hires. >> you may see that but i still am going to fall back to the contract labor piece. i believe more people are working as contractors. you look at the technology space. really strong. >> great to be with you on a nice debut. >> thanks for watching power lunch. >> "closing bell" begins right now. > . >> honeywell surprised the market by cutting its guidance. down 7.5%. we wonder if this is a sign of what is to come. >> and jamie dimon speaking out on brexit, the u.s. economy and what he says could be his campaign slogan.

those comments coming up throughout the show. >> silicon valley star aaron levie talking about why he is supporting hillary clinton, whether his company could be a takeover target. >> we are continuing to follow hurricane matthew causing devastating damage in haiti. we will take you live to florida and georgia to look at how businesses are preparing to weather the storm. >> let's look at other industrials getting hammered. bob pisani tracking the action here on the floor of the exchange. >> honeywell is one of the main reasons that the overall market is weak down 8%. we have a big industrial like that down 8% on very big volume it weighs on the rest and has been a weight throughout the day. what is the problem? they lowered the 2016 guidance. it talked specifically about problems in the aero space

saying foreign defense made the markets more difficult. they specifically talked about business engine sales hurt by soft energy sales and anti-luxury campaign in china. this is the first material warning that honeywell has had in many, many years. there are other industrials that have had similar problems and warnings here. there are two major problems with the global industrials. first is low organic growth and the second one look how weak some markets have been. look how weak mining has been and oil and gas and agriculture. these are all markets that honeywell and big industrials all play in. if you take a look at how it is rippling through the markets you will see honeywell down. ppg industries also warn down 9%. textron compete to a certain extent and united technologies all down overall.

the bottom line this is very early in the preannouncement season but a big one like honeywell has traders nervous. >> bob, thank you very much. you knew industrials were a story and so is this. what traders are calling the flash crash in the british pound that happened early in asian trading today. around 7:00 p.m. eastern time last night, 7:00 a.m. in hong kong check out the chart. the pound falling more than 6% to just above 118 against the dollar. it is the weakest level we have seen in 31 years. it is a muchb we never see in major currencies. some say computer trades could have played a role. some are blaming a potential trading error and increased worries. that is a big part of the story. and the pound is already falling on worries. speaking at a banking conference

jamie dimon did express his concerns about brexit. >> the issue about brexit was always what is the impact long run on the survival of the eurozone. that was the issue about brexit. and my own personal view is that it made the chance not surviving five times higher. >> so dimen worries about the future of the eurozone. traders are worried about the future of the uk and the economy. the pound lost about 4% or so this week as prime minister made it clear. she is going to prioritize politics and immigration over protecting the economy free trade in the brexit negotiations. investors gave her a big thumbs down. >> what i find interesting is after the crash it didn't go back to the precrash levels. it is still well below where it was before that big sell off. $1.24 right now to the pound

which is also a low. >> there is a lot of negativity. i was host ag panel yesterday at the banking conference. a lot of negativity about what this is going to mean especially now that tourism might put out the vision. it is not what the markets were hoping for. the protection of the free trade zone over everything. now that we have the drop there is a new trading range set and set a lot lower. some are saying it could go down. its lifetime low is just above parity. a lot of big banks are forecasting 120 against the dollar. it is time for us to go -- >> it happens a lot. >> joining us on "closing bell" exchange we have doug gordon from russell investments, bill lee, and rick santelli beside himself getting ready for the big cubbies game today.

>> batter up! >> the dow was down 119 points at the low, another day with the big sell off for a time today and now we have come back. what is going on here? >> we have the sell off that brought the s&p down to the 2,140 range. the fact that it held that today in light of what happened with honeywell was a little bit of a positive. we saw the bounceback. the s&p is still negative. as we move into the end of the day that weakness will come once again. all the banks are closed monday. so you might get this just kind of sell off as we move into the closing bell. >> we have the jobs report out this morning. and the narrative on that seems to be a little bit disappointing but good enough for the federal

reserve to raise rates in december. is that your call? >> absolutely. the main message is a dovish message because participation rate implies there is more slack that measured. that gives chair yellen a lot of excuses to delay things certainly until december and to keep the next increases at a slower pace than forecast now. >> does the market want a rate increase? does it celebrate when there is weak data or metiocre data? what is the motivation and catalyst for this market right now, do you think? >> i think right now when you look at the futures market we are seeing 66% in terms of probability of rate increase. the central expectation is the rate increase in december. the good enough comment that fisher made and the unsustainability if we were to

have seen lower unemployment numbers makes it feel like they are in the camp. the comments this morning certainly align with that. i think the market is in a camp where we have two italian referendum and then boj after the fed in december. december is a bit of a pressure cooker. >> with all of that in mind, rick, your take now that you have fully digested the jobs report and into a weekend where we have another presidential debate? >> he fully digested it by 8:31. >> whether it is the cubs or london i think in the big picture both are going to be just fine. i think that brexit did figure into the 4 plus percent drop on the currency this week. in the end could you think of a better healing process for an economy who has issues as to where they are going to ship their goods to and under what arrangements than currency weakens.

price issues crop up and the guilt made up for that. we used to tease each other for not using percentages with the vix. last week it was 75 basis points. we are talking almost a 30% move in one week. that is why we don't use percentages. i think the fixed income markets are the conscience of everything and central bankers ought to pay attention because in a way it is preparing the world for what is coming whether central bankers are on board or not. >> bill lee, we consider today's jobs report kind of metiocre because it is not what it used to be. before the financial crisis 400,000, that was a good report on a monthly basis. we aspire to 200,000. isn't this just the new normal for the economy? >> it's absolutely the new normal when you have growth around 2%. when you have low productivity growth we are finding numbers to

be very, very much too fast. we are looking for numbers somewhere in the 1 to 150 range as something that holds unemployment range and gives the fed to improve. what will get the fed to move is inflation. what we don't see is wages going up. we don't see inflation. we don't get prices. >> what is the strategy here. can you talk a little about sector performance. we have seen energy outperform as oil prices shot back to $50 a barrel. some weakness in consumer names, industrials, where do you see the buying opportunities? >> i think it is right. it's diversification. it's not just diversification in sectors inside the united states. it is globally because we see very disproportionate opportunity sets but tied to regional monetary policy responses. in the united states it is still

kind of a preference to be defensively structured. that aligns with anticipation of the mode which i think is the range bound world that kenny was talking about. we seem to bounce off of the 240 range. until we get to where the monetary policies prevent or present the certainty in terms of a path forward i think that is the likely course. >> what are you watching? we have the debate sunday night. earnings, big week coming up for the third quarter. >> you had a bunch of macro data. i think there may be a referendum ahead. >> have a good weekend. we are root frg ying for you.

