down 1%. that's a quarter of healthcare overall that's what's impacting that sector right now. >> big market way to start the week. should be a great "fast money" tonight. >> see you then. >> melissa, thank you very much. thank you all for watching "power lunch," the "closing bell" on a big monday starts right now. big monday, big rally, welcome to the "closing bell" i'm sara eisen in for kelly evans. >> i'm bill griffeth. a crazy market day. general electric helping to power this market higher, it is the biggest gainer inside the dow right now on news that the stock has become an activist investor target. david faber will join us with details on the type of changes, if any, that we could see coming at ge. >> a friendly activist story they are calling it. >> so far. >> pharma is under fire, though. it's actually a laggard in this

rally. valiant pharmaceutical shares with sinking after that piece about how the biotech company has been increasing drug prices. we have on whether other biotech companies to be under this political fire. >> twitter shares are popping today, the company officially finally announcing a co-founder jack dorsey will become the new ceo, but will he be able to handle the twitter job and take his other company square public? that's something we will ponder a little later. >> that is the question for investors. plus, the hunt for yield, new data showing retail investors are flocking to dividend stocks, we will tell you which ones are getting the most love from retail investors. there is a little hint. exxon, chevron and verizon. >> a couple others, too, they are following right now that don't make a whole lot of sense. sara and i have been trying to make sense of this market. let's try it with our "closing bell" guests. ch that is right of the dow

tells the story. it's not just today's rally. >> it was a two day. >> the lows that were achieved on friday that is correct big turn around after the selloff on the open friday morning in that time the dow is up, you know, it hit a low of 16,013 so do the math, we are up about 600 and some odd points in that time. >> a powerful two-day punch. the question is why. >> exactly. let's pose that question to our guests, phil blancato, jim booeng co and rick santelli is in chicago. phil, what do you think? even some traders on the floor are saying what is this rally about? >> two reasons, one the fed more than ever has reasons not to raise, you're looking at a situation with not a good jobs number, pmi coming in softer, my belief on the other side the fundamentals are better than people assume they are. consumers are in much better shape than anytime in this rally, i paid $1777 for gasoline

in new jersey this weekend. you have a stronger consumer, more people back to work, i know numbers are a little soft lately, but because the fed is being forced to be more accommodative you are getting a nice rally. >> when the fed held off after the last meeting the stock market sold off. what changed between them e. then and now? >> i don't think that was ever the case, i agree with the first half of what phil said. it's bad news is good news rally. weak payroll number puts the fed on hold until the spring and the market is celebrating. more cheap money for the next six months. it's always been that way. people have tried to spin it that they desperately want the fed to raise rates, that's why we were struggling and 120 points lower on the s&p just a week ago today. >> rick, the one thing that sara and i have been talk being that kind of doesn't make sense in the context of today's rally, if you believe that this is about the market perceiving that the fed is not going to raise rates

anytime soon why do you think the dollar is higher today? >> well, let's ask a different question. the dollar index is what you're referring to and it's mostly eurocentr eurocentric. 50% is your owe. the problem with the euro is the euro most likely goes down on a risk on because of the carry trade and goes up when they short cover t so i would think that goes a ways into it. remember, there is a lot of cross currents in the dollar index. i think over time we would all be better suited to be looking at trade weighted dollar type charts, but in the end all markets aren't going to be perfectly on the same page on any given session, but i think jim is correct, we are definitely on kind of a risk on day and i would think that the best evidence of that is how interest rates moved up considering we had super weak data today, super weak data thursday and friday and we couldn't even keep this thing under 2% for, what, an hour. >> there's the old bad news is

good news trade back on. >> speaking of the fed, former fed chair ben bern key was on squawk backs boks this morning. he was asked if he think the current fed policy still too easy. >> it's not evident to me that policy is too easy because, again, because inflation is very low and, you know, we are just now approaching a full employment level of output. so it's a tough call, but, you know, again, the folks who were arguing a few years ago that the fed was, you know, creating this radically expansion aer poll sir, they were predicting high inflation, we haven't seen it. >> a couple things he brings up there. on the growth area, phil, you believe the economy is growing pretty well and that's why we're seeing this kind of a rally here, but yet the fed based on the metrics they've set for themselves they can't raise

rates yet. >> we are at a bit of a new norm a when is the last time we saw energy down at this level? when you start breaking the pieces apart and look at core inflation or headline, he is right, we are not getting any inflation, but outside of that i get that the labor -- the wage number hasn't been great, but personal number is up 4% year over year, savings rate is up. overall cost of living is down. to me that's all very strong positive for the consumer but still we don't have any real inflation. here is your question, will the labor market get tight enough to force wages higher which will give the fed what it wants? so far that hasn't happened. we think we are at an equilibrium where if the labor market gets tighter that's going to force the fed's hand. for now they don't have both mandates. they have labor where they want but don't have inflation where it wants. >> rick, i was curious to your reaction to ben bernanke's

interview. i thought one point stood out, he said we didn't intend to create the bernanke put. it was this idea of moral hazard and continual bailouts and the fed is always there. >> of course there is going to be a moral hazard. you can't bail out. you can't bail out. baling out firms in a free market capitalist society is like taking hell out of the religious framework of the catholic church. okay? you need that notion. you need the ability of firms to fail. once governments or fed or central payers step in it chaings everything. ben bernanke and paulson pulled the switch on the track and we are now on the wrong track in my opinion. in terms of inflation, you can look at financial inflation and in terms of commodity, volatility, ask the harper in canada or in australia what the central bank did with the foreign exchange volatility they created. talk to emerging market central

bankers and they put them through all of these exercises only to leave them, what, stranded without any removal of accommodation. it doesn't hold water. there is another side to every story. >> rick santelli with heavy -- >> i knew that would get him worked up. >> jim bianco as we leave, would you guy bye into this market right now? >> i'd hold off a little bit. i disagree with phil? that i think earnings are an open question mark. you have the positive of chief money that's going to offset t this market you have to be used to every day is going to be a 200 or 300 point day. pretty much they have been for the last month or so and will continue to be that way. i wouldn't be surprised if at the we end the year where we are now or slightly lower. i am not in any hurry to get in just yet. >> thanks, appreciate your thoughts on today's market action. see you later. one story we mentioned at the top of the hour, general electric rising on news that activist hedge fund trian has taken a $2.5 billion stake in

that company. david faber broke that story for us first thing this morning. we were calling this -- >> a friendly activism. >> what did we come up with this morning clab ray testify activism. i don't know. if doesn't work. you guys will come one a better one. you are right. at $2.5 billion it is the largest single problem that trian has ever taken. in this case it doesn't want a board seat, it is fully on board with the strategy that has already been outlined by ceo jeff emelt which has transformed ge into largely an industrial infrastructure company with the divestiture taking place of ge capital. trian admits the company is not getting the it deserves. and could be a 40 to $45 stock

price as a result of that by 2017. that said over the last ten years you are talking about a stock that has had a total return of over 10%. and ed garden who i spoke to earlier on squawk on the street admits that with a few other reasons are why it doesn't get the respect perhaps he thinks it deserves. >> probably most damning, the dividend being 25% below where it was in '08, but this reminds me a lot of lazard where in 2012 we became the largest investor in lazard. there was a ton of investor skepticism but we felt that management had a great plan and i think that's where ge is today. we see eye to eye with management on the plan, now it's all about execution. they need to execute. we are going to hold them accountable to execute. >> holding them accountable to execute still a key here and while the investment is welcome by ge, it will have the affect of potentially holding the

company's feet to the fire in terms of those execution. there are a few things that trian is going for, such as 16% operating margins by 2018, an increase in the company's leverage by one turn so another $20 billion and an increase beyond the already significant buy back of stock that is on the books for this company. that said it's kind of a new chapter in the sense of they want to be viewed as an investor who can give a stamp of approval to management and help bring in new investors and say, no, it is different this time. having the desired effect at least so far this morning, of course, in a very strong broad tape ge is up over 5%. we'll see how this goes from here, but a good start at least for trian's significant investment there. >> a vote of confidence. importantly, david, they did not ask for a board seat. i know also you asked about dupont, which is still -- i didn't realize that they were still buying shares of this and this one is going to be a little

uglier. >> yeah, mr. garden would not specifically say what their plans are in dupont, but no one would be surprised if they did not come back for, again, asking for seats. the question is whether or not there will even be a fight this time. for trian's perspective they have hung on on a stock that not that long ago was 70 bucks. if they had just sold the entire position when they lost their last proxy fight in the attempts to get some board seats they would be a lot better off than they are in dupont given the losses they have seen in that stock. i think they are around to break even, maybe down a little bit on their overall position. they bought even more. that's a very different -- that's going to be a contrast to what's going on with them and ge. >> you would think. thanks, david. >> see you tomorrow. >> let's send it to seema mody for a market flash. >> we have some tech news. vm ware trading lower on a report that the company has lost an enterprise licensing agreement with apple. this report crn.com is reporting that instead apple will use kv m an open source alternative.

