y>>eah. >> how are you going to make shower that you're on the same page as this president what have you said to him about the need to know what he's thinking and where he stands as it relates to policy >> listen, i know -- i'm not going to speak on behalf of the president. i have a close relationship with him. sarah has a close relationship with him and i think it's super important for him to let him express his personality. it's been a very successful life experience for president trump to be president trump. and so let's limb do that, and let me just finish, and, you know, let's see where the chips fall and when something happens that you don't like or you'll take you'll take to me and sarah. >> do you plan to meet with him every day and do you have oval office prim lengths? >> do i plan to meet with him every day and -- listen, i don't want to -- i'm not one of these people that need to have unnecessary face time with the president, okay, but i do have oval office privileges if that's what you're talking about, and i do have the opportunity to meet with him because i'm going to be

his comms director and he told me he's putting me in charge of this and i want to make sure i'm linked to him and syncopated and i'll meet with him but i don't want to waste his time and sit in the oval office unnecessarily. >> thank you >> thank you, anthony. >> hanks, guys. >> thank you obviously i would have been happy to stay up here all day and continue to exhaust all of your questions, but, one, i figure i probably should answer a couple today and also the president has an event here shortly so i want to try to work through as many as i can with that i'm actually going to start with jeff mason since i believe it is maybe your last day and my first, so with that, jeff, take it away >> thanks. >> can you talk to us a little bit about how this was -- how this will a -- this change will

affect the press office, and can you speak a little bit for sean how he's feeling and how he took this news and how he made the decision to resign. >> you know, i'm not geronioing speak for sean in detail i can say that he understood that the president wanted to bring in and add new people to the team, and sean felt like it would be best for that team to be able to start with a totally clean slate, and i think -- i want to echo what anthony says i think it speaks volumes to who he is to be willing to do that and allow anthony to come in with a brand new starting place, and i think, you know, he's served the president loyally and admirably. he's going to continue to stay on for the next several weeks through the transition, and i'm sure he'll be happy to answer some of those questions directly. >> sarah >> first of all, congratulations. >> thank you. >> onthe job can you clarify where the president stands on the issue of pardons.

is he considering pardons for figures in the russia investigation and does the president believe that he has the power to pardon itself >> look, i'd refer you to the comments that have already been made by the outside counsel in terms of their actions the president maintains pardon powers like any president would, but there are no announcements or planned announcements on that front whatsoever. >> does he believe he has the power to pardon himself? >> i don't have anything to add besides what the outside counsel has said. >> in the "new york times" he raised questions about robert mueller. does he endorse his legal team's efforts to undermine robert mueller's credibility? >> again, the president has absolutely nothing to do with any of the allegations that are being made i think he's maintained that, and he wants them to complete their process as quickly as possible so that we can move on from the ridiculousness of all

things russia and rush fever. >> but to the question that i asked. does he endorse his legal team's efforts to undermine the credibility of the special counsel? >> i'm not aware of those details and -- and that's something you would have to ask his legal team i'm not part of that process. >> on health care, what does the president want the senate to vote on next week? >> as mark short stated earlier this week and we've repeated many times before, the president's preference is to repeal and replace obamacare, and we haven't been shy or quiet about that, and those intentions have certainly not changed john >> how much arm-twisting is going on vis-a-vis the health care bill in the vice president had a lot of conservative groups over today those conservative groups announced that they will actually be scoring votes next week on the motion to proceed which i believe is unprecedented. >> i don't think anyone here has made a secret that this is a big priority and that congress should do what they have been talking about for the last seven years. it's time for them to get in there and repeal and replace

obamacare and these groups recognize that their constituency that support the groups that they hav certainly recognize that, and they are supporting the mission of their organizations and pushing and putting pressure on members to get the job done. nothing beyond in a. >> just about the organizational structure now that anthony is coming in. the press secretary, the comm secretary used to be pretty much co-equal reporting to the chief of staff will it remain that way, because there wassome move towards making the communications director sort of a deputy chief of staff and then the press secretary and the comm director would report to that person so do you still report to reince or do you report to him >> i think that anthony said it better than i can in this capacity is we plan to work together as a team and certainly our goal is to work together to promote the president's agenda and to do that not just with the two of us, but the entire press comms' office as well as the white house staff. >> do you report to him or do

you report to reince >> we all serve at the pleasure of the president. >> my question is for you. number one, when you talk about -- there were comments made by senior administration official this morning on television talking about the motivations of people who are part of bob mueller's special counsel investigation. do donations to a political party if it's not the president's party, does the president believe that disqualifies people? >> i don't know that we're putting out a litmus test. questions regarding that i would direct you to the outside counsel that's running that part of the process. >> does the president have confidence in his national security adviser >> i have no reason to believe otherwise. >> the president clearly doesn't want -- doesn't want special counsel to look into his finances is there anything the white house can do to stop this? >> the president doesn't want to move beyond the scope and

outside of its mission, and the president has been very clear as have his accountants and team that he has no financial dealings with russia and so i think we've been extremely clear on that. blake? >> last time when it became apparent in the house, the first go-round on the health care bill there, that it was going to fail, it was pulled at the last minute, within the last hour or two. when you look at both the repeal and replace potential and the repeal only potential, the numbers suggest that they don't have the votes and it's set up to fail. why the does the white house believe this time around that a vote should proceed? >> again, we're continuing to be focused on repealing and replacing obamacare, and we're not going to stop until we can continue to move that forward and get that done. not only have we wanted to commit to that, but frankly a lot of the members of the senate and the house have not only committed and campaigned on that and it's time for them to step up and get that the done. >> should a vote take place on some sort of a bill one way or

another? >> i don't think you can repeal or replace obamacare without a vote so i think it would be a pretty necessary part of the process. john. >> thank you, sarah. i just want to get something straight earlier in the week you indicated the white house was not opposed to outright repeal and then based on your remarks today and mark short's two days ago, you seem to favor repeal and replace. does that mean you're against the outright repeal billthat congressman biggs has introduced. >> not against, but as mark said earlier this week our preference is to repeal and replace >> two questions for you can you take us through the process of how the president decided to hire this new communications director, anthony scaramucci and moving forward what will his role be in terms of objectivesthat the presiden wants him to meet? >> as anthony said, he's known the president a long time. he's been a loyal supporter of

