paypal is the play we just saw posting bert nubdz, ebay as the marketplace a little bit of a disappointment, where does that leave ebay as a stand alone? >> it leaves ebay as a stand aloevenlt i was going to say i think with paypal, it being squeezed and the management troubles, you don't know what this kplp is going to be. they have to go in there and they have a lot of decisions to make. >> a lot of question marks. >> hard decisions. >> i want to thank gil for joining us on such short notice to break that douvenlt dwn. dominick? >> what we're watching is what is happening with stocks overall. rebounding nicely in just the last hour of trading. the dow after being down more than 450 points ending the day, you can see there, just down about 173 points. leading the come back though, you want to watch what is lapg with the energy sector. look at name like southwestern energy, cabbot oil and gas, pioneer national resources, the big winners here as people bought energy stocks on that dip throughout the coursest day.

also materials another sector leading the come back as well. here you can see the sw energy, cabbot oil, air products, fmc corporation, sherwin william, all the big names. big gainers through the latter part of the day. scott? kel kelly? big moves. they put a lot of the ammunition into energy and materials. back over you to. >> okay. don, thank you. let's bring in three wisemen. joe, your just pointing something out to kelly and i about the futures, s&p 500. >> we mentioned before it's important to see follow-through tomorrow morning. you want the futures to come in higher. you want folks to try and sell them for a trade. you want that not to work and go out strong throughout the day. to indicate you had a little bit of a washout. knew you're getting negative earnings, net flicks and ebay and american express and the futures trading 46.a5. >> and art cashan, i would love

your rer inspective on this. in the trading activity and what is happening after hours and what to watch now. >> you get my intraday notes. you know that -- >> i'm one of the fortunate, yes. >> i expressed a clear cut link between west texas interimmediate and what the markets were doing. there is a lot of influences out there. but we made the low of the day when it looked like wti was going to break the $80 level. and we came back whether n it c back. and in the morning when wti went positive, that's when we bounced off the morning lows. so there's a heavy influence on that. as you noted, and i pointed out, greece plunged the equivalent of 1,000 points in the dow. and i think as joe points out here, everybody's not buying into this. what happens in europe tomorrow, what happens in the energy market, that's going to be very, very important. >> tom lee, one of the issues is the narrative tomorrow morning is going to be one of walmart

cutting its guidance, ebay cutting guidance. american express with the growth rate below the long term target. that's going to be the dominating narrative at least perhaps in the morning. >> yeah, i mean earnings and fundmentals are important to the market. the companies that are rorgt, they're disappointments i want to echo the comments made by art and joe. the market does have a -- i actually thought what tl waenz couraging things happening today in terms of the sense that things were leerdiading us down starting to stabilize. >> small caps, right? >> it's the small caps. it's the energy. it's oils. you know, i think even the surge that we saw in the vix was a sign that fear was, you know, very pervasive. i'm sure other guests talked about this. the turn structure of the vix is inverted as well. >> i want to quote something

that kate kelly is reporting. she is talking to a source who says in my mind this including 189 1 1987 is the worst 15 day that's hedge funds have ever seen. if that's the case, what should that tell you broadly speaking that if this is a shakeout, for example, of this community, is it ultimately opportunity? does it create confusion for the federal reserve? it is overstating the degree to which fundamentals have weakened? >> you don't know until you work through prot gres. mf global ultimately tushd out to be an opportunity. but for several days there, it was touch and go. and we all learned in 2008 how linked so many things can be. so i think you want to let the process work its way out. certainly the hedge funds are in the squeeze. i think some of this morning's selling looked like forced liquidation on the moppinopenin. we'll have to see over the next

few days how that works out. >> joe, do you want to get a comment in there? >> i do. the good thing is art mentions a lot of the damage is on the equity side. folks are mention ing 2008. this is nothing like 2008. the hedge fund community does not have the significant leverage to the credit side. so that's a positive. i think also you walk back a couple months, you think about people saying they're exiting the allocations towards hedge funds. you think about what's going on right now with hedge funds. i'll tell you what, i give money to hedge funds right now. i think the result of this is going to be a much needed consolidation and squeezing out of talent that really does not belong in the hedge fund community. >> you better pick the right ones, joe. >> absolutely. there are plenty gf ones out there, for sure. >> scott talks to a few of them from time to time at 12:00. >> all right. thank you so much. of course, art and joe and tom lee. >> really appreciate it. >> the markets took everyone for a very scary and wild ride today. >> it didn't end at 4:00.

after hours we've seen some pressure again on the futures as we just discussed on netflix hit hard on that earnings report. we're going to walk through all of this for you. the question is what should investors do now? would an official correction ultimately be a good thing? how do we know if we reached capitulation? we'll have more market coverage just ahead. stay with us. it's monday. a brand new start. your chance to rise and shine. with centurylink as your trusted technology partner, you can do just that. with our visionary cloud infrastructure, global broadband network and custom communications solutions, your business is more reliable - secure - agile. and with responsive, dedicated support, we help you shine every day of the week.

centurylink your link to what's next.

