>> dr. j. >> i'm going to get footloose again. >> please don't. >> dsw. buy that one. i bought it today. >> do everybody a favor. thank you, guys. all of have you a great rest of the day. that does it for us. we'll see you tomorrow. "power lunch" starts right now. >> "halftime" is over. "power lunch" and the second half of the trading day start right now. >> thank you, scott and welcome, everybody, to "power lunch." wherever you are and however you may be watching it. this is our lead story. you can see the chart. crude down 26% over the past -- in a month. transports, up 27%. there's a one-year chart of their performance. how much lower can oil go and how much higher can it propel the transports? we'll get into that in 20 seconds. plus, dramatic and frightening video from turkey where u.s. navy sailors in plainclothes are tracked down and attacked by a mob made up of a turkish youth group.

they are putting plastic bags over our servicemen. in mexico, more violence today. these were two countries where u.s. investors had relatively been optimistic recently. so the question is, is the tide turning for good over there? and a big mystery in brazil involving one of that country's biggest countries -- companies, excuse me. all that and more today on "power lunch." and we begin with sue at the new york stock exchange. hi, sue. >> hi, ty. let's get you up to date on all the numbers. the dow jones industrial average is in the green right now by about 31 points or so. the s&p 500, though, is negative, not by much. but it is negative. and the nasdaq composite is up about 13 points on the trading session. the transports rebounded earlier today to fresh highs after the mid-october selloff. up about 18% since october 5th. transports are up 23% this year. helping the transports, of course, as ty mentioned, falling oil prices. brent crude now down 2.5% today.

give or take. 26%, though, on a year-to-year basis. so morgan brennan is tracking the rising transports on the move again. hi, morgan. >> hi, sue. well, after a 9.5% pullback, transports are soaring. they're outperforming the broader market since mid-october. airlines, of course, have been a big piece of that after being oversold on ebola fears. delta is up about 43% over the past month. southwest, united continental, jetblue also up big. but the rally's actually much more widespread. every one of the 20 dow transport components has gained in the past month. and with the exception of kirby corporation, all by double digits. lower energy prices certainly a big factor, as you mentioned, from railroads to truckers to shippers. fuel's a top cost. so cheaper fuel has a direct effect on the bottom line, particularly in the short term before fuel surcharges are reset. even more importantly, cheaper gasoline means consumer spending more on goods that will need to

be transported. that will help all of the players including freight rails like union pacific and csx which just hit another all-time high today. also truckers like ryder and j.b. hunt, u.p.s. and fedex also. now, as we come into another peak -- record peak season, they're trying to assure investors that they'll get holiday deliveries right this year. and today u.p.s. is holding its first investor meeting in three years. and much of that itinerary is geared largely at addressing that. but one thing to keep in mind, jones trading strategist mike o'rourke warns that the recent rally does have transports looking technically overbought, trading in excess of 20 times earnings right now. so you might want to go through and pick these stocks individually. sue, back to you. >> absolutely. morgan, thank you very much. joining us now, jeff kilburg and a cnbc contributor and jack is index financial's cio and also a cnbc contributor. jack, one of the reasons you think that the transports may have more room to run is

pro-growth policies that are going to start making headlines now that the election is over and the way that it was decided. >> sue, think about it this way. it's not a coincidence that the oil prices started to drop as soon as it was inevitable that the republicans were going to start taking control of congress. there's a direct relationship there. i mean, you know, we can talk about the saudis slashing prices. we could talk about everything else. but you have had had an obama premium in energy prices over the course of the last five to six years. and i think that is what we're seeing taken out of the market. >> okay, jeff, i'm going to get to you in a second. first we have to go to rick because we had the bond auction taking place, the 30 years. rick, what kind of a grade are you going to give it? >> reporter: well, we've had a low bar. everything's been slightly below average, but the bar is a little bit lower now. d.o.g., dog, "d" is the first letter. it priced at a yield of 3.092. the one issue market was trading around somewhere around 3.07.

so it tailed. not a good sign. if you look at the bid to cover, it was the weakest since may, which isn't that long ago. it was 2.29. but it was below. and indirects were a little bit light. directs were a little bit light. dealers take 42.5%. "d" for dog. it wasn't a very high-demand week by investors or other central banks for treasury paper. we moved it off for sure, but it isn't the same as it was. you know, several months ago. we need to continue to monitor that appetite, sue. back to you. >> absolutely, rick. thank you so much. back to the conversation. jeff, weigh in on the transports in particular because they have been so strong. are you worried that maybe technically they're a little overbought? >> well, sue, one of the things here on the floor and jack may push back a little bit, but we're talking about we're in the midst of a crash up. we have seen such an emotional market here. we've seen the last 15 days, about a 13% gain. i'm much more cautious tone here as we've seen volatility go from

