we're setting up for a major rally into year end. we'll get his bullish take tonight at 5:00 on "fast money." >> we look forward to that. great show. have a great weekend. >> you, too. >> thank you. folks, thank you for watching. is this seven down days in a row for the dow? find out with "closing bell" right now. >> well, the cat is out of the bag. >> it's my birthday. >> happy birthday. >> thank you very much. thank you. >> wonderful day. wonderful weekend. welcome "the closing bell." i'm kelly evans. this is bill griffith. >> yeah, just breaking in the last hour, you saw the gang on -- talking about this. american express reportedly a target of active's firm value act. that stock popped on that news. we'll bring you comments from amex coming up. you can see it's up 6.3%.

>> before the american express news broke, the dow was under a lot of pressure. that number came in line with expectations. it wasn't terrible. the fed rate hike could still nbt cards. the dow is down 85 points. we have someone who says the current employment report is not measuring jobs properly. he'll explain why next. >> also, more on twitter. it's falling yet again today. that stock has been cut in half in just four months. it's now $1 away from the ipo price. we'll look at whether investors should be cutting losses or holding out hope at this point. crazy. >> and maximizing your airline miles. wait until you meet the guy who has flown nearly five million miles for free. >> i love this story. >> he's looking to make a business out of helping others do the same. bill, we have to talk about he is taking advantage of the system or just finding out the way to benefit it. >> it's all legal much it's all

ethical. he's just found a way to gain the system. >> we'll tell you exactly how he's doing that if a little bit. >> let's get to steve liesman for the jobs report this morning and whether it keeps the fed on track for a september rate hike. steve? >> thank you very much. i think the important effect of this report is it changes the burden. the data doesn't have to be strong for the fed to hike. it is only to not to disappoint. and john riding's commentary that really made me think of. this he said the remaining data is we have to be weak until december. that means the burden of proof is to be weak, not strong. they see the july jobs report as a green light for the fed to go in september. it meets the fed's criteria of further improvement in the labor market. economists say september will be

the month to remember for the rate hike. hk is nhealth care is not a surprise. businesses and business services were a strong point for the jobs report. not that hiking rates will be an easy sell for the fed. you have declining commodity prices and weaker wage growth. we have to explain to the nation what exactly the fed is fixing by hiking rates. >> you know, steve, what is the market saying about how high the chances of a rate hike are throughout fed funds futures here? >> you have to sort of figure out why it ends up. earlier i reported 50% working with an economist. we went back and did our math and it looks more like a 75% chance for september. it's a very complicated series of calculations to make to the point that the cme actually took

down their probability from their website because it had said zero and they knew that was wrong. by the way, i think another interesting discussion is the extent to which the market is beginning this secondary debate about whether there will be a second rate hike this year. >> i think you're right. the onus is on the jobs report to come in weaker than expected in order to change any thought on monetary policy. any number and it seems like we're on track for september, right? >> right. except maybe one caveat is the debate on what the inflation data has to do. they need to tick up a little bit. if it's declining in a big way that, could give the fed pause with a major question about how the commodity price decline we've seen is going to work its way into the cpi that you're

looking at right now. >> ben willis is with us and rick santelli is in chicago. it didn't seem like the market was expecting a rate hike. that didn't feel like a market expecting a rate increase any time soon. >> i think you're right on the dollar. >> the fact it went down is, bill, as you point the oud, doesn't fit. what does fit is the two year note at 72, closed at 66.

six basis points on the week. tens are down one. and 30s are down nine basis points on the week. that type of curve flattening, short rates being higher than long rates does mean there is some type of trade there that they're nervous about a normalization. but the one caveat is we have to discern is it a passive lick dags trade or a pro active trade i think it's the former because even at 72 basis points we haven't closed above 74 in a two year which was high yield in december. if we gain more traction on investor trulyi believing they should take the shorts, but at the highest levels in recent memory and we'll look to see how that develops over next coupling weeks. >> how you are playing this market and what the fed may or may not do?

>> you saw spreads move today. bill is spot on. looked like there is a little d divergence. that would mean they're trying to price in the september move. we've been very nimble around this and we think that this could present a buying opportunity in equities at that tighter credit market potentially leads to a potential pullback that we saw to a certain extent today. that said, it really puts a importance on being well diversified. take your equity exposure where it is most attractive. we that i is from a fully hedged basis. but we still would find ourselves on the short side of the fixed income trade as well. >> ben willis, equities continued lower. is this a taper tantrum in slow motion or something else going on?

>> there was a march low and an early july low. but when we hit those numbers, we had a very rapid movement from the 2045 level back to above 2100 on the s&p 500 within eight to ten days. i think we're reading a little bit too much into a very summer friday, a very slow trading day even though there is a very important economic data. i think what's important is there is a great deal of nervousness, not in the equity market but the high yield etf market. there is a great deal of outflows in that market. that's the function of what we're seeing. i want to make clear the trade is going to be -- equities is a place you want to put your money because normalizing interest rates, not tightening interest rates, normalizing interest rates is a sign of a healthy economy.

>> but you're making an assumption that they're tightening because they're getting better. >> they're not tightening, they're normalizing. you use that term well. the fact is the zero interest rate format we're in right now is doing nothing. i believe -- i believe they're behind the yield curve. they need to step in and show something to normalize it, let it come to a level of -- >> i'm with you, ben. >> okay. >> steve liesman posed the question that janet yellen needs to explain what she is going to accomplish by raising rates. what are you accomplishing by keeping them to zero? >> exactly. to his point about the inflation number. i think they're looking at the wrong end wrf the inflation is happening. ask your neighbor how much they're paying on their car. how much more are they paying on -- >> that doesn't county.

ignore the inflation and financial assets in behind the curtain. i'm with you, ben. >> okay. >> all right. doug, a last word you to here. do you believe that the economy is ready to handle a fed hiking rates? the fed wants the tool back if the tool kit to use normalizie monetary policy tools. they'll be much more gradual going forward. if there are concerns about whether or not the economy is healthy enough to take the rate hike, then they can be very, very gradual much it's going to be a velvet hammer. they get the rate move and the tool back. then very, very gradual and high bar for a second move in 2015. >> the velvet hammer. >> we debuted quite successfully the west texas investment club this week. we have the federal reserve second guessing investment club as well with our guests to day. that will be fun.

>> thank you. >> we can wear cowboy boots and hats, too, though. >> get that cigar out, too, rick. that will be great. >> doug gordon, ben willis and rick santelli have a good weekend. american express is popping on reports that the capital is taking a billion dollar stake in the company. it's affecting the dow today. mary thompson has more on this story. >> this could be yet another challenge for american express which has recently face legal setbacks. the loss some of key executives and, of course, the loss of that exclusive costco account which winds down tend of the year. in the wake of the reports about value act today, american express in a statement said that value act is a well respected firm and we have been speaking with them as we do with other investors and look forward to continuing a constructive dialogue. at american express, the company goes on to say we're focused on building long term value for shareholders and always open to the views and perspectives of our investors. it failed to hit the long term

revenue goal. cost cuts and buybacks bolstered payments, it failed to show off the newer investments and initiatives will drive revenues to targeted levels. value act capital is based in san francisco and has a little bit over $18 billion in assets under management. the company's web side says undervalued company. don't look for a lot of headlines for value act. usually it is a quiet role where it invests in and will seek a board seat if necessary. and also they hold for anywhere from about three to five years. longer term they hold these stakes that they take in the companies. now reportedly the company is not interested in making any immediate changes at american express. we reached out to valueact via e-mail and phone and we have not received any response. back to you. >> mary, just one quick question. when it comes to investors wondering what valueact's intentions may be, we've seen a couple examples from the past. microsoft's volmer stepped down.

