good morning. it is 8:00 a.m. at square headquarters. it's 11:00 a.m. on wall street. welcome to "squawk alley." joining us as always john and kayla as we watch two big deals in technology. new issue, swear going public at the nyse. shares up with 52%. ceo jack dorsey joined us live in the last hour, talked about his dual roles at both square and twitter. take a listen. i approached it with a lot of self-awareness and have been

thoughtful about, but i benefit massively from our benefit team. you can't do anything alone. that continues to prove out every single -- every single industry and every single role. i just have the best teams on the planet. >> meantime, match group over at the nasdaq today going public. shares in the green as well. about 13% gain after pricing at the low end of the range. with more on square, let's bring back swrak steinberg and a cnbc contributor. a net positive for the tech community, for the ipo community. >> yeah, i think when you see the two ipo's in concert, both $3 billion dpz companies, both trading at single digits of revenue, this is the new norm. most companies will now adjust the private rounds. i think the given where these two were at, they both kind of thread the needle and made the best of the situation. >> it's interesting, though, to hear the anecdote from behind the scenes, how they not the book, what investors were saying, john. sources were telling me that it was really the mutual funds. they said there's not a deal if it's not at $9 per share.

it's fascinating to see that some are giving the juggernauts, but it's increasingly hard to be a small up start disrupter. loo it probably speaks to the environment that we're in, right? they have that rachet, and then they get squeezed perhaps when it comes to pricing, but, i mean, jack dorsey, you got to give him credit. he is a pro at this. this is not the sean rad interview we had on squawk on the street this morning. of course, he is not the ceo of match group, we should point out, but jack dorsey was very straight ahead about talking about the team and the work that has to be done, the investment that is they're making. they're not profitable yet, but he wasn't talking about that as being a loss. i wonder how much you can read this through to other companies in the valley, other start-ups that don't have a super star ceo like a jack dorsey or that aren't like a match group that have a 10-year-old business and a hot new business in tinder at

the same time that's clearly in the lead when it comes to millenials. there are a lot of also ran that is don't have that kind of pedigree, and i'm not sure it looks super great for them even after this. >> although the magic word is scale. >> right. >> square needs to scale. match needs to scale. without that, they -- >> well, match, to john's point, match is really a unique beast. it's unlike anything we've seen go public. it's a steady stay, 15% growth core business that's growing $100 million over the 9-month period. attached to it you have the millenial juggernaut just north of ten million daily actives on tinder. 86% of the audience is under the age of 35. it's kind of like sort of the best of both worlds jammed together, which i think makes it a very interesting stock right now. >> the match chairman, of course, was on "squawk box" earlier this morning and called that whole episode with the sean rad interview silly and unproductive. not his finest moment. does it speak to the culture of the company at all?

>> he has a track record of saying a lot of out there stuff. he is one of the oshlg product inseptemberors and createors, and i hi in the silicon valley culture of keeping around the founders because they add to the product vision, the idea of tossing them out has become so -- >> you make a special filing with the s.e.c. -- would they needed have to do the special filing with the ploy boy interview decades ago. >> here's what could have happened. hecked have decided to spin off just tinder, and then sean rad might have been the ceo, so perhaps that speaks to an increased conservativism in the time that we're in, make it match group, you have a different pedigree, and maybe they could have been degreesier when they were playing this months ago, but perhaps to their credit, they didn't. >> just to the point that you were making on the mutual funds

demand this pricing, ultimately the reason where why they demand this pricing is the illiquidity -- liquidity is so valuable. it's worth so much money, right? the fact that these companies are private for so long and people are locked up and they don't fn they're going to get out whenever they're going to get out means requiring these. and mark zuckerburg gave an interview that was referenced me where he said that he wishes a facebook had gone public earlier because it would have pushed them to make the mobile cross earlier. >> on twitter, we gave jack, i think, a pretty open door to make his case on twitter. he didn't give us much, john. >> i noticed that. in the earnings calls, frankly, he has said the stuff that we have tries has not worked to stoke growth. perhaps i give him some credit for not trying to tell a new story before there is a new story. the old story is apparently the story. look how much people are using twitter as these events unfold around the world.