12 to 31 back to 12. we're very concerned that on the horizon, there's nothing too alarming, but what's this complacency creeps in. you have to be really be careful as this emotion has overtaken the market. >> gentlemen, thank you. go ahead, jack. finish your thought. >> no, sue, what i was going to say is one of the things we want to keep in mind is these last couple months of the year is when we'll see a chasing of returns. and guess what? lower energy prices are only going to help that. >> santa claus could have a black eye. he could have a black eye, sue. that's what i'm saying. >> all right. thanks, guys. we'll leave it there. we just highlighted it, oil falling, crude hitting a three-year low. brent at a four-year low as lawmakers take up the vote on the keystone pipeline. eamon, down to you. >> hi, sue. a fascinating political moment in the wake of the midterm elections, now republicans taking power up on capitol hill and suddenly the keystone pipeline is viable again, even though republicans haven't officially taken control of the united states senate just yet. and the reason for that is that

all these politics are starting to align. we're seeing now the house scheduling a vote, likely friday on the keystone pipeline. the senate saying they'll do it on tuesday. the big question then will be whether president obama will sign it or not. why is all this happening? well, it's because of that louisiana senate runoff between mary landrieu and her opponent, bill cassidy. that runoff is going to take place in december. the keystone pipeline, a vital issue for louisiana. so mary landrieu took to the senate floor yesterday. she's a democrat, remember, but she supports this keystone pipeline. she said she wants this bill. the democrats agreed to schedule that bill for a vote in the senate. the house saw that maneuver and said we're going to rush ahead, the republicans in the house did, giving cassidy a chance to pass his bill for the keystone pipeline ahead of mary landrieu. it's all about who gets the headlines down in louisiana, and it's all about affecting that louisiana senate runoff vote coming up in december, sue. >> all right, thank you very much, eamon. to mary thompson now,

"market flash." >> hey there, tyler. we're taking a look at shares of big oil companies. they're sliding as domestic prices fall below $76 a barrel. close to four-year lows, three-rear lthree three-year lows. exx exxon to the down side today. new fears about banks in europe tempered by a touch of today's market action. our international correspondent michelle caruso-cabrera with us now. >> europe's stress tests on the banks were supposed to assuage concerns about their health that came out nearly three weeks ago. also there was the ecb's promise to do more if needed. but here's the etf that tracks 600 banks in europe, and it is down 5% for the month. even though the major averages across europe are all higher between 3% and 7%. this morning the ctf fell almost 1%, got awfully close to a new one-year low before turning around. so why aren't the bank stocks responding better? analysts say the stress tests

just weren't that stressful. additionally, immense amounts of bank-specific data was released to the public about the quality of the assets being held by those banks. and analysts have been able to mine through all those numbers. the market is telling you that investors aren't as optimistic about the value of what's on the books. and as for why expectations for quantitative easing aren't helping bank stocks, remember, qe doesn't solve the lack of capital. the ecb provides liquidity. they need more capital. and tyler, investors were hopeful stress tests were going to force banks to unload some of these assets and actually raise more capital, they've been sorely disappointed. >> speaking of hopeful investors, investors were generally hopeful about turkey and mexico. but we are seeing some very disturbing video out of both places, unrelated reasons. explain what's going on and the risks to investors. >> right. highlights the geopolitical risks, rule of law. in mexico, they are cleaning up after protests yesterday. some of them quite destructive. the worst of it occurring in

western mexico where students set cars on fire and broke into a state parliament building. they are angry about the abduction and massacre of 43 students late last week. the country's attorney general said the students had been kidnapped by local police, handed over to drug lords, assassinated and their bodies burned. adding to the anger, the discovery that the president is living in a home owned by a contractor that has won many government contracts. the wave of unrest described as the biggest in 20 years in mexico. there's just increasing anger about what happens, what appears to be the continuing collusion between politicians and criminals especially when it comes to drug trafficking. in turkey, u.s. military confirming three american soldiers were attacked earlier this week by a political group in turkey. video posted by members of the turkish youth union showed a group of about 20 people surrounding the sailors, calling them murderers, and then throwing orange paint at them. at one point, they begin chanting "go home, yankee!"

