strengthen. you see what's happened with the euro over the last week and that obviously raises concerns. let's go around the horn quickly and do final trades. >> prudential. bought is today. options and stocks. >> out of position. >> really short-term but i fwot the facebook calls. i think facebook did test those highs. >> great weekend to you. power begins now. >> halftime is over. power lunch and the second half of the trading day start right now. >> and what a second half it could stack up to be. mandy, a buckle up folks. put on your chin straps with mandy drury. i'm tyler mathison. the focus of the day is down. the dow down 235 points. about 1.3%. >> okay. the nasdaq is also falling further and further away from 5,000, and it is now negative for the week. the q's track the nasdaq, and right now it is currently down to the down side by .09%. we learn that apple shares by

the way, let's look at how they're doing. they're up .9%. >> let's look at the s&p 500. there is the number on the s&p. down 23 points. that's more than a 1% slide after hitting records, as you probably recall or maybe you don't, earlier this week folks. the euro getting closer to parody with the dollar. there is the euro. down today. 108. just takes $1. .08. remember it was just weeks ago, mandy, that it was well below 2%. >> that's absolutely right. okay. we're also watching oil. we're only 90 minutes away from the close. it will be at 2:30 p.m. eastern. in the second hour of power lunch we'll bring that number to you. the market is oelg off after the better than expected february jobs report. what has investors word? let's bring in burns mckinney, portfolio manager at -- andrew maury, he is portfolio manager of the morning star five star rated aston lmcg small cap

growth. good to see you. really feels like the market is having a bit of a tantrum here wrush know the jobs resetting the fed clock, and the market is saying hang on. we weren't ready for this. this is earlier than we were thinking. is this justified, do you think? >> i think it partially is. the jobs report certainly came in a lot stronger than it was expected. you know with 295,000 jobs created last month despite the fact that you had a lot of really shaky winter weather. unemployment coming down to 5.5%. that's pretty much in line with what the fed considers to be full employment, which a lot of that really pushed back expectations such that the fed probably can be expected to raise rates at the very, very least by september of this year if not sometime sooner. whereas, i think that the equity markets have been acting in recent months as though we're ready for the fed to start raising rates. it's sort of like, you know when you climb the steps up to

the top of the high dive you think you're ready to take the plunge. you look down and all of a sudden it's a lot higher than you think it is. granted, despite the fact that the unemployment numbers are down you know we still haven't seen the wage gains. we still have lower labor market participation, which suggests that perhaps the labor market isn't quite as good as that headline number perhaps suggests. >> there is certainly other economic indicator that is have come out recently that might be telling more of a mixed story, a bit more of a patch where i recovery. nonetheless, economic recovery it's got to be sometimes disproportionately beneficial to smaller companies. is this why you are still betting on small caps as opposed to large? >> yes, absolutely. that's right. small caps do benefit disproportionately from the growth in the economy, and we're seeing that in multiple different areas. again, let's remember why the rates went up today because the jobs report was so positive. whether it be in autos or housing, whether it be in nonresidential construction

we're seeing strength across various aspects of small cap and midgrowth, and that's going to end up driving earnings and driving refr news. we think that for the immediate wrum and longer term we'll continue to make small caps attractive. >> the other big story of the day is apple finally dragging the dow into the 21st sen dli. you own both, but you own a whole lot more of at&t. are you pleased, therefore? if you look at companies that have been kicked out of the dow, like alcoa and hp. they've actually done pretty well. >> that's absolutely correct. we look at it. it is a positive mover for adding apple, which probably should have been added a long time ago, but that is true that we actually look at that as a bit of a carryian indicator. if you go back throughout history, a portfolio of stocks that have been removed from the dow have outperformed those that have been added. it's a contrarian indicator simply because the dow tends to add the frontrunners. they tend to kick out the laggards. if you go back over the last 18 months or so when they added three names and they subtracted three names, i think that was

when they put in hewlett-packard. i'm sear. they took out hewlett-packard and alcoa and bank of america. the three names that were added since that time are up about 35%, but the three names that were subtracted are up since that time about 48%. that could, in fact bode well for at&t. we do own a large stake in at&t xshgs we certainly -- apple is a cheap stock today, but we really like at&t's 5% plus and trading at even lower pe multiple than apple. now, there's another story. thank you very much for joining us. there's another story that you might want to read about this is corporate debt because corporate debt is ballooning. it's around $7 trillion now. our good friend john malloy has written a great article titled "is this how the bull market ends?" you can go to power lunch parking lot cnbc.dom and check out that story and also why burns does think that china is a

good opportunity that you might want to check out as well right now. let's go to dominik for a news alert. >> that's right. it's the weekly baker hughes rig count for north america, and right now the numbers are coming in for north america, for the united states u.s. oil and gas rigs are down 75 to 1,192. broken down, that is again, oil rigs down 64 to 922 active rigs here. gas rigs down 12 to 268, and a gain in miscellaneous rigs up one to two overall. the canada count total is minus 30 to 300 rigs. again, u.s. rig count total minus 75 to 1,192 broken down oil rigs are down 64 to 922 as a subsector of that particular group. tyler, back to you. >> all right, dominik. thank you, very much. rigs down. production up, however. we also are watching the dollar and treasuries. sue herrera has been tracking the big moves there. hi, sue.

>> hi ty. we're going to take a look at the euro versus the dollar. as you know the dollar is getting closer to parody with the euro or the euro getting closer to parody to the dollar. you know the ecb on monday is going to start that 1.1 trillion dollar bond buying program, but keep in mind the your wroe has only been around for 16 years. in the past year alone the euro has fallen 21% versus the dollar, but it has only traded at parody to the greenback a couple of times. that's what everybody is going to be watching. whether or not the euro is starting to put in a little bit of a bottom before that bond buying program. whether or not it's going to move to that parody level as mr. droghi said he is going to be very consistent with that bond buying. the ten-year yield, everybody is watching the ten-year yield because as ty mentioned, just a short while ago, we were below 2%. take a look at it now. 2.25%. in the last two months the yield on the ten-year is up almost

15%, and here's an interesting stat. something that rick santelli often looks at. the gap between german and u.s. bond yields has widened dramatically. it's the widest in 25 years on a percentage basis just under 2% at 1.84%. that gap in yields between the u.s. and the german bonds and the big spike in u.s. yields today has sent yields in spain, italy, and portugal to record lows, and there are some analysts out there ty that say that we may, indeed see the yields go below zero. that would be very interesting to see. if it happens, they're saying probably the beginning of next week. >> wow. that chart that's right next to you, sue, shows we have come a long way in a high pressure roadway the ten-year note from 175-ish, now a half point higher at 2.25. it's been a fast move. >> it sure has. thanks, ty. >> sue, thank you. as the ten-year goes so goes mortgage rates. diana here to tell us how high they may go. hi, di. >> hi ty. they're going up.

they loosely follow the ten-year yield. i've been talking to my mortgage nerds about this and they've seen one reprice already today, and you should expect more. this puts the average lender back at 4% of the 30-year fixed. lenders that were at 3.75% will be at 3.875% today. it's basically an eighth-point spike, which is about as big as they get. he says outside utter catastrophe. before you say the word catastrophe, rising rates can have the affect of getting home buyers off the fence for fear they'll be priced out, say, maybe a month from now. back to you. >> the tech giant apple being added to the exclusive group of 30 dow stocks. when one comes in dom, one has to go and this time it is at&t. it is out. the change goes into effect the day after st. patrick's day, so how does the stock fair a year after it has been dumped by the

dow. dom, what's the report here? >> we're going to look at the most recent round of reconstitutions that happened back in 2013. it was alcoa, hp bank of america. you remember those stocks? the reason why is the one that happened before that it is the financial crisis. it skews things that way. take a look at this. the dow industrials in the one year you can see here between september 20th 2013 and september 21st 2014 is up 10.5%. how do the stocks that actually get kicked out of the dow do? let's take a look at this first of all. one of those stocks again, is at least one that we all know of. a brand name. a bluechip stock. bank of america here. those shares are actually up 16% in the same time frame. during that time frame take a look at another one. we're talking about hp. hewlett-packard, those shares are up 73%. the dow up 10%. hp goes up 73% right after

