preservation, go slow, baby steps. think of your customer your client stick to your main business. >> always fun having you. >> thanks. >> keep an eye on the airline, the way they bounced back. >> ryland i bought it today. >> stay tuned at 1:00 yelp is halted. >> "power lunch" is next. take it away. >> you wonder where your money is? i'll tell you, the people who run about $18 trillion worth of it are right here in washington at investment company convention. we'll talk to some of the best and brightest in the next couple hours. we'll lead off with walter bettinger, we'll ask what the retail investor is thinking now and are they ready for rising interest rates?

bill mcnabb, his thoughts on vanguard. and we will ask him whether or not index funds have won. is it game set, match? also we'll talk with spyder man, that's state street's jim ross. he oversees billions of dollars in exchange traded funds. who is using them? are they used wisely or not? we'll talk retirement savings with the retirement heads of jpmorgan chase and bank of america, merrill lynch. we'll put it all into the context of what's going on in the market today. trouble force stocks as the market today. trouble force stocks as for stocks ahead, rising oil prices, falling jobs numbers. all of that ahead on "power lunch." >> thank you very much. we will get back to you shortly. several big stories today on "power lunch." outside of the mutual fund conference including former treasury secretary, tim geithner saying we're not finished with

the financial crisis but -- we'll explain the but part in a minute. >> election day in the uk. forget about what the polls say. the better question is what does the money say? >> and wants to do this? there's a new way to test drive a porsche on the racetrack. that's for you, brian. it's a great story, and phil lebeau has it all for us coming up. we start with the market rallying today shrugging off comments that equity valuations are quite high. stocks near session highs with a triple digit gain of 127 points for the dow. brad mcmillan and ken yiny bopara are with us. brad i know you agree with ms. yellen, but that doesn't mean the bull market will come to an end does it? >> absolutely not. when you look at where values are now, it's pricey.

it can stay pricey for years. alan greenspan said the market was overvalued in 1996 and continued to rise for a couple more years. >> what happens when interest rate start going up. >> if you look at history, when interest rates rise to about 4% it's good for the market it means the economy is normalized. i don't see that as a problem any time in the next couple of years. >> we do have.com watching dom watching things right now. >> yelp is pausing trading on a dow jones report that yelp is exploring a possible sale of itself citing sources familiar. if you're wondering what's happening with yelp it's paused for trading, up about 8% this on a dow jones "wall street journal" report that it is exploring sale of itself again citing sources. >> that is interesting. dom, don't go away.

i don't want to speculate who might be the buyer, but we have to look at who the companies may be in the market for a company like yelp. kenny, i'll throw you under the bus and on the spot. you wonder who might be a natural fit for a yelp apple, google, four square but who else? >> this crowd is right next to me. they're getting ready to almost reopen it. 42.5 at the moment. hearing all this commotion in the background. >> 42.50 is what you're saying? >> 42.50 on about $80,000. >> wow. >> okay. >> now you see this -- 43 at 110 is what they're saying. >> yeah. okay. >> live television. kenny, appreciate it. >> it will all happen here any second when it reopens. >> i know you're try doing two things at once we know you can handle it.

if it does open if you can glance to the left and let us know. let's get back to the overall market valuations. we are keeping our eye on yelp. at 17 times forward earnings on the pe why is this market not overvalued when growth is slowing down? >> i think it is overvalued. i think valuations a stretched, like the prior guests said, with rates where they are where else will the investor go. the fed forced this trade. they forced investors go into the equity space, whether it's in the u.s. or markets around the world. as they are hitting or nearing all time highs. that's the issue. as long as the central banks stay there, the market is not going to correct. until they start normalizing and raising rates, then you will see what the reaction is. yesterday is a perfect example. you can feel the angst and anxiety when there's a sense that the fed will pull away. >> kenny, we're also seeing now

the trade haging has resumed for yelp. up about 10%. >> if you look at way this is trading now, first, we should point out that this is no knock against any of the reporting going on. this is right now a report that is citing sources. traders are trying to handicap whether there is any kind of definitive deal that may be in the works now. there are a number of companies that possibly some traders are ooking at now. it's all speculation at this point. brian named a few of them there. there are companies, google maybe wants to get into the space. >> dom, a lot of people forget, this is a new york thing. remember zagat, we all used to use the book google bought them a number of years ago. that's -- google has made deals like this in the past. my initial thought when the

headline crossed was apple. if you use apple maps they have integrated yelp. if you're on an apple map and look around you, you see a restaurant, it automatically takes you to the -- i may be the only one using apple maps but they already have a partnership. what -- dom, you have the computer working. my dial-up modem is still trying to work here. what is the market cap on yelp versus grub husband? >> yelp is a $3.2 billion company. grub husband in that same competitive space, $3.3 billion. so between 2 billion and $3 billion in terms of overall market cap. we all speculate about the names, maybe an apple out there or a google. facebook may be a possible acquisition target because of the integration of social with these reviews and whether or not there's a directory approach to some of these things.

this is all speculation now. a dow jones "wall street journal" report triggered that move higher. we'll see whether or not the 12%, 13% move higher is justified. >> brian? >> i was thinking here, which is always a dangerous thing, let's try to tie this story in with the original theme of the segment about the market being over undervalued. we have a report that yelp may be exploring a sale. i'm thinking if both stories turn out to be true and maybe both stories are shopping themselves, when do people sell stuff? when they feel like they can get the maximum price. are these two stories telling us indirectly has some companies see the market as being overvalued or peak valued? >> i think that's possible. but it's far more likely that we're starting to see a team when the market is starting to

take off. when companies really feel they have the ability to go and move and create value by acquiring, that's when things get bid up. we have to the seen that yet in a significant way. we have not scene the reeen the retail investor in. >> do you think that's a good idea, bring a retail investor at the current environment where stocks are at or near record highs? >> it's not a good idea or bad idea but something we've seen in the past. if you talk about technology mergers and software technology we're in the late 1990s where alan greenspan said stocks were overvalued. good or bad, you can start to see a case where that can happen. >> okay. i know you were there, kenny, when alan greenspan said that in '96. >> and i was here. >> it was like a contrary

indicator. fed chair says one thing. stocks do the other. janet yellen made some comments about the biotech area. >> they get crushed and back up again. >> i want to bring you a couple other details on the story from yelp. they are saying now, this is according to people familiar with the matter they are working with investment bankers and have been in touch with potential buyers in recent weeks. they said also the company could fetch more than $3.5 billion in a possible sale and the usual caveats apply. a deal is not eminent, and it's possible yelp will decide against any sale. >> i think it's important to wrap me you know this too, we all know this it's important to tell the viewers looking at yelp sometimes you hire bankers because you are fending off people who are interested

sometimes you hire bangers because you're desperate. >> bingo. that's true. >> we'll keep watching this story. thank you very much to all of you for running with it. going on the fly. >> we like to yelp. go to powerlunchcnbc.com to see why brad is bullish on housing. utilities are the worst performing sector but three others are a tad worse. first, ty what you have got for us coming up? >> when we come back i will sit down with the head of charles schwab. if anybody has his finger on the pulse of the retail investor it is mr. bettinger, we'll find out what he thinks on the great debate over indexes versus asset active funds and where he puts his money. ameriprise asked people a simple question: can you keep your lifestyle in retirement?

