so we will hand it off to "street signs' at the session lows on the trading session. >> rather dramatic selloff just in the post noon period. a day of the likes of which we haven't seen in a while. a lot of red numbers. >> "street signs' begins right now. have a great afternoon. we will see you tomorrow. well, stocks and oil are tumbli tumbling. the dow on the low of the day. crude crumbling. welcome to "street signs'. breaking developments and insight into the stories plus what may be wrong with mcdonald's. we reveal the if you had $1,000 to invest where would you put it contest? >> the s&p energy sector is the biggest loser today. with crude at five-year lows chevron and exxon are down.

we are seeing acceleration to the down side across the board. the nasdaq is down over 1%. we have reporters in place. mary thompson at the new york stock exchange and bertha coombs. mary, what has been the latest push to the down side? >> it seems some of the traders were telling me it was a technical issue for the markets. we had the s&p break below support. and then a decline in oil prices. we started the day below 65. energy stocks leading the markets to the down side today as we take a look at the energy index. a contributing factor was the leg down in tech. not only is the energy sector being impacted take a look at the high yield market. a number of these markets, these are energy companies. this is taking a hit, as well. we want to end with a number of energy stocks. whenever you have crude up and

nat gas, all of these taking a big hit down more than 6%. the dow down 136 points. back to you. >> let's get to the nasdaq now and what's happening over there. >> same story. a lot of traders saying this might be something to follow. we saw the nasdaq 100 trading near the 200-day moving average and falling below that, a real technical selloff. among the big names as you can imagine a little bit of negative analyst chatter on tesla. today that is gaining some negative steam here in the afternoon with this sell off. apple, as well. apple was holding up earlier today. it has moved lower. now it is responsible for about 15 points to the down side. even bio techs held on to the back of the news and from cubist pharmaceuticals being taken out by merck the bio techs have come

off of their highs although for the moment they are holding up there. back to you. >> thank you very much. let's round it out with oil. jackie deangelis live. give us more facts. >> let's look at prices here. we are looking at wti, the 63 handle. the last time we saw that was december 1. we briefly touched at 63.72. now we are below that point. it is the key technical levels when the pressure starts to intensify and they don't want to be caught holding the bag. you are looking at brent crude with a 63 handle. a lot of traders saying the saudis put this out that we will stabilize around 60. we have to get there first. certainly this is the leg down. two things to watch, the morgan stanley forecast of $70 brent for 2015 also adding pressure to the market and bp saying it will speed up job cuts here in the u.s. and overseas as a result of the oil price decline that we

have seen over the last few months. of course, people get nervous when they hear this because when the oil majors start to express concern it adds pressure to the down side. >> some of the worst performing stocks of the s&p 500 are almost all oil names. bring in ben willis. what we are showing viewers is a chart going back five years of oil versus the dow. we love cheap oil because it means cheaper gasoline and more money in our pockets. but it seems from the chart that lower oil may actually be a negative for stocks. yes or no? >> it is absolutely a negative for stocks depending on the indexes that you are focusing on. today if you take a look the impact on the s&p 500 is significant i'd ask you to take to look at the dow jones transports and break out the airlines which are on the plus side today because of cheap oil. take a look at the rail stocks down about 3% across the board. that is a very ugly showing.

dow equivalent we would be down over 200 points right now. today lack of participation from what we can see at princeton. we have major clients who are basically sitting on their hands. very few orders on the desk. what they are watching are technical levels. we failed fooget through 2,075. when we broke 2,065 we gave it away. the chart was down by the rail stocks with the idea that cheap oil out of north dakota there won't be quite the demand for the rail cars they have been seeing. >> that is a great point. we talked about this on this very show last week which is we love the cheap gas but the energy infrastructure boom caused a lot of pipe lines, truckers, railroads everybody to benefit from more demand and increased pricing. i spoke with an oil company last week who said the first thing they are going to do is start slamming their service providers

for lower costs because they need to keep margins in tact. >> the group has definitely been taking it on the chin. the rig count is not really suffered. this week we saw the announcement of one of the major shale producers pumped out over 1 billion barrels of oil. this creates a buying opportunity because when you have a large effect like this you will have the baby thrown out with the bath water. you see major impact on oil stocks but they are usually the more leverage names, if you will. you haven't seen impact on chevron or exxon. they still like the stock itself. the master limited partnerships, the pipe lines still paying a great dividend. they don't care how much the oil costs going into the pipeline they will get paid to pump it whether it is down to new orleans or out to the west coast or out to edison, new jersey, they are going to get paid whether it is $60 or $160.

