thank you very much. appreciate it. apple starting streaming service take and the worldwide developers conference is next week. has there been a lot of ihype going into it. we'll trade apple tonight on fast. >> i think i speak it for everybody here when i say have a nice weekend everybody. "closing bell" starts right now. good afternoon everybody. welcome to the "closing bell." i'm kelly evans. >> and i'm bill griffith. as expected a busy day for the markets. there was that big jobs number this morning that beat expectations. we'll tell you the one sector that is powering job growth in the economy be what it says about the state of the economy right now. i bet you cooperatekoopt couldn't guess which sector that is. >> send us your tweets. meantime more volatile today. financials fwetsgetting a boost.

bank of america up another 2.5%. we have mike mayo joining us right here onset to give us his take on which banks could fair better than others. >> and also pepsi making a big move into its battle against coca-cola. we have details on this new move to outinnovate coke and the impact it could have on the stocks. have you heard some of the flavors they're coming up with? >> interesting stuff. >> we'll wait until the segment. wait until you hear the flavors. >> flavor of the market with an hour to go and on the back of the jobs report, we are seeing declines across the s&p 500 and dow. 39 points lower is what the dow is doing. s&p down about call it almost -- sorry, it's almost flat as you can see there. nasdaq is in the green and the ten year that yield moving dramatically higher morning. and settling at the 340789 at about 2.4%. >> head back up again at this point. joining our exchange today, we have with us steve parker>> head back

up again at this point. joining our exchange today, we have with us steve parkerabout 2.4%. >> head back up again at this point. joining our exchange today, we have with us steve parker john braid dwi brady, rick santelli, as well. john brady, what did you make of this sfik inpike in rates after the jobs number? ten year went to 2.43 or something like that. >> it was a strong number. it was a great number for the fed because two of the three most important sub component of the number came this a little bit stronger than expected. first nonfarm payroll number puts to bed finally the softness we saw in the march number. average hourly earnings year over year was a positive sign up 2.3%. stronger than expected year over year and month over month. but also expansion in the labor force and uptick in the unemployment rate to 5.5% also gives the fed some near term confidence that the economy is growing and the job market continues to expand. people are re-entering the workforce and that's a good

thing. >> steve, what to you is most significant about morning's report and was it the wage number which because surprisingly upbeat. >> i think the most important thing about the report was how broadly strong it was. not only it we see more people getting hired we saw more people coming back into the market looking for jobs. we saw people making more money. but also when you look at where some of the jobs are being created, places like hospitality, retail it's reassuring that the consumer who was a big surprise this year in the fact that they haven't recovered may be coming back into the market and that's really important for the economy looking forward. >> rick you identified a trading range for the ten year with 2% as the new support level. with today's as are you going to raise that trading range here? >> absolutely. we've been watching the settlement prices and march 6 prices. why the difference?

march 6 was the only day that we had all three maturities close above their closing yields from he said of last year. this go away, 217 was a good fifth for tens if you got short every time you were above it. you've done well and you haven't been swapping positions a lot. it gets momentum. but today is unique. because today is the first day that the five year joined the group, as well. so it took out that 169 highnd that is hugely significant. i would think that at this point it's not going to be straight up, but if i had to peg a new trading range for ten year notes, i would say 2.24 to 2.42 and then next level in the low 2.60s. and i think the low 2.60s is something we'll see on one of these days where you get one of those wild sessions, maybe outside our time zone the markets, they sell off yields pop up then we digest. but the action of selling rallies seems to now be much more in place than the old

buying of the dips that was in place last year. one final point. i agree with everything everybody said. that's why the fed should have normalized and they should normalize because they haven't. but is this number terrific? no. it's better than expected. what gives me the right to say that? 329,000 in december 423,000 this november. if this was the bounce back due to weather, it was a nice one. but it didn't take out the levels of last year and i consider that important. >> john brady, i was going to ask you about that very thing. what do you think the fed does and should do and we had some comments today from new york fed president bill dudly who did sound a little bit like he's ready to go, conditions are there. >> right. well kelly, i think rick is right, the fed is at a window where they could raise rates. the question is will they do it. it's not so much about the actual rate of policy. what fed numbers are most concerned about is the fallout. you hear fed speakers stanley

fisher earlier this week suggesting that risk assets may reprice. it could be a volatile exit from zerp. then you had the imf chiming in. so policymakers would like to go. but they're scared of the fallout. and i'm with lawrence behind lindsey. the longer they way, the more volatile reaction they will get. >> all right guys thank you all for your thoughts on what has been a pretty interesting day for the markets and the economy. have a good weekend. >> and speaking of anticipating what the fed will do the financials leading the way today, as some of the big banks and regionals climb to new multiyear highs. it's been a different story so far this year because the sector as a whole has underperformed the broader market by about 1%. >> so which stocks could outperform moving forward? let's ask mike mayo joining us at the new york stock exchange. good to see you. >> thanks for having me. >> it would seem the financials

have been coming back anyway lately. do you think that is just anticipating that the fed is going to raise rates sooner rather than later here? >> well, let me be clear, we are more positive on bank stocks than anytime in the past 16 years. >> really. >> and i'm say this is a, b, c. a, asset quality is stronger than it's been in one decade and jobs report should help that. b, balance sheets are stronger than in two decades. and c capital is hire than it's been in five decades. so the balance sheets, the foundation of the economic system as defined by the banking system is on solid footing. >> and we just saw a nice pop in consumer credit last month which a lot of them are still in the middle of. what do you think about how much further these names could rally? are you talking about a doubling or perhaps more over time on the price of some of these shares? >> you have all-time highs at jpmorgan fp we like it.

wells fargo, all-time high. we like it. goldman sachs postgan stanley, post crisis high. the one stock trying to bust through that we think will double even from here is citigroup. citigroup is knocking on the door they would benefit from higher interest rates like you're seeing today in the ten year. but they are also unique global self help story. and i've been following citigroup for more than two decades. will this is perhaps the best opportunity in those 20 years to own citigroup given the level of risk. >> pounding the table with both hands here. but what about the regulatory environment we still are in that we face going forward for these banks. regulatory environment that jamie dimon has affectionately called dod frapgd frankenstein. >> one risk is regulation, but as it relates to the fines, i think we're in the eighth to

ninth inning. you've cleaned up a lot of the fines from the financial crisis. regulatory impact has hurt revenue growth but the flip side is it's dramatically reduced risk. so i'll take $1 of earnings today anytime over $1 of earnings before the financial crisis because the risk of those new earnings are a lot less. and we measure by earnings stability. we think earnings stability will be better than it's been in the bhanking industry than anytime in at least a decade. >> i wonder if this story isn't too focused on rates and the assumes that they are going higher. even if the fed raises rates on the longer he saidend, they could still fall for a number of reasons. what happens if interest rates don't really rise that much from here? >> then you could see a retracement of some of the gains you've seen recently. and for that reason we're still

selective with which stocks we want to poud the table with. that's why we like self help stories. if rates go up, that will help citigroup even more. it will help jpmorgan even more. but if they don't go up, they have extra earnings levers they can pull. >> all right. mike is staying with us. we have a news alert on janet yellen. steve liesman. >> there is a development in a brewing battle between the new republican head of the house financial services committee and fed chair janet yellen. in a letter sent to hensarling, yellen says the fed is declining to comply with a house subpoena related to the leak of confidential information. yellen is saying the subpoena according to the office of inspector general and the justice department would interfere with their criminal probe. she's saying the fed will comply

with the subpoena after the probe. hensarling issued the subpoena on may 21. now the fed responding saying the subpoena interferes with a criminal probe. it's you now in hensarling's court to see how ugly this battle wants to get. bill. >> all right. steve, thanks very much. the relations between congress and the fed are pretty low ebb right now. >> we're in what we call a big brother banking leg la ging regulatory environment. and the issue before the financial crisis, nobody be was minding the store. not regulators not investor not congress. and now after the financial crisis, you have a lot of people who want to mine the store so now there is a lot of chefs in the kitchen to clean up the prior mess and it's still working its way out. that's still a risk we need to monitor. >> are you still confident that just by looking at what happened in the past and increasing certain oversight that this is getting to the heart of what could happen next in terms of risks in the system?