it's important. give us some time to figure out how to build a growing business. >> i don't know, john. as a viewer of cnbc, watching carl's interview, i was very bold about square, the passion, all the different numbers, everything in lock step. then when carl asked him the twitter questions, it made me nervous. he doesn't have any answers. he struck me as someone who didn't have a very detailed answer on what he was going to do on twitter. >> it's also someone who wants to control the headline too. today is about square. it's a seminole moment in the company's trajectory, and why confuse that with making a headline about twitter? >>. >> then why be the ceo of two publicly traded companies? that's his problem. that's not cnbc's problem. that's not headline problem. he is here to talk about two publically traded companies that he runs. >> if you missed it, about, oh, i guess an hour or so ago, not even that much, jack dorsey on set. we did ask him about the dual role at square and twitter, and what about twitter and wall street does not get. >> it's how instrumental twitter has been in the world, and we

see that week after week after week. >> that was the story when we -- >> that's what i look at every single time is how are people using the service? >> you've been changing the world for years. >> they've been changing the world. we create the tool. they've been changing the world with it. that's what's important. >> once again, sort of leaning on the public utility that is this platform. no talk of monotization or products or moments. >> i would argue if anything, they've over-monotized basis on the growth trajectory, and wills no growth story yet. you can't tell a story that doesn't have characters and a plot. >> the answer i was looking for to that question is, carl, let me tell you about moment. let me tell you about how many hundreds of millions of people a day who are going to moments and are logged out users. that would have been the answer. >> maybe too soon. maybe another day. >> john steinberg, thanks. >> we do have i aquick news alert on the fed. our steve liesman is back at hq with that. steve. stwloo the new york stead out with its third quarter household debt survey. the all important one hfd the

fourth quarter spending season by consumers and it paints an interesting picture. debt is at the highest level since 2010, but when we look inside, we see good areas and struggling areas. maybe a few ugly areas where consumers are out over their skis. let's go through it. household debt up by 212 billion to $12.07 trillion. mortgage debt up big. $144 billion. the second biggest rise we've seen since 2007, and that's because, good news from the housing sector, mortgage originations, up by about half a trillion dollars. that's the highest level since 2013. overall for closures down, hit a new 17-year low. that's one area that says we have to watch that. maybe trouble there. the other area, student loans.

at a new record 1.2 trillion dollars. delinquency rates, the 90-day plus area, it's up for the second straight quarter to 11.6%. carl, good news from housing. autos keep surging. the student loan delinquency rate and the amount continues to be something that needs to be watched carefully. carl. the man suspected of being the planner of friday's terrorist attacks that was killed during yesterday's raid, our michelle rar use wroe cab rare wra has more on that. good morning, again, michelle. >> good morning, carl. we've learned a lot more about what authorities think that alleged organizer of friday's attacks has been involved in across europe. that's because the french interior minister this morning gave a news conference where he outlined what they have been learning about abdel abaaoud.

they think he is linked four out of six attacks that authorities have thwarted since the spring. remember that train attack in august that eventually was ended by three americans -- they also say that abaaoud had asked a returning jihadi to commit an attack in european country. they know that because they have interviewed that jihadi at one point in the past. they think he visited syria in 2014, and they also said that the european authorities, none of the intelligence services in europe, had warned them that he was in europe. instead, after the attack on friday, a non-e.u. intelligence agency told them that he had been in greece at this point.

it was tweeted out by 7:00 p.m. which is on one of the most popular subway lines in paris. it's usually packed wall to wall. she tweeted out that she had never seen the subway so empty and, in fact, people we're talking with today say there's far more above ground traffic that is normal. there appears to have been a change in transportation pattern here as well. he should be meeting with the defense cabinet as they continue the military prosecution against isis in syria. guys, back to you. >> michelle caruso cabrera in paris for us today. thanks. >> when we come back, some relief for square. shares, of course, at $13 the 27. just above the range where they were initially expected to price in the first place. a top portfolio manager will break down today's action in a moment. dow remains muted today. up about 12 points. we're back after a break.