the president's, and anthony is somebody who has come from nothing and built an incredible -- i think several incredible companies, and he's one of the most successful smart people that the president could put on his team, and the president recognized that and wanted him to be a part of this process i think very early on. he was very strong advocate throughout the transition, and this has just been part of the process to bring him inside the white house. >> just to follow up on rob mueller. does president trump have confidence that robert mueller will conduct a fair investigation? >> you know, at this point i don't have any reason to see otherwise but i've not had a chance to ask the president and i would want clarity from the president before i comment. >> starting january 20th this administration has cycled through -- has seen departures of the deputy chief of staff, communications director, press direct and what does that say

about sort of the efforts to staff up this administration at the start? what has the president learned about his team, about himself as president, and can you explain sort of that very high turnover rate that we've seen over the last six months. >> you would have to ask the president what he's learned in that process, and i can tell you though i think what we've all learned in that process is working together and working to accomplish the things that the american people would like the president to do is our focus it's what we come here every day to do. we're a lot less focused on the who but the what and we're going to continue to do that every single day. >> you don't see it as chaotic turnover >> no, i don't if you want to see chaos come to my house early in the morning when the three kids are running around this is nothing. >> news this week concerning the attorney general and the resignation of mr. spicer could have the effect of alienating or demoralizing the trump

loyalists, both in and out of the administration. >> well, i think that trump loyalists particularly within the administration and certainly across the country are energized by the accomplishments of the president in the first six months stock market is at a high, jobs are growing, regulations are coming off the country is becoming more secure the border is becoming more secure immigration is down. i think we have a lot of things to celebrate, a lot of things to be excited about, and i think our morale is pretty high. >> take one last steve. >> first of all, congratulations. >> thank you. >> wondering as you approach this new role with excitement, with trepidation, with apprehension, and if you could reflect on these last six months on what you've learned about how it is to speak for the president. is it a tough job? have you found it easy >> i think it's probably one -- certainly professionally one of the greatest honors that anybody person could have to work in any capacity within this building and to get to do that up here in such a public way and speak on

behalf of the president is absolutely an honor and something i will cherish and hope to do my very, very best every single day and be as open, honest and transparent with you all as humanly possible and will always work to operate at the highest level and certainly with the most amount of integrity as you can, and with that i think that's a great place to end today, and the president will be having an event here shortly thanks so much, guys. >> with that sarah huckabee sanders now officially the new press secretary at the white house with the resignation announced today of sean spicer and the appointment of anthony scaramucci as the new director of communications for the white house. we welcome you to "closing bell" here at the new york stock exchange i'm bill griffeth with kelly evans, and i will admit. anthony scaramucci is no stranger to cnbc viewers he's a former "fast money" trade, among other roles he had

on air here. it is a bit surreal to see him as the new director of communications at the white house. >> he seemed to be relishing the role. >> he did, that's for sure let's talk about the impact of his appointment as the new comms director at the white house. a former democratic senate aide joins us from pittsburgh and terry haines joins us from d.c terry, what do you think anthony talked about what he referred to as, and i forget the word he used, but there's a disconnect between how they view the president at the white house and how the press views the president. how do you close that gap? >> well, first of all, thanks very much for having me on i appreciate it. in one sense no one should be surprised by this. this is a president who in his campaign went through this -- went through the campaign with three different sets of campaign senior officials so it shouldn't

be a surprise that he's trying to change somebody out early on. to your point, bill, i think there's certainly a disconnect and that's putting it mildly between how the president, the white house and trump loyalists view what's going on in the administration and how the press does mr. scaramucci has a big job in front of him in doing that, and i expect him to do it with a combination of the smoothness that you saw there but at the same time i think a new combativeness. >> well, he did call it a disconnect he also called it an arbitrage. >> that was the word he used >> we have that bite let's take a quick lesson. >> i think there's been at times a disconnect between how we see the president and how much we love the president and the way you view the president and we want to get that message out there, and to use a wall street express.

there might be an arbitrage spread between how well we are doing and how well you think we're doing and we're going to work hard to close that spread. >> you said with him at comms director you have a message that knows how to make business friendly arguments, and he seemed pretty effective in his new role at least today. are you confident that he'll be able to kind of marshall this whole endeavor and what changes do you think it will imply >> well, first, again, thanks for having me on the first thing. he has two jobs, right the first is to restore the relationship with the press corps, and as you saw today he has a very natural easy way of going about him. he went seamlessly from his childhood, at let execs ploits to teddy roosevelt to dodging a question on russia a number of times. i think he has a comfort level in a press room and ability to present himself. that's something that has been lacking and he'll do that. >> but make no mistake, tyler. the president is in charge and several times anthony said i don't want to answer that until

i've consulted with the president, for example, when asked if he could commit to on-camera press briefings every day as has been the tradition until the last six months or so, he said i can't commit to that until i speak with the president, so as charming and as forceful as anthony can be, we know who is in charge at the white house, don't we? >> and i don't think there's ever going to be any doubt, but i will also say the second point and i think what's also really struck me about his appointment is that, you know, in the last six months we're talking about a business community that's used to seeing things on a quarterly basis and we had ear two quarters in and it's been an underperformance, i think, and what my expectations are is he's brought in to focus not just the press but also the -- the white house itself on some of the biggest things, bringing in the business community and making sure folks don't leave and folks like jamie dimon are saying it's almost embarrassing to be an american abroad.

