beverly hills cut the water use by 26% in january which was more than double what they did the month before and it's the best they've done in eight months. >> matt stevens, los angeles times, thank you. >> thank you all for watching "power lunch." we'll see you tomorrow. "closing bell" starts right now. ♪ >> hi, everybody, welcome to "the closing bell." i'm not at post nine. i'm in san francisco, the bay bridge behind me. >> yes, we can sort of see it. i think there's a little bit of fog there. that's amazing in san francisco to say. i'm bill griffeth. our top story today, china wanting to move more money into the united states, a chinese investment group made a play this morning for starwood hotels and we've got the details and

the broader implications for china coming up. this is a company that already owns a landmark in new york city and you've got another chinese firm already been buying up theater chains around the country. they are making big moves in the u.s. >> the same company was already just going to buy a portfolio of assets from black rock. it's incredible how much deal making there is out of china. we'll get to my interview with jeffrey ubben and what he thinks about the ceo of valeant and 21th century fox and netflix and the move in oil. it's all coming up in a cnbc exclusive. the office is stunning, gorgeous. leave it at that the. >> where some of the money went, i guess, how nice for them. plus, ohio and florida of course the two key primaries coming up

tomorrow. we'll tell you whether any candidates can potentially beat donald trump in those states and how the results could affect businesses there. let's start with this story out this morning in chin ease company on a shopping spree in the u.s. tell us about this, susan. >> maybe one or two things. same company and not just one deal but we're talking about two u.s. hotel deals for china's unbong group. $6.5 billion reportedly for strategic hotels and resorts and this is on top of the close to $2 billion that they paid for the waldorf as tore ya and they have an insurer they pay $1.6 billion for. it's diversified and anbang isn't the only chinese company investing in the u.s. this year we saw ge already

sales of appliance division in a $5.4 billion deal. another includes china's richest man, paying up 3$3.5 billion fo legendary entertainment and remember the company that bought the theater chain amc and listed it back here in new york. who can forget that pork deal in 2012 was the largest chinese acquisition in the u.s. smithfields for $4.7 billion, 2016, only three months in. it's already expected to be a record year for mergers and acquisitions involving chinese money in the united states. we're already sitting at $105 billion buying up companies all around the world and that's already in the first three months, base he canically the s amount we saw for the entire year.

you know there's a lot of money going around. the question is what is driving this? the consensus is it looks like it's a backdrop of uncertainty where the currency might be going and pushing chinese companies to get their money out of china, maybe look for higher returns elsewhere and buying up hard assets in the united states. >> have you heard any pushback to this point in the united states? as you point out, you have all of this chinese money pouring in here anbang already bought the waldorf and want to go after starwood even though marriott had a deal for them. other company that bought out landmark bought amc and now buying car mike. they are making big bold moves in certain industries but are you hearing about any u.s. pushback at some point? >> well, not at this case because we remembered unical, that was many, many years ago. since then, i wouldn't say there has been a lot of resistance for chinese companies coming in, for

instance the ge deal, signed with electrolux in sweden, and that was nixed and chinese buyer could come in. i think times have changed, bill. >> i guess so. susan li, thank you. let's get to the closing bell exchange. ken more af from money matters and keith bliss from cuttone and company at post nine -- there they are and rick santelli, back at hq, all over the place here today. >> keith bliss, the dow is up 39 points, i guess we're sort of in wait and see mode right now. >> we are. >> what are we waiting forward to see? >> all of the data and fed meeting is coming this week. and i actually think the market is in a real decision point for 2016. there's a lot of debate, i'm sure you're reporting on it last week, the seven-year anniversary and the real debate, is this a

cycle cal bull or secular bull. what's your bet? >> right now i can make a argument for both of them. i can see the reason for both sides. looking out in 2016 we have more head winds than we have tailwinds if you're to press for a beat, i would say cyclical bull. >> how does the fed factor into this, they aren't expected to be doing much? >> i think the market isn't expecting enough. when i look out at the world. we could be disappointed in growth or looking for more growth but the reality is we've had basically a 2% economy for a long time. it's consistent. it's underperforming but consistent. i don't think the belly of the plane is going to touch the ground. i think when you look at the metrics that the fed underscored themselves and unemployment rate, i don't put much stock in

it but they do. when i look at the world conditions and they are a bit spongy and equity close to unchanged and 10-year and see it still down 33 basis points on the year, i don't know how they can snug up more and normalize. >> ken, you are holding to your belief that we are in recession now and that the dow is destined for 11,000 by the end of this year. what's going on here? >> well, i'm not a believer in this market right now. i remember back in 2008 when we told our clients to be out of the market, we saw the rally that came between february and may and saw an 11%, 12% rally over that two or three-month period and everybody thought the problems are over and we're headed for sunshine and boxes of chocolates but the reality was not the case. all i see right now, slowing global economy and trend line on growth for corporate america is in a bad direction and the trend line for the growth of our

economy right now, 1.7 is the best estimate i've seen. so i'm not a believer at all in what's going on right now. i need to see a change in all of those things before i start becoming a believer. >> keith bliss, meanwhile, where are markets taking a cue? oil prices and coming back to china and what kind of rhetoric we might hear out of that legislative meeting? >> i think it is, you still have to look at oil prices, we're putting a bit of -- i wouldn't say gloom but keeping markets in check today. we're still working off pretty good momentum we saw coming into the market from the february 11th lows and that will take time to get out of the way. as long as oil vas lates back and forth along the $40 handle we'll have sporadic markets in here. on a longer term basis, i would be a little suspect about getting very long in the market. >> rick, we learned a little while ago that vladimir putin is

ordering the withdrawal of troops out of syria. and i'm a little surprised we didn't see much of a market response. if memory serves, when those troops went in, there was a market response at that time, one of the few we've seen in the last few years to a political geopolitical situation. why don't you think we saw a response today? >> now, you're one up on me on terms of the detail of the news. right off the top of my head, i would say there's a trust issue. is this what's actually going on on the ground? a promise over time we'll know more. i think above and beyond that, i think the gee toshio politics has gotten to a point it was a 212 degrees but we weren't boiling feverishly. as we turn the heat down if that's what's occurring, it makes sense, maybe some of these countries so energy dependent or starting to cry uncle, maybe they'll play a little more fairly in other areas but i think the common denominator is, they are nervous that growth

isn't enough considering how much we spend and how much we take in. no matter where your economy is located. >> i mean this has been a flash point, this area, right? all of these -- the countries involved in trying to either topple assad or get rid of of the isis threat there or the rebels that are there, but now they are starting to talk about peace talks in geneva and even the head of the rebels group in syria said if russia is pulling out, that is a promising start to these peace talks. it would appear trust aside that peace may be breaking out in syria to some degree there, keith. markets are taking it in stride. >> there's a couple of things to point out. we've become conditioned to hot geopolitical spots getting worked out and nothing happens at the end. but also bear in mind on vp vp, we're only 100 points from the all-time high. i don't think anybody is willing to say that's something that's now cleared the decks we've been worried about for a couple of years.