...the getaway vehicle! for all the confidence you need. td ameritrade. you got this. i want to welcome you back

and show what you the nasdaq 100 etf, the qs is doing after hours. it's getting hit hard. down 1%. really the result of that disappointing earnings report from netflix which we're going to show new just a second. there is the q down 1%. netflix, however, is down a lot more than 1%. try 26%. >> ouch. >> a loss of nearly $115. subscriber numbers in the u.s. and internationally a point of concern. and this has been a darling of those momentum players. that stock is backing up big time right now. i thought we would take a look at what tesla is doing. maybe in sympathy as a result of what is taking place with the overall nasdaq. certainly on the back of that disappointing numbers, there is tesla down 2.3%. >> the action isn't over. dominick chu joins us with las vegas numbers. >> kelly, scott, we're watching las vegas sands. really unchanged rights now. here are the headlines. the company posted weaker than expected third quarter results but the stock is marginally higher. we'll call it just about flat in

the after hours on news of a $2 billion stock buy back program. it reduced the dif denvidend to cents per share. for right now, those are your headlines for las vegas sands. kelly and scott, back to you. >> this is the kind of day whether every investors asks what do i do now? well, our next two guests come at it from different ang lgles. joining us is robert hagerty and j.j.kinahan who is chief strategist at t.d. ameritrade. people are talking about this as being basically an institutional pain trade. is that what you're seeing? >> i think what you have to do is step back. people get emotional, clearly. we had an motional bottom. but if you take a deep breath, the fundamentals are very, very positive. you have these warm temperatures which is going to help heating

oil. you have gasoline going down. and a lot of consumers are going to get another christmas president hasn't it no one is talking about which is lower rates on their variable rate mortgages. so there is going to be a lot of money in the consumer pocket. the retail sales forecasts are very strong. evaluations are reasonable. >> take us inside your office for a second. what is it been like? you are guys excited here and taking out the shopping list? or you are feeling the pain? >> well, we tend -- we're feeling the pain. our funds are down a few hundred basis points versus the average. we had a terrific five years. we look at this as an opportunity to buy stuff. look at las vegas sands and netflix as an example. they both reported today. las vegas sands has an excess of free cash flow. netflix is really very problematic on a free cash flow basis. one is around 13 times cash flow. the other is around 45 times. the market will figure this out. free cash flow is at the end of the day why you own businesses,

kelly. it's very cheap to own businesses. it's extraordinarily cley lily businesses versus fixed alternatives. you have to take the emotion out of it, hope the ebola thing resolves itself satisfactorily and basically do what you're being hired to do. we're being hired to be value investors. this is whether vn value surfac. the shopping opportunities are rampant. some of the best stocks i've ever bought have been in periods of financial crisis. >> j.j., can by virtue of your work at t.d. ameritrade, you have a good read into the psyche of what the individual investor may do in this volatile market. are they going to stick with the market or bail? >> i think they're going to end up sticking it with. i would say one thing, you know, talking about all this and talking about emotion, let's face it, we're talking about people's money. it's hard to take all the emotion out of it. i think one of the best things that the individual investor can do is think of this in term of

partia partials. now is not a time to be all in or all out. i think what tends to happen individual investors right now, scott, is they'll see something go a few dollars against them and get out of their entire position. i would always tell people to think about getting out to where you can think more clearly. it is very emotional whether, you know, you're down a few thousand dollars or whatever it may be for the case of the individual investor. overall if, you look at those traders that are clients and this is a great time for a trader. volatility doubling in three weeks. those who are longer term investors can pick up shares of companies they think are beaten up a little bit. overall, our clients have been fairly calm during this. you know, somebody cared it earlier to 2008. i don't necessarily agree with that from the individual point of view. as larry just mentioned, the mortgages, et cetera, aren't being threatened also. it's not a great dire sense of people losing money. but that really was a good point. >> larry, what are the name you guys are buying here? >> i think you have to like

yahoo around $85. we think it's worth $55. i think you have to like google and apple and retailing i like virtually anything. but i highlight macy's and j.c. penny and gap which are all very, very cheap on a cash flow basis. and i think have their acts together and have enormous tail winds from the lower inflation and lower energy prices. so those would be the starters. i'd also be in disney. i think disney has basically all of the chips for the next five years. i think people are a little worried about the exposure to travel. travel stocks have been hurt. but you look back and next five years if you buy disney right now, you're going to be very, very happy camper. >> does that square, j.j. with, the activity that you're seeing? where do people seem to be fishing on the retail side? >> absolutely. i think in times like when this when you tend to see people going towards kelly are stocks that are more big cap that have nice yields. particularly as the ten year yield went below 2% today.