his job is to say, look, we're going to show some ws, and i really think that we're going to see the next little bit here, as health care goes through, but we'll see debt ceiling we're going to see tax reform and i think we're going to see financial regulations be pumped up in priority for this white house in the very, very near future >> so tyler is already talking about quarters next the white house will be issuing forward guidance and, you know, talking about dollar headwinds. let's bring in ieamon javers he was at the white house. >> reporter: i was sort of marveling on the difference between the first days of sean spicer and anthony scaramucci. sean spicer came in in the wake of the inauguration and his first moment in the white house briefing room at the podium was lecturing the press about their coverage of the inaugural crowd size, holding up graphics, showing that the president's crowd was in fact bigger than obama's crowd. that moment ofintense confrontation and frustration

with the press, and today you see anthony scaramucci coming in saying repeatedly i'm going to get to everybody, want to answer every question and calling on every single outlet no matter the president has teed off on that particular outlet or not. this has been an administration very much at war with the press and the press that covers it on a day-to-day basis anthony scaramucci coming in to lower the temperature. a much more friendly demeanor on the surface from this white house. we'll see whether that means any changes behind the scenes in terms of access or commitments to on-camera briefings and all the other things that the press corps loves to talk about, but right out of the gate anthony scaramucci really presenting a much more open and friendly face to the press corps and to the country at large, and the second audience there was donald trump hisself. anthony scaramucci knows that donald trump is watching these press briefings. he turned to the cameras and spoke directly to the president on several occasions that's something that sean spicer never seemed to really warm to, that sense that donald

trump was watching seemed to annoy or bother sean spicer in a way that it doesn't annoy or bother anthony scaramucci, at least not yet, guys. >> well, as we now, anthony has a good relationship with donald trump, the kind that sean spicer never had. >> he talked about donald trump busting his chops a number of times on comments that scaramucci in the past and all is forgiven except that the president remembers every single negative thing so the president has a long memory. >> terry haines, as smooth and as charming as anthony scaramucci can be, he's built not one but two very successful hedge funds over the years, the most recent skybridge capital which he's in the process of selling right now. you know, this is a tough business on wall street, and he can be very tough at times as well, and i suspect he's going to have to be when the rubber hits the road. there are times when there are skirmishes with the press, don't you think? >> oh, sure.

and, you know, i thought he did a good job of projecting a little while ago, both the ability to -- to talk to the press and turn the temperature down as eamon and tyler have both suggested but also hinting at that, and, you know, what this white house needs more than anybody else or anything else is, you know, one or more aides who are willing to speak truthfully to the president about how -- how best to communicate a message it is hoped that scaramucci will be that person the other thing i want to point out is that there's been a lot of talk this week about the skirmishing as we characterized it yesterday in the markets over -- between trump and mueller and the russia investigation and all the rest it shouldn't be missed here that scaramucci's appointment comes at a time where the white house is pivoting very forcefully towards tax reform and republicans are as well, and -- and, you know, clearly here's

somebody, as you pointed out, bill, who is very much able to talk the language of wall street and put things at the same time into a context that both wall street understands and probably average americans understand about the benefits of the policies going forward so, you know, that's a good thing for them if they follow through on it. >> terry, real quickly, just to follow on that do you think that these reports for months now, that there was more of a shake-up coming in the white house? is this the shake-up that was being referred to? is there going to be more to come >> oh, goodness. you know, i -- i will leave you with what i started with this president had three different senior teams in place during the campaign. i would not be a bit surprised that the president continues to -- to roll through and modify his staff and his start requirements going forward, at all. >> before we let you go, eamon, can you give us a little color on the -- on the mood there

among the white house press corps with this transition from sean spicer tore a sarah sanders and with anthony scaramucci in charge now. >> reporter: well, look, i think the mood has changed dramatically over the course of the day. there was surprise early in the day when this unfolded and there was some confusion as we tried to figure out what exactly was going on and who was in and who was out and as scaramucci's briefing was on you saw amusement. scaramucci is a very funny guy had a lot of one-liners, scaramucci saying i'm so short that i can't help but see the glass is half full, sort of a self-deprecating remark of the type we haven't often heard from the podium here at the white house so i think there's an openness of the press corps to work with this new regime. on the other hand, i think there's a commitment by the press corps to get things like on-camera briefings, more access, the president on the record, answers to questions about russia and other things. there's just an inherently confrontational relationship between the press that covers the president and the staff that

tries to protect it. >> all right eamon, thanks. let you get back to work tyler and terry, thanks you both for joining us today. >> thank you appreciate it very much. >> thank you. meantime, as we watch the markets, the dow lowerbury about 50 points. the s&p dipping 4. european markets were substantially weaker the german daxx and the nasdaq after a ten-day win streak is down 11 and the russell is down 1 right now. how about some of the dow components, ge and microsoft lower. ge reported earnings before the bell they have disappointed some onlookers, even though they did beat, and yesterday after the bell we had microsoft, of course seeing more negative stock reaction than positive post earnings and, in fact, mike stoly is with us and has been following the trend. michael. >> pretty stark so far at least in the first part of earnings season. it's been a very good earnings season based on the headline numbers. 9.6 year over year increase based on the numbers being reported and the remaining estimates for the second quarter. it will be over 10% if you

exclude ge because it's such a wait on the growth rate. why do you have a negative stock reaction look how negative it is. the one-day response in the company's reporting so the companies that have beat earnings, you're seeing less than a 1% first-day gain in the stock price, and today you're actually seeing some of that in a decline when you have it beat if you miss earnings you are punished almost 5% average first day beat and if you're in line you still lose and all eps, all companies reporting, have seen an average of a 1% decline. what does this all mean? it suggests to a large degree of good was priced in and was expected and at the second half of this year the stikes are a little higher in terms of year over year growth rates because it's expected to grow and the second half of last year was stronger than the first half so i think that's our takeaway.