again, the report says apple has decided to renew a vm ware enterprise license agreement and it will not do this and step up use the kv m. we are looking at shares down a third of a percent. back to you. this ought to be interesting, see if we can continue the strength of this day into the final hour of trade. we have 47 minutes left in the session with the dow up just about 300 points right now. >> it's the best way dmai a month and five-day winning streak for the s&p 500. we haven't seen that all year. >> right. >> best streak there. twitter rising after the company officially named jack dorsey its permanent ceo. we will speak to an list who upgraded the stock before that announcement came out. find out why he is so bullish on this company. the tale of two drug companies, spark soaring, but valiant continues to fall. now it's negative after an article on its drug pricing strategy in the "new york times" over the weekend.

meg terrell will be here to explain what's going on with both of those important companies when we continue on "closing bell" after this.

up -- the stuff you miss when we are in commercial. up 296 points on the dow, rally day that continues. the rally we saw last half of friday up 1.8% right now, that's the best performing of the three major averages, s&p up 1.7%. wow, look at that chart. we've got -- this is the -- >> new heat map. >> sector heat map, industrials are the strongest today, ge would be leading that charge. healthcare lagging. >> yeah, some pockets of red there, but not for spark therapeuti therapeutics, that stock is surging on the success of their experimental gene therapy for an inherited eye disorder that could cause blindness. meg terrell joining us with the details. we were talk being a cure for blindness. >> these are patients who would go completely blind without treatment. what gene therapy does is replace has dysfunctional gene, delivers a functional copy of a gene to supplement one that's causing disease. i know this is a very rare

disease, 3,500 patients in the united states, five major european markets are thought to have this, but in this clinical trial they showed that the therapy improved functional vision and light sensitivity with no drug related serious side effects. they plan to apply for approval next year. if it's successful it would be the first gene therapy on the market in the united states. it is really a remarkable achievement. this has been a field that's been in the works since the '90s. it now is starting to form a resurgence. this is great news not just for spark but the whole field. >> very quickly what, would it mean for this company? where does it fit into the portfolio? >> this is the first one it's working on and first one it's taking to market. it has several other in the pipeline for other forms of blindness and other things like hemophilia and other genetic disorders. this is the start of what they think they can accomplish. >> such hope there. the other story, valiant pharmaceuticals spliegd on that "new york times" article over

the weekend questioning its drug pricing strategy. that drug is down that werely. >> >> it's been a tough month for valiant, this article was run who is experiencing had the effects of these drug prices. this is a bigger issue after we saw turing pharmaceuticals raise their prizes. now valiant is in the cross hairs not just of politicians but a lot of people in the investment community some short sellers getting on board as well. folks are talking about whether that ceo is going to be hauled in front of congress to testify. that could further weigh on the company. people are questioning the business model. >> so it's a lot of noise and definitely a political punching bag, we saw hillary clinton's tweet and she unveiled her

policy. the question is anything going gg to change or will an investor be rewarded to stay with this? isn't it hard to get a change in the drug pricing. >> it could be difficult to get anything through congress and the democratic proposals might not do anything to a company like valiant. analysts are defending the stock. just stood isi putting out a note saying even without drug prices in 2017, 7% it's an ongoing question. other drug companies who are in a different category may be trying to distance themselves from this company. >> as we've talked in the last few weeks, ever since the first hillary tweet that caused this selloff, this comes up virtually every four yeears, yours divisible by four when there is

a presidential campaign this is a big topic pic. >> and that weighs on drug stocks. it will be interesting to see whether the drug industry comes out with different communications on drug pricing, how they try to combat that or whether we will see real pressure and actually things change. going back to spark it's a fascinating example of a company that could change the paradigm of how we deliver drugs in this country. they want to change the whole paradigm of pricing. >> what is the price of regaining your sight? >> exactly. these innovation right side coming out and are better and better. me go, thank you. >> thank you. >> all right. with a little less than 40 minutes to go before the "closing bell" we are looking at a pretty big rally. the dow up 290 points that is correct would be its best way dmai a month, s&p 500, 1.75%. >> at which timer is having a good day, too, an list will explain why he upgraded the stock before the news this

morning that jack dorsey will be officially taking the reins of that company. >> and then later, we have another story to talk about with twitter. harvard business school professor bill george weighing in on whether dorsey can handle being the head of twitter and square simultaneously. that's a whole case study in itself. sfors . you may think you can put off checking out your medicare options until you're sixty-five, in mind, medicare only covers about eighty percent of part b medical costs. the rest is up to you. that's where aarp medicare supplement insurance plans insured by unitedhealthcare insurance company come in. like all standardized medicare supplement insurance plans, they could help pay some of what medicare doesn't, saving you in out-of-pocket medical costs.

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big rally after that weak unemployment report. s&p 500 now up more than 1.7% and the nasdaq the laggard of the bunch up 175%. social media stocks having a strong day. etf up. linked in, microsoft all seeing big gains of about 2% or more. >> we are standing in front of the twitter trading post which is up 6% right now with word out that jack dorsey will be the new ceo permanent -- or as permanent as anything is in silicon valley, but before that this morning victor anthony upgraded the stock before the announcement was made about jack dorsey and we want to ask him how and why he did that. victor joins us in front of the trading post at the new york stock exchange. you were guessing, i guess, that he was going to be made ceo anyway. >> i didn't think it would happen this morning, but that along with a series of other that i saw for the stock prompted me to upgrade the stock

this morning. >> how much -- is it because he has a turn around plan? is it because they just now have a ceo? i mean, there is a turn around necessary at twitter right now. >> it is. it's partly because they need a permanent ceo in place. >> right. >> that's one. number two, i do think it's very well respected within the organization, he is well respected within silicon valley outside of the organization as well. so he will help with retention. they have had a spat of executive departures over the last year and a half. he will help with retention, recruitment and he is a product person. they need how to launch products and get products on to the platform. >> i'm curious about the 6% move higher in the stock today. kara swisher broke this news a week ago, investors knew it was coming any day do you and it would be jack dorsey. was it something he said on the conference call this morning that reassured everyone? >> i think it's the fact that it happened, that's one. >> clarity. >> the clarity happened. number two, i think investors are reacting to the fact it was

a positive conference call, he laid out multiple different products he's launching, the board has said he has surpassed expectatio expectations. >> are you assuming that he's going to step down as ceo of square once they've ipo'd that stock? >> that's my expectations. >> what if he doesn't? what if he tries to manage both companies simultaneously? >> i don't think that's a longer term plan. i don't think he could do that would perpetuity. the innovation that's required is rapid, i think the competition is intense and so i think at some point after the ipo for square i think he needs to step down from square and lead twitter. >> i just want to get some of your other catalysts including the nfl deal snoot nfl deal should be launched i'm hearing tomorrow. there's an advertising plan that should be kicking in later this week as well. there's google integration when that kicks in i think that should help with the mau growth and engagement as well as well