two big ipo's today. square making its debut at the new york stock exchange, and -- sima has a look there. >> here's match group trading above $13. it did price its ipo at $12 at the bottom end of the $12 to $14 price range. still giving it a market cap of roughly $3 billion. it did raise over $400 million in its ipo. proceeds that will be used to pay down debt. now, match, which is being spun off from iac interactive owns a

group of dating sites, which includes ok cupid, and the infamous tinder. wit popular among the millenial audience and known for being a quick and efficient way way to find a mate. the growth numbers are compelling, unlike other tech ipo's. match is actually profitable. in the first nine months of 2015 generating revenues of $750 million, john. that's a 16% jump from the same period last we're. back to you. the company currently trading above $13 a share, which was the top end of its expected range, but the ipo is largely viewed as a leading indicator for some other tech companies. in any case namely those unicorn that is could be looking to go public. square ceo jack dorsey downplayed valuation concerns when he spoke to us earlier on "squawk on the street." >> we raised money so we can accelerate our business, so we can serve our customers better, and that's what matters. >> joining us now here at post nine gavin baker, portfolio

manager with fidelity. gavin, that answer by jack dorsey was in response to a question about something that venture capitalist fred wilson said. sometimes the cash that a company gets matters more than the price. makes sense for the company. does it make sense for the buy side? >> well, it can depending on where it was priced relative to prior rounds. >> i guess we'll find out whether fidelity and whether your portfolio got this deal when you guys make your filings in a few months, but i'm just wondering how we should read the broader market and the future of the ipo pipeline and tech companies out west based on what we saw happen this week. >> sure. i'm not -- i don't think you can infer a lot from one single event. i don't think the square ipo determines the fate of the 140 odd unicorn that is are out there. i would just say if you stay tai a big step back, it's remarkable that this is a company that did not exist five years ago. now it's trading on the new york stock exchange and worth around $5 billion. i think that's a success in my

mind. >> are you sort of hashingening to a tweet from mark andreesen last night where he said the fate of this today will determine the fate of tech companies over the next decade. >> owl tech companies forever. >> where does this take on such outlandish importance, do you think? >> wron assign any importance to it as a marker for anything in the future. it's just a point in time. one of many events. it doesn't have any importance outlandish or otherwise to me. >> where are we in the cycle right now? clearly a lot of these start-ups are seeing their valuations getting marked down. square had a nice open. it's got a nice pop. ended up pricing below where a lot of people expect it. is there a sobriety that's coming in to the market when you look at how to value these companies and what their growth prospects are over the next couple of years? >> yeah. i think it's very healthy to have had pure and square go

public and get, you know, a mark in public markets from large numbers of shareholders. that health where i for the private markets and public markets. >> are there any -- >> i just want to push a little harder on that. you say it's healthy. there's -- on the one hand you have people say, oh, there's a bubble. it's crazy. it's going to pop. on the other hand, you could interpret this as being, well, no, it's not a bubble. clearly there's some sobriety in how these things are coming to market, in how investors are assessing them. you talk about the mutual funds putting pressure on where the price is going to be. is that what's happening in your view? >> i think there's probably been a change in the private funding environment over the last six months. the price started with the pure ipo, and i think that's healthy. one thing i avoid talking about bubbles, but i do think there was a disconnect between private and public valuations. here both wrong, but either public markets are too cheap or

at some level maybe private markets are too -- >> space x, pinterest, uber. without talking about specific companies, i'm just wondering how you go about remarking some of these positions. whatsoever things go into your calculation when you think about what those positions are worth. >> sure. the most important thing is it's not my calculation. fund managers don't value their own holdings, and beyond that i can't talk about our internal process for valuing private companies. >> what about the breadth of the market? when we talk to you in may, you were talking about the strength of google, the strength of apple in a market like this, but now people are worried that there's a lack of breadth and that all of the gains, nearly all of the gains that we're seeing, are because of a handful of big companies. what happens? >> i just think performance all comes down to execution and the

numbers that comes put up, and you have seen amazing numbers over the past two quarters from facebook, from google, from netflix, from amazon. >> you guys aring beating the benchmark. portfolio up 8%. quite an impressive return. gavin, we appreciate you being with us. >> super. thank you. >> gavin baker, a portfolio manager at fidelity. >> up next, the latest in pair spis what measures airlines should be taking to step up security. that story is up next on "squawk alley."