49 minutes left in the trading session with the dow down just six points. it was down 119. we have come back smartly from that. we'll see what we do. box ceo speaks with it discussing how he is favoring hillary clinton's technology policies over donald trump's. the damage toll mounting. we go live to florida for the latest on hurricane matthew whipping the southeast and the storm surge they are expecting behind that. across new york state, from long island to buffalo, from rochester to the hudson valley, from albany to utica, creative business incentives, infrastructure investment, university partnerships, and the lowest taxes in decades are creating a stronger economy

and the right environment in new york state for business to thrive. let us help grow your company's morrow- today at business.ny.gov ♪balance transferot to othat's my game♪ haa! thank you. uh, next. watch me make your intest rate... disappear. there's goa be a better way to find the ght card. whatever kind you're searching for, creditcards.com ts you compare hundreds of cards to find the one that's right for you. just search, compare, d apply at creditcards.com. ♪a one, a two, a three percent cash back♪

45 minutes left with the dow down eight points but gap shares up 15% after the retail chain reported a narrower than expected sales decline for september. that happened late yesterday during this program. the company missed on the metric the previous two months. gap management posted positive margins. deutsche bank upgraded the stock from hold to sell siting easier comparisons as well as fit and

fashion enhancements. >> gap's best week since 2009. real comeback. hurricane matthew powering through florida. morgan brennan is in daytona beach. how is it there now? >> reporter: well, the worst of the storm has moved north of daytona beach on its way to jacksonville which is already feeling significant effects from this storm. we just had the power restored here but there is property damage throughout the area. so there are pieces of this building alone strewn about. the surf has pulled back. you can see beach again now. earlier the storm surge dumped water here on the promenade and this guard rail was ripped apart by the storm, as well. storm surge continues to be one of the biggest concerns as hurricane matthew moves north with forecasts of storm surge as high as nine feet in some areas

not to mention potential heavy flooding from rain. we are closing in. we just topped 1 million power outages for the state of florida. further south of here on space coast cocoa beach has signs down. we have trees down including here in the orlando area. as matthew heads up the coast we have massive flooding in st. augustine where streets have been transformed into rivers. the worst of the storm has blown through here but as it moves north towards jacksonville we could potentially see some of the worst damage yet. >> it is interesting. we hear from a macro basis that

the storm wasn't quite as strong as had been feared. tell that to the locals. the video you are showing still shows tremendous damage, though. >> yeah. so this is still a hurricane category 3. it continues to be. it is still doing damage. there are still active evacuation zones in areas further north that are actively being evacuated with traffic jams getting reported. this is still very serious. it might not have come as close to the coast as originally anticipated but it is still category 3. it is still doing damage. >> do you know anything about first responders, whether emergency officials are able to reach people who need help, have down power lines and outages? you mentioned some damage we are already seeing from the storm surge. >> reporter: we lost power for a

chunk of hours here today here on the beach in daytona. we just before we started broadcasting had the power restored. there are crews out that are actively working. in our hotel we have some of florida power and light workers that had been on stand by to come out and work on the damage. they have been staying here with us. further south in miami dade, in palm beach county we are seeing power restored. the expectation is that most power will be restored by the end of the day. when the storm was at its worst you have first responders tweeting that they couldn't get to folks that hadn't chosen to evacuate. >> stay safe, you guys. >> about 40 minutes to go before the closing bell. we are looking at what has become a minor sell off for stocks versus what we saw

earlier in the session. modest declines with the dow down 13 points. s&p 500 down almost six. nasdaq down, as well. >> reverse for the utilities. health insurer anthem saying it will not cover one of sarepta therapeutic drugs. we'll have details coming up. our exclusive interview with box ceo aaron levie and will discuss why he thinks hillary clinton's technology policies would be better for the industry than those of donald trump. both on the track and thousands of miles away. with the help of at&t, red bull racing can share critical information about every inch of the car from virtually anywhere. brakes are getting warm. confirmed, daniel you need to cool your brakes.

understood, brake bias back 2 clicks. giving them the agility to have speed & precision. because no one knows & like at&t. and the returns i get out are i'vemeasured in reps,n this game huddles,bright lights, competition and games played. at td ameritrade we believe the best investments are the ones that matter most to you.

i have said i would love to be president but i'm not going to be. i'm not going to run. they torture those people. my slogan, make america fun again. >> that's cute. wouldn't say who he was endorsing. >> our next guest has endorsed hillary clinton. he is throwing his support behind the democratic candidate. joining us now we welcome to the new york stock exchange box ceo aaron levie. why hillary? >> beyond being obvious choice for any rational person we hear a lot about technology and nancy reagan ovation.

-- and innovation. the policies we need and the way the governmentvise to think about technology hillary laid out an approach and surrounded her people with people and know what is right in the long run and i know trump would be a disaster for innovation. >> i'm not so sure that it is the obvious choice. half of the country polling for donald trump. we think of technology as an industry that likes change and disruption and that is exactly what donald trump stands for right now in the political scene. >> is that a question? >> i'm telling you -- >> are you running for office? >> it is not an obvious as you might think. i'm wondering why an industry that embraces change does not want to see change in the political establishment. >> i would sort of separate these things because many of us

in silicon valley are not happy about how washington works and operates. i think the way our government runs is wildly inefficient. it is way too slow. there is absolutely waste in the system. when you think about innovation and technology in silicon valley generally speaking technology companies are trying to be disruptive for positive causes. so can we lower the cost of health care? can we improve transportation and life sciences? i think while we like disruption we don't want random disruption and chaos. i think that is the risk with trump. >> tim draper was through here. he is not enamored with either candidate because he feels they are using silicon valley as nothing more than an atm. silicon valley doesn't get anything in return in terms of endorsements or something from washington. >> i think the only thing -- the primary thing we want from washington is modern regulation

and modern approaches to the digital era. when you think about encryption and how we regulate different industries and how that will have to change in digital economy that is where we need updates from washington. >> immigration reform. these are where technology -- >> private e-mail servers? >> that is not to hillary's credit. >> donald trump weighed in on this issue, as well, calling out apple for not releasing the details of the terrorist's iphone and called on apple to do so. >> his call out i think was maybe less important than the overall conversation which was as we move into a digital era we have to decide how much we care about security versus how much we want to give government access to technology. >> yahoo allowed access to e-mails. >> that is what the government was asking of apple. can you lower the security so we

can access them when we need them. we agree of the severity of the gravity in which the government wanted to access the device. do you want technology companies to impair security on behalf of the government's request. that is where we ran into friction with the government versus silicon valley. >> what do you think is going on with twitter? >> my primary activity around twitter is one tweet every couple of days or so. i think it is an awesome platform and will be a great business. >> let's talk about your business. we mentioned your stock has coming back in a pretty strong way still off the highs. is this a messaging problem? i think of great competition from google and microsoft. you partnered with your competition. what is the narrative?