as a double click integration. these are all things that i think could help growth in 2016 not necessarily over the next two months. >> victor anthony of axiom capital management. twitter up more than 6%. >> time for a business news update can sue herrera. >> here is what's happening this hour. house speaker john boehner says the house will vote on the next speaker on october 29th. on thursday house republicans will meet to choose the party's nominee for the post but the speaker is elected by the entire house. air france employees storming the company's headquarters to protest job cuts and demand the ceo resign. they assaulted two managers, tearing their spirits from their bodies, the two escaped by scaling a fence and getting to police protection. new york yankee pitcher cc, sebathia is checking himself into an alcohol rehab center and will miss the entire post season. he said he's taking the step to

become the person he can be proud of. it's going to be an interest christmas for barbie, with sales heading for a fourth straight annual decline, mat tell is hoping that the rollout of hello barbie will reverse the sales trend. they say it can deliver 8,000 lines of conversation. that's the cnbc news update. back to you guys. >> in other words, barbie talks back to you, which is something ken has known about for years. >> that's right. and he has put it up with it so well. >> i think it will be interesting to see whether this can revive barbie who is 56 years old. >> she looks pretty good. >> but she's having tough times, the kids want more high tech. a clearly an effort by mat tell. >> she will have a lot to say about that now. >> thanks, sue. >> they were hoping for such levity after that story. did we give it to them? >> i think so. >> we'll see. we have 30 minutes left.

here we go into this last half hour of trading. can we hang on to those gains? we will see as we head toward the close. >> a leading trader tells us what he's focusing on on the final and most important half hour of the trading day. >> td ameritrade's chief strategist will tell us -- they have the retail investors index, what are they buying right now going into the fourth quarter of the year? very interesting. coming up. ttel. .

stocks are surging here into the close. the dow is up 315 points. we're seeing strength all over the place. it is a broad market rally. all the major s&p sectors are in the green, even healthcare which was lagging behind. it has just turned green, particular strength today in industrials having their second best day of the year, bill. >> all right. sara, we head into the final half hour, this ought to be interesting to see if we hang on to these gains. i'm joined with steven guilfoyle

managing director of deep value. a lot of heads shaking wondering what's going on here when you consider not just today's rally by from the lows of friday we are up pleesh blee. >> we are up 100 points on the s&p 500 since we settled after the noepg on friday. this is quite a significant move. a lot of technical construction and you way. volume is a little light. >> i'm one of those guys that jumped into energy a little early so i had to fight my way to where i'm finally in a position where i can take a profit and i'm not going to miss that opportunity. >> are you trying to figure out the why, why the market is doing what it's doing? when you consider that after the fed meeting in mid-september it sold off when they didn't raise rates and now there are people say today that it's rising because they like the fact that they are not raising rates. you can't have it both ways. >> no, but we are having it both ways. bad is good and good is bad.

we got away from that for a month or sorks we seem to be back on that. every central bank is easy and it looks like ours is going to have to be easy because they missed their chance. >> these levels on the s&p, 1979 i heard this morning was a resistance level, we barrelled through that one. what do you see the upside now? >> i think 79 was an important resistance level. we need to hang on to it. on the upside we are just getting through 1987, if we can get past 1993 i think that's really key. >> that will be the number to watch. >> that's what i'm watching. >> we are moving aly higher as we head to the close. td ameritrade out with its monthly investor movement index. retail investors were net buyers in september. here to tell us what they were buying is j.j.kinnehan. what is the take away retail investors were buyers during a turbulent month. >> they were buyers, but buyers of stocks with lower volatility n a time where we did see a lot

of volatility they rolled out of stocks with high volatility into stocks that you would think were lower volatility. we saw a lot of buying in exxon, chevron, verizon. what ties they will all together? dividends. in a month where we found out the fed didn't going to do anything with rates, the search for yields continues from the retail investors. the other thing i will point out with exxon and chevron, it gives them a chance to sin thet clee play energy. they make their money doing that so they double dip basically in terms of energy and with yield. >> that i get but then we just showed two stocks that they are buying that aren't doing so well and that would be apple and gopro. >> correct. >> what do you neighboring maik that have? >> apple is a retail perennial favorite, it's our number one held stock at td ameritrade. you see a lot of retail investors who may not have that big an interest in the rest of the market, they have an interest in apple.

with gopro once it got down to its ipo price, people were like this is not just a play on cameras, this a media play. the gopro channel, it's fascinating, you find yourself watching for a long period of time. so i do think as you saw the media stocks people started to nibble at those with disney and netflix, this is just an extension of a media play and a stock down to it's ipo. >> maybe it's an indication where they are going to send their holiday shopping money. >> you can watch a guy on fire who is surfing? what is all that about? >> what did they sell in september? >> they sold stocks -- really interesting and why i like to look at this next it shows how retail trade remembers getting smarter. we saw stocks like jcpenney get up near 52-week highs opposite of what we saw in the rest of the market they are unloading some of t one of the stocks i'm interested to see this month will be ge. last time ge got up here our

clients were not sellers of ge, when this came back off they bought more. it will be frog see how they do with ge which is more of a holding for many people particularly retail traders because it's a stock that's more blue chip and they trust and roll tilt off today 11.5% but something we have seen a lot of recently. >> do you have a sense of what your clients think about the fed and what they're going to do and will that impact what they do in the market, do you think? >> i think to be honest with you, bill, like many people standing on this floor our clients would just like to see the fed do something. the thing i don't have maybe as big a feeling i know exactly what's going to happen but they realize as long as the fed is the 500 pound gorilla in the corner of the room you have one eye on what you a're watching a one eye on the gorilla and it can affect markets and something they feel they don't have as much control over. >> typically you think of retail

investors as having bad timing with the markets. >> right. >> what are you seeing lately when you say that and what does the sentiment really tell you about the underlying fundamentals in this market? >> first of all, you know, it does -- retail has that reputation for being the dumb money. one of the things we've seen for this imx the reason we started it is we were tired of hearing this. this is measuring people who engage once a month. if you are going to engage once a year you are probably not going to make the best decisions but those who engage once a month what we've found is they are making good decisions, selling things when they get higher, buying things when they feel they've gotten oversold. that makes me really excited. our firm a lot of other firms have done a great job in education, we're doing one with colleges, think or swim challenge. we try to do a lot with education as does everybody in our industry because what 2008 really helped people do was go back and understand why they are investing and spend for time on retirement than their next

vacation. >> j.j., i always love hearing what clients are doing. >> always great to be here. >> heading to the close about 20 minutes left in the trading session here. i'm always on the lookout for art cashin about this time of day to see what the bias is, whether it's the upside or down side. it will be interesting to see what we do, we are up 300 points on the dow. >> new day, new name, new mantra for google. our josh lipton has the low down on alphabet next. apple get hit is another malware attack s apple no longer invincible against these cyber attac attacks? a top cyber security expert will weigh in and you need to pay attention to that, especially if you have an apple product.

