digit loss once again off 118. >> but anything can happen in the final hour of trade so do not go away. but we also have a special show for you tomorrow. brian in calgary looking at the impact of falling energy prices there. big interviews as well. should be a really great show and he will be very very cold. >> and that will do it for "street signs." good to be with you, mandy. >> thanks a lot, ty for jumping in the seat. "the closing bell" starts now. >> thank you and welcome to "the closing bell," everybody. i'm kelly evans at the new york stock exchange. and you will want to stay tuned to what's happening today. a potentially historic day in point terms anyhow. we haven't seen a gain of 282 points turn into a reversal like this since 2008. >> yeah. the dramamine vending machine is out today at the new york stock exchange. look at the volatility there. we started the morning with that gain of about 282 points as kelly said and then just this collapse this afternoon. at the low we were down 140. we're down 112 right now. you know you really can't point

to one particular factor. so many things going on. earnings season has begun. oil prices were lower again. we got down below 250 on the 30-year 30-year. below 1.9 on the 10-year yield. the president met with congressional leaders. there's talk they were talking about trying to think about military action against islamic state militants. so all kinds of things going on simultaneously. >> not only all of those factors bill already mentioned, throw on top of that whether the european central bank might see a block offing blocking of its quantitative easing. we'll talk about more on all of that with our panel in a second here. again, to tell you where we stand going into the final hour, the dow is off 118 points. the s&p is giving up 16. look at that we're almost right back at that 2,000 level on the s&p. the nasdaq meanwhile down about 27 on this tuesday.

turn around tuesday if you will. >> we've had two turn around tuesdays today all in one. joining us in our "the closing bell" exchange, there's amy wu from rbc capital markets. ken, and peter anderson from congress wealth manage and our own rick santelli. amy wu you're the lucky person to try to make sense of this day. what's going on? what's the message of the market with this incredible volatility do you think? >> volatility is certainly back in vogue. i have heard a lot of reasons being thrown around. i'm going to throw one more reason into the mix for the turnaround later in the day and that's we saw a large overwriting program in the market on the options side across a large swath of large market cap companies creating even more demand to sell and in the hedging prodescess -- >> meaning what? >> a customer coming in selling call options on a large swath of individual companies, all very large market cap across different sectors.

meaning the broker on the other side has stock for sale and that possibly being one of the reasons for the turnaround we saw later on this afternoon. >> interesting way to look at it. ken, what's your verdict on what's happening here or are you simply happy for the return of volatility if this is all about creating opportunities for you to get into some of these names here? >> yes. >> go ahead, ken. >> go ahead. >> i think this is a buying opportunity. i think with wages going to be increasing here as the demand for employees increases and also with these gas prices as low as they are the consumer will have dollars in their pocket to spend. the economy will improve, and with it profits and, therefore, the market is going to go up. so this volatility i think is an opportunity. i think thlt yearis year we'll see the dow at 19,500 before it's all said and done. >> you're buying this weakness is what you're saying. >> yes. i think this is an opportunity. >> i was just going to say in response, it's a narrative we've heard over and over and over from guests on this program.

so why isn't it the case? is it just going to be that the market has to keep catching up to your pearls of wisdom here or why do you think it is that we're still behaving risk off depit all those positive factors you mentioned? >> i think a lot of uncertainty right now. we haven't gotten the data on the economy in the fourth quarter, the earnings haven't come out yet. so right now we have uncertainty over what europe is going to do. i'll tell you one thing that is concerning me is that the ten-year right now is under 2%. you know i think the economy is improving, but i don't think that it's real. i think it's driven by debt and by quantitative easing and all the rest of that. so i think there's a lot of uncertainty about the underpinnings of the economy but we've had that for a year now. i think we will see the market pick up and like i said i still see this as a buying opportunity but be careful the last pashtrt of this year. i think things are going to get really ugly. >> peter anderson hang on a second. this is a good segway to rick

santelli with the yields this morning. i thought of you when i saw the 30-year at 2.47. we got to 1.88 on the 10 ahead of the 10-year auction which i guess turnded out to be kind of mediocre. once again this weakness in the morning and the yields come back in the afternoon. what's going on here? >> i like to keep it simple. there's more cross currents than a strong coho could deal with at this point but i think in the end the way i would look at it just listen to 30-year. listen to 10-year. the fact this they keep knocking at the door 10s, 1.86. 30s all-time low of 2.45. to me there's only one chapter that is the epilogue to tina there is no alternative, which is of course stocks and that is falling prices. this is a self-fulfilling prophecy. we pump things up in risk on and ultimately it will lead to risk off and it just seems like such a futile loop for central bankers to keep doing more of what's going to create the downward spiral of no traction

because everybody is going to be undercutting everybody. just look at the war on the currency side. i can't stress enough if you want to keep it real simple anytime of a settlement in 30s under 2.45 and if it's under 1.86 in 10s, i think holding stocks long in that environment would be kind of risky. >> interesting. >> i could not agree more. >> go ahead, peter. >> well i like to keep it simple, too, so i don't know if i can simplify it anymore but let's put it this way. kelly, you know you were saying all the signals seem to be flashing that this is a good thing, but yet the market isn't responding that way. so i think it comes down to this. our heads are saying -- >> not signals, peter. everybody who comes on this program tells us it's the good thing and the market seems to be saying the opposite. >> that's what i'm saying. i think we have to look a little more deeply into this. the with unthing that irks me about this all is on paper low prices look great, right? but i think it's the sudden

change in those prices that has the market concerned. normally you would expect this to go down gracefully. but we're not going down gracefully at all in the energy prices. and that begs a lot of questions. what is fundamentally happening in the energy market? and i would test you to say that nobody really knows right now, and i think that's why we have such volatility. once we get an equal lib bri yum price with oil, then we're off to the races, but right now as it stands i would say nobody knows where the equilibrium price of oil is. opec has said $20. they'll go down to 20 bucks a barrel before they would take any action. that's scaring the rest of us i think. >> so there's been the debate peter, about the impact of oil on not only the economy but the markets. is oil good for the markets at this point. is there a correlation or are they in opposite. what you seem to be suggesting

is it's the rate of decline for oil that's unsettling and you're waiting for that to settle down. is that what you're saying? >> that's right, bill. you know lower prices are good but too much of a good thing becomes bad, right? >> except at dessert time. >> exactly right. this is not oil on my dessert though. i would like to be able to do that but we can't do that yet. it's not that cheap enough. >> let's bring kenny polcari in off the floor here. what do you account for the disconnect. we just had tom revising his gasoline price forecast. for 2015 just relative to 2014 because of the falling price at the pump. we're talking about a difference of $120 billion benefiting people who buy gasoline. that's how much they're saving this year and yet again the market here showing very little sign of encouragement from that. >> you know what? but i think it's getting a little bit overdone. i think this whole oil story continues to build on itself. you get the negative comments coming out of the big investment

banks about oil going lower and it creates a lot of kind of nervousness and anxiety. quite honestly i'm on the side of the fence that i think lower oil prices are a massive boom. that being said, peter made a great point, until you get some stability, the market will continue to be unsettled. i think you have to wait until that happens. >> kenny, speak to me about the rally this morning. art cashin said to me a little while ago, he said he thought it was built on sand. was that short covering that just ended or what was going on? >> i think it was a little bit of that because i think it was certainly some short covering. it was certainly some positive news coming out of europe. the market wants to find a base and move higher but it didn't have the momentum didn't have the commitment as we saw. we were up 280 points and all of a sudden it just failed and when it started to break down tactically, it came back through the 50-day moving average and, boom, there was nothing to hold it. like i said even in my note this morning, i think we're going to test the 2,000 range in the s&p.