there are other things we're now more worried about inside of this market. >> ain't that the truth. >> indeed. >> gentlemen, thank you all. appreciate your thoughts on today's market action. we have breaking news on a scandal at sequoia capital right now. josh? >> bill, it is a court case that everyone in silicon valley is talking about. michael goingen was a long time partner and fired after being hit with a sexual abuse lawsuit. it was a disturbing suit in which a woman claimed she was abused sexually and physically and for over 13 years, starved and beaten. as compensation mr. goguen paid $30 million but only paid $10 million. the claim that he is filing a counterclaim that this woman was consumed by anger and obsession and jealousy after their

mutually consensual affair ended and submits number of e-mails and texts to back up the claim. part of the reason we're talking about this is his long time affiliation with sequoia capital, one of the most storied firms, having backed apple, linkedin and yahoo! among others. he invested in networking and semiconductors and on the board of inflow box. well known here in silicon valley. we'll keep following this case and bring you more headlines as they come. back to you. >> josh, thanks very much. we've got 48 minutes left in the trading session here. not a lot of volatility, 70-point range for the dow top to bottom today as we await all of the central bank meetings coming up. all-star lineup coming up here on "the closing bell." kelly scoring a rare interview with valueact, jeffrey ubben,

giving her the latest take on oil prices and single energy stock that he owns to make money in that beleaguered space. we'll speak with sherman peshawar, when he thinks the ride sharing service should go public and john zimer, the co-founder of lyft will talk about the timing of his own company's ipo and whether there's space in the transportation tech space coming up. you don't want to miss this out of san francisco today on "closing bell", you're watching cnbc, first in business worldwide. need to hire fast?

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welcome back, kind of a quiet session leading to what will be a volatile week tomorrow and wednesday. bank of japan and bank of england and others. let's check out the major averages since the so-called diamond bottom on february 11th. jp morgan chase jamie dimon announces he purchased 500,000 shares of his own bank stock. since that time, the dow and s&p

and nasdaq have all gained ground. the best gainer has been the nasdaq up 10.9% in that time. kelly evans. >> well, the cover this week asks if value investing is back. jeff ubben is known for his value investing style. hence the name of the firm value act. in terms of activist community, he has that huge impact on companies like microsoft and valeant and 21st century fox. we sat down for rare interview at his offices, light of zipgss this week i started out by asking how central bank action is impacting his role as a stock picker. here's what he had to say. >> in the last year or two, the recurring revenue cash flow in

good times and bad, model company has been increasingly priced away from us. the opportunity crossed is 1 and 2% and i can get a nice predictable cash flow stream at 10%, that's just too rich. our current return is increasingly not available to us. at the high quality companies that we seek. so we've had really -- we have been selling a number of our companies where we've been there, kind of done all we could -- >> sold some ci, microsoft. it's been hard to redeploy that. the only high quality business we have found in the last 12 months is rolls royce, which where the stock is down by half. >> and this comes in a year you were down 2% last year and s&p was up. and largely speaking it was because of the fang stocks.

you had facebook and amazon, netflix google, the names the value community hates. why does it seem -- does it make your job easier or harder when that's the case? i understand the returns may not look as good -- >> it's hard for a value person. we started in 2000. this was what happened in 2001 when you had -- or 2000 when you had more market cap go to fewer and fewer names and sucking money out of value stocks. then what happens is the valuation bubble bursts, right? and spreads out into -- >> is that what's happening now do you think? >> maybe. right, maybe? certainly last cycle the valuation bubble was largely public. the companies went public much faster. and the money came out really fast. this time more and more companies are private.

so i think the bubble will burst slower. >> is there going to be a price at which some of the netflixes of the world do look attractive to you? >> our goal is to take a trailing edge company like adob bee and microsoft at ten times earnings and make them go from old tech to new tech. both of those cases adobe was considered down because jobs didn't put the flash on the iphone. we were like put html in the suite and you're fine. microsoft was viewed as defending windows with office and they should have just let windows go, open up, so went from old tech to new tech. if you look at fox, it's much more interesting to us to own fox at eight times and 12 and 13 times earnings and move from old media to new media. >> i'm guessing that involves going to direct consumers because your letter talks about adobe and microsoft and says the

key is to identify companies to get rid of the middleman that might be destroying the relation shep between the company and customer. it would see media companies are a perfect candidate to that, to really own that relationship. >> it would be surprising that the aggravator wins but if he develops his own great content which netflix maybe can do. they have enough cash. >> do you watch "house of cards". >> i've seen it a little bit. not crazy over it. >> how about rupert murdoch, do you have confidence that leadership transition to james -- >> we think james is terrific. he is the young anti-establishment sort of ceo that can be part of our change. >> is the halliburton baker hughes deal going to happen? >> if the deal does happen we're going to do really well.

we'll get a 25% spread. if the deal doesn't happen, i think people may have lost track of what happens to bakers balance sheet when the cash comes in from the break upfee. and we think that the products in the technology are best in class. so we kind of feel we're sitting close to asset value, which gives us a pristine balance sheet with levers at the bottom. we think it's -- we're actually pretty excited about -- the other side of oil is interesting, people say it's going to maybe go to 55 and hang out there. no way. with the disinvestment we've seen, it will go -- it will between now and 2019 it could -- the marginal barrel could easily push it to 100 again. >> really? >> that's that much disinvestment, right? everybody has been fire or let go. the ability to bring these barrels on quickly will be very

difficult. >> what would you say to people who have this view of the market and add barrels in a second to meet the higher price? >> look at the loss of people. who's going to be there to drill it and to -- you look at the loss of people and look at the companies that have basically leaving the industry and the -- when you don't run a pressure piece of equipment, it gets can balancized and goes away. there's a ramp-up that will create a tremendous sweet spot, certainly north america for halliburton. and globally because very ka that are tick to get the excess supply out of the system. >> who else then? because the valuations of so many companies are trading at levels you must be walking through every day? >> we like to sell bulls tore the warriors. we don't want to be the warrior and kill ourselves. we're more service oriented and

the -- inward balance sheet focus, baker hughes is the only place we're interested in playing right now. >> so there you have it, that's the first part of my interview this morning. i should mention here, when people are talking about whether stock picking still works and value investing still works. here's a company -- they have a 15.5 annualized rate of return we're talking about through a period that encompasses the great recession and then some. he only holds a portfolio of a dozen stocks at a time. i guess there is still a resounding answer out there in the investment community in terms of how to make that work. >> value investors are a special breed, they would make great chess players. they do all of the homework but they are trying to think two and three moves down the road within the game and they place their bet but then they have to be very patient to watch and see that that -- what they think is