>> go home, yankee! go home, yankee! >> and then watch, they put plastic bags over the sailors' heads. they're doing this because back in 2003, there was an incident in iraq when u.s. forces detained a turkish special forces unit and interrogated them with hoods over their heads for 60 hours. the u.s. navy released a statement saying the sailors did escape the attackers and returned to their ship without any injuries. there is an investigation under way. anti-american sentiment runs deep throughout parts of turkey even though turkey is a nato ally. >> yeah. and obviously that, a staged attack. they were there, set it up, ready to film it. >> spoken english on purple as almost to make sure that americans could understand it. >> michelle, thank you very much. disturbing video indeed. warren buffett trying to energize his portfolio. buffett's berkshire hathaway buying duracell for more than $4.5 billion. an unusual deal.

considering the battery business is a tough market. very low or slow growth. so what's your take? does the battery business still have life? go to cnbc.com/vote. sara eisen with more on buffe buffett's big play. >> and look, batteries are a boring business. but that's generally buffett's style. pry is procter & gamble selling? that is all part of the ceo's turnaround, spinoff or sell as many as 100 of its consumer brands. that's more than half of its portfolio. to focus on the winners. pampers diapers, tide detergent to name a few. duracell went on the chopping block and now buffett is swooping in in what will turn out to be a $3 billion purchase. a price that analysts say is fair and does have some tax benefits. but batteries have been in a slow and steady decline with the rise of smartphones and other new technologies. u.s. battery sales, for instance, down a little more than 3% so far this year.

and just to give you a sense for procter & gamble has not been a strong source of growth over time, as strong as, say, pantene shampoo or pampers diapers, according to an analysis. so why does buffett want it? well, i've always been impressed by duracell, he says, as a consumer and as a long-term investor in p&g and gillette. that was in the press release and that's key because berkshire has owned p&g stock since 2005. buffett has been in gillette since the late '80s and duracell is the mark the leader followed by energizer batteries. nick modi at rbc says look, it has good margins. it has steady cash flow and there's a lot of overcapacity, meaning there's room for cost cuts. tyler, you know buffett's style. those are all things that are pretty consistent with his philosophies on buying companies. >> and he loves durable products. >> doesn't get more durable than a duracell battery. >> right? and he likes things that are simple, that he can understand. like dairy queen. >> boring, some would say.

>> boring is beautiful sometimes. thanks very much. let's lock in the vote. let's see what people said. what did the people say? does the battery business still have life? >> yes. >> 57 -- they're not willing to bet against buffett. our viewers are smart here, right? >> long-term life, battery life. >> battery life. all right, folks. sue, down to you. >> well, they're going to need batteries because they're power outages because of the record-breaking freezing temperatures. in fact, in casper, wyoming, last night, negative 26 degrees. the lowest temperature ever recorded for that area in the month of november. here's the weather channel's dr. greg postel with the bigger picture. >> this cold air that's impacted much of the united states has made it all the way to the gulf coast. in fact, this afternoon, mobile, alabama, places like biloxi, mississippi, temperatures in the upper 30s and low 40s with some light rain. that gives you an idea of how cold it is. pretty much everywhere east of the rockies. look at some of these numbers. not just today but tomorrow, these forecast highs, chicago, 31. pick your favorite city. these temperatures are way below average.

it gets into the mid-south. memphis, saturday's high, 39. only 45 on sunday in nashville. of course, it remains extremely cold up north. minneapolis, 19 for your high on sunday. denver still hanging on in the upper 20s. in terms of weather, we've got some significant snows out there tonight and tomorrow night across parts of the west. look at some of those snow showers there. and on saturday, that whole system rolls on off to the east inside of that arctic air mass. we'll see snow from kansas city to des moines to chicago saturday, perhaps even saturday night. significant accumulations are possible. perhaps several inches. but then you know what? on sunday, this storm begins to wind down, but arctic air, another branch of it comes down next week. perhaps even colder than the one we've got now. back to you. >> all right. thanks, greg. appreciate it. toymaker hasbro looking to buy dreamworks animation. that stock is soaring. but hasbro is taking a big hit. could it be a dream team? well, wall street's divided about that.

our dream team, though, julia boorstin and morgan brennan are with us. julia, you're up first. >> well, sue, dreamworks animation may have ogre-sized brands, but jeffrey katzenberg is under pressure to diversify. i'll tell you what the media mogul stands to gain from a deal with hasbro. morgan? >> then there's the toymakers. what does hasbro want out of the deal and what's it mean for rival mattel? princesses and ponies when "power lunch" comes back. financial noise financial noise financial noise financial noise