>> there is a positive. regulators are doing a good job in many ways. a lot of things we don't agree with, but they have increased the strength. banks are now greater pillars of strength and stability and growth. that's the way it should be and it hasn't been that way for a couple decades. >> are you saying the way things stand now you don't think we'll have another financial crisis like the one we just had? >> that's an easy call. we did 10,000 pages of research for the decade before the financial crisis. now we're giving the and you wouldll clear signal. i like what people call activism. i call it basic governance. you're managing other people's money. let's make sure you're allocating that capital correctly. zions bank, three decades, they had seven separate banks.

all of a sudden they said we're going to. >> caller: combine them. so they're more self help stories. after the hurricane, everyone takes precautions. the biggest issue to watch over the next five years or so is if it interest reallies go up too much too quickly, that is the risk for the next financial crisis. >> at least if the fed has anything to do with it that's not likely to happen is it. mike mayo telling us he's more bullish on bank stocks than he's been in 16 years. good to see you. thanks. 45 minutes to go into the close here. keeping an eye on market which is after the stronger jobs report are having a bit of trouble staying in the green. the dow is down 45 points. s&p barely negative. nasdaq up 13. >> spike in bond yields is driving mortgage rates higher. we'll have a special report coming up. >> and why the former head of

wells fargo says it won't drive up demand. and stocks in shanghai hit their highest level since '08 last night and thousandnow china has overtaken the u.s. as the top venue for initial public offerings. i'd like to put in my 15-year notice. you're quitting!? technically retiring, sir. with a little help from my state farm agent, i plan to retire in 15 years. wow. you're totally blindsiding me here. whose going to manage your accounts? this is a devastating blow i was not prepared for. take charge of your retirement. talk to a state farm agent today. if you're running 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.

it has been a volatile week in the currency markets. particularly the euro-dollar relationship. we're in the mid point of the range. and look at the u.s. chinese juan. >> it's actually the chinese market. shanghai stock market bursting through the 5,000 level for the first time in more than seven years. >> just as china becomes the world's top veb uhe for ipos this year. is this a bubble or is it about to burst?

let's bring in ross berger, our resident bull and simon mael. are you concerned about the lofty levels we've seen in the chinese market lately? >> absolutely. i mean as i've said many times, this is very much a retail driven nonfundamental market. i like mike mayo's acronym acb. mine is levi la liquidity, earnings, valuation, interest rates, and sentiment. what is driving china at the moment is liquidity, interest rates and sentiment. liquidity is coming from a boom in margin financing coming from a huge domestic pool of savings looking for a home. interest rates are falling. and sentiment is sky high. it's feeding on itself. it's being egged on by the

chinese government. and i would say in the short run, as well, sentiment is getting a huge boom within china from the talk about the inclusion of chinese shares in the msci index potentially next week. what clihina doesn't have is the earnings and valuation. as i said before earnings are simply not coming through for the listed companies which is why we're look at a stock market which in many cases trading many times earnings. the market is discounting earnings recovery that i simply don't see there. so this is a very difficult time to be a fundamental investor in china. >> are you just closing your eyes and buying, ross? >> no. simon convinced me to buy more. you've got every retail investor in china buying chinese stocks and they're finally allowed to do it. but my sources in china say something big will happen. they will allow all the insurance companies and investment companies in china now to invest in stocks all over

the world. we're seeing a massive amount of liquidity coming in and the average chinese person wants will this. so we'll see a lot of volatility, but when we look back from five years, this is a huge moment to see china break out to be the leader that it will be in the future. >> but ross doesn't this remind the activity there remind you of the boom in the 90s? >> it ended in some ways badly, but innovation is still going on. we'll see extremes with chinese markets because they love to gamble there. they're gamblers. this is a gamble for them. so we'll see it go up a top, pull back a ton. when it pulls back that's when you want to buy because i think longer term we'll see an inflow of liquidity from literally hundreds of millions of people who want to invest. >> so simon, when you hear ross, what does that make you think? >> well, again, i agree. i think the value if you want to be looking at china is to be looking at the market in hong

kong accessible to international investors where the same companies are trading at 35% discounts. a share market is harder for international investors to access. it is possible. but as i say, the h share market is i think either way the valuations with the a share market premiums will come down. stocks falling, you will see following the a shares and valuation narrowing that way. you're already seeing many hong kong brokerages actively encouraging mainland investors to open accounts in hong kong. the point ross makes about the outflow of chinese capital is a very important one because the most -- if you look it asset that is most familiar it chinese investors, it's the hong kong market. that's where that money will flow first. >> we have our acronym, as well.

levis. >> hong kong is definitely the way to play the market. but also look at u.s. companies in china like imax and disney which are capitalizing off the huge demand for entertainment assets. >> guys thank you so much. >> levis, abcs and david darst hasn't even been here yet. 38 minutes left in the trading session. the dow down 56 points capping off what has been a very interesting day and week. >> up next, if you're thirsty, how about a black cherry soda with tara gone. pepsi with a new line of exotic sodas. . >> also ahead, we'll look at the fine print in the jobs report and what it says about where the real growth in jobs lies in this economy.

the pursuit of healthier. it begins from the second we're born. after all, healthier doesn't happen all by itself. it needs to be earned... every day... using wellness to keep away illness... and believing that a single life can be made better by millions of others. healthier takes somebody who can power modern health care... by connecting every single part of it. for as the world keeps on searching for healthier... we're here to make healthier happen. optum. healthier is here.

welcome back. pretty evenly split as you can see from the heat map of the s&p 500 which is down just about two points right the now. we were talking about the financials moving higher but other parts of the index are having a little more trouble staying positive. >> pepsi is trying to add some fizz to the soda business taking a page from the craft beer craze out right now. the soft drink giant says it is set to launch a new line of

craft fountain sodas, what they're calling stubborn soda. it will feature plays vanilla cream, black cherry with tarragon and orange hibiscus. >> let's bring in sara eisen for more. >> well, it's an interesting move. pepsi is going pretty far into the craft category which is pretty much nonexistent for carbonated soft drinks. the backdrop is ten years of declining soda sales in the united states. we've seen enormous success with craft beer. so the thinking here from pepsi is that it will have similar success when it goes in to craft. when it comes to coca-cola's craft offerings, they do have next can coke which is in a glass bottle and suitesened with real sweet anned with real sugar. but pepsi is going prettying a guess safely after this market. the jury is out, though because keep in mind it's very small. but independent brands like ginger sodas and jones so hedas

have been doing really well. >> there is a five guys by my house and they have these soda machines, very high tech. and it must have 100 flavors inside. it's a fountain thing. unbelievable the number of flavors you can come up with. pineapple cream. are these going to canal balancize each other? >> this is where the consumer is going, bill. and that is choices and personalization. it's the whole trend behind whydo it yourself, know what is in your sodas and customize your own flavors. coca-cola had the free style machine where you can choose the combination of flavors, flavor your coke with other drinks as well. and pepsi introduced the entirespire machine. these are attempts to get what consumer wants which is

increased choice. the question is too much choice going to be too much for the consumer. that's for instance something coca-cola has found in the past that it has to limit it and sort of curate more carefully. but all of this is in response to a pretty slowing category. >> and in a way i do think it's reminiscent of what is happening in the beer category where you have a lot of the smaller are more flavorable individual flavors coming out and it grows whole category. so companies trying to innovate. >> and one of the questions people are asking with these kind of moves, is pepsi outinnovating coca-cola. because at least in the last year or two, it has been outperforming in terms of the stock. when i talked to some analysts about this question, they said yes maybe in terms of the surprise announcements but coca-cola may say is outexciting pepsi. and what they mean there, coke has taken what has been a slowing category and found growth in smaller packages.