>> you think there are buying opportunities there. thanks for the names. at what point do you think -- i know we are asking you to not just predict what stocks are going to do but what oil is going to do. when do you think this ends? >> i think the market had the first attempt on trying to price cheap oil the last few weeks. we saw institutional interests start to dip their toe buying names that had been beaten up very badly. i think you will see that again when we get some indication that it may have settled in i would say around the $60 level as mentioned earlier from a technical point. there will be opportunities. you will start to see smaller names. it will be a buying opportunity if not for the individual investor a buying opportunity for the strong kaefls that exist to take over the weaker names. you have seen major deals announced. i think that theme will continue. >> thanks for joining us on short notice. >> still ahead another big drag

on today on the markets today that supersized mcdonald's. what is going wrong at the golden arches? >> a look at the heap for the s&p 500. there are stocks in the green. best buy, southwest airlines doing pretty well. the majority of your stocks to begin the week are down. the biggest loseers all in the oil patch. more on this market slide when "street signs' returns. financial noise financial noise financial noise financial noise i have $40,ney do you have in your pocket right now?

$21. could something that small make an impact on something as big as your retirement? i don't think so. well if you start putting that towards your retirement every week and let it grow over time, for twenty to thirty years, that retirement challenge might not seem so big after all. ♪

we talked about the stocks getting hit. none are getting hit as much as denbury resources, an oil company down nearly 10% today. it is the worst performer in the s&p 500 this quarter so denbury sticking out for all the wrong reasons. >> talking about the right reasons. we are talking about the bad things to do with oil prices dropping. today we are focused on two magic numbers, 59 and 73. 59 is how many cents per gallon that we have shed since this time last year. 73 is how many days we have been watching gas prices fall. aaa says drivers could see a run towards a national average of $2.50 per gallon or lower before year end. here is one of the key questions as we welcome in steve liesman. how much will lower prices help you, the consumer, and the

economy. >> with the plunge in the price of oil today we decided to release a little bit early some of the results of the all america economic survey. you will get full results tomorrow. what will americans do with that excess money they are going to get from cheaper gas prices. the answers are surprising and maybe not so wonderful for retailers. 13% are going to save more. 12% will reduce their debt. 10% are going to drive more. only 8% plan to spend more. note in that whole thing right there, 61% are going to do nothing differently, but this percentage about a third will take some action and in general the big story here is 8% saying they are going to spend more corroborated in other data we will show you tomorrow when we ask people why you are going to spend more this christmas only 8% say it is because of lower gas prices. mostly because of higher income. right now this may change.

it may change and could be because it is temporary. i think one interesting thing is we have a guy on on friday. he was a conservationist. we asked him about what this means for conservation. 10% saying they are going to take that money and drive more. that's not good for conservation. you can take the panel and do what with it? >> stick it where the sun don't shine. >> you already did. >> i am neither a scientist or economist but i am a human being. i do know this. some people say. while we may be saving a little more at the gas pump heating costs are up in the winter. college tuition costs are up. health care costs for some are higher. that's why i have not been on board this train of lower prices meaning we will shop until we drop. >> let me give you a little bit of the economist take on this thing. a lot depends on how permanent

it is. people will not change permanent dehavior based on what is perceived a temporary shot. they kept trying to live their life and borrowed more. by the way these are the answers they give now. if i put in front of you, you know, that land rover that you want for 10% off the price you thought was the lowest price then suddenly not a land rover -- >> a pickup truck, instead. >> whatever that thing is you want if i told you it is 10% cheaper might you decide i'm better off spending than saving? >> stats came out from aaa today and estimate u.s. households are saving an average of $100 per month on gas. it is a higher heating oil cost. >> or higher college costs or this or that. >> tale will be on the tape.