going to happen actually unfolds. that was a great interview because that's exactly what he's doing, he's making bets on companies and anticipating what's going to happen down the road, right? >> they also tend to be quite conservative. really caught my attention when he was talking about oil price there, not necessarily assuming that the current level that we're looking at is going to persist but saying with the shortage of people, the labor shortage importantly across many of these places but fluctuations in volatility back up to $100 a barrel could be the new normal going forward. >> great stuff. you've got more coming up, right? >> part two of that exclusive interview with jeffrey ubben in the next hour of the show. that's when we talked about valeant. one of the biggest, longest investments, big backer of the ceo and remains one even as we read about more tension over his role. the rest of that interview coming up next hour. >> looking forward to that. as "closing bell" goes coast to

coast. on the east coast, the dow is up 50 points, much more to come from san francisco. kelly speaks with the co-founder of liyt about the ride sharing service's ipo plans and battle for market share with the big one, uber. joined by adel alsayed to discuss holding in lyft. the road for the white house reaches a critical juncture as their home states gear up for primaries tomorrow. more on the high stakes battle coming up on "closing bell." thank you. imagine if the things you bought every day... ...earned you miles to get to the places you really want to go.

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presidential candidates marco rubio and john kasich battling for their political lives in their home states tomorrow. john harwood joins us as both are working against the front-runner dondal trump. >> ted cruz says he's responsible for the specter of violence his at his rallies, but he's heading towards a big election day on tuesday, arguing that republicans need to get behind him because he's changing the party in a good way.

>> the biggest story in all of politics worldwide is what's happening in the republican party in the united states. we're taking from people that have never ever voted before and they are 50 years old in some cases. and the numbers are astronomical. who would have thought this is happening to the republican party? because a lot of people would say the republican party is obsolete. we do have obsolete people in the republican party and a lot of leaders that are obsolete. they don't understand what's happening. >> not enough to convince ohio governor john kasich who campaigned with mitt romney the 2012 nominee today and picked up endorsement for ohio state football coaches and said he's running unlike trump, a positive campaign. >> i'm not going to take the low road to the highest office in the land. i represent you and i'm going to run a positive campaign. >> here's what's at stake tomorrow. it's big jackpots of delegates awarded on a winner take all

basis. florida with 99 and illinois and ohio. then you've got two other states in missouri and north carolina and more delegates on a proportional basis. lots at stake on the democratic side. it's another hard night for bernie sanders to make up ground against hillary clinton. he trails her in ohio and in florida and in north carolina. hopes to pick up delegates elsewhere while rubio and kasich hope to stay alive. >> john harwood in washington, thanks very much. get ready for super tuesday tomorrow. we have breaking news on voe volkswagen right now. >> this should not come as a surprise given what's happened to our investors in volkswagen that nearly 300 institutional investors in germany have filed a $3.6 billion lawsuit against volkswagen. obviously because their investment has essentially been

hurt substantially due to the emissions scandal not only in germany and europe and also here in the united states and worldwide. these institutional investors have filed a $3.6 billion lawsuit against volkswagen. no comment yet. it said it still needs to see the lawsuit. expect more. >> no doubt. thanks very much. time for a cnbc news update. >> here's what's happening this hour. oklahoma city police say former chesapeake ceo mcclendon was not wearing a seatbelt when his car slammed into a concrete wall. in the update authorities said mcclendon did not appear to suffer a medical episode before the crash. he was indicted on conspiracy charges a day before that accident. health officials in cambridge say the number of confirmed mumps cases at harvard university has risen to 11. officials are concerned the virus appears to be affecting

vaccinated students. hundreds of migrants stranded in greece are crossing into neighboring macedonia through heavy rain and waded through a river in order to cross the border. and this car really didn't stand a chance against a massive sinkhole which was caused by a water main break overnight. the owner of the car luckily was not hurt. >> back to you guys and bill, we're awaiting the medical examiner's report on mcclendon that may be released as soon as tomorrow. >> thanks very much. kelly, we've got a little less than 30 minutes left in the trading session with the dow now up 45 points. a leading trader will tell us what he's watching into the close. also ahead is hyper loop the next unicorn, the transport company that wants to connect san francisco and los angeles at 760 miles per hour. venture capitalist, hyper loop's

co-founder will be here to talk about this and also poured money into uber and air bnb, you want to listen as we get more smart money advice on "closing bell."

we're in the last half hour of trading on a decidedly low volatility day here on wall street. joining me on the floor of the stock change, gordon charlotte. as you were saying during the break, this is a calm before a storm potentially. >> potentially. the miraculous market in front of three central bank announcements coming. investors are most focused on the bank of japan. any one of them could provide direction or some idea what's happening. i think one of the things has been interesting, we've seen in this last little bit of a rally that we've had, a lot of buyback activity and a lot of professional money coming in, where the retail investors vr coming out. thedy vergence between the two investment groups are sort of historical highs really. >> you typically have an upward bias ahead of a fed meeting but you also we're at a point where we've had a pretty good rally in the last four weeks. i wonder which way we're going

to go here heading into that meeting. we've already had our rally here. >> some of that is already priced in. the two things outside of that, first off, tomorrow the presidential election, will there be direction there and idea of what we're going to be looking forward to in terms of changes and policy. i think also, march is first major expiration and we'll see activity as we get toward that. we'll pick up some steam, maybe a little ledge ar gi but it will pick up. >> that's what it is. we lost an hour somewhere. >> reminds me that it's pi day too, which i always love. 146, that's the number of companies valued about $1 billion or more. how many are left? top of that list in valuation is uber, $51 billion or so. when will the ride sharing

service go public and at what valuation. one of the company's early investors joins me out here on the terrace to provide insight into that question and more. thank you for joining me. >> thachkz for having me. >> uber, going public this year? >> as an investor and former board member i can't comment at all. >> go public at $51 value, $200 billion. did you think it could be a $200 billion company. >> i predicted facebook would hit 200 billion and it did. that happened within five years. we talked about that last year. and also, predicted uber will cross 200 billion mark at some point within the next five years xbl how long does it have to go public. >> the engine of growth it has, there's plenty of time they are in no hurry to go public and there's no time line. the scale at which this company is growing, you know, 600 plus cities, there's thousands of

other cities to expand into. and i spoke at their employee summit and 5,000 employees there, from all over the world, there's a culture that's been built that by travis and the team that is very unique. and as a reflection of what an incredible company they are building. >> we're going to be talking to lyft later. they are growing quickly too. is there enough room in the business for uber and all of the competitors that will multiply? >> there's plenty of room. we say transportation is the new broadband. that applies to uber and hyper loop and we're looking at technologies that can speed up the movement of at oms, not just bits. we can move that faster and make the global economy grow faster and faster and in opportunities that aren't even reached yet today. >> you mentioned the hyper loop. any news to sharon that front today?