smaller bottles, smaller cans and trying to get more money out of that with higher prices. and they're seeing tremendous growth there. that's been the coke response. could you argue coke has a lot more to lose because it's the dominant number one player. it won't abandon that category and that brand all together. so that's why pepsi is taking more chances. >> coke has many flavors. >> have you tried all 100 of them? >> coke zero. thank you, sara. have a good weekend. time now for a cnbc news update with sue herera. >> here's what is happening this hour. a federal grand jury has found former bp executive not guilty of making false statements to investigators in connection with the 2010 gulf of mexico oil spill. prosecutors had said that david brainen brainey manipulated calculations. france's foreign minister is

criticizing over the french toll com announcement that it wants to cut ties with israeli. its ceo says he wants to he said his company's relationship with an israeli partner because of sensitivity to arab countries. 21 people were injured after two trains traveling in the same direction collided in a rome subway. an official says it was human error. the witness said a collision threw passengers to the floor causing panic. understandably so. a new doughnut at taco bell. it will roll out captain crunch covered balls of dough nationally. and that they are exempt from its recent pledge to remove artificial ingredients. captain crunch delights rolled out on july 2. yum. that's the cnbc news update this hour. back to you. >> thanks a lot. i have to say, captain crunch actually one of my favorite toppings. but that's another story. we're in the last half hour of

trading and we usually see a big spike in volume. matt, art cashin told us last week 42% of the volume happened then. today what kind of pressure are you feeling as we head into the close after that jobs report? >> i think a lot of it was played out early and i think a lot of it will be overanalyzed this weekend. so we won't see a whole lot of volume this week. there was a rebalance that took place last week. i don't think the job number will be a spur for anything more than what we already have today. it's been down 60, been down struggling rallied all day. we haven't seen it at all. >> so the jobs report people are kind of leaving that one. opec, nobody really dwelling on that. even had oil prices moving higher today. where are we seeing moves in the activity? >> i think the credit markets are saying that the fed will have to raise rates toward the end of the year now. 50/50 odds.

before it was maybe 30/70. so that's probably a market that has been busier especially on a friday. so we will probably see lower volume going forward. so they're kicking the can down the road to the he said offof oig of july. probably hot spots in m and a. weekends have been a big move. especially in the media sector. >> thanks. we'll leave it there. thanks. >> 28 minutes left in the trading session. dow down 59 points. when we can back it turns out mcjobs may be saving this economy. we'll break down the key drivers of employment growth in the country coming up. also it's been a hot friday for initial public offerings on wall street. the ceo of one of those companies going public will stop by. it's a medical device company looking to shake up the cancer detection industry. the ceo of endo choice is

ringing the closing bell, but he will join us first. hey, what are you doing? you said you were going to find out about plenti, the new rewards program. i did. in fact, i'm earning plenti points right now. but you're not doing anything right now. lily? he's right. sign up, and you could earn plenti points just for being a wireless customer. in the meantime, i just kick back and watch the points roll in. where did you get those noodles? at&t cafeteria. you mean the break room... at&t - the only wireless carrier to be a part of plenti now when you add a new phone line to your wireless plan you get 5,000 plenti points to use in lots of places. shopping online... ...is as easy as it gets. wouldn't it be great if hiring plumbers carpenters and even piano tuners... were just as simple? thanks to angie's list now it is. start shopping online... ...from a list of top rated providers. visit angieslist.com today. ♪ ♪ ♪ (charge music) you wouldn't hire an organist without hearing them first. charge! so why would you invest without checking

brokercheck? check your broker with brokercheck. leave early go roam sleep in sleep out star gaze dream big wander more care less beat sunrise chase sunset do it all. on us. get your first month's payment plus five years wear and tear coverage. make the most of summer... with volvo.

with crude oil moving higher in the wake of opec's key

meeting, we brought in jackie deangelis to explain what is going on. >> it was a very interesting reversal that we saw in the afternoon. initially after we got the opec statement out that it would not be cutting output it was pretty much as expected. we did see crude oil trend a little bet lower. the reverse on the afternoon based on a spike that we saw. traders telling me they are still worried about supply and demand, so they will be watching production carefully. however, in the interim for the rest of june and potentially to july 4, the sort of peak of the summer driving season they will be watching those moves in r bob gas to probably lead crude higher. remember, we've been in this trading range 55 to 65 dollars a barrel. down 2% only on the wti for the

week. back to you. >> last time opec decided not to cut production is when we saw this collapse in the price. we were in the midst of that. is anybody on the floor there at nymex talking about a similar move now that they're still holding steady for the another six months? >> absolutely. and what is really interesting we think we'll finish around the $60 level, but that we'll see volatility until then. a four handle is not out of the question at this point. and of course all eyes will be on the next opec meeting which won't be until december 6 until they will take some potential action. >> that's about the time of another fed meeting coming up as well. >> exactly. >> thanks jackie. call it the mcjobs bounce. this morning's jobs report did show a healthy rise in a leisure and hospitality space. jeff cox has details on that part of the story. >> that's right. over the last month in may, we

saw about 57,000 new jobs in the leisure and hospitality industry. that was the second highest of any sector. now, i saw something very interesting today. the national employment labor project put out some numbers that showed that fast food jobs specifically have increased 23% over the last 15 years while the larger job market was only up about 5%. what does that mean? i think it provides a very useful microcosm. we're getting closer to the full employment level that the federal reserve is seeking but we seem to be getting parts away from that price stability goal that they have. so presents a very interesting challenge. and i think a lot of that momentum, a lot of that steam towards the september rate hike people need to keep this kind of thing in mind that we are still a ways away from creating the type of job market that we want. >> let's bring in our senior economic reporter steve liesman, as well. thank good innessness for the service

sector. >> it's the biggest part of consumer spending. there is a lot of conflicting day take. data. the whyidea that there have been jobs create doesn't mean the quality of jobs overall is bad. it's about one of ten jobs created. we've created 3 million jobs over the last year and about 300,000 or 400,000 have been in the food and drink establishment part. >> trying to figure out what parts should have us worried and what are just the reality of the economy. >> there is the slip side of course. some people will tell that you they are the sign of a healthy economy because especially if you're getting hotel workers and restaurant workers, that kind of thing, it reflects demand. but i think when we look at wages at 2.3% overall annualized wage gain, probably not where we need to be especially when you

look at some of the other areas of the economy that are slow and that are actually showing some very slowly increasing inflation signs. as far as the job market goes i still hear a lot of this skills mismatched situation. i think that there are still a lot of inefficiencies in the job market. you can't look at one month's number and say let's pop the champagne corks, let's hike rates. >> steve, what do you make of the rest of the economy where jobs takeraditionally are growing manufacturing and government? >> i think where we are, i think jeff is right. probably may overstates the strength in the i don't think mar job market. probably best to think of it like a 200 itto 250 job growth economy. looking at job creation in lower paying areas might suggest that there is swlak in the economy. certainly some people could be

working at higher added value levels in the economy that are working down in those sorts of places right now. i think overall where we are is we had a negative first quarter. part of it statistical noise, part of it probably weather and weakening in the economy there lower oil prices and strong dollar. we're in the midst of a bounce back. bounce back not as strong as some would have hoped, but early day in may yet, still plenty of data to come. let's see if we get a follow-through on that strong auto sales number in the retail space and in the retailer is visits space to see if the consumer finally starts to spend. and then we'll get a better read on whether the economy is doing better. >> steve and jeff thank you both. really appreciate it. we'll send it out to dominic chu for a news alert. >> what we'll tell you right now is that shares of the uk beverage alcoholic giant are spiking. you can see up by nearly 7% right now. so what is behind the move is

possible deal chatter. now, we'll caveat this, right? what is happening is diageo is moving because there is a report out of a brazilian news outlet that says the billionaire and his 3g capital might be looking at a possible takeover of diageo. that report is then being kritscited by bloomberg. so what you have is chatter about a possible takeover of diageo that is then cited by bloomberg. that is moving the stock. we have not independently confirmed whether or not any kind of deal chatter is happening, but still we just want to call your attention to the stock move and tell you that is what is driving it. we'll bring you more details as the store developments. >> i'm telling you, everybody is thinking deals all of a sudden as they start to see the cost of money go higher with rates going up. >> but we should note even when there are companies like humana

and others remember salesforce.com, it's not over until it's over. there is going to be a lot of rumors especially as the deal making cycle picks up and especially going into a weekend. >> heading towards the close toward that weekend with about 18 minutes left dow down 67 points right now. >> coming up former head of wells fargo will tell us why he says spike in mortgage rates won't hurt housing demand. plus we'll round up today's initial public offerings and speak with the ceo of endo choice.