valiant was inquiztive. any sense in what they're looking for with american express? >> i really wouldn't want to speculate at this time. american express is facing a very competitive environment and some of the newer initiatives like off to blue serve while they're popular, they're not the profit drivers that past products have been. there are questions, i think that, investors would like answered. we'll see if valueact has any plans of its own. but right now, it's not known to us. >> eager to see what they're going to do with this one. thank you, mary. mary thompson in virginia. >> a lot will depend on whether the problems are related to the industry or just amex specific. >> oh, yes. >> they felt like they lost that exclusive brand feel to them that they've had for years. we'll see what they can do. >> a lot of big moves on the activist front between them and actman. 45 minutes to go until the

close. the dow is down 94 points. even across the major three indices. >> when we come back, what in the world is going on at twitter? that stock tumbling more than 10% this week alone. it's near a 21 week low. all the others are selling at this point. >> and perhaps you notice facebook's logo is all over tv last night. the republican debate as it was basically co-sponsoring it there with fox news, host. the pros are going to weigh in on whether at which timer is missing the boat on key opportunities like this one and where it goes from here. >> also coming up, so how you would like to fly five million miles for free? i wonder what bag fees he paid. almost for free. the man who did it is trying to start a business of his own to help others fly for free as well. you'll meet him coming up.

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welcome back. the headlines show twitter

plunging 13% trading within striking distance of the $26 ipo price. wall street has been full of expectations for twitter as a product and stock. now it's beloet $27 mark, what are are investors hoping can turn it around from here? >> joining us, max wolf and alexei refkapich. you wrote a story about the morale at twitter. it has just plunged there. i mean this is as bad as it gets for a company right now given all the conditions that -- and headwinds they're facing, right? >> that's right. the situation is pretty difficult for them. they're obviously already in the dog house with wall street. and now you're starting to see some of those worries and kind of uncertainty deep into the ranks of the company itself. there is still a ceo search going on. it is a full time leader.

people are thinking maybe it's time to try something else. >> fox had the highest rated program environment we are the gop debate. facebook was involved. there were a lot of facebook questions. there were a lot of facebook viewers mentioned. the name was all over. twitter itself said with regard to last night, the two gop debates were viewed over 1.1 billion time on twitter and across the web. but is twitter missing a key moment here? >> twitter was the first response place that people looked more than web news and in some cases even more than the live television broadcast or they tried to watch live pieces across twitter. >> that's what i don't get, max. you're absolutely right. we talked about this a lot on

this program. why can't they make any money as a result of this? >> they k they deserve some demerit for not being there yet. they're growing revenue at 66%. less than the company income trouble, although it hurts where they're at now and certainly they do need new leadership in there and being without that short leadership is not good. it's been a change of sent. than a change of company. this company is trading at a low multiple against the tech companies here. and the company isn't really doing poorly. it is doog better than it was a year ago. but the verdict is in that people won't wait anymore. and there is a slippery slope here. twitter always had this problem. i don't think it's totally fair. people want it to be facebook and it's not going to be facebook. >> well, all that said, alexei, today twitter asked me to update the birthday to my profile. there are some profile -- you know, 2008 facebook profile like

things going on here. is this ultimately a product focused issue, they need to get either the right management onboard or the core product to right the ship. >> that's been a long time knock. the sprouk too difficult to use for, you know, the average person. sure, it's got -- there are journalists and celebrities and people like that that are really night. but the average person still can't figure out how to use it. and so there's a lot of discussion inside and outside the company about how they can really revamp that product, make it more relevant to every day people. >> do you agree with that? do they risk dumbing it down to make it more user friendly to people who don't understand it to this point? >> number because the best designed tools are idiot proof. they still really work. everybody wants convenience no matter how smart they are. i don't think that is a huge risk. they need two things big time to

get to your two very good points. they need to make this easier and more intuitive. part is how people feel about it. there is a good number of books out there who like at which time eastern want to use it. but who feel like it's a place they're going to go and embarrass themselves. silt important from a wall street perspective, they have to figure out a self serve ad platform that allows them to cash in on the huge influence i believe they have, like last night. >> i know a lot of people are afraid of using twitter because they would embarrass them self. but it never stopped me from continuing to tweet, that's for sure. >> i was finishing up my glance at twitter while you were asking that very question. embedded for us. >> see if, only they could make money while they was doing that just now. >> thank you so much for being here. appreciate it. >> we've got about 40 minutes, a little less of trading to go here. the dow is down 75 points. we're fluctuating here below the unchange level on what has been a pretty tough week for the

equities markets here in the u.s. >> here's a question for you. our new economy jobs being adequately counted. more sharing companies crop up and we talk about the big economy, we get both sides of this issue coming up. >> and still ahead, a hero of mine, the man who flew five million miles explains how he's doing it and starting a business to help other flyers do the same thing. that's coming up. i can do a lot of what humans can. except have a real conversation. if you'd like that, you can always speak to someone at schwab. they aren't algorithms. try not to hold it against them. say hello at intelligent.schwab.com

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>> here's a dream job. sounds like it would be expensive but airline expert has been doing it for free for quite some time now. and he's now trying to make a business out of this by helping others to maximize their miles. >> while those pesky fees seem to make flights more expensive every time we travel. he said consumers are doing it all wrong. welcome our airline expert. welcome to you. >> thanks for having me. i appreciate it. >> are all the fees included when you're doing all this flying on frequent miles here? >> yes. in my case i have status with many airlines. when you fly quite a bit with airlines, you bet the perks where you get waived fees, free upgrades, bonus miles. for the most part, i'm not paying any fees. >> you do now. you had to start somewhere and you have been doing this now,

the five million mile ride since, what, april of last year. were you able to hit the ground running and do this for free then? how did do you this? >> yes. i actually -- i actually started flying frequently when i was 15. >> it was last year that i decided to fly full time. i have flown close to 600,000 mile. i lived in hotels completely. so i gave up my apartment at that point and decided to travel full time and it's been a fun adventure. >> and this is all on credit card fees and frequent flyer miles and things like that. is this how this works? >> for the most part. basically, there are quite a few ways to maximize your points using credit cards. they give you big signup bonuses just for applying for credit cards. and on top of that, if you maximize your spend every day. if you try earn bonus points by using the right credit card, the points really wrack up quickly.

>> sometimes i get on a plane for certain miles. >> you started doing what when you were really young. my uncle and i have the debate. he's like you. he paid for an international trip for himself and family members using miles. i don't think i'm a member of a sickle one. i felt like it wasn't worth it. every day we see newspaper reports and the "wall street journal" about how the points don't go as far as they used to. do you think it's possible for somebody to come out ahead in the end by getting more than their paying following your approach here? >> 100%. the problem is that these programs are still complicated. that is by design because they want most members to not redeem opt mally. so that's why the programs work so well. a few people can really get the most out of their redemption. for example, i fly international first class almost every week to asia and europe using miles. so the tickets that would cost $30,000, but using miles, it's 100,000 mile each which is what many people are paying for basically domestic tickets.

so you just have to know how to do it. then can you get huge value out of it. >> have you heard from the airlines? they must be thrilled that you're doing this and telling the world about it. >> i get along great with most of the airlines. >> yes. they love how engage the we are in the program. at the end of the day, we show people how much value you can get if you're maximizing your miles. >> real quick, ben circuits different for you? you're just looking for the best deal or a lot of people are working on business schedules there, family schedules. you know, what is feasible and real is tick for them instead of just the best possible option out there? >> yes. i'm doing this constantly. so for the average person, there is so much value you can get out of this. basically, if you want to take your family to europe on summer in business class that, is possible on miles. while it might not otherwise be something that families can afford. >> all right. we'll let you go. what time is your flight?