>> hang on everybody. we want to get some clarification on one of the stories we just mentioned at the top of the hour that could have had an impact on the market today. those reports out of washington that some say may have dragged the market down. john harwood, it has to do with the meeting the president had with congressional leaders and what was said about possible military action against the islamic state. can you clarify that? >> yes, bill. it was a completely routine and expected statement that the president and the white house put out in their read out after this meeting with congressional leaders. the administration is going to send, as has been previously discussed and expected language to the hill for an authorization to use military force against the islamic state. these operations are already under way but it was agreed by both members of congress as well as the administration that the existing authorization of force that was enacted during the bush administration after 9/11 was not adequate for this situation, which, of course involves some operations in syria including

training syrian troops. now, this is not boots on the ground, and the administration -- i mean there are some troops on the ground already, but the administration doesn't anticipate at this moment a departure -- a new ground war into syria and iraq. so if that is what was dragging the market down earlier, that concern was misplaced. >> just to be clear this, does give them the leeway should they choose to exercise it to put additional boots on the ground, if you will in iraq in order to push back the islamic state. >> yes, it's the authorization to use force. you can make a slippery slope argument and say, well if you have trainers there and if you have support personnel there who are calling in bombing runs for u.s. targets against the islamic state in syria, yes, that's possible, but the administration has been very clear that that is not their intention and i don't think anybody anticipate that is to happen anytime soon. >> thanks very much for that clarification.

rick santelli why would that necessarily -- boots on the ground is what we were hearing on the floor here. that was what was causing some of the selling this afternoon. why would that necessarily spook this market if in fact that's what was going on? >> i'll tell what you, bill, i'm not going to even comment on it because i think in the world i live in, that has zero chance of being the driving force in the marketplace today in my opinion and i talked to a lot of people and i'm not saying it's not an important issue. whether they're on hover boards or wearing shoes in the end the american people understand what direction this is going. >> but to rick's point, and i agree i don't think that has anything to do with the sell-off because when the tone is negative they're going to take any negative story and pile it on and say that's the reason. nothing to do with the sell-off in the market. >> fair enough. >> watching from here amy, what are going to be the catalysts for the next move? >> i think there are a number of catalysts in energy specifically i'd really watch out for nigerian elections and then i'd

watch out for what the deadline is on iran in march and after that obviously the june 5th opec meeting. i think that plus the earnings in energy in the next couple weeks are really going to be further volatility increasing despite the levels we see right now. >> you said the next opec meeting is june 5th? we're going to be going through this for six months? >> oh dear. >> oh dear that's for sure. ken, what are we supposed to do in the meantime? i know you want to buy here. are you going to buy energy for example? or what are you doing? >> i think that right now there's a lot of uncertainty driven by all that we've talked about so far on the show and i think that uncertainty is going to dissipate. when it does, the broad market is going to rise. i think like i said the wage pressures are there. we're going to see the consumer with more money in their 30k9 because of that. 70% of our economy is consumer driven. our economy is going to get better and that's going to drive the profits. so i think a rising tide is going to raise all ships.

>> ken, are you getting a raise? >> am i getting a raise? >> yeah. >> she asked you first. >> when the market goes up, i do, yes. >> okay. she loves asking questions like that. >> you know -- >> listen at some point though we've had such destruction in the energy names, when these earnings come out, that's when they're going to find the bottom. are they going to send them down another 50% zbh? >> we have to go. >> got about 45 minutes to go. the dow is off 87 points this after being up 282 points the highs of the session. now we're seeing declines of half a percent across the board. >> speaking of losing altitude google has been suffering lately down nearly 20% from its 52-week high. that would make it bear market territory for google but why? that's a question we'll take a close look at coming up. >> also vertex pharmaceutical ceo joining us from the jpmorgan health care conference in san

francisco. wait until you hear about the biotech's new pipeline of drags and how he plans to keep growing vertex shares. we're back in two. sunday dinners at my house... it's a full day for me, and i love it. but when i started having back pain my sister had to come help. i don't like asking for help. i took tylenol but i had to take six pills to get through the day. so my daughter brought over some aleve. it's just two pills, all day! and now, i'm back! aleve. two pills. all day strong, all day long. and now introducing aleve pm for a better am. that's a question we'll take a i've been called a control freak... i like to think of myself as more of a control... enthusiast. mmm, a perfect 177-degrees. and that's why this road warrior rents from national. i can bypass the counter and go straight to my car. and i don't have to talk to any humans, unless i want to.

and i don't. and national lets me choose any car in the aisle. control. it's so, what's the word?... sexy. go national. go like a pro. ameriprise asked people a simple question: in retirement, will you have enough money to live life on your terms? i sure hope so. with healthcare costs, who knows. umm... everyone has retirement questions. so ameriprise created the exclusive confident retirement approach. now you and your ameripise advisor.... can get the real answers you need. start building your confident retirement today.

all right. where do we begin? the tremendous day of volatility. 280 point gain on the dow this morning just evaporated. we were down about 140 at the low. now down 65 points and some of that could be attributable to the price of oil coming back today, maybe john harwood's report on what was or was not said clarifying the meeting the president had with congressional leaders on thor sizing military action against the islamic state. all of that factoring in right now. >> you can see a rare positive move for wti crude. we're up about 27 cents. meanwhile, it is the second day of the jpmorgan health care conference in san francisco and we've been talking to some of the biggest names in the industry. >> it's been great out there. bricking here is meg terrell. meg? >> bill, thank you so much. we're joined by vertex's ceo dr.

jeff leiden. >> good to be here. >> you put out some information on sunday night explaining just the future of expanding your cystic fibrosis drugs to more cf patients. tell us about how many patients you can treat with these drugs. >> we're really on a journey with cf patients. today our medicines are approved for 3,000 patients around the world out of a total of 75,000. what we're really excited about is we expect to get approval for our next combination of medicines and that will allow us to expand from 3,000 to as many as 25,000 over the next year. >> big question people have for you and you don't have approval yet but upon approval which i think is expected is pricing. and with orphan drugs you can often price $300,000. i think some people expect that the combination you have that could potentially come late they are year could be less than that. can you give us any guidguidance?

>> it's way too early to talk about pricing. we haven't even seen the label we're going to get or the approval. we are focused on getting the approval on time so we can get this medication to patients and making sure every patient who needs the medicine will have access to it. >> this is a big business development conference as well as making presentation to your investors. what can we expect from you guys in terms of partnerships? is that the way forward in terms of getting -- expanding the number of patients you're reaching? >> our goal in cf is to get as many patients as we can treated with the best regimens possible and we're really proud of the fact that we've been able to develop a whole series of medicines inside of vertex for those patients. but, of course we don't do all the innovation. there are other people working on this as well. we're talking to them and if we saw a medicine that could be added to our regimen and produce more benefit for patients we'd be interested in bringing that to the company. >> do you a bias for buying versus partnering? >> i don't think it really --

our bias is get the best regimen out there for patients and the flavor of the transaction whether it's a buy or a license with a partner is less important than making sure we are providing the best regimens to as many patients as we can. >> i asked you about drug pricing but let's talk more broadly because this does seem to be one of the biggest issues weighing on valuations in the drug industry right now. a lot of folks think orphan drugs are insulated from that. what's your perspective on that? >> you know the way we think about this is transformational medicines are what we're in the business of developing and what the industry is really focused on. those are medicines that make a difference in the lives of people, in patients. at the end of the day we think those are the kinds of medicine that is society wants to pay for, too. and so we're very confident that as we move forward with these high value transformational medicines we will be able to get rei am forced for them. >> we've seen biotech in particular really outperform. it's been five straight years. do you think it does it again in 2015? >> you know i think the outperformance you're seeing on

wall street is really a reflection on what's going on in the science and in the medicine. i don't remember as exciting a time for patients as the last five years. more new science moving faster and resulting in more new medicines. i think that's where we're going to go for the next five years as well. >> dr. jeff leiden thank you for joining us. >> great to be here with you. >> back to you. >> thanks great stuff as always. 40 minutes left in the trading session. dow holding steady. it looks like an average day down 74. it's been anything but. tremendous volatility. we'll see what happens as we head towards the close. industrial average with four components positive, the rest of them are negative right now. >> coming up will lower oil prices help to push wages higher? austan goolsbee will join us to weigh in. also google has tumbled nearly 20% from the 52-week

high. the pros will discuss it now may be the time to buy the tech giant and what google needs to do to get its mojo back. that's coming up. sound good? great. because you're not you you're a whole airline... and it's not a ticket you're upgrading it's your entire operations, from domestic to international... which means you need help from a whole team of advisors. from workforce strategies to tech solutions and a thousand other things. so you call pwc. the right people to get the extraordinary done. ♪ ♪ the pros will discuss it now may

welcome back. market keeps jumping around here. now off about 55 points about a third of 1%. there are a couple of dow names in the green here but pressure across the board has been tracking with oil prices. we're seeing some stability there. search other factors perhaps adding to what's happened with markets today, including the fact that even kb home there's