>> so this year we have guided a wall street that will be 396 million in revenue. we are going after a multi tens of billions of dollar market. in many ways it is a complex problem because we are disruptive company. we had to educate investors and customers and wall street around what that looks like. our job in the past year and a half is to keep performing as a business, bring on kaecompanies what is starting to happen is the market is better understanding our differentiation and our story and we are partnering with many of those competitive companies like google, microsoft. >> i think it would be harder. that is like hillary and trump getting along. that might be a little bit harder. >> is this an economy -- i'm asking your view of the economy based on your business. is this an economy that could

withstand a rate increase? >> i am absolutely the wrong person to ask about rate increases. >> is this a self sustaining growth economy that we could have a little tighter monetary policy? >> i prefer to see what happens six months from now and see where the election goes. are we in a stable environment then i would probably think about rate decisions. from our business what we are seeing is global demand for innovation and companies that want to modernize their technology. that is why companies like sales force, box, amazon, why you are seeing technologies grow because the world economy is driven on information and driven on technology and businesses all around the world want to have modern platforms. >> a lot of cloud ipos. >> seems like we have a couple a week now. >> started up again. >> aaron levie joining us today. be sure to watch sunday night's

presidential debate here on cnbc. special coverage begins at 9:00 p.m. eastern time. we have a news alert on canada goose. >> canada goose is preparing an initial public offering. this is dow jones quoting sources looking to go public by early next year at valuation around $2 billion. canada goose was acquired by bing capital in 2003. this does follow a couple of weeks where we have seen the resurgence. a strong listing earlier this year. not to mention the reports of snap looking to go public at valuation of $25 billion. >> snapchat could be interesting and goose. >> what about drop box? >> we are certainly always waiting around to see what

happens. we have no bets on that one. >> we didn't think you would. thanks aaron. time for cnbc news update with sue herrera. >> hurricane matthew heading towards georgia and south carolina. the big concern now from the category 3 hurricane is the storm surge north of jacksonville. that area seeing sustained winds of 115 miles per hour. orlando's disney world announcing this afternoon it will reopen tomorrow at 8:00 a.m. juan manual santos winning the peace prize today being recognized for failed efforts to end the civil war. voters rejected his peace deal last week. donald trump having a round table discussion in new york city today with leaders of a border patrol group. trump accusing u.s. government of allowing illegal immigrants to cross the border so they can

vote. and sometimes they are just like us. president obama walking towards marine one before rushing back the other way. no word on why but my best guess is he forgot his phone or his wallet or his keys, maybe not the keys. they don't let him drive anymore. that's the news update. >> he didn't stop three times. we were repeating the video. >> it's called looping. >> he is looking forward to when he doesn't have the secret service driving him everywhere. >> cameras watching as he forgets something when he leaves the house. thank you, sue. 28 minutes left in the trading session. the dow is virtually unchanged right now. >> we have a leading trader who will tell us what he is watching. >> our own meg terrell has

details on a new drug. it's having an impact on the stock down 6% when "closing bell" comes right back.

breaking news on recent cyber attacks. sue herrera has had headlines. >> this is in a joint statement just released from department of homeland security and office of director of national intelligence on election security saying u.s. intelligence community is confident that the russian government directed the recent compromises of e-mails from u.s. persons and institutions including from u.s. political organizations. the recent disclosure of alleged hacked e-mails on sites like dc leaks and wiki leaks online are consistent with the methods and motivations of russian directed efforts. it also says some states have recently seen scamming and probing of their election-related systems which originated from servers operated by a russian company. however, they are not ready to attribute that activity to the russian government yet. they are attributing it to a russian company. we will keep you posted.

this just released from the department of homeland security. >> thanks very much. 24 minutes left in the trading session. dow was down 119 points at the low today. tim anderson is with me right now. we get the jobs report behind us. now what? what do you think will move the market? >> probably one of the more telling earning seasons in quite a while although it is probably going to be six straight water of down earnings on the s&p 500. we have had a tremendous amount of rotation in the market the last two weeks out of the more defensive names, utilities, reits, consumer staples into oil, banks, little bit of technology. >> have you been a part of that? >> and some transportation. transportation average going to close. >> have you been a part of that? >> a little bit. >> and i think that the banks

are being helped a little bit. there is a bit of pressure off of people talking apocalyptic. banks are a little higher. it has been a key support level on a number of times the last few weeks. so and we have had a couple of very significant earnings warnings today which we haven't had for a long time. >> the markets weathered it pretty well. >> certainly has since the middle of the day. >> good to see you. have a good weekend. >> we are watching shares of sarepta taking a hit after news that anthem will not cover the drug. how big of a deal is this? >> it is potentially big deal. people are talking about this a lot, a battle ground drug if there ever was one.

it is not atypical for a rare disease drug just for a few hundred or a thousand patients. this drug was approved a couple of weeks ago by the fda and that was a controversial decision people disagreeing saying there wasn't enough efficacy data saying this worked. it is a very small population. anthem coming out, second largest insurer saying its investigational and not medically necessary saying in the statement in reviewing medical literature determined that this drug failed to show it improves health outcomes and therefore is not a covered benefit for the members. a lot of people are reacting and you can see the stock is down because the fda has approved this drug and taking this to mean that this insurer is going back to the fda and saying you

may have approved it and we don't see a benefit here. people are saying this isn't going to be a huge financial thing for anthem because there are so few patients so it does seem like take ag stand on the issue. >> this is the whole puzzling part. the point of an insurance company is to ensure because it is going to be so expensive to help somebody afford this drug. so where do they come off trying to make a comment about the efficacy of the drug? >> a lot of people are raising that question right now. there is speculation that maybe it will be a case by case sort of thing and will have to go to prior authorization. from the statement it looks like they are saying we want to wait for more evidence even though fda come out with conditional approval. fda wants more evidence enorder to give a full approval. >> and other insurers are taking it. >> united health said they are covering the drug with prior

authorization from doctors. i checked with humana and they say they are reviewing this. cigna says it is covering. >> thanks, meg. less than 20 minutes to go here before the closing bell for the session and for the week and we are pretty much little changed slightly south on the dow down 11 points. s&p down 5. the nasdaq is also down about a quarter of a percent. utx and home depot weighing on the dow. amazon looking to take on facebook and google with digital ad business. we'll look at impact on revenue stream. mcdonald's trading lower today. it might be because of lack of appeal with its most iconic menu item. i can't wait to ask sarah about this. we'll have the problem with the

big mac coming up. gilman: go get it, marcus. go get it. ...coach gilman used his cash rewards credit card from bank of america to earn 1% cash back everywhere, every time. at places like the batting cages. ♪ [ crowd cheers ] 2% back at grocery stores and now at wholesale clubs. and 3% back on gas. which helped him give his players something extra. the cash rewards credit card from bank of america. more cash back for the things you buy most.

according to flight aware so far 4,500 flights cancelled due to hurricane matthew.

this is clearly having a big impact on travel. >> talking more about the impact on the travel industry and if it is a cause for concern bring in mark mahaney. we had an airline analyst yesterday said this is not going to affect the airlines per se. what about the expedia and other companies like that. you are raising guidance on them, right? >> we just raised price targets. these kind of events can have a material impact on the businesses, depends on how long they extend. these are businesses that are fully exposed to major shifts in consumer spending whether terrorist events or major hurricanes and things like that. it can be. >> you actually upped your price target on both of the stocks this morning. what is it that you see that is not being priced effectively? >> so thanks. a couple of things. we did our third annual online

travel survey in the u.s. market and first overseas a. couple of things came through strong. first expedia remains dominant player but leading player and brands, hotels.com, travelocity. the second thing is price line owns booking.com which has been the expedia of europe. we see it starting to gain traction against smaller otas. new bullish angle to price line. they own the booking.com asset. we have been wondering about the air bnb asset. what we are seeing is consumers are looking for alternative accommodations they go to air bnb but second and third go to price line and expedia. we think those are plays off of alternative accommodations. our preference is price line. >> we want to ask you about

amazon's expanding business. any thoughts? is it a viable number? >> i think that's a good number. we published they would do about a billion in revenue this year in 2016. it's not -- when jeff bezos talked about three pillars of growth and said the company was busily exploring the fourth pillar of growth we examined a bunch of different areas. advertising was one of them. amazon has one of the largest collections of commercial data out there that it could use to target with advertising. our sense is it is not as big of a priority as other areas particularly artificial intelligence and business supplies all of those are probably higher priorities. it is a good add on business for amazon. no question about it. >> thank you. good to see you, as always.