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shares of activision are coming off the best levels today. the video gamemaker beat earnings estimates and sales estimates and was helped by growth in his higher margin digital gaming business. shares again up by 5.5%. >> nice pop there. ali baba is also higher. they also announced the coo will

become the new ceo next week. dick's sporting goods is also running higher by 2.3%. they were upgraded to outperform. and new york's top state court reviving a $120 million lawsuit against goldman sachs. the suit alleges in the time leading up to the great recession, goldman lied about a pool of mortgage securities backed by subprime mortgages. many of the world's investing titans meet today to discuss wide-ranging topics like navigating the volatile stock market, the impact of future rate hikes and the next big investor idea. tyler mathisen are you going to buy yelp? >> am i going to buy? i'm out of the market for yelp. i'm not a userment. >> 70 billion to go.

>> i'm a few billion shy. if you want to know where americans money is going look no further than right here at mutual fund investment company's big annual meeting. over the past decade investors like you have put in $379 billion into long-term stock and bond funds every year what have they done with their holdings of individual equities and individual bonds? every year on average they have sold about 430 billion of those things. the money is going into managed products etfs and mutual funds, 18 trillion in all. one guy who has a big hunk of it is walt bettinger of charles schwab. i sat down with him yesterday. >> one of the big debates is whether indexing has won over managed mutual funds. lately the indexers have had the

upper hand here. they outperformed the average managed funds. what do you think? >> i think it's a point in time. i would be careful to declare victory. >> so it's not game set, match. >> i don't think so. >> after the passage of reg fd post reg fd it's become more difficult for active managers to beat the stock market. it's not just in the large cap asset classes. it's almost everywhere around the market. as we hit here today index investing has taken a strong position relative to active, but the game is not over. >> what do you do with your money. >> most of my money is in schwab stock f i maintain a balance of

schwab stock, cash some indexing, in a few places i use active management. >> let's talk about another hot topic, that's the role of etfs. they have been a tremendous growth area for your industry your business over the past decade decade and a half. i wonder where you think etfs are appropriate and best and where you think managed or indexed mutual funds have the edge. are etfs being used broadly appropriately? >> i think they are for the most part. there's no question in the etf space you have the development of very niche oriented products. that's driven by late entrant etf managers who will not take out the big three or big four managing the core asset classes. to grow they have to create a niche product, hope they catch lightning in a bottle when it turns cold some of that money stays there.

you have a bift of that drivent of theat from the firms. i think that's what is driving many of the new building small etfs today. i wouldn't say the world of etfs and mutual funds are necessarily in opposition to each other. i think both will grow and both will continue to be successful. the one area where etfs have to the made the inroads, and they will, is in your typical 401k. it's inevitable that people who invest more and more in etfs will start to ask the question why can't i have etfs in my 401(k)? it's been a technology barrier to date. we're working to overcome that. >> because they are tradable minute by minute are they prone to being overtraded overspeculative, etfs? >> you could argue that in some cases, but i don't really think

so let's talk about settlement. if you have mutual funds in your 401(k), you can trade them every day. you can trade with those. etfs have a three-day settlement. so you can't day trade as much with an etf as you might with a mutual fund. >> let's talk about one broad change that most people expect to happen this year that's slowly rising interest rates. already this week the ten-year bond has gone up above 2.2%. that's a fairly significant move. >> it is. >> how do you think individual investors will react to that? are they well positioned for that? are they going to be surprised by the effect of rising rates on their bond portfolios? >> i don't think they will. most of the increases are likely to be at the short end of the curve. if you get increases on the long end, that will create some nav, or net asset value declines you

could see people wanting to sell if that occurs. that's probably the biggest issue out there. i'm not sure history shows equity markets move a lot, but you could see it if the long end of the curve goes up people wanting to sell. and what's talked about is there enough buyers at the point in time that those who want to get out of their bond funds are ready to sell. >> time will tell. >> for sure. >> it's an interesting argument about whether or not individual invest ready for rising interest rates. i'm not sure i agree there. i think people undervalue or underway the risks that their bond portfolios may face in a rising interest rate environment, but time will tell. >> yeah. time will tell. in the meantime as we head out, the big news earlier, the report that yelp is exploring a sale. the stock is up by 4% it's at

$42.82 people speculating about yelp.nn g a business legalzoom has your back. over the last 10 years we've helped one million business owners get started. visit legalzoom today for the legal help you need to start and run your business. legalzoom. legal help is here.

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the blaze burn itself out. the fire started wednesday night and was started by a machine malfunction. gold is down and is down for the year. gold is off $9.209 9.20 an ounce. gold is officially down for the year about one quarter of 1%. silver palladium and platinum all off. rick is track the action at cme. >> if you looked at the boards today, you would get the wrong impression. 30s are down seven. tens are down five fives are down three. but everybody is looking at higher rates. yes, we spiked to 2.30 and change, then we went comatose. sideways action the rest of the session. if you open up the ten-year chart, this is important. we now have a double top 2.224

closes in march and yesterday. is this a double top or just a gate to higher rates? probably tomorrow's number will tell us that. and the last chart, euro did get to 113, but it's losing ground a bit. a lot of data making traders get more even with the markets. >> >> utilities are the worst performing sector in the s&p this year. are they worth a second look? >> we've seen a pull back in utilities but a number of analysts say this could present a buying opportunity we'll break down those names when "power lunch" returns. today's powerhouse is home to 12 fortune 500 companies, is ranked the third most literate city in the nation and is the first better business bureau was