you used to sleep like a champ. then boom... what happened? stress, fun, bad habits kids, now what? let's build a new, smarter bed using the dualair chambers to sense your movement, heartbeat, breathing. introducing the sleep number bed with sleepiqtm technology. it tracks your sleep and tells you how to adjust for a good, better and an awesome night. the difference? try adjusting up or down. you'll know cuz sleep iq™ tells you. only at a sleep number store where you'll find the best buy rated mattress with sleepiq technology. know better sleep with sleep number. here at td ameritrade, they're always working. yup, we're constantly making thinkorswim better. like a custom screener on your desktop, that updates to all your devices. and you can share it with one click. wow. how do you find the time to do all this?

easy. we combined every birthday and holiday into one celebration. (different holidays being shouted) back to work, guys! i love this times of year. for all the confidence you need. td ameritrade. you got this.

welcome back. a lot of commotion on the floor. endo choice holdings has gone public. it's a medical device maker. you can see the shares rallying about 7%. >> and joining us is the founder and ceo of the company. i know you'll be ringing the bell a little bit later. we don't often have a medical device company going public right now. why go public now and use the public place to raise funds? >> we've had a lot of momentum over the last couple years. more than 35% compounded growth. and we have a fantastic new

technology full spectrum endoscopy. it's changing patient's lives. we need to fuel that growth. >> so you raised how much today going public is this. >> about $100 million. >> and what will do you with the money? fwh >> expand the sales. >> does that mean hiring? >> it does. we were in my basement just seven years ago and now we have over 400 he employees around the world. >> it's a multicamera technique? >> most people appreciate colonoscopy. and we have detected 69% more precancerous polyps. making a huge difference. >> let's talk about going public still being a relatively small company at this stage. did the jobs agent and some of those changes help spur you being make it easier smooth the process? >> for sure it did. taking down some of the barriers, making it easier to get there sooner. it's a help for sure. >> how to you grow this company. i don't want to say you're a one

trick pony with this one product because it is a very important product and there is room to grow i'm sure. but how do you plan to grow? >> i'm glad you raised it. this product is new, but we've been in business with over seven years with over 600 products. so we're a platform company, hundreds of products, 0 to $60 million in sales next year. and this is it a special telling technology that will fuel the growth. >> do you plan on being the next medical guys makers? >> i won't use those word but we're doing really well. >> they're ready for you to go ring the closing bell. thank you very much. heading into the close here keeping an eye on these markets, we have the strong jobs report this morning and stocks are struggling to stay positive. >> david darst will give us his assessment.

the pursuit of healthier. it begins from the second we're born. after all, healthier doesn't happen all by itself. it needs to be earned... every day... using wellness to keep away illness... and believing that a single life can be made better by millions of others. healthier takes somebody who can power modern health care... by connecting every single part of it. for as the world keeps on searching for healthier... we're here to make healthier happen. optum. healthier is here.

about 8 1/2 minutes left in the session here, down 53 points.

art cashin told us we have about $700 million to sell but he says the tape looks like about half of that will pair off before the close here. >> and we've got david darst here with the big jobs report this morning, deal news, greece happening. how do we play the market. >> i used to work at an exxon service station in high school. and when we tried to fix a car and could not make that car run properly, it wasn't hitting on all cylinders the market is not hitting on all cylinders right now. and we had an stregs ifexpression, if the fire ain't hot enough the chicken won't cackle. average hourly earnings 2.3% year over year. new jobless claims below 300,000 for 13 weeks in a row. 280,000 jobs we've added. that's a million jobs thus far this year. new construction spending. new home sales.

lead economic indicators. doing well. >> all things being equal, that's anemic but it is the new normal right now right? >> it's the new normal right now. you have the worries about greece and the popeye cartoon strip used to say i'll gladly pay you tuesday for a hamburger today. that's greece. and the market did not like that. but you get what you need to see is people go out and spend. you need greater retail sales. motor vehicle sales is not the same thing as sales in a department store. you have to have more growth and the fact that the oil price has stabilized and the dollar has gone down a little bit is very, very good for the product numbers. in due expect those things to keep happen something a lot of people think that's just a pause. >> morgan stanley goldman sachs

are all looking for 2.5% for 3% for the second quarter. 2.5% for 3% for the third quarter. for that to happen, people have got to start spending and they're not spending. that's one of the keys. this average hourly earnings pickup, bill kelly, may help that. home prices that should put them in a good mood. but there is this lack of conviction conviction. his ham wasnim was william butler yates says things fall apart the center cannot hold. the best lack all conviction while the worst are full of passionate swrens passionate intensity. and that's the market right now. >> poet laureate of closing bell. >> go american women in soccer. let's have a win up this canada and go america pharaoh.

if the fire is not hot enough the chicken won't cackl eflt. >> i like it. we're coming back with the closing bell. >> and we'll have reaction and fast changing beat on the front and back ends of the music business. when the moment's spontaneous, why pause to take a pill? or stop to find a bathroom? cialis for daily use is approved to treat both erectile dysfunction and the urinary symptoms of bph,

like needing to go frequently, day or night. tell your doctor about all your medical conditions and medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain as it may cause an unsafe drop in blood pressure. do not drink alcohol in excess. side effects may include headache, upset stomach, delayed backache or muscle ache. to avoid long-term injury, get medical help right away for an erection lasting more than four hours. if you have any sudden decrease or loss in hearing or vision or any symptoms of an allergic reaction stop taking cialis and get medical help right away. ask your doctor about cialis for daily use and a free 30-tablet trial.

there's some facts about seaworld we'd like you to know. we don't collect killer whales from the wild. and haven't for 35 years. with the hightest standard of animal care in the world, our whales are healthy. they're thriving. i wouldn't work here if they weren't. and government research shows they live just as long as whales in the wild. caring for these whales, we have a great responsibility to get that right. and we take it very seriously. because we love them. and we know you love them too. [ male announcer ] legalzoom has helped start over 1 million businesses. if you have a business idea, we have a personalized legal solution that's right for you. with easy step-by-step guidance, we're here to help you turn your dream into a reality. start your business today with legalzoom.

let's do a quick review of the week. this is the dow. we peaked out on wednesday and then it was south after that for much of that day and all of thursday and today we're done 46 points right now at 17,858. of greater interest was the bnd mar bond market. tim seymour said it's the bond market buying volatility stock market buying complacency. ten year note up to 2.43 this morning on that spike after the jobs thumb came out. we're going out at 2.40 for the week. ten year yield is up 14.6% if you want to put it in that way. oil also a volatile commodity right now, they have the opec meeting today, they held production. price went up anyway. but as jackie pointed out, even with today's rally, the oil market is down 2.3%.