air travel to paris getting back to normal after friday's attacks, but is there still anxiety over flight safety? joining us this morning gordon bethune, the former couldn't neblgts airlines ceo. he was ceo during the 9/11 attacks. good to talk to you. good morning. >> always good to be with you, carl. thank you. >> we had the diversion of the air france flights coming in the days following paris. has anything truly changed, do you think, for the industry?

>> i'm sure the awareness of that escalated and they're auditing their compliance with xesing security procedures i'm sure there's a lot of attention making sure they're doing the right things. they'll take the government's lead in modifying whatever security measures are in place. >> what expectations do you have for traffic? particularly trans-atlantic. >> i think it's going to be okay, carl, provided that this doesn't continue. >> gordon, we've lesched that some of these threats can come in increasingly small packages, tb a tube of hand cream, a soda can. i am wondering how much more vigilant you think we need to be and what the risk is to over compensate?

>> you know, i saw that. i'm not sure that that was accurate. it takes more than that amount, i believe, to bring down a modern day heavy aircraft. however, i'm sure the government is looking at what additional steps might we take, but we're pretty stringent. things are pretty tight at at least u.s. airports. they sure are. >> gordon, as an executive at an airline when something -- well, i guess a series of eths like this happens what changes do you have different kinds of meetings? do you go over procedures in a different sort of way. can you give us some insight into the mindset in what changes? >> i think, carl, what they do is audit their compliance with existing procedures. it's like anything else. you might get slok sloppy or i don't want to say negligent, but if you keep a really tight focus, which i'm sure they have now, on complying with existing procedures, that i think is adequate. i wouldn't see where there's big

holes in our security systems at all. >> it's happening, of course, gordon, as oil remains subdued and more talk today about the saudis keeping the pedal to the metal. would you be buying in the open market? what is a smart hedging strategy looking like now? >> a lot of guys aren't seeing a sharp upswing, so they're probably just enjoying the price of oil at its current level. >> then, family, we've had some disagreements you might argue about long-term capacity. i'm thinking about delta and boeing. do you think these are reasonable or not? >> i think so, carl. i think the moderation delta preaches, which is smart move,

but boeing is looking at the worldwide market that a number of people coming into the market just being born every year, so that trend will continue. both of those guys know what they're talking about. they may have the numbers off a little bit, but i think it's probably what delta says. a couple of percentage points in our country, internationally and around the world greater than that. >> gordon, always good to get your point of view. we can always count ow. >> gordon, thanks joining us. we will talk to the ceo of air france coming up later today in power lunch. meantime, some green arrows in europe. simon is back at post nine. simon. >> we have nonetheless cut our earlier losses. don't forget, two weeks from today the european central bank meets at its widely expected to double down on qe, and to cut the deposit rate. that is europe's story as we move forward. today we got the minutes of the last ecb meeting. looks like calling to the language that they considered reinforcing qe then, so there was a discussion, but they decided not to. the clear indication is within the minutes that something is going to happen as we say at the

beginning of december. meanwhile, the vice president of european central bank has been out suggesting that uncertainty must not lead to indecision. again, all arrows point to the idea that they will move in two week agency time, and you see the bond market rallying today. government bond yields continue to decline. more or less right the way around europe at the longer end. it has to be said. in the meantime, the affect on scott, we touched a three-month high in europe earlier today. we're coming back down from that. that's the bigger picture. the euro is fascinating. of course, the euro has been weakening. heats what the european central bank wants to happen, except it's now weakening, and the euro is beginning to climb back up again, partly because the dollar is weakening in a kind of by the room and sell the fact on the fed minutes yesterday. >> okay. let's also mention where we are in the u.k. because also the big