i will point out, guys, this is not that unusual for earnings season very noisy in terms of the response and sometimes you get a tale of two earnings season so next week we have a lot of heavy slate and now people are leaning towards thinking everything is going to be sell on the news. >> and then retail comes. >> yeah. >> interesting to flip that all upside down. michael, thank you. >> let's get to our closing bell exchange gene todd from first trade and keith bliss is on the floor here at the big board and jack bouroudjian joins us from ucx at the cme in chicago keith, you and i were chatting earlier. how do you think the stock market has weathered the earnings and now especially as we get to a real flood coming next week? >> i'm almost of the mind, bill, it doesn't matter, when you take a look at what's going on in the stock market this year in 2017 and for the last five years, sure. earnings play into it and how we may trade from one day to the next, but the overall trend has really not changed when you take a look at you will at major

indexes. all above the moving averages, 50, 100, 200-day and earnings will, of course, as michael was just pointing out, will punish some companies, and it also plays into the underlining story of how companies are selling off if they miss or equal expectations a little more than we've seen in the past that is not unusual when we're trading at all-tie highs and the market is on a knife's edge. you'll have the companies get punished earnings season will trail through and tech will start coming in hard and heavy next week and that's 24% of the market we'll have to see how that trades but i think it will be very well and this market should keep moving up. >> gene, you're focused on the small caps for some opportunity here, right? >> i think small caps will do really well starting in q3 and q4 and maybe not so well in q2, but there's something called the small business optimism index, and that reading done at the end

of june stood at 104 that's 10% higher than it was last year, so small business owners, small-cap companies are feeling pretty good about the environment right now and, man, if we can get some tax reform or deregulation, i would expect those stocks to really take off. similarly to what we saw at the back half of last year >> meanwhile, jack, we've been watching the dollar continue lower just this week and today against the euro it's at at two-year low. the dollar index is at a one-year low and it's showing no signs of finding a bottom yet. what do you make of that and where is it going, do you think? >> you know, bill. that's been the big question hanging over the market these days the real question is it the dysfunction that people perceive coming out of d.c. and maybe, you know, with muc there, the only person real unhappy is melissa mccarthy and the "snl" markets and going past what's happened in the bond market. pay attention to what happened

in the last two weeks. we were up around the 2.40 in the ten-year and everybody was talking about the death of the bullet market and now we're down to 2.23, people are coming back into the bond market there seems to be a disconnect that's manifesting itself and it's growing between the stock market and the bond market. you know, you'll hear people discounting that, there will be naysayers about that, but this earnings season is a little sick for stocks, and what i mean by that is stocks are not acting the way they should, and we are seeing asset allocations, especially out of germany. we saw this morning. people lightning up and getting into the bond market that's a precursor to something big their might be happening in another month. >> and we'll have to wait for another time to talk more about that our time has been cut short a bit today, but we wish you a good weekend thanks for joining us today. >> thank you. >> meantime, visa, the best performing stock in the dow today after the credit and debit payments processor reported

better than expected earnings and credit suisse was prompted to raise its price target on visa to $112 from 105. trading at just 11 and change today. and one of the biggest gainers in the financial sector,fifth third bancorp, thanks to higher net interest income and improving credit quality, though revenues did come in slightly weaker than wall street was expecting. that stock though up 2% today, kelly. >> we have half an hour to go here, and, again, we've broken a string of gains for nasdaq see if anything turns around and some declines following on from europe's session earlier today dow down 56 and s&p down 4 and nasdaq down 11 amazon under fire with reports of a new probe by the ftc. coming up, find out if that could impact its deal to buy whole needs. >> being hailed as one of the best films of the year but can christopher nolan's world war ii film" tailor made for imax

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to improve short-term memory. prevagen. the name to remember. welcome back time now for a cnbc news update with sue herera. hey, sue >> hi, guys. here's what's happening at this hour attorney general jeff sessions is asking so-called sanctuary cities to reconsider their policies he traveled to one of those cities, philadelphia, to defend

his department's tough enforcement on immigration law >> i urge the city of philadelphia and every sanctuary city is to reconsider carefully the harm they are doing to their residents by refusing to cooperate with federal law enforcement, to rethink these policies. >> wisconsin egovernor scott walker touring the city of arcadia to find out firsthand the extent of the damage caused by flooding. he talked with officials and city business leaders at ashley furniture headquarters and was told that that company lost $1.5 million in production and is running at only 30% capacity. >> and 10-year-old annie goldman, a huge "star wars" fan, was disappointed when they unveiled their "star wars" themed version back in 2015 without a female character made her opinion known in a strongly worded letter to hasbro the letter went viral and hasbro updated the game to including a

rae token. some retailers had adequate version and -- adequate inventory and didn't take it hasbro will send a rae token to anyone who requests it. >> war movie "dunkirk" is hitting theaters this is week. julia boorstin with a look at how much money this film might bring in >> reporter: in a summer dominated with sequels, this firm "dunkirk" is an original and expectations are very high for christopher nolan's greatest film the film grossed $5.5 million in the shows in the u.s. putting it on track to gross more than $40 million for warner brothers at the u.s. box office for the weekend. doesn't sound like a lot

war drama tend to open smaller and perform well over time and this film has a rate of 92% positive rating from critics on rotten tomatoes. not just warner brothers which spends $100 million plus to make the film that has a lot riding on the movie dunkirk is imax's widest u.s. release ever, playing on more than 400 screens, plus an additional 760 screens worldwide. and the film was really tailor made for imax. a record 70% of the movie was shot with imax cameras nolan says that dunkirk in imax is like vr without the goggles, and "dunkirk" is the widely released in 70 millimeter which is the highest quality in 25 years. with the u.s. box as of down 1% so far this year there's hope that "dunkirk" showcasing the large format will revise interest in movie going sort of

like 3-d did a decade ago. i'm going to be seeing the movie in imax. worth noting that imax tickets are more expensive and that's another factor that could boost the box as of higher guys, back over to you. >> have you seen it, bill? >> maybe i'm very intrigued to see it, yes. >> thank you, julia. >> tune into "closing bell" on monday, everybody. we'll break down the numbers from this weekend's becomes office with imax ceo richard gelfond. 20 minutes left in the trading session here the dow is down 54 points. verizon denying claims that it's slowing down customer speeds of netflix and youtube. we'll talk about whether that could force content companies to pay up to internet providers later on "closing bell." >> and you may know him from "police academy" and "cocoon" but actor steve guttenberg making his way over to set now is playing a businessman in

hbo's "ballers" and he's here to tell us about his latest roll. that when we come back yeah. like changing up the celebrity at the end to someone more handsome. and talented. really. and british. switch from cable to directv. get an all included package for $25 a month. and for a limited time, get a $100 reward card. call 1-800-directv.