>> we were confirming that we've closed on $100 million in funding so far. hyper loop is now almost 130 employees we call it hype poe tech. we're the only company that's been able to raise that kind of capital. we have rob lloyd, the former president of sisco of the company. and now we broke groun in nevada and hit 400 miles per hour in the propulsion test in may and full scale test by the end of the year. >> bill, you could get on the hyper loop and ask in person. >> i could be in san francisco in an hour at that rate. where do you stand on the apple versus fbi debate? this has become one of the fundamental debates of our time right now in the issue of security versus privacy. is it as black and white as the technology industry was to rally

behind apple at all times or not? where are you on that? >> i think it is a fundamental question for our society and our country. we're living in a time where there are absolute threats to our security. so it's a very nuanswered issue. i don't think it's as black and white as everyone calls it out to be. we need to protect our citizens' right to privacy but at the same time our rights to security. >> do you take any additional steps yourself on the security front? >> in tirmz of my phone or? >> in terms of your phone -- i don't know as simple as types of house codes you use or types of servers are feel comfortable storing data on. does it ever give you pause? >> i have not taken any extra steps. i think the encryption on the ios is good enough --

>> makes me think about snapchat, another company to meant here. >> absolutely. >> whether or not law enforcement tries to go after the companies and they want to get the information and can't because it disappears. but as a platform snapchat seems it could maybe rival a facebook one day. >> it is rivaling facebook, growing fastest at the same age. two thirds of the users are creating content every day. what evan has created is pretty incredible. snapchat is rivaling facebook and potentially could be as big oerve the next five to seven years. >> just before we go, what about virtual reality? that seems to be something that comes up a lot and seems like it might be a fad or major platform. >> it's a major thesis for us, technology that is completely changing the way we'll consume media and transactions.

it will be the new browser through which we engage with the digital world. >> what's your preferred way to invest in that? >> we're looking from the earliest stages to mid-stage companies that we think are doing some interesting things. we think there's an opportunity for a netflix for vr and talking to people in that space as well. congratulations on the fund raising. good to see you out here. thank you so much for your time. >> bill? >> i love talking to some of the smartest minds in technology. great stuff. 15, 16 minutes left in the trading session. the dow up 46 points as we head towards the close. an experimental can nabis drug that treated children with epilepsy has sent stocks flying higher, big time. in the wake of a weekend of controversy for front-runner donald trump, marco rubio faces a last stand in his native

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pharmaceuticals up 100%, more than doubling. meg? >> the reason why is cannabis. they develop drugs using the plant but this drug is derived from cannabis but does not contain thc. late stage clinical trial showed it reduced seizures by 39%, versus 13%. really unexpectedly positive data. they have three more clinical trials currently running and based on these results they are starting to have conversations with the fd amount for filing for approval. look at the share price you see it went down. show a lot of skepticism. we spoke to the ceo earlier today. >> this is a momentous event for

our company and for this product, which is the most important clinical event in our company's history. it not only reinforces the potential for cbd in the field of epilepsy but the con crept of their potential within modern medicine. >> folks are hoping maybe this is the start of more positive news. back over to you guys. >> meg terrell, see you later. for next hour from san francisco, right now the dow is up 54 points. the bank of japan and our own federal reserve have been meeting this week. up next, chase's anthony chan will tell us what the gatherings could mean for the markets and for the economy when we come back on "closing bell."

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less than eight minutes to go. art cashin said we have $650 million to buy to the close. with the dow up 42 points. joining me is anthony chan, the chief economist at chase. we've been highlighting the central bank meetings that are going to occur this week. by the end of the week, what do

you think we will know that we don't know right now? >> right now janet yellen has the benefit of the fact she saw the movie of what happened when the bank of japan went to negative rates she has to be very careful. what she has to do is deliver a message that the u.s. economy is gradually improving and stay in the sidelines and raise rates in a gingerly fashion. >> are we past the point this debate where you see me having about a month ago, whether or not we were in recession, high profile names were saying we seem to be heading towards that. and there are some houses on the street putting a percentage on that number of whether or not we're heading towards recession. where do you stand on that? >> i wish we were past that but we're not. our model ares saying there's still a 20 to 25% probability of a recession. if you look at the patterns of the s&p real net income for the s&p, that is basically saying there's been an 18% probability

of a recession this year. by next year as much as a 30% probability. i'm hoping that doesn't happen but we cannot say that there's a zero probability of a recession, not yet. >> what does that do to your forecast for interest rate increases by the fed this year? >> that's a real simple one. what it does, it tells us that four interest rate hikes that the federal reserve talked about last year is completely off the table. we're talking about not more than one or at most two interest rate hikes this year. my guess is that one is probably more likely than two. >> and this from one -- a man who had been one of the more bullish economists on wall street, little more tempered thoughts right now. >> absolutely. >> anthony, good to see you. >> anthony chan. we'll take a break and come back with the closing countdown and kelly is coming back at the top of the hour with more from san francisco talking to some of the smartest minds in technology on "closing bell" stay tuned.

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concerns about their engines, right? but the stock is down 2.3%, trading at 28.5. the lack of volatility for the stock market to start this week off after four positive weeks. we get ready for all of the central bank activity. we opened lower and we're finishing higher but it was a trip that was only about a 70-point range for the dow today. but what did see volatility was oil with iran coming out and saying they are not ready for a production freeze until they can ramp up to about a 4 million barrel a day production quota. >> they are at 2 billion now. >> they are halfway there and figure it will be another couple of months before they are ready to do that. that took the wind out of the sales of the oil market. wti, well below $40 a barrel at 47.25. >> despite the problem it doesn't -- with oil it doesn't affect the overall market. we did have drillers and exploratory production but this

was not a day where we had a nice last week, oil is down and everything falls apart. that's a very important change in trend. we also didn't get any market response to word that vladimir putin is ordering russian troops out of syria as they begin the peace talks in geneva. >> a lot of people debating what that means. he's not completely mission accomplish or maybe it's a tactical thing. i think the important thing is today is the day before the fed, there's a tremendous upside to -- tomorrow has been an update for most of the time and volume today not a lot of conviction but -- >> this may be -- just passed 3 billion shares on the consolidated take. that may be the lightest full day volume we've seen so far in the year. doesn't matter, trend still to the upside right now and markets not being bounced around by oil. that is the most important thing ha happened today.