debate is whether the u.k. would follow the u.s. in rauzing rates. today the retail sales figures are poor in europe in the u.k. dropping more than expected. the fascinating kind of subplot to that is they're busy introducing black friday as a concept in the u.k. they don't have thanksgiving, obviously. there is some suspicion that maybe people are delaying purchases because black friday will be a bigger thing in the u.k. this year, or maybe not. who knows? finally, i do want to mention where we are on the greek banks. we continue to roll through the recapitalizations. we know we're there with alpha and euro bank, but just check out. six euro cents. 2 euro cents on parias. $1.50 about a year back. there's nothing left of these market caps. makes you wonder if they even should be trading at all. back to you. >> unbelievable. thank you, simon. simon hobbs. when we come back, a rough day for united health. good for a 36 point drag on the dow. we'll tell you why that's happening in swromt.

hello. i'm sue her air wra. here is your cnbc news update this hour. israeli police say two israeli men have died after a stabbing attack in an office building in tel aviv. a palestinian suspect has been arrested and a search is on for a possible accomplice. 16 israelis and 82 palestinians have died and renewed violence over the past two months. president obama meeting with

canadian prime minister at the apex summit in manila. he also spoke with frez hollande. belgium prime minister announcing a $427 million package of additional anti-terror measures in the wake of the paris attacks. belgium police detained nine people in a series of raids earlier today. massachusetts attorney general heel where i says the state will prohibit people under the age of 21 from playing paid fantasy sports games under a proposed set of regulations. it would also prohibit professional athletes in taking part in any fantasy contests. you're up-to-date this hour. let's get back to "squawk alley", and i believe, kayla. >> square and match both seeing strong gandz in their debuts this morning. bob pasani on the floor here at the nyse with more. >> i apologize. we're going to the speaker of

the house, paul ryan, who is beginning a press conference in washington. let's listen in. fwloo if our law enforcement and intelligence community cannot verify that each and every person coming here is not a security threat, then they shouldn't be allowed in. right now the government cannot certify these standards, so this plan pauses the program. it's a security test. not a religious test. this reflects our values. this reflects our responsibilities, and this is urgent. we cannot and should not wait to act. not when our national security is at stake. often in times of crisis bills like this come together sort of haphazardly. this is not the case here. we've been look at this issue all year long. it held hearings. it issued recommendations we had

an intelligence committee briefing of our members. we reached out it our democratic colleagues. we didn't think of party label whz we mourned for france. we should do the same thing when protecting our country. this is an important first step, but we need to do more. not just about the refugees, but in the fight against isis. the twens bill we sent the president this week requires him to present a plan to defeat isis. in the meantime, our task force will continue the work on these grave challenges. we also made significant progress in our efforts to return to regular order. two formal conference advisory met. i'm amazed. i kind of looked at the record, and i have been on conference committees and chaired conferences, but many of our members have never experienced a conference committee because we've not had regular order around here for a long time, so this week we have two conference

committees meeting. the highway conference and education conference. there were six executive sessions for us to provide input, and house republicans approve the first in a series of reforms to create a more open and inclusive process. all of this is about dwegt results for our country. it's easy to have a political football to toss around. the challenges we face and the people we serve demand more. with that i'd be happy to take your questions. >> -- suspected terrorist on the government's no fly list from being able to purchase a gun. that was originally proposed by the bush administration. you said it's better to be safe than sorry. is this something you support? >> this is the beginning of all this process. the task force is taking all suggestions from democrats and republicans. we are just beginning this process of reassessing all of our security stance soz that we can make sure we're keeping the