>> a little over ten minutes to go. about 13 minutes to go before the closing bell. and the dow still down about 15 points. s&p down 6. nasdaq down 14.5. not quite the volatility you sometimes see on jobs days. >> the stock market is open monday. the bond market is closed. we can't figure out why they don't play. >> the last time we saw a big move in stocks. >> when we come back david doris with his market acronym of the week.

did you know your business doesn't have to suffer from slow internet? comcast business now offers blazing fast internet speeds up to 250 mbps. over 6 times faster than dsl. get internet for as low as $59.95 a month. call today. comcast business. built for business. did you know sharing wifi with your customers could leave your business exposed? only comcast business offers wifi pro. two separate networks - one that's private for you, and one that's public for your customers. upgrade to wifi pro for only $19.95 a month. call today. comcast business. built for business.

about nine minutes left the dow down ten points after being down 119. art cashin just told us that the market on close orders today not surprisingly probably won't move the market much. 250 million to the buy side. joining us our friend independent investment consultant. happy friday. happy october. happy autumn and happy beginning of the fourth quarter. >> and your acronym.

>> policy because this week the fed, the bank of japan and european central bank pulled a peyton manning and called inaudible. >> did i hear anybody yell omaha. >> japan switched to targeting yield curve. the fed is still reading the defense. and the european central bank said we may taper off in early 2017. the word policy p is profits are key. it looks to be down 2%. we will see. the o is oil. oil is the new fed. oil is driving the market. oil helps. high yield bonds. it helps energy stocks and limited partnership. oil being up has been a nice tonic with a moxie to the market. l. l is the labor. to me the average hourly earnings up 2.6% year over year,

that's the real piece of gold within this basket of straw that everybody said was just sort of a neutral report. the i is interest rates. you'll notice banks are up 3% this week and 3% for the month now. that's helped by higher interest rates. it has hurt telecom, hurt utilities, hurt real estate and hurt gold. so you want as an investor you want to be positioning if you think rates will keep rising. you want to take off some of those and add to the two prior. c is china. china's third quarter gdp numbers they have been stimulating a lot and house prices have been helping. china looks to be pretty steady. why is the japanese yen up 16% this year. we want -- that brings up the currency complex.

we want to see that dollar weaken. this week even with interest rates expected to rise the dollar rose and that is not good for exports and profits and the u.s. economy. so the gdp now number of the atlanta fed at the beginning of last month, september 1 was 3.9%. now it is 2.2%. we have seen an erosion in many economists lowering their forecasts. >> that is better than the second quarter? >> still frustrating for hawkish members of federal reserve. >> i want to wish everybody a happy columbus day and tell everybody adversely affected by hurricane matthew that we are thinking of you. >> absolutely. hoping it is not as bad as had been feared. we will take a quick break and review the week in just a moment. >> this weekend is round two for donald trump and hillary

clinton. we will preview the debate. across new york state, from long island to buffalo, from rochester to the hudson valley, from albany to utica, creative business incentives, infrastructure investment, university partnerships, and the lowest taxes in decades are creating a stronger economy and the right environment in new york state for business to thrive. let us help grow your company's tomorrow- today at business.ny.gov

this is my retirement. retiring retired tires. and i never get tired of it. are you entirely prepared to retire? plan your never tiring retiring retired tires retirement with e*trade. i'm in vests and as a vested investor in vests i invest with e*trade, where investors can investigate and invest in vests... or not in vests. sign up at etrade.com and get up to six hundred dollars. so about 2 1/2 minutes left in the trading session as we close the first week of the fourth quarter out. bob pisani joining me here for

closing count down. let's review here. this stretrend that we have bee identifying, start with the ten year yield. we watch this rise in yields along the long end of the curve there. we are at 174 at the high. that served to help those sectors that would benefit from higher rates. the financials would be a good example of that. the financials was higher on the week as a result. what did it take the wind out of? that would be the utilities and utilities among those that have been so strong to this point but now down for the week. >> these had valuation problems. a lot were trading at 21, 22, 23. that is really in the stratosphere. >> oil $50 became a reality.

for the week we pulled back. for the week we'll see what the dow did. some volatility here. every time it seemed there was a sell off there was a comeback rally. a lot of volatility down just a fraction for the week. >> we should note that we see the financials doing better today. the insurance names generally up. i think there is a perception that the damage while notable in florida may not be as bad as some think. bank stocks, some big names up today on a down day for the markets. we saw bank stocks up. many are up 4%, 5%. that trend you know very much in tact. you mentioned energy with oil over $50. we sold out on the energy rally. big names up today.

i think over 50 to move big oil names again after last month or so they were market leaders. >> have a good weekend. >> ad van six ringing the bell today. stay tuned to hour number two of the closing bell. and welcome to "closing bell." let's take a look at how we are finishing up the day and the week on wall street. modest declines for the major averages. dow fairing the best of the big three. dow finishing lower by about 28.5 points. s&p 500 down 7. same with the nasdaq down 14.5 or 0.27%. this brings major averages down,

stocks lower for the week. first time we have seen that in four weeks. category 3 hurricane matthew tearing up the east coast of florida as we speak. more than 2 million people in florida, georgia and carolinas under mandatory evacuation orders. we will take you live to florida and georgia to get a live look at the storm and preparations and a check of the storm's projected path over the weekend. let's talk about this market. joining us for the hour here cnbc columnist michael santoli. michael, i just mentioned the fact that we finished lower for the week, first time we have seen that in four. a few interesting are rates. >> for one thing in the last every day this week it seemed and for the last ten days you

had a pretty big reversal in the middle of the day. there was some opportunity to take the under side. that says this market is stuck in this zone because the basic economic outlook hasn't changed. i don't think the jobs number today changed the picture that much. what is interesting is bond market didn't seize on a softer than expected number to rally very much. rates staying the way they are. i do think we had a gut check on the industrial cyclical trade. honey wells saying maybe we overanticipated a comeback. >> and utilities had a bit of comeback. >> just a bit of a turn about just for one day. >> put it in perspective this week. not just today's jobs report but we had a lot of economic data that gave us a sense of where we are. >> i think the economy is in great shape. if you want to call it gold locks. this week alone we saw a 40-year

low on our initial claims for unemployment. layoffs are at the record low. jobs report everyone focuses on the headline number. it did come in shy of expectations. the real story is the increase in the labor force. you have 3 million people over the last 12 months coming back into the labor force. if you line people up a year ago and told them that the economy would be so good that not only would we be adding jobs at 200,000 per month clip but a stream of people would be coming back into the labor force they would probably say you are crazy. it's an economy that lets the fed have room so they can be patient but it also is a disappointment to the doom and gloomers because there is no recession and people are coming back into the labor force. >> and getting paid a little more, too. brian, veryege toor talk to you about the move in the british

pound. what do you think caused it? we still don't really know. what does it say about the confidence in investing in the british economy right now? >> we have had two once in a generation moves this summer off of brexit and then last evening. the thing i would say initially is that maybe there were stocks that were taken out but the direction is an economic direction. in other words, the pound is down for a reason. it is telling you that there is going to be a hard landing or economic shock in britain. they voted to have an economic shock to control. that is what the pound is telling you. >> is it going lower? some are saying we are not done yet. 1.23 whatever it is right now. how much lower do you think it could go? >> it is going low. i think it is going much lower.