>> wondered whether there would be a prolonged decoupling. >> let's see the starts today. >> see you later. [ bell ringing ] >> global emerging capital group and that's the first hour of the closing bell. from san francisco, it's hour number two with kelly evans and company. see you tomorrow, kel. >> thank you, bill, welcome to "closing bell. i'm kelly envaz in san francisco. we're taking a look across all of the major average, digesting with downward moves in the oil price again today. but you can see the impact there. the dow up about 15 points and broad index down, closing in the red today. the nasdaq only gaining one point for its part. joining us to talk about the market action, mike santoli and

guy adami and ben willis will join us shortly. bring us up to speed. what do you think the market is digesting? >> you picked a good week to sit this one out. dry day weatherwise and it was really a holding pattern day when it came to the market. the stock market for over a week now is kind of refused all indications that it should have a more significant pullback, maybe a little bit of that happened below the surface but a low volume treading water and really waiting maybe for the fed meeting. we came in with 90% of stocks above the 50-day average for first time in almost three years. clearly the market is overbought but it's waiting and seeing if the next catalyst comes along with the fed. >> what do you think about that, guy? the bond yields have been looking better lately but stocks are kind of all over the map. >> bonds look like a big day and

gave it back towards the end as the market recovered. the most interesting thing on the day. mike just sort of talked about it, the fact that oil down 4% off what's been a monster rally. yet the s&p closed unchanged over a 200-point move in a month. you should have seen at least a little bit of a sell-off given that move in oil and you didn't for the bulls you have to be very encouraged by that. >> michael, we talked about how last year it was all about the fang stocks and some ways it was a stealth bear market. this year is that starting to change? they are looking at maybe it's time to pick towards the value versus the growth area and we had that conversation with jeff ubben, do you think conditions are getting friendlier for picking the more stay at companies here? >> i think you have to distinguish between steady, cheap looking companies that maybe have some leverage to the global economic cycle, which

we're the ones most beaten down last year versus the stocks in the value indexes. the stocks are dominated by financials and energy. maybe, maybe not those indexes come back. but what you're seeing the tapes show, those stocks that were beaten down and neglected, industrials and such last year, have led and you have the majority of stocks up year to date even as the s&p remains down about 1% on the year. so definitely you've had that meaner version trade. question is, do you get anything more than that turnabout bounce? >> fair enough. ben willis is done trading on the floor. jump in and give us a sense what you're watching play out here. is it a tug of war between different sectors of the market? >> without a doubt. what we're seeing right now, some research i've been seeing at etf global the ben factors have been at the discretion of the consumer stocks, we saw that

play out in the dow jones with mcdonlds and nike and the like. the disconcerning that we thought was rory some some morning was some of the pressure in the russell which seemed detached because of the heavily wading in the energy sector. we saw some buying interest but the money flow is in the -- i don't like to say this because i believe in individual stocks but you really have to watch flows in etf and where they are going to get an idea what investors are. they've been seeing flow from february back into the commodities which seems to put the bid back in oil. the concern is it's been coming out of the stocks so it's been coming out of some fl energy stocks particularly the smaller ones. we saw the short covering but from traders side but not investing side. for the big picture if you will, there seems to be the money flow seem to be now committed to the idea of the consumer, whether it's the u.s. consumer leading

the recovery globally and hoping that the rest of the consumers particularly out of china jump on the bandwagon but that needs to be where you watch where money flows for investors. >> that's fair enough. i heard people looking a little bit to the political outcomes tomorrow. so i wonder actually, will you explore the presidential race heating up again tomorrow's crucial votes, those primaries in florida and ohio. one candidate ee mernling as wall street's preferred option. steve liesman has that for us now. >> hold on a second, i don't want to give it away off the top. the survy usually comes out tomorrow and we'll have full results but we want to share the presidential polling that we did here on the 42 respondents and fund managers and 40% say the best outcome for the economy would be if a republican wins. 18% say if it's a democrat. and 42% say they don't know or

it doesn't matter. maybe some consternation with the choices they are given there. which candidate, has the best economic policies? well, it's a big goose egg for mr. sanders right there. rubio, 8%. cruz would be 11%. trump 13%. clinton 16%. and john kasich, the governor for ohio is seen as having the best economic policies by 42%. same results pretty much on wall street. big goose egg for bernie sanders and rubio and cruz in the middle and trump in third place and clinton in second place and 35% say governor cakasich. i don't think it's governor kasich's policies that they are gumming on to but the idea of stability. i'm worried a contested convention will be very bad for democrat a sen the economy.

and john roberts says the outcome could negativively impact the market as investors never like uncertainty. 56% say the campaign itself has negativesly affected the economy. i think they are looking for a known quantity rather than the wild cards out there right now. >> that's fair enough. i wonder what you make of it mike. it was interesting to see the comment, they want certainty at this point. >> well, certainly wall street does not seem to want anti-establishment candidates in washington because kasich knows his way around the federal budget, in congress for a long time and brags about executive experience in ohio as well. it seems the steady hand, somebody who won't be surnd with what he found in the job is what they are after opposed to any specific policy proposals that he's campaigning on right now. >> guy? >> i would push back, when is there ever certainty?

people don't like uncertainty but frankly the only thing that is certain that we'll have continued uncertainty. there's never any real periods of certainty in the market. i understand what some of those comments mean but in practice, you never get what you really want i would push back, that first question in terms of what party would be better for the economy, does that fall under historical norms or is that specific to this election? >> the last time we asked in a cnbc fed survey was 2012 and it was interesting because it was 53-18 romney to obama with fewer undecided or unsure. what happened is the percentage backing the republican of this group came down and they went not to the democrats but over to the don't know unsure. that's really -- the story is they are holding their nose and like to see a republican but don't necessarily love the choices that they have right

now. >> what would you say about this? >> the richest man i used to know, you want to live republican, vote democratic. one of them happened to be under a guy named clinton and there are some of us that believe the candidate running this year had a great effect on that in and of themselves, from a wall street perspective, you have to watch what they do. you can't do that inside the voting booth as opposed to the tradition candidacy. it is the undecided that's worth keeping an eye on. it's not a surprise they went with kasich the fact that big oil and the like is coming out of ohio and has a great interest in the fracking industry and background in washington, successfully navigating washington unlike what we have seen for the last eight years in getting anything done. seem to have a track record of getting that down. >> kelly.

>> steve? >> it's worth pointing out, i don't know if people are aware this poll is a badge ever honor or shame. i think bernie loves the zero and put it in his lapel zero percent of wall street support me. maybe john kasich in the year of anti-wall street, i'm not sure that helps him out. >> i think it's a great point. thanks for joining us with all of the results. we appreciate that. be sure to see guy adami at fast money at 5:00. they are talking to the head of semper capital management next hour. breaking news here now on outer wall, what's happening there. >> a volatile stock, outer wall shares, 9% on 600 shares traded so far. they have said they have

retained morgan stainly as a financial adviser to help them explore strategic alternatives. outer wall the owner of coinstar and red box movie dvd rental kiosks. that company saying it's exploring strategic alternatives with the help of morgan stanley. it also says it's doubling its quarterly dividends to 60 cents per share from 30. doubling the dividend and exploring strategic options and up 9% on very, very light volume. so far we should also point out year to date down about 6% and over the course of the past year, the stock lost half of its value, kelly. back over to you. >> a tough recent run. thank you. coming up, much more of my exclusive interview with jeff hi ubben, a long-time owner of valeant, find out if he likes the stock despite the issues and whether mike peerson is the right person to run the company.