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more rok morocco. chelsea clinton joined her father at that event. the secret service wants to add a second layer of steel spikes to the top of the white house fence to keep would-be intruders out. the proposal suspected to be approved at a hearing later today. average long-term mortgage rates moved up this week. freddie mac says an average 30-year fixed rate mortgage rose to 3.80%. a year ago the rate was 4.20%. a big set back for nicolas sarkozy. a french court ruling that authorities acted legally when tapping his phone. it's part of an investigation into allegations of influence pedalling. his lawyers say he will appear. you're up to date. that's the cnbc news update. back to you. >> thank you very much for that. a bit of a rally going on in the markets now with the dow up

by triple digits. bob pisani is live at new york stock exchange and bertha coombs is live at nasdaq. >> the big caps are getting the big lift after yesterday's selloff. on average volume at this point in terms of the large caps the nasdaq 100, some of the biggest leaders, alibaba after that blowout number. and yahoo! is getting a lift along with it. yahoo! today gaining $3 billion more for marisa myer to play with. avantgo finishing it's deal. lots of disappointments as well green mountain coffee priceline, tesla and whole foods today having a huge volume day. it has lost almost as much as it

did about three years ago after another disappointing quarter. whole foods now going after millennials. if you want to read more on millennials and health care check out cnbc.com. >> we will. thanks for that. let's get out to bob at the new york stocks exchange. it was an interesting morning. back and forth between gains and losses. at this stage the gains seem to be winning. >> we were starting the day very early in the morning, 5:30 in the morning, futures were down. it slowly came back as germany and europe came back sorts of talk about buying bonds from the ecb over there. think that i turned things around a bit. look at the sectors today. yesterday materials and energy up big time. energy is a loser today because of oil dropping 3% 4%. tech health care industrials a good group here. the dow up 110 points. those weak oil numbers here are wreaking havoc on energy stocks. a big help to airline stocks. they're up nicely here 3% or

4%. an etf for this is j.e.t. just started a week ago. j.e. j.e.t. is up today. want to mention the energy stocks all moving to the down side today. back to you. >> will be, thank you very much. shares of lumber liquidators are soaring now. that retailer announcing a major move to address fears about the safety of its flooring. the stock was slammed this year, but is the worst finally over? that stock up 1.6%. scott is outside a lumber liquidators outside san jose california. >> based on what we're hearing, if you look at the stock over the last year you can see why some are saying it's compelling if -- if the company can get past all of this. a stock that was trading above $90 not all that long ago. but whitney tilson the big

short seller here brought some of the initial allegations about formaldehyde to the news program " "60 minutes" is increasing his short position in the stock and that this move marks a decisive point in the collapse his words, of lumber liquidators. we got word yesterday that lumber liquidators would stop selling this flooring from chinese manufacturers, this flooring with formaldehyde. the chinese laminate flooring is suspended. an internal review of all the company's flooring sourcing is expands, and they hired louis freeh to look at company's compliance practices. the company did not mention

cost. they are already setting aside $10 million from the justice department criminal investigation on. it had, last quarter, $20 million worth of this chinese laminate anyone ventory, they got rid of some of that but some is still hanging around. time for a semiregular series, where we look at some stocks utilities have actually posted better earnings growth, so are there stocks to consider here? morgan brennan has today's sectornomics. >> after a strong january 14 and strong january, investors are rotating out of this more defensive income producing sector. you can see this right here

analysts say it's created a buying opportunity. particularly when you factor in the earnings. look at earnings. the s&p earnings growth is now about 2.1% for the quarter, utilities profits have increased 4.1%. here's some names to check out. dominion resources, down 7% so far for the year. guggenheim partner says its virginia electric power company is enjoying growth it's growing its solar business and it is involved with shale production in a master limited partnership. a name to check out. another is pg&e. this is a regulated utility in northern california. daniel eggers knows this stock trades at a price since the san bruno gas line explosion in 2010. after that is settled, he thinks this stock could hike its

dividend. last year exelon. this is the biggest operator of nuclear power plants in the u.s. as cleaner energy regulations roll out, this utility stands to gain. several analysts think this stock is undervalued. this stock down almost 9% year to date as well. >> sectornomics and a couple of utility names. let's send it back down to washington, d.c. >> thank you very much, brian. talked a bit about exchange traded funds, one of the hottest sectors in the managed money universe over the past decade another one that doesn't take a back seat at all has been target bait funds, those funds that provide a retirement solution. one of the biggest and best providers is jpmorgan chase, anne lester is head of retirement solutions, winner of

the 2014 morningstar manager of the year award. we'll talk about them in a minute. yesterday janet yellen made some remarks about the valuations she sees in the equity markets and the fixed income markets. what do you think? >> it's always so hard when you're investing to sort the weak. i think the market has gone a long way. certainly, you know we've been overweight u.s. equities for years now, prior to those comments were reflecting op valuations in the marketplace and from a relative perspective, i think finding that a little less attractive. but one of the things you don't want to do is react to a statement that pushes a market in one way hastily. as we can see today, the market is recovering a bit. i think the market reacts emotionally. our job is not to react

emotionally. >> in spirit you kind of agree with her? >> you know the market has gone up a lot. obviously it is less -- there's less upside going forward. >> let's talk a bit about the interest rate environment, which is obviously critical to investment decisions. you have a divergence what's going on in europe against the back drop of what's going on in the united states. how much trickyier does that make the portfolio manager's life? >> problems are also opportunities. that's true in life and in a portfolio. when we look at what's going on in europe and japan, it's clear those central banks will be keeping interest rates low for longer than the fed will here in this country. so that is going to present some obvious opportunities and consequences. one, we think u.s. interest rates on the long end of the curve, 10-year and 30-year will

rise less quickly than they would have initis isolation without the european and japanese bank. that's an overall position. so we think there are ways to make money even when you don't have clarity and certainty about when the move will be will it be december september, sooner or later. either way the long end of our interest rate curve will stay well contained. you can look at shorter end of the curve as backing up the long end as not. >> can i infer from what you just said and from your answer earlier about equity valuations that right now, as a global portfolio manager, you see better opportunities abroad broadly, than you do in the united states? if so where? is it europe? is it japan? where? >> we like europe. again, europe is a lot less attractive than a couple months ago. there, too, you've seen appreciation. when you're doing things like

looking for yields european equities continue to be attractive. and the trick is the foreign exchange. what will happen from the dollar here on out. there's been a big move one way, corrected a bit. again, when you look at the differential in interest rates, we do think there will continue to be pressure on other currencies, longer term we don't think the dollar will sell off a lot from here. maybe go back the other way. >> anne thank you very much. >> you're welcome. >> thank you. more from the investment company institute in a couple of months. we'll talk to spydr man, the guy who runs the spydr platform. >> does he climb up walls as well tyler? >> he will climb walls, i promise. >> okay. shares of amazon rising today, $427 a share, but one analyst says it could go even higher. plus -- >> the city in today's powerhouse is home to target's headquarters peanuts comic

strip creator charles schultz was born here and one of its nicknames is city of lakes. can you name that city?