stock rallying into the close of trading. the dow jones industrial average up almost 300 points in these final 20 minutes or so of trading, the s&p 500 up 1.75%, the nasdaq it is a laggard of the three up 1.5%. extending friday's rally and that takes the dow, the s&p and nasdaq, bill, out of correction

territory. i will show you the dow transports which were also beaten up on the selloff over the last few weeks. >> even though the price of oil is higher today. this is another of those inter relationships that's not working today. >> price of oil higher and energy stocks are among the best performers today. interestingly the dollar is also stronger which is another breakdown in correlations as well. commodities have been strong across the board during this session. >> we mentioned how the industrial stocks are leading this charge. here are a couple of those on market movers. al co with a 9% higher, the winning a $1 billion contract with airbus. al co with a says this is the largest court reporter for aerospace fasteners in its history. alcoa posts kwrl thursday on thursday. dooer is up 6%. united auto makers have green lighted an agreement and that covered facilities in three

states. >> the new rear for google, it began trading under its new alphabet name. it is still using the old ticker symbol. josh lipton has more on that and some of the other changes. >> it's an exciting new chapter in the life of google. that is how google co-founder larry page talked about the restructuring of the company into alphabet, this new public holding company. starting today it is official here at the nasdaq, google stock trading at alphabet stock, the tickers are the same and so are shareholder rights but the hope among analysts is that this restructuring delivers on the promise of more openness at the internet giant as reminder alphabet made up of the noncore businesses so by that we mean nest, fiber, cal co as well as the funding arms, google ventures and google capital. the company is run by page and sergey brin. a slimmed down google will include search ads, youtube maps

and andrew. sundayer pachai will be the ceo there. the point of this restructuring encourage more focused managers, nimble business, also greater clarity about google's core search business that could please investors as well. analysts see that business continuing to brow groe in the low to mid teens provided we can see continued progress on mobile modernization. some think larry page could be a trendsetter here. mark andresen told rico if alphabet works it could prove to be a template for future tech businesses. back to you. >> the whole conglomerate scheme. i wonder if they've lost any of their entrepreneurial spirit. i know that there was a lot of talk about the don't be evil mantra that was taken out of the code of conduct and people reading into that, what does that mean, are they no longer going to be a start up, is it a good thing or bad thing. what do you make of all those

questions. >> so i'm sure a lot of investors did have google's famous motto don't be evil, alphabet came out with its new code of conduct which is what you're referring to which simply said do the right thing. but listen, i think the point here is that larry page and sergey brin are still so excited about these so-called futuristic moon shots, whether it's self driving cars or the like, the point is they can be in charge of that and they can put a trusted ally, sundayer pa chie, someone who is very well respected before this in charge of android, he can be in charge of is that core business. alphabet tends to report under this corporate structure starting in january of next year when they report q4 results. >> before you go i will ask the obvious question, why aren't they changing the ticker symbol? >> maybe it was just that much easier, bill. you woke up this morning and if you looked at the nasdaq those

shares just converted to alphabet shares, you keep the tickers the same, the shareholder rights also stay the same. maybe it was ease of use for investors and shareholders. >> it's going to be an adjustment for us. >> i guess. how long will they have r we have to say apple which of course used to be known as google? that will be for a while. >> alphabet. >> okay. thank you, arthur. thank you, josh lipton, very much. we have 12 minutes left in the trading session. art cashin just this second with the hand signal telling us $500 million to buy. >> that's bullish snoot imbalance is to the upside even with the market still up 300 points right now. >> we will continue to watch the market into the close. up next one strategist explaining why she looks building products and home improvement companies best in this environment. next please don't go away. we believe active management can protect capital long term. active management can tap global insights. active management can seek to outperform. that's the power of active management.

this is my favorite chart today, this is a two-day chart of the dow going back to friday when we hit a low after that selloff on the open in the morning, the dow hit a low of 16,013 and now we are up, what, 700 -- you do the math, 773, 772 points in these last two

sessions. joining us to talk about that, among other things, prudential financial market strategist quincy crosby. astounding. and the s&p is up about 100 points. what do you think? >> well, first of all, the initial reaction when those numbers came out i think was some of the algorithms. >> the jobs number. >> and the higher frequency trading had bad news a bad news. as the day progressed it became, wait a minute, this is pretty good and the qe 4 talks started to circulate. the market was in seventh heaven and it carried on into europe t carried on today and now we have for march of 2016. the market -- you know, this is the fed has trumped technical analysis, the fed has trumped fundamental analysis and the job that we have is you've got to deal with the cards you're dealt. you still can't fight the fed. >> right. >> it is hard to believe that we are here so many years later to the conversation with ben bernanke this morning on squawk

box. what i look about your strategy is you are picking home stocks, things relate to the housing recovery because that is a good story whether the fed does or not. >> exactly. the fact of the matter is 142,000 jobs september typically has a revision up, but the wage growth is good for those who can buy houses, not everyone can, but for those who can wage growth is good, rents are getting high and the mortgage rates are coming down as that ten year yield pushed down below 2% mortgage rates came down. i think you still have a nice run with housing stocks and products that fix up the house, all the things that go along with t we think that still has a nice run and that had a nice pull back. >> what do you think about the continued selloff in biotech, healthcare? healthcare is a classic defensive play, but nobody is going in that direction and suddenly risk on. would you look for value there anywhere? >> you would start looking at those beaten up biotechs.

they were pulling back anyway, the tweet got it really pulled back. >> the hillary clinton tweet, yes. go ahead. >> this is the season for a lot of oncology conferences, a lot of industry conferences and that does give some of these biotechs a nice catalyst for pushing up higher. there is definitely shopping going on in bioteching right now. >> we will come back after this break with the closing count down and review another crazy day. >> actually, we are seeing some groups turn green for the year, consumer discretionary, staples. >> bill george tells us if he thinks jack dorsey can pull it off being the ceo of both twitter and square. you're watching cnbc, first in business worldwide. cme group can help you navigate risks and capture opportunities. we enable you to reach global markets

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that's where at&t can help. at at&t we monitor our network traffic so we can see things others can't. mitigating risks across your business. leaving you free to focus on what matters most. three minutes left in the trading session here. mary thompson is with me, we're shaking our heads watching this market. i mentioned art cashin was saying $500 million to buy, getting a little bump here. this is that two-day chart that we're looking at with the low on friday after the jobs numbers selloff, the dow hit 16,013 and it's been off to the races since that time, we are at 16,780 right now, a gain today of

1.87%. what has not participated to the upside, the biotech, especially after that "new york times" article highlighting the drug price increases at valiant and affect it has had on patients. this is the ibb over those last two days and in -- today we are down .7%, a lot of that led lower by valiant, ten year yield, let's see what that's done over these last two days -- this is today. so it's a rise higher, we are back to 2.05. it hit that low of 1.90 percent at the low of the day and then bounced. the same low that we saw on august 24th. last one. the vix and it's back below 20 now as it continues on friday we were at 24, down 7.7% today at 19.336789 crazy. >> risk on again t seems investors are getting more comfortable with the idea that we may not see a rate hike until

possibly 2016 despite comments from a number of fed officials that have said we want to raise rates before the end of the year. >> i get that thinking except for when you consider what's happened to the markets after the fed didn't raise rates in september and there was a four-day selloff then on disappointment that they weren't raising rates presumably. >> that's right, but then again we touched some key levels, the market bounced off that level for the dow, they retested the lows and we saw oil come back. >> those are some things that aren't making sense today. the dollar is higher, but so is oil. >> uh-huh. >> and transports are also higher, even though oil is higher. so there's some buying going on here that defies the typical inter market relationship. >> some people were wondering, listen, we have gone so low at what point do people come back. earnings expected to be down earnings gross for the year but

maybe people are thinking it could be better than we had expected. again, i think a lot of people are making that we aren't going to see a rate hike before the end of the year into thanks very much. see you later. we're coming back right now, we have this rally going on but more on what ben bernanke said this morning in his new book and on cnbc and the most controversial app on the -- in the social media world that may never happen. that's coming up on the second hour of the "closing bell." welcome to the "closing bell" i'm sara eisen in for kelly evans, bill griffeth will be rejoining us in a minute. we are finishing another strong day on wall street. the dow jones industrial average closing up 300 points, the s&p 500 having its longest rally of 2015, up 35 points or 178% and the nasdaq up 73 points or 1.5%. joining me today's panel, we've got our kayla toushy, "fast