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competition is heating up in the ride share space. how can uber get ahead of game? the company's co-founder, welcome. >> you made a point of saying to everybody there is an alternative to uber, it's lyft and we're warm and fuzzy. how much quickly can you grow? you've been putting up phenomenal numbers but talk about the next phase for this company to get entrenched in every day lives. >> recently we hit over a million unique passengers every week. we hit a billion dollar run rate in october of last year and raised a billion dollars. we're moving quite fast. i think the recent partnership with general motors give us advantages others don't have. >> are you doing anything outside the u.s. at this point? where does that stand? >> just in the u.s. right now. >> why is that? >> i think focus is really

important in the united states alone, $2 trillion is spent every year on car ownership. and so there's a massive opportunity as more and more millennials and others switch from car ownership to transportation as a service. they are picking lyft and we want to stay focused on that opportunity. >> what do you think your edge ultimately is as the space matures? will you compete on price or service or something else? >> i think service. price and eta are the two first things that need to be true for a passenger. i need to get a car quickly. and it needs to be at a good price. once that's true and now you see that across the country where a comparable eta and availability it goes to service and lyft treats people better than competition. whether that's drivers or passengers that goes into the car experience and more and more are choosing lyft. >> you mention how fast you've been growing but it's easier

when you're smaller. >> when you look at the numbers in about three years, billion dollar fund raise in january, the absolute numbers themselves, a million unique passengers each week, the numbers themself are very large. >> joining us by phone to talk more is abdel alsayed, led the investment in lift that was so well received when people were starting to fay attention to what we were doing here. we thank you for joining us. could you speak to the prospects you see for lyft here? >> well, first of all, when we looked at the business model we liked what we saw. we liked the approach that mr. zimmerman and his colleagues had. the growth message that we look

at. >> i wonder though, does that mean that lyft is coming to saudi arabia? are you looking to make this a global company ultimately? >> at some point probably but for the time being we want to focus the local focus because the local market itself is huge. and we would like to see this achkt the market before venturing outside. >> what are some of your near-term goals? what would you like to see lyft do? expand into different american cities then? is it again, just making sure that the numbers continue to try to equal if not surpass uber's? what are your goals? >> well, the geographic expansion but also the service because at the end of the day this is part of the services

that others are looking for. >> the other by the way -- >> go ahead, go ahead. >> the quality is something lyft is emphasizing and we leave that that would be that riders would be valuing more and more going forward. >> and you guys john have been in touch quite a bit here? >> mostly communicate over text and talk a few times every month. >> how comfortable are you with the different things the investors in the company might be pushing for? >> i think people like kingdom holdings and others that have great experience in many different industries is very helpful for us. we see what we're doing not only technology but also transportation. >> adel, speaking of other technologies, we talked about your investments in uber and what you're doing with lyft. what do you think can be the

next area you put money to work? >> we were looking at -- still looking at some technologies and we're looking at more artificial intelligence arena. >> we also hear so much about virtual reality. go ahead, yeah. >> i mean, nothing finalized yet but we have sectors, if you will. >> and john, when we talk about already uber has sup planted a lot of taxis and rental cars for people when they are traveling. does it ultimately supplant car ownership? >> in the united states it's about $2 trillion spent every year and the car is utilized only 4% of the time which makes no sense. and in a market like san francisco, lyft has 40% of the market. when you look at our competitor

in three years we've made up a lot of ground. and we'll continue doing so. >> i'm sure being well capitalized doesn't hurt in that. >> that's right. >> thank you so much for being here. adel, thank you so much for calling in as well. great to hear from both of you very much. up next, close and hands on look at the future of virtual reality. xrxt eo of leap motion will talk about game changing software that will eliminate the need of a controller. >> marco rubio may be forced to throw in the towel if he loses the primary. [beekeeper] from bees to business expenses, i'm in charge of it all. so i've been snapping photos of my receipts

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time for a news update. >> a u.s. born man is being detained in northern iraq. images pried to news outlet's show purportedly an american whom they say is a member of isis and includes images of virginia driver's license. it is unclear if the fighter was captured or had surrendered. according to reuters, u.s. officials were given no advance warning that they were pulling troops out of syria. that came from a statement from vladimir putin who said the withdrawal would begin tomorrow. investigators are looking into a damaged piece of track

caused an overnight train derailment in kansas. it was going 75 when the engineer saw a bend in the rail and pulled the emergency break. at least 32 passengers were hurt in that accident. there's a new menu item hit he can chick-fil-a, frozen coffee. it starts at 240 calories. i think the key word, starts at 240 calories. >> what are the options that would get it higher than 240? ? much bigger cup, a much bigger cup. we were looking at the smaller version of that, trust me. >> none of the other chick-fil-a stories got me tempted. >> might take a gander at that. >> let me know. >> let's get back to kelly evans in san francisco. >> thank you so much. now, normally everybody when using virtual reality technology

it's required that the user holds controllers to perform any sort of actions but leap motion is already shaking up the virtual reality industry and that's by introducing its orion project to allow a user to see hand movements and that eliminates the use of controllers. with us now in today's edition of the spark our two co-founders p leap motion, michael buck wald and david holts. thanks for joining me. i've tried virtual reality once before and did have to use a controller. i'd love to try yours and see how it works. >> i think you'll find that u be able to see your hands in vr and touch everything exactly like you touch the real world, that it just changes the experience in a really important way. >> do i put the head set on? >> okay. >> this thing with the band? okay. there's so much wires --

>> all right. >> soon there won't be any wires, just a head set you can put on and be in a space and be human. >> do you feel good? >> this feels pretty good. >> so put one hand up in front of your face -- >> i see a block. >> put one hand up, try wiggling your fingers and two hands now. >> can everybody see what i see? the blue hand and green hand. now put one hand down and see there's a block below you. try pushing it a little bit. there you go you can hit it away two. isn't that cool. let's give you a stack of blocks really fast. try pushing the stack over. there you go. i need to actually touch it. i wasn't trying to touch -- >> you can almost feel it even though it's not there. isn't that cool? >> wow. >> do you want to try to make it do a trick. >> this is a trick. >> yeah. we're going to let you try to create a block. so take -- put your right hand

up and left hand up and pinch with one hand and other hand and bring the two hands together and now bring them back apart and let go with your fingers, you just made a block out of thin air. >> nothing like that. that's pretty cool, huh? ooh. there you go. >> whoa. >> now i'm going to turn the gravity off for a second. try pushing one of the blocks. >> as if we're in space -- push gently. get out of here get out of there. >> now we'll turn the gravity back on for you there. >> i keep creating new blocks -- >> try making a little tower. if you reach out with one hand you can grab a block like you would -- just act like it's a regular object. >> i see. >> wait. oops.