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taser is recovering from lows of the day, but still down almost 4%. the stock was downgraded to a market perform rating from a prior outperform by analysts over at oppenheimer. a lot of words for saying outperforming. >> according to zillow the median sales price is $215,000.

markets are on the market 95 days. and this house was listed for $430,000 $5,000 in taxes, four bedrooms four bathrooms, 3,000 square feet what makes this house so good? >> this home has been meticulously cared for, it has an open floor plan screened in porch, we've seen about a 20% increase in the twin cities in the average sales price. we are in a seller market. >> second listing here 10631, water lily terrace, listed for $525,000. taxes of nearly $66,000 dollars. three bedrooms three baths, 6,000 feet of living space. >> this is an amazing detached

townhome. it was named number 12 last year in places to live by "money" magazine. part of the dancing water association, a community swimming pool tennis courts putting green, amazing property. it's got a gourmet kitchen, open floor flan tons of light. >> for the powerhouse of the week 108 pioneer trail, listed for $1.1 million, taxes of 13,000 four bedrooms four baths, 4,000 square feet of living space. this is more than the other four bed four bath building. >> in the land of 10,000 lakes, we had to showcase a lakefront property. this sits on lake riley, sits on four acres, 134 feet of lake shore. it has an updated kitchen and bath, beautiful property.

if you're going to live in minnesota we love our lakes. this is a fabulous opportunity to own pristine lake shore in the twin cities. >> looks beautiful there on the lake. thank you very much for joining us today. the celebrity powerhouse belongs to vince vaughn it's a chicago penthouse, the price is $13.9 million. five bedrooms, four full bathrooms, four half bathrooms s 360 degree views. the previous owner was hugh hefner. missing a few ladies but there you go. very nice house. an appeals court rule that nsa phone program is illegal. and captain sarah cudd on the u.s. army will show you how it's done. stick around. u gonna find those essential people you need? with ziprecruiter, it's simple. we post your job to over 100 job boards with just a single click, so you can reach millions of qualified candidates.

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and is urged on by her comrades. the run was only one part of the requirement to earn the army expert field medical badge which the army confirms cudd has since earned. tough. love it. tyler? >> wow. that is amazing. a federal appeals court ruming today involving the legality of the nsa's data collection of phone records, it's an important story. amin is here to tell us about it. >> this day the news is in new york, that's where the federal appeals court ruled against the nsa's phone meta data collection collection. the appeals court ruling that the section of the patriot act that the nsa pointed to as to making this program legal does not authorize such a broad and sweeping program. the section of the patriot act will be reauthorized this spring in any case. the white house said that the president supports redoing the

entire phone meta data program to allow it to be done in a more legal way that would keep the data in the private sector hands. senator mitch mcconnell took to the floor of the senate to defend the nsa. take a listen. >> isis uses facebook twitter, its online magazine and other social media platforms to contact and eventually radicalize recruits online. if our intelligence community cannot connect the dots of information we cannot stop this determined enemy from launching attacks. attacks. >> tyler, this is a program that we'll be hearing more about. this is just one step in the process, but it's a setback now for the nsa. >> that congressional debate will heat up as that law expire expires. >> we'll have more here from the investment company institute in a couple of minutes. back to brian.

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coming up at the top of the hour, more on the breaking news at yelp. the company is possibly exploring a sale of itself. we'll get an analyst take on that. and tim geithner out with a warning about a potential other financial crisis. you'll want to hear what he's had to say as part of our exclusive interview. mcdonald does two things which some are calling -- i'm trying to be nice weird. we'll show you what they are it's all ahead. first, back out to tyler mathisen. tyler? thank you very much. probably no area of the managed money universe that has experienced the kind of growth that exchange traded funds have over the past decade. about ten years ago there were about 400 etfs. now more than 1400 of them and many of them are under this guy's supervision, jim ross the head of state street's spdr platform of funds.

welcome. >> thanks. >> you were there at the creation of the first etf. did you have any idea what their potential was that they would grow to now $2 trillion? >> i would love to say i did. that would be completely false. i'll be honest. early days we were hoping to have something that worked have some success, the first five seven, ten years, we saw growth usage. it was intended for more institutions. obviously it's been great for the investor. it brings a lot of great features, but in the early days we thought three to five maybe. >> i'm asking a guy who runs etfs a question that i can anticipate you will have a good answer for, but it's this -- if i were trying to choose between an indexed mutual fund or an exchange traded fund who should choose which for what purpose? is there a simple answer? >> probably not a simple answer

but there's many different answers depending on what are your goals? how you're trying to invest what kind of choice do you look for. do you need some of the features of etfs, interday trading, low cost, and what kind of exposure are you trying to get? etfs have a broader product set these days. at one -- also depends on how do you want to hold it? you are investing through your broker's account? easier to use etfs, much more straightforward, you hold them like you would a stock. >> the proliferation of them they're now -- the baloney has gotten sliced thin. some are narrow. i suspect there are some investors who maybe are not using them appropriately, using them for speculative purposes. do you share that view? >> etfs are made so folks can use them for short-term tactical

transactions or for long-term buy and hold investing. i have etfs in my portfolio that have been there a long time. depends on what your goals are as an investor. then i think of an etf, it's a goal to do asset allayings, figure outdo you want to make a short-term tactical bet? from an investor standpoint etfs allow them choice. choice doesn't require that you trade. that's something that's been misunderstood about etfs, because they call them exchange traded funds. i have etfs, i have to the traded them for years. i think it gives the investor choice to be tactical when they so choose. the financial advisers appreciate this choice. some of them want to be tactical. they have a strategy around it. they are actively managing towards outcomes and goals, and they want to take theed a advantage

of those more niche etfs and sectors. >> jim, thank you very much. the original spdr man, folks. the guy who runs the spdrs for state street. tremendous. that will wrap it for the first hour from here. much more in the second hour of "power lunch." let's go back to mandy. >> thank you very much for that tyler. good stuff. brian, i'll hand it over to you for that second hour. >> thank you very much. it is now 2:00 on wall street, 1:00 in chicago. . the dow is higher. you are watching the second hour of "power lunch." i'm brian sullivan. we begin with a developing steerrysteer ry story on yelp. there are reports that the company could be exploring a sale. this has been on jim cramer's radar for a while. listen to what jim said last week. >> now, let's blame the investment banker for yahoo! or priceline. two companies in need of growth. you merge grub hub and you have

a one stop shop to get anything you wanted delivered to your door in one easy app. anything. not sure which place to order from? acquire yelp. and you can have the reviews alongside the app, giving you a box popular rating system. >> we are joined on the cnbc news line by rob sanders. do you believe reports that yelp might be for sale? >> hard to have a view on that. it's a strategic asset. great content, could fit well at a number of different players. i think that local space is on everybody's radar. it's difficult to penetrate. >> there's two-ways to sell. i pointed this out in the 1:00 hour. you sell because you got buyers who want to pay you a premium or you sell rob, because you need to sell. which one do you think yelp would be in? >> yeah.