a name that was up initially on earnings. >> that was a dramatic decline as they were having a conference call with their analysts. dom chu, as the lucky task of giving us some of the movers. take it away. >> there's no shortage of them but let's start withk b kb homes which plummeted after saying it wasn't expecting to really meet its profit margin goals for the full year of 2015. as a result the shares down by 18%. these are now session lows for kb homes. that helped pressure the entire home building sector so big names like lennar pulte, dr horton and toll brothers all in the red in sympathy moves with what happened with the kb home story. and ocwen moving lower as california is looking to suspend the company's mortgage license that that state. it konts continues a downward

trend. gopro has been granted a patent for a remote controlled sports time camera system. those shares at goprodown 12% as a result. we'll end with google moving higher after hitting a 52-week low yesterday. it's 19% off of its record high which was set in february of last year. google shares you can see they're up by a percent in an otherwise down market. a nice day for that large cap tech stock. back over to you. >> let's talk a little bit about what's behind this drop in google. >> joining us dennis berman from "the wall street journal" and crown capital management scott fearon author of "dead companies wag." gentlemen, good to see you both. dennis, what's your version of why google has suffered as much as it has in the last year? >> well i hope he's not going to call google a dead company walking. there's certainly some issues with google in particular the move to mobile how search and other functions are moving into apps on the smartphone.

i think that probably took some of the bloom off the rose for that google stock price, but i got to tell you, it's a pretty vibrant company walking out there. if you look at youtube, if you look at just sort of standard classic click through advertising, they're doing incredibly well. if you look at android, the number one leading smartphone platform. there's a lot going for google. yes, the stock was pretty well up there but it's only trading about ten times forward ebitda which doesn't struck me as a crazy numb.er. >> scott, would you consider them a dead company walking? >> no and i'm a small stock junky. i have never visited with google management but i think google's stock which was flat last year of the big five tech behemoths, it was the only one that didn't make a move higher. >> you think they're busy doing -- they've become almost an idea lab. >> right. they generate about $50 million in revenues.

they generate about $10 billion in cash flow but they spend a lot of that on things like a driverless car effort. google glass. their research lab. and i think investors are a little wary they're not giving that money back to the shareholders like a lot of bigger tech companies have started to do. so it's clearly not a dead company walking, and it's not a company i have ever visited but it's a great company that has some issues. >> not to mention, dennis some of these investments may well pay off. there's news again on gm perhaps look into this car thing today. i want to raise a point that's relevant for everybody watching right now. is it possible that what's ailing google at all, i'm just going to flow this out there, is weakness or fears of weakness in the advertising market and weakness that's related to a global slowdown? is google telling us something here that fits with the perhaps demand picture we're seeing in commodities? >> you know, if you look at the growth, the revenue growth or google in the last quarter, it was still impressive by almost any measure. most companies would love to have it. the revenues were maybe 17% or

11%, somewhere in there. those are incredible numbers off pretty large base. if we look at the secular trends kelly, what do we know about tv advertising? we know more of it is moving to the web. print advertising, direct mail advertising? all of it is moving online. goggle has a disproportionate share of it. the overall economy, a lot of question marx. overall google is on the right side of history more so than it's not. to the previous observation it's doing too many things it's kind of astounding when you think about it. google has 55,000 employees. that's a lot of people and even on a 40% ebitda business, which is an incredible number that's a lot to manage from one place. >> all right. wish we had more time guys. we have to go at this point. thanks go. scott fearon author of "dead companies walking" of which google is not. >> do you have any position in google? >> too big for me. >> and our friend dennis berman

from "the journal." >> do you realize you just compose a "heard on the street" column. >> i was floating an idea. >> reverting back to your print days. >> and we're now off 80 points. this market has been hopping all over the place today. >> a powerful rally evaporating on the street. bob olstein give us his reaction to the market in a moment. plus three value stocks he thinks are ripe for huge gains. they are still out there you say. okay. bob will join us in just a moment. so no set up fees! wooh! yeah! so i get help from rollover consultants? wooh! yes! no rollover hassle. great. woah oh, we're spiking things, robbie. for all the confidence you need. that's

better! td ameritrade. you got this.

25 minutes left. it's anybody's guess how we're going to finish. we have come back quite a bit but we've been up big, up 280 points on the open this morning for the dow. down about 140 at the low. now down 48 points in what has been truly a turnaround tuesday. >> and bob pisani is tracking all the action at the stock exchange for us today. bob, what happens next? >> well bank earnings. take a look at the s&p 500. i want to comment on the banks but look at the s&p. we hit our highs after 10:00 but we started drifting lower right after 11:00.

you can blame alcoa going negative, kb home being a problem. we accelerated a little after 1:00. a lot of traders were talking about some -- one trader or group of traders selling a boat load of calls in big cap names, applied materials, microsoft, pfizer were all mentioned. i'm not sure that was a factor but it looked like somebody was out there trying to cap their upside in stocks they own by selling calls. i think that was a factor. watch the performance of financial. bank earnings are coming out and it's fairly common to sell into earnings a little bit. finally, guys it looks like somebody is out there trying to price in a little bit more risk potential earnings slowdown. we've had four periods now where the vix is over 20 in the last five months. back to you. >> red flag territory as we call it. >> thank you, bob. 2014 was another good year or ol

steen capital management. we could also call this beat the street. bob olstein hunting for stocks he think are undervalues. >> bob is here with a few names he thinks fits that bill for 2015. before we get to those names, what do you make of this volatility? not just today but so far in fwiven 2015? >> well, there's always volatility in the market and value players play off the volatility. we buy the downside volatility and sell the upside volatility. volatility has been here as long as i have been in the market. we're valuing companies. >> you're one -- you come in here as usual with your folder full of papers full of columns of numbers looking for that one little tidbit that's going to tell you a stock is undervalued right now. harder to do at the moment? >> it's definitely harder. you don't have the discounts that you had three and four years ago. but a 15% discount with 3% and 4% dividend yields get you a pretty good returns in a zero interest rate market.

>> let me tell you about the three you brought with us. i'm curious about the ones that aren't on the list. the three you like are harmon and oracle -- >> we have 100 stocks in the portfolio. >> if you ask you about caterpillar you say what? >> we don't own caterpillar. we own deere. caterpillar is a great company but not cheap enough yet for to us make a 3406move. >> how cheap is cheap for a name like caterpillar which now is sporting almost a 3% dividend yield? >> i'm not up to date on caterpillar. i am up to date on deere and we're waiting for it to fall into the high 70s. we own a little bit right now. caterpillar is an outstanding company. we're looking at it. i'm not at liberty to tell what you we're going to do. >> let's start with the three you brought. oracle. >> here is a company that has $3 a share in earnings power on its way to $3.50. everybody is upset with the cloud. 50% of their business is repetitive. they are really a sticky type

company. their transformation to the cloud has been successful. they can go up to $3.50 to $4. here is a stock at $42. everybody wants to buy the linkedins and these other companies. we think oracle two to three years down the road is $60 stock. >> marsh & mclennan. >> what's more blurring than insurance. marsh & mclennan has diversified into consulting. they're now in the health exchanges exchanges. they're $3.50 to $4 a share in earnings power. great balance sheet. we think the stock is worth maybe $70 a share and we're willing to wait. >> and harmon i love as well because it's a play on theme we're always talking about, the interconnected car. where do you see it going? >> we mentioned harmon on your show three years ago in the 30s. that's when some dingbat came out and said apple is going to be put into the cars and harmon

is gone. they don't understand. it's a facilitator. apple goes through harmon. it was founded by an entrepreneur sidney harmon a new ceo came in. he's terrific. he's cut costs. he's got free cash flow now, power of $7 $8 a share. they're the leader in the interconnection of the car. we still see this stock moving another 50%. that will be a five bagger for our fund. >> you said earlier that value investing is kind of a lost art. given the nature of the market today with all the computerization, the algorithms and everything does that skew some of how you view value? >> they've given us a tremendous advantage, bill. these algorithms sometimes they send companies into ridiculous prices. >> but you have to be pretty nimble to pick them up then don't you? >> you got to be nimble to pick them up but once we get them at the right price -- there's only three things that count when you're a value player, price