if you are betting on consumer discretionary stocks that is a risky play. i would prefer to wait and see how this happens and does it change consumer behavior. there are more sweaters built in permanently to the budget rather than temporary sweater boom. >> i noticed cotton prices have come down. >> who buys a cotton sweater? wool or nothing. >> i need to -- you can go online to read about this gas price story right now on cnbc.com and then you can -- >> didn't you get enough air time on friday. >> we are supposed to plug the web. >> get on board. >> let me give you a plug. survey results all day tomorrow. take that plug and shove it -- >> here we go. here is another question on oil. will congress use lower gas

prices to raise federal tax on gasoline? joining us now former pennsylvania governor both cnbc contributors. should the gas tax be raised? >> it should but shouldn't depend on lower gas prices. it should be raised because we need it desperately for our infrastructure which is dangerous condition. two, by revitalizing roads and bridges we are saving the driver money. the average gas tax increase for the 12 cents a gallon which has been proposed in congress would cost the average driver about $140 per year. the texas transportation institute says that roads and bridges in good shape would save the average driver over $800 a year in nonwaiting and congestion and repairs to their cars. we spend money to save money here. the cost of inaction is something we never compute.

>> i agree with it completely. not only does he say that the gas tax should not be increased he thinks it should be taken away and driven to zero. defend that. >> the gas tax i think was last raised 1993. so now we are talking 21 years talking about the gas tax and more infrastructure spending and it's not happening. i don't think this drop in gas prices is going to make it happen. nowhere on that fine cnbc survey did it say i'm spending less on gas i want to some of that and send it to washington. if you want more infrastructure spending just like governor but if you want it to happen isn't going to irk with. two things might work. one thing is just getting rid of the gas tax, phasing it out and letting states decide how much they want to spend. you might get more spending because those kinds of

referendum, local referendum on roads and bridges tend to pass more at the state level than at the federal level. you might get more spending. the other thing is take the gas tax, freeze it at current levels and spend all of that money which is an extra $15 billion a year on maintenance and repair. if you want new spending create infrastructure bank where you will be able to gauge the return on investment from any new spending. both those ideas are far more likely to get more infrastructure spending than saying let's spend more. >> you know what is interesting to me? i know that two of the most popular presidents have been ones clinton and reagan. guess who raised gas taxes? clinton and reagan. why do we keep hearing raising gas tax is a possibly. two popular presidents did it. >> ronald reagan gave a great quote and said why would we wait for ten years when prices are going to double and triple?

ronald reagan was a smart man. conservatives don't believe it but he did. >> what do you think of my idea? >> i have been on my show a few times. it's not happening. what about my ideas? >> i like the idea of the infrastructure because we need that because some projects are not just state projects but projects that effect regions or maybe have the nation, major freight revitalization projects. we need an infrastructure bank. it's a good idea. the states cannot do it alone. it is unrealistic to expect -- >> freeze it at the current levels. >> red and blue states have raised gas taxes. >> it's more likely to happen at the state level. >> guys, more unlikely to happen at the federal level if we do what is right. the 18 cents federal gas tax hasn't been raised in 21 years

is worth -- >> we should take that as a clue. both of my ideas are far more likely. >> i have to break in here. this is a debate that i'm sure will keep ongoing. we should mention that crude prices are below $64. the energy sector on the s&p down over 4% today. it is the biggest loser out of the ten sectors and the only negative of the year. >> we always talk about gas revenues being down because everyone is driving prius. the price of asphalt has gone up. this should help asphalt prices come down. a little relief as asphalt, a major component, is crude oil pruk. asphalt which has gone up -- >> a little give and take. >> below $63 now at 62.98 or moving towards the close in about ten minutes time from now. we will get you the settlement then.

we will dig in to the big mcdonald's miss. >> let's take a look at the ten s&p sectors once again. the biggest loser energy. as you can see we have big names like chevron, exxon responsible for the dow's loss today. do not go away. but what if you could see more of what you wanted to know? with fidelity's new active trader pro investing platform, the information that's important to you is all in one place, so finding more insight is easier. it's your idea powered by active trader pro. another way fidelity gives you a more powerful investing experience. call our specialists today to get up and running.