the 30 year is below 3%. this is a time where they're not necessarily going towards names that are in the high-tech industry unless it is an apple or microsoft. newer name not necessarily. older name, so to speak, that pay nice dividends. you see a lot of retail clients you go tlo in times of trouble. >> i'm sore yifrment i was just going to ask larry, did you say before we go that we did put in a bottom here? >> i think it's pretty good bet that we have, kelly. the wild card is ebola. and it can spread and we have to be very careful. the thing i'm watching is the health care participates in the industry. if they get nervous, we could have really rough time in the market. it's an unknown. nobody is seeing or managing money is seeing. and the economic things that are going on right now are within my experience profile and what history tells me is i should act positively here even though it feels bad a little bit at the

beginning. >> all right. guys, thanks so much. larry and j.j. >> thank you. >> all right. we'll see you soon. >> we're going to send it over to our courtney reagan for a quick market flash. speaking of retail, martha stewart, what is happening? >> that's right. i want to check on shares of martha stewart living here after hours on news of the company has entered into a ten-year partnership with meredith corporation. so meredith corporation is going to resume the ad sales, circulation and production of the martha stewart magazine and the martha stewart wedding magazine. shares of martha stewart are up about 13%. we do want to note it is a relatively small market cap compared to what we normally talk on cnbc. but it's name we all know and significant move after hours. >> wow, there's a green one for you. amazon, we'll look at that on the other side of the break. so how close are the dow and s&p

500 to correction territory? we have a very -- we got very close earlier today and even crossed into the nasdaq for a short time. much more on what was an incredibly volatile day on wall street. our special coverage continues right after this break.

big day? ah, the usual. moved some new cars. hauled a bunch of steel. kept the supermarket shelves stocked. made sure everyone got their latest gadgets. what's up for the next shift? ah, nothing much. just keeping the lights on. (laugh) nice. doing the big things that move an economy. see you tomorrow, mac. see you tomorrow, sam. just another day at norfolk southern.

the ultimate arena for business. hour after hour of diving deep, touching base, and putting ducks in rows. the only problem with conference calls: eventually they have to end. unless you have the comcast business voiceedge mobile app. it lets you switch seamlessly from your desk phone to your mobile with no interruptions. i've never felt so alive. get the future of phone and the phones are free. comcast business. built for business.

markets on a wild ride. >> how close the indexes are to that 10% threshold, let's turn to dom chu. we know the nasdaq went through briefly. >> it d we want to put in per spktive, like you said scott and kelly about how the indices look, the major ones, and where investors should pay the most attention. let's start with the small cap stocks. the russell 2000 index. you can see here it was up 1% today. a relative outperformer in a sea of red. take a look at this, since the highs in june, we'll call it, that stock doctor the index is down about 10%. it's also off about 11.5% from its highs of the year so far. so the russell 2000 small caps in that technical correction territory, the 10% or more drop. let's move on to another part of market. you can swhee what happening agn

here. we did deep briefly into there. but we are again just off about -- we'll call it .25%. but we're off 8.5% off the recent highs. it did dip very briefly in the correction territory. now just about 8.a% away. we'll call it not so much there yet. moving on to another part of the market, the s&p 500 down about 1% today. .8%. it's off about 8% off of it record highs. so it's ever getting so close to correction territory. 1817 it has to get to that leave to reach that overall. one last one here what is happening with the dow jones industrial average. you can see here down about 1% on the day. it's about 7% off the record highs. so it needs a bit of a move here, a 3% drop to get to correction territory. but overall, what investors are paying the most attention to is whether or not some of the leading indicators specifically those small cap stocks may signal worse times ahead despite what happened in today's market. back over to you guys. >> dom, thank you. perhaps people should be looking

at what already happened in europe if you want to talk correction. >> what is important to mention is that you don't see these levels of heightened stress that you've seen back in 2008 and 2011. seven drawing comparisons. that spooked a lot of people, it indicated as the fear index. >> this is far from a major credit event. >> exactly. you look at the credit markets. everyone is watching the volatility as well. when you look at the big names and people that what they -- the big names that we talk to hedge funneled managers on this network, they see this as transitory. he said the word transitory, i was talking to dan arbess, zoom out and look at the billing picture. and there still modest improvement in the global economy and the fact that nothing has changed. they're sticking to their conviction. and you have this sort of short term alarm bells going off on social media, on financial media all the time. >> the wounds of '08 are still fresh for a lot of people.