price, and price. whether that stock goes up or down in three days or four days i have no interest whatsoever. we're valuing businesses. most guys are making market decisions where is a stock going to go in a week? have you seen an earnings report lately. nobody values a business anymore. >> it's a great point. thank you for reminding us and everybody and finally the energy space. where is the value? >> starting to occur. we're really looking at it right now. that's when we start to swoop in. i can remember in 2007 energy was going to $300 a barrel. now it's going to $0. we're going to look at the companies generating free cash flows and we're looking at them very hard right now. >> all right. >> thank you, bob. always good to see you. >> thank you, bill. look at this. >> dow has turned positive. >> so has the s&p all of a sudden. jo what a >> what a day. >> we have dom chu. >> a lot of movement up and

down, but the commodities market here in focus. oil not the only one selling off in today's trade here. if you look at what happened with copper shares or copper prices you can see a five-year low for those at one point. they're down 4.5% on the hard commodity side. on the soft are agricultural commodities. corn down 4% in today's trade as well and if you look at the wheat trade, also you can see moving a little to the downside down by 1.5% so a tough day overall for not just the stock market in terms of the roller coaster ride but a down day for some of those commodities. >> oh that stronger dollar and, yes, here we are with plus signs barely. now it's going the other direction. so with about 20 minutes left in the trading session, it's anybody's guess where we'll finally land today after what has definitely been a bumpy ride for the stock market. >> through it all it looks like the nasdaq is the outperformer on the session. it's still holding into green territory here and coming up we're going to check in at the

nasdaq with a sense of what is leading that index there and why. >> then late kevin o'leary of shark tank deals his strategy for dealing with these wild triple digit swings. coming up. 5-2550 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 ♪ ♪

welcome back. here is a quick look at the nasdaq pretty much evenly split. indicates a little bit of the tug of war going on in the market overall today. >> bertha coombs is in times square at the nasdaq market site there. what's going on there? >> it's one of the biggest daily percentage swings for the nasdaq since 2011. apple stays in the green on an upgrade from credit suisse but apple continues to have trouble technically. can't quite hold the 50-day moving average. biotechs are both the yin and the yang. still some really strong performers like cell gene and vertex but big drags like gilead gilead. apparently it's hep c talk not impressing investors. one of my favorite stories today, stars who were big in the

'70s now in their '70s like jane fonda, lily tomlin and now woody allen signing on with amazon. they're big on streaming. i love that. back to you. >> maybe amazon knows where the money is bill. >> maybe. oil -- >> thanks bertha. >> by the wou,ay, oil dropping again. prices are higher in the electronic trading session. >> let's get a sense with jackie deangelis as to why the reversal. >> volatility in equities and commodities. a couple reasons, first is we have options expiration tomorrow. we tend to see some buying usually during that time of the month. also we'll get the api crude inventory out at 4:30 eastern time tonight. that's ahead of the department of energy report tomorrow. there could be whispers we're see a draw down maybe sending crude prices higher as well but $46.18 was a key technical level we hit in the electronic

session. meantime we settled lower, 18 cents, the spread between wti and brent really closing in. bill, that's something you have been watching closely. a lot of traders talking about parity possibly a reversal here, maybe potentially in the next few days. we'll be watching closely. and gas prices guys $2.12. just when i gave up my car. back to you. >> oh! >> why did you give up the car, jackie? >> you're the contrary indicator? >> exactly. >> we appreciate that. >> we need to more. 13 minutes to go here. dow is in negative territory but at this point anything can happen. >> about this time of day we'd be looking to catch the eye of art cashin to get his view what's going to happen. we're all going to do that because we'll take you through the final minutes of trading and mr. cashin will join us in just a moment. stay with us. financial noise

financial noise financial noise

ten minutes left in what has been an incredibly volatile day. the dow was up 280 points. down about 140. now down 30. and it's anybody's guess -- well, as i said earlier, it's about the time of day we'd be looking for art cashin to tell us what is likely to happen. just so happens mr. cashin is

standing by of course from ubs. we have bob chier erkaiser joining us as well. >> we're leaning to the south side with the on the close orders not very heavyily. about 300 million. >> does it qualify as an outside reversal? >> by my opinion it's aen outside reversal. >> meaning? more downside maybe? >> meaning it's not a happy technical move and reversals, you have to pay attention to them. if you had dennis gartman here he would give you an hour and a half about 2it. >> yes, wee. alcoa earnings were good but kb homes got slab slammed during the conference call. >> it's real early fourth quarter earnings season. we don't want to draw any conclusions. i keep thinking the old saying it's not a stock market, it's a market of stocks.

the simple fact is it's midyear of 2014 expected 2015 earnings have dropped from $132 a share to $124.50. >> so expectations are going down. >> earnings expectations are going down. that trend can't go on forever because typically when multiples expand, you want to see better earnings growth numbers. we have to wait and see that. what sector is going to step up and take the leadership role. >> that's what i was going to ask. is oil still in the leadership role for this market or are there other forces asserting themselves today? >> there are other forces. first of all, that rally was partly built on a house -- built on sand. you had alcoa earnings came out highly praised and they reversed to the downside. kb homes we were just discussing, same routine. so it was all about happy talk about qe in europe and then late in the day there was some doubts. there was some twitter things

from trading desks going around saying the germans are getting harsh about it and, of course we have this court ruling tomorrow which is quote, unquote, nonbirndingnding. >> in europe regarding quantitative easing of the ecb. >> what ecb did with the omt. if they find they operated illegally, it will poison the atmosphere for the qe. doesn't matter if it's binding or not. at 4:00 in the morning, the fate of europe may be decided. >> we'll all gather here and see. bank earnings coming up, what are you expecting from them? >> financials for the year should post respectable 6% to 8% earnings growth we think and it comes back to -- art and i are saying the same thing. he's saying the rally was built on sand. the question really is what sector is going to step up? last year the market leading sectors were consumer staples

and utilities which had a huge boost from the 100 basis point decline in the 109--year t note. you want to look towards the consumer discretionary, the industrials, the financials technology, all those cyclical sector that is really didn't show up last year. >> bob, good to see you. thanks for joining us. preshl your in appreciate your insights. >> arthur, stick around we'll come with the close and see how we do in the countdown with the dow down 39 points. getting ready for the top of the hour as well. ameriprise asked people a simple question: can you keep your lifestyle in retirement? i don't want to think about the alternative. i don't even know how to answer that.

i mean, no one knows how long their money is going to last. i try not to worry but you worry. what happens when your paychecks stop? because everyone has retirement questions. ameriprise created the exclusive confident retirement approach. to get the real answers you need. start building your confident retirement today.

last couple minutes of trading here. quickly, the charts tell the story up 280 points on the open this morning and just a slow roll south. picked up pace late in the afternoon down 130 at the low of the day, now down 44 points. ask arthur what that means in a moment. let me show you oil. that was down sharply as well but then came back and in fact we're finishing the day with a gain to about $46 on wti crude. it was down to $45 earlier. 10-year got down to 1.88 which was a low we saw last october before rebounding again and we're at 1.90 right now. so are you watching oil more carefully or what's calling the shots here?

>> well i'll watch oil but i want to see what happens with this court decision in europe overnight. that will be critical. most of that rally was about happy talk in europe for qe. if that gets blown up then we could have bigger problems here to come. >> that's a nonbinding ruling that the court is going to make tomorrow but it would be very hard to move ahead with any kind of quantitative easing if they give a thumbs down to the whole thing. >> absolutely. >> something mario draghi has been hanging his hat on. >> he would like to be the president of italy. >> that may happen. >> we briefly went positive and the obvious explanation is donnie osmond has arrived on the floor of the new york stock exchange and that's my explanation why we went positive and i'm sticking to it. >> you think he's like pittsburgh phil now? >> you have your theories, i have my theories. bank of america -- the banks cratered early before the rest of the market. we'll have earnings this week including bank of america and

it's not unusual to see a little bit of selling going into that earnings. we certainly saw that today. >> earnings that's the other big deal we got coming through here. you will have to be watching those carefully as we go. >> it's all going to blend in pretty fast. they said this is the year for volatility, keep your seat belt fastened. >> what do you make of this kind of a trading day though? you referenced a possibility of it being an outside day. what do you expect to happen here? >> well it sets up an opportunity for further correction, unfortunately. i mean you had what looked on painer to be a terrific rally. those of us who saw what was happening knew it was hollow but on paper it looked great. entirely disappeared and went negative. that's not usually a good sign for the coming trading. >> and the trading was very vicious. it was sharp and very very fast and i think it's a sign of how delicate people are right now. the market is definitely pricing in more risk and seems to be pricing in more earnings risk as