money" trader gay adamy and anthony chan from chase. guy, i should say that ee energying markets rallied, currencies rallied, commodities, it wasn't just the u.s. stock market. >> commodities rallied, the u.s. dollar rallied and gold rallied as well. before we start i want to go on record as saying friday when those jobs numbers came out with those revisions that are ridiculously bad i thought that 1820 level in the s&p that i thought we would reach we were going to make it that morning. clearly i was wrong and here we are some 100 points or so higher in the s&p. it's important for me to say that because this rally has me a little bit confused, but then if you think about it intuitively, bill was talking to mary about the potential for a rate hike later next year, i think what the market was maybe looking at, forget about a rate hike, maybe another round of qe, qe 4 coming out of this fed because if you look at the numbers out of the u.s. and then you look at the

numbers out of europe, i mean, they're dismal at best. dan nation put out a great piece. i get the market is higher but be careful what you're rooting for. what we seem to be rooting for a continued lousy data globally. >> anthony chan, you are a bull on this economy. that was a bad jobs number, but does it mean now that bad news is good news again for the market if the feds on hold yet again? >> i think the market is telling you that this is a goldilocks economy, that the economy is not growing too fast but not growing so slowly. i'm not embracing the possibility of a qe 4, but i will tell you if we could get qe 4 it's going to fire up the equity market even more. marginally it doesn't do the same thing that qe 1 did or qe 2, but it is a positive driver. once the economy starts to do better the fed will come back in the gain but people are worried. >> qe 4. just last week janet yellen was talking about raising interest

rates before the end of the year. >> i think it's tough to say how strong the rally that we've seen too actually is and what it says about the market given the way we retraced on friday was a short covering rally and then it sort of spread, it had a contagion to the broader market. today seems to be a repetition of that. weak earnings, ntd says it's going to be the weakest holiday since 2009. we're going into this lackluster period but for a couple days people want to buy. >> we were looking at lighter volume today than friday, but we had a big pickup on volume at the close. we did do a billion shares here at the new york stock exchange. so, guy, the question is does this stand? are you willing to guy in this or what are you going to do? >> the easy answer would be to fade it. that's what my instinct said is to fade t i think there's going

ton an opportunity to do that. you can't discount the reversal on friday was ridiculous. i know you heard all the people stalking about key reversals and it's true, it was nuts. today's follow through in regards to what happened on friday makes a lot of sense. markets overshoot to the upside and the down side. my sense is that's what we are in the midst of now. goldiloc goldilocks, i don't guy bye into any of that nonsense, but ask the people out there on the street, there's nothing goldilocks about it. the data continues to get worse, not better f that means stocks go higher let's party on, but the market -- you know, i'm reticent to say this because you make money if the market goes up for the right reasons and wrong reasons, but on friday and today the market has gone up for the absolute wrong reasons. >> guy, the people who say like jeff stoddard at raymond james perhaps there is a bottoming period going on, dow crosses the 50 day, you're seeing some anger that we're crossing levels and

hitting targets that we haven't seen since july. what do you see to that? there stl a bottoming pattern going on? we didn't hit your 1820 but we got close. >> we've pushed it back down to those levels that we saw i think it was october 15th or so, we bounced off it seemingly on friday. so, yeah, you can make an excellent case for bottoming pattern. i have the utmost respect for jeff, the technical suggests that maybe we got tond out. my point is that you have to submit that the data we've seen over the last few days, forget about just in the united states, but in china and europe has been dismal and if markets are going to rally on that that's fantastic, but that party ends at some point. i thought it was ending on friday and again i will say it i was absolutely wrong. >> all right. still is about central banks. speaking of former fed chairman ben bernanke made headlines this morning on squawk box.

steve liesman has the highlights for us. what we should read into it if anything about current policy? >> he wasn't high. ben bernanke wouldn't say outright the feds should not hike but he made pretty clear the views that he supports the fed's current easy monetary policies. >> i would just point to the inflation rate, you know, even if the fed had no interest whatsoever in growth and employment, which of course it does, but it has the 2% inflation target t needs to get inflation up to that target and, you know, easy money is justified by the need to get inflation up to the fargt. >> so that's how he did it, he never say explicitly that he thought fed chair janet yellen -- what he thought she should do but says the fed has tough choices up ahead. ben bernanke's book the courage to act. we asked why he thought the u.s. question was growing so slowly and whether he was disappointed

with the results of his policy so long after the fed cuts rates to zero. >> the slow growth is coming from slow product tiftd growth, outper for workers has not been growing quickly. i don't think it has much to do with monetary policy, it has to do with the ways of innovation, we saw slowing in productivity growth even before the cries. i think that's part of it. clearly one of the issues is we have baen relying too much on the fed. the fed has been the only game in town, being doing most of the policy heavy lifting for the last few years. we need to see more action from other policymakers. >> so it's not a stretch to see that bernanke's courage to act is a criticism of other parts of the government. he's saying he and the fed have the courage to act to save the question but places like congress they fell down on the job, sara. >> the 2% inflation target, you know, they're sticking to that. is it unreasonable target to hit, though, at this point? why 2%?

why can't they just hit 1.75% and call it a day? >> those are great questions and there are a couple schools of thought on that. one is that you cannot guide essentially a boeing 747 to hand on a dime on the tarmac that if you're close it's okay. the other is that the fed has really its most potent weapon is its credibility and if it starts to raise rates -- in fact, bill, it's not 1.75 it's down below 1.5 and if it does that the fed en grains this idea it will accept a lower inflation than its target . >> i wanted to ask you, anthony, on this idea of inflation, part of that story is going to have to be wages. ben bernanke did throw out the full employment and how the economy is close to it, near to it and talking about the progress this morning that we've made on jobs. isn't the whole notion of full employment that the labor market should be so tight that wages have to squeeze higher?

why haven't we seen that? >> i absolutely think wages are going to start to pick up. if you look at the american truckers association they're saying they have 40,000 positions that are open and they can't fill them. guess what, when you have those conditions you're going to have to raise wages. you have seen a lot of other companies raising wages, whether it's the walmarts, mcdonald's of the world, i think the important issue he made this morning about the fact that productivity has been weak and that looks a little bit strange. i have actually looked at the dat tachlt if you go all the way back to the 1950s every time you get a recession that's above average, the average is 11.1 months, the last recession lasted 18 months. guess what happened? in the economic expansion you get very low productivity. in the other expansions, you have about four of them that have lasted eight months or six months, productivity has always come in above 2%. so there's no surprise as to why productivity is so weak, it is weak because we are recovering from one of the worst recessions we have had in the postwar period. every time that happens you get

weak productivity. >> all right. we've got to go at this point. thanks, guys. steve, good job this morning, fun interview to watch with ben bernanke. >> he looks ten years younger, i think. relieved. finally been able to refinance that mortgage. >> also making nice money on speeches. >> we have an earnings alert on the container store. seema mody has the numbers for us. >> it's a miss for its container store in the second quarter. $195 million on a top line versus the expectation of $198 million. 6 cents when it comes to earnings versus the expectation of 7 cents. that's not the full story. comparable same store sales did come in higher than expected at .1% versus the analyst expectations of a drop of .7%. you can see the stock is moving after hours. i guess down 2% intra day. keep in mind this is a stock that has been underperforming this year.

at least so far in 2014 losing 16%. back to you. >> in fact, it's now down 3.5% as you are talking about. >> i can't speak to that intelligently about many things least of which earnings in the container store which i have been inundated with now, earnings, that's going to be the next catalyst. china coming back in earnings, bill, that's going to be it. we can talk all we want about the fed, all we want about policies and whether they save the economy or whether they save the stock market, but earnings will absolutely matter now. not just eps, but the commensurate revenue growth which we haven't seen n terms of the tcf this was a $45 stock this time last year, $15 stock now, the trend is from the upper left to the lower right. that trend i think continues, sir. >> it was one of the hottest ipos back in 2013. it has been a fall from grace for container store. >> thanks, guy. >> always a pleasure.