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welcome back to "power lunch." let's check out shares of blackberry, moving higher after the company unveiled its new mobile device management platform and struck new partnerships aimed at bolstering its device security and management business. in other words, it's looking to win back customers. right now its stock is winning back investors, up almost 6%. a programming note, blackberry ceo john chen will be live on "the closing bell" at 3:00 p.m. eastern right here on cnbc. sue, over to you. >> thanks, mary. hasbro in talks to buy dreamworks animation, but not everybody's a fan. stock's going in two different directions decidedly so. dreamworks is up 14% but hasbro is down almost 5%. so would this be a dream marriage or not? morgan brennan is looking at the toy stocks. but first we start with julia boorstin on why hasbro and dreamworks would want to merge. hi, julia. >> well, sue, jeffrey katzenberg has been trying to diversify

dreamworks away from reliance on just a few movies every year. with the disappointing performance of "turbo," "peabody & sherman," the stock lost 29% over the last year before today's big gains. katzenberg is bringing hit brands shrek and how to train your dragon into new businesses with a netflix deal, a partnership with the chinese government to build a theme park and movie studio and youtube with his awesome is tv acquisition. but katzenberg is under pressure to build new franchises. hasbro is already a big player in hollywood, films based on its toys have grossed $3.7 billion worldwide. thanks to the "transformers" and "g.i. joe" franchises co-produced by hasbro and paramount. now, hasbro and paramount's films have also served to survive those toy sales in addition to generating money at the box office. but hasbro's enter statemetainmk record is mixed. it recently sold part of its

stake in a discovery tv channel. acquiring dreamworks would give hasbro a range of new character but could also raise questions for its valuable relationship with disney which licenses marvel and star wars characters to hasbro. sue, tyler? >> very interesting story and a complicated one, julia, thank you. now, to morgan and stocks in toyland. earlier, you handled the transports. now we move to toys. >> it's a day of ts. >> ts. >> ts, thursday, ts. toys. so let's check out hasbro stock. that's down about 4%, almost 5% today. why? both hasbro and mattel have been well held by investment companies for their stability, their cash flow and yield. analysts say a potential acquisition of dreamworks or any content creator for that matter would transform the company's business model into one that's more reliant on blockbuster's meaning a riskier, higher beta stock. but those same analysts say the merging of content and products is the future of toy manufacturers. now, piper jaffray's steph notes that toy brands tied to content

have outperformed those that aren't. so hasbro's my little pony sales have been growing, for example, versus mattel's barbie brand which has just been suffering steep declines. disney's led this trend and hasbro, as julia mentioned, has become increasingly involved as well. mattel, however, has been slower to tie its brands to media with well-known thomas the tank engine being one of the few mattel brands that is actually attached to content. so what could a hasbro/dreamworks deal mean for the toy industry moving forward? toy companies moving into two distinct camps. those pushing into media content to sell more products and smaller independent brands reliant on licensing deals. >> all right, morgan, thank you. appreciate it. sue, down to you. all right, ty. andy warhol's portrait of elvis presley and marlon brando, the highlights of a record-breaking auction of art last night. you have to hear these staggering numbers to believe them. plus, "crime & punishment." andrea day is on the case. >> he charmed the movers and

shakers and prosecutors say got them to hand over millions before he vanished. coming up on "power lunch," the man federal agents are searching for right now. so i can reach ally bank 24/7, but there are no branches? 24/7 it's just i'm a little reluctant to try new things. what's wrong with trying new things? feel that in your muscles? yeah... i do...

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welcome back to "power lunch." check out the contract drilling company. the stock moving lower after the firm reported weaker than expected fourth quarter earnings. the company saying it's hard to determine what lower oil prices will have on new builds and pricing. let's take a look. it seems to be having some impact on its shares.

earnings down 7.5%. tyler, over to you. >> mary, thank you very much. the fbi is on the hunt for a man who allegedly convinced dozens of sophisticated business executives to hand over millions of dollars before he disappeared. andrea day is on the story. >> he's accused of charming his way into some of the wealthiest circles in the country where the rich handed him millions to invest. but instead he took the cash and suddenly disappeared, and you'll never guess where the money may have wound up. >> oscar villareal did everything he could to exude an image of success. >> reporter: an alleged con that stretched into five states and netted close to $10 million. almost straight out of the movie "catch me if you can." >> you're going to have to catch me. ♪ >> reporter: federal investigators say it began when the 29-year-old moved in to one of cleveland's wealthiest neighborhoods. records show buying this house for $1.5 million. he became a trustee at the cleveland institute of music and hosted lavish events and quickly