the last time you saw him on cnbc he was here for his latest movie on sci-fi, but now steve

guttenberg the star of hits like "police academy," "cocoon" and "diner" is back with a new role in the hbo comedy "ballers" which returns on friday. >> meet wayne hastings, the one and only. >> pleasure to meet you. >> mr. anderson says great things about you. >> i used to watch your games with the old man. >> you were a serious force. >> i like to think i can still light them up. >> you can. >> i'm a big fan of your hotels. every time i'm in vegas i like to heavily contribute. >> and we appreciate that. >> he plays a conceited, obnoxious las vegas casino magnate billionaire. of course, you could get steve guttenberg to play that role. >> that's tailor made for you. >> didn't give you permission to speak to me. >> i have a great part in this,

a real self-important guy who was born on third base and thinks he hit a triple and i've got a chance to be on "ballers," such a great show, so well written and well directed and act the. i'm very lucky >> we have like tracked the steve guttenberg fund, by the way. do you remember you came on and you had stock picks for us the last - >> of course. >> well, guess what. we looked to see how they have done. >> look at some of them. >> you liked wynn resorts, legg mason and the cohen & steers real estate investment trust. >> wynn resorts is up 37%. >> oh, my god. >> legg mason up 18%. >> cohen & steers, that's why you diversify. >> you never know. >> probably paid a good dividend. >> wynn was a foreshadowing of your new american role >> i'm hooked on american

foonds. >> you're not scared of interest rates going up and bonds being bad. >> i think everything is liquid. first of all, there's one guy in switzerland right now pulling a couple of levers so it really doesn't matter what anybody here is doing. >> do you trade etfs >> a little bit. i keep my hand in it i'm a very conservative player because when you're an actor you never know when you're going to work again, so it's my family's money so i don't play with it. i don't take anything for 12%. very, very few of those, senior investment companies and stuff like that, i like to dabble in, and i start -- i'm actually trying to do green stuff now, but if i make 4%, 5%, i'm thrilled. >> does that help you with your role as this -- this billionaire casino magnate >> you know, the fellow i'm playing is a guy so pretentious and thinks nothing could ever hurt him and that's the guy you'll see get fined so i love to play this guy a really well written character and the whole show, if you've ever watched it, so perfectly

storied and has such a great plot line. based on a myth, the jason campbell school of story telling and it really works well so lucky to have the job. >> what was it like working with duane johnson? >> well, duane is such a gentleman. he's really smart. he's really refined, knows the business and is a really good actor. he listens he's a family guy, attentive and really well balanced. >> do you guys talk investments? >> no, i wish i did. i know he's got a lot going on, and he's on the inside track, you go we didn't do that. >> what role will you play in a rock administration? >> me. >> yeah. what would you like to do? >> department of sanitation. that's all i want to do. get me in the garbage. get me in the garbage. >> clean up all the garbage. >> first i want to work for the government in the garbage and do a little blockbuster in the private sector. >> do you think he'd run for

president? >> him and tom hanks would be a great ticket you know what, he's a really smart guy and well balanced and his values, his character, has great integrity and that's what we're looking for in a leader, why he's such a good leading man. you're looking for the same qualities in a leading man same qualities in a president. >> you're so savvy about your money and your investments, when it comes to selecting roles, how do you weigh sort of the opportunity and, you know, the gravitas that something might have versus the paycheck >> just like an investment you smell it first does this smeal good, sound good ooh, tell me more and then they say we have this and warren buffett is coming. that sounds great. duane johnson is involved, that's great and then you hear about the writers, producers and directors. >> have you passed on -- have you passed on ones that didn't pass that smell test >> there's a great movie called "the secretary "why the were

maggie gyllenhaal, and i passed on that. i didn't understand it really smart. >> we'll talk more about that later. this is so against type for you though. >> yeah. >> is this guy a bad guy that you play in "ballers?" more fun playing a villain >> all parts are fun for me it's really great as an older actor to start playing the villain and the heavy and the d.a. and dad and grandpa i worked with a guy named alfred shake who was a great shakespereans actor who said the greatest thing you can do when you get out of your ingenue period is become a villain after you're out of the pretty stage. >> do you ever have a down day >> absolutely, and i fight the devil all the time wake up in the morning and the negative thoughts fly in and i go, no, that's not today. >> so important. >> going to be a great day. >> we love having you on, steve.

>> thanks for having me again. >> we'll see how your portfolio is doing next year. >> add a little american funds. >> all right. >> throw in a few for next year. >> steve guttenberg, "ballers," season premiere tomorrow night. >> sunday night. >> this is friday. >> sunday night at 10:00 on hbo. >> right. >> of course. >> good to see you. >> thanks, bill. thanks for having me i love your show >> we have 14 minutes to go. >> we do. >> i almost want to let him do it the dow down 21, s&p down 3 and nasdaq down 6. >> what in the world could this be, to stand in your guard, something you need in your portfolio? >> a look at amazon's growing

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the dow is down 45 points. joining us on the floor of the new york stock exchange, our friend who also never has a down day, david darce my fitbit told me i hit 10,000 steps one day playing golf and you're out there running a triathlon and you did well. >> thanks to my son. he inspired me speaking of americans, everybody wants to wish john sidney mccain ii the best. he's a big inspiration, and on that note we wish anthony scaramucci good fortune going forward. >> yes, we do. yes, we do i think july and august tends to

be a troublesome month with stumbles in t.19 the 0 the invasion of kuwait and 1997 the asian debt question and 2011 the -- the downgrade of the u.s. debt rating by standard & poor's, 2015, everybody was worried that china was going to devalue and slow down. in those months, august managed to lewis anywhere from 5% to 15%. that was the russian debt default month which had the impeachment crisis built in, august of '98, so august is the worst month for the last 30 years. down 1% for the s&p, 1.3% for the dow. we've had six days in a row, today the seventh, of closing below 10 on the volatility index, the vix below 10, so there's a tremendous amount of complacency, non-chalance. >> so i'm guessing that you're