getting kicked out of the dow. then one more just to finish it off here. alcoa, the stock pretty much doubled. all right, it doubled right after it got kicked out of the dow. in those three instances, those investors who bought the dow at least these components of the dow right after they got kicked out, they did pretty well. again, this is not some gensfwlags, but in recent history, it might be one of the reasons why burns mckinney like that at&t story. >> dominik, thank you very much. let's go to eamon javers for breaking news. >> there are charges against three defendants in what they're calling one of the largest reported data breaches in u.s. history, and this is a global spam operation. the department of justice is saying that two of the people involved in this alleged ring were vietnamese extraction operating in the netherlands and cooperating with somebody in canada. all of it was based on a hack

that they allegedly did into e-mail service providers getting tens of millions of e-mail addresses right from the source and then span spamming those e-mail addresses over a period of years. the government is saying here. entering into a marketing agreement with a marketing firm to reap the benefits of the results of that spam. apparently if you spam tens of millions of people tooerl you can actually make money doing that. or at least until the department of justice catches you. tyler. >> thank you very much. it was a strong employment report. 295,000 jobs created last month. that was 55,000 above expectations. unemployment rate down to 5.5% right now, but it is a tale of two job markets. housing seeing strong growth but the oil patch suffering as crude prices plunge. morgan brennan, fresh back from the pipeline crossroads of the world.

>> we've seen big gains. 1250,000 new construction jobs. residential construction jobs did see a light loss month to month. less than 1,000. specialty trade contractors, that's your plumbers electricians roofers, saw big jump. up 27,000. mostly in residential. that can include remodeling. we may not be seeing tons of new home building but homeowners are feeling much better about the economy and their home values and that makes them fix stuff and upgrade stuff at home and that translates into jobs. now, the unemployment rate in construction is at 10.6% higher than the overall average, but the lowest in eight years. home builders have been complaining for years now that a lack of skilled workers is

holding back their productivity. interestingly, though toll brothers ceo osd a conference call this month, labor is still short, but it's getting better as we get further into this cycle. most markets we have very few, if any, issues. denver probably still the tightest labor market. back to you. >> diana, thank you very much. >> housing continues to rebound. we are seeing meanwhile, big job losses in a crucial part of the susz economy. that would be the oil patch. >> what kind of numbers are we looking at? >> as you mention, we are seeing the pain in the oil patch show up in had the jobs report. this is the second straight month that we have seen declines in energy related fields. taking a look energy related jobs in general fall under the mining super sector. for the month of february seasonal lay justed we saw 9,300 jobs lost. now, if you break that down most were tied to oil. specifically oil and gas extraction, which lost 1,100 jobs in january. that was after a 1,the00 job

loss in january. excuse me. and support activities for mining where we saw 7,400 jobs shed in february. now, to give you an idea support services for mining is basically services tied to drilling and folks that are contracted for exploration. these numbers may seem kind of small compared to the flurry that we've seen of announcements from companies so far this year in terms of their cutbacks but that's also -- we've gotten a lot of data from other reports as well including challenger gray and christmas earlier this week. they actually tallied up the numbers according to announcements we've seen. just to put that in context for you, in all of 2014 we saw about -- that's about half of what we saw in 2014, and if you include january, which also saw a lot of announcement double digit announcements, you are

looking at 36,500 jobs for the year. oil field jobs have been affected most so far. adding to the list we saw halliburton announcing 6,400 layoffs globally. also weatherford announcing 8,000 layoffs with a majority of those in the western hemisphere and just earlier this week in march we've gotten neighbors industries announcing 3,500 job cuts. many of them in the u.s. guys and, you know diana talked about those rosy construction numbers, but as you start to see the ripple effects fan out from the oil patch, you could start to see that impact things like construction. >> some of these announced cuts haven't actually taken place yet. >> that's it. some of the announced cuts haven't taken place yet, and as i was saying the ripple effects, you could start to see other areas, nonresidential construction. 20% of that is oil and gas. we're just getting started here. >> thank you very much. morgan brennan. as we head to the break, a selloff on the street of the

jobs day. check out the ten s&p sectors here for you. the s&p itself is down by just over 1%. the biggest loser here this is of course, a sector that does badly. it did not do as well in a rising rates environment are the utilities. the utilities are down by over 3%. the financials are down but they're down the least. why? well, one of the reasons is that all 31 u.s. banks passed the fed's stress test. do not go away. you can call me shallow... but, i have a wandering eye. i mean, come on. national gives me the control to choose any car in the aisle i want. i could choose you... or i could choose her if i like her more. and i do. oh, the silent treatment. real mature. so you wanna get out of here? go national. go like a pro.

>> higher traffic scores was the real assistance there there for the stock. the guidance however well above prospects for the current quarter and for the full year. back to you. >> the dow off about 250 points. either despite or because of that strong jobs report there. percentage terms of the stand-out today. among a weak lot there at $49.37. bertha coombs at the nasdaq but, first, courtney reagan on the floor of the new york stock

exchange. >> the right caller today, we've seen red from the start of the day, and it's gotten worse. if you take a look at the s&p, can you see exactly where we broke the support level at about 258, 290, and then again breaking through at 28 0shgs and we continue to push lower from there. this is all because what traders are saying the market is bracing for higher rates, possibly sooner than expected. it's a pattern that we've seen over the last several times that we've gotten jobs data. remember the jobs data has been good. it's better than more than 200,000 for 12 months in a row. dow utilities falling below the 200 day moving average. the first time since january of 2014. these are stocks that are very sensitive to a rise in rates. that sector is going to be the weakest. it is the weakest among the major sect ors, though. all of them are lower. utilities, though down by more than 3% which is more than double the rest of the dow jones industrial average laggard. if you look at the ten-year we are seeing highs on the ten-year that we haven't seen in about two months.

the dollar gaining at 11.5 year highs, and the vix, that volatility is creeping back in. it's still relatively mild in the 15 range. tyler, back to you. >> thank you very much. bertha at the nasdaq. >> am has had a pretty tough week in the fact that it is now going to be the newest nasdaq baby in the dow. nine months after that stock split has helped the stock stop that slide. you have to wonder be careful what you wish for. the track record of tech stocks going into the dow, not so hot. back in 1999 both intel and microsoft, the win-tel alliance got added. they were both at their peaks. they fell substantially three years afterwards and have not regained their peaks. cisco had been talking about being added at that time. wasn't added until a start of the bull market. three years after being added. it was down 18%.

e brokers at all-time highs. deutsche bank lifting its price targets on the e brokers. back to you. >> thank you very much. we're going to talk more about what to expect from the big apple event on monday. in the meantime, lululemon slipping on a downgrade from goldman sachs. lowering from a neutral, but still maintaining its $52 price target. google launching a new -- the google compare site will be available to california residents first and will expand to other states. software maker sap falling today by just over 2% after announcing a job cut of more than 2,000 workers. that's about 3% of its global work force. well, job growth as we've been talking about, soared above expectations despite a brutal winter. where are those high-paid, high-skilled jobs in america? mary thompson knows.

she's live in bedford, massachusetts. mary. sfwroo thank you. the jobs here are on robots. they make robots that make this ipad. all that coming up on "power lunch." at ally bank no branches equals great rates. it's a fact. kind of like mute buttons equal danger. ...that sound good? not being on this phone call sounds good. it's not muted. was that you jason? it was geoffrey! it was jason. it could've been brenda. [ male announcer ] your love for trading never stops. so if you get a trade idea about, say organic food stocks schwab can help. with a trading specialist just a tap away. what's on your mind lisa? i'd like to talk about a trade idea. let's hear it. [ male announcer

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you, my friend are a master of diversification. who would have thought three cheese lasagna would go with chocolate cake and ceviche? the same guy who thought that small caps and bond funds would go with a merging markets. it's a masterpiece. thanks. clearly you are type e. you made it phil. welcome home. now what's our strategy with the fondue? diversifying your portfolio? e*trade gives you the tools and resources to get it right. are you type e*? at ally bank no branches equals great rates. it's a fact. kind of like shopping hungry equals overshopping. >> february marked the 12th month in a row the economy added more than 200,000 jobs.