♪ ♪ my baby drove up in a brand new cadillac. ♪ ♪ my baby drove up in a brand new cadillac. ♪

♪ look here, daddy, i'm never coming back... ♪ discover the new spirit of cadillac and the best offers of the season. lease this 2015 standard collection ats for around $329 a month. can i get my experian credit report...eport card" thing. like, the one the bank sees. sheesh, i feel like i'm being interrogated over here. she's onto us. dump her. (phone ringing) ...hello? oh, man. that never gets old. no it does not. not all credit report sites are equal. experian.com members get personalized help and an experian credit report. join now at experian.com with enrollment in experian credit tracker sm.

let's take a look at the dow heat map. if you take a look at the culprit for that the biggest loser is mcdonald's. yes exxon and chevron are down and weighing on the dow. mcdonald's is currently off by 4%. why? another miss for the golden arches. the stock big drag on the dow after reporting a bigger than expected fall in november. it did not stop there and the current quarter would be hurt by a supply in china. joins us now. what happens to mcdonald's from here? what does it need to do to turn around? >> i think it's going to be a pretty significant challenge because the challenge for them is really not only turning around the u.s. but you got to turn around japan. you got to turn around germany

and get france going and russia, as well. it is not just a domestic story. you have to fix a lot of different markets. it is going to be tough to do with the one strategy fits all. you have to go to each individual market. pretty big here in the u.s. and it is tough to fix this many being 15,000 restaurants really tough to do. what are you going to take off and swap in. that is going to be a tough challenge and tough road ahead. >> some people blame this on the health kick. even burger king stock up 40% and 50% year to date. they seem to be doing just fine. does don thompson, ceo, need to go. >> here is what i would tell you. i think the smaller brands are being a lot more innovative on their menu because they can source the product for a smaller set of restaurants. mcdonald's is too large. they can't be that innovative with something like a pretzel bun. they can't source that much product for their restaurants to

be innovative. i think the smaller peers are taking advantage of their size to source products that are a little more difficult to get and being more innovative on their menu and doing limited time offers that mcdonald's can't do. >> talking about innovation at mcdonald's. the expansion of the customized sandwich. i don't know whether this is a game changer. the only thing i can think of is it will take jobs away. >> i don't think it is a game changer. i think it's an interesting nice to have for the consumer to be able to customize your sandwiches. i think it maybe brings them up to parwith some of their peers. but i don't know it will take a lot of share. we are still very early and don't know what the economics are going to be behind this. could it take jobs away if we have more kiosks in the restaurants? or we can deploy that labor to

the back of the house. >> appreciate it. thank you very much. so let us bring in herb greenberg, cnbc contributor, commentator for the street.com. two stocks have missed out. ibm is one. the other is mcdonald's. what's wrong? >> with which one? >> mcdonald's. >> the company we have been talking about for the last three minutes. >> then you brought in ibm. >> as an aside and give an example. >> here is the situation. mcdonald's has reached the point for the second big time in its life. this is a great brand. company's brand has been clobbered because it is getting stale. it has become a fast food version of a diner. that, i think, is one of the real issues. think about the menu. the menu is a diner's menu. you can't have that. here is the question. is mcdonald's too big to turn it