saying on guard? >> gard. global growth is doing well. profits will slow down this quarter but s&p thinks they will go back up in the third and fourth quarter by 8 boston year over year and 12 percent year over year. up about 6%. the current forecast the "u" is ultra laotion monetary policy. mario draghi and janet yellen basically told the markets this week we won't hit the brakes we'll take our foot off the accelerator but not touch the brakes that's a positive now for now. the "a" is the agenda of congresses the u.s. congress and the chinese communist party congress in october they have three things they want ours is taxes. we need to address taxes and the get it straightened out here a little bit they have to basically reform the tremendous amount of debt in the financial system, the wealth management products. they have got to transform the

economy and they have got to globalize their financial system, okay so that's the "a." "r" is the record highs of the s&p technology index they made a new high over the old high of 2000 it's a much more earnings rich environment today than it was back then. you're talking 40 times earnings versus about 19 to 20 times earnings now. >> right. >> and the "d" is the dollar the dollar is down 6% and 10 against the euro and 15 against the mexican peso which has rallied when all of the trump worry began to dissipate so i think you want to stay with europe you want to stay with japan, and you want to basically rotate out of value into growth value has been a good area to be this year, but growth is people that can give you visibility of earnings that's the message that we want

to deliver today. >> there you are are i sense a little warning there from david as we head into the month of august. >> be on guard both hands on the steering wheel. not time for self-driving cars and autopilot. >> i'm with you on that one, my friend thank you. >> thank you. >> david darst joining us here. >> we'll take a break. closing countdown in just had a moment. >> and google is working on a new project to fight mesk toes we'll tell you about the tech giant's plans to debug the world literally, in the animal sense coming up. >> i'm with you. to keep our community safe. before you do any project big or small, pg&e will come out and mark your gas and electric lines so you don't hit them when you dig. call 811 before you dig, and make sure that you and your neighbors are safe.

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(bell ringing) [car tires screech] [bell rings] welcome back the nasdaq has been on quite a win streak lately. ten straight, but in the red only down six points as we head into the close bertha coombs has more for us. bertha >> reporter: investors not quite ready to dial it to 11 when it comes to the nasdaq's consecutive win streak it's going to indat ten. part of the big reason why is that you have big-cap stocks like microsoft down today in spite of better earnings microsoft, amazon both coming up

up at all-time highs so we're seeing a little bit of profit-taking and apple, of course, will be reporting next week that's going to be a big one new highs on top of earnings cintas an all-time high. on monday the big winner this week, bill, though, has been health care, the biotech index up about 2% for the week back to you. >> all right thank you very much, bertha. guttenberg is still here. >> good to see you. >> what about hennessey gas? do you like hennessey gas? >> i have no idea. >> all right thank you. we'll see you next year. >> see you, bill. >> where were we nasdaq, the ten-day win streak, the fever broke down for the day and for the week pretty good gains for the nasdaq and technology stocks. the dollar index hitting two irish -- one-year lows as an index, but the dollar itself a two-year low against the euro. as that just continues lower and a lot of that has to do with the

talk of strength in europe and what that does is it pushes yields higher and our yields were going higher but not this week the ten-year moving lower this week as we started the week around 2.34 we're at 2.23 and change and oil, what a weak volatility again, bob pisani. moving higher, above $47 a barrel until we got reports today that even though the rig count in the u.s. went down, opec production is going up, and that pushed prices down. >> yeah, and oil got hit -- oil stocks got hit pretty well dollar store is very interesting because the euro hit a new high for the euro against the dollar and you want to see what it will do to european stocks. all the exporters, when your currency high, tough on the exporters. look at the automotive stocks all down rather noticeably different topic. we had an ipo at the nasdaq. a distributor of pet suppliers, pet iq, they did really well,

priced at $16 at the high end of the market and that's one of the best successful ipos of the year the earnings picture here, almost at 10% earnings in the second quarter, bill, and that's the reason that the stock market is doing well. >> the dow going down 36 points today, but we get ready for a very, very busy week of earnings next week. we'll get you set up coming up on the second hour of "closing bell" with kelly evans and company. have a good weekend, kell. >> thank you, bill welcome to "closing bell," everybody. i'm kelly evans. quite a week here's how we're finishing up week on wall street. following some big declines in our this morning the dow dropping 36 points on the bell the s&p 500 under two points, a small decline for the nasdaq which broke its ten-day winning streak and the russell 2000 small caps down the most, nearly half a percent lower to 1435,

and certainly a notable one today is the weakness in the u.s. dollar. that index is back below 94. we're going to have more on all of this in a moment. verizon users were reporting streaming services like netflix and youtube and running more slowly what's behind the slower speeds and verizon's response to this we have coming up. joining me is senior markets commentator michael santoli and evan newmark on a friday and nancy tangler from heartman financial and cnbc contributor larry kudlow welcome to everybody, and michael, first of all, how much is this weakness keying on from europe we did have decliners. >> on the big selloff on the german index, those indexes are down 4%, 5% from the recent highs, a substantial pullback and the weakness in the dollar getting into people's heads, kind of a measure of a low metabolism for the u.s. economy, among other things, but this is the way the market behaves morning declines are fleeting

and we bounce and even on down days, it's down not very much. 40% of stocks are up even on down days and that's what we had today and by the way, the volatility index closed under 10 it's not going to be like this forever. this has been the character of this market all summer where you have a lot of offsets and when you have obvious weakness it's not across the board. >> visa was leading the way in the dow. ge, evan, a big dragger. plug power popping nicely today on the tie-up with walmart that's for the russell anyway. >> i don't even know what plug power is. >> electric cars. >> how about that. >> alternative energy. >> alternative energy in which case that's a pretty big piece of business to sign up and s&p, had capital one leading interest rates higher. >> i think the most interesting stock today was microsoft. >> because it was lower. >> because it was lower, and, you know, my -- i'm very cautious right now i've been selling into records i have way too much cash right now. i'm over 45% in cash largely

because i'm very nervous about valuation. now, that's not a reason -- >> you see microsoft as a canary in the coal mine, is that what our saying >> just that valuations are really stretched i new of a netflix popped so heavily and part of me was i've got to the short that stock. by the way, i don't advise anybody to do that it's always universally a bad idea. >> been tried many times. >> but the reason why, there's something about the valuations right now. we've talked, and what we've seen is selling some of the real strong per formers, so you look at the airlines, you look at something like southwest or ual, united airlines. it's -- it's those stocks are probably 7% to 10% off their highs and to me those stocks are up 400% in the last few years. >> yeah. >> something has got to give eventually i'm not going to say it's going to happen any time soon but it makes me nervous. >> the other wrinkle with the change-ups in the white house. sean spicer resigned as press secretary and wall street