best such streak since 1995. are some of the jobs at risk from robots? it's a fear factory workers have faced for decades now, but one that may prove to be less menacing than many thought. mary thompson joins us now from a robot headquarters. i-robot's head waters in bedford, mass. hi, mary. >> hey there, tyler. i'm standing in i-robot's cool stuff room basically. this is where you can see all the cool stuff the company has made over the last 25 years. cool stuff like the teleconferencing robot eva. as you can see ava moves around so workers like charlene -- how are you? >> how are you? >> i'm good. workers down the hall or across the country can set up teleconferences using charlene using their i pads to set up that teleconference. now, i-robots is a pioneer in the robotics industry, and they've been at this location for seven of the last 25 years where the change in the neighborhood is reflecting the rise of robotics.

executive russ campanello saying there wasn't a robotics firm for -- today it's a different story. >> from this location you can probably touch about 100 companies that are doing some form of robotics. >> why? growing demand. boston consulting group forecast by 2025 robots will handle one-quarter of all tasks that can be automated in manufacturing. that's up from 10% right now. with robotics getting cheaper and more sophisticated, bcg expects them to save manufacturers about 16% in labor costs. now, i-robot actually handles a different client base. they make things for the consumers, like the rumba vacuum and the pac-bot and for corporations they make ava, the teleconferencing robot. nevertheless, there is still demand for their products, and that demand is prompting the company to go on a hiring spree. >> last year we hired almost 100 people, and this year we have

plans to do about the same. >> so they're hiring engineers, sales and marketing people. it's happening with robotics as well. you take away the lower skilled, lower paying jobs. it's certainly creating more jobs that pay higher wages, of course, but also require higher degrees. back to you. >> okay. mary thompson thank you very much. interesting stuff. well, this market is so rough today. even apple started to fall from its perch. the intraday over my shoulder it's currently up by half a percent, but it was up by more than that earlier on. even just in our hour. we're going to bring you more on that very shortly. in the meantime, gold is getting hit as well. taking out the back to the wood shed with soaring dollar is taking that precious metal down by 2.7%. around critical support levels gold prices are closing right now. let's get to jackie deangeles who has been tracking all the gold and other action at the nymex. hey there, jackie. >> good afternoon, mannedy. that's right. we're seeing metals down across the board. markets having a tough time today. no safe haven in gold as you

mentioned. we are down more than $30 at this point. gold breaking two critical supports today. $11.75 and then $11.65 as we head into the close here. silver copper also having a very rough time. as you mentioned, it's because of that stronger dollar. dollar index over 97. traders expecting it to go hire, and the euro lowers to parody. that means more soft innocence gold is likely to come. back over to you. >> okay. jackie, thank you so much. >> dominik, what are you watching, sir? >> how about the fact that the gold miners are moving on the heels of those gold prices. gold set to close down well over that 2% mark. those are helping to press a lot of these mining stocks here. if you look at the big names like nunont mining can you see down by about 8%. also, shares of other miners getting hit as well. all the gold corp., anglo gold. as those gold prices fall, even the gdx, down big today. >> okay.

thank you so much. tell you what else is moving in the other direction. the bond market. yield on the benchmark ten year note. absolutely soaring. rick santelli tracking the action of the cme. lucky didn't call in sick today, sir, because are you doing double time. watch those rates go. >> yeah. you know, when you step on a spring along enough, once you take your foot off, things pop, and that's exactly what some of the data points and the ecb have done to treasury market. where we even get to that look at this chart comparing the movement in the euro currency versus ten-year boon deals. normally when yields go up the currency goes up. yields go down. the currency goes down. boon yields have been moving up a little bit since the ecb's low yield yesterday, but the euro doesn't stand a chance. it keeps moving down. you want to watch that chart. now, back to the tens. keep in mind on the day, they're up 14 on the week. they're up 26. you see the intraday chart there. open that chart up to early december of last year. we took out sediment for last

year. if are you holding treasuries unlike in all of 2014 or this far in 2015 you're not making money. the established extremes of january of both years have now been violated. let's look at the yield curve. whrm flattening was the rage? tens minus twos is steepen and a break-out. approaching 155. steepening means the market is tinkering with this number changing the probabilities of a tightening. there is still some debate. let's look at ten-year boon. ten year minus boon. this is a quarter century wide. it's currently approaching 109. as you see on that chart, very quickly i know everybody is looking at the euro but look at emerging market currency. dollar versus pace. there's a lot of fx activity going on along with break-out to the up side in treasury rates. tyler, back to you. >> let's take a look at apple, shall we? those shares up a little bit, but down from their highs from earlier today. the tech giant joik the

exclusive dow 30 club. there you see it. up a half a percent. today's action may end up telling a different story. the really big news will be monday. apple holds a special event. most likely to give new details about its upcoming watch. will apple deliver what investors want? how big a product could a watch be? apple stock up 16% this year. as we head out, a check on the transports this hour. there you see them. now you don't. we'll be back in two minutes. the future of the market is never clear. but at t. rowe price we can help guide your retirement savings. our experience is one reason 100% of our retirement funds beat their 10-year lipper averages. so wherever your long-term goals take you we can help you feel confident. request a prospectus or summary prospectus with investment information, risks, fees and expenses to read and consider carefully before investing. call us or your advisor. t. rowe price. invest with confidence.

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hi everyone. i'm sue herrera. zim ports down as well however. facebook is reportedly test aing feature to encourage users who deactivate their accounts to automatically reactivate them within a month. you would simply reactivate your account by logging on again. recent surveys find about one-third of facebook's 1.3

billion users have taken a break at some point from the social media site. la guardia's runway 1331 reopened following yesterday's rough landing of delta's jetliner. six people were injured. the plane was removed by cranes overnight. investigators hope that those black boxes can help them determine what happened. harrison ford remains hospitalized following his plane crash in los angeles. ford, an experienced pilot, was at the controls of the vintage aircraft when it made an emergency landing on a gulf course. the actor is expected to make a full recovery. we send him our very best wishes. let's go to dominik now for a market flash. hey, dom. >> hey, sue. we're watching shares of staples gaining ground in the last hour but still down about 2% today. this on the heels of mixed fourth kwaurt numbers. sales were hurt by the stronger tlar and less demand for computers and computer-related accessories. staples also saying its current

q1 sales would fail to match those from last year's first quarter. back to you. >> more apple news. the tex giant preparing for a big announcement at an event this monday where he is expected to announce details on the apple watch. what exactly can we expect to hear? laura good managing editor at recode. already a lot of opinions and information out there about the up -- tell us something we don't know that we can expect on monday. >> well i think we're widely expected to hear more about pricing. so far what we know based on the event of the apple held last far is that the apple watch is going to start at $349 but we don't know exactly how high it's going to go. especially when you get into the more high quality models of the watch. another thing that people are really looking forward to hearing more about is battery life. there's been some speculation that battery life on the watch might not be that great, and so i think everyone there is going to be waiting to hear a little bit more about that. as well as apps. apple has teased out some of the core apps that it plans to include on the apple watch. we also hear that apple has been

working with a lot of different third party developers to create a good app experience on the watch, which ultimately will impact how it works. >> do you think we'll see any other product information or releases or anything else that will come apart from the apple watch on monday lauren? >> there have been some rumors that we can expect to see other products. one of the more persistent rumors has been around a new mack or possibly mack book air. it's been about a year since the macks were refreshed, and while, of course, you know the mack isn't -- it's not as big or as an important of a business for apple as say, the iphone it is still an area in which apple has very much focused. late last year research firm ibc said that for the third quarter apple actually had one of its best pc quarters ever. now it's the third best seller of pc's still behind hp but it hall 13% market share. the mack is still an important business and important product for apple. >> thank you very much. i personally would love an apple watch. we'll see if it makes wearables

explode. i think it's ready to ship in april sometime. thank you. we'll be watching on monday. tyler, over to you. >> i'll get you within for mother's day. >> the jobs report for february ebb much stronger than expected. there's the number. 295,000 payroll jobs added. here with us now, our senior economics reporter steve liesman, and let's bring in lindsey, chief -- steve, let me start with you. this one is unexpectedly strong. >> shifting into another gear. it's blowing out the models of economists who look at all the other data saying this commensurate with a 240 or 250. we got the 414,000 several months ago, and we're looking for 248. now it's 295. i look at the graph, and this expansion percent change in job growth year-over-year compared to the last expansion. by this time 68 months into it, you can see the blue line. that's the prior expansion. we were decelerating in job growth and now we're still up above .2% every month.