i think $1.20 is not out of the question. it will take time to work off what happened which is a big market technical shot but the pound is going lower. i wouldn't be surprised in the long run to see it go against the u.s. dollar. >> parity with the u.s. dollar. when i talk to people about why this matters so much, a precipitous fall for investors there are two reasons. for any american business doing business over there in the uk this slashes their revenues and have been dealing with the headache of the strong dollar. it is a reminder we are in a machine-driven world of algorithms. it makes you wonder about investing. >> i think giving the relative exposure it is the second point that you mention. to me it is a little more

resonant. not so much that we have to be afraid of the machines but capacity for quick dislocations can ripple through. what i will say is how many flash crashes have we had since the flash crash six or so years ago that didn't upend the market trajectory. those gut checks keeps you on the heels. i don't think it is something that will filter through and cause some kind of hedgefund melt down or another kind of liquidity crisis. >> let me bring up another topic here. it stays with the idea of jobs and the economy. jamie dimon spoke earlier today about why he thinks companies are still being cautious about spending money. >> a lot of it is held because of bank funding. 50 trillion of liquidity sitting

around. sometimes it is taxes for repate reeuation. >> here is what he said about monetary policy. >> i don't think the system is functioning. i think the monetary authorities are trying to figure out what these things do nor do i think the system is coordinated. fiscal policy and monetary policy. if we got those things right you would have growth thmpt natural reaction of business is to grow their business. i have never met in any country i have ever been including argentina, mexico, really bad. people saying i want to shrink. they are looking for opportunities to grow. >> jamie dimon echoing some thoughts of other business leaders, not supersurprising but does make the point about fiscal and monetary policy working together. >> it has done what it can.

here we are seven years beyond the crisis and it is not going to be the difference that gets job growth running at a faster rate. >> do you agree with those who feel that no matter who wins the election we will see a bout of fiscal stimulus whether spending or tax cuts that comes down the pike? >> i think we will have a split government. in terms of the budget power it will be difficult for the president whoever that may be to drive that decision. so i'm reluctant to say that it is coming. i also think importantly what is missing from the u.s. economy is not some fiscal spending. i think that is an easy fix that people like to point to. you can sign a bill and put something into place. it is not where the real wealth generation will come from. it will come from new businesses starting and forming. that is a much more complex question. you had a guest on earlier talking about the very things. >> i'm just looking at weekly

performance, the various sectors. financials were the only ones to finish positive for the week. >> and no doubt that the market has been kind of slowly pricing in that december is looking like a more sure thing. today's job number for the fed. i think that is why financials were able to get a tail wind. you have bond yields rising. we will see if it is another false start. i think they might be on to something. >> are you part of those leaning towards the cyclicals? >> look what happened with the industrials today and honeywell last night. >> can't go straight up forever. >> right. it can't go straight up forever but they are also telling you that their earnings are not going to be good going forward. they are saying they are having warnings. i don't want to be involved in that. i think the bank rally is false. i was in the banked i have sold my bank position because i think you have to worry about european banks still.

>> it's a good point. the european banks did have a good week i think up about 2%, their best week in several little release. positive news for deutsche bank that we don't have a resolution to negotiations. >> there was talk about deutsche bank perhaps raising rates one way or another. a week ago thursday they were priced to disappear. i think the fact that they didn't means they can rally the stocks. some talk to ecb might not be doing another round of qe. >> deutsche bank up 4% for the week. good to see you. >> nice to see you. always a pleasure. see you next hour. brian kelly coming up on fast money where he will talk about why the crash could have major implications for the global market and more importantly your money tonight on fast money at 5 p.m. hurricane matthew slamming

the southwest coast of the united statesp. up next we will take you live to florida and to georgia to get the latest on the storm's latest path and the damage and loss of life it has already caused. >> a different kind of storm brewing sunday night when hillary clinton and donald trump square off in the second presidential debate. we will discuss what each candidate needs to do to ensure a debate night win. >> of course, you can catch full coverage of the debate here on cnbc beginning at 9:00 p.m. eastern time. you are watching cnbc, first in business world wide. what's the value of capital? what's critical thinking like? a basketball costs $14. what's team spirit worth? (cheers) what's it worth to talk to your mom? what's the value of a walk in the woods? the value of capital is to create, not just wealth, but things that matter.

morgan stanley

i am a first responder tor and i'emergencies 24 hours a day, everyday of the year. my children and my family are on my mind when i'm working all the time. my neighbors are here, my friends and family live here, so it's important for me to respond as quickly as possible and get the power back on. it's an amazing feeling turning those lights back on. be informed about outages in your area. sign up for outage alerts at pge.com/outagealerts. together, we're building a better california.

breaking news on hacking of u.s. political organizations. keith williams has more on the the story. >> the drama in the story has always been we sort of knew who did it and what is the u.s. going to do about it. now we have the answer. a public shaming statement from the obama administration saying russia is trying to interfere in the u.s. election, a joint statement from department of homeland security and director of national intelligence and says all of these attacks bear the hallmarks of recent russian attacks in europe and ukraine

and says, quote, only russia's senior most officials could have authorized these activities. so it does say that the kind of attacks it is talking about are cyber intrusions on democratic committee and some individuals, powell, a white house travel aid. it doesn't say that it believes the russian government is behind the probes into u.s. voter registration databases. we know about the ones in arizona and illinois. the statement does say in most cases those probes seem to come from servers operated by a russian company but they say we are not in a position to attribute that activity to the russian government. the statement ends by saying this is all separate and apart from an attempt and ability to actually affect the outcome of

the vote. they continue to say that the system is so diffuse and disorganized and disconnected that it would be difficult for a nation state actor to try to affect the actual vote tally. it says states should be on the lookout. >> any reaction here from moscow? >> no, but i think the most interesting reaction we have heard is from an american intelligence official who says he is skeptical that public shaming will work against the russians. >> what else do we have to do? what can we do? >> there are lots of things we can do. that has been a question. we assume that the u.s. has been trying to tell the russians privately knock it off. that apparently hasn't worked. it still continues. the question now is this going to work? there were a number of other options. there could have been prosecutions here. there could be some kind of reciprocal cyber attack. all of those things were