>> i just got in last night. i'm on the ground for a day now. >> okay. sleep well. that's the thing. i would just have such jet lag if i went through all this that you're going through right now. airline expert, thank you for joining us today. appreciate it very much. >> thanks for having me. >> a lot more questions for him. >> he's 25 years old. think about that. time now for a cnbc news update. >> hey guys. here's what's happening at this hour. a government report finds just a handful of railroads are close to meeting a december 31st deadline to install safety technology that can prevent crashes like the amtrak derailment in philadelphia in may. the federal railroad administration says only three railroads have submitted safety plans. the gop debate last night drew 24 million viewers. that's a record audience for a presidential primary debate according to neilson data provided by fox the talley was the highest nonsports telecast in cable history. and mcdonald's is set to cut 225 corporate jobs. it will eliminate 135 positions

at corporate headquarters in oak brook, illinois and another 90 jobs overseas n may, the company announced plans to cut $300 million in costs by the end of 2017. and police in hamburg, new york, confirming that chicago blackhawks star patrick kane is the focus of an incident that occurred at his home last weekend. nbc affiliate wgrz in buffalo says the investigation is result of a rape allegation. kane has not yet been charged with any crime. that's the update at this hour. back to you. >> you know, by the way, i thought the debate was very interesting. i just want to know who the genius was that came up with the idea of using a doorbell sound when they went overtime. we have two puppies at home. every time the doorbell sounded, they were running to the door. >> hobible. >> thank you, morgan. >> 30 minutes to go into the close. remember the week we're closing out. we had the dow seven sessions in a row under pressure. that is the longest stretch since 2011.

we had everything from media to the energy spaces getting hammered this week. we're going to keep an eye on what happens as we head into the close to close it all out. >> that's right. most important half hour of the trading day, the week, top three will tell us what he is watching into the close. stickers. hey also love what's up with these things, victor? we decided to give ourselves stickers for each feature we release. we read about 10,000 suggestions a week to create features that as traders we'd want to use, like social signals, a tool that uses social media to help with research. 10,000 suggestions. who reads all those? he does. for all the confidence you need. td ameritrade. you got this. no student's ever been the king of the campus on day one. but you're armed with a roomy new jansport backpack, a powerful new dell 2-in-1 laptop, and durable new stellar notebooks, so you're walking the halls with varsity level swagger.

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welcome back. what a week it has been, peter. we're off the lows. can we turn positive here? >> it's possible. i kind of doubt it. i think we're looking a little bit on the sell side. i almost think it's going to be like a tearup on the close. i highly doubt it. i think the momentum is to the down side. >> what to you is the most on your mind about this crazy week as you're thinking through the trades and beyond? >> what i was thinking about, the lack of anything this morning, just when we read the unemployment and the employment report, nothing really struck me as a prod, a cattle prod for the fed. i think that a lot of people have been talking about well now this is giving more credence to that september liftoff. i'm going the other way. i think what they're looking at is basically nothing to really excite them. and i think this is going to delay that even longer.

>> we talked you to about it dabbling into the energy and oil names. let me ask you, what about media? are you doing anything with these off between 10 and 15% this week? >> i lot of whole media group. you have to look at the ones that have the bigger digital space and the ones profiting from that digital space. you know what? you can look at fox. you can look at a lot of the different companies. they're starting to develop a much more profitable on line presence. you know, that's where the money is going. it's where the advertising dollars are going. once we have that refiguring of the industry which probably going to take -- has to be a minimum of six months to a year, you'll see money going to that digital space and people profiting from it. >> as you mentioned, we're coming back here. still sell side pressure. we'll let you get back it to, peter v a great weekend. bill? >> all right. so let's talk about the jobs report out this morning. it was in line with expectations. but does it tell the full story? a lot of jobs these days are part of what we call the new

sharing economy. companies like uber or air b & b. can those jobs be measured using traditional metrics? matt slaughter is a former member of president obama's council of economic advisories. he is now dean at dartmouth school of business. and nicholas colis is the chief market strategist. matthew slaughter, you're among those who feel like maybe the economy is getting away from the measurement tools that are used. how accurate is this jobs report, do you think? >> yeah, it's an important question, bill. so the morning's jobs report, actually has two surveys. can you get an insight into this looking at them both. the survey of households today said that there is 149 million people working in the u.s. economy. the other survey that come out today is of companies. and there's 142 million payroll jobs that reported to day. now there's a little about the of slippage between the two. they don't count exactly the same thing. but you realize, we have seven million people today in the u.s.

economy who say that they're working but they're not on the payroll of a company. so these are the people that are driving cars for uber and doing it for time and driving bikes and those new gig jobs. we know it's agrowing. it's going to be important to get good measures of them. >> is the jobs report understating? >> it certainly feels that way p we take a look at this as paying taxes. everybody thooz pay taxes. the self-employed pay tax onz a not withheld basis. the growth in the not withheld is 12% year over year for the last three months. the growth was held is just 6%. so that part of the economy is growing twice as fast. >> wow. >> and matt, what about the people who have given up? they try and measure that as well. and some of them do try to come back to the market. are they being counted accurately in your mind as part of the jobs report?

>> the broader measure u-6 is at 10.4%. that is still picking up people that are working involuntarily part time. but nick's point about the dat yaf tax returns is really important. you see more people in the tax return data who don't have a w-2. the contractors get paid what is called a 1099. so the more income that's growing -- coming into the government that is not in traditional withheld income that, matters for fiscal potcy. a lot of other consideration. >> you would echo that, nick. >> should maybe have a bias towards numbers understating things rather than overstating how strong they are? >> that certainly makes sense. looking at the tax data, 19% of the individual taxes come into the not withheld sources was 15% a couple years ago. the highest they got is 21% during the bubble in housing and

all the commission checks. >> matt, is this the jobs growth that janet yellen wants to see? >> if these gig jobs are a good wages and a lot of opportunities, that's the kind of jobs that we want to create. and the kind of policy environment to support the good jobs. >> yeah. have good. nick, i see you nodding your head as well. we're all in agreement on this one here. matt slaughter and nick, good to see you both. thank you for joining us. >> heading to the close, 20 minutes left in the trading session here. >> why flipping a house is more difficult. that's coming up next. >> and writing liz double mint good morning made twins the

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it's harder to flip homes these days. you know, buy it, fix it up in a hurry and sell it at a higher price. >> the returns are actually getting bigger. diana olig joins us from washington, d.c., to explain. hi, diana. >> hi. it's especially on the higher end they're seeing the higher returns like in this home in northwest d.c. the investor here put in about $400,000 transforming the place, doubling the size and while it hasn't exactly sold yet, he expects to make almost as much in net profits. it is, however, taking a lot longer than he expected. >> the market has gotten tougher. and so it's not for novices. you have to know what you're doing and do a good job. you have to have an eye for detail. but with that comes reward which is a better reward. >> now home flips made up 4 ps 5% of sales in this quarter.