we're accelerating as you said. >> we waited lindsey, and we waited and we waited for jobs growth. everybody was complaining that this recession or this recovery, i should say was slow. there wasn't the jobs growth. now it seems we are waiting and waiting and waiting for wage growth. >> that's exactly right. aside from the better than expected headline report, there was plenty of disappointment in the february employment report. specifically wages. we saw february's average hourly earnings up just 1/10th. lower than expected. certainly suggesting that the january rise was an anomaly, and if we look at this on an annual basis, that means wages are still back down to the 2% growth rate, which we've been seeing for the past several years. it's interesting why the market is reading this as a beat from the fed's perspective. it's still insufficient to absorb the slack and translate into wage pressures. >> wage growth. you say there's plenty to be disappointed about here but you're specifically talking about wages. not the overall numbers that we

saw. >> not the top line number but even the decline in the unemployment rate. excuse me. reflecting the fact that we are still seeing americans drop out of the labor force just as much as it is a lere-flexion of the fact that unemployed americans are finding gainful employment. when we dig into the details, there still is days point in time in that february report. >> all right. steve, pick up on that thought, and let me just question one area that -- >> i greelgts disagree. sfli thought you were going to disagree. let's talk a little bit about that labor force participation. >> lindsey has gone through the forest and found a couple of fell trees and decided there is no forest there. having a paycheck is a whole lot better than people not having a paycheck. on your participation rate number it fell by -- it fell by 178,000. what was it up last month, lindsey? a million? remember that? >> over a million.

exactly. >> what does 178,000 within the standard of deviation within participation rates. it's half of the normal deviation, okay? that number jumps around a lot. i'm not too concerned about it. sflu get the last word here. >> well it certainly does jump around a lot, but when we look at the participation rate we take a step back and it's still at a multi-decade low. there's still a tremendous amount of disappointment when americans are looking at the labor market and saying conditions are so bad right now, i'm not going to bother looking for a job at this point. we're still talking about a displacement of over seven million americans who eventually will move back into the labor market and put upward pressure on the unemployment rate. >> even though i completely disagree, i'm going to honor your thing about giving her the last word. i'm not going to take -- >> thank you very much. i love when -- mandy, over to you. >> i love that forest analogy as well. okay. tomorrow marks 50 years since the civil rights march from smael to montgomery alabama. former new orleans mayor is on his way to selma, but before he

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welcome back to "power lunch." take a look at lumber liquidators. >> he that added materially, because he thinks the company's sales will take a major lasting hit for fears about the company's lamb nant flooring store. he also says he sees potential issues like a bigger legal cost and possible government penalties. he now says it represents a near 4% position. that short position in ll. back to you. >> putting on the shorts. let's talk about that february employment rate a little bit more. better than expected.

nearly 300 thougs jobs added. good news for america? joining us now mark, president and ceo of the national urban league. also former mayor of new orleans. we've also got ron christy, founder and ceo of christy strategies. ron, a former special assistant to president george w. bush. gentlemen, welcome. let me begin with you. you must feel good about your numbers, as all of us should. job gains are very nice. >> it's good have job gains and it's good to have continuing job gains, and these gains certainly beat all economist estimates, but wage stagnation and still pockets of high unemployment in urban communities concern me. this is not a time to do somersaults. i don't think it's a time to raise interest rates. i think it's that we are in a good way, a much better way than a year or two or certainly five years ago. >> not the time to turn

somersaults, and you say it's not the time to spike the football, in part for what we were just talking about with lindsey, and that is labor force participation, which is down. you think these are good numbers. >> i think if you look at the 295,000 jobs that were created, this is much better than economists had predicted. from your previous segment, lindsey was also right. i'm worried about the stagnation of wages. if are you looking at the wage growth over the last 1 1 months are you talking about 1.8% 1.92%. it's not enough. i'm worried about the labor force participation rate. if you look at where we are, and you look at where we should be you have 92 million americans who are out of work. 56 million of these are women. we still have a long way to go. it's not time to spike the football, but this is good optimistic cause for us to say maybe we're turning a corner. >> and ron, you and the mayor agree on the wage growth point that it's just want where it needs to be.

let's turn to a second topic. mayor, you are in montgomery right now on your way to selma to mark the 50th anniversary of the famous selma march. are we farther along in temz of police and race relations than we were back then or have we made assist much progress as one might have hoped? that was really a confrontation between law enforcement and civil rights marchers. >> 3,000 people were arrested during the selma voting rights effort. people died, and many many people were beaten including the legendary member of congress john lewis. i'll say this, we've come a great distance in this country. we have to acknowledge that but in the last few years, it seems

as though there's been an effort to turn back the hands of time when it comes to voting by restricting access to the ballot, through voter id elimination of early voting and all sorts of new schemes. this is just a product of efforts in the last four to five years, and, of course the police accountability area there is not only ferguson but some 20 cities when the last 20 years have been under similar consent decrees with the department of justice and literally hundreds of prosecutions against individual officers being brought by the justice department. yes, we made great progress. look, there is tremendous work that has to be done. we're going to celebrate, but we have to reaffirm our commitment as a nation to the expansion of the ballot and to the civil and constitutional rights of all. >> ron, the mayor points out that the selma march was in support of voting rights. the act that was passed in 1965 that had not made its way into

the 1964 civil rights act. you raise the point, ron, that you're distressed that more members of the party you're afl wrated work the gop, aren't going to be on hand with the marchers on this weekend. >> i am tyler, and i have to tell you, i read a column for the daily beast, and my column this weekend is saying the republican leaders need to get their tail down to selma. this is a time for celebration as the mayor points out. it's a time to recognize the historic accomplishments that we've made as a country. to not have the house gop leadership, to not have the senate gop leadership down in selma, i think, it sundays a bad signal. you had the chairman of the concludal black caucus saying it's disappointing, and, frankly, when you look at the millions of people for these members of the senate and house of representatives, for them not to go down there to mark this historic occasion is a tragic mistake for the party, and i going to leave a bad legacy for those thinking did the gop really care about people of color? >> i believe i could be corrected here ron, that former

president bush is intending to -- >> he will. my former boss will be in attendance, yes. >> thank you very much. we appreciate your being with us and have a good weekend as you commemorate this very historic day in our history. mandy, over to you. >> thank you very much for that. great interview. well, of course we're still watching the markets on this very down day. wti down 3%. if you went the other way and picked up some inverse etf's, you probably are in good shape today. so the sh is the inverse of the s&p. up 1.25%. dog is the inverse of the dow 30. up almost 1.5%. the psq is the inverse of the nasdaq 100. that is up just over 1% right now. as can you see there on the board, just over my shoulder. more power lunch in two minutes time. een at the forefront of advanced electronics. providing technology to get more detail... ♪ ♪ detect hidden threats... ♪ ♪