exemplified by kb risk. >> arthur thank you for taking the time. thanks bob. going out, a wild day. we'll see if it continues tomorrow. down 25 points right now. donnie osmond ringing the closing bell at the new york stock exchange. you will see him later coming up here on the second hour of "the closing bell" with kelly evans. i'll see you tomorrow, kelly. thank you, bill. welcome to "the closing bell," everybody. i'm kelly evans. what a tuesday we have just had. a day of huge swings on wall street. we'll put them into perspective for you. let's start out with a look at the dow. you can see the sharp rally we had at the open up almost 282 points. we gave that back as we headed into the close. it was around about just before 2:00 p.m. eastern we did, in fact, turn negative. we were off i believe more than 100 points. we fought our way back trying to close positive but it looks like we're going out here and the numbers are moving around a little bit. the dow off almost 30 points. as for the other major indexes,

the s&p 500 is giving up five points. the nasdaq is off three into the close. we'll talk about the whys and the where we goes froms from here. joining me now is david zer bows from jeffries. welcome back. cnbc contributor carol roth with sharon epperson. and with us for more on today's market action is "fast money" trader brian kelly and b.k. you know i want to start with you. before we get to this question about the dollar though, what do you think happened in the market today? >> well we started with really kb homes. that took a lot of stuffing out of the market. a lot of people are saying maybe that was company specific but when you look and you listen to the conference call they're talking about backing out of some deals in houston because of lower oil prices. fine, we can chalk that up to that. but then they also talked about orange county being soft because of a lack of chinese buyers and that's spilling over into the inland empire. i think that got people saying big rally here let's take some off the table. then you had reports that

potentially the german -- the bunds bank is not on board with qe. we're all expecting qe. the market priced it in. if you don't get that, you have a problem. everybody just sold and asked questions later. >> all right. turning to the panel here as well, david, is this because suddenly the outlook has changed and it's because of oil or are markets just trying to figure out what the new trading pattern is going to be that includes a much lower oil price? >> i think it might be the third day where we had a cathartic sell out of thin air and i do think it's a lot of position squaring ahead of the ecb. there's definitely that. it's been a 2.5% rally in the uro since jan 1. you have had a big move up in the dax as well. i think people are looking at all this and saying i can take a few chips off the table and it's a very subscribed poths. we the dlartion is an aollar is an aggressively owned asset. there are a lot of distressed

oil trades out there. and people are using the s&p and maybe some other risk asset type proxies to try to hedge this. so when you see oil go down people are kind of getting attacked from the risk manager saying you better do something about this. if you can't sell the high yield bond at least sell something that's going to go down if the whole world blows up. but it fits nicely with our volatility theme at jeffries. >> yes, it does. which you laid out just a few months ago. >> i want to go to b.k. and talk a little bit about the consumer. the thesis last year is that the luxury consumer was going to be very, very strong. with the price of oil coming down, the strength of the dollar, now we've seen somebody like tiffany say this year is not going to be so great because of our exposure. do you think there's a change in that thesis that perhaps with oil coming down strong dollar that the value oriented companies, the ones serving the value side of the consumer is actually a better bet than

perhaps some of the luxury names we've been talking about? >> and keep it brief, brian, we'll come right back to this in a second. >> absolutely. we haven't seen any of the oil savings to the consumer. tiffanys was a big concern because they said the u.s. would be better so i would stay away from those names right now. >> cool. i only say that because we are getting earnings out from railroad operator csx. you can see on the screen it looks like a match on the bottom line, maybe a little bit of a beat on top. morgan brennan has the numbers. >> that's right. 49 cents in line with the street's expectations. earnings per share for fourth quarter. and revenues of $3.19 billion. just a little bit north of the $3.18 billion that the street was expecting. we're still going through a lot of numbers here but also getting a comment from the company that they are expecting double digit earnings growth in 2015. that looks like it's largely in line with the street's expectations. right now trading in after hours

csx stock is up more than 1.5%. back to you. >> morgan thank you. sharon? >> i was just looking at the what we were talking about earlier in terms of the overall broader picture of what investors and retail investors are looking at and this passive investment strategy that so many investors really prided themselves on being able to do themselves and doing for five years that worked so well 50/50 stock/bond split, now we're seeing all this volatility and you're like why do i want to be in emerging markets, in europe? as they are doing better maybe we're seeing some of the rotation out of those safe bets for the last several years and into some of these other plays. that might be at work and that's why it's so important to be diversified. >> for more on how investors are playing the big swings let's bring in mr. wonderful, kevin o'leary. good to see you again. we want to know to the point sharon was making what moves are you making? >> well i buy her theory people will take some money off the table in the s&p and move it

into lower pe jurisdictions where i think there's going to be some kind of recovery in europe around the german lower euro, et cetera. but really what i think is causing this rock and roll that we're having these triple digit days, is that everybody is nervous about earnings and so alcoa okay. we're right at the tip of q4 earnings and if we see any weakness, that will be a reason to peel off a whole lot off the s&p because they're fully valued. we're not really over expensive but i'm nervous like everybody else. every day we get an earnings report like the one we just got, i feel more warm and fuzzy. i'm saying where do i redeploy capital? i'll stay the course but i realize i have to stomach 400-point swings. okay. if that's the new normal i will deal with it. >> kevin, we had bob ol steenin on last you're. here is somebody looking at the value in harmon when it was in the 30s and now is looking at it in the hundreds. you're not really as an investor

supposed to be playing the 10% directions in the market are you? you're supposed to be trying to find either those names that are a great investment or just stick it in an index fund and not pay any attention, right? >> olstein is a cash flow guy like me. i love that guy. not only does he wants dividends that he knows are locked and loaded, he wants to buy them at a 15%, to 20% discount. that's his theory. i agree with him. but the basis upon which he makes all of his decisions is cash, cash cash and flow. that's what matters. and i think people are going to really appreciate that. there's always somebody saying forget about dividend stocks but after you have had your head handed to you on google which is a supposedly a fantastic tech name that's slaughtered you for 18.5% you start to appreciate that dividend. that's what matters. everything leads to dividends. >> that's what i brought up with bob and others. now that caterpillar has been under so much pressure it's got a 2.8% dividend yield.

you're not going to get that on a u.s. treasury right now. >> you have a problem with all of these big multinationals how do they manage their currency risk in the last quarter? it was one of the most volatile period for currencies. not just volatility from brazil or russia but the two biggest economies in the world where there's $18 trillion of gdp. that's moved 2.5% in the last two weeks. did anybody get that hedge exactly right? and they ever a lot of business there, a lot of business in a lot of other places. you look at a nestle any of the big ones i think you have to be careful with the earnings. strong dollar is a harder dollar to earn. >> let's get back to brian kelly on this point. brian, you this morning wrote something that caught my eye. you said if the federal reserve in the u.s. is concerned about contagion and global deflation, it has to talk down the u.s. dollar. why? >> first of all, let me say i'm not necessarily advocating that, but it's the only tool they have. a weaker dollar gets commodity prices higher. we've seen that a lot. now that you're starting to see

inflation expectations you have to be thinking at the fed they are panicked at this point. what do we do? we can't lower rates anymore. the only thing we can do is talk the dollar down and they can do that two ways. either explicitly saying something like strong dollar is hurting -- is causing lower inflation expectations or they can just push the time frame out on when they're going to raise rates and we started to see that with charlie evans the other day. >> that's what i was wondering, kevin, how you would react. we hear about the importance of the strong dollar and king dollar. that's larry kudlow's favorite line. are we being too cute if we try to talk the dollar down or is it a real worry point if it's having these negative consequences in terms of spreading deflation through commodity prices and other factors? >> i have always considered the dollar the equity and the currency of the country. and i think a strong dollar is very useful. i tell you how to solve the problem. let's repatriate the hundreds of

billions of dollars sitting in foreign banks we can't get into our country because of archaic tax law. not only can we enhons our productivity but make us more competitive and bring it all home. bring all that beautiful cash -- >> if we do that, the dollar is going to go up significantly more. >> that's even better. my argument -- >> that's my point. should we just embrace it and not worry about the negative effect it has in terms of commodity prices and deflation and the whole kit and dacaboodle. >> do you want $200 on oil or $35 oil. check the box on $35. do you want a strong dollar or a weak one? let's go with a strong dollar. >> you're asking kevin this question. ep he wants as many dollars and as strong a dollar as there possibly can be.