that is down if a year ago. flipping returns, though, the gross return on invest. increased to nearly 36%, up from 24% a year ago. the return before the rehab cost averages about $71,000 today and that's up from $50,000 a year ago. but flippers should proceed with caution in the next six to 12 months. the experts say as home price appreciate slows and a possible interest rate hike could shrink the pool of prospective buyers for flips. returns are softening in hot markets like in san francisco, seattle, denver and l.a. all right, so where are the best metros to flip? nevada and florida still see the most flips. that's because they have the most distressed homes. but chicago, dayton and baltimore, they're giving flippers the best returns. a couple of tips for flips. put the money right there. into the kitchen and then go upstairs and do all the bathrooms and then make it a smart home. that's what today's buyers want. they want to the amenities, not

necessarily the size. more online. guys? >> so very quickly. i know all real estate is local. but what you're describing is not a real estate market that is heating up anywhere. >> well, look, it's heating up because there is lower supply. and that could help. it is pushing prices up f you're a flipper, you have to put a lot more money on the front end, still put those high end amenities into it and then try to sell it back out into the market. the good news is that the market is tight. people are looking for these higher end homes. the bad news it's a lot more money in and a lot more risk. >> i worry about all the reality shows house flipping. where do they find the homes to do it. >> i love how she says make it a smart home. kitchen, bathrooms and make it a smart home. >> there's a shift from the last time around. >> right? >> 15 minutes to go until the close. the dow down by 60 points much it's not been a great week here. declines well across the s&p 500 and that nasdaq. actually, almost exactly the

same across the board here. the nasdaq down 17. >> when we come back, two market let veterans who are not promising to double your returns but we force them to double -- do a double take here, i think. you'll see what i mean when we come back. can it make a dentist appointment

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before we move on this is worth noting. the bias is at the sell side going into the close. $700 million to sell going into the close. >> did you know today is national twin day? although twins often think alike, our next two guests are identical twins don't agree on market sentiment right now. joining us is jonathan murray from ubs who is bullish and his twin brother david murray from lincoln financial who is bearish. and we've had this conversation before. you guys -- you haven't changed. >> i'm getting richer, the markets have gone down. i had the right call. >> it's something. we speak for everybody out there. which direction is the market

going to go? they're not dirt cheap but trading 16 to 18 times earnings isn't really that bad. sentiment is not euphoric. when euphoria was prevalent around this place. and it's not there today. so valuation and check. >> the commodities have changed. gold, silver, nickel, gdp has a drop. and the market last week tripled in six years. hello? >> so where do you put your money to work? where do you make money? >> the same way that we always made money, bill. just a properly diversified portfolio. now is a time to take the chips off the table and be more conservative. >> i'm wondering despite your

macro views that you do agree on any investments in this market. >> we love dividends. my dad was in the business before us. my son is starting on the business on monday. dividends is the way to grow your money. i'm going to put it in energy. nicky decker who is brilliant. she is calls wti to go to 60 bucks. maybe some of the energy companies are worth a look. >> yeah. >> you are looking at anything? >> i think multinational companies with strong dividend yields and histories have given increases. but again, globalal laection. some emerging markets. we're going through an amazing revelation. it's hard to ignore that. who is the older? >> i'm older by four minutes. >> the old man right here. >> wiser. >> he always goes.

>> i wondered. >> taking the risks in energy. >> grumpy old man in despair. >> no. >> let us know if you change your tune here. >> we will. >> nice talking to you. >> thank you, bill. >> thank you so much. >> coming back with the closing countdown. but before we let bill go, wait a minute! speaking of birthdays, it is somebody's birthday. from all of us here at cnbc, new york stock exchange and bobby van, bill, an early start to your weekend with your favorite beverage of choice. >> you have the do over here. ♪ happy birthday to you happy birthday to you ♪ ♪ happy birthday

dear bill happ happy birthday to you ♪ >> cheers! thank you very much. >> stay tuned. it's going to be a great weekend, everybody. >> we'll be back with the closing countdown in just a moment. stay tuned. 40% of the streetlights in detroit, at one point, did not work. you had some blocks and you had major thoroughfares and corridors that were just totally pitch black. those things had to change.

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i haven't touched that manhattan, trust me. when the clock is ticking, we don't do that kind of thing. david doris is here. courtney reagan is here. what would happen to the market this week. it's been a grumpy week for the u.s. equity markets, especially the latter part of the week. the damage done for the week. the dow down 1.8%. the nasdaq down 1.7%. and the s&p 500 losing 1.25%. talk about that in just a second. >> i forget what i told you to do next. wti crude also continues the slide here. down another 7% for the week. we're down to $43.83. this is a new low for 2015. right here. we'll see if that continues and what the impact is. but it's taken, you know, energy stocks with them for the most part. some of them have been seeing nibbling recently.

the ten year yield a bit of a flat ening of the yield curve after that jobs report. down. if we put it in percentage terms, i know this is weird for you purists out. there the ten year yield went down this week. it's at 2.17% right now. i think what did go up is the vix. nope. yes, it was. up 11.8%. >> it's a replay of the problems plaguing it. it's going up and down over the point. china, oil, dollar, the retail sales number next week against the consumer and retail sales. they've been up a percent. but over and over these

technology companies on the calls they've been talking about a falloff in demand. and the market has not liked that. you need to see revenue and profits. lastly, the gdp of the atlanta fed, 1% of the quarter. >> yep. so will the consumer be a part of this? >> it has to be a part of it. and it's the most important part of the year. so we'll see what happens. i'm really interested in the promotional environment. and how much the retailers are going to have to discount to get consumers to buy. you obviously want the sales. they want to be high quality sales. hopefully they can do it. >> buy europe, buy japan. you see improvement in both of those areas. you will have reits.

they have to pay a lot of money to the european central bank. >> thank you all. thanks, gang. >> happy birthday, bill. >> thank you very much, courtney. thank you all for the birthday wishes, everybody. time now for the second our of "the closing bell" with kelly. >> welcome to oit closing bell." let's close out this week, shall we? the dow is down 45 points. definitely off the lows of the session today. but still another red one. and for the dow, the s&p 500 which closed down five and the nasdaq down 13 points, declined a quarter per cent across the board. that will make it a tough week by historical standards. several losing sessions here. onest weaker stretches we've had in a couple of years for this market. and some sectors in particular including media, energy just to

name a few getting pretty hard hit. let's bring in today's panel. welcome, guys. and with us, more on today's market action. fast money trader to welcome one and all. guy, let me start with you. what lessons are to be learned from the poor trading action the last couple sessions? >> i came away from this week with three calls. the weakness in the russell, the iwm. it has to be consistent. well, we closed at 120 today. the continued streng njt bond market. i think i know what it's telling you. it cannot be denied. hopefully below 2.25% and the ten year and the continued weakness in crude oil. brian kelly has been talking about it for a long time on our show. there is something amiss there. it's not just a supply issue. i get it. that's part of it. i think demand is a bigger story than people want to let on to be. >> we're definitely coming off the commodity bubble if you want to call it. how many funds have shut down?