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second week of declines. let's bring in mike holland. what do you think monday is going to look like after we had digested everything that's happened today? >> the trend is your friend or

not your friend mandy, as it were. i believe that the path of least resistance for the market is down for a couple of reasons. we're at the six-year anniversary on monday of the bottom of the markets. it's been the easiest bull market of our lives. right now we have two things that are much different than when the bull market started. one is the valuation. the valuation was -- single digits like companies like apple. far more important with the federal reserve said we are going to do everything we can to raise the prices of financial assets. we now have a world where the financial markets are looking at the federal reserve saying we are still committed to -- we're going to raise rates a little bit. every time we get a series of -- of supporting the markets, and taking a little bit of the punch bowl away and they're saying that that's a bad thing. the marks can remain -- i don't

think the bull market by any stretch of the imagination is over simply because there is this continued worry, but i think that places like europe look much better. that's where the think the secular bull market is -- >> why not? >> i believe that the federal reserve is not being lisped to carefully and not -- if you can imagine, the parsing of the words. that is that they said they're not going to take away the support of the football markets. you're going to be very careful. ben bernanke left a legacy for janet yellin saying if we repeat the sins of the 1930s, that is the federal reserve tightens too soon, we could go into an even worse hole than we were in six years ago. i don't believe janet yellin is going to undo the good that's been done but i do believe that places outside the u.s. like europe are fwegt into the position we were six years ago. europe and it's up 15%

year-to-date. tomorrow ecb begins buying its quantity takive easing program that causes the six-year bull market to cause prices to triple in the stock market over the last six years. >> all right. remember well, always say don't fight the fed. now it's going to be don't fight the ecb. that's it for the first hour of power. i'm going to disappear. tyler, are saying and doing double duty. >> absolutely. >> thanks, mandy. >> it is 2:00 p.m. on wall street. do you know where your anchor is? he is out in colorado on vacation? it's noon in silicon valley. welcome, folks torque the second hour of power in for brian sullivan. melissa lee is over at nasdaq. we kick things off with the triple digit slide for the dow. you're looking at all 30 dow stocks right there. is any one of them green? no. that adds up to about a 250 point decline in the dow. that heat map is going to get one big makeover in less than two weeks from now.

let's see if we can find telephone. there it is. $33.53. after market closes, march 15th am comes in. at&t, which has been a dow constituent since i think 1915. it is out. melissa lee, since you are at the nasdaq why don't we start with apple. >> which is by the way, in the green today. up by half a percent. i'm joined by walter analyst at btig, corps both apple as well as at&t. welcome to you. we are just discussing about the funds index to the dow. it's pretty diminimus. >> it's not a big indexed fund. it's almost like apple it s providing more credibility for dow than the dow giving credibility to some company that's getting added it. >> in terms of at&t i'm curious your take on this. is this underscoring the notion that maybe telecom is no longer at the forefront of technology. >> certainly appear is replacing a technology loss. look telecom is diminishing in the grand scheme of things and certainly verizon is distancing

itself a bit from at&t. it's moving to latin america and verizon is doubling down in the u.s. it does actually say a little bit about at&t getting punt from the dow. >> we have a big event come monday. we are anticipating the watch to be unveiled. it seems like there's a little bit of a sell the news mentality going into the event over the past couple of days. take a look at apple's decline yesterday. apple underperform. the broader markets yesterday. supposedly on this report this a larger ipad was going to be delayed, which is kind of curious since the larnler ipad was never supposed to be a catalyst to the up side to begin with. >> i'm not sure how there's a delay for something that wasn't announced, but maybe it was a delay for that particular person's expectation of when it was going to be announced. look, the -- there's always potentially a selloff in front of an event where some people think there might be some type of a disappointment, but i think a lot of people just want to feel and touch these watches. back when the iphone six was launch and we fist saw the product, it really wasn't performing that well. it was glitchy. they were hold it on their hands. you couldn't really touch. people to be able to feel this

thing, see the varying price ranges, which are important, how they're going to market this thing, there was a report on boy genius where they broke down the cost of a phone -- or excuse me -- the cost of a rolex watch and the type of margins they can get. this is not a utility that apple is selling. there was a bunch of fashion focused people there when the iphone 6 came out. they get high margin. i think apple will do the same thing, and just like they get more margin by selling you a higher capacity phone or gu from a 16 to a32 to 64 there's a way for apple to get additional margin by selling you higher end, more fashionable watches. >> all right. we're just about out of time. just quickly apple, do you buy it going into the event? >> look apple is a stock to own, right? our price target is $150. the stock will go up and down at events. the phones are going to generate earnings. this will provide some incremental growth. it is a 15% to 20% grower trading at a very low valuation multiple. absolutely own the stock. >> your rating on at&t which is

a 5% or 6% dividend yield? sdmrooits a neutral. their core business is actually eroading. they're looking to latin america for growth. not a stock you want to own. >> walter thank you. walter, btig. tyler. >> melissa, let's take a look at west texas crude. right now trading down 2.5%. down 51% over the past we're. baker hughes says 64 more u.s. oil rigs were laid down last week as volatility continues in the market. there's a whole new way to play the wild swings we've been seeing in the oil pits. swraky deangeles, live at the new york mercantile exchange with more. hi jackie. >> good afternoon, tyler. for oil geeks like me this is a dream come true. the first thing that we're talking about here is crude oil storage, and what's interesting about this is a lot of people are doing this. they're looking at the december futures. they're seeing the price around $60. they're saying i'll store the crude now. i'll sell it later. i'll make a profit. what does that do? that actually raises storage costs. what's happening now is the cme is launching a futures contract where traders can actually trade

those storage costs. actually, they could either sort of do a pure play hedge. if they are exposed to these. now, how it actually works is like this. the contracts are auctioned. then they're bought and soiled. at the end of the month you can actually take that storage and use it physically to store your crude. that's like the physical delivery that we see with oil contracts. meantime traders are excited that the contract originates in the gulf coast because wti trades from cushing. that's the main delivery point. a lot of traders say that market is disconnected from what's happening in the gulf. the expectation here is that initially it will be producers, transport companies, the refiners. they have exposure to some of the storage costs, but then later if this gets more popular, you could see, the hedge fund guys jurp along the bandwagon, and also foreign companies get in on it too. this is a new way to look at crude in terms of the volatility that we're seeing and a lot of traders are telling me this volatility is not over. especially as you mentioned crude down today because that

dollar index is up and a lot of people are expecting it to potentially go higher. if these prices come down to the $30 level, more people will want to store crude. back to you. >> you bet they will. they'll bet that the price will go up eventually. jackie, thank you. going to talk a lot more with oil storage later in the show and why right now could be the perfect time to lift the ban on u.s. oil exports. melissa. >> several news items today that could affect tesla stock. it's been a rock where i few months for the automaker. down nearly 30% since october. phil lebeau joins us with the story. phil. >> you know, melissa, a couple of items that are getting attention this morning. one of them coming out of reno. a report in the reno newspaper that they might be slowing down work on the giga -- that's being built just outside of carson city up there in the reno area. basically what it comes down to is that the union website, which is basically listing a lot of the jobs that will be going into building the gigafactory, reports that work is slowing down. weave reached out to tesla for a comment. we have not heard back from the

company. i'm a little bit skeptical that this means a big delay in the gigafactory. probably doesn't mean any delay. it is scheduled to open in 2017 and another story regarding tesla that's getting a fair amount of attention, is something that was written by tesla in its latest sec filing, and essentially what the company said was, look if you are going to modify your model s or any other tesla vehicle in the future, you're going to void the warranty and essentially the company said it's proibl not a good idea to do it. what's interesting here is that this is standard language that we hear from all of the automakers, but, you know what melissa, you are dealing with the electric vehicle in the future. a lot of people look at it being more of a utility than it is a vehicle that people are looking to buy right now like it is with the model s, and if that's the case, will we see a market as expansive as we see with the internal combustion engine? an interesting thing to watch. >> let me skp you to pivot to la guardia airport. reopening a runway that that

delta plane veered off of yesterday during a landing. an investigation clearly underway there. some are already questioning the age of the plane. what's the latest and what more can you tell snus. >> well look the plane is an older plane, and the md-88s are slowly being phased out by delta, but keep in mind it had regular maintenance just this week so it's not as though you're looking at an older plane here, and you are saying because it was old, that's what contributed to the accident. they're going to be looking at the brakes in the plane. some of the other factors. these are pictures from the hangar where the plane has been moved to. that's where the ntsb will conduct the investigation. as far as this incident yesterday, listen to the sound from one passenger on board earlier today on the today show. this is riveting in terms of what they were thinking as the plane was skidding. >> i would say probably halfway through the runway i felt the nose of the plane jerk left and, you know it started to really shake and bump and oxygen masks were falling and things

were falling, and it's at that moment that you know you know you -- your mind starts to go to this is really not the way it's supposed to happen. i could hear the pilot saying we have no power, we have no power, so i was the first -- i could see the water, and, you know there's a moment where you don't know what you are going to hit. what's going to slow us down? will it be another plane? will it be the airport? you just have no idea. then i saw the rocks, and then i saw the water, and it's at that moment that your mind goes what happens if you go into the water? do planes sink? do they float? will i ever see my kids again? >> that is powerful sounding. it gives you a glimpse of what those people were thinking on the plane as it is skidding and then ultimately careening on the runway at la guardia. >> would they try and save the plane? will they scrap it?