hello, bob paisanipisani. >> i'm very happy, not only am i happy with the numbers, happy at the stock market's reaction today. rates went up stock market did not freak out. we saw the vix behavior relatively well. we're in the seeing volatility go through the roof. transports, remember we've been complaining about that. best performance of the week up 2.5%. am ex-up up, truckers were up. utilities got hit. i'll take utilities down 4% with a stronger economy any day of the week. the point is interest rates are inching up and stock market is not falling far. >> but they're getting ready -- with all the fed speak still the fed wants to raise rates. but will they be able to. >> a lot of people on the floor, one and done in september. and then they make a statement

that they're unlikely to do it the rest of the year. >> going out with minor minus signs except for transports. that's it for the first hour of the "closing bell." stay tuned. a look ahead to another very important week for the markets on the second hour of the "closing bell." thank you, bill. welcome to "closing bell"." let's take a look at the stock market because i think we just didn't quite do it. dow jones industrial average going off with a decline of 55 points. s&p 500 losing 3 and it was up earlier last hour. but 2092 is the closing level. nasdaq is up nine points to 5068. we have to talk about bonds and other things moving around. let's get right to it. we have michelle caruso-cabrera.

and evan, welcome to you. we have mike santoli and tim seymour. welcome to you, as well. michelle, glad you could make it. you're not in athens. >> frankly, the imf pavement i didn't think was ever going to be a big deal and it did happen. >> and it wasn't. >> and it wasn't. so we all sr. striveurvived. june 30 is a key rate and we always wait every day it see if they're forced to put in capital controls because the runs at the banks get too big. >> meantime opec meeting thrown at us and oil moves higher. we have the jobs report thrown at us and i guess the biggest mover was that ten year interest rate. >> yeah people should watch us every now and then kelly. certainly you. i don't know about me but you to see -- we've been talking as to whether or not the economic news will be better than everybody anticipated. >> you can give yourself some credit.

>> and i think that was confirmed with today's job report. and bond yields moved higher. and i think the real thing going forward will be how bands do on monday. i think that's what i'm looking at. >> i'd love to know how much further do they go. mike, how much further do you think ten year bond yields realistically can go. >> yesterday i thought the markets had gone a listeningnk long way. so i think it tells you we've priced in the exact place we're at in terms of what the domestic economic growth is telling you. if you couldn't get there on 280,000 threat new jobs maybe flows will come out of bonds. i think that is already starting. but i don't really see them taking off to the up side here. the short term treasury is definitely pricing in sooner fed rate hike than they were a few days ago. but to me, i don't think the story is that yields raise higher in a straight line here. it's that stocks -- or default

mode for stocks is too to nothing and wait and main street outperforms wall street. >> mike if you were a bond investor you go look at your mutual funds or your bnd funds this weekend and you see that you're down if you have long term treasury fund 5% for the year, probably 11% or 12% since the peak. does that not cause redemptions, people holding bonds to go maybe i don't nts with aa want to be here? >> i don't think people holding bonding because they want them to perform really well. i feel like something has to get scary in the bond market. and this isn't scary. this is an orderly mark down of bond prices. maybe people will be scared out slowly. but i don't really see that being the main driver here. global yields will drive things a little more than mom and pop flipping through the paper this weekend. >> but i do wonder people think bonds aren't safe.

you're not supposed to lose money in bonds. >> we've talked about this to many years. there has been a 33 year bull market in bonds. if you're a bond investor you have to think whether or not we hit all-time low yields about three months ago, whether or not you really -- certainly the 30 year was at an all-time low. you're going best case, how much money am i going to make in long term bonds this year. >> tim, what is your view on this one? >> u.s. curve moving on the back of europe and oil. so where is the ten year going and look at where nine months ago and where we were in the summer when oil was at 80 90 100. and before the ecb really telegraphed what they did in january. it gets you to about 265 in the ten year. i don't think rates will move significantly. having said that, we've had a 60 basis point move in the ten

year. this germany almost a 20 times move in the ten year bupdnd. so it means there is a lot of value actually right now for people that are trading the ten year. so to say it will go to on 3% right now, no way. in fact i think the trade today on that payroll number was to buy the tlt. two times long and short. >> we're showing the three month chart. one year chart may go down as the chart of the month. could be the chart of the year when you look at that like boomerang. i mean if you were trading that and you're on the wrong side of that trade stick the knife in yourself. give me a one year and you'll see just how cataclysmic -- there it is. >> and while we pull that up, i want to bring another voice into the conversation. larry kudlow sir, thank you so much for joining us. we want your take on today's jobs report. a lot of the cross currents in the market.

people trying to make sense of the fed. boil it down for us. >> well, my guess about the fed's interest rate is that they will move at the speed of an injured snail. and that's still high best view. so you might have a quarter point in september or sometime before the year's over, but they're in no rush and therefore i'm not so worried about bond rates. bond rates are probably where they should be. in the long run high sense is you still want to be in the stock market. janet yellen said stocks are overvalued, right? ben bernanke answered on his blog that stocks are not overvalued. i happen to think bernanke is right and the feds will take its time and the economy is probably growing at 2.5%. that's it. >> so for people who are in bonds or bond funds if they start to realize maybe i can lose money in this asset class, how do they behavior and what does that mean for markets? >> well, you're right. of course you can lose money. you're had a selloff in the

price here as it's gone up to 240. i think if you're long term investor, if you're retirement investor, you want it hadder up your bond holders. you can't want everything in your ten year bond because you may get clobbered. if the fed were letting the market run, the ten year bond would probably be 4% today instead of 240 because that's nominal gdp rate. but they're not letting the market run and they will continue to repress rates. >> and i think that is the key point. you're dealing with a very strange market right now where both the fed ecb, central banks around the world have basically repressed rates. and the question is as you normalize -- >> but is that really the case is this interest rates were largely falling as people were losing confidence. suddenly data comes out and that's what has pushed -- >> if the feds sold their $4 trillion or $3 trillion to $4 trillion of 10 to 30 year bonds,

what will rates do? >> they won't do that. they're not going to do that. here's what they're going to do. as an injured snail, they will raise very gradually. you know, the tailor rule says fed fund rate should go 1.5%. and that's a reasonable expectation. but stocks are still the game. stocks are still the game. maybe difference depdvidends stocks. >> larry, thanks. let's bring in dominic chew with the top with the top stocks for the week. >> every week on fridays we'll take a look at some of the best stocks over the course the week.>> every week on fridays we'll take a look at some of the best stocks over the course the week.week. >> every week on fridays we'll take a look at some of the best stocks over the course the week. cnbc pro will take a look at what is driving them. so let's kick it off with a look at the best performer in the dow and that is jpmorgan chase.

you were talking about interest rates. that play as big story. for a lot of these banks as the long he said of theend of the curve gets hire and the short end stays static profit margins improve. maybe that's behind some of that move. another one to watch, on a slightly smaller scale, the regional banks. specifically banks like zion's, one of the best performers in the s&p 500 it had some restructuring news. they will make some operational changes, some management changes to make them more efficient. the street liked it analysts are coming out with bullish commentary. hose share you can see the sharp move high are. that's one to watch. and then the final one, large cap stock within the nasdaq 100. but it kind of plays into the overall nasdaq theme.

shares of wynn resorts. they have not had a good run. but here we're starting to see a little bits of a pop and we're hearing perhaps more unsubstantiated chatter about possibly deals possibly takeovers. but some analysts are starting to weigh about this whether that can continue or not. but still those stocks three to maybe watch. good performers this week. we'll see if it happens next week. but again for the whole story, you'll want to go to cnbc.pro subscribers can get more of a look at some of these stocks. back to you. >> great stuff, dominic. tim, let's start with wynn. will that move with the chinese market and how much should we place on the chinese market continuing to move higher? >> the move in wynn is three or four day move. a couple upgrades yesterday. all these casino stocks that have heavy macau scores are up.

you're down 37% year over year from 39%. so what do i think about macau? it is getting better slowly. i think there is a little bit of a head fake in terms of optical cheekness. i'm not sure i'd be buying wynn. >> meanwhile we heard mike mayo mention zion's last hour too. he said citigroup could ezly double and we know he's baun bullish on citi. do you expect the financials to keep doing well? >> i think citi is its own animal. it's so far below its highs of a few years ago. which really right now it is just trading off the yield curve. so i don't know how much umph is behind this move. it will move tick for tick with other market rates. i don't think you have a lot of confidence in the rest of the story which is the capital return and really just top line and loan fwroets. so it will be a decent play.