american people safe, so the task force is in the process of going through regular order and taking all suggestions by members of congress and the public about how to keep our country safe. >> if you manage to pass this bill in two days -- >> let me explain why we are passing this bill in two days. i want to read you a quote. fist from jay johnson, secretary of homeland security. "it is true that we are not going to know a whole lot about the syrians that come forth in this process. we know that organizations like isil might like to exploit this program. the bad news is that there is no risk-free process." how about fbi director james comey under oath testifying before congress? "there is risk associated with bringing anybody in from the outside, but especially from a conflict zone like syria. my concern is that there are certain gaps i don't want to talk about publicly in the data available to us." our own law enforcement experts

are telling us they don't have confidence that they can detect or block with the current standards in place that isil or isis is not trying to infiltrate the refugee population. this is an urgent matter, and that is why we're dealing with this urgently. there are many other issues that we need to consider, and we will do so in regular order. >> mr. speaker, have you spoken recently to senate leader mitch mcconnell about the syrian bill and has he given any assurances that he can get this bill through his chamber? >> i have spoken with mitch mcconnell about this. we anticipate a bipartisan vote today. i'm not going to speak for the senate what they will and will not do, but he is very familiar with what we're doing. >> mr. speaker, if the current refugee process takes about a we're and a half to two years, according to the -- how much more time is this going to add and does it really matter? >> i don't think time is the issue. it's quality that's the issue. the issue, as our briefers tell

us, is this is different because dwoent have a syrian to talk to where are we don't have data on the other end to verify the veracity of a refugee's claims coming here. when we know that isil is already telling us that they are trying to infiltrate the refugee population, when we have indications that some of the paris bombers, one at least, may have come through the refugee routes, don't you think that commonsense dictates that we should take a pause and get this right? our first priority here is the safety of the american people, and we do not have to pick among our values. we're a compassionate nation. these refugee laws are important laws. we're not talking about having a religious test. we're talking about a security test, and given the fact that we know that isis is trying to come and attack us and other western nations, it's just commonsense that we pause re-evaluate and make sure that we have the proper standards in place to

make sure something like what happened in paris doesn't happen here. >> the president is -- today and reiterated his intention -- you talk about the fight against isil here. how in your mind is maintaining guantanamo bay not an -- >> obviously i disagree with the president's interpretation of that, but it's not just myself. 370 members of the house, democrats and republicans, voted for the defense authorization bill, which disagrees with the president's position on guantanamo, and 91 out of 100 senators voted for the defense authorization bill that disagrees with the president's guantanamo policy. >> i disagree. >> is the refugee program is in urgent security need that needs to be addressed, why haven't you addressed visa waivers first? there were -- why not first?

there were 13 million last year. they can come from france and u.k. they say i'm going to disneyworld, and that's all they have to say, and they're in. why wasn't that first? 13 million versus 10,000. >> as i mentioned, this is step one in a long step process. we assembleded our committee chairs of all of the relevant committees in the task force, and they're coming together with all these recommend dayings. this is the beginning of a process. not the end of a process. >> you said the other night that you expected riders to be on the spending bill. is this an issue that you could anticipate adding to the spending bill, and are you worried that that could trigger a shutdown? >> first, let me comment about his veto threat. it baffles me. i just for the life of me don't understand why his veto threat came as it did. especially given the fact that his own law enforcement top officials came to congress and testified that there are gaps in this refugee program.

i mean, look, this should not be a partisan issue. i'm asking democrats to vote with us today. we reached out to democrats in crafting this legislation this week to get their input. we put feedback from democrats in this bill, so we are not trying to make this a partisan issue. protecting the american homeland is not about democrats and republicans. it's about protecting the american homeland, and so i'm just really quite surprised that the president is using such rhetoric or is putting out such a veto threat. we know that there are gaps in this program, and we have to keep the country safe. that is why this pause is necessary, and that is why we want to make sure that our law enforcement puts in place the standards that are necessary to guarantee that we do not have isis infiltration into our refugee population so that we can keep this country safe. >> mr. speaker, this morning you ratified the syrian committee proposal. what's next from the rules changes from the house? >> what we did this morning was