what happens to the aircraft? >> good question. obviously the wing has been severely damaged. you are going to have to at least replace the wing. md-88, my guess is that is probably not going to be getting a lot of investment from delta. they are not the most efficient in terms of fuel use within the fleet. they still use them and they're still to a certain extent an aging work horse, but they are being phased out over the next couple of years. i would be surprised if delta puts a lot of investment into that plane. depending on how extensive the damage is. >> phil thank you very much. let's set the menu shall we, for the rest of the hour here. still ahead, why silicon valley is saying thanks but no thanks to government security clearances. we'll explain that one ahead. plus, if are you one of the nearly 30 million people who use turbo tax, you will want to listen to this. up next we'll hear from a person who says he raised serious concerns over the security of turbo tax software within the company, but he maintains no one listened. his story is ahead.

later, why drill baby drill is no longer the mantra in the oil patch. we'll head to break and keep a close eye on the markets wrrn right now all of the three major indexes, deep into the red. the nasdaq has come back just a little bit from the last couple of minutes. power lunch back after this quick break. [ female announcer ] who are we? we are the thinkers. the job jugglers. the up all-nighters. and the ones who turn ideas into action.

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zoots now up by three-quarters of 1% in the green for the day. thanks but no thanks. that's a message silicon valley is sending the government when it comes to high level security clearances. eamon is working that story for us. >> i've been talking to current and former u.s. government and intelligence officials, and they tell me they are frustrated with silicon valley firms that they say are dragging their feet in terms of getting security clearances for their employees to be able to receive and deal with classified u.s. intelligence information. the u.s. government would like the silicon valley companies to have more people that have security clearances to be able to receive -- in real-time or as close to as they can. they say the firms are dragging their feet, and they say it's largely because of the edward snowden nsa revelations, and they say it's going to harm the u.s.'s ability to protect american companies in terms of cyber security. take a look at this quote here from one technology company

employee that i spoke to in doing the reporting for this story who puts it this way. look, if we had a lot more people with security clearances they would send us a lot more requests for information so we can control how much they ask for by limiting it to just certain people. folks out in silicon valley telling me that yes, in fact they are limiting the number of people they have who have security clearances largely because they're frustrated with the nsa spying story, but also some deep skepticism on picking up on, guys in had silicon valley in terms of the value of u.s. intelligence. it's honorous to get -- you have to confess a whole bunch of information about your past your family your friends, whether or not you have done drugs, all of that. it takes about 18 months and sometimes it can be very expensive. when they're talking to me privately, the intelligence they get from the u.s. government is not really worth the paper it's printed on from silicon valley's perspective. they feel they know more about the cyber security than the

government does. it glz to this battle we've seen between silicon valley and d.c. over the past couple of months. >> all right. thank you very much. are you going to stick around with us for this next interview with shane mcdougall. he is a former security engineer at intuit the big software company, but left and he filed a whistle blower claim with the securities and exchange commission alleging the company did not take the needed security measures against cyber crooks regarding turbo tax. >> bottom line is intuit says the allegations are "flat out wrong." he joins us now from san diego. shane, welcome. good to have you with us. you maintain that the company intuit, your former employer put its bottom line its profits, ahead of customer security. how exactly did it profit from

that? >> well you know i can't get into too many specifics just because of the nature of the filing but, you p, intuit actually gets paid every time a filing is successfully made to the irs system and i guess the question i would ask is -- so they get paid when the filing is successfully filed with the u.s. government. if the account -- >> who pays that? the irs pays them for a successfully filed return? >> yes. they will get a chunk -- basically a refund transfer. they get a fee for every return that successfully files. i guess the question i would ask them is how do they account for refund transfers that are declined by the irs? >> explain what that means. that feels a little technical to me. how do they account for it in their bookkeeping for refunds that they receive but that

are -- where the return is ultimately found to be fraudulent or flawed? >> so here's the thing. i have read some of the statements where they're saying, you know we don't get paid for returns that are rejected, and that's actually true. but rejected means something different than what most people think. a user will go on-line and type in their information and hit send. when they hit send that, return goes to the irs's system. the irs system breaks down and goes through the tax return very quickly. it will either accept it or it will reject it. that's what we call a rejection. they then give you a rejection code. we've already seen the social security number, for example. if it is not rejected at that point i believe it's at that point they book it as revenue, so if it's successfully making it through that part and it's not rejected at that point it's booked as revenue. if the refund transfer is declined by the irs, i guess

that's the question that needs to be asked about how that is accounted for. >> let me ask you a question that is germane here and i think it's important for the viewers to know. you are a former employee of intuit. did you leave there voluntarily or terminated? >> no, i left voluntarily. i mean, look there were so many crazy things going on there that you know i in good conscious could not stay. i'll give you an example just how big of a problem it is. >> eamon, i want you to get a question in because he is our cyber security expert. >> hey, it's eamon javerss here in washington. you have filed a whistle blower complaint here on this issue as a whistle blower. you stand to get a cut of any settlement that the government receives. do you have any sense of how big of a settlement you're predicting here and what your personal take on that would be? >> look quite frankly, i expect to get nothing. i'm already over $5,000 in the

hole from legal fees in two years. you know? i'm not doing this for money. i'm doing this to help protect the american taxpayer and the e-mail yonz of people who are taken advantage of. want just by intuit but by the entire industry. you know, it's very odd. if you look at they are response, you know they say, well, if we crack down on fraud, it's just going to go somewhere else. well, to me that's a good thing. i mean, i can't think of any other business where losing fraud is considered a bad thing, so, yes, it might go to the competitors, but the competitors will be frofting from fraud, so you know what do you -- it works differently from when i was -- >> shane what do you know about who is committing the fraud here? do you have any visibility into that end? you are alleging that people are able to fwet into these tax returns, file them and then collect the benefits from the irs fraud lently. who is collecting that money? where is it going? what do you know about that? >> the fraudsters, sure there are two types of fraud, right? there's what we call account

takeover, and that's where somebody, say, has used the same password on another site or where, you know the hackers will brute force the pass words. that's called an account takeover, and that's where intuit focuses its efforts. there's also something called surf, storm identity refund fraud, and that's where somebody doesn't brute force their way into an account. they just create another account and file it. >> using someone's social security number that they have gotten access to in some way, is that correct? >> yes, that's correct. i mean hold on. here's something -- this is -- okay. >> go ahead, finish. >> this is something that's very odd. you know, you would think that a system like intuit would restrict the use of a social security number. one person uses it that's it. but that's not the case. as many people can come in and create accounts or at least up until recently, you know using the same social security number as -- that already existed in the system, and i'll give you a real quick idea of just how bad this is. voo very quickly, please.

>> we have a senior vice president that addressed the security group, and she told us that she won't use turbo tax on-line because she doesn't trust the security. that should make people ask very serious questions. >> shaen, thank you very much for that. we appreciate it as we keep an eye on the markets. we have to move on. power lunch did reach out to intuit. we invited the ceo on to join us today. the company declined that invitation. it remains open. we asked them for a statement. they referred to us a press res re-lease from february 13th of this year where they refuted the allegations by mr. mcdougall and another former employee robert lee. the allegations are flat out wrong and based on their complete misunderstanding of the facts and a total mischaracterization of our business. so says intuit. melissa. >> a selloff on the street continues. dom is tracking the sector movers. >> every single sector in the large cap s&p 500 are down. a very red board across the

board. as i point you to the dow jones industrial average here, you can see that just in the last five minutes or so we've made a move down towards our lows of the session down now by about 270 points or about a percent and a half to the down side. among the worst performing stocks so far today, utilities, consumer staples stocks. those are two of the more interest rate sensitive sectors. they carry dividend yields. when yields rise like they are today, the relative attractiveness for utility stocks and some telecom stocks as well maybe aren't quite there -- quite as robust. those trades are playing out. also, financials text nolg the two biggest sectors in the s&p 500 perhaps maybe not as bad of a news there because they are the two outperformers in the overall sector. the s&p down by 28 points right now, but, again, as we head towards that last hour of trading, this will be interesting to see this trade play out because we are losing moment wrum in the stock market but there hasn't been a lot of eyerags. it's been a slow and steady grind, melissa, tyler, lower all day long. back to you. >> dom, thank you very much. still ahead, we will tell you