>> that's really the power of this as an interface -- >> i'm multiplying blocks. >> don't have to learn how to use a controller, everyone knows how to use their hands. >> i thought i did, now i'm not so sure. >> we'll turn off the block making for a second. just try grabbing with one hand, try grabbing one of the blocks. >> wow. >> isn't that cool? >> guys, wow. that's amazing. and is the idea for this to be mostly gaming for right now and then other kinds of applications or what do you think? >> a lot of it is making virtual reality like actual reality. we've grown up our entire lives with the universal human entier face and we have the ability to take a lot of what today is very abstract and make it concrete. >> getting enough capital for all of this? >> so we're working with a lot of leading oems in the space to better technology and actual devices and it seems like every

company these days is making a vr shed set. >> when i took off the last one, my hands seem so big -- fascinating stuff. good luck, thank you so much for the demo. >> michael buckwald and david holt z, as i continue to get my bearings. check out much more on the spark. mike pearson the right ceo to get valeant through its troubles. jeffrey ubben will weigh in on the company's future next. when will you be able to take a ride on the ultrafast hyper look, the coo tells us when it could finally become a reality later on "the closing bell."

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welcome back. pretty much hugged a flatline for most of the day. the dow did nose ahead. s&p at 2019, almost exactly 1% below where it ended in 2015. not yet traded positive on interday basis just yet. nasdaq was the loser but

finished just about perfectly flat. let's get back over to kelly out in san francisco for us. >> mike, thank you so much. valeant pharmaceuticals taking overhead lines with the stock down more than 65% over the last year. in a rare interview valeant investor jeff ubben told me what he thinks of michael peerson's role at valeant's helm. here's what he had to say. >> you know, it's a weird two years. the allergan ambush, acquired a lot of enemies for show and then you know, we were really unprepared for the bear raid for these political wins that kind of hit us in the face, really unprepared for that. >> you must have been unprepared

for those revelations too? >> especially pharmacy businesses being employed by many drug companies and there is a -- there is a tension that we should all want between affordability and accessibility, right? if you have a determine tolg drug that works for you, your doctor should be able to prescribe it to you versus having a pbm push you to a generic that may not work as well and their business model pays them to do so. so, i think you want tension in the system and that's what the specialcy pharmacy business, that's their role. whether it's well done or not, is you know, is another question. we, you know, we're looking into that. >> do you think michael pearson is still the right guy for the job? >> mike -- mike -- it's really unfortunate in the middle of the

most critical period as we're changing this business model more towards consumer pay with walgreens that mike gets sick. and so he is incredibly incredibly driven, incredibly smart. he's a great problem solver and we're solving problems as we speak as the model changes and shifts. and he's about -- you know, 80% back. he really was sick. and he's finding his energy as we speak. it's surprising how quickly he's attached and having come back and really being as determined as you can be and have shareholders to solve his problems. we think mike is the right guy for the job now. >> what's your targtd now with the investment? the business model does seem it has to fundamental change. the idea they would be light on research and development, acquire drugs and raise prices

to what they deem is competitive in the market, under fire as you mentioned, politically and also because there's competition out there for the successful existing drugs, company has a high debt load. obviously now and host of doubters about its future prospects. does that make it more appealing to you as a value investor or give you pause about how long you can remain in the stock? >> we bought really good assets. there's real growth to these assets. and we really had a capital structure that is quite low cost. we have a tax rate by merging with bio veil that's low cost. and we have a tremendously diversified revenue base. we've got emerging market businesses and ophthalmology and dermatologist and neurology and gi. >> do you think it will be --

>> i think you can earn your way into that. yeah, the -- we haven't been able to control the narrative, short sellers in the media dying for a new crisis. >> darn media. >> kind of filling the space. as we do here, we just put our head down and try to make sure the company is better when we leave it than this was when we got there. >> you mentioned you might make one or two real investment decisions a year. how close are you to resetting the portfolio today? >> it was game on three weeks ago and we're ready, always doing work on companies. we have about 600 companies we follow globally. and we bought 100 million bucks of one that we're excited about. >> want to tell us -- >> i can't. i want to bet more. we went all over the country

visiting their operations and we know management some and it went right up to 25% in our face. so you know, it's frustrating. we are carrying almost 3 billion in cash, which is a lot for us. >> but it sounds like what you're saying, your fund may or may not get that much larger but the targets could because there could be better targets at the birg companies aalluded to. >> yeah, i mean, it's up for debate whether the market is much less efficient at big cap than small cap. adobe was super cheap at 25 bucks because i think they were long -- they were long sales force and short adobe and rolls royce was cheap and microsoft was cheap. so the long/short world is big enough and looking for their hedge that so far we've been

able to find bigger cheap high quality businesses to work with. >> and you can catch the entire interview with jeffrey ubben on cnbc pro. what he thinks about american express, a company he just got out of e. as you may recall, in and out of that one last year. he elaborated a little more on that. really interesting discussion points on valeant especially when he said he thought they could earn their way back to 200 bucks a share. >> that was striking, not just the vote of confidence that they have the right ceo and great assets but the suggestion that this company was and shareholders was somehow blind sided by political and media and market storms. honestly, you could make the argument that 4% holder of the company has stuck around and really feels like fundamental story is intact. on other hand you can feel like maybe they are feeling trapped at these price levels.

>> right, again for a firm that only holds about a dozen or so names and they've been involved in this one for about a decade now. so again, we'll see when we start to get those earnings and everything whether that can turn the narrative around. but at this point it's a tough road. again, that interview with jeffrey ubben is available on cnbc pro. >> 99, that's how many delegates are up for grabs. tomorrow's winners take off for florida primary. we'll speak with the mayor of miami-dade about whether the senator has a fighting chance to win his home state. >> in just four years passengers and cargo could be traveling at the speed of sound if hyper loop technology has anything to say about it. we'll talk to the chief operating officer about transforming transportation. you are watching cnbc, first in business worldwide.

tomorrow maybe the gop's last chance to stop the unstoppable front-runner donald trum. primaries in ohio and florida are winner take all. the fate of marco rubio does hang in the balance. joining us now, carlos jim nez and marco rubio supporter and mayor. the polls don't look good for marco rubio here. what are you going to do -- actually, first of all, why don't you think more floridians are behind him? >> the polls say one thing and

we'll see what happens tomorrow at the actual polls when the votes come out. marco rubio is our senator and represented us very well and has a clear vision for what america needs to be and where it needs to go. i think at the end of the day the people of florida will come out and vote for him. and so i'm very happy and proud to endorse him. he's one of our hometown heroes here in miami, lives -- has lived down here for a long time and also he's a cuban-american like i am. i'm very proud to support him. i think the rest of the florida will support him as well like they did when they ee leked him senator six years ago. >> i guess the flip side of the question, why is donald trump's appeal stronger? do you understand what it is he represents or is speaking to in terms ever leading marco in some polls by 20 points? he could take all of the delegates come tomorrow and if so, you know, it says a lot