investor anthony scaramucci named as white house communications director. >> reporter: we saw anthony scaramucci at the podium for the first time ever, bringing wall street swagger to the briefing room he was loose and open and said he'd answer every single question he went out of his way to present himself really as a team player here in this white house that's been so riven with factionalism as different sides try to gain dominance and favor with the president of the united states he was full of praise for reince priebus, are the chief of staff, who some have suggested might be a rival to anthony scaramucci here inside. he said he would have no problem working for reince priebus, the chief of staff but the president told him he reports directly to the president of the united states, a bit change in the protocol around here a little bit more careful in his comments about steve bannon, the influential presidential adviser here listen to what he said about steve bannon, very cautious and also full of praise for the

presidential adviser. >> i'm on the record -- i've been interviewed about steve i think he's one of the smartest people that i know i think he was instrumental in helping us win the election. he's got a strong personality. i have a strong personality. for me, i want to keep my head in the game. i want to keep my ego low and i want to work with steve bannon as closely as i possibly can i have a huge enormous amount of respect for him. >> reporter: the outgoing press secretary sean spicer offering his thoughts in a tweet a little while ago. it's been an honor and privilege to serve of the president of the united states, donald trump, in this amazing country i will continue my service through august so spicer will serve here for some period of transition. can i tell you i just ran into scaramucci in the press office behind the scenes here at the white house. i asked him how it felt to be at the podium for the first time. that can be a daunting experience for a lot of people to be on the world stage like that he said he wants sofia vergara or rulia roberts to play him in the movie. i said, come on, anthony, we're on the record.

he said that's okay. we want fun. we have anthony scaramucci bringing a different tone, much more light hearted and friendly. see if he can keep that up this is a white house at war with the press corps anthony scaramucci offering a bit of an olive branch today. >> eamon, stay right there nancy, i want to quickly get your take on the importance of all of this for investors. >> yeah. i mean, you can see with the market moves it just sort of slowed down and started to try to come back and to mike's point, yes, we've seen that in general. scaramucci talks our language. you know he wants to close the arbitrage between how the president is doing and how he's being perceived to be doing. that's something that i think investors will pay attention to. the message has been muddled, kelly, and as we begin to hear very specifically what is going on from executive orders to actual legislation being crafted, i think investors will see that cheerfully and hardly i would also say that scaramucci has better hair than julia roberts, so i'm not sure.

>> better hair than jumia roberts. >> that's hard to do. >> that's some hair. that is some hair. >> i'll have to process that nancy is an old friend of mine. >> hi, larry >> i was going to ask a really dumb question. let's get back to it is the dollar weak, or is the euro strong? maybe we'll get back to that because i have a different take. >> real quickly on that, larry, which has not been made a big deal about, the deficit. you know, it's not unusual to see that widening and a weaker dollar go hand in hand the movements over the last 24 hours have been kind of unusual and certainly it's been a big mover, you know, year to date. are we unwinding unnecessary dollar strength or is it possible that some of the weakness is feeding through from the weak deficit >> i like to measure the dollar versus commodities, including gold commodity baskets, gold. throw in energy. crb spots, i don't see any change in the last several years. i've seen ups and i've seen

downs. it tells me that the dollar is really stable, that inflation is really stable and that our financial system is really stable, and as far as the increase in the euro, a lot of people are more optimistic about the future and at the margins ver investing there. i don't think much has changed on that and not even anthony scare mutually is going to change it. >> do you have a sense, the pent has been approached for being the -- >> tom hanks might really work in the scaramucci movie. i like him better. may do great for some other players. >> i had to put that in. let me say some things.

>> and the any scare mutually is a self-made financial man and a big trump supporter, friend of mine, probably a friend of yours, too he was treaty shabbily in this position, offered a position hand knocked down in full view i tweeted against it he doggedly stayed loyal to trump, doggedly and had no position and he was always around i spent a lot of time in the west wing, the last two or three weeks, including time with the president. anthony is always around as onupbeat guy, very kudlow-esque, very optimistic guy and i love that about him and i think you'll see he'll be a very good communicator he'll go out, especially on tax cuts because he is a financial man and businessman and you'll see a lot of urgency, and i want to say this is one of the reasons he's in his position is he took out cnn big time.

>> yeah. >> hate to bring this up. >> which is easy to do when you say you lied about me. you have to retract it. >> that's correct. >> but when you're responsible for an entire administration's message. >> that's a good start you lied about me and now you'll have to retract it and he did it for several dates and the skult butt is that the president liked that an awful lot. however, someone has to speak in favor of sean spicer, old friend of mine, smart, tough, politically savvy central artery jifrkts okay, and part of sean's issue was there was so much contentious in the first weeks after the inauguration, and he had to fend that off wake up each morning and have a huge fight with your wife and that's -- in this case it's the media. >> i think we're making -- it's a story of the day and i understand why it's important, but in the scheme of things, certainly to the markets, what -- whether it's anthony scaramucci or sean spicer, whoever it is, there are much bigger issues in that

administration, much bigger fish to fry, much bigger policy issues. >> but the policy issues get to the heart of this whole thing. >> it does,and you might make an argument of why it might be a matter of consequence or not can you make the case that what they actually need is people comfortable with legislative affairs and people comfortable actually pushing laws on the hill as opposed to messaging. >> right. >> messaging hasn't been great. >> eamon, is there anything to add on that front in terms of getting the people and lining up the people who can really get this done? >> yeah, look. not easy to pass legislation on capitol hill as this white house has found out. they are not bringing in a legislative expert in anthony scaramucci they are bringing somebody in very confident in front of the cameras and will deliver the president's message. as i've been standing here i've been texting with a couple of white house officials saying nobody channels donald trump himself better than anthony scaramucci so they view this as a good start we're also learning a bit more about where this came from and one of the white house officials