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john paulson off to one solid start after posting down right dismal results if 2014. kate kelly joins us with more. >> sometimes just one month can make a huge difference, and that seems to be the case here for john paulson. dpot month of february i'm told, the $19 billion hedge fund manager turned a flat or in one case a gastly january for one fund around thanks to well timed bets. performance was led by the enhanced fund former bare stearns originally made his name. this is just out. according to hfr event driven funds had a 3% up surge in february. that's the best performance since october of 2011. paulson partners was up about 4.5%. that's the unlevered version of

that merger and other notable funds, including the advantage multi-strategy funds and the credit fund were also up. still, paulson faces continued down side in his special situations fund which is off slightly for the year after a really awful january where it was down about 7%. that fund formerly called recovery bets generally on financials and mortgage companies and other stocks that theoretically benefit from an economic upturn. it delivered 65% up side in 2013, but last year it was a huge laggard. down more than 19% with the advantage funds delivering double digit percentage losses as well. some big gainers for paulson of late have been pharma. it's been on a deal tear lately and it's recently traded at an all-time high. that's one of his biggest holdings. also, though, allergen which are in the midst of transformative deals themselves. that's been a really good sector for him. as you know having talked to him about it last summer. >> thank you. all right. folks, the vix taking off in the

market selloff. let's go to the floor of the new york stock exchange. what's your feeling as we have about 90 minutes or 100 minutes to go before for the rest of the day? you first? >> my expense i'm want really a buyer of this nfp report. i think it's well over blown. i think the reaction that we're seeing in the market is once again over blown to the other side. i don't see it. it's a complete wlikt with a lot of the macrodata that we've seen of late, so therefore, it leaves a lot to be digested and dissected, which i'm sure we're going to see over the weekend. that being said buyers are testing the anxiety and the will of the sellers. they've pulled back and they want to test how anxious the sellers really are. >> jonathan, we heard at the top of the hour from mike holland who said that he thinks that the market may well have some -- a tough day ahead of it but that the basic thesis in support of a secular bull market remains intact. is that how you see it? >> i think in the short-term, we are going to see pressure on this market. just look at where we've been over the last six weeks.

the geopolitical issues that are out there. the conflict in the economic data. in reality coming into this year the money that was sitting on the sidelines hasn't fully come back into this market yet. investors are waiting, so as we continue to see days like this and other days where there's pressure on the market investors get this opportunity to pull back and to wait. the longer they wait we're going to see this pullback. overall i think we are going to see this bull run, but on the short-term, this pullback is probably healthy for our markets. >> with the dow down 264, we thank you. let's go now to jackie deangeles. final trades crossing for the week in oil. swrak where i. loo good afternoon, tyler. well, we cross key technical levels to the down side. we closed under $50 on west texas intermediate and brent crude under $60. what does that mean for the future of the oil trade? it's really anybody's guess. traders are telling me about data points that are bullish, for example. middle east tensions right now in iraq and also oilfields shut down in libya, and also they're looking at the crack spread which is really widening there.

that's the difference between the wti and the petroleum products, and that typically when you see that widening it's a signal that we're going to go higher. having said that, this strong dollar is a serious problem. the dollar index over 97 is very bearish for crude, and that's why we saw these losses today. how it goes next week is really anybody's guess at this point. we could either move up to the up side to around $55. if we go lower from here and break through 48 there's more down side ahead. back to you. >> all right. thank you very much. let's see if another check of the markets. the dow down to 161 points. the s&p 500 off 27 at 1.3%. right on a 1% slide is the nasdaq at 4933. back in two.

here's your news update. three men have been charged with one of the largest reported data braechz in u.s. history. they are accused of making millions by stealing over $1 billion e-mail addresses. the breaches occurred between may of 2009 and october of 2011. syracuse university has been hit with a slew of penalties following an investigation by the ncaa. they found the university did not control its athletic programs for a decade.

violations were found primarily in the men's basketball programs. penalties include five years probation, fines, and a nine-game suspension for the head coach. a big payday for fiat. chrysler's ceo. the company's annual report shows that he earned $7.24 million in 2014, and that is up 45% from the year before. and the folks at diagio are rolling out a signature series of high-end limited edition guinness beers. the 1759 will be the first one released. it will be $35 for a 25 and four ounce bottle. it is said to be an amber ale and tastes more like a port. we'll have to give that one a try, ty. >> i think that sounds like a date, sue. i love that. >> on st. paddy's day, my dear. >> let us do that. the dow is near the lows of the day. back to stocks in just a moment. first, the debate to lift the

ban on u.s. oil exports -- get -- should new storage space concerns be a catalyst for change? taking the side of keeping the ban is tyson slocum director with public citizens energy program, and chris falkner, chairman and ceo of brightling energy wants to lift the ban. why would you defend the existing policy first as we produce more and more oil? our storage capacity is filling up quickly. what should we do? why shouldn't we sell it off shore? >> well any talk of lifting the u.s. oil export ban is premature as long as we're importing eight million barrels of crude oil every day from places like the middle east and venezuela. let's first get our house in order and let's achieve energy independence by getting rid of oil exports -- imports and so we're a long way away from being energy independent and as long as that's the case we shouldn't be exporting u.s. produced crude oil. on the other side you know

we're still exporting three million barrels of refined petroleum products every day while there is a ban on most crude oil exports produced in the united states there are no limits on exporting the refined crude oil like gasoline and diesel. that's one of the largest exports in the u.s. economy and so we should continue feeding the u.s. refiners in the gulf and the west coast with u.s. crude oil, and then the last thing, which is what this wall street journal article covered today about u.s. storage capacity is filling up. well, the fact is it's filling up mainly with speculators who are gobble gobbling up that spare capacity. it's not producers. it's not consumers. we should try to take steps to minimize the role of speculators distorting this these markets and unfairly filling up this storage capacity. >> an interesting point that jackie deangeles was pointing to just a few moments ago as you work against the future prices of oil. chris, why don't you address

most pointedly, tyson's argument that so long as we are importing oil -- crude from overseas we shouldn't be exporting our own. >> the real issue is the united states is obviously in a huge oil boon right now, but we're producing light sweet crude. the refiners in this country are mostly geared up for heavy seller, hits a need for those imports, and so what i want to do is lift this ban, use this now so that american producers can sell oil to other countries. it's a geopolitical type weapon if you will against the middle east and russia it gives these importing companies an additional supplier. america say global superpower in every essence, except for energy. we have the resources here. it will help support this industry at a time where oil prices are down. it will keep the shale boom going where there are millions of jobs that it's supporting. it will give us a further of our energy security policy. >> the dow now hits its session

lows. tyson, chris, have a good weekend. >> thank you. >> again, low on day down 28 p points. come march 19th apple will be the newest minimum of the dow. how do newbies typically do when they first enter that index? dom breaks to down for us. >> melissa, last mauer we told you about the stocks that got kicked out of that for that last rebalance that we saw for the dow. these are the ones that actually got put into the dow. now, remember let's frim this discussion because with the dow industrials, you can see over the intraday period yeah we are still down on the day so far. over that time span between september 20th and 2013 in a year after that into 2014 the dow is up around 10%. that's something that you want to watch for sure. now, visa shares you can see during that same time span after they got added, again, we're up by 11%. they just performed in line with the overall market. not bad, but still just in line. if you take a look at some of the other ones as well take a look at some names like of course, we have like goldman sachs and also here you can see

goldman sachs up by 11%, so just an inline performance, and then the other one there that went into the overall index was nike right? that was a bit of an outperformer. up by about 18%. it's not that all these stocks don't tend to do well once they go into the dow. they just maybe don't have as much momentum. remember, if you get kicked out of the dow, oftentimes you are maybe near some of the low session that is you have had over the past couple of years, so maybe they outperform, but in this case here these three stocks did well but maybe want adds well as the stocks meltsa that got kicked out the last reconstitution. >> very interesting. dom, thank you. well, markets really taking it on the chin today. more on the big drop. the selloff next. trading never stops. so open an account with schwab. and when a market move affects, say a cloud computing stock you're holding, we can help you decide what to do. with tools that help you see how market activity is affecting your positions. so when the time comes to decide whether to scale in or scale out... you can make your move wherever you are. and start working on your next big idea. ♪ ♪