the way it needs to be turned without a major -- >> there is an iceberg. let's try and turn. >> a restructuring back to the basics because what can they be anymore? when you have kids it is a great place to go. if you don't have kids you don't want to go there. they have thrown everything at the wall including in some international markets spaghetti and it doesn't stick. >> i didn't say they mix spaghetti. >> is that the sound the titanic -- what would you do? >> if i were running mcdonald's -- >> the odds of that are very low. >> i would probably limit the menu much narrower. i think it is a point where you have so many other options. we come back and say where is the innovation with a chain like chipotle. >> do you think they got too cheap where you can get a menu

for almost a dollar in some cases. >> if you talk to the franchisees and talking to the restaurant consultant in san diego and he says as a business these are the franchisees talking way too complicated they have had to invest so much into this business and they are not getting the return. now you have a bunch of unhappy franchisees who have been telling you months before that what was seen -- >> i wonder if it is a lot more simple than that. maybe it is like tesla to gm. mcdonald's was the gm. now chipotle is the tesla. >> there is a lot more options. in and out burger. >> you know, it's a 1997 car racing down a highway of 2014 -- >> before we let you go can we

get a general comment on the markets. >> it might take more of the same. the volatility is so immense. everyone is waiting for the next drop. we had the wonderful run back towards the end of the year. the funds have done some of what they need to do. >> we are sitting for the s&p. remember most recent route october 15 was the bottom. i think we came up about 11% of the s&p. a remarkable run. >> you look at the companies that got clobbered they have come back with gusto. i have seen companies where you would say fundamentals say these companies why are they up and they have flourished. that may be some of what you are seeing. >> gusto is an under used word. >> i want the mcgusto. . there is a mcgusto somewhere with teryaqui sauce. the final oil trades are crossing.

jackie deangelis, what are we looking at? >> looks like a settle for wti of $63 just around 15 cents. we did push under 63 for the first time since june -- pardon me, july of 2009. very significant there. traders saying if we close under 63 that would add a lot of pressure to the down side. flirting with the 63 level is pretty significant. we are looking at brent crude around 66.20. near $3 slides in both commodities today. we have a weaker dollar but there is fear about dollar strength longer term. what saudi arabia said about oil stabilizing that is trickling and weighing on the markets. part of this is technical pressure. when you hit five-year lows and break through them the market wants to go lower. the flip side is there is good news for consumers. aaa saying it thinks we will hit five year lows. we are at $2.67 for the average.

some saying we can see $2.50 before the end of the year. why goldman sachs says it is time to bet big on burrito bowls. lows of the dow down about 118 points sitting at 17,840. dow 18,000 is not on the cards for today.

in every market there are sellers and buyers. one stock that is not down. the single best performer right now in the s&p 500. >> since we are looking around for the winners let's bring up a

board. gold itself is moving higher by just over 1%. you can see it on the board. let's do something we do every day at this time, street talk with analyst calls on stocks you need to know about today. i believe this is another winner getting an upgrade after the departure of its ceo. >> if you read the article according to "wall street journal" he was booted because he spent too much time checking on his 110 foot yacht. bernstein research. their target is 119. 5% upside from here. a lot of people had questions about the stock. >> i thought you were saying he spent too much time checking facebook. it was his yacht. >> this one is for ebay. >> upgrading ebay to a buy. their target is $65.

about 15% upside. analyst says two to one risk reward. they call ebay the real deal in e commerce. >> goldman resuming to a buy and big time price target. this is apparently one of the good alternatives. >> dusty burrito bowl comment. the stock is not reflecting it. the target $790 about 20% upside from here. they say the stock is cheap against cash flow. the same call they said to sell both panera bread and yum brands. adt corporation getting a downgrade. >> kurt company getting slammed today down more than 8%. barclays cutting to under weight. their target falls to $35. so it was above that this

morning. it's not anymore. basically saying no reason to own adt. >> down over 21%. now it is time for our under the radar name of the day. this is lasalle hotel properties. hotel operator. >> they own hotel properties. >> how about that? >> they own the square in boston along with the place in california. morgan stanley upgrading to overweight. they bump the target from 45 to 35. five analysts cover the stock. morgan stanley is more bullish than most on lasalle hotel up 1.5% to $40.93. from street talk to "talking numbers." our daily look at a stock from a fundamental and technical perspective. today. >> the goog. >> a little company you might have heard of. i'm going to start with you. google.