apparently discussed and this is the option the administration for the moment has chosen. >> a first step. pete williams, thanks. >> hurricane matthew may have been downgraded to category 3 storm but it is still causing havoc along the southeast coast of the country. we have full team coverage. morgan brennan in daytona beach florida and scott kohn in georgia. morgan, how does it look? >> we are on atlantic avenue here. as the storm -- the worst of the storm has passed through and continues to move north. we are starting to get early looks at the damage here. the street here we are starting to get vehicles here mainly first responders, cop cars, fire department trucks, utility vehicles. the street lights are still out and actually on the next block

down there is a business that has the roof completely torn off. we have a lot of debris strewn about here including this big piece right here. where is this piece from? take a look, right up here on the hotel. this is the hilton where the facade was ripped off. two big holes flanking the signage were windows. one of those windows is smashed and over here in some of the landscaping. this is the hotel where we have been staying all day and giving you reports from inside. this is just the front. on the beach side we have flooding throughout the area from the storm surge we saw earlier today coming up. we have the gates there that were ripped apart. historic clock tower which is something of a landmark in the area with some clock faces cracked and pushed in. so the damage here is just throughout the area and it is also i should note inside, as

well. here in the lobby you had water throughout the area. a lot of soaked towels earlier today. water coming through the light fixtures and on the upper floors water in the carpet. guys? >> morgan, thank you. stay safe. let's take it north into georgia where things didn't look so good there. what are you going through right now? >> reporter: well, what morgan experienced a few hours ago we are still bracing ourselves for. the worst of the storm i should point out is still a good eight hours away. we are getting another one of these outer bands. you get big bursts of rain, wind. we had at least three tornado warnings in the area. just we are about eight stories about the streets of downtown savannah. behind me you would normally see the port of savannah which has been buttoned up and closed. that is a very important container port.

you can see that way the ocean is still several miles that way. they were working on getting people off of the island. everything today has been all about evacuations. there are mandatory evacuations in georgia in six coastal counties everything east of i-95 including chatham county. taking people out on buses until noon when they said that is it. we have to look out for first responders. the hope is that like it was in florida the storm stays offshore so we don't get the worst of the wind and the worst of the surge but they still are bracing for 7 to 11 foot storm surges here in savannah and along the coast. that could be very, very bad. roadways under water and keep the area out of commission for quite some time. we are several hours away from the worst of this. we are bracing ourselves. it is going to be a long night.

>> scott cohn who specializes in these kinds of stories. see you later. be safe. i know he will. he knows what he is doing. samsung releasing latest earnings but did the burned phones like the note 7 drag down results? we will break down numbers coming up. and the iconic fast food burger but turns out only 20% of millennials have eaten a big mac. is mcdonald's losing the burger war? we will discuss what mcdonald's needs to do to turn itself around in this category which it once earned.

♪ if you're on medicare, remember, the open enrollment period is here. the time to choose your medicare coverage begins october 15th and ends december 7th. so call unitedhealthcare to enroll... in a plan that could give you the benefits and stability you're looking for, an aarp medicarecomplete plan insured through unitedhealthcare. what makes it complete? it can combine medicare parts a and b, which is your hospital and doctor coverage with part d prescription drug coverage, and more, all in one simple plan for a low monthly premium or in some areas, no plan premium at all. an aarp medicarecomplete plan offers you benefits like an annual physical, preventive screenings and most immunizations all for a $0 copay. you'll also have access to a local network of doctors and much more.

you can get routine vision and hearing coverage, a fitness membership to help you stay active, and worldwide emergency care. for prescriptions, you'll pay the plan's lowest price, whether it's your co-pay or the pharmacy price. or pay zero dollars for a 90-day supply of your tier 1 and tier 2 drugs, delivered right to your door. in fact, our medicare advantage plan members saved an average of over $4,500 last year. now is the time to look at your options. start getting the benefits of an aarp medicarecomplete plan insured through unitedhealthcare. unitedhealthcare has been helping medicare beneficiaries for over 30 years. we'll connect you with the right people, help schedule your appointments, and with renew by unitedhealthcare, you can learn about healthy living and earn rewards, too. remember, medicare open enrollment ends december 7th. call unitedhealthcare today about an aarp medicarecomplete plan.

you can even enroll right over the phone. don't wait. call unitedhealthcare or go online now. ♪ samsung today offered a preview of third quarter earnings result. investors paying close attention after bad press over the phones. josh lipton has that story. >> samsung has been making headlines for wrong reasons with recall of galaxy note 7. this morning the south korean giant did report better than expected results. the company said it expects to earn some $7 billion in q 3 operating profit. that would be about a 5% jump from a year earlier. sales expect today clock in at some 44 billion. that would be a drop of about 6%. investors and consumers have been closely following the

ongoing drama surrounding the galaxy note 7. some tech reviewers called it the best big phone ever made. then there were reports of overheating batteries and samsung had to announce a global recall and problems con. this week there were reports that smoking note 7 forced evacuation of southwest jet. it did take a big hit in september but now it bounced back and hit an all-time high today. mark newman says the note 7 does pose a near term risk in terms of hand set sales and reputation but he said that q 3 performance reflects strong earnings from other divisions such as semis and display. by the way, final results are expected later this month. guys, back to you. >> thank you very much. clearly, this was not a material

problem. it was a pr problem that they were having. >> at least in the latest quarter. who knows what it will mean for the rest of it. >> one of the frustrations it is hard to own and trade samsung in this country. a vast company, very diversified. not so much as if the phone can make or break samsung but you have activist investor saying lets try to sflit it and people saying what elliot is doing is kind of in line of what samsung management indicated it might want to try. the market seems to indicate the market can be liberated. >> what i was going to note is as josh noted it sold off when the initial news hit a few months ago. shareholders were all over this story. they didn't seem surprised that this wasn't a big hit because the stock run up to recent highs. i wonder whether that makes elliot's calls a little less

elliot's calls a little less likely even though the hedgee tn you both have a

perfect driving record. until one of you clips a food truck. then your rates go through the roof. perfect. for drivers with accident forgiveness, liberty mutual won't raise your rates due to your first accident. and if you do have an accident, our claims centers are available to assist you twenty-four seven. call for a free quote today. liberty stands with you™. liberty mutual insurance.