how many trade hers to exit the market? how many entire shops have basically seen the whole strategy go poof? what happens now with commodities? >> we had a horrendous stretch for certainly the oil bulls. i was reading an article about the setbacks. >> others are feeling the pain as well. smaller fund i was reading about down 35%. so you're seeing the first wave of what could be a lot of harm in that sector. now having said that, the hedge fund commodity space has been decimated in recent years in general. it's a relate live small population now. they have good risk aprpetites. >> liam denning is talleying up the revenue hole, if you will, at $4.4 trillion globally. here's the question for you. if that's the case and we're seeing a giant redistribution, shouldn't countries like the

u.s. ultimately benefit here or no? >> first of all, i have a visceral reputation of the word redistribution. so we'll move on from that. but, yeah. listen, countries that generally import oil should do better when oil prices are going down. one of the reasons why when oil prices were declined the end of last year there was a widespread assumption in the community that consume woehr benefit. that hasn't happened to near lit degree that people thought. but unquestionably, ultimately, it will be a benefit to economies that import oil prices. i would hope -- i want to throw it back to guy for a second. i have to disagree, not a surprise. listen, i want to be crystal clear about this. a drop in oig prices to the degree we've seen can't be a good thing on its own, let's say. but oil prices don't decline into recessions. when you look at 2008, for instance, the most recent example, oil prices spiked. remember, we were talking about

$200 a barrel oil. that really helped push the u.s. economy further into a recession on the second half of the year. oil price dz not decline. >> there's your doorbell. you have 30 seconds to respond. >> you know, maybe not. probably true. you have your facts in front of you. what i will say though is are we in a deflationary environment? why is it so hard for people to come around to the fact that maybe global deflation is the real enemy that all the central banks are trying to fichlt yeah, maybe it won't thrust us into a recession. but there is clearly something going on. can you say the rise of the dollar led to this. that is part of it. yes, there is a supply component as well. nobody wants to talk about the demand side of the equation. you put that together with interest rates which are stubbornly low. i think even dan would agree with that. and the fact that you have stock markets around the world. i mean the shanghai index is crashing. i guess it's that simple. there is clearly something going on. the reason nobody talks about it is the s & p is within 2% of an all time high.

that potentially is the last peg to drop. we lost the transports a while ago. we lost the russell now. will he let's see what happens with the s & p. >> let's hone in on one dow component today, american express. up 6% and change. doesn't -- it usually takes a big, you know, trstrategy announcement. do we know yet what intentions they might have? and what could possibly change things around here for american express? >> you raise a couple interesting points. the news is scant on this except for a billion dollar position.m core holding. that may be why we haven't seen a statement or something so far. amex making a statement saying they've been in discussion with valueact and respect them, et cetera. i think perhaps the reason it

touching a nerve is this has been a troubled economy in recent months with the tragic loss of their president at gilligans. there is questions into the succession issue, you know, eight years away from mandatory retirement. but probably planning to have retired before the tragedy happened. >> it's more the loss of this business with costco, absolutely. a real issue. and it's interesting n termst activist community, you've seen more under the radar upstart anlives. they may be the same age or younger. they don't tend to drive headlines as much. and value active one, he has had success in the past among other things with microsoft. played a key role in steve ballmer's exist. i have a couple more examples, carl icahn. and then finally someone like jeff smith who literally overturned the entire restaurants after a proxy. so these folks can be infective. i think it dependents on the track record and how eager the market is to see a game changer

in the name. >> guy, just in a word, do you respect valueact enough to want to buy this name? even though we don't yet know what their plan is given the track record here. i think can you follow them in. i think american express the unit itself has value but i will caution, we'll give coke coal why and gmcr. we talked about it the other day. they made a much bigger investment in terms of market cap. you look at what that's done. i'm not suggesting they're the same companies, i'm not. they better go into next week. otherwise it's a bounce along the way. >> all right. hold it right there, everybody. we do have breaking news. let's send things down to morgan brennan much what's happening? >> hey, kelly. shares of symetra surged 9% into the close. they've been working with investment bankers to sell

itself. a number of industry peers are interested in purchasing the company. that deal is being explored. looking at shares of symetra, largely flat. again, a surge of 9% in the last moments of trading this afternoon. back over you to. >> wow. certainly was. morgan, thank you. >> there were still some big winners. we're rounding them up and has a look at what we need to be watching next week. >> all right. so here's what we got. let's kick off with our look at the top dow performer, at least one of them. let's follow up on guy's discussion. that goes to beverage giant coca-cola. the stock is up nearly 1.5%, 2% this week. analysts say coke is a long term growth story. sun is shining bright on solar. the company reported earnings and sales at both the

expectations. it also helps complete the trifecta by boosting the full year forecast. anlablists remain bullish on the share. that costs them 55% from the current levels that we're seeing. and the best performing large cap nasdaq stock, computer graphics maker nvidia is soaring on the heels of an earnings report. the story could become more attractive when the dust really settles around that recent selloff that we've seen in chip stocks. so some of the things you can look at in those three stocks really stood out in the market. for more on these and the others to watch, let's go to cnbc.com/pro. the full story sont website right now. >> thank you, dominick. guy, quick reaction? response to that? >> ought of all those sh the most interesting in termst bounce, you may be able to sustain that for a little while.

i wish bill griffith a happy birthday from the "fast money" buddies. >> absolutely. thank you very much. we talk about still digesting a jobs report into next week. the bottom line for you is what here? >> the bull is not advanced in any meaningful way. it was a report that was in line with expectations. you saw that with the s&p 500's performance today. you ended up with just a boring summer fry. >> be sure to stick around and catch more of guy coming up on "fast money" at 5:00 p.m. the labor for the participation rate is holing steady. there is only one job that employers cannot fill fast enough because of a mathor skill gap. and watch sales plunging by the largest percentage in years. why that is a bullish sign for wat apple's watch. lio.

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the economy adding 215,000 jobs last month. the cybersecurity industry can't add workers fast enough. mary thompson is in herndon, virginia, with more on the huge demand for the cyber warriors, mary.

>> kelly, with sib area tacks on the rise and no signs of slowing down, symantec is estimating there will be six million cybersecurity jobs around the globe. the problem is there are only going to be 4.5 million people to fill them. now filling that gap is going to take years. this according to matthew siegelman, the ceo of the jobs analytics firm. cyber specialists need technical chops, certification, and expertise in the industries where they work like health care or defense. >> about 84% of cybersecurity jobs require a college degree. 70% of them require multiple years of experience in a field that really didn't exist multiple years ago. as a result, we're seeing a real gap in the amount of talent that there is to fill the jobs. >> he says that finance health care and retail industries hope to fuel a 90% increase in cyber job postings over the last five years. that's the rate three times faster than posting for other it

positions. salaries are higher, too, an average of $84,000 a year, that is 9% more than the pay of the regular i.t. worker. given the competitive market, symantec is looking at developing talent in other countries such as india. they're also here at home working with the universities and they are expanding a program that they recently developed called sc-3. and this aim to develop women and minorities into cyber specialists. back to you. >> all right. mary, thank you so much. let's talk a little more about this cybersecurity job gap between openings and applicants. we have the president and ceo of lafel network. tom, welcome back. >> good to be here. >> so cybersecurity, how much of a job gap is there? >> a huge job gap. a few years it doesn't exist yet they want several years of experience. it's absolutely the most difficult technology position to get and it's not the highest

paying. who's going to pay more? >> it's not the highest paying? >> a developer for an app that will create revenue or this position? it's a nonrevenue creation. >> yet, it seems like the urgency could not be greater. overnight we had the latest headline about a major hack which was russia hacking the pentagon system. every day it seems you read about a bank or a major corporation. >> there is no doubt about it. but is it's no different than anything else in any other field. offense pays more than defense. quarterbacks pay more than defensive tackle. and this is -- >> between deflating the ball -- >> they're deflating something. it's not a revenue generator. it's an expensive -- >> but it is a revenue protector. defense is onest biggest industries we have. two examples for you, walmart says he writes a blank check for cybersecurity. >> i don't agree with you one bit. the fact is who makes more? the chief sales officer or your sarbanes oxley auditor? it's always going to be on the revenue side. that's the problem.