schmoozed its movers and shakers. that's when u.s. attorney steve said oscar villareal launched a scheme to get rich. >> mr. villareal would tell investors that he had special opportunities for them in the mexican, mineral and energy market and that due to his contacts both in government and in business, that they could get massive returns. >> reporter: according to prosecutors, villareal convinced dozens of clevelanders to invest millions of dollars. the investors, not named in the indictment, but a source tells cnbc they include sherwin williams' ceo, christopher connor, and former president of the cavaliers, james bowland. >> he liked to dress a big game, drive a big game, he liked to look like he was a big shot. >> reporter: but he says it was all a ponzi keep. according to investigators, villareal paid thousands to his initial investors, bragging about the return. the cash allegedly coming from

his personal accounts and loans, helping villareal lure in even more investors. >> he took that money and it was millions and millions of dollars, and he put it in his own day trading account. lost millions in bad trades and then took another hunk of that money in the millions and used it to support a lifestyle that exuded success. >> reporter: but when investors started asking tough questions, prosecutors say villareal vanished. after months on the lam, he was hit with an indictment. charging him with investment adviser fraud, money laundering and more. >> the charges in this case show that oscar villareal was nothing but a fraudster and a cheat. >> and in a surprising turn of events, villareal's attorney recently released a letter saying his client has wired all of the money, more than $12 million, back to investors. federal prosecutors cannot confirm those transactions but say it has zero impact on the case. and despite the alleged repayments, villareal remains a fugitive. we will keep you updated as this

case continues. back to you. >> thank you very much, andrea. we wanted to let you know that the market has turned south. all three of the major indices are in the negative. the russell 2000 was the one to lead to the downside, that being pointed out in a morning note by art cashin. right now the dow jones industrial average is down almost 4.5 points. the s&p 500 is down about 5. and the nasdaq is down 2. we'll keep an eye on that. to the bond market. it wasn't a very good 30-year auction, and rick santelli is tracking the post-auction for us at the cme. back to you, ricky. >> reporter: well, if you look at an intraday of 30s, you can clearly see at straight up 1:00 eastern, we saw a bit of a selloff. but open the chart up to a two-day chart, and yes, you know, we're at the higher end of a range from yesterday's lower yields. but the next chart says it all! do you realize that for the long bond, those are 16 days on that chart. and in those 16 days, we've settled in a range between 3.03 and 3.10 yield.

that's it for 16 trading days. we are compressing in treasuries after that wild ride on the 15th of october. tyler, back to you. >> all right, thank you very much, rick. christie's makes art world history once again. 75 works, nearly -- get this -- a billion in sales, selling just a couple of hours last night in new york city. the top lots were these two warhol silk screens. we just showed them to you the day before yesterday. sold, unloaded, basically, by a german casino. triple elvis sold in less than six minutes for $81.9 million. $20 million above the estimate. while four brandos pulled in $69.6 million, both went to unidentified phone bidders. smash by the pop artist ed rushka fetched $30.4 million while the blackboard, there you see it with the squiggles, sold for nearly $70 million -- $70

million, the highest amounts ever paid for either of these artists. it was not necessarily a great night for the hedge fund manager steven cohen, consignor of this abstract which i happen to like, actually. it turned out to be a dud. brought in just $24.6 million. that was $10 million below estimates. now, while overseas buyers from the middle east and asia did come out in force, christie's says american buyers, wall street in particular, still seemed to dominate last night's staggering overall sales. sue? >> it was quite a night there. thanks, ty. well, speaking of money, america's trillion-dollar student debt crisis. is it finally beginning to ease or not? we want to hear from you. will college still be worth it in ten years? go to cnbc.com/vote right now and you can join the conversation. with the dow down almost 10 points, we're back in two minutes. today's "power house" is home to the rock and roll hall