listen, very positive on google this weekend. you are not convinced. how come? >> thanks for having me. we did reduce our price target today reinforcing our neutral rating. when we do evaluate google one thing we keep in mind is at the end of the day this is still google. the things they are doing on the health care front is quite fascinating. the core of our call is about the core assets, the trend in the assets, the trend in industry over the next 12 months and which platforms are positioned to benefit from the trends and pick up relative share. we believe it to be competing platforms. >> can you dig in on the health care side? we don't talk about health care and google much. >> that is a passion of the leadership of google and one of the areas with the nano particles that they are working on. really health care is an area they are working on. the core of our call boils down

to core assets. we see three overarching themes that can help benefit competing players more so than google. >> you are neutral on google. what about the charts? >> the stock is obviously under pourfirmed. i believe it is down close to 6% year to date so has under performed. i think it might start to appeal to people seeking out oversold buying opportunities. not only has it oversold but has support on the chart near current levels near 511 to 519. when you look at the nearest resistance at the high close to 600 it lends a compelling risk/reward set up. you can argue the long term trend is higher for google and there is some tendency for it to outperform. we have seen the stock rally the last six consecutive decembers. it has happened so that might

help out, as well. >> it was a real pleasure. thanks for coming on talking numbers. up next a big alert on tesla. tesla trading favorite. phil lebeau will join us next. >> there could be big opportunities out there today. he says opportunity is out there. we are going to have an all star market panel on tap for you and give you the low down of what is happening in trade. that is next. tdd# 1-800-345-2550 [ male announcer ] your love for trading never stops, tdd# 1-800-345-2550 even on the go. tdd# 1-800-345-2550 open a schwab account, and you could earn tdd# 1-800-345-2550 300 commission-free online trades. tdd# 1-800-345-2550 so if you get a trade idea, schwab can help you take it on. tdd# 1-800-345-2550 we're getting a lot of questions tdd# 1-800-345-2550 about organic food stocks. tdd# 1-800-345-2550 [ male announcer ] sharpen your instincts tdd# 1-800-345-2550 with in-depth analysis by schwab experts. tdd# 1-800-345-2550 and if you want to run your idea tdd# 1-800-345-2550 by a schwab trading specialist, tdd# 1-800-345-2550 our expertise is just a tap away. tdd# 1-800-345-2550 what's on your mind, lisa? tdd# 1-800-345-2550 i'd like to talk about a trade idea. tdd# 1-800-345-2550 let's hear it.

tdd# 1-800-345-2550 [ male announcer ] see how schwab can help tdd# 1-800-345-2550 light a way forward. tdd# 1-800-345-2550 so you can make your move, wherever you are, tdd# 1-800-345-2550 and start working on your next big idea. tdd# 1-800-345-2550 ♪ tdd# 1-800-345-2550 open a schwab account and you could earn tdd# 1-800-345-2550 300 commission-free online trades. tdd# 1-800-345-2550 call 1-877-670-3357. tdd# 1-800-345-2550 or visit schwab.com/trading. tdd# 1-800-345-2550 schwab trading services. tdd# 1-800-345-2550 your go-to for trading know-how. tdd# 1-800-345-2550 ♪

shares of tesla are getting hit down just about 4%. let's get to phil lebeau with a quick update. >> we have been crunching numbers with our data analytics team at cnbc. when you consider what is going on with tesla shares. over the last seven trading days tesla shares are down 14%. that is the worst seven day trading period ever for shares of tesla and what is interesting when you look at this the fundamentals of this business have not changed at all. yes oil is a big factor because people believe it is a play on gas prices. the truth of the matter is this

is a luxury car company. it is not a play on gas prices. pure momentum at play with tesla shares under pressure today. >> thank you very much. >> what were you going to say? >> anybody who says tesla shares jump because gas prices fall. if you buy an $85,000 tesla you probably don't care about gas prices. auto sales very strong. people selling millions of vehicles we need the parts to go into them. the auto parts makers have been performing well. morgan brennan joins us with a closer look add that sector. >> with auto sales clocking strongest november pace since 2003 the car economy has been revving higher. if you invested in ford or general motors at the start of the quarter you would be up 4% or 5%. hold on to your horsepower. the biggest gain is parts makers. the auto components industry group up 14% much higher than the s&p 500's 5%.