they're not paying like it's that important of a job. so if we get back to the issue at the beginning which is there are not enough people to fill the holes that they want several years experience even though the job picked up in the laugh years, what type of person do you see applying? what kind of person should ab plig? what should people be doing to get themselves to be considered? >> what we just heard. they're tying thimselves to the best universities. they're also going overseas. you have to put your eggs in both baskets. america and overseas developing countries. and the education system that exists in both places. you're not going to get the leading people -- they don't want a 45-year-old developer doing this. this is cutting edge. it's very aggressive. and it's ever changing. you need the young people to do it. they have to get into the universities. we'll see that gap for a long time. >> are there specialized programs? >> there are a few coming up. the university of chicago, it's m.i.t. you see the great engineering schools like purdue. there are things like that. >> what degree does immigration

and the difficulty of it? >> huge. i think when we talk about it with last night's debate, too much immigration laws are focused on mexico and what we're really doing is educating a love great technology people and we're not letting them stay here. we're sending them back overseas. it's a huge problem. >> you think with an area this potentially sensitive, these are the people you want to keep on shore. >> right. >> think about what's going to happen. they're going to employ the people overseas and the tax dollars are not going to come here. earlier the big problem is tax dollars. this is exactly the reason why. >> tom, thanks for joining us. w. a per inspect i. what is the most lucrative jobs these days then throughout? >> i would say developer. a traditional developer. absolutely. >> making that killer app. thank you for joining us. republican presidential front-runner donald trump defending his past support for a government run health care system. that was also during last night's primary debate. >> it works in canada. it works incredibly well in scotland. it could have worked in a

different age which is the age you're talking about here. >> that's actually one of the reasons our larry kudlow says trump was the biggest loser from last night and kudlow will reveal his big winner next. and with the nfl season about to kick off, can you believe it? we'll break down the numbers to find out what's the better deal, buying season tickets from a team or buying individual game tickets on the secondary market. we'll be back in a moment. ♪ no student's ever been the king of the campus on day one. but you're armed with a roomy new jansport backpack, a powerful new dell 2-in-1 laptop,

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round one of the gop debates broadcast last night. in case you missed it, here are some of the highlights. >> he had call million veto because i vetoed 2900 separate items. >> fit wasn't for me, you wouldn't even be talking about illegal immigration. >> people don't want to just tune him out. they're maging a mistake. now he has his solutions. some of us have other solutions. you know, look, i balance the federal budget is one of the chief architects when i was in washington. hadn't been done since. >> i want to collect more records from terrorists but less records from innocent americans. >> back to -- you know, that's a kplit completely ridiculous answer. i want to collect more records from terrorists but less records from other people. how are you supposed to know? >> i don't think you heard me. you're having a hard time tonight. >> all right. >> we need to repeal dodd frank. it is a advice rating small

businesses and small banks. over 40% of small and mid sized banks that loan money to small businesses have been wiped out over -- since dodd frank passed. we need to repeal or replace dodd frank. >> speaking of dodd frank, who better to talk to about what went down than barney frank and larry kudlow who join me now. welcome to you both. what was your reaction to marco rubio's claiming legislation is destroying the economy and the debate last night more broadly? >> is that for me? >> yes, sir. >> it's interesting. republicans are playing bait and switch. they have been very defensive of the right of the large banks to engage in razzle-dazzle derivatives without a backup by aig. they talk about the small banks. but when they had one chance to legislate, to amend the bill, they don't do small banks. they amended the part that had to do with whether or not a bank can do swaps in the bank or has

to put them outside. in other words, they talk about the small banks. in fact, legislation to a great extent, to the extent that it differentiate is in favor of the small banks. so as i said, they talk about the small banks. but their legislation is overwhelming for the larger banks. i was struck that when mr. rubio mentioned that. they talk about obama care. i think they understand they have a slema. financi dilemma. financial reform is still very popular. i will predict they will repeal the campaign. >> who do you think were the winners and losers last night in the first gop debate? >> just in terms of the economy, okay, i thought that marco rubio was a big winner. i thought that john kasich was a big winner and i thought that jeb bush was a big winner. and i say that because they had very strong pro growth messages. pretty well developed especially rubio. lower tax rates, deregulation,

you know, whether it's epa or dodd frank. i think they were pretty strong. i wish there had been more time allocated to that with roughly 24 million viewers. i liked what i heard. other people were there. i heard a flat tax from dr. carson. i heard a fair tax from governor huckabee. i heard a lot of things. i think rubio is the strongest. >> what about donald trump who not only was up there and commanding a lot of attention but repeatedly including in the first debate when he wasn't present, onest questions had to do with him and his entrance in this race. larry? can you hear me? how do you think donald trump came off last night? >> i think rather poorly, in general. listen, mr. trump says he's going to be a big jobs creator.

he had nothing to say about taxes or deregulation, for example, or government spending or entitlements. one thing that really troubles me about donald. personally, i'm a fan of his. but on the economics stuff, no. he's a protectionist. he is always trashing china. he is always trashing mexico. at various time he's talked about 25, 35% tariffs. that's anti-growth. that would do us a lot of damage. mexico is our second biggest export market and china is our second biggest trading market overall. i don't want to have a trade war. i'm opposed to protectionism and i would much rather lower tax rates than cut the corporate tax here at home. i don't think donald has it. i don't think he's pro growth much its very disappointing to me. >> i'm curious from both of you, to what extent do you think race or national orginal synagogue to be a -- national origin is going to be a key here. two things jumped out on me.

number one, ben carson. he had constructive things to say about race. having said that, i am going to say the first question is to him, the one candidate of color on the stage. it was a polite version of are you too naived to run to be president? secondly, of course, the question about mexico and what donald trump said. he was challenged repeatedly. even john kasich who probably came close to challenging him among other candidates really did not take issue with his rhetoric or his impact. >> yeah. i was struck as larry was about john kasich's boasting about his economic achievements. he apaurntly forgot to mention that he had a partner in that, bill clinton. it was striking to me that john kept boasting about what he did not mentioning that it was an equal deal between him and president bill clinton. understandably he didn't want to mention. that republicans in congress were better able to get their goal when they had clinton as

president than they were able to do with george bush as president. it did seem to me worth noting. i think larry is right, i thought rubio did a good job. contrary, i don't think scott walk der not seem to present well. that is just on the horse race side. as far as the race question is concerned and what about trump, that's a real problem that republicans have. i analogize this that democratic problem in '64 with george wallace when there was an anger towards black people that became a deterrent. the anti-hispanic, mexican immigration rubio pointed out is mostly from central america now, that shorts trump's appeal among republicans primary voters. it's going to be a serious problem for them going into the election. >> look, barney is right generically. i myself am appalled at some of the harsh language on mexicans,

for example, that's come from mr. trump. i don't agree with that. i'm an immigration reformer. i think jeb bush is the guy who's been the strongest in rebutting that. although kasich has, too, and rubio has, too. rubio made a great point last night. you know, a lot of our immigration problems are not from mexico. they're coming from the rest of central america, okay? now the whole immigration system is screwed up. it has to be completely reformed. i get that. jeb bush is right though. if you reform it in the right way, it can be pro growth. marco rubio is also right. it's not the mexican government. it's no the a conspiracy against the united states. we have to have a talent based, skills based approach to immigration. we can do this. if we go into identity politics, it's a disaster. and i mean across the board. whether it's asians,