i think the momentum in the local ad space are still there. they come through a quarter of missed execution. this has been a battleground stock for some time. i don't think there's a need to sell for the company at this point. but i think should an offer arrive, they would have to consider. >> when you say they don't need to sell do you mean the balance sheet is good and generate enough cash flow? the recent quarter was miss. they took down the guidance for the second quarter. where they're losing out is desk top. while people want to migrate to mobile, mobile modernization is tough these days. >> yeah. their mobile story is pretty healthy. it's not unlike the desk top story. the transition doesn't hurt them like it does for other ad models. local services is a mobile app. the future is mobile for this company, more than many others.

do you think yelp -- i don't want to say missed the boat. because some out there believe the stock could be acquired. trip adviser added five new restaurant sites in the past new year. priceline paid $2.6 billion for open table. google got zagats. who could be left who has into the already gone down this path? >> i think all of those names still could use more content in the local space. that's what it's about. it's about content. content wins in the end. this company has more than anyone. i don't think there's any shortage of people who would be interested from a strategic fit. >> rob sanderson, appreciate you joining us. thank you very much. >> no problem. >> let's turn to concerning comments from our former treasury secretary. listen to what tim geithner told our own steve liesman earlier today on cnbc. >> the next time we get to a financial crisis let's hope it never happens again. >> it will happen again.

>> it will happen again. >> it won't be like this. >> i can not imagine at this moment a treasury secretary going to the congress and saying give me $700 billion to bail out the financial system that will not hatchppen. >> in the end the only way to protect people from the classic panic like we had in '08 is have the central market and government step in and take risks that the market won't take. >> steve, great interview with tim geithner. did he surprise you when he said yeah we'll have another financial crisis at some point. sounded like it's a given. >> brian, this gets to one of the great questions about markets. do we live on an active fault lines a matter of when we trip or is it a matter of we're driving a car, it's how we drive it as to whether or not we have an accident? the treasury secretary sides with the former. it's a matter of time.

all you can do is prepare yourself. he says we are much better prepared for the next financial panic or crisis. it doesn't answer the main question, his idea of the notion of the government will have to step in. >> the reason it took me by surprise, i know he's not in government anymore, but during the financial crisis what we heard from geithner and the president, let us step in create thousands of pages of new regulations, we'll help prevent the next financial crisis. now you get oh by the way, it will happen again. he did say not this severely. >> i think what they would say now -- i don't know that they said prevent back then. i think it was make less likely. you and i both know it's almost overtime the absence of a crises that can create the complacency that sows the seeds for the next crisis. the question is is this an affordable outcome. >> are you saying human greed may be unavoidable.

>> the very notion of the val o. federal reserve raising quarter points tightening created a loose situation. >> i will buy you a dutch tulip and some railroad stocks my friend. thank you very much. >> no beer? >> that's later. >> detroit, puerto rico we talked about the challenges these municipalities face in a rising rate environment. if you believe folks, these are just the tip of the icebergs facing problems. not everyone is doom and gloom, including peter hayes, he runs the muni group for black rock. great to have you with us. >> thanks for having me. >> want to start off with puerto rico since we did mention that in the introduction. about $35 million in exposure making the case you can get 11%

tax free yield. to the average person out there look at yields at historically low levels that may seem attractive. >> there's a good reason yields are high. part of the reason is you'renying aboutyou'reny ing you're relying on emerging risk. puerto rico is a different situation. they don't have the imf to rely on. they don't have a central bank. it's unlikely that the federal government in terms of the u.s. will come in and bail them out. they have 16 different issuers, and a restructuring would be complicated. we think they're an overlevered economy that has to restructure, why? because the economy is not strong enough that restructuring will lead to complications, falling prices and even higher yields. >> that might be more attractive. i think the risk is only if -- not only if that's simplifying it too much but if you believe puerto rico will declare

bankruptcy there could be a risk to your bond. if you believe they are going to work and restructure and be able to pay their debt then collecting this 11% yield or higher may seem like an attractive proposition what do blackrock believe? >> we believe prices will still go lower. we think there's more pain to come. part of the investment and the outlook they've take season that they would bring a bond deal this year. that's what they've done relied on the capital markets for access to keep kicking the hand forward in the hope that the economy will pick up. that hasn't happened. "b," failure to pass tax reform recently means that bond deal is unlikely to come. they'll be up against some pressure in the next month or two with regards to ability to pay their debt around their fiscal year end in july. we do believe prices will go lower from here. >> let's turn to the united

states. muni bonds have outperformed most other fixed income investments in 2015. with rising rate environments that could be in jeopardy. what is the outlook here? is it time to rotate? where in the u.s. muni bond market would you put money given rising rates? >> the first thing is don't expect returns we are saw in 2014. they were robust yields fell when everybody was calling for yields to rise. we expect a fraction of that. think about 3% 4% returns this year. probably volatile getting there. issuers are issuing a lot more given that rates are so low. refunding a lot of issuance. the market is having a hard time diegesting that and the rising rates are creating volatility. ultimately it will be a positive return but more muted than in 2015. >> thank you for your time. >> you're welcome. when it comes to expansion,

not much has been able to stop google until now. let's get to job lipton with those details. josh? >> well it's described as david versus goliath. just like in the bible, david is winning. linkedin and google have big plans to expand their footprints in the city of mountain view california. but the city council voted to give linkedin the majority of available office space leaving google with just enough space to build sun section of its futuristic office campus. one of the issues was the need for greater business diversity in mountain view. google controls 70% of office space in the city. the demand for office space goes way beyond mountain view. there's a big fight going on as tech companies try to expand

with demand sending rents through the roof. since 2010 the average asking rent per square foot in palo alto for example has surged 94% to $97. in mountain view it's up 215% to 90 bucks. sunny sunnyvale is up 70% to 56$56. google may still have options this mountain view but they have to wait. the city won't have updates about new available square footage until january or february of next year. ryan? >> josh, thank you very much. here's your power menu. speaking with the ceo of vanguard that company crowned with the world's biggest bond fund title. and mcdonald putting a real face on it's turnaround plans. some are saying it's creepy. and phil lebeau with the sweetest assignment ever at

porsche brand new home in atlanta. >> brian, you just missed it. they were drifting down here. they've been doing it all day long at porsche's new north american headquarters. why is porsche here in atlanta? what are they hoping to show people out here? that story when "power lunch" returns. 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.