leading the charge good yeyear e & rubber up about 18% so far this quarter since the start of october. delphi automotive gained about 18.5% this quarter also johnson controls up 11% this quarter. also we are seeing a lift with auto retailers. o'reilly automotive gained about 25% and competitor auto zone which reports earnings before the bell tomorrow is also up about 16% so far this quarter. now, two more of the companies selling cars, car max and auto nation have surged by double digits so the question now, can this rally continue? a few have been downgrade today hold recently but overall analysts say three factors bode well for auto parts makers and retailers, strong auto sales, low gas prices and high

employment, in other words, increased demand for more road trips. one name to keep an eye on delphi. the stock outperformed each of the past januarys. coming up on "street signs" we are going to look at some of the best performing stocks so far this month. and maybe the one thing they do or do not have in common. >> we are coming further off our lows. at one point the dow down 150 points and now down by 98. we have two market pros coming up. do stay tuned to hear what they have to say. location. location. (shouting) location. here's the location that matters the most. here. or here. or here. it's wherever this is. to get customers to come here and stay here, you're going to need an app that connects to all your systems. so they can bank, shop, do what they need to do, and you gotta do it fast. before the competition does. it's tough out here; you better be on the right cloud.

today there's a new way to work. and it's made with ibm. e financial noise financial noise financial noise financial noise

stocks off the lows and the dow down close to triple digits. great to see you both. brian, we are down right now and i believe you've been thinking we might have been overbought to begin with and maybe this is a little welcomed especially for those not getting in. >> yeah, we have come a little too far too fast so we think a pullback to be expected and got

a little bit here. might get a better opportunity on the good names and -- >> like? >> well, we'll talk about alliance data systems. it is a company not a lot of people know but it's a payment processer and private label credit card so if you use a tablet -- that sort of thing, they're the credit card carrier behind them and they do things with marketing for skew level marketing and get you in the next dress after you bought the first one. >> richard, you're huge at state street. does the drop in oil change your fundamental investing strategy? >> it is a tailwind. we expected quite good growth next year and around the imf forecasts and the u.s. about 3%. this adds a little bit more potentially if we believe it's going to be fully baked in 2015. >> tailwind for the economy but what for the market? >> it starts with economy and

earnings. will they grow enough to just y justify? that can a tailwind to companies selling in and then justification for valuations we are at. >> i hate to ask you about today but the point of a graphic that where oil and stocks in the same direction and oil is down. it's hard for me to think this is not a bit of a headwind for the stock market. >> i think it depends why oil is down. predominantly a supply issue. we have an uncontrolled supply of oil and head winds on the demand side and with the relationship of stocks and oil it depends who's driving that oil price either up or down. at the moment, i think supply driving it down. it's a benign sort of fall in the oil price that i think should be good for equities. >> brian, this brian, asked a brilliant question. what do you think that what

we're seeing with oil prices changing the thesis for next year? equities? >> it is unbalanced positive and it's a supply driven situation rather than lack of demand for oil. i think the other thing that's interesting about gas prices in general although they're a relatively small part of the typical family's budget, you know, saving 20, 30 bucks here or there doesn't make a big difference but it's a larger psychological impact. people see them, they feel better. maybe that loosens up the wallet a little bit and makes them more likely to spend. >> okay. so richard, i'll ask you this then. what do you think is the one -- i don't want to call it a black swan -- but the event in the next few months or quarters that you would be most concerned about? now that oil made the change, anything else on the radar?