modest declines. dow closing lower by 28 points. s&p 500 lost seven and the nasdaq closing lower as well. 14.5 points. certainly off the lows of the session but did close lower for the day and the week, the first week in the last four. take a look at gold having its worst week since 2013, popped a bit today. overall a brutal week for gold. >> i forgot to do that on the count down. hillary clinton and donald trump are headed for the silver screen select regal cinemas showing the second presidential debate for free on big screens and for extra incentive if you buy popcorn on debate night you

get a free small drink. i love that. >> fun fact about me, my favorite food in the world is movie theater popcorn. >> really? do you add extra butter? >> no. it tastes just perfect sgrmpt had i think it is a very smart move because who will be going to the movies on sunday night so you might as well let people in and sell them high margin popcorns and other snacks. >> they are not going to not show movies. also, the part of the trend of all of these movie theaters trying to show things like live events and games like back to the days of closed circuit television when you had a boxing match. it seems like a communal thing. >> it speaks to the high interest in these debates in particular with those record ratings. >> that would be interesting to see the crowd response for the debate. >> a whole new meaning to political theater. >> you don't have to hold your cheering as watching it on the

screen. if you can't make it to the movie theater there is always your living room. john harwood joins us with a preview and the town hall format could be a game change frr them. >> the town hall format is challenging because it requires you to connect and relate directly to voters who are posing questions. it makes it a little less easy to attack your opponent. economic issues aren't necessarily at the center of the campaign. it's more personality issues including the tape that came out of donald trump talking in a very lewd and explicit way about coming on to women to an interviewer a few years ago. economic issues did come up. here is a sampling of what we heard. >> under my plan i will be reducing taxes tremendously from 35% to 15% for companies small

and big businesses. that is going to be a job creator like we haven't seen since ronald reagan. >> the kind of plan that donald has put forth would be trickle down economics all over again. it would be the most extreme version, the biggest tax cuts for the top percents of the people in this country than we have ever had. that is not how we grow the economy. >> a lot of pressure on donald trump to do better in that town hall format moderated by anderson cooper of cnn. when you look at polls that we have seen before and after the debate, before the debate donald trump was down a couple of points to hillary clinton. that debate didn't go well. he slid since then and now is down about four points in the average of the real clear politics numbers. donald trump needs a very strong performance. time is running out. >> we have heard the candidates talk about russia before. we just got the news that the u.s. is blaming russia outright

for the recent hacks in the political system. i'm sure that will come up. will that put trump on the defensive? >> yes. donald trump even though mike pence tried to kind of smooth it over and pretend that he and donald trump have the same position on russia, donald trump has talked in a much more congenial way towards vladimir putin and russia on policy and personal grounds. i think the explicit tying of this packing to russia which donald trump in the first debate said maybe it is some guy who weighs 400 pounds sitting on his bed doing hacking. that is not what u.s. intelligence officials believe and donald trump may have to answer that question again. >> thanks. john harwood in d.c. let's bring in larry kudlow and unofficial trump adviser.

economics professor at university chicago school of business and clinton adviser. any books you have writ snn. >> i'm not hawking my books like larry. >> it's a good read. >> austin, what does hillary clinton need to do to win this debate, do you think? >> i think she just needs to do the same thing she did last time which was just keep contrasting what she wants to do versus what donald trump says he wants to do. it's like an unending string of what for anybody else would be considered gaffs or horrible statements that donald trump has made that make up really the core of his plan. and i know larry is going to -- you can tell whether donald trump did well or badly by how larry reacts the next day. if larry is saying what donald trump should have talked about is a, b and c then you know it

did not go well. [ laughter ] >> austin, you are the best of the best, my friend. the best of the best. >> what does mr. trump need to do this time? >> i think austin is referring to this point but i think it is a problem on both sides. my great hope as this debate will be done in a civil manner, a civil manner. let's make the arguments. let's try to persuade. let's try to be respectful and civil. when they disagree there is no insulting, no screaming. a great friend of mine and i respect him enormously. mike pence i think showed us how you can do that in his debate last week with senator camccain coming back to your direct question i think mr. trump has

to be more persuasive particularly on pro growth tax cuts. i would like to see him say things like we are going to put more money in your pocket. we are going to give small businesses better cash flow to invest. we are going to give repatriotuation so we can bring money back home. got to say one or two sentences more to persuade people and to show the contrast between him and mrs. clinton. >> and also hillary clinton's economic message, i haven't heard it as clearly articulated as larry just did. and he goes back to the fact that he was a business man. he has had experience. what can clinton offer? on another day where we saw solid improvement in the labor market and a 5% unemployment rate why aren't we hearing her talk about that? >> i think you have heard her

say that. it gets drowned out in some of the whackier things that trump is saying. the other report is donald trump made an announcement that he considers the original central park five accused of central park rape he considers them guilty even though they were later exonerated by dna evidence. the fact that hillary clinton is talking about economic plan is drowned out. her plan is that you don't try to cut taxes for very high income people and big corporations. instead invest in training and education and infrastructure and try to grow it from the bottom up. i think you will see her talk about that. i think inherently in a venue where you're talking to regular people it will be a little easier to explain that kind of plan versus a trump plan which is lets cut taxes for guys like donald trump and that will be

good for you joe ordinary person in the audience. >> in a civil matter i want to disagree. what trump is trying to do is help wage earners. so many studies show lower tax rates help middle income wager. mr. trump needs to explain that. i don't think this is an upper ended tax cut. the upper end people who have money will benefit. the middle income people do very, very well and in particular small businesses will do very well. this is the first small business tax cut we have seen in recent memory maybe going back to last century. those are really positive. mr. trump has to get it out. unfortunately, i disagree with

austin. i think hillary is taxing everybody. i think she is taxing businesses and individuals and investments in capital gains. i don't think she has a recovery plan. ceph >> i know you want to answer that. i wish you could. i know there will be 90 minutes to debate this on sunday night. i appreciate you both showing up. good to see you both. >> be sure to tune in to cnbc to catch the next presidential debate. coverage begins at 9:00 p.m. eastern time. >> we are hoping for the economic debate. >> absolutely. very important obviously. >> the big mac isn't so big anymore. mcdonald's facing tough competition. hear from a few of the popular so-called better burgers chains. can the golden arches get their shine back on burgers? >> and hurricane matthew already devastating haiti and the bahamas and tearing a path along florida. we will track the storm's latest

path and what to expect of the weekend coming up on "closing bell." mobility is very important to me. that's why i use e*trade mobile. it's on all my mobile devices, so it suits my mobile lifestyle. and it keeps my investments fully mobile... even when i'm on the move. sign up at etrade.com and get up to six hundred dollars. it's been over 100 years since the first stock index was created, as a benchmark for average. yet a lot of people still build portfolios with strategies that just track the benchmarks.

but investing isn't about achieving average. it's about achieving goals. and invesco believes doing that today requires the art and expertise of high-conviction investing. translation? why invest in average?

millennials it turns out aren't loving it. according to the wall street journal a recent memo from mcdonalds states only one in five millennials has had a big

mac. >> the report out the number of millennials visiting mash burger more than once a month grew by 11%. meanwhile millennials visiting mcdonald's more than once a month during same time period grew by 6.5%. >> you know i don't eat meat. >> you eat some meat. >> maybe that is the thing because stock has been working well with the breakfast all day. >> i think there is a couple of different stories here. one is that millennials are going to different chains all together. burger sales are not driving what is growing. it does seem a kind of sense as if that is like yesterday's dish at mcdonald's. >> it is still i think 20% of their total revenue. so they -- >> burgers in general.

>> or maybe 20% market share. either way -- >> i think you can spin it as an opportunity for mcdonald's. as they focus on making the burger better and trying to tailor it better. >> i find it so interesting that your self-identity is attached to the burger that you decide to eat. are you a five guys burger or in and out person. >> i think more elemental than that is i'm not a fast food industrial food burger king frozen to mcdonald's person. i'm somebody that it is hand made. >> i'm a shroom burger. >> sounds delicious. driving winds and heavy rains are pommelling florida's east coast. we have the latest forecast for the st for you next.