>> anthony chan, always good to see you. you can catch guy and rest of the crew on "fast money" coming up at 5:00 p.m. eastern time. they will be talking to an list who has three reasons that crude has found a floor. tell you how to play that as well coming up at the top of the next hour. jack dorsey already runs square, we know that is correct now he officially will be running twitter. he has been named the permanent ceo there has well. can dorsey be as successful running two companies simultaneously as steve jobs and elon musk? we have that story coming up. >> two other ledge tear leaders. is tesla in danger of missing the mark on its goal of 50,000 annual deliveries? you're watching cnbc, first in business worldwide.

welcome back. we have a news alert on general mills right now, sue herrera stepping in with details on that. sue. >> indeed, bill. this involves a recall by general mills of its cheerios and honey nut cheerios cereals that were produced at the lodi, california plant. it contains certain dates and

you can go to cnbc.com to get those particular dates, but basically there is an undisclosed allergen, wheat specifically, that got into these products and because of the fact that it is undisclose it had could pose a health threat to some krns consumers. wheat flour was introduced into the system where they make the gluten free cereals, gluten free cheerios. they are recalling 1.8 million boxes of cheerios and honey nut cheerios. you can go to cnbc to get the specific lot numbers and dates. back to you, guys. >> that's a lot of cheerios. >> they just started making the gluten free honey nut cheerios. i think some people didn't get the memo or probably some confusion, maybe understandably. who knows. >> maybe basically over a week and a half period of time. they just discovered that the

wheat flour was introduced. after a three-month long quest twitter officially announcing today that jack dorsey will be the permanent ceo at the company and importantly he will also be keeping his job as its ceo of square, though the search criteria reportedly required a full-time commitment to twitter. peter curry is confident he says in dorsey's abilities to manage both companies. >> we did not start this search with this scenario in mind. we assumed we would only consider a candidate who could make an undivided commitment to be our committee r. ceo, but over time it became apparent that jack was not just meeting but surpassing the expectations while being interim ceo while also running square. >> bill george, professor at the harvard business school, he is the author of the book "discover

your true north." he ran med tronk for many years. bill, great to see you again. you are the management guru. do you think jack dorsey can pull this off? >> well, i'm pleased to see him coming back to twitter. he has had seven yeerld in the wilderness and it needs a product guy at the top. he has in the past three months inspired the engineers and product developers and has people on track. i think he's going to have to let the square team run square. he is not going to be able to spend a lot of time there. this is a big job to get the user base growing again, expand the product line and attract advertisers by getting users to be more engaged. at the same time he has got to build his management team and got to strengthen the board. so that's a full-time job. i think he will do two things for a while, but i would be surprised over time if he finds someone else to take over square, particularly if it's getting ready to go public. he will get some push back from

the regulators when he does that. >> hang on for one second, bill. could you turn the audio down on the monitor while we go back to sue herrera. she has breaking news on dupont. >> ellen coleman who is the ceo and chairman of dupont is going to step down, she is retiring effective on august 16th. -- october 16th i should say. on that date edward breen who is the current member of the dupont board will assume the role of interim chair and ceo of dupont. the board has engaged an executive recruitment firm to find a full-time replacement. ellen coleman to retire as chair and ceo of due dew month effective on october 16th. edward breen will assume the role of interim chair and ceo of dupont. back to you. >> we have the right guest to talk about this. sue herrera, thanks very much. bill george, you have looked at dupont, you've looked at this case study, looked at the proxy battle with trrn.

we talked earlier about dupont sticking in that stock, it is the worst performing dow component so far this year, almost 30%. is this a good move for her to leave now? >> well, i'm very surprised. i'm not sure of the background of what happened here, but it's clear that ed breen and the board has stepped in and decided that changes made. i like ellen a lot, i think she's done a good job, things have not gone well since they won the proxy fight and must be a decision on her part and the board's part to find fresh leadership. it comes as a big surprise to me. no doubt they are being pressured by drop in commodity markets, but beyond that they've got a big job to do and i think this is going to make shake a lot of things up and could even bring trian back in again. >> we will get back to twitter in a second -- >> i think dupont is up for grabs -- >> i should -- >> it doesn't seem like a well planned move at all. >> bill george has come out in defense of he will be kullman in

the proxy war with trian which she won. >> is it unfair to judge the performance of a ceo based on the stock performance? sara mentioned it has been the worst performing stock inside the dow jones industrial average. is that a reason to jet a sin your ceo necessarily? >> well, i think it depends on time. you know, you've got terrible commodity markets and that's putting a lot of pressure on them. i'm so surprised, certainly not in a three-month period or four-month period since the proxy fight, but ellen might have decided that the whole thing she wanted to go off and give something else a shot. they are going to have to stabilize this company quickly otherwise they are at risk if not trian then somebody else coming in. i think they are going to have to find permanent leadership. ed breen is a perfect guy, but they are going to have to find permanent leadership quickly to preserve the century old legacy of dupont. >> bill, how will this

approximate dwree fight be viewed in light of this recent news? when it happened it was viewed as a victory for dupont, a failure for trian but then you see the way that the stock performed. at the time ellen kullman was hailed a hero of the company for standing up to boardroom activists. how will we view that now? >> well, i think that's a big question. it was a close vote. i should point out it was not a landslide by -- like a lot of these proxy fights have been, this one was a close one and i think a lot of the short term holders wanted to see some action there. i certainly would hate to see dupont broken up into little pieces and lose their central research lab which is an american treasure. a new ceo is going to have to step in quickly or the company will be under a lot of pressure here, but it could have just worn her down. she gave heart and soul to preserving the dupont and frankly to spin off their commodity chemical business with a whole new company and so they've got a whole new future.

stocks get a little behind during a proxy might and get pushed up, but i think the decline has been more than one would expect. so it looks like it's going to have a new leader coming in. i hope they can find the right person quickly to take this over. they can't afford to wait for six months to put someone in charge. >> put it in perspective for us in light of here is what could be perceived as a victory now with her stepping down for an activist investor in trian. activist investors have been very active in the last few years. good or bad for corporate board rooms in the aggregate? >> well, i think it all depends on the company and what they're proposing. there have been cases where a value line comes in, jeff good man comes into microsoft and i think caused some very good change with nadella coming in. i think it all depends. pepsico, trian, i don't think it was a good thing and now ge is

saying with trian coming in there they welcome them. this is kind of a brave new world out there. i think it's important that companies are clear about their strategy and clear that they're building for the long-term at the same time they're meeting their shareholders needs and that's a tough juggling act for any ceo to do today. to meet the needs of all the shareholders, particularly when a new shareholder shows up. big challenge out there. i think it's a mixed bag. if a company is more about performing, but if a company is a peak performer, i don't think it's a good thing. i think you have to get down to cases and look at what the plan is and does -- i didn't think that in case of dupont that nelson pellets ever presented a viable plan, he just wanted to break it up and that was going to get some short term gain and no long-term future for the company as i saw it. >> the business continues to suffer in this announcement it

was revealed they're lowering their operating earnings guidance to 2.75 from 310, they're blaming currencies, emerging markets have also been a problem. do we have the after hours chart? >> i think it was hire. >> the stock is popping more than 10% in the after hours on the news that kullman will resign. shareholders are happy to hear that she's going. >> you never want to be the ceo when you leave the stock goes up 4% but that's what's happening with ellen right now. >> you sure don't. i feel badly for her, but it's clear that people are anticipating some form of significant change. i just hope that they preserve a viable long-term course for this greats american entity and that it doesn't disappear like some other organizations have, like bell labs did a few years ago. >> they are holding a conference call at 5:00 p.m. eastern time. we have more details then. bill, great to have you on for

this. thank you. >> thank you very much. sarn dip to us to have him there. >> one business school base study after another. >> we do have much more on this dupont shakeup still ahead coming up. >> we are still going to talk about tesla. should tesla bulls be worried about meeting those ambitious sales targets by the end of the year? we will discuss it next. that's the power of active management.