>> yeah. the black swans by definition are unpredictable. we worry about china. if it looked worse and affected other emerging markets it could rebound into europe and i think the oil price has unpredictable consequences. the pressure on iran is great. the pressure on russia is great. and there are those who may feel comfortable with that pressure but there are other countries of nigeria and others that feel that pressure and sometimes unpredictab unpredictable. >> let's not leave on swans but maybe a white swans and something positive. another stock pick for today or the next few weeks. >> i think for the next few weeks look at buying polaris. very strong company. down a bit today. a very good growth company. you know, company's grown 20% annually over the last 5 years, almost 30% on earnings. very good growth, valuation has

come down a little bit and i think that could be a good one to buy and put away. >> okay. thank you very much. well, coming up next, more on the oil collapse. do stay with us. at wvalues matter.ket, so the fresh fruits and vegetables we sell support organic and sustainable farming. grown locally on over 1000 us farms, and globally with our ethical trade program. rated for sustainability, and grown by people with responsible farming practices like stehly farms organics becuse to us, value is inseparable from values. whole foods market, america's healthiest grocery store.

can it make a dentist when my teeth are ready? can it track my crew's performance, and protect their heads? can it tell the flight attendant to please not wake me this time? at cognizant, we see opportunities for every company. to meet the new digital demands of their customers. can it process my insurance claim? like, right now? can it download a track while i'm sampling it? can my keys find me? with the power of digital, analytics and automation, now every little "thing" can provide even greater value. ok, so can it tell the doctor how long i have to wear this thing? the answer is yes, it can. so, the question your customers are really asking is, can your business deliver?

♪ my baby drove up in a brand new cadillac.... ♪ ♪ look here, daddy, i'm never coming back..... ♪ discover the new spirit of cadillac and the best offers of the season. lease this 2015 standard collection srx for around $359 a month. a bit of a sizable bounce back in the stock market.

yes, we are still down. i know. but the dow was down about 154 points at its low 40 minutes ago. we call that on the show the "street signs" bounce. >> we do? >> i think i speak for mandy when i say you're welcome, world. >> take the credit. okay. let's take a look at what oil is up to. just taking a look at the chart there. sorry. bobbing my head up and down. oil settled at a five-year low. $63.05, down just over 4%. third worst drop of 2014. intraday, we did drop below the 64 mark. sorry, 63 mark. and that was the first time that we dropped below 63 since july 2009. as for gold, well, you know, you have equities down, oil down. gold is higher just above the 1,200 mark and we were saying a moment ago the etf with a bounce on the back. >> we have a long-term chart of

oil and i want to point out. last two times of oil's big drop was 2000, 2001, 2008 to 2009. we know what happened then. recessions. okay? so i think richard's point is well-known. you get the point s. that why we are down is the key. >> yes. >> and that maybe this time it is not because the global economy is slowing down. let's hope not. but the last two times we saw oil drops of this magnitude, unfortunately, were bad times. >> yeah. okay. >> unless you're short the mortgage market and then they were incredibly good. >> well, that's very true. there's always winners and losers. take a look at some of the dow biggest drags. you have chevron, exxon for obvious reasons. mcdonald's. we're talking about that down by 3.7% and caterpillar and levered to the global economy is sharply lower. >> we forgot to do the -- we didn't have time. the $1,000 challenge. if you put 1,000 bucks in gold,

stocks, gold orbitcoin, when's the best investment? today the markets took over. this's the way things roll in this show. >> we roll with the punches. thank you for joining us today. "closing bell" is coming up right now. welcome to "the closing bell" on this monday. i'm kelly evans at the new york stock exchange. >> nice to be here with you. i'm scott wapner in for bill griffith. chevron, exxonmobil, mcdonald's and caterpillar all getting beaten down today. we're going to get into the reasons why and why those could signal bigger worries than for just those three names. >> which is better long term, stocks or homes? some of the best money minds in the world debating this one right now. we'll find out what they said and which one, scott, might be the better investment. >> ti