it makes a lot of sense to me, but i don't necessarily think there is much of apedge i don't understand playing that yield curve. >> all right. we'll leave it there. a word on the banks here? >> i do think that in arising interest rate environment, they generally perform better. but i think there is so much regulation on the banks, that it will keep a lid on those stocks. >> tim. >> i kind of like citi and i think they have the most operational wlempg in theleverage in the space. they're the cheapest one. so i'm long citi. >> we'll leave it there. thank you, sir. much more of tim seymour coming up on "fast money." they will be talking more about this market that we're watching trying to rally on the back of the jobs report. mortgage rates are on the rise. so could a fed rate hike spark a rush to buy homes? plus big financials nearing multiyear highs. is it time to start betting on the banks which tend to bep

benefit from rising rates. that and much more when we come back.

market watchers are getting more confident the fed will

raise interest rates this year. but how will a hike impact mortgage rates and home buying? diana olick has those details. >> reporter: well already 4.25% is the new normal on that popular 30 year fixed mortgage and that is a high for the year. take a look at where we've been over the past just two months. down near 3.6%. the last time we saw a climb this steep was after the so-called taper tantrum two years ago. so what does that mean for both home buyers and sellers? well, for the home buyer the difference on the monthly payment on a $200,000 loan from the lows of this year again away 3.6% to today at 4.25%, about $72. that might not sound like a lot per hontsmonth, but it could cause a problem qualifying for the loan. a lot of borrowers are just getting this under the debt to income guidelines and that that

small increase could be enough to kill the deal. for sellers, it means your potential buyers can afford less. obviously we still have a very tight supply issue nationwide which hasslers in the driver's seat but as rates rise sellers will have to reconsider their asking prices once again. if you want more stats and interesting insights cnbc.com. >> thank you have a very lush looking washington, d.c. diana olick. let's talk more about housing with the former head of wells fargo, one of the biggest banks in lending today. welcome, good to see you again. >> thank you. >> so mortgage rates moving higher. people have to pay more each month. maybe that brings housing prices down. how do you anticipate home buyers will react to all of this? >> i think what url happens, if you expect the interest rates to go up you better get in line right now and buy a home. and i think they will be going up. i think a year from now mortgage

rates are likely to be higher. home prices are still from a historical perspective good. and so it's very affordable. and if you want to buy a home and you can afford to buy a home, you should probably start doing it. >> so you think this will spur people to act because rates will keep going up? >> exactly. >> good for the housing market? >> initially, yes. but these are still historically very low interest rates. so i think the housing market if we have a better economy and particularly lower unemployment and so on will continue to improve. >> i have a question. michelle go ahead. >> why do you think rates have moved so fast and so sharply? >> because they have been manipulated. they were thushly lyunusually low, so when you realize that the fed will change their monetary policy be forced to change it we need to get to what i would call a market rate and we're probably not at market rate today. still being manipulated. and that's why it's very hard to determine what the rate should

be because it is not a pure market rate given the fed's interference. >> larry kudlow suggested that the market rate might be 4% to which we were having this argument what does the stock the fed holds, and you're saying it really does have an impact. >> yes. >> i don't want to turn this into it a pick on fed segment, but i'll do it in any case. is the fed getting it right at this stage or do you think the fed has just waited way too long? >> i don't think the fed has gotten it right over the last three years. i could tell you doctor. but i think that the fed has been making a huge mistake. the fat cats are making -- are enjoying record stock market prices and the ordinary americans are getting ten basis points on their savings. that doesn't give them a lot of discretionary income.

and then we have very low inflation which i think is good. and the fed wants higher inflation. so you have wages that are at the moment higher than inflation, so you have real income for middle income people. if we were at the fed rate of 2% they would have negative real income. so why is that good? >> but what is it that you think the fed should be doing? they should have raised interest rates before? >> at least they should be doing it now. a quarter percent will make no difference other than saying, okay, we're on our way now the market will anticipate that and get closer to the rate. but the feds should not be buying anymore securities at all. they should let maturities occur, pay downs should you know, be there. and they should reduce their -- they shouldn't grow their portfolio at and you would. >> what do you make of christine lagarde yesterday trying to tell the united states to not raise interest rates? >> well, europe has issues.

>> but we're the united states. >> but she's french so -- >> so you would disagree i'm assuming. >> yes. >> what are the prospects for commercial banks going forward given the low rate environment and the relative burden of more and more regulation? are you bullish on the prospects for banks going forward, are you cautious given the heavy regulatory environment? >> if you look at the pe ratios they're relatively lower than the rest of the market. so the question is how are they representative of the market today and i think the market isn't respecting the fact that it's difficult for the industry. but rising rates help banks obviously. and particularly helps if because rates are rising that the economy is doing better. so a double benefit. and these low margins are difficult for particularly community banks to make money. large banks have fee income, but

community banks are struggling. >> well, we hope that if you're right about the housing rebupd maybe that spurs a little bit more. dick, we'll leave it there for now. thanks so much for being here. companies have been lobbying the government to expand the temporary worker visa system meantime. is that because they really just want to replace higher paid american workers for cheaper foreign ones? that's next. first, though, they are he's not just rocking the music world. linkin park just invested in ride sharing service lyft and up next they will tell us which of their hot names they are putting their money into. when a rewards card is designed to sync with your life it gets talked about... ♪ ♪ ♪ so you can live the way you live, and enjoy all the rewards.

chase sapphire preferred. so you can. over 20 million kids everyday in our country lack access to healthy food. for the first time american kids are slated to live a shorter life span than their parents. it's a problem that we can turn around and change. revolution foods is a company we started to provide access to healthy affordable, kid-inspired chef-crafted food. we looked at what are the aspects of food that will help set up kids for success?

making sure foods are made with high quality ingredients and prepared fresh everyday. our collaboration with citi has helped us really accelerate the expansion of our business in terms of how many communities we can serve. working with citi has also helped to fuel our innovation process and the speed at which we can bring new products into the grocery stores. we are employing 1,000 people across 27 urban areas and today, serve over 1 million meals a week. until every kid has built those life-long eating habits, we'll keep working. ♪ every auto insurance policy has a number. but not every insurance company understands the life behind it. ♪ those who have served our nation have earned the very best service in return. ♪ usaa. we know what it means to serve. get an auto insurance quote and

see why 92% of our members plan to stay for life. here is a look at the dow today dropping 56 points after that stronger than expected jobs report again some concerns the market anticipating the federal reserve perhaps moving sooner. the nasdaq did close positive. it seems meantime like every wants a piece of the music business. youtube saying it is about to unveil youtube for artists providing direct marketing tools. plus apple watchers are anticipateing the announcement of the music streaming service monday. who stands the best chance of succeeding in this new environment? joining us mike and brad there linkin park. gentlemen, welcome back to you both. >> thanks for having us back. >> mike let me fin withbegin with you. how transformative could apple's

new streaming service be? >> it's kind of like first of all there is definitely room for more paid only services. and i think our policy as a band has always been to go where the fans are and i think the fans do the same. they go to what ever service they are drawn to. >> brad we've heard concerned about spotify. do you think that apple's new service will offer better terms to artists? >> i think that one might be above my pay grade. we really focus on the user experience. what our fans -- the experience our fans get whenever we share our contents. so we're always looking for partners that really put the fans first and that's been our orientation from day one. >> mike do you have any concerns with spotify are or the

streeping model of compensation versus the down load one? >> i mean i think really more than that there is a focus on what kind of premium kept or contents an artist can give. and those conversations are always important n. and tricky. i'd say definitely with tidal, you have a group of artists who are part of founding team and they have equity. and it's kind of limited to that team at a certain point. when you have apple, you have a lot more reach you have this massive corporation that touches basically everybody on the planet. so you have huge marketing value there. and at the end of the day, i feel like as an artist you have to do what you peel is right for your band or your music and your