>> that's a fair point. brian kelly, does the dollar keep going up or do people get too bullish on it? >> i think people are probably too bullish right here on it. i'm short u.s. dollars for a shorter term trade. second half of the year i think the dollar goes higher. i just think we pause here for a little bit. once the ecb comes out whether they do qe or not, you have a sell the news event there. i'm talking the next month, the next 60 days is where we might have a pause. >> kevin, what are you buying here? >> you know, what i have decided to do is go long infrastructure. what i like for this 2015 is i like the fact that energy is going to be below i think $50 for the rest of the year if not lower. i'm hoping for $35. and that all of a sudden with lower energy input costs we'll see a lot more spending on infrastructure everywhere globally. that's my theme for 2015. love engineering companies with difficult lends.

love pipelines now that they're repriced. mlss look interesting. i'm shopping. >> i like it. i like the investment thesis. kevin o'leary, he will be back in a bit. brian kelly, thank you so much. important points. we have to talk about. there's more with brian and the "fast money" crew at 5:00. they will be talking to the former hedge fund manager who predicted oil's decline, paoul pal. flat wage growth is one of the biggest trends holding back the economy. and oils impact is felt elsewhere too. it could be creating a slippery track for the railroads. michael ward is breaking down his company's latest results. you're watching cnbc, first in business worldwide. but i'm a bit skeptical of sure things. why's that? look what daddy's got... ahhhhhhhhhh!!!!! growth you can count on from the bank where no branches equals great rates.

do y ou like to travel? i'm all about "free" travel babe. that's what i do. [ female announcer ] fortunately, there's an easier way, with creditcards.com. compare hundreds of cards from every major bank and find the one that's right for you. creditcards.com. it's simple.

welcome back. so oil paring some losses today as you can see there. closing below $46 a barrel although it's higher after hours. while main street may be loving oil prices dominic chu says it could be a drag on wall street's earnings. really, dom? tell bus this one. >> shocking right? energy companies making less money is not actually good for

the energy sector overall or those companies. let's take you through the numbers because the group over at thompson reuters eyeibis looks at the expectations and updates them. here we are early in the earnings season. this is what we have for growth expectations. as you can see here consumer staples, materials, and energy will act as the biggest drags for earnings on the s&p 500. you can see 0.2 for staples and the massive 22% drag. that's earnings declines over the same times last year. if you look at what's happening with the positive side of the picture, because we will give you both sides, health care telecom, and utilities are expected to post the best earnings gains. let's go back to the negative. what about sales? what about the top line? again you have names like materials and utilities and then energy expected to post a 16% revenue decline. so energy continues to be a drag

on the top line revenue numbers and then of course we'll finish off on the positive news here. health care, technology and telecom all expected to show growth in their sales. so again, energy the key focus. these are the numbers, the expectations. some really big drags. 22% less in terms of earnings from those energy stocks in the s&p this quarter versus the same time last year kelly. back over to you guys. >> dom, thank you. for the companies that do benefit from lower oil prices could that give them the room to raise pay? wage growth has been a big missing component to this recovery. and joining us now is austan goolsbee, now economics professor at the university of chicago school of business. great to have you back. welcome. >> thanks for having me. >> what do you think of wages? we had a big step back in that december report. other indications aren't perhaps so bearish but it's undeniable we're not seeing the kinds of increases perhaps we should be. when do you expect to see a more

broad-based pickup in wages? will it happen on lower oil prices here? >> i don't think it will be oil prices, but i do think the two fact that is the economy is heating up a bit, so we're probably going to get rid of lost of the slack in the labor market in the next coming months is point one. and point two, you've seen a slowing of health care costs, and in the past rising health care costs replaced wages. if there aren't health care costs compensations going up, i think you're likely to see that also pushing wages up a little. i think over the next year you might start to see some. >> are you -- seeing some raised eyebrows. when you say health care costs aren't going up just be a little bit specific for a second. what are you talking about -- >> the health care cost inflation rate is the lowest in 50 years. >> does that make any difference when it comes to the wage piece of this? explain the linkage between the two. >> it makes a big difference because what matters to the

employers is total compensation and how much they have to pay out of pocket. so if they have to pay 10% inflation on the health care benefits each year, they have been tending to give much smaller wage increases in environments like that. so if we're getting into an environment where health care costs inflation is more like 2% than the demand is going to be there by the employees that if they want to get good employees, they have to pay higher wages. >> austan it's carol roth and i'm seeing all over main street small business owners who are really upset and contending with much higher health care costs and certainly we have 28 million small businesses in this country, 6 million that currently have employees and i actually think that that's going to be a drag not a benefit based on everything that i am hearing from them. >> well we have pretty broad statistics for the whole country about health care costs inflation in the last 2 1/2 years. it's been running less than

overall cpi inflation whereas for the previous 50 years it was running at triple cpi inflation. >> but small businesses never had to contend with this. now with regulation, this is something that's brand new that they're bringing on that they haven't had to contend with before. >> well i don't know. >> i mean it's a fact. >> it's a little disingenuous to say they've never felt with that. in the nfib surveys health care costs were the number one biggest problem throughout most of the 30 problems for small businesses. >> but health care costs are still reeling the consumer. they're paying higher ream erer premiums and that is offsetting the savings they're seeing in gas prices that are lower, in home heating costs if they have heating oil like me that is lower. with your health premiums going up, if you want to have that insurance you will pay more. that could be far more than -- >> you are paying more but the

amount that you're paying more is growing at the slowest rate in 50 years. that's my point. so the oil prices going down is giving a nice bump to consumers. hopefully we won't have this severe weather we had last year so we'll get some improvement from that. if we maintain the more modest price increases in health care that we've seen over the last two years, that would be a significant bonus to most workers, and then you've got the growth rate is kicking back up and historically as that happens, you should start to see wage increases. i think it was a puzzle why in the last job report you saw a strong job creation but wages actually went down. >> i have a quick question about that. some guests we have had on have said part of the reason why we're seeing -- yes, we're seeing greater job openings but not the wage growth because many of the u.s. companies that are multinational companies are able to get cheaper labor from

overseas in their foreign operations even though they're domestically based companies. is that what we're seeing here? is that why we're not seeing the wage growth for u.s. employees rising? because, in fact these jobs are being filled by people who are not u.s. residents. >> it may be an issue. that certainly has been an issue over the last two or three decades, but i would emphasize most of the rest of the world is not growing. you have got problems in europe problems in china, problems in japan. the u.s. is doing the best of all the advanced economies, and a whole lot of this industry is not stuff you could ship here from somewhere else. so i don't think that that alone is the main driver of what's been going on with wages. >> but, sharon a lot of these jobs have been broken up into -- from one full-time job into two part-time jobs so they won't have to pay the health insurance costs plus the sharing economy takes one job and divides it up into 10 or 15 jobs. we're seeing a lot of that. >> we have to leave it there but i sense a more fruitful

discussion to be continue austan. thank you for being here. this is a highly contentious issue. austan goolsbee. we have a market flash. what's happening, kate? >> check out game stop moving higher in the afterhours. the company reporting total global sales of $2.94 billion. that's a 6.7% decline from a year ago. sales were negatively impacted by foreign currency exchange rates. ceo said consumer demand for video games was strong and they expect that to continue. it's trading up over 10% now. back over to you. >> big move there. also some breaking news. our jane wells has the details on this one. jane? >> kelly, ocwen is way up after hours after it released a statement saying it is cooperating fully with the california department of business oversight which has threatened to suspend its license here in the state over what it considered might have been questionable mortgage practices. ocwen has close to 400,000 loans in california.