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check out shares of u.p.s., moving to session lows after its cfo says he expects 2015 he werings to come in a bit below what wall street was expecting. the stock, lower on the news, down just about 1%. sue, back to you. >> thank you very much, mary. stocks turned negative just a little bit ago. bob pisani and market analyst kenny polcari join me. kenny, it feels like more of that consolidation that we've been seeing in the market recently. is that the way you view it? >> absolutely. you know, we were talking about it. there's, again, lack of volume which kind of indicates that people are just taking a breather. certainly the large asset managers have already made their bets. they're sitting itut because there's been no reason for them to really change their strategy or their thought process, right? because nothing is really changed so dramatically. it's going to force them to change kind of the strategy. >> although, bob, there are a lot of people who feel that some of those managers have been

trailing the market, and they need to trade right into the end of the year to try and make up some of that lost ground. >> they are, but maybe they shouldn't be charging 2 and 20 anymore. that's a different story, though. i agree with you. >> right. >> the markets are at new highs. and you do not want things to go up 1% every day because that's going to lead to a quick selloff as people take profits. right now we've got a consolidation sideways. that's the consolidation, and it's good for the market to digest that. we've got oil, sue, we dropped below 75% earlier today on oil. that's pretty remarkable. so oil's down. the oil stocks are down 2.5%. that makes sense to me. that's a little disconcerting but i don't care long run that oil's down. i'm with the camp that it's good for the economy. >> so am i. >> i'm willing to take lower energy stock prices. i know it's damaging to the s&p, i'll take that any day, lower oil prices and a little lower energy prices. >> we've got to leave it there. thanks, guys. meantime, cisco systems' ceo was on earlier today addressing

the slowdown on europe and the impact on u.s. companies. >> you would expect the uk to grow 20%, germany to grow 6%, but europe was remarkably consistent. southern europe grew 20% including with france down 17%. so you're seeing a balance of economic activity. i would expect europe to grow solid again for us this next quarter. so i'm more optimistic and more bullish on europe. >> well, if mr. chambers is bullish on europe, should investors be? joining me here at post 9 is rick lake. he manages the morningstar four-star-rated ashton/lake partners lasso alternative fund and jamie cox, managing partner at harris financial group. gentlemen, welcome. rick, i'm going to start with you. as you look globally, where do you see the most opportunity? is it here at home? or is it over in europe that has been so hard hit? >> well, there's a lot of opportunity here in the u.s. we are the steady engine of slow global growth. but where it's been hard hit, there's some other fascinating opportunities. europe is a great place to still

do some bargain hunting. >> okay. jamie, what would you be doing with europe? >> well, if you heard what ford said earlier today, i mean, they talked about auto sales being up. that's actually positive. i mean, autos around the world continue to be pretty strong. instead of just trying to dive into europe and pick stocks over there, i think you can continue to play the multiple nationals even though you're going to get some currency fluctuation with the dollar. so sue, i really believe that most investors, particularly people that we manage money for, are better off hanging out in the industrial complex in the united states. i mean, the earnings for those companiy ies blew them out in q. 12% earnings growth in q3. the best of the ten s&p sectors, i actually believe that's going to continue. and people can play it from that side. you don't have to play europe directly. you can play it indirectly through the multinationals. >> yeah. and you say fight the urge to sell at this point. rick, what would you be looking at right now in this market? because there are a lot of people who do feel as though after a period of such low volatility, volatility may continue and come back.

and the potential of risk, you say, is still in the market. >> indeed, volatility can come back with a vengeance. stocks are near all-time highs, bond yields near all-time lows. we've had a quiet environment. and if something goes bump in the night or bump in the capital markets, we could have another volatility squall. investors need to be mindful of that. >> but you can invest against that to a certain extent by buying larger, steadier companies that have dividends and things like that. where would you be looking? >> we're looking at alternative mutual funds, alternative strategies and mutual fund structures. they can go long and short asset classes all around the world. so they can help an investor play defense, help an investor seek to exploit the down side. you put it all together, you can strive to add a smoother ride to a long-only portfolio. >> jamie, where would you be putting money to work now? >> i think the industrials and financials area of the market, really those are my favorites. in fact, over the last couple weeks, those two sectors have been leading the market higher which is positive for the s&p

overall. we saw a bank merger a day ago with susquehanna and bb&t. that hasn't happened in a very long time. so i think this area with coming up in 2015, i think those are the two i would concentrate on. they continue to be the strongest in my opinion. >> thank you both very much. rick, pleasure to see you here at post 9. jamie, pleasure to see you as well. >> thank you. >> ty, up to you. >> sue, thank you. student debt just keeps ticking higher, currently more than $1.2 trillion in total and counting. new numbers on student debt that you must know about. and we also want to hear from you. will college still be worth it in ten years? why don't you vote. cnbc.com/vote. join the conversation. plus -- >> today's "power house" is the birthplace of academy award-winning actress halle berry, home to america's first traffic light in 1914, and sherwin williams is headquartered here. can you name that city? sheila! you see this ball control?