fans. >> i have two questions for you. first can did jay-z pick up the phone and call you given that you have fair bit of experience in the whole, you know intercession of the digital world and music, and second -- >> i didn't. did you get a call? >> i got a call from yeah there someone named ray-z, but he wasn't calling about streaming services. >> the second question i have are there enough profits in all this to feed all the players that are in this? the music industry on the whole i think probably seeing contracted revenues. is there enough money in this to keep everybody involved with some degree of profitability? >> one thing that is really interesting to us and it's one of the things that has really driven us to take an extremely proactive approach and really fuels our passion also with the venture funds that we're working on is we know that the recorded music industry has been

contracting for years in terms of the physical sale of music. and what we know is the role that music plays in people's lives is bigger than ever. so one could look at the period that we're in pessimistically or as we're seeing it you know through so much disruption comes a lot of opportunity. we want to be on the forefront of finding the partners that will usher in the best experience going forward for music fans around the world. >> and i want to make sure viewers know everything you're up to. you have your first fund called msv fund one naturally. you'll make 15 to 20 investments over the next two years. it look like you've made three in ship robin hood which a lot of people here are watching closely, it's an app for investing, and lyft. mike, 15 to 20 investments when people in the area are already talking about a bubble in silicon valley. do you see a lot of opportunity still, do you have any of those concerns that you're getting in too late?

>> well, i think that for us we've had a number of years of experience in the space both personally and as a group. we actually added a fourth investment, we got the green light on being able to talk about it, just today. we added blue bottle coffee to the portfolio today. and i think that gives you a picture of kind of the diverse nature of this fund. so that is to say i don't think it is all about tech and i also think that tech is such a broad thing at this point that, you know, is there a bubble are things potentially overvalued? definitely, sure. do we -- i think we've already been involved in this for a long enough time that we've seen some ups and downs. we've invested in things as a group before and had partnerships with companies that had a lot promise and then it

didn't work out. and we've had some wins as well. so, yeah we're in this for the long haul. >> all right. well, blue bottle, that will keep you caffeinated for it. so thank you so much for joining us. have a great weekend. >> thanks for having us. time thousand fornow for a cnbc news update. >> here's what is happening. a college friend of boston marathon bomber dzhokhar tsarnaev has been sentenced to 3 1/2 years in prison for his part in hiding evidence related to the 2013 attack. the 21-year-old was convicted of obstruction of yus tisjustice for removing tsarnaev's backpack from his dorm room. authorize way's government pension fund will sell off many of its investments related to coal making it the biggest institution to join a agreeinggrowing movement to abandon fossil fuel stocks. cardinal health plans to acquire harvard drug group for $1.1

billion to expand its distribution of generic drugs. harvard is one of the thags's largest suppliers of prescription and over the don't ter medications. and princess charlotte will be policened july 5 in a church in nolfolk where she and her parents live. the christening will be carried out by the archbishop of canterbury. and so far, no word about who the god parents will be. lots of speculation and that's keeping the british bookies very busy. >> i'm sure it is. thank you so much. much more closing bell owing of a after this. disney laying off worker. should more americans be worried? and also how is the trend healthier eating impacting companies like skinny girl. bethenny frankel is here and she'll join us on the "closing bell."

on the heels of today's surprising jobs report c in, went looking for where the jobs are and mary thompson found them at linked in. mary, what can you tell us? >> well, like a lot of other

companies, licked in edlinked in is looking for workers who can pull information from those text files created every time you or i click on a link. there is going to be a shortage of 190,000 of these workers in this industry by 2018. meaning the competition is fierce and this job market is getting hotter. so as linked in looks to hire 50% more data scientists this year than last go tigscompetition is forcing it look beyond computer science. it's been looking in to fields like political science and biomedical. the reason being is these fields, too, use a lot of big data. so when they hire someone from those areas, those people can easily use the work skills they learn there and translate them to linked in. a couple things. what do you need if you want to be a data scientist? obviously some affinity for tech, but also you need to be able to visualize and translate

all this raw information into information that business executives can use to make the critical decisions that they need to make in their business today. kelly, back to you. >> mary thompson thank you so much. and there is another jobs story we have to talk about, as well. this one highlighted in a new york sometimes article about disney hiring foreign workers and laying off americans. it's really a story about the h-1 visa program. critics believe the program simply being used to bring in foreigners who will do the job for less. joining me thousand with more director of immigration law and policy. and also immigration attorney.thousand with more, director of immigration law and policy. and also immigration attorney. gentlemen, welcome to you both. daniel, let me first begin with you. is it simply the case that foreign workers are cheaper and display american ones? >> well, what is actually

happening, there a business model which companies can use which the veeisa program allows them to use. disney fossil, cargill, a number of examples and it's because of loopholes in the program. so they are being used in that way. >> loopholes that you think should be closed or no is this. >> they should be closed. they should be changed to so workers cannot be directly replaced and so that workers who come into the united states should be paid no less than the average wage for the occupation that they will work in. and there should be rules to recruit u.s. workers so that they have a first and fair shot at the jobs. and requirement that employers hire those workers if they're equally or better qualified. >> cyrus, sounds like you work correct directly with a lot of these applicants. do you agree?

>> not all the time. a lot of employers want to supplement their workforce with h-1 v workers. only 65,000 and an additional 20,000 from masters degree holders. this year 233,000 applicants. it was too little. a lot of -- >> journal reported that some of those were actually duplicates and in a way applicants are spreading their applications around to two or three or sometimes more companies to see who can give them the best offer. >> this is not widespread but if there is an employee who has four or five job offers it's perfectly legal to have those offers and to have a company or many companies file more than one chlt 1h 1 v petitions. >> they are willing to work for less? >> no, the law requires that the employer pay the prevailing wage or the actual wage that is paid to similarly situated workers. whichever is higher.

>> but if you increase the supply of people willing to do the job, the prevailing wage would go down, right? it's supply and demand. >> that is true, but the workforce is neglect sgibligible when you compare to the total workforce. as an immigration attorney sometimes i feel the prevailing wage set by the labor department is higher than what americans get paid. >> i have a question which is isn't it true that among the big silicon valley companies, the big -- so like the facebooks or googles or microsoft or whatever they would like a lot more of these visas and they're not doing it for cost reasons they just want it so they can have access to the best computer science talent in the world and have them be able to work for them and it has very, very little to do with cost. isn't that true? >> i don't know about that. some companies, shall percentage of the visas coming this are being used because they're

highly skilled, highly paid workers. but to say big tech companies don't care about wages, that's just not true. there a big wage fixing scandal going on with google intel and apple where they stole literally billions in wages. and he talks about the prevailing wage rules, but he knows full well that is a legal figures. you can pay much less and the employer has control over that process. the gaos reported 83% of the visa workers are paid less than the average wage by occupation in local area. >> quick last word to you. >> that's not legal fiction. employers have to pay the prevailing wage. if they don't, they can be sapgsedsapgs sanctioned by the labor department. there are tough laws and we already have laws that have teeth and go after employers. >> there has been no enforcement. >> the program works and we need

more visas to make america more competitive. >> we'll leave it there. gentlemen, thank you so much. usually most people check out cnbc.com for investing advice. today betting advice. american pharoah first trying to become the triple crown winner in more 30 years. advice coming up next. and also 4 million federal employees may their info in the hands of the chinese today. cyber sector becoming a favorite of investors. but beyond profits, more is at stake. we'll discuss just ahead. ♪ ♪ call 1-800-royal caribbean or your travel agent today stake.

the pursuit of healthier. it begins from the second we're born. after all, healthier doesn't happen all by itself. it needs to be earned... every day... using wellness to keep away illness... and believing that a single life can be made better by millions of others. healthier takes somebody who can power modern health care... by connecting every single part of it. for as the world keeps on searching for healthier... we're here to make healthier happen. optum. healthier is here. big day? ah, the usual. moved some new cars. hauled a bunch of steel. kept the supermarket shelves stocked. made sure everyone got their latest gadgets. what's up for the next shift? ah, nothing much. just keeping the lights on. (laugh) nice. doing the big things that move an economy. see you tomorrow, mac.

see you tomorrow, sam. just another day at norfolk southern. jobs the big talk today. on what is heating up the hot list? >> what is kicking it right now your story looking at the weak productivity numbers. people are eating that one up. >> awesome. >> i'm also getting a lot of outrage clicks on a piece looking at the chinese playing with regulations to force tech companies to give up their source code if they want to do business there. and also great betting advice. if you're looking at the belmont, don't bet on gray horses. he has other ones this there, too. people loving that one. >> plenty to keep people busy. thank you. it could be the biggest breach ever. fbi believes china is behind the

latest crisis. with cyber security fast becoming a priority, up next we'll take a hard look at what is rely going on. there's no such thing as quiet time. but you can quiet the ringing with lipo-flavonoid, the number-one doctor-recommended brand. relieve the ringing with lipo-flavonoid. friday night, buddy. you are gonna need a wingman. and my cash back keeps the party going. but my airline miles take it worldwide. [ male announcer ] it shouldn't be this hard. with creditcards.com, it's easy to search hundreds of cards and apply online. creditcards.com.