cell phone video of the fire that caused the evacuations of

the airport in rome. it's the largest airport in italy t service 38.6 million passengers last year. as big as the airport is as big as the fire was, thankfully no serious injuries were reported. all right. german carmaker porsche showing off its brand-new north american headquarters, it has the opulence would expect from a top world luxury brand. let's get to phil lebeau in a surprising city for porsche, in atlanta. it's even hotter now. >> reporter: what makes this headquarters stand out is it's not just a building where the executives will be, there's a test track that porsche owners can come to the public can come to. today we had a blast out here. it's a mile and a half long track at the headquarters. over that course of a mile and a half you can get up to about 105, 110 miles per hour.

there is an offroad course if you want to take your cayenne out there. and a classic car museum inside. the ceo of porsche north america says this is about attracting customers. >> we expect 30,000 guests a year here. it's all about experience. we expect customers and clients to come and experience our products in a way they have never done before. >> a lot of people are experiencing porsche now. look at the german lux wi brandury brand and their sales this year in the united states. look who is up 17%, porsche. the ceo says this is just the beginning of the company expanding its presence in the united states. >> we have a strong loyalty for the brand. 60% to 70% of customers come

back. a lot of new customers from everywhere. everywhere. >> let's get to the information you want. how do you get down here? how do you do a test drive? it will be open to the public starting in june. one day. one-day test drives start at $300. you want to spend more than $300? you want to spend a couple days with a test driver they'll arrange it for you. they expect 30,000 people to come in here. a lot of people will fly down spend the day driving around the track and fly out. back to you. >> phil cool assignment. phil nice. >> i believe that's the cayman 911. coming up heading back out to tyler mathisen for his interview with the ceo of vanguard. and later, mcdonald's is

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street talk five stocks five analysts recommendations. stock one, amazon.com bernstein very bullish on this stock. raised the price target to $600 that's about 40% upside from here. also they think the web services are wildly underappreciated. >> a lot of bullishness around the stock since the last earnings report when they first broke out the value. some analysts believe a.w. west could be a huge business for amazon to the point of perhaps spinning it off. 600 would be a new all-time high. next up credit suisse luring estimates for 2015 through 2017 and cutting the price target for 10 bucks to 3-d systems. in the latest quarter, sales decreased because of weakness in the industrial segment.

the analyst expects for acceleration in sales but slowly. the stock giving up half of its market value. but the valuation not attractive even with the decline. >> now trading $6 below the average target price. so you either will see target price cuts or other analysts come together stock's defense, i suspect. stock number three, a little bank known as goldman sachs. they start coverage with an overweight rating and a $228 target, that's about 15% upside. in the same call morgan stanley got started with with was neutral rating. goldman over morgan stanley. >> and look at the beginning of february, end of january, which has been an outperformer. next up a look at tess lachlt tesla. j.p. morgan saying the report

gave food for bulls and bears. elon musk saying they're on track for 55,000 units this year. laid out plans for the battery business. j.p. morgan saying it was forecasting higher build vehicles in inventory. jpm trimming the price target slightly to 163 from 165 this stock in today's session had been down 1% plus and is now 0.8%. >> i'm wondering if the stock janet yellen was looking at when she talked about the stretch equity valuations. and last is infinity pharmaceuticals. down about 28% for the year, also an analyst battle. a drug trial called dynamo was unpopular. deutsche bank starts with a buy,

but another cutting price to 13. it all depends on the data for infinity ment infinity. >> this is one of those stocks where it's a binary outcome. we'll leave it there. that's it. street talk down. still to come the ceo of vanguard joining us exclusively ahead. first the oil market about to close for the day. we are headed to the nymex when "power lunch" returns. your mom's got your back. your friends have your back. your dog's definitely got your back. but who's got your back when you need legal help? we do. we're legalzoom, and over the last 10 years, we've helped millions of people protect their families and run their businesses. we have the right people on-hand to answer your questions backed by a trusted network of attorneys. so visit us today for legal help you can count on. legalzoom. legal help is here.

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new york city leaders honoring the 18 police officers killed in the line of duty last year. new york mayor bill deblasio and city police commissioner william

bratton are among those who held the annual ceremony at the department hall of heros. yelp is said to be exploring a sale according to dow jones. it says the website could fetch more than $3.5 billion. yelp shares trading sharply higher on the news. a new survey shows people who drink a lot of green tea are less likely to die from heart disease. 90,000 people were surveyed. researchers did not find a link between green tea and a lowered risk of cancer. nintendo and universal parks and resorts teaming up to bring nintendo characters to life at universal theme parks. universal is a division of comcast, the parent company of cnbc. back to you, brian. >> hopefully we won't be running around the park with sledgehammers, collecting coins and smashing turtles.

let's go to tyler mathisen. >> we are here at investment company institute in washington their annual conference. $1 out of every $4 of americans financial assets are run by the individuals here today. the mutual fund etf complexes around the country. roughly one-third or more of americans 401(k) money is in mutual funds. big income nab runs vanguard and is chairman of the ici. great to have you here. >> great to see you again. >> nice to be here. i was looking at numbers. since 2007 through '14, index fund inflows $1 trillion. actively managed mutual funds outflows, $659 billion. have the index funds won? are you ready to declare victory? >> i think what you're seeing is two things. one, a triumph of low cost investing. i think that's a secular trend. it's a trend that will continue.