got a few movers in the after hours. let's send it over to seema

mody. >> big loser after hours ilumina down 16% after reporting q3 preliminary revenues of $550 million versus the estimate of $569 million. the biotech company sees revenues of $570 million versus the estimate of $603 million. below forecast for q3 and 4. the ceo says geographic clee we are disappoint wdbj instrument sales in europe and continued weakness in the asia pack region. the stock falling down 15.7%. >> we do have a lot of movers. seema, thank you very much. tesla is delivering nearly 12,000 vehicles, it did in the third quarter. that's a good number. >> but it was slightly less than expectations and it does set up a challenging delivery target for the fourth quarter and for the full year. phil lebeau has the details. can they hit that target? >> they can hit the target it's going to be challenging but not impossible. take a look at the ramp up in deliveries that are expected or

needed in the fourth quarter. what you want to look at is the bar on the far right-hand side that is orange colored. that shows you that tesla will need to deliver 16,883 vehicles, roughly 5,000 more than they have delivered in the second and third quarter, almost 6,000 more than in the first quarter nord to hit their guidance of 50,000 vehicles, at least 50,000 vehicles being delivered in 2015. much of this will depend on what happens with the ramp up in production of the model x. the electric suv that they delivered the first ones last week in northern california, now again a few were delivered in the third quarter, they have more than 20,000 reservations deechlt manned is not the issue. the ramp up in production it will largely come down to whether or not they get the key parts and components as needed as they continue to increase production. last week we talked with elon musk about this and he put it in very simple terms for everybody to understand. when you look at the model x,

90% of the parts are fine, 9% are tough but doable, they're ready and then it's the 1%. they are excruciating. doesn't mean that they don't have them, it just means it will be challenging from time to time. if you take a look at shares of tesla down fractionally today. the q3 number people looked at it and and say roughly in line with expectations, maybe a few less than expected, nothing major. let's see what happens in the fourth quarter. tess will is a fourth quarter story in terms of execution, now the lock clok is running, let's see how they do in the fourth quarter. >> that's a tall order, though. tall order to hit that number. we'll see. thanks, phil. see you later. time for a cnbc news update with sue herrera. sue. >> here is what's happening this hour. the coast guard now says the missing cargo ship off the coast of the bahamas probably sank in 15,000 feet of water after being hit by hurricane joaquin. the ship had reported having mechanical problems. one inside if i had body in a

survival suit was recovered as the search continues. 33 people were on board that ship. california has become the fifth state to allow terminally ill patients to legally end their lives by using doctor prescribed drugs. governor jerry brown signing that legislation this afternoon. the miami dolphins have fired their head coach, joe fill bin after a 1 listen 3 start. they were beaten by the jets in london. fill bin was in his fourth year as coach and had a record of 24-28. he will be replaced by dan campbell. emirates airlines unveiling their tv commercial featuring jennifer aniston in a comedic role. it's the first time they have collaborated with the star in a tv campaign. that's your cnbc update. that looks like it's going to be fun to watch. and she is so darn beautiful. >> that's true. >> she is. >> there you go.

>> we'll see if it attracts new customers in the u.s. sue herrera, thank you. get this, apple is dealing with yet another, it's the second major malware attack in just the last few weeks. when we come back a cyber security expert will explain why apple has become so vulnerable and what they need to do to fix this problem. we will speak to one of the creators of the new app allowing others to rate and review you. >> oh, boy. >> this is highly controversial, you don't want to miss t ing youk about. that's where at&t can help. at at&t we monitor our network traffic so we can see things others can't. mitigating risks across your business. leaving you free to focus on what matters most.

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the fastest internet and the best tv experience is already here with x1. only from xfinity. if you're just joining us a quick look at how we finished the day, dow jones industrial average gaining 1.85%, continuing the come back rally we saw on friday. the s&p up 1.83% and the nasdaq was up 1.5%. shares of dupont late in the day up 5.5% in the after hours, we are following the shake up there with the sudden retirement announced of ceo ellen kullman, that will be effective on october 16th. apple the victim of a second malware attack in less than a month. josh lipton has the details. >> another week, another malware attack.

targeting ios users. this time it is a malware strain that's being called yeast sec r sector. users downloaded an app that let them watch free x-rated videos. once download it had changed the settings, users to be subjected to unwanted ads. the culprit looks to be a chinese mobile ad platform. ryan olson at cyber security firm palo alto networks, he says this malware hit users in china and taiwan. it's thoord know who was impacted beyond the dozens of individuals who posted on line about it. apple in a statement to cnbc saying this issue only impacted users on older versions of ios who had also downloaded malware from untrusted sources. apple saying it addressed this specific issues in ios 8.4 and

already blocked the identified apps that distribute this malware. of course, it was just a couple weeks ago when another malware strain called x code ghost made headlines by hitting the app. apple has been prompt in dealing with these issues but you can expect these headlines to continue. the opportunity he says is too big and too attractive to the bad guys. bill, share ration back to you. >> josh, thank you very much. let's talk more about this and how this new hack could have happened. >> anthony roman, an investigation and risk management firm. i thought apple software has inn pen trabl. >> no software is impenetrable. it's a jungle out there. >> but the bad guys for years didn't target apple, they all went after the windows application. >> everyone was using windows applications. apple has become so prolific

they have being a tarvgt. i spoke so some of my friends and they say these black hats, the hackers, are incredibly talented, some of them 16, 18, 19, 20 years old no formal education. these guys are smart and they figure out how to do this and they keep going until they win. fundamentally what they're doing is they're taking enterprise certificates, those are passports that let you use the internet with software and apis which is software which allows different software to interact. they have infected those and they bypassed apple security. >> what's to worrisome is apple is the biggest company in our economy, $629 billion market cap and it's finding out about malware on its own system from palo alto networks. >> this has been almost nondetectable. there is only two companies out there, palo alto and one other

company who are event currently detecting it. that's how surreptitious this software is. >> the first hack was a trojan horse, they worked their way in through third stories, this one is more like a traditional malware, somebody down loads something that has the bad software in it. >> but it's just in china and taiwan. >> so far it's just in client and taiwan. once it's on the internet all bets are off. if you're traveling to china and taiwan, come back here, you have an infected phone, you are going to infect other americans and north americans as well. the real problem is that we do stupid things, we do silly and dumb things. we try to save time, we don't have great passwords, we download things that are questionable, sometimes on impulse and that's what gets us into trouble. >> think twice. pressure twice before you cut once. >> smart people doing dumb things. >> all right. anthony roman, thanks for joining us today.

up next, we've got more on the surprising changes just announced at dupont. also republican presidential candidates donald trump and marco rubio are trading barbs, we'll hear from senator rubio next as the race for 2016 gets even more heated. kid: hey dad, who was that man? dad: he's our broker. he helps looks after all our money. kid: do you pay him? dad: of course. kid: how much? dad: i don't know exactly. kid: what if you're not happy? does he have to pay you back? dad: nope. kid: why not?