millennials, john kasich i thought gave a brilliant answer to gay marriage where he said, look, i'm a traditionalist. the law is the law and i, you know, am faithful to my friends. i've just gone to a gay wedding. that's the big tent jack kemp and ronald reagan republican party that i belong to. i hope people take a leap from what john kasich said last night. they played their cards right. >> that is a minority position. most of those candidates has been active singling out the one republican that is in a minority and agrees with him. i appreciate him trying to encourage civility there. the main approach to same sex marriage and i believe there will be sadly an anti-same-sex marriage plank in the republican platform that nominee will be running oncology for reversal of what the supreme court did either by new appointments or

constitutional amendment. >> barney, you may be right. that's a prediction. i'm going to make a second prediction. i don't think you're going to be right. i think the platform is going to say what john kasich says. i'm looking at the front runners and it's early if the game. when i hear kasich and rubio, when i hear jeb bush, okay -- >> you didn't hear rubio. john kasich was very much the exception. larry, you're the best wishful their the republican party has. >> there was one other big event last night where dodd frank came up. you said the legislation is stul very popular. but it was also mentioned on jon stewart's closing daily show episode last night in case you missed it. here it is. >> simply put, banks shouldn't be able to bet your pension money on red. [ beep ] it's, hey, this.

dodd-frank. >> you know, barney, that's not a resounding show of support from somebody who you might think would be one of your supporters on this front. >> i don't -- jon stewart is not in the supporting business. if he meant there shouldn't have been a consumer protection bureau, i doubt jon stewart thinks that. he's been a big fan of senator elizabeth warren. i don't think he wants to have unrestricted derivatives training. he did invoke the volker rule which most republicans are opposed to. we wanted to deal with bafrps but we had to deal with the securities institute and derivatives. i don't that i is one of most thoughtful moments. >> let me make one last point. >> one last point. yes. barney is right. i oppose the consumer protection bureau. i think it's a lousy idea. on the other hand, i think donald trump made a terrible mistake last night. he was talking about his

bankruptcies and how he can outwit the bank lenders. some of the mainstream people, ordinary folks believe this system is rigged against them. and what donald trump did last night in my opinion, others may disagree, he kind of underscored that, yeah, maybe the system is rigged only for the rich guy. that did trump a lot of damage. i think you'll see by the way he come out of this debate in much worse shape than went in it zbhch. >> we'll see. we have to leave it. there really appreciate it. larry, barney, we'll pick it back up as soon as we can. i promise. thank you so much for giving us your time. a lot to cover. time now for a cnbc news update. >> here's what's happening at this hour. the jury in the colorado movie mat kerr trial reached a verdict in the death penalty phase against convicted gunman james holmes. the decision will be announced at 7:00 p.m. eastern time tonight. the panel of nine women and

three men has been deliberating for 6 1/2 hours over two days. new york city officials say they have a handle on the deadly legionnaires outbreak that killed people. five water towers have been con cleaned and the number of new cases has slowed. a new study suggests women who have pregnancies less than a year apart may have a greater risk for osteoporosis later in than those who wait longer between babies. women should weight two years between pregnancies. and linebacker aldon smith has been release by the san francisco 49ers after his latest arrest. he was arrested last night on charges of driving under the influence, hit-and-run and vandalism. he was released after posting $26,000 if bail. it was his fifth legal run in since the team drafted him. that's the cnbc news update. kelly, back to you. >> thank you. is the clock ticking on the future of traditional watches? new data does suggest the apple watch may be triggering the final countdown for the time pieces. that's next.

and teaching felons finance. coming up, robin williams explains why he's been going to san quinten prison every week to teach inmates. and a radiologist might view a thousand images to find one tiny abnormality in shape, contrast or movement. because it's so challenging, a research project is teaching ibm watson to see. in the future, it could help clinicians spot key patterns quickly and precisely. ibm watson is working to make healthcare smarter every day.

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u.s. watch sales slowed the most in seven years. they sold $375 million worth of watches, that's down 11% from the year before. and while dwoenlt know the exact number of apple watches sold, many believe this drop in traditional sales is the first sign of eroding demand. karen coleman joins us and john force for on. this iw is a watch publication. what do you think about the numbers and the possible loss here to apple's new product? >> thank you so much for having me. iw magazine is an enthusiast publication. we're talking to people every single day who have a passion for watches. the article and study is very interesting, especially when you consider the price point that is under discussion. the watches in the sub1,000 category are potentially at risk, especially if you look to the future and you see how these devices are going to be integrated into your every day

life. but when you're looking at the luxury watch market and specifically the $2500 and above category, this is a segment that is not so much being impacted at all. what you're seeing is a different clientele. you're seeing people intreekd by artestry and mechanics and engineering. it is speaking to a different consumer than the under $1,000 price point. >> you bring up a good point. that is an interesting thing about the numbers. there is more erosion at the high end than the low end s it things lying fit about it which are also replacing the traditional watch on people's wrist? >> i think. so fit bit did 4.amillion devices in the second quarter. that got to factor into especially because many fitbits are the most popular models also tell you the time. i have to say, for most people, watches under $2500, that just means watches. most people are not buying a watch for that much money. so if in fact this category including apple watch is

threatening $1,000 and below, that's almost everything from your average consumers prospective. we may hear more about this of course, from apple's perspective in terms of number of units that they've done in september. first week of september is usually when they have an iphone vent. and they say once again we can expect the event to fall that week. >> the interesting thing about this is you can't quite connect the dots. the apple watch number appears to be below projection. so why do you think these numbers in june for traditional sales were down? >> i'll say i've been on the show fairly repeatedly and every time this comes up it's a discussion of the apple watch being a disappointment, not selling enough. we talked about them putting them in best buy and what benefit that may have. so caroline, ski you, in light of the fact that at least on wall street it seems people are talking about the watch in terms of dispiappointment is going on. what is the decline?

>> good question, for sure. within this price category, you're seeing people who are intrigued by the technology that apple watch affords and the fashion statement for the apple watch. so in the under $1,000 price point where this is a direct competitor, you have a small bit of the market share that is being taken away every time somebody is intrigued by technology or intrigued by fashion. so that segment is affected. it's appealing to a different type of psyche. >> caroline, thank you. john, have to leave it there. we appreciate you both being us with as we follow the watch story. we have a news alert much what's happening? >> so verizon confirming that it is doing away with subsidizing phones in return for a two year contract for wireless service. now starting next thursday, august 13, consumers can either sign up for a monthly payment plan for their smart phone or they can buy their devices outright. so if you want to go into verizon and get a new smart phone and get an iphone, gone

are the days where you can spend $299 in return for that two year contract. you have to pay the full ticket price or take it out and pay on a monthly basis towards that phone. so we've seen this already with the wireless carriers including verizon. this marks a shift in the fact that they're doing away with the two year contract. back over you to. >> morgan being thank you. big news on that front. the ever changing economy is force manage colleges to reinvent themselves to prepare students for the real world. up next, we'll speak to one professor who is tossing a textbook and turning the class into a real life invention factory. and then we'll get a lesson on whether it's cheaper to buy nfl season tickets or individual game passes on the secondary market. and you may be surprised by the answer. stay tuned. you totalled your brand new car.