to keep a commitment to head the steering committee reforms completed by thanksgiving. that commitment is now a completed commitment. what we want to do now is look at the rest of our rules package in a more deliberate fashion through our policy committee system so that come next session of congress, if we believe that there are changes that are required and necessary to make it a more open and complete process, then we'll consider those at that time. >> on tuesday -- that you would know clearly in your own mind -- i'm wonder if anything you have any thoughts about how you convince other members of your party that this could create a shutdown. where do you go from there? >> we always have riders and appropriation bills. we always have riders in nonappropriations. i'm looking forward to next year, quite frankly, where we have an actual appropriation process where we consider the bills separately. it's been a long time since we've done that. this is something that i'm

inheriting from prior -- from the prior speaker. we will have riders. everybody knows that. we always have. i'm just not going to prejudge the outcome of those negotiations at this time. >> you favor a permanent reauthorization of that legislation. >> i favor reauthorizing the program. i've asked -- again, as you know, i'm more of a regular order guy. i have asked jurisdictions to work with congressman peter king to come up with a solution to this program so that by the end of the year we have reauthorized the program. i'm not going to get into the details because that's something that the committees of jurisdiction have to get into. >> that is speaker ryan referring to house resolution 4038 that would require more stringent approval of syrian refugees. of course, citing some testimony from jake johnson, among others, that there are holes in the

existing refugee program. let's get some reaction from eamon javers on this. >> what are you seeing is a brand new speaker of the house in paul ryan beginning to assert his leadership on the national stage here. pay attention to what he said when he talked about not having a religious test here, but a security test for what we should do. >> that was a review from paul ryan to some running for president saying that while we should only take those syrian refuses autoand allow those people into the country, paul ryan here on the national stage saying no, that's not where i want the republican party to be. that's not where i want the country to be. we are not going to have a religious test, but we are going to impose more string ebt security measures here and slow down this whole program because of security concerns that he has. paul ryan redirecting the republican party discussion around this issue away from

religion and towards security. think that's a significant move by the speaker of the house here. especially when you have republican candidates out on the campaign trail who have been advocatining otherwise. >> one of the first big tests for the speaker, democratic support for this has been building, you would argue, or at least the number of democrats willing to back this resolution higher than we thought previously. we've seen prominent democrats start to wiggle away from president obama's position. we've seen democrats up to and including senator chuck schumer of new york mention that they might be willing to see a pause in this program until we can get our arms around what exactly the security requirements are here. we'll have to see whether democrats continue to stand by president obama or whether they continue to crumble here. politically, obviously, a lot of concern. the dynamic has changed since paris. just less than a week ago. >> all right.

you'll continue to bring us the latest developments. eamon javers in washington. >> united health dragging down the dow on news it may exit obama care. bertha coombs is here. >> united health present aing big challenge to the obama administration essentially saying make changes on those aca exchanges or we're going to pull out for 2017. ceo steven helmsley lowering guidance for 2016 saying effectively they are losing money on these exchange plans because in release, have higher medical costs xshgs they see more of the same with the current open enrollment that's now two weeks in. they're wondering aaloud on the conference call whether they should have just not gone on the exchanges at all. >> the overall exchange market profile is more negative than we had planned with new market enrollment growth happening more slowly. these indicators point to an environment that is declining and likely to continue in that direction into next year.

>> so that's why they're taking it now. it's interestingly as an administration official told me, well, if you look at the other insurers, they have all said that they'll be able to weather this storm, but i spoke with robert -- a major consultant. he says these -- the gloves are off. insurers have been polite about the losses, but now they are not going to be. take a look at aetna and anthem. they can't really make the same threat as they are trying to win approval for their mergers right now, so their hands are still tied. kayla. >> and interesting wrinkles. the gloves are off. bertha coombs at the nyse. we'll take a look at the ipo's and their overall impact on tech. that story when we come back in a moment.

sfloot square and match tells you if you should jump in or stay away from today's big ipo's, and united health care blames obama care. what it means for the industry and the stocks in your portfolio. john, we'll see you in about ten minutes. >> sounds good, scott. thanks. >> shares of twitter, meanwhile, are climbing more than 2% this morning. the stock, however, still downs more than 30% on the year. jack dorsey talked about one factor he sees as key to the future of the company's growth.