they specialize in subprime mortgages and the california state regulators told me there has been a serial failure to supply with requests over several months for about 1300 loans in particular to make sure they supply with california homeowners' rights. now ocwen is saying they are complying. i had earlier asked the state it ocwen produced all the paperwork you wanted would you suspend this desire to suspend their license? and what we were told -- what i was told at the time is we'll see how it goes. again, ocwen saying it is cooperating fully and since this notification we have dedicated substantial resources toward satisfying the regulators' request. thank you. >> jane thank you. david, a word here because ocwen was down 36% earlier today before this news. >> yeah. i mean this is kind of one of those tragic stories. not tragic but just a story where you see potential fraud, individuals getting letters that they shouldn't have gotten backdated and it's -- the

mortgage service industry is a pretty dicey place. i think the regulators are going pretty hard at it. there were a lot of practices out there that were dubious and questionable. this seems a little more aggressive than i have seen the regulators get. they're actually coming in and kind of changing the board, changing the chairman taking the company. i think it's a wake-up call you have to play by the rules. >> that's ocwen getting a little bit of a pop. csx out with earnings. up next we'll speak exclusively to the ceo michael ward about the results and how the plunge in oil is impacting his bottom line. we've heard time again that women are more cautious investors than men. a new study finds wealthy women are breaking that stereotype and like to take more risk. the surprising details coming up on "the closing bell."

welcome back. let's get straight back out to our jane wells with a little more on this breaking ocwen story. jane? >> just a quick update. as we told you before the break ocwen financial says it is cooperating with california regulators. it is providing them the information they've requested on mortgages that regulators here are wanting. i just heard from tom dress lerler who is the spokesman saying the notion they are cooperating fully does not comport with the record. so ocwen is saying we've given them everything they want. the state at this point is saying not quite. back to you. >> jane thank you. looking to see if shares come off. it looks like they're coming off

that rebound after hours. jane wells following the ocwen story for us as we turn our attention to what csx is going, let's take a look at shares after hours after reporting their quarterly results. csx is the big railroad operator, up 1% it looks like on the nution.ews. hi morgan. >> csx reporting 49 cents per share. merchandise, which includes everything from autos to agricultural, shy of expectations at $1.92 billion in revenue. intermodal revenue of $465 million in line and coal topping estimates at $722 million. now, digging in deeper looking at rail volumes, a 6% increase over this time last year. that beat street estimates, but looking at revenue per unit, that fell short declining 1%. an lipss had expected that number to remain flat.

looking at shares of csx, they're up just about 1% in the afterhours and they're trading on solid volume. back to you. >> thank you very much. joining us now for an exclusive interview is csx ceo michael ward. it's great to have you back. welcome. i feel as though you guys are the perfect barometer to kick off this earnings season for us. just what kind of impact in 2015 is the huge plunge in oil prices going to have? is it a net benefit for csx or does it hurt you because you're shipping less oil? >> actually i think it's going to be good for us kelly. i think it will help the consumer economy and as you know a lot of our economy is driven by consumers. as far as the movement of crude by rail we've not seen any change in that and our estimates are that's coming out of the balkan shale in north dakota. we think they can compete down in the $30 to $35 range in the short and intermediate term so we expect no impact on crude shipments. >> michael, are you guys thinking about getting in the

rail car oil storage business because there might be some capacity here for the taking. >> well we don't own the cars actually kelly. they're owned by the customers but we're seeing the volumes continue just as they were before the dramatic drop in prices. and if you think about it it's actually our fuel surcharge program we have in place, we neither make nor lose money on it. so as these oil prices go down we reduce our fuel surcharges which is beneficial to our customers. >> i was going to ask about that. so that's neutral, if you lowered those surcharges it has no impact to your bottom line? >> correct. >> okay. so that would mean then if i'm, for example, somebody moving goods that are coming in through california to a consumer market that i might actually get a little bit of a break. how much of a break are you anticipating? >> well, we have about a two-month lag because we like to give our customers time to anticipate what the changes up or down will be but we fully pass on the reduction in prices to our customers based on west texas intermediate prices.

>> can you believe, michael, what's just happened in the oil space? and what do you make of some of the other moves as well? i know did you well in the coal business but we're seeing some talk about pressure there. chemicals, of course maybe benefit from lower input costs. but if you're shutting down the activity around their key revival industry which is oil and gas, then there could be pressure in the years to come in that space as well. >> well kelly, if we look at the economy overall as you noted, we were up about 6% in overall in car loads and as we look into 2015 we see strengths across virtually every market we serve. automotive light vehicle production is expected to go up to 17.4. the nowhousing market from a million new housing starts to 1.2 is the expectations. there's a huge harvest from last fall that needs to be moved. our intermodal business keeps growing. as we look across we think the economy has good vibrancy and we expect we'll be able to grow in

our noncoal businesses faster than the rate of the overall economy. >> it's interesting and i do just want to go back to the intermodal piece again. that's where you take stuff coming off container ships coming into the country and moving it to end markets. should be reflective of stronger consumer demand. this is a segment where we might get to understand where this consumer demand is coming from. any slowdown in these areas key to oil production that you're seeing? >> no. we were up for the quarter about 5%, about half of that business is the international you just alluded to and the other half is working with trucking companies to put an intermodal product for domestic movements and we've seen that business growing in the high single digits for a number of years as the trucking companies and we partner to help them solve the issues of highway congestion and driver shortages. >> real quick, what about con investigation whether it's on the west coast or along the trucking routes how is it affecting you?

>> obviously there's issues on the west coast now. we're obviously monitoring that. working closely with the customers to make sure their needs are met. we are not seeing short-term impacts but over time that may increase shipments through the east coast which we're preparing for with our national gateway double stack clearance into the ohio valley. >> michael ward you guys keep chugging along despite some huge moves in a core business. thank you so much for joining us on this earnings day. michael ward is the ceo of csx. shares are positive after hours. thank you. when it comes to investing, who are the bigger risk takers, men or women? a new study suggests it's women, specifically wealthy ones. and it's hard to believe donnie osmond has been in show business for 50 years. he's celebrating the release of his 60th alabamabum with us. donnie will join us before the end of the program. stay tuned.

ameriprise asked people a simple question: in retirement, will you have enough money to live life on your terms? i sure hope so. with healthcare costs, who knows. umm... everyone has retirement questions. so ameriprise created the exclusive confident retirement approach. now you and your ameripise advisor.... can get the real answers you need. start building your confident retirement today.

risk takers that's one way to describe high-income women when it comes to their investment decisions and that's kirding to a new survey about high income women. >> in study stound wealthy women

investors are more likely to take risks but only if they're well informed by the risks that they're taking. the study from spectrum group looked at women who earn more than $20,0000,000 and found more than half are willing to take risks compared to a third. women are twice as likely to invest in venture capital and other volatile assets. three-quarters of high earning women say they're, quote, knowledgeable or fairly knowledgeable about investing. and 93% have college degrees. so they take risks but they want to be well educated about those risks before investing. advisers need to take note. 81% of these women use an adviser but their satisfaction level is very low. 38% actually say they're relying less on their advisers now. among the reasons, too much focus by advisers on products rather than planning and not enough communication. back to you guys. >> robert, stay right there.

by the way, what's the threshold income level for these women we're talking about ? >> it's at least $200,000 but many are over $400,000. >> i want to bring? gemma godfrey. it's agreedgreat to see you again. the women you have been dealing with, has there been some sort of massive shift of mentality, is it the millennials? >> the interesting and most important take away is that financial advisers to survive they need to do two things. they need to communicate better and they need to embrace new technology. so what we heard was the fact that most of the dissatisfaction has been driven by poor communication, and the reason is that many of us in finance are guilty of trying to sound smarter rather than actually empowering their clients to be smarter, and it's very easy to solve. it's more about thinking about what does the client want to know so empowering them and educating them and delivering it in a way they're going to understand and engage.

that's why we're seeing so much new technology. you know it's all about making it more interactive, giving them what they want when they want. >> let's go back to what they want. apparently that's taking a lot more risk than in the past. isn't that the finding from this study? does it corroborate what you see, the women you deal with? >> well i think that the word they said was when they're educated, and ultimately the more educated you are about the risks, the more willing you are to take them on and that's what is crucial. >> i think the financial advisers that i have talked to say the same thing, that women are more likely to want to listen and learn, and through that they're building power. knowledge is power. they're willing to look at all of the investment options. they're very focused. more so than men on their children, on their grandchildren and investing long term for them. they're looking at options that are going to allow them to leave a legacy and i think that's a very important consideration for many of these women in the study.