>> five guys here. we have results from the young brands and from micron this week but next week earnings season does ramp up with the big banks reporting. we have a preview coming up. stay tuned. across new york state, from long island to buffalo, from rochester to the hudson valley, from albany to utica, creative business incentives, infrastructure investment, university partnerships, and the lowest taxes in decades are creating a stronger economy and the right environment in new york state for business to thrive. let us help grow your company's tomorrow- today at business.ny.gov

welcome back. breaking news on mylan labs. meg tirrell back with details on that story. what's going on now? >> hi, guys. we have been talking about the classification of epipen. a lot of reports looking into the idea they may have misclassified the epipen and paying lower rebates to medicaid. milan saying it's agreed to a settlement with department of justice for $465 million. with the doj and other government agencies that will resolve questions raised about the classification of the

epipen. they also say in this same release they are lowering their 2016 earnings guidance. now it expects it to be 4.70 to $4.90, down from $4.85 to $5.15. they remain committed to 2018. mylan over the medicaid classification of epipen. mylan up 9%. people were concerned they may be paying more than this. >> i guess that was the concern. any idea what this amount represents? in terms of the $8 million. is this what they would have otherwise paid if they reclassified the epipen? >> actually we had a story out citing they are looking at $700 million, triple the damages if

they were charged. >> this is a bargain then. >> this is looking like potentially a bargain. >> also a sigh of relief and somewhat of a resolution. >> right. that you're actually at least going one by one and taking care of some of these issues, removing the overhang and even the lower guidance that meg mentioned. not a radical reduction, just shifting the range a bit lower. and here you have a stock trading at six or seven times earnings. that's why the market, at least on a reflex basis, taking it higher. >> remind me, meg, are they going to adjust the price of the epipen? >> they are not adjusting the price of the branded epipen. what they have done is said they are going to introduce a quote, unquote, authorized generic version at half the price. identical product they are calling an authorized generic, expected to come out around the end of the year. >> and helping with subsidies on some of the others. meg, thank you. >> thanks, meg. reuters reporting now that the death toll from hurricane

matthew is climbing. we'll have an update on the storm's path for you when we come back. we're also going to talk about the southeast energy infrastructure and see how that is holding up as the hurricane barrels across the east coast. we'll be right back.

there's a lot of places you never want to see "$95." [ beep ] but you'll be glad to see it here. fidelity -- where smarter investors will always be. if only the signs were as obvious when you trade. fidelity's active trader pro can help you find smarter entry and exit points and can help protect your potential profits. fidelity -- where smarter investors will always be. [ that's a good thing, eligible for medicare? but it doesn't cover everything. only about 80% of your part b medical expenses. the rest is up to you. so consider an aarp medicare supplement insurance plan, insured by unitedhealthcare insurance company. like all standardized medicare supplement insurance plans, they could save you in out-of-pocket medical costs. call today to request a free decision guide. with these types of plans,

you' be able to visit any doctor or hospital that accepts medicare patients... plus, there are no networks, and virtually no referrals needed. join the millions who have already enrolled in the only medicare supplement insurance plans endorsed by aarp... and provided by unitedhealthcare insurance company, which has over 30 years of experience behind it. with all the good years ahead, look for the experience and commitment to go the distance with you. call now to request your free decision guide.

reuters is reporting that the death toll from hurricane matthew has now topped 800 in haiti alone. as the storm travels up the east coast of florida, matthew noyce joins us now with the very latest and the forecast. matt, what can you tell us? >> thanks very much. unfortunately, this storm has turned fatal here in america, as well. word out of florida, at least one couple was killed when the generator was running in their home, and that led to carbon monoxide poisoning. they were rushed in critical condition. awaiting word of the final condition there. nevertheless, we want to start out of the overview what's happening. and the satellite and current conditions. down to 110 miles per hour. let's show what's going on. this is the storm surge, you can see what's happening here. storm surge warnings go up from central florida up to north carolina. and then you go into a storm surge watch. but we're talking about what's probable going to be a 6 or 7-foot surge. 6 feet in northeast portions of florida.

wind damage potential. widespread in the areas in red. we have lots of outages, over 1 million customers out power in florida. rainfall potential, 6 to 12 inches along the coastline. flooding is a concern through the overnight tonight and tomorrow. tornado potential. there is a tornado watch out now across portions of georgia and south carolina. in one likely to be expanded into north carolina during the overnight. and finally let's take a look at the forecast track. this thing parallels the coast, it moves slowly and, it's going to take a lot of the weekend before it finally kicks off the outer banks of north carolina. that's how things are looking for now. a long, drawn out eventuality. at least central and southern florida improving. >> thank you very much. for more on the hurricane's impact, we're joined on the phone by ceo tom fanning. we talked to him earlier. his company sent crews from m mississippi, alabama and florida restoration efforts. thanks for joining us again. you're in a situation where

you're beginning restoration in florida, but you're still anticipating what's going to happen in georgia. can you give us an update on how things are going? >> sure. i think that reporting on the weather was very accurate. look, we've got over 1 billion customers out between florida, georgia, and we expect south carolina. across the nation, we have sent somewhere around 26,000 linemen, engineers and support personnel from probably i think 25 states right now. we hold a variety of calls. following this event, really now for about a week. and there are several calls at 9:00, 11:00, and 4:00 every day that involve not only local personnel, support personnel from around the united states and federal personnel. >> can you tell us how quickly you can get this power back online and what that process is like? >> yeah. every situation is different. and really, as broad as this storm is, reaching all the way

from i don't know, lower third of florida, third of the carolinas, you let each local entity assess their damage first and then put out timeframes. the good news is, i think, this thing could have been worse. but still, 1 million customers out is an awfully daunting task. people will get at this as fast as they can. >> i don't know if you heard, they just down graded to a cat 2, 110 miles per hour. as i said before, that sounds good from a high level, but tell that to the locals getting hit by it, right? >> yeah. and bill, let me tell you something. the people that work these storms, frankly, are heroes, whether it's emergency medical personnel or the line crew that are getting the power back on. everyone has to deal with a variety of conditions dealing from rain, wind, flooding, trees down. unstable structures. big deal. >> all right. tom, appreciate the update. thanks very much. >> ybet.

great being with you. >> thank you. have a good weekend. sleep well. watch the debate. that's it for "closing bell." kelly is back with us as well. >> maybe a movie theatre, popcorn. although it is past my bedtime. >> "fast money" begins right now. "fast money" starts right now. live from the nasdaq market site overlooking new york city's times square, i'm melissa lee. traders on the desk, steve grasso, brian kelly, karen finerman and guy adami. the pound getting pounded in overnight trading could spell big trouble for one group of stocks. we'll explain. and the nfl ratings down 11% this season in just the first four weeks of play. and it could take a number of stocks down with it. my special report later on this hour. and later, a slew of suspicious trading on a number of bank stocks ahead of next week's earnings. we'll break down the action and tell you. first, we start off with an industrial-sized problem in the market. honeywell sinking more than