take a listen. >> one of the things to watch is how instrumental twitter has been in the world, and we see that week after week after week. >> that was the story when we -- >> that's what i look at every single time is how are people using the service, and -- >> have you been -- >> they've been changing the world. we createle tool. they've been changing the world with it, and that's what's important. goldman sachs here, keith terry. okay. square is public now. how do you factor that in when you think about twitter given that both companies have growth challenges in their entirely different challenges. >> right. i think you have to think about it the way every other ceo has to deal with the challenges that they've got. those ceos make it work. you know, you're talking about two companies in san francisco, a couple miles from each other.

i think jack is going to be able to do that. >> i heard the argument if you're not a large cap, you're not entrerchled or a facebooker or amazon, you're going to disget a discount. is that fair? >> you're seeing that kroots the entire internet space right now. if you look at the performance of those mid and smaller cap stocks that are out there, even all the way up to the level of something like twitter, every single one of them has an incredibly well funded private competit

competitor. >> it would be one of the more respect funds for the chapters he has been able to put together. >> a lot of it is acquisition. look at the number of acquisitions match has had to make to be able to build up to the point that it's at now. i think it's almost less about silicon valley fund and more of a wall street fund because you are generally talking about the holding structure type of quarter. >> how important is the holiday season to twitter. i keep seeing numbers about her monotization and people's intent to buy getting better, but the street seems to be focused on the fund mental growth not how they monotize. sfwlo the holidays are great. advertisers want to spend a lot of money, and they love spending money on twitter.

>> thank yousing, all that will determine what that earnings number looks like. user growth will determine the multiple that that earnings number gets. so without one, the other doesn't matter a whole lot. >> it's largely been in the big internet names, and that's worked for them. what happens from here? are valuations stretched? >> i think if you look at the -- if you look at the individual names, it's sort of ease where i to point at this and say, wow, these five names have been the entirety of the performance in internet this year. value wags have to stretch. if you start breaking them down into the components, you know, do you really not want to continue to own amazon with the growth that you've got in aws. do you really not want to continue to own facebook with the momentum they have with advertisers? do you really not want to own netflix with the incredible subscriber momentum they've got? it becomes really hard to say, wow, it's not going to keep

working into next year even though we all know that usually the things that work this year don't work next year. >> which one do you sell? >> we honestly like them all, and i think the best bet is to continue to stick with them. snoo that's conviction. keith terry, goldman's head of internet equity research. thanks so much. >> thanks for having me. >> getting another news alert on the fed. it's a busy day there. steve liesman is back at hq. steve. >> this coming from the congress, carl. they have just passed the federal reserve reform act in the house by 241-185. largely along party lines. this is a bill that calls for auditing of the fed's monitoring policy and calls for the fed to adhere to a monetary policy rule. fed chair janet yellen has sharply criticized this bill. the president has threatened veto it if it arrives on his desk. we don't think this bill has a chance of passing in the senate unless it's tacked on, but we'll see. for the moment, carl, this bill has -- the federal reserve reform act has passed the house.

241-158. back to you. >> this is what lack adviser the other day on "squawk" called high frequency harassment, right, steve? >> excellent. you are right. it was a great quote from jeff lacquar. they criticize it in part because they don't like the idea of the government accountability office having the ability to order audits much the federal reserve -- congress to order those from the gal. >> steve, thank you for that. that does it for squall ackley. fast money halftime on the other side of this break. s $728 a month. that's almost $9,000 a year now judy doesn't think that she'll be able to retire until her mortgage is fully paid off. this is mike. mike is also 65 years old. his monthly mortgage payment was $728 a month. now mike thought he would have to work for another 12 years until his mortgage was paid off.

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welcome to the halftime show. joe along with john and pete, and also joining us on set for the full hour is bonnie baja. a top portfolio manager at jeffrey gundlorh's double line capital. our game plan looks like this. citadel exclusive. we take you inside the super secret hedge fund today. kate kelly nabbing a rare interview with a top stock picker there.