>> >> exactly. what's going to be quite interesting is the fact that it shouldn't come as a surprise that different people obviously have different targets, different risk tolerances and different goals and different aims. but what we're seeing as a general trend and this is within the female affluent sector but also much more broadly is it's just about making sure that they understand the risks they're taking on and they can diversify the portfolio. some of the risks we saw in the financial crisis came about when people were too heavily invested in one stock or one asset class. the more people can understand the different tolerances and the different asset classes, the better it's going to be and the more stable returns you will see. >> carol are you a risk taker? >> i'm an educated risk taker. i'm willing to put anything on the line if i think i can get the return from it. robert, did it say in the survey what percentage of these high net worth women were married versus making decisions on their own? because i have to imagine that if you're a woman who has a husband wloho is also a high net

worth earner it's easier for to you take a risk than perhaps a single mother or perhaps not have children. >> more than three-quarters of them were married. when you look at the broader population of affluent investors, their top concern was the health of a spouse. but with wealthy women, the top concern was their children and grandchildren. not the health of their spouse. >> of what does that say, robert? >> that's an education for me. >> david zervos has no comment. >> no upside. >> i'm the only married mom with kids so i am not going to saying anything but that's a very accurate survey. >> robert, thank you. gemma godfrey, thank you for staying late and joining us. people are still shaking their heads over the latest high profile hack attack. social media rocked yesterday.

we're going to talk to out with kevin o'leary next and earlier today you saw him ring the closing bell to celebrate his 60th album. singer donnie osmond joins us in a bit to discuss how he's lasted 50 years in show business.

the twitter account for u.s.

central command was hacked yesterday. how worried should twitter be about its security and is it getting to the point where companies and other high profile twitter users decide the risk isn't worth it. we wanted to ask mr. shark tank himself, kevin o'leary. if your companies were thinking about twitters, do any need to be aware of its vulnerabilities? >> i think they are aware of them and i will say all of the companies i have invested in and there are over 21 of them are all using twitter and other social media platforms to talk to their investors and customers. i think social media is part of the broadcasting platform that companies use to get their information out and you think about within financial services all of the hedge fund managers that actually put out information. almost fileable information tame they file it -- at the same time they file it. i think the hacks which are coming every week are very --

are fixed very, very quickly and in the case of this one, think about it. we're talking about this hack. i bet you that actual account gets tens of thousands of more users because of the hack. >> kevin, from a company -- if you're a company, i understand, there's no such thing as bad publicity. if you're u.s. centcom, is it the same thing? >> well frankly, they set themselves up to communicate. they want more users. they're certainly going to get it this way. this is a national story that's trending on twitter right now. so at the end of the day, i look at it and say to myself the hacking that's going on all around the world, including the sony one down to small hacks like this is part of the noise of this infrastructure because, kelly, the truth is while we've been reporting all of these hacks for months and even years now, you can't find me one, including the target hacks and all the big retailers, where people lost material amounts of money. >> well that's why -- >> system works. >> we have to go but i like to use the word infrastructure because my last simple question

on this was going to be would that still make twitter itself an track tiff an attractive investment. >> i like at it as between wikipedia and a for-profit business. a lot of analysts hate it. >> i know. >> that's the problem with it. >> agreed. we'll see if as you said though if it still seems to pay off to be on the platform. kevin, thank you. good to see you this morning. kevin o'leary from "shark tank." elon musk is making some news. we'll get to that next.

welcome back. as mentioned, some breaking news here on that's la. kate rogers, what's going on? >> that's right. elon musk speaking at an auto conference in detroit saying fourth quarter sales of teslas in china declined significantly due to consumer misperceptions overcharging. tesla trading down over 4% in after hours. back over to you. >> kate thank you. that does put tesla below the $200 mark especially for people listening on the radio, just so they're aware. tesla peaked at $300. it's really taken a hit here. >> you know, i'll defer to you

guys. you guys know more about this than i do. in the simplest terms i think the guy is a genius. i think he is doing some amazing things. risk takers are always going to have risky stock prices behind them. and i still would believe in him because i think he's got an amazing -- >> it's a momentum play. it's very, very difficult to put a valuation on this company. so this is one of those that you really have to understand not just the company but the market and the way the psychology is around it. and we'll see if this is a long-term change. my guess is it's probably a short-term one. >> so individual investors who have that much money to spend on one share stock then know that you're taking a risk here. and know that there could be a lot of volatility in this stock. but if you believe in elon musk it's a stock you may want to be in. a little bit at least. >> and we're getting more and more news on electric cars even as the oil price is collapsing here. the industry still sees a tailwind. a headwind in china for tesla this hour. shares are under pressure. how is this for staying power?

donny osmond releasing his 60th album. he'll join us next to tell us the secret to surviving the music business, maybe the electric car business too.

welcome back. donny osmond a name the world

has known for 50 years now. and to celebrate, he is out with his 60th album. it's called the soundtrack of my life. and donny osmond is joining us down here fresh from ringing the closing bell just about an hour ago. >> it was so exciting kelly. i mean, i've got some exciting things in my life. and i know this is all everyday mundane stuff for you this. was so excite tog many. >> are you involved in the stock market? >> my investor does that this friend of mine tried to talk me into day trading huh-uh. >> that was a smart move. >> leave it up to the professionals. >> i can't stop thinking about your five decade career. >> 60th album. there are two other artists that beat me elvis and frank zappa. >> frank zappa? >> 68 i think. el visits had 63. i beat the stones. >> by the way, michael jackson took one of your earlier songs, didn't he? >> ben was my song. it was written for me. 40 some odd years later i

recorded the song and put it on this album. >> that's one of the ones. >> i have to ask about your longevity. show business is such a difficult business. you've been able to maintain that for decades and decades. for people who have a professional career, what tips can you give them about how to have the success that endurs over time? >> here you're presend thing like i'm a pro. after 50 years i guess i am a pro to a certain extent. but you have to keep reinventing yourself. you can't rest on your laurls. people expect you to do one thing. you have to make it fresh, make it new all the time. "dancing with the stars." i won. >> the donny osmond app is now on my phone. >> social media is so important nowadays. >> yeah. >> is this the album that we're looking at? >> that's it. twitter, facebook, i'm it's tied in to that. so you can download and hear samples of all the song. and every song has a story wind of like ben. and it's free. it's free. >> but it's just a sample. >> it's a sample of the song and

it's free to your iphone or android. >> when you look at the musical landscape, do you think any young performers are going have a five decade career? >> well it's tough. it's really tough. like i said it gets back to reinvention, coming up with new things, different ways to market yourselves. i just started a company company that is about a year old. donny osmond home. my wife and i decided to start our own home furnishings company. the lamps are amazing. we're just about to sign on a furniture manufacturing partner. and that's going to happen in a couple of weeks in las vegas. >> somehow i can't see justin bieber home. >> no, no no. >> maybe if you reinvent themselves. >> the reason why we did this is because show business is such a crazy business, you got to have a place to go home that's comfortable. and that's what we did this for. my wife and i, we have wanted to do this for so long and this is the year to do it. >> what we've been talking about, the 2016 presidential race. i'm bringing this up because you supported mitt romney the last time around. >> i did.

>> you're a fellow mormon. he looks like he is going to be getting into the race. will you support him this time around? >> i saw that the other day. if he does i think he could win. because there is so much support. i really do think he could win. i hope he does. i don't know if his wife is really supportive. >> speaking of home and family. >> yeah, yeah. >> i have a question about the fan base. obviously, being a performer, your fans are very important. >> yes. >> how much do you rely on the same fan base to carry you from your songs to home or how much are you cultivating a new fan base? >> great question. since i won "dancing with the stars," the demographics broadened a lot. but it's the puppy lovers. i call them the puppy lovers, they're still there. that's my core audience. and i have some of the greatest fans that have supported me for over 50 years. but it's quite funny, when little kids find out i was the voice of captain shane in if disney movie mulan, they say oh you really are cool. >> it is so impressive. 60 albums 50 years. thanks to a whole lot more.

>> thanks kelly. one last thing. bill told me on the way out, he said when i walked in the market started rallying. they called it the donny rally. >> that's what happened this afternoon. we were talking about that. donny, thank you so much. they'll lead youneed you back around here. "fast money" begins right now. live from the nasdaq market site overlooking new york city's times square i'm melissa lee. and that is "fast money." dan nathan brian stutland karen finerman and steven barrasso. >> prices could go down to 30. >> easily if it's moves in the way i'm thinking it will. >> now with oil getting closer to 40 bucks, he'll tell us where he thinks the market is going next. first to our top story, massive reverse until the market. the dow seeing a 425 point swing but the dow and s&p