is there an element of cyclicality in it? sure. after funds go through periods where they outperform benchmarks, i would tell uyou from our perspective, it is very, very difficult for an active fund to outperform an index fund because of cost differential. that, to me is the secular trend being demonstrated by those numbers. >> we talked in our last hour with jim ross of state street of etfs. you were a big player as well. have etfs evolved in a good way or are -- have they become something that they really weren't intended to be, namely a trading vehicle? >> i think it's a little of both to be fair. the way we view etfs is just another form of indexing. the way we run our etfs their a separate share class of our broader index funds. we promote the idea that it's

buy and hold long-term, periodically rebalanced. now, can etfs be traded? yes. do some people trade them? yes. we don't think that's good. there were periods in the '80s and '90s where people did the same thing with traditional funds, results will not good. we continue to push this idea of long-term. >> i want to get to your op-ed piece in the "wall street journal." i also want to ask you about jachb janet yellen's comments about the valuations of stock prices, number one, and, number two the move to higher interest rates. how do you feel about the market at these levels? do you think the investors in vanguard's funds are ready for rising interest rates and what that could mean for the share value of their bond funds? >> well i think rising rates are inevitable at some point. though it's certainly been a lot longer than anybody would have anticipated. a lot will depend on how quickly they rise. our best bet is the rate

increases will be relatively metered out, if you will. be fairly steady. >> gradual? >> gradual and in smaller increments. i think investors will be able to handle that. we put a lot of education material out there to encourage people to understand how rising rates affect the bond. >> do you have a view on stock prices? >> we think stocks are valued another the -- at the highest. over the next decades, stock returns are likely to be a couple hundred basis points below long-term averages. >> now, let's get to that "wall street journal" article you had today about the proposals of federal regulators to designate certain mutual fund complexes, big ones, like yours, as systemically significant

financial institutions which, in your view is a bad idea. why? >> a lot of this is coming out of europe. they look at size as being a determinate of potential determinate of financial instability. we don't think size has anything to do with it. there's certain activities out there that could be potentially systemically important. those activities should be looked at. merely designating a firm or a fund, because it's large, actually seems counter intuitive to us. >> in the last analysis these assets are not the fund company's assets they are the shareholder assets. >> the shareholder bears the risk and the reward of how they perform. it's different than a bank. if you cut through my editorial, don't apply bank regulations to nonbank business model. >> financial question. i invited to you declare victory of index funds. i will invite you now to declare

victory over in the bond fund universe. your total bond market index fund is the biggest owner, bigger than pimco. you you want to gloat? >> no. i wouldn't have known it until you reported it and the journal reported it. for us the only thing that matters is getting up doing a good job for our investors. we are priveleged to be rewarded for that. we have seen that fund which had a very simple start in 1986 to see it where it's at it's gratifying. bill, thank you for coming. you came right off the stage. you were interview inging somebody from pepsico. you didn't offer her a coke, did you? >> i did not. >> brian, back to you. >> thank you both very much. oil giving back some of its recent games. let's go down to the nymex.

>> oil closed around $59 a barrel barrel. from a technical stand point, not a great day for the bulls. still things don't always move in a straitght line. the same reasons we talked about, production flat lining inventories declining that probably will send us higher. back to you. >> johnson & johnson announcing a new partnership with nyy,u for a compassionate use of medicines. meg, set the table, you actually did an extensive series on this about a year ago. explain what this is and what the new development means. >> essentially it's supposed to be a way for patients who are at

a last resort they tried every medical option available to them and they need to try experimental drugs. they can't get into a clinical trial. this should be a safety net for those patients. it's proven to be a complicated situation. sometimes it might not make sense for a company to provide a drug on that basis or they're worried about risks of doing so. we did this series last year looking at the patients who seem to fall through the cracks whether there are ways and companies in the fda can work better with patients to get access to these medicines. dr. ray what is the hope here that perhaps you'll connect these patients with drugs that are still being experimented? >> i think the hope here is that we have patients with very dire needs, patients often with serious diseases, in life-threatening conditions who have nowhere else to turn. so typically patients will look at pre-approval access to medicines. access before the medicines have

regulatory approval. they will try and enter clinical trials, which is the primary mechanism, but if patients can't enter trials or some of the expanded access options out there, this new innovation and approach today is trying to provide a method for patients to look at what's called compassionate use, and to look at that in a way where we as johnson & johnson take an ethical and fair approach for granting request force compassionate use. >> what are the potential ethical pitfalls of these if any? it seems a slam dunk. if a patient issing ingwilling to try a medicine, i would not? especially if it's their last chance. >> a lot of patients will see it that way, they want a chance. the difficulty is for various reasons, manufacturing and otherwise, a lot of drugs are in short fly. they're not there.

there's not enough to meet potential demand. some people will likely go without. the current system i think, encouraging people to be desperate, try them out, campaign on social media, call their congressman, i understand that it's not a fair system. hopefully with the committee looking at requests from individuals, trying to brink a broad perspective to bear when those hard choices have to be made about who will get drugs, we'll get a more fair and just allocation. >> how do you -- it's brian sullivan. how do you make that determination? what are one or two key factors you look at? my best friend died of brain cancer six years ago and he was turned down for some things. >> we level the playing field. you have to come through j & j, they make the referral of the cases to the committee. we don't know who they are. you can't lobby. you can't try to twist arms even people who are quiet and not trying to drive publicity,

they will all get heard. that's helpful. the committee then can bring patient advocates perspectives, ethics perspectives do as good a job as can be done. there will still be complaints. not everybody can get something that's important to them but at least we'll do it transparently we'll do it with goodwill hopefully in a way that others might want to emulate. >> dr. ray, this is meg. i'm wondering, in your dealings with compassionate use requests is there something you think the fda could be doing better? you're being proactive here establishing this committee. could the fda work better on compassionate use? >> thank you, meg. i think the fda has already taken a number of positive steps. in the last few months we've seen the profits for compassionate use being significantly revised under the

leadership of the fda. the perspective i would share is that this comes at a great time. we see a lot of innovation in science that offers great potential for patients with break through medications, with a number of positive advances that the fda and industry has worked together on. i think these steps combined with the approaches that we're launching today from j & j with nyu, hopefully they will offer a constructive step for patients. >> all right. thank you all very much. sensitive topic. good discussion. >> thank you. all right. tradererss do trade better together. today we knowfocus on microsoft. year to date it's up 1%. so is it done?

erin, microsoft has not done as much as the nasdaq has this year. are you recommending it? >> no we're not. right now microsoft is trading at just slightly below the consensus target price of about $48 so we're seeing it trading at fair value. there's a couple problems with taking on microsoft now. one, it's in one of these old tech companies trying to transition its business model moving away from the zero growth pc market into the more cloud computing and mobile applications. the problem is when you typically invest in these transition type companies you usually want really good value. microsoft right now is not offering that. it's trading 17 times forward earnings, which is not astronomical but higher than the industry average. so being between fair valued higher premiums the pe is the highest since 2008 we don't see

this as a place to get in now. >> stacy what is the options market telling us about microsoft? >> yes. so the options market agrees with aaron here. they are not pricing in much in terms of a breakout. a couple things from options side. the majority of the flow is overriders. that's someone long in the stock and they're selling a call that's a higher strike than where the stock is typically trading. they use that to trade sideways or for a stock typically declining. the july 50 calls for microsoft, likely versus long stock. the options market playing around 15% probability that microsoft is above $50 between now and july expiration. by selling those, they're saying i think that probability is too high. so i agree with erin we're not

seeing anything in terms of a significant breakout and the volatility is suggesting microsoft may not be moving much over the next couple of months. >> stacy, erin thank you. we do two other segments every single day on "trading nax nation." coming up, we will go back down to the investor confidence for more advice. and what is kale? a few months ago microsoft made fun of the vegetable. >> you can't get juiciness like this from soy or, that is not greek yogurt nor is it kale? now mcdonald's is testing kale as part of some breakfast dishes. is that a symptom of the problem for mcdonald's? >> now the latest from tradingnation.cnbc.com and a word from our sponsor.