about just how strongly people do feel about his candidacy. >> mr. trump is a strong candidate. he's won a lot of different states around the country. and so again, it's going to come out with the votes, when you tally up votes and see who is the leader here but again, i believe marco rubio is the individual best suited to lead america forward and i would hope that my fellow floridians and especially my fellow miami-dade countyyans will come out and vote for marco rubio. he is by far the best candidate for president of the united states. that's why i support him. and the vast majority of my constituents also support him. he has a clear vision of what it's going to take to lead america forward and have a better quality of life for our residents behind me there's a tower, a signature building and $3 billion investment that we

have here in miami-dade county. there's a renaissance happening in miami-dade that he's been part of. it's about creating jobs, that project will create thousands of jobs for inner city people and our residents here that are looking for those kinds of jobs that will help to solidify the middle class in miami-dade county. that is same bol of what's happening here at miami-dade. but also what the senator can do for the rest of the country. >> i have to say, i've been impressed so many have, remembering how badly florida was hurt by the real estate crash to see how strong the comeback has been. we hope that continues no matter kind of what happens with the primary tomorrow. mayor jimenez, thank you for joining me. >> thank you very much. appreciate it. >> miami-dade florida mayor there on the eve of their big primary. the much hyped high speed hyperloop is becoming a reality. we'll talk to the chief

operating officer of transportation technologies. "closing bell" is back in two. y and flexibility. with centurylink you get advanced technology solutions. including cloud and hosting services - all from a trusted it partner. centurylink. your link to what's next.

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transport company that wants to connect san francisco and los angeles at 760 miles an hour could happen in as little as four years. how realistic are these plans? hyperloop transportation technology c.o.o. and deputy chairman joins me out here today. good to see you. >> thank you, kelly. >> i'm learning a lot about the hyperloop being out here. turns out there's kind of a gold rush going on to sort of plant a flag and say, you know, we are the hyperloop. earlier we heard that -- that another group hypertech has raised $100 million in funding. seems to be off to the races. what about you guys? >> well, first, okay, we are the first one that took the elon musk project in 2013 and transformed it into something real. we started to have a feasibility study two years ago, and then we studied our tests and now we announced the start of the construction of the full-scale prototype north of los angeles, so we're the only company that

actually are building a real full-scale hyperloop. >> that's not what we just heard that they are doing a hyperloop. that it's already -- >> a test. >> a test that's out in nevada. sounds pretty real to me. >> yeah, but, you know, there's several phases on implementing it like this. you have to test the chronology and then implement in a full scale to understand all the aspects of it. >> they are doing it in nevada and getting it up to 400 miles an hour. >> good, and we like competition. i think they have chosen a different name because, you know r kno know,. they are hyper technologies. we're very happy to create an industry together and means that the concept is valid. >> why should i invest a dollar with you rather than the guys who have a proven test track facility in. >> we have a test track facility but we have started to build the real hyperloop. the difference is, our model -- there are two ways to build companies right now. there's an old model where you raise a bunch of money and then

you have to spend it as fast as you can to demonstrate to your investors that you're doing something, and there's a new model. the model that we build our company. we have 520 scientists involved. >> wow. >> from 42 countries, and they are the best minds in this planet from nasa, tesla, spacex, boeing and all big companies, stock-listed, joined our team to make this hyperloop come true, and the result was that we are actually building the first full-scale hyperloop. five miles of prototype inside the motor city of the 21st century. >> could there be two competing hyperloops between san francisco and los angeles? >> we're actually the one positions between san francisco and los angeles. they are building a test track in nevada. >> right, right. >> outside las vegas. we are the only company that actually signed a deal with a

sovereign nation in slovakia. >> yeah. >> so we announced last week we met the government official. in that country the world bank declared that they are -- that they are the most stable country in the c.e.:. they are also leading the innovation in europe out. >> listen, if i can get anywhere in the world at 800 miles an hour i'm interested. good luck with it all. thank you for joining me. we've got a news alert we have to get here on an uber driver in michigan who went on a shooting rampage. sue herera joins us. what happened, sue? >> reporter: an associated press report citing a police report which says that the man, jason dalton, charged with killing six people and wounding two others in southwestern michigan told investigators that he felt he was being controlled by an uber app through his cell phone. he said he doesn't know how to describe that, but he said it

feels like it's coming from the phone itself and he does not know how to describe that. that's a quote cited in this report. he is charged with murder and attempted murder in the kalamazoo shootings. they occurred on february 20th outside of an apartment complex, a restaurant and car lot. two people did survive, that and he carried out the shootings in between driving for uber, according to this report. kelly, back to you. >> sue, so just to be clear. did he say that his phone was telling him to do this, or did he say specifically the uber app was? >> he said according to this report that he felt he was being controlled by an uber app through his cell phone, so i'm sure that there's some sort of clarification that we could get through that, but that's what's being quoted in this particular report, kelly. >> all right. sue, thank you very much. >> reporter: sure. >> our sue herera back at cnbc global headquarters. we'll bring you the key factors to watch in the market this week when we come right back. stay with us. it's a drone you control with your brain,

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i believe this is a smart financial tool and i recommend that every homeowner who qualifies consider getting one now. call one reverse mortgage right now to get the details, find out if you qualify and get your free information kit. show h welcome back, everybody. mike, i haven't gotten of enough of a chance to pick your brain this hour, so let's do some picking. what are you watching this week in. >> yeah, it has been lonely on the desk here, kelly. you know what. we actually have data coming up in a couple of days before we

hear from the fed. we get the cpi report on wednesday morning and that's basically when the fed is going to be convening to figure out what they are going to say. not what they are going to do but what they are going to say about their policy leanings. i do think it could have stakes for the market here. today was just kind of a churn holding pattern day, but we are going to have to fine tune, i think, what the expectations are for what the fed has in mind. >> yeah, exactly. it's like the endless loop. it's like the hyperloop of central banks lately from the european central bank, bank of japan. >> only it doesn't move as fast. >> yeah. >> to the fed. good stuff, mike. by the way, everybody. "closing bell" san francisco road show also continued tomorrow. good a good lineup. going to be joined by dan niles, ken draper, gavin newsome and rick weltz of the golden state warriors and san francisco giants owner larry behr just to name a few. going to go get some rest. don't miss it, everybody.

mike, thank you again. that does it for us here on "closing bell." "fast money" begins right now. "fast money" does start right now. lieu of from the nas dance market site overlooking a rainy new york city's times square i'm melissa lee. traders are peter najarian, brian kelly, karen firn men and guy adami. if you've been sitting out the rally we've got three stocks to get you back in the name. we'll give you the name and crude and stocks did something very unusual and it could be the quote, key to economic nivena and the techerass e-i on the new smartphone. we head into the biggest week of stocks with the bank of japan meeting and the fed on deck. if you're nervous about the markets where do you put your money to work right now? are there