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>> take a look at gold. down 2.5%. erasing this year's gains as it settles. part of the story, of course the strength of the dollar off the jobs number this morning. the dixi is up 1.25%. meantime, let's talk about one bright spot, and that is apple. it is higher. charles runs a long-short at u.s. equities fund at boston capital. at one point apple was 5% of its portfolio, and then later it witled down. just last week he took his apple

position down to zero. he jones us on the phone from boston. charles, why did you sell? >> good afternoon, melissa. thanks for having me on. we sold because of rising volatility and better alternatives. big fans of apple. have been for years. it is the best of what american business has to offer. incredible ino yags high profit margin high growth. 15 times earnings, it's not expensive. they're about to launch the apple watch, which the venture capital industry wants us to believe is the first wave of the wearables phenomenon. that's the next big thing. >> right. >> and so long-term, apple as a company is extremely well positioned. the stock is reasonably attractive. >> basically -- >> last summer it was ahead 1.5% per month volatility. recently that's been 3% per month. we've been paid for that taking

on that extra risk as the stock has gotten more volatile. it's up about 30% since august. the volatility is up about 30%. it's been a reasonable pay-off, but not something that most -- we'll consider it a home run. >> the risk-reward has changed, and you told our producer before that you think there are better opportunities in this marketplace at this point for biotech-like returns. some of the picks, though, are puzzling. boeing sears, smuckers color objection. do you think this will give you better biotech like returns than apple? >> similar returns for much lower volatility. apple today is about 2% per month volatility. the s&p index is less than half of that. so while the earnings risk and the multiple risk of apple will work out over the three, six, 12-month period, i think there's a high probability that the

watch succeeds company -- fulfills expectations but with aetna, for example, you are getting biotech-like returns with half of the volatility. the hepc debacle was helpful to aetna. it created m&a. fees are lower. that to come is going through a rerating period, much like apple has in the past. >> charles, we're down 280 points on the dow right now. close to session lows. at this point are you using this to buy anything in the market? >> no. i think the key question here is exxonmobil breaking to a new 52-week low here and absolutely no support in the energy patch. so the big key question that i think investors are facing here is how low is energy and energy stocks going to go and what is the impact on the rest of the portfolio. >> all right. charles, going to leave it there. thank you. charles, flow point capital. zurchlgts well melissa, there you see the dow down nearly 300

points. 280 right now. every single one of the dow constituents is lower. johnson & johnson, the biggest under performer today. proctor & gamble down there today. up next, we're all over the sell-offed as you see those 30 stocks in the red. we'll be right back with more coverage of today's big slide. at ally bank no branches equals great rates. it's a fact. kind of like mute buttons equal danger. ...that sound good? not being on this phone call sounds good. it's not muted. was that you jason? it was geoffrey! it was jason. it could've been brenda. you just got a big bump in miles. so this is a great opportunity for an upgrade. 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.

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keep a close eye on the markets. the s&p 500 right now just about setting at session lows. the nasdaq is down by 1.2%. let's get downstairs with bertha coombs. >> it's interesting, you have the that isnasdaq here on pace for its first weekly loss in five weeks but apple is looking at its second weekly loss notwithstanding today's moves to the upside. it's well off of its highs, and we have seen the nasdaq composite do better than apple and even the triple qs do better than apple of late. we'll see what happens after their announcement on monday what kind of juggernaut that will be. interesting rotation into some other names.

finias finisar is one of the biggest gainers today. but ebay is at the top of the nasdaq 100 at the highs of the session and at a historic high. you're seeing a bit of rotation into some of these names that haven't been as loved. ebay is only up 1% over the last 12 months. so looks like some folks are trying to get in there maybe ahead of the pay pal spinoff. meantime, today financials have alabama been the best perform performers. you had deutsche bank raising targets on the ebrokers. schwab etrade at highs. back to you, melissa. >> let's get more on this broad market sell-off. with me is brian kelly and guy adami on the cnbc news line. guy, i want to kick it off with you. what do you make of this market move? it seems like good news from

payrolls is bad news for the market. >> those people that don't believe the federal reserve is behind the entire move to the upside in the market is clearly mistaken. the fear is the fed is going to raise rates and i get you can't be dogmatic in your views. it just looks -- listen the participation rate is still below 63%. that's a 40-year low. close to 100 million people have counted as leaving the workforce. i think 360,000 people left. so, again, depending on your dogma, you can make numbers look like whatever you want them to look like. but i understand why the market is going lower today. it does make sense. >> it does make sense but when you look at what else is moving lower, it sort of doesn't make sense. how can you have equities sell off, but also the flights to sell off. gold utilities, bonds sell off. >> you have a situation where you have higher rates being bad

for the market. i think that's what guy was getting at is if you have a situation where the market immediately thinks that the fed is on a rate hiking cycle shts they're going to start selling everything off. sell off reits, utilities, and sell off gold because of the strong dollar. i don't think we're at that point in time. probably a bit of an overreaction. i'm long tl t and happy holding that. i think with the spread over the german bunds where it is it's a great place to buy tlt. >> the 10-year yield 2.75% almost, is that a buying opportunity. >> this is down from 1.38% in the middle of february and we're all the way down to -- today it printed down to 123 even or maybe a tad less. is it a buying opportunity? in my opinion it is. you have to at a certain point say maybe the run is over. you know and brian knows i have been bullish on bonds, meaning rates are going lower, for quite some time and i still hold that

view bulldogs i still think what's going on across the globe is extraordinary deflationary. with that said the sell-off today has been pretty significant. now, i will say this you get this thing to close above 125 today in the tlt and you can make an argument we had a capitulation day on the downside. >> if i might jump in for a second. the fed has basically been supporting asset prices for years. now i think the market is saying today, well number one, quantitative easing is gone in the united states. it's happening over there, but is this, brian, how bull markets die? >> well, no generally they die with a blow off top which we may end up seeing after the dust settles here. what everybody is concerned about today is financial engineering over? will companies still buyback stock? can they take out corporate debt and boost up earnings? that's what the fear is today. we probably -- we still have a couple more days maybe a week or two more of this it will take a bit for this to digest but if we get a bounce and we

don't make new lows that will embolden the bulls and we will see that blow off top that could be the nalsignal that the bull market is over. >> into the close, what will you be looking for as evidence of market action on monday that will be higher or lower? >> see how the tlt closes. i know you're up against a break but i want to say tower mathieson, we ever been doing the show for eight years and you have never come down to visit us at the nasdaq. >> cull >> calling you out tyler. thank you. final chance at yesterday's mystery chart. the stock is up over 13% in just the past week. we will reveal the name when "power lunch" returns. there's nothing more romantic than a spontaneous moment. so why pause to take a pill? and why stop what you're doing to find a bathroom? with cialis for daily use,

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we enable you to reach global markets and drive forward with broader possibilities. cme group: how the world advances. it is time to reveal today's mystery chart, and the stock is amberella up nearly 13% over the past week holding up well in today's sethsssions giving the losses in the nasdaq. whether you should pull the rip cord on ambarella tonight on "fast money" at 5:00. tyler? >> i had no idea what that chart was but i thought it looked like the hairline of a simpsons character. >> it could also be. >> it could also be.

i thought it was fox as a result of that. or maybe monster. thanks for watching "power lunch" today and all week. for more check out powerlunch@cnbc.com. "the closing bell" starts in three, two, one, now. yes, welcome to "the closing bell," i'm kelly evans. what a week we've had. >> crazy. i'm bill griffeth. where do we begin to tell about today's market story. >> right, which fits into the whole week. we've had nasdaq 5,000 today, big moves to the dow today. >> changes you probably have heard about. we'll talk about that coming up. this strong jobs report set the tone first thing this morning. the feeling, i guess, is that the fed is more likely to raise rates sooner rather than later. so stocks are sharply lower at this hour. the dow especially down 1.5%