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welcome back everybody. tyler mathisen at the investment company institute in washington. andy seig is the head or co-head of bank of america merrill lynch's wealth management group, special interest of yours retirement. we have two demographics, the baby boomers of which i am one, getting ready to retire getting ready presumably to live a long time, and the millennials on their heels getting ready to build wealth what are the differences between those two demographic groups? >> the baby boomers are rethinking everything we thought we knew about retirement. they know they will live longer. they're intending to work longer. given their good health they have expectations of an active later life. so they're not necessarily lifting to fixed income portfolios in the way that prior

generations did. partially that's lifestyle choice. partially that's the market environment. so we see boomers being very even gamed investors, they're thinking about portfolios that will have to stretch across a 30 year, 40-year retirement. the millennials what do they want? >> they want to pay down student debt. paying down debt is the equivalent to savings. that's a real burden on most millennials today. they're getting engaged in workplace savings programs in very high numbers. we're impressed by that frankly as a retirement provider. we see this as a serious generation. we think the millennials are much more savvy than many give them credit to be. much more experienced in terms of where they are in terms of their knowledge of business and they will be a strong generation with regard to retirement. >> i presume they're more inclined to use on technology for information and transactions. >> technology is one of the

defining features of the generation. that applies to their life with regard to financial services. for companies like ours the millennials are causing us to be more innovative use more technology. pushing us to make services more intuitive and asking us to prevent solutions to them that demonstrate a broader impact in the world. the millennium generation is focused on environmental, social governance factors. >> so they want their money to do something, not just return something? >> absolutely. as we like to say, they're investing with their head as well as heart. they don't want to sacrifice return but are viewing their money in a much broader social content. >> let's talk about a growth area in retirement products. that's the target date funds a couple hundred of them ten years ago. now there's 1,400 of them. are you confident that target date funds will live up to their

promise? what if they don't? >> some of the great things about target date funds, they are intuitive. you know clients are looking for intuitive solutions. so the fact that a target date fund is turnkey and it gets a client appropriately diversified, fantastic. we see investors misuse target date funds, because they don't understand them. so they my buy several target date funds, think they're die sers fi diversified but they're not. a target date fund is not a customized solution. so we encourage clients whether in a 401(k) plan that they may have or that they're thinking about their income needs and their specific goal. but we pick a target date fund plus some advice. can be a great solution. >> andy, thank you very much for being with us. stick around for your panel on the millennials later on today. folks, back to you. that will wrap it here from the

investment company institute. it's been an interesting day. covered a lot of topics here on retirement indexing, etfs and so much more. we'll wrap it and see you when i get back tomorrow. >> great. tyler, pick yourself up a capitals hat because it looks like they are going to beat the rangers. bring one for wapner too. thank you. mcdonald's stock down slightly over the past year. we'll tell you what the company is doing now to try to fix it. the question is -- is it going to actually improve sales? ♪ ♪ ♪ ♪ [ girl ] my mom, she makes underwater fans that are powered by the moon. ♪ ♪ [ birds squawking ] my mom makes airplane engines

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sonic and fiesta tonight at 6:00 p.m. eastern. jane wells is at the nyse brian is at headquarters, the first topic -- mcdonald's. catching on a little late to the kale trend. the burger chain testing new breakfast goals in southern california in an effort to re-invent itself. brian, would you eat these bowls? >> they look good yes. but the problem is i'm not sitting in a mcdonald's if i eat a mcdonald's at all, i'm in my car. taco bell has a crunch wrap i

can hold in one hand drive with the other. i'm not scooping the bowl out. it looks good. i don't know what mcdonald's is trying to be. >> well kale has obviously jumped the shark. i actually had an egg white mcmuffin for breakfast this morning. i don't think you're going to mcdonald's for the kale. i'm not sure either who they're trying to be or go after. all the know is what is the best thing at mcdonald's? what should she be advertising? what is the one thing you go to mcdonald's for? the one thing. >> french fries. >> yes! advertise the french fries. that will make me go. >> i pam a fan of the fries. next up, the return of the ham burglar. after 13 years, he's all grown up and living in the burbs. >> if you look at his ad his wife looks like the woman from the wendy's commercial and his

kid is a redhead and the kid says "i want to go to mcdonald's." i want to mock it but i'm going to wait. oh i want to mock it. >> only thing i can think of it is not real. it's like they're doing this as a joke and we'll talk about it and a week or two they'll be like, ha-ha, that's not a real thing. >> no. they have videos of him in the backyard. >> that could just be some really complex viral marketing campaign. i don't know. i'm confused. >> put him up with tlthe king. he's just as creepy. whole foods planning to launch hip, cool tech-oriented stores by next year. who's going to go? >> perhaps the people that cannot afford to go to whole foods. my only concern is are they going to cannibalize part of their own business? if i can get the same stuff at the new store as the old store but pay less? >> see if it's a smaller

footprint. to more compete with trader joe's. certainly this shows kroger is winning. that may be -- sprouts is winning. we'll have to see what their earn earnings. >> the jolly green giant with a mask -- the kale burglar. >> i'm with jane as always. >> fries. >> thanks jane. brian, see you tonight at 5:00. we're going you tell you, with the markets close to record highs, the one thing these traders looking at every day on their screen to tell them whether they think the market's going higher or lower. >> my nose has been itching for a minute and a half. i finally scratch it and they caught me on camera. you know -- because the ham burglar is our director today. that's what's happening. a quinoa-free show at 5:00 p.m. closing bell starts right now. welcome to the "closing bell." i'm kayla tausche in for kaylaelly

evans at the new york stock exchange. >> i'm bill griffeth. we have a lot of moving parts and pieces in the market today to get to. yelp now soaring on reports that the company is looking to sell itself. here's a company that was $85 two years ago. now it's back to $47 just with this 23% rally here. >> but it is still not even close to where it was before earnings last week. we'll talk more about yelp.