>> and for a lot of funds, we should mention. >> all right. pardon me. sorey. our special market coverage continues as this dramatic selloff continues. >> and what is happening with the hedge fund community? kate kelly joins us next. with important details.

tigers, both of you. tigers? don't be modest. i see how you've been investing. setting long term goals. diversifying. dip! you got our attention. we did? of course. you're type e* well, i have been researching retirement strategies. well that's what type e*s do. welcome home. taking control of your retirement? e*trade gives you the tools and resources to get it right. are you type e*? ♪ who's going to do it? who's going to make it happen? discover a new energy source.

turn ocean waves into power. design cars that capture their emissions. build bridges that fix themselves. get more clean water to everyone. who's going to take the leap? who's going to write the code? who's going to do it? engineers. that's who. that's what i want to do. be an engineer. ♪ [ male announcer ] join the scientists and engineers of exxonmobil in inspiring america's future engineers. energy lives here. welcome back. it's the trillion dollar question, how are hedge funds holding up in this vicious market? >> kate kelly is tracking that story and joins us now. >> hey, scott and kelly. it's been a very tough few weeks

with the hedge funds. you have been talking about the market correction. and funds spend much of the last week getting out of their positions wherever they could from what i'm told in order to free up cash. all contributing to what several people described to me as liquidation mode. the irony is there is no no terribly new news in the markets right now except the spread of ebola and the down turn in global oil not just wti amid tensions with opec members and oversupply issues as well. euro-zone concerns, the slowdown in china uncertainty about the u.s. economy, they've all been a part of the mindset for some time now really. but hedge funds already struggling with underperformance this year that maybe exacerbated by the slow down in inversion driven m & a rentering survival mode. an overly emotional selloff earlier today gave way to a late day rally. one particular tell, the russell despite major averages sinking to day, the russell holds strong. driven, perhaps, by a short covering rally by funds that

were selling it for most of the year. kelly and scott, now we see the unwinding of some of the bearish trades as we move into this uncertain period. >> question then, kate, the question is, quickly, what gets these hedge funds back in? >> i asked that question, too, of folks i talked. to they said i think they'll tread lightly. we're entering into thursday morning now. they're going to hope to just get to the weekend and collect themselves, basically. it may have been a real disappointing day or really several weeks for people who have some high conviction stocks they wanted to keep. but they just got too nervous and scared and they decided that they needed to go to cash in a lot of cases. so we saw that play out today. we've seen that play out over the last 15 days or. so kelly, you mentioned and it's worth reiterating, this sound look a shocking statement. i did talk to splun who said this is the fofworst 15-day per they've seen in many years and that is including '87 and '08. so tough talk. >> opened my eyes. great reporting. thank you for bringing it to us. there is what jim grant would call a chicken dinner kind of

weekend, not one for steak. volatility is the watch word of markets of late. >> it's a warning jeff cox made on "closing bell" a few days ago. he dust off the crystal ball next as our special market coverage continues. we'll be right back. we asked people a question, how much money do you think you'll need when you retire? then we gave each person a ribbon to show how many years that amount might last. i was trying to, like, pull it a little further. [ woman ] got me to 70 years old. i'm going to have to rethink this thing. it's hard to imagine how much we'll need for a retirement that could last 30 years or more.

so maybe we need to approach things differently, if we want to be ready for a longer retirement. ♪ if we want to be ready for a longer retirement. it's monday. a brand new start. your chance to rise and shine. with centurylink as your trusted technology partner, you can do just that. with our visionary cloud infrastructure, global broadband network and custom communications solutions, your business is more reliable - secure - agile. and with responsive, dedicated support, we help you shine every day of the week. centurylink your link to what's next.