. 4 million former and current federal government employees

hacked, just the latest in a long line of security breaches. joining us how, president of rsa secure i.d. and former director of national cyber security division at the homeland security. good to have you both with us. given your government experience, reports indicate there could be many other government potentially all other government agencies affected by this, as well. is this the biggest hack that we've had of federal government data here? >> i don't know that it's the biggest hack of federal government data, but certainly a very significant one. because it has the risk of exposing a tremendous amount of information about our federal government employees. and that of course can lead to all sorts of follow-on consequences. >> ian that's why we have you here. we're interested in what private sector solutions are coming to the fore. i mean, know about pal will he al palo alto and some of the

others, but talk about what is being put behind it. >> venture capital community understands these attacks is all but inevitable. we're focused now now on exfiltration, getting data out of these systems. kind of a firewall in reverse, if you will. >> explain how that works. i'm not familiar with that. >> so they use big data to analyze the behavior of computers inside the networks and then they look to see who's acting in an anomalous fashion and shut those computers down prior to the point where they can export data out. >> those are the kinds of system wes'd want in place across the government amit. do you have idea how how much these firewalls will cost? >> well no doubt money needs to be spent here. for all sorts of new solutions. unfortunately, there are no silver bullets. you have companies producing next generation malware detection and sandboxing technologies firewall technologies. there's new methods for

monitoring systems and helping to determine chp ones have been compromised and then helping to accelerate the cleanup and response efforts so unfortunately these cyberincredibly complex and we need to continually step up our game of monitoring and detecting and responding. >> amit it's evan. i have a question for you. on the basis of this being an attack on the federal government employees, what can we learn or what do we know about how the federal government does sort of cyber security? you know do we -- based on obamacare and a lot of other examples, the irs recently i don't personally have a lot of confidence in the government's ability to kind of protect data. am i wrong in this or can the government do a good job? >> no i don't think you're wrong in it. i think we should all be very cautious about the protection of our data and our information but i wouldn't relegate it specifically government. as we've seen regularly and

consistently in the news major corporations, even one which is take their security very seriously, which invest a lot in protections from, next generation protections, are getting compromised. i think what we really need to do is have a tremendous shift in awareness in trying to protect and defend everything at all costs at all time which is clearly can't be done and to start shifting more to a how do we detect when these breaches occur and how do we respond more aggressively so that this sense of information isn't exfiltrated. >> ian, does there need to be a public/private partnership here? or these solutions with enough capital will see better and better defenses coming out of this? >> the federal government makes a point of coming to silicon valley and new york and the data science school at nyu to look at these technologies. part of the challenge is when the federal government finds something interesting, they want to make sure they have a first right to it so it can't go to

a -- to malicious hands. but there are a number of hot companies that the federal government is currently working with, palantir to solve these problems right now. >> and a lot more to come on this, of course. we'll follow it. gentlemen, thank you so much this afternoon. she made her name meantime as a housewife of new york city on reality tv betny frankl now is making a name for her can skinny girl brand from spirits to sunglasses. she joins us to tell us how she turned reality tv into becoming a real-life entrepreneur when we come back.

you wouldn't order szechuan without checking the spice level. it really opens the passages. waiter. water. so why would you invest without checking brokercheck?

check your broker with brokercheck. well, from reality tv to real life entrepreneur, my next guest took an idea for a low-calorie cocktail and has transformed it into a well known brand with products across ten categories. joining us here is skinny girl founder and ceo bethenny frankel. welcome. >> thank you for having me. >> i wednesdayer, bethenny being up on that platform would that be in your future do you think? >> it might. i don't know. i'm the kind of a person that takes it day by day. everyone thinks i had this grand plan. my brand is about practical solutions for women and i think about something that i want to do.

i execute it and go to the next stream. it's just about passion. i never thought it would be this big. >> what's interesting is the number of companies you're partnering with in terms of distribution and even ownership to some extent. tell us about the different business relationships you have going on with some of the biggest companies in this country. >> the whole model is about partnership. i'm partner with conagra and microwave upon corn. i'm partners with arizona for my non-alcoholic beverages. we've expanded into nutritional bars and i'm with soda stream in this product. so basically i pick the person who's the best at what they do and it's the skinny girl brand and it's about practical solutions for women and it's everything mostly consumable with the exception of shape wear because when i had success in the cocktail brand i decided to nest around that. so i have bagged salty snacks microwave popcorn, hummuses i just keep growing. we'll get into other categories but this is what i know right now. >> do you have anything here for

evan newmark? >> i was about to say. are you -- how does a male participate in this skinny girl ethos. >> admire them. >> for the most part women are the purchasers for the household so if you try to please everybody, you end up pleasing nobody. i chose women, i am a woman, i know women and i am the consumer but men do eat it. i'm not looking for you to go in and be my spokesperson but when you're at the supermarket and your wife says "get me some tampons and a bottle of skinny girl" you have to do it. happy wife happy life. >> is it all self-funded? did you basically take the money you earned from the first stuff and launch the next thing or have you raised capital from other investors? >> that's a great question. no one's asked me. that i was lucky because i got into business with my first product, the skinny girl margarita and my partner put up the money, i put up the sweat equity and marketing, i said "if we build it they will come." and they did. i never made a dime. then beam came in and i sold skinny girl cocktails.

i kept the intellectual property, the mark, the name then i found other partners and beam was spending millions and millions of dollars to market this girl that i own in every other category. so i sold a tiny piece of the pie and i'm still involved but the sky is the limit. >> is it pure licensing? do you get a piece of everything that's sold? how do you structure the deals? >> some categories are just licensing. some are hybrid deals, licensing and equity. so i have skin in the game but i can take licenses back if i decide the partner is not the right partner. i'm lucky, my partners are incredible. i'm very good. >> that's a question we ask a lot of guests. what is the biggest mistake you've made when it comes to money or investing or getting this business off the ground? >> the biggest mistake i've made the different things in contracts. you have to be so knowledgeable. it's like law. you have to look at a case before to say oh the next time i won't do that. so the smartest thing i did was say to beam that they had to

invest in marketing. so if i'm going to be partners with you tell me you're going to invest a certain amount in marketing. how do i know you'll pay attention to it? you're a giant company. so with my partners i learn. some of my partners i ask to donate to charity if they'll be in business with me. >> thank you bethenny. we're going to hand it over to "fast money." we appreciate. i congratulations on your success. melissa lee, to you guys. >> thank you, kelly. "fast money" starts right now overlooking new york city's times square. your traders are tim seymour, dan nathan steve grasso and josh brown. here's what we've got on tap. opec stood strong no cuts but that could make one country the unlikely winner. we'll tell you how you can profit now. since 2005 apple shares are rallied 12% in the three months after each worldwide developer's conference but we will tell you why this conference could be different. rates hitting their highest leve