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a 401(k) is the most sound way to go. let's talk asset allocation. sure. you seem knowledgeable, professional. would you trust me as your financial advisor? i would. i would indeed. well, let's be clear here. i'm actually a dj. [ dance music plays ] [laughs] no way! i have no financial experience at all. that really is you? if they're not a cfp pro, you just don't know. find a certified financial planner professional who's thoroughly vetted at letsmakeaplan.org. cfp -- work with the highest standard. all right. welcome back. we want to get more on this story that broke in the last hour in the after hours session. >> dupont, our mary thompson has

more insight into the shake up. you were there in may when she on twhon proxy battle and you spoke to her then. >> we did an interview with her and you may recall that trian had been looking for four board seats, they wanted to split up the company, something she did not want to do and dupont ended up winning that proxy fight. at that time in the interview i asked her what is your ongoing dialect going to be with mr. pellets and trian. listen so what she had to to say. >> we've en gajtd in trian as we have engaged with all of our shareholders, openly and degree our story and understanding where they are coming from. we will continue tone gauge with them in a constructive way, continue to focus on delivering value for our shareholders. >> and of course that was five months ago. at that time they had a cost cutting plan of $1.3 billion. the new cost cutting plan is $1.6 billion details of which will be released in the fourth quarter. i think mr. peltz after that

meeting he did say he expected the company to have to lower their guidance. this was one of their criticisms saying that dupont had missed their earnings guidance a number of times and so he wanted more aggressive action there. >> and in fact that's -- you were just point ogg tout after they announced ellen kullman was stepping down they lower guidance at the same time. >> and the stocks went up. >> they were expecting more than $3. >> i think that also suggests there were concerns about her leadership. as i recall, i haven't been able to check that is correct i think its day me won the proxy fight or dupont won the proxy fight the stock went down as i remember. it was the response from investors was negative that day. >> and it's gone down since. trian had a good day. >> i know. a first for ge, right, that's its biggest stake ever $2.5 billion in ge. it says it's going to be a more hands off approach, engaging in day a log but it's knots looking

to get a board seat at least for now on general electric. you have to wonder at fairfield if eyebrows aren't being raised on the news of ms. kullman. >> everybody is smiling, maybe through gritted teeth. >> up next presidential hopeful marco rubio weighing in on everything from cutting entitl entitlement to increasing tensions with russia. >> one of the founders of peeple weighs in on why so many people are upset with her company. it hasn't even gone on to twitter yet. we will talk about it coming up.

in case you've lost count there are now 13 people left in the race to be the republican presidential candidate in 2016. >> only 13. our john harwood sat down with the hopefuls who is doing quite well in the polls, florida senator marco rubio answered joins us at post 9. what a treat. >> thanks for having me. i appreciate being here. marco rubio is finding out that when you rise in the polls you start to draw fire from your op nepts and that's increasingly been happening including on the issue of the votes he has been missing while campaigning. marco rubio said when he was here midday simply too bad, i've got to do it, it's worth it when you're running for president.

>> being a senator is more than just cast ago vote. if there is a vote where my vote is going to make an issue or an issue of major national significance or importance we would be everything possible to be there and we have canceled r president. >> an the candidates are beginning to engage more and more on the economic plans. donald trump laid out a tax reform plan last week and said he would have a massive tax cut that would not require twoing anything on social -- doing anything on social security or medicare. and marco rubio said the numbers don't add up. >> the growth of social security, there is no growth that will meet that. because of population trends and those programs have to be reformed to balance the budget. we have to do both. >> and two other things of interest for marco rubio.

he was willing to risk military conflict with russia over syria. and secondly on immigration which he has been an advocate of and change his position on and no longer supports the provision to allow 11 million people to get a green card. and democrats are sure to hit him on that. >> great interviews with the candidates. >> any indication he was likely to vote for the tpp. >> he was going to look at the detakes. but he is inclined to favor unlike donald trump that called it a disaster. >> john harwood. thank you. and as you've probably heard, cnbc is hosting the next debate. wednesday october 28th. it is your money, your vote and it all starts at 5:00 p.m. right here. john harwood among the panel members on that. coming up. looking forward to it very much. >> up next, the creators of an app referred to as yelp for

people. valued already at $8 million and it critics up in arms. ge! a manufacturer. well that's why i dug this out for you. it's your grandpappy's hammer and he would have wanted you to have it. it meant a lot to him... yes, ge makes powerful machines. but i'll be writing the code that will allow those machines to share information with each other. i'll be changing the way the world works. (interrupting) you can't pick it up, can you? go ahead. he can't lift the hammer. it's okay though! you're going to change the world. i've got a nice long life ahead. big plans. so when i found out medicare doesn't pay all my medical expenses, i looked at my options. then i got a medicare supplement insurance plan. [ male announcer ] if you're eligible for medicare, you may know it only covers about 80% of your part b medical expenses. the rest is up to you. call now and find out about an aarp medicare supplement insurance plan,

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peeple. it hasn't launched yet but it appears to go offline this weapon. this is what you get when you go to the company website. not found. we have reached out to the company and have not heard anything back yet. but tele evans did tape an interview with the co-founder on friday and here is what she said about the business. >> so i want everybody to know the co-founder didn't want to come on because she feels like she is facing threats to her family. can you explain the backlash you're experiencing right now. >> that is news to me. i haven't heard that from nicole. i think what we have been experiencing is bullying and we have been experiencing threats. and i can only speak for myself. what has been fascinating is everything that everybody is so scared of, they're currently doing to us. and what they forget to realize is this is actually a positivity app for positive people and we will not tolerate this behavior to us or to our users.

>> are you guys going to police each account to make sure there aren't negative remarks. just rating people on a scale of 1-10, if you aren't at the top end of the scale, that implies negativity. >> anyone with an unclaimed profile will only have positive reviews live about them. >> what is the purpose of the app. if it is to support positivity, what is the point of rating people. why not make it an account, you can leave favorable remarks and positive emojis to go with that. >> for us to create this online village of positivity where you can go on and berated by the -- be rated about people by you. >> and christy tiegen said in an age where both truth and gossip on the international can literally ruin lives, this app is horrible and scary.

>> with you do have balances in place to create a world class user experience. and there are terms and conditions that need to be followed so all users have the positive experience. what we do want to point out and i think that is really paramount, is anybody that has been scape goated by the media or criticized, if our app was already launched, you would have been able to see everything and who they were before they made that one error of judgment that you didn't like, that everybody jumped on the band wagon on. so -- >> what about facebook -- >> you want to improve your reputation. >> and we have facebook and twitter and linked in. >> that is a problem. absolutely. >> where you can tell your own story. >> and that is crazy. wee crating -- we are creating a safe place to manage your online reputation. right now, as you can see my me

personally and how i've been represented in the media and through facebook. i can go on and talk about anybody. and we don't actually think that that is the best way it should be done. nor do we think that is safe. so please use my experience to date in media to take a good, hard look at what could be done whennia goes wrong -- goes wrong and say things aren't true. >> if you think the media is bad, the internet, the unregulated anonymous internet is much, much worse. >> right. it is. >> and this is a microcosm or good example. and could people delete negative comments posted on their peeple page. and if i have one out there, will i know what the comments are. >> let's go back to the internet. our biggest problem is that it is anonymous. our users and app is not anonymous. in terms of what could go on your page in the future, we may

give you the control for that. >> julie, is there anything that would change your mind about moving forward with this app right now? >> you know what, there is something, actually, that would change my mind. if our beta testers decide that our app, when they beta test it, should be different, we would love to allow the majority to rule and absolute make this app what they want it to be. we do not have our egos in the way of how this app should be. we are not even worried about spending more money to make this the best world-class user experience. we have all of that out of the way. and we will listen to our beta testers. so we are willing to make this app as best as it can be in the eyes of the users. >> wow! >> are you convinced. >> noble idea, but i don't know if you can pull it off. >> it sounds mean girls to mean. you can watch that on cnbc.com. >> and we couldn't find them

online. it appears they went offline. but they haven't responded to our calls either. kayla, you are a ten in my book. >> but you can only rate up to five on that app. >> you are still a ten. >> it is all positivity on "closing bell." >> thank you. see you tomorrow. that does it for us on "closing bell." "fast money" starts right now. >> i think we're a ten. "fast money" starts right now. live from the nasdaq markets overlooking time square on a strong day for stocks. i'm melissa lee. tim, steve, karen and guy here tonight. a strategist will give us three reasons why oil has bottomed and the stocks that are poised to benefits. and one biotech surging more than 70% but still not enough to lift a sector which was down. we'll tell you whether the run in biotech is over for good. normally, the 300 point in the dow would be the top story but we're going to start with a major win for