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check out shares of c chimerix. the company says its experimental drug will be tested in a trial in confirmed ebola patients in west africa. shares right now down 2 .8%. now to michelle with some developing news. michelle? as we wait to see how oil closes today, we want to show you shares of the brazilian oil giant, the adr here down about 33% in the last month. we're waiting to see if the company is going to report earnings. and we're supposed to report two weeks ago, and if they don't by tomorrow, they'll be in violation of brazilian securities laws. reuters reports a source tells them that yes indeed they will report. there's a mystery as to why they haven't so far. sue, there's a lot of suspicions within the analysts community in brazil that it may have something to do with the huge payments scandal. it also involves members of the government. back to you. >> wow. all right, michelle. a developing story. we'll keep our eye on it. thank you.

an earnings miss for kohl's falling short of estimates by 4 cents a share. revenue also coming in below forecasts as same-store sales fell more than expected. an even tougher day for jc penney shares down heavily. and macy's downgraded to market perform from outperform over at wells fargo. though the retailer is faring better in the trading day or at least it was a little bit earlier. it's down fractionally. in today's yahoo! finance question of the day, we ask, will cold weather coming in sooner impact your holiday shopping? 14% say yes, i'll buy online more. 71% say no, not at all. and 14% say maybe, i'm not sure yet. ty, i guess it depends on how old it really gets. >> exactly right. i like how we made holiday shopping one word there. it's just holiday shopping. trillion-dollar crisis, why fears about student debt may be easing. the question we pose again, will college still be worth it ten years from now?

cnbc.com/vote. go vote, folks. join the conversation. "power lunch" returns right after this. ♪ for tapping into a wealth of experience... for access to one of the top wealth management firms in the country... for a team of financial professionals who provide customized solutions... for all of your wealth management and retirement goals, discover how pnc wealth management can help you achieve. visit pnc.com/wealthsolutions

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track. but some areas are still red hot. co coldwell banker now ranks silicon valley as the most expensive housing market in the entire country with the average home costing $1.9 million. the most affordable housing market in america, cleveland, ohio. a four-bed, two-bath home runs $64,000. coldwell's ceo now on why the city remains a housing hotspot. >> cleveland has been through some challenges in the past, but it also has seen its way through recovery. it is building now. and a lot of good things are happening in the city from the standpoint of economic development as well as a number of other things such as sports that are drawing people to that area. and that brings us to our "power house." when he's saying sports, he's really meaning lebron james. with us is michelle anderson with progressive urban real estate. cleveland hit hard by the

housing crisis and the recession. here's how it's doing now. the median sale price for the entire metro area is still a low number, $136,000. that number you just saw for cleveland proper downtown was the $64,000 number. inventory there just under 12,000 properties. local mls service says properties on the market on average, 96 days. right now we're going to focus, michelle, on the university circle at cleveland heights areas. tell us first where that is and then take us to our first listing, a single-family place at 2509 euclid heights clised at $319,000. >> thank you, tyler. the university circle and cleveland heights areas are just east of downtown. it's a very exciting community. there's a lot going on there. it's home to a lot of major medical, cultural and educational institutions including the cleveland museum of art, case western reserve university, and university hospitals.

>> looks like a very nicely updated piece of property there, house. $319,000, and it's 5 bedrooms, 3 1/2 baths, nearly 3,000 square feet of living space. that is -- that's awfully nice. love that. >> it's a beautiful house. it's listed by stevie robinson of howard hanna real estate. it has a gorgeous chef's kitchen that leads out to a lovely brick terrace and a lush beautiful professionally landscaped backyard. >> looks -- >> great for entertaining. >> looks awfully nice and lots of light that i judge from the windows. second listing is a condo at 1913 east 119th street, unit 26. $500,000, taxes of about $2,000. 3 beds, 2 1/2 baths, 2200 square feet of living space. man, that is -- $500,000 condo, that's got to be a big place. >> oh, it's a gorgeous, big, three-level condo listed by lou

barbie of remax. it also has a stunning rooftop deck with a full kitchen. >> so it's on three different levels, huh? >> yes, it's on three different levels, yes. >> is it a little closer to downtown than the first property? >> a little bit closer to downtown. it's really in the heart of university circle. >> uh-huh. look at that. that is an absolutely modern place. let's move on to the final listing. our "power house" of the week. 2487 fairmount boulevard, cleveland heights. $550,000. taxes of about $16,000. 4 bedrooms, 3 1/2 baths, 3,300 square feet of living space. tell us about this one. >> yes. this property is an all-brick townhouse with a two-car garage. it's listed by lou barbie of remax. it's in a wonderful location. it's a beautiful wooded setting but also close to shops and