what a crazy market we had today. we've been covering as you know from all angles. let's look at how you should be setting up for to recall. >> joining us jeff cox that made the right call when he said volatility is the new norm and back for more. we appreciate joe and the panel as well. so jeff is this it? do we put in the highs at 31? >> no, listen kelly. i want to make three quick points here. a month ago when you look at the vicks we were about half of where we were right now. that's just a month ago. so we're almost begging for this kind of volatility. we have gotten too complacent and confidence because we're reliant on fed policy. believing that the fed could overcome anything in the world. we found out that that's not the case. that these headlines are bad and this kind of volatility is going to continue. point number three and i don't mean to be glib about this but the fed is planning to walk away

from quantitative easing this month. why of all the months to pick what they picked october is the most volatile month of the year. three of the 4 percentage drops in the dow have come in october and 5 of the topper sen tajh gains happened in october. their timing is terrible and the market is in a bad move right now so this stomach churning volatility is going to continue. >> does he have it right? >> yeah, the point that i'll make is as i said before time is what we need more. hedge funds, the ability and the appetite for taking risk is going to be limited as we march through earnings. we're looking for a catalyst in the market and the obvious thing i can point towards is the return of buy backs come november 1st. >> and as you astutely pointed out earlier because of earnings season companies can't buy their shares back. maybe come the beginning of november they're able to start resuming that.

guys you could have volatility theoretically up toward december if not the end of the year once you get closer to the next ecb meeting depending on what they actually do. >> i don't know if i can agree with that. i think the volatility that we're seeing will begin to wane as we enter into november. i think the republicans gaining a foothold in the senate will have a symbolic -- i don't know if it means anything but symbolically it sends a good message. >> that's a good point. >> and overall in november itself, the buy backs return. we're going to get some ism information. we're going to get another labor report. >> is everybody taking it for granted that if the gop is going to take congress that's a bullish sign? >> jeff. >> the gop taking congress, yeah i think it will help with the margins. i think volatility like this is going to continue not for a

couple of weeks or a couple of months but this is what we're looking at for the next 12 to 18 months in the market. the world's a scary place and things in the u.s. can change on a dime. guys i don't think this goes away any time soon. >> jeff thank you for the perspective. joe really appreciate all of your time. we'll come right back to this with our panel on the plunging markets, ebola spreading, isis on the march in iraq. what does this mean for today, tomorrow, and beyond? we'll be right back. at optionsxpress by charles schwab. and we'll give you a one hundred fifty dollar amazon.com gift card when you open an account. if you're looking for a trade idea, start at the idea hub... where options and futures opportunities are organized by volatility, earnings, market activity and income strategies. then run your new idea through the trade and probability calculator to get a quick look at the possible upside and downside. streaming charts give you the real-time quotes and customized views of the market that can help you make your final decision.

and when you're ready to make it happen, walk limit helps you save time by searching for the most favorable price. find new ideas, analyze and execute your trades with just a few simple clicks, with optionsxpress. for a one hundred fifty dollar amazon.com gift card when you open an account, call 1-888-980-5745 today. optionsxpress by charles schwab.

well the dow experiencing triple digit moves not just today but in 18 out of the past 23 trading sessions. does that mean we need to keep racing for the wild swings or is it all over? let's ask our panel here. >> go right down the line. >> what are you going to be watching tomorrow morning? >> u.s. economic data going forward. today's retail sales number spooked people a little bit. coming in negative. we'll also be getting earnings. goldman sachs is out tomorrow morning. google is out after the bell. we saw bad news on ebay and netflix. is that going to be the trend or

the financials which had good news here but has been ignored will that take over. >> right. google by the way is one we have to watch closely not only in terms of size, scope importance but speaking of the last few places investors are hiding out. >> google always does well. you buy the adds they just work. it's one of those safe places. so i don't know why these things happen so i go try to find out why and then i found a million reasons. retail sales, inflation fears, ebola, china, isis, oil supply it's like why walking dead is so popular. >> we had that all year. it's climbing the wall of worry. that's why it's more like a liquidity sentiment kind of sell off we're seeing. >> that's because they can't get away from it when it's forced liquidation. when it's oil that liquidated this morning both of those -- those are margin calls and when that happens you're going to see a liquidity event. >> is it over? >> no, it's probably not over

but we could be very close. very close to a very nice bouncer. >> and for the long-term investor maybe close counts like in horse shoes and something. everybody thank you. i'm out of words. scott thank you so much as well all this afternoon for this special coverage here. that does it for us on closing bell and guess what -- >> fast money starts now? >> yes it does. >> welcome to "fast money" we're live from the nasdaq market site. the dow suffering it's worst intraday point drop of the year before fighting back in the last hour of trading. fierce over ebola the drop in oil and global slow down all weighing on stocks today but they're also coming back at the end of the trading day. we also have shares of netflix sinking in the after hour sessions. short analyst expectations more on that story coming up. many