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start-ups on the rise. they account for 3% of jobs and job creation. as the workforce changes, small colleges traditionally are adapting their course work to stay relevant with students. forbes recently ranked the most entrepreneurial colleges and here's what they found. middleberry, colorado, bennington and here is eric lyman who is associate professor for engineering, number one on that list. welcome, professor. >> thank you. >> should i call you professor? is there a different name now that you're starting all the startups? >> it's so exciting to be a

professor. one day i was a graduate student and then professor lyman. >> what bolted you number one on this list for turning your college into a place that creates all these young entrepreneurs? >> well, i mean cooper isn't really about entrepreneurship. it's about competency. and i think that's what's happening in the world. so we're graduating people that are just so excited to be in the world and they know what they're doing. >> yeah. >> but what we're doing is a lot of these revamping of certain classes, not all classes, okay, textbooks. but you can't learn this stuff out of a book. right? you have to do it yourself. >> so then what is cooper doing differently from other people to sort of foster or ingender that type of enthusiasm that seems to be on the present so to speak in graduates from your university? >> we have two things. it used to be, for example, during the academic semester, i have a class that is a freshman

class, freshman engineering class. what we do is instead of doing all the robots and the sautering and things that we normally do, you come in and they have a start-up. and they have to write their idea, a whole business model around it. and then they have to go and do interviews. ten interviews a week and then they have to come and present what they learned to an audience like this. >> you know, as a general matter, i love this idea. i had a great college experience and liberal arts education, i'm not sure i learned anything that is applicable to this job or any job that i had. having said all that, is it too soon to say whether this is affecting the hirability of your students? >> well, okay. so hirability, you need to know what you're doing. you need to have good grades and have a body of -- a portfolio of things you've done and you need to be articulate. being articulate in the right way means talking to people like you and being able to think on your feet and being able to have something that you have done. so what is really interesting is the summer program called invention factory. what they do is they spend the

whole summer building every day with all the technology that we heard. but then we bring people like you and we put them in front and they have to present to them. and then they have to be able to communicate. >> shark tank for college students. >> exactly. >> take a look at everything that you can see there. >> i want to know if i can sign up. >> you can. we need people look you and people who watch the show. >> why her and not me? >> to be a judge. or you want to be a candidate? >> i want to be a candidate. >> she can be the candidate. i'll be the judge. everybody wins. >> thank you for joining us. we appreciate it. we'll be watching to see what other colleges do. check out much more on "the spark." >> the son of legend airy actor robin williams is doing his part to fix the problem of financial literacy in prisons. why he is volunteering to teach inmates at one of the nation's most notorious prisons right after this.

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teaching financial literacy to inmates may seem like a daunting task but it's one being taken on by zach williams, son of the beloved late actor and comedian robin williams. he's been working with prisoners at san quentin and joins us now from san francisco. zach, really appreciate your time. did you begin doing this after your dad passed or is this something that's long been a

part of what's important to you? >> indeed, i began doing this after my father passed away in about october of last year. and i'd like to say it's an absolute delight to be here. thank you for having me, kelly. >> thank you so much for joining us. and listen, san quentin is a tough place. what are you finding from the inmates that you're working with? >> well, we work with inmates who have longer sentences generally, those who realize that in order to become a productive member of society again they need core life skills. and part of that involves financial literacy education. >> and specifically, are you talking to them about stock market investments or is this more basic financial stuff? >> so we have three modules as part of our program. the first module is called re-entry and involves baesic skills like interviewing and resume development. the second module is called personal finance and that involves developing an understanding of one's own

personal finances. the assets and liabilities associated with it. and providing a core understanding of what fundamentals look like. and then that leads into the third module, which involves -- it's called retirement and it involves investment strategies and looking at the stock market in a meaningful way. >> it's often said that financial illiteracy is one of the biggest obstacles for a lot of inmates in terms of improving the opportunities that they have. but tell us about curtis "wall street" carroll, zak. >> so i met wall street through my wife-o who works at human rights watch, and got me involved with san quentin prison. wall street started the class and co-founded the class along with another inmate and i came in and we developed the curriculum together. he's been incarcerated for over two decades now and has taken interest in the stock market starting with the business section of the paper and moving

into kind of detailed analysis of stocks. and it's been for him a process that's taken a long time. and he benefits greatly from it. >> and i know it's well that you're attuned to investments. do you have particular parts of this mccartney, zak, that you find compelling here? >> sure. well, i was talking with wall street yesterday about it, and we have three stocks we're bullish on. the first is amazon. they've recently started posting significant profits relative to what they have in the past. they're big on vision. and a lot of start-ups are built on amazon web services. then there's microsoft. satya nadella is a product visionary. he's doubling down on mobile and cloud services, and i think that's the way to go. follow -- and then the last one is twitter. which we feel is undervalued right,000. once they sort out their

leadership search, we feel that twitter as a cultural -- part of our cultural fabric could be something that could potentially be very valuable moving forward. >> well, we found our twitter bulls. you have to come back and join us for that. before we go we know we're approaching the one-year anniversary of your dad's passing. how are you doing? >> i'm doing okay. volunteering at prison is certainly helping. and i've got a great network of family and friends who've been there for me throughout the entire way and i'm very appreciative and thankful of that. >> well, and thank you for joining us and spending the time with us and with these inmates doing your part here. really important one. zak, appreciate your time this afternoon. >> thank you, kelly. have a wonderful day. >> you too. that's zak williams. owning nfl season tickets can be a status symbol and not an inexpensive one at that. but is buying tickets on the secondary market a smarter move for your wallet? we're going to break down those numbers when "closing bell" returns. technology empowers us to achieve more.

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introducing the samsung galaxy s6 active only from at&t. tested to withstand pretty much anything life throws your way. switch to at&t and get a $300 credit with eligible purchase and trade-in. welcome back. believe it or not, nfl preseason kicks off this sunday. cnbc's senior editor at large eric chemi is here with the big crunch to tell us whether we should be buying season passes

or game by game on the secondary market. >> for the most part season tickets. most the of the teams you'll save money. but not if you're a fan of teams like the vikings or the rams or the redskins. if you look at their data you lose money on the season tickets. not only are they bad on the field but they're bad for your wallet. obviously the vikings play this sunday which is why they're interesting. 24e6 the worst. the upper sections for their tickets is 340 bucks for the whole year. they're a total ripoff. >> but can you always know if your team's going to be that poor year to year? do you have to buy these things ahead of time? >> here's what this year's numbers are going to look like, a projection based on historical data who's i awinner, who's a loser. >> who are the best teams? >> the good teams, patriots, seahawks, cowboys. they win on the field, this win forrer wallet. >> do you guys hold any season tickets? >> nop but you're putting no value on the comfort of knowing where your seats are and not knowing where they are week to week. >> there's no comfort in sports. you've got to go with high volatility. >> i know where i'll be sitting. >> we're not big sports fans in my family i'm sorry to say.

my son actually refused to go to a yankees game with my husband and he's 6. >> i love. we're out of time. much more information on the web. thank you for joining us. really appreciate it here on "closing bell." kate kelly, dan greenhaus. that does it for us. what a week it has been. let's get you straight over to "fast money" with melissa lee and the gang. >> thank you, kelly. "fast money" starts right now. live from the nasdaq marketsite overlooking new york city's times square i'm melissa lee. your traders on the decemberric steve grasso, david seaburg, brian kelly and guy adami. tonight on "fast" one activist investor taking a big stake in american express, sending that stock soaring. we'll tell you what it is about his record that's got traders so excited. plus there's something going on in the market and it could be signaling a major rally ahead. one of wall street's most bullish and correct strategists is here to explain. but first to the markets this week. the dow seeing its longest losing streak since 2011, falling seven straight sessions. transports leading the way lower. oil lower again. when will beaf