restaurants. a beautiful house. very grand scale. one of the lovely features of this house is its wrought iron staircase. just a hand wrought iron work on that staircase. it's unbelievable. >> so that's -- >> just a magnificent home. >> that's a townhouse within a condo association, right? >> yes, it is. >> so do you own the building or do you just own the interior? >> you own the interior. >> you own the interior of it. thank you very much, michelle. we appreciate your taking us to cleveland today. how's lebron affecting things out there? >> i think it's putting everybody in a great mood. we are so happy to have lebron back. >> all right. michelle, thank you very much. michelle anderson. plus check out a new tool at realtycheck.cnbc.com. it is the recovery watch map where you can find out data on your own metro area. now let's go to another kind of "power house," an offer maybe you can't refuse, made famous by the "godfather." this 1930s built english tudor

on staten island, new york, is up for $2,895,000. it was the house they used for "the godfather." it's listed by connie profaci realty, more than 6,200 square feet and stands on 24,000 square feet of grounds. five bedrooms, seven baths and a saltwater pool. how about that, sue? >> how about that? that looks lovely. all right. let's see what's coming up 2:00 p.m. eastern time on "street signs." >> hey there. we've got an incredible stat for you on the markets. i actually said wow when i heard it, but it's so much more than a stat. it could be something that predicts the next market move. we'll also be joined by a p&g shareholder who really is not happy with the shedding of brands. we'll chat about that. also the ceo of e-a la carte. they're in places like applebee's and many more places

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new figures on student loans offer a few glimmers of hope,

but it is still a trillion-dollar crisis. our scott cohn joins us from california with the latest. hi, scott. >> reporter: hi, tyler. this campus about 20,000 students actually does better than most. about 40% of its graduates come out of school with some debt, averaging about $18,000. now, compare that to the latest national figures. all of this from the latest report from the institute on college access and success. nationwide, more than two-thirds of graduates have debt. the average, $28,400. and in six states, that average has topped $30,000 for the first time. across the country and here, students have loans on the brain. >> i'm carrying about $100,000. and i have no idea when it will actually be paid off. i'm on a 30-year sort of like a mortgage at this point. >> it stresses me out because it's like i came here to get an education and i'm, like, already in debt. and i'm first year, so it's kind of stressful.

>> reporter: she's already got $7,000 racked up. so where are those glimmers of hope? well, the average debt at graduation as well as the tuition increase both are -- the rate is declining, according to that report we talked about as well as a separate report from the college board. and borrowing by students acc d according to the college board that are still in school is actually going down. but be careful how you read that. >> college affordability is still a huge problem. and no less so for these recent numbers. they're not telling us what's happening for students with the fewest resources. whether they're not going to college at all or whether they're going in ways that make it less likely they'll complete. >> reporter: one of the things that's going on here is that the economy is doing better, so fewer people are in school. and that may affect the numbers. but the root of the problem, tyler, is still there. >> all right, scott, thank you very much. quick question here. i know you may well know this because you've had a couple go through college. how quickly after graduation do

you have to start repaying those loans, number one? and number two, the young lady in your piece says i'm on a 30-year plan. i thought the terms were shorter than that. >> reporter: well, it really depends on the loans that you take out. you have six months, you're in a grace period, and then you start repayment unless you can defer it. and there are various ways of deferring it. yeah, the term is usually shorter than that. i think she's kind of comparing her debt of six figures to a mortgage. >> exactly. and in some cases they really are the size of a mortgage. scott cohn, great to see you. >> scott, we miss you. the dow jones industrial average just turned back into positive territory, up about 6.5 points on the trading session. the s&p still negative. the russell is still negative. as for the transportation average, it was down just a tad just a few minutes ago. now down less than 0.5%.

it's a consolidation do you heen on the floor of the nyse. >> absolutely. and what a comparison with yesterday where we were watching that amazing drama taking place just a few blocks from where you are. that will do it for a relatively calm edition of "power lunch." >> all right. "street signs" starts right now. see you tomorrow. ♪ so it is another record high for stocks as low gas prices send shoppers to the stores. welcome to "street signs," everybody. we'll get more on that. plus the most positive economic indicator you probably never heard of. why congress seems to have finally gotten a clue. and a stock market stat that you've got to hear twice to believe, mandy. >> maybe even three times. >> a lady. we may be off our highs, but before that happened, as you said, record highs for the dow and s&p. however, let me really show you where the action is happening. wti crude hitting a three-year low, helping sectors like airlines with the dow