just texting me that jared and ivanka trump were involved and very supportive of bringing anthony scaramucci in. so like so many things in this white house, this was also a family affair with that official texting me that jared and ivanka did some work to make it happen. >> nancy, let me bring you in real quickly on that. >> kelly, i would just say i wouldn't underestimate the value of messaging we see that as well on wall street with corporate ceos, being able to tell their story and deliver the message. i think messaging in this administration is hugely important. that's not a knock on sean spicer, to larry's point but remember larry's old friend ronald reagan, messaging builds demand from the bottom up and that's going to be important to this white house as they try to get tax reform done and health care. >> scaramucci was asked a question in that briefing which he didn't answer, what's going to happen the first time you come out and roll out your carefully crafted message and

the president wakes up in the message and tweets exactly the opposite that happened a lot to sean spicer they put him in a position with the comey firing where he had like 45 minutes to put a communications strategy around why the president fired the fbi director, a losing position. >> that was a self-inflicted wound, i agrew. >> reporter: how will scaramucci handle that will be interesting to watch because sometimes, you know, these pitches come in fast and hard. >> let me just say that was a self-inflicted wound, i agree with was just described. a couple of things real fast part of my meetings in the last two weeks including a great long meeting with the president is about messaging. gop has not done a good job of messaging on either health care or tax cuts, yet now the republican senators who stopped the health care reform betrayed their own party, and the reason the voters put them there and frankly if they all lose in primaries i'd be a happy

camper, but the president has now got to go on the task cut path my suggestion to him, frankly, and his top people, go in the oval office, a national speech, primetime, with teleprompters and set this thing up, the plusses, why we need these business tax cuts, why the middle class would be held and why productivity can recover and make a good 30-minute speech reagan did this twice in 1981 and he got his tax cut passed, signed in early august, so messaging is important but second point, please, this reporting by politico and -- >> you mean about the issues potentially, quote, unquote, between scaramucci -- >> that's all nonsense don't listen to any of that stuff. i'm saying something different. >> it's all nonsense >> serious business, they are reporting that the white house will go for a corporate tax rate

in the 20s, probably 25%, rather than what's on table at 15%, and i'm going to tell you right now that is untrue, that is untrue i just was with him, talking about three easy pieces, and -- and 15% corporate tax rail which he loves and stayed with it during the whole campaign at our request so who is pumping up the stories, utter nonsense, nonsense >> reporter: i would just say there are two immoveable facts about this presidency, right, and one is russia, and whatever the president did or didn't do there has already happened and mr. mueller, the special counsel, will either get to it or not that's really out of president's hands now because it's in the past, either happened or didn't happen the other thing that's immoveable is the president's personality itself this is a president who likes to have his aides mix it up likes people in conflict around him. he likes to boost this one, boost that one and sort of play them off each other because that puts him ultimately in control and it lets him know that he's getting the best possible advice

when he has people disagreeing around him that's not going to change, scaramucci or no scaramucci. >> as a good businessman. >> nancy, as a good businesswoman, leave us a sense of where you think the best investment opportunities are now, with all of this going on and all the valuation stuff we've been talking about, the dollar and everything else. >> thank you, kelly. i do think the weaker is dollar is going to be good for earnings no surprise to anyone potentially. i -- i'm looking for a nice little pullback, a little pruning so that we can take ourselves to the next level, but i'm not as concerned about valuations, though i acknowledge that they are on the high end. i do think there's still a lot of attractive places and the selling we've seen in technology i don't think that's permanent, and i think it's a characteristic of this market. it's been sector rotating for months, so i -- i'm still fairly optimistic. >> okay. she will keep her microsoft, evan. >> not a lot of selling technology i don't know what she's talking

about. >> well, they have these pockets. >> down 3%. >> does matt damon work for scaramucci i really want to continue this discussion. >> matt damon i'm with you on. the hair is pretty similar >> nancy, larry, thank you for joining us >> thank you >> we have a news alert on jpmorgan to get to sue herera, what's happening >> here's what's happening, kelly. the u.s., and this is according to a court filing, has decided to drop the criminal charges against the former jpmorgan traders involved in the london whale situation. those trade remembers javier martin and julian graut. it concerned concerned the whale case which resulted in a total loss to jpmorgan of $6 billion the u.s. government says the defendants live outside of the country. they have refused to defend themselves in new york thus, efforts to extradite them havebeen unsuccessful or are being deemed futile. this is the most interesting

though the u.s. says it is no longer believes thatit can rely on th testimony of bruno iksel, which is the former jpmorgan trader and colleague who talked to the government and implicated these two other traders. they are now saying, the u.s. government is now saying, basically that they do not see that testimony as reliable, so they are dropping the prosecution of the london whale case on these two particular traders. kelly, back to you. >> let's have a piece with the whole m.o. at this point. >> they are dropping the whole thing? don't you think that's big >> yeah, well. >> i think it was going to be an uphill prosecution. >> what does that mean they are dropping it? >> a five or six-year-old trade and all the rest of it, but it shows they don't have the appetite -- it's going to be uphill without relying on this one source's testimony a lot of, you know, conflicting stories about how the trade -- >> so the big government

prosecutions which cost bailed again. >> weren't they trying to put all the blame on jamie dimon as we saw with the libor, you name, it trying to pin down who is exactly at fault for all of this stuff. >> but they go ahead and use the power of the government and its bureaucracy this drives me crazy. >> understood. but that's a broad brush to paint. >> five, six, seven years. maybe they ought to pull back and assume that people, not all people i understand there are rotten apples fanned there are send them to jail but not all people in business and finance are bad. >> i don't think they can make the case that there's been overzealous prosecution of banks in the last decade. >> there haven't been that many cases that they have actually prosecuted and won. >> that's right, that's right. >> larry, you know, donald trump, he was going to clean out wall street, now he's got everybody in the cabinet now is a wall street guy. it's quite amazing what your man has done there it's amazing.

>> you've rendered him speechless. >> the only guy in goldman with ellen degeneres may not been called have i moved my job. >> waiting for you to show up on a friday at the white house. >> i'll make this case, my pal has made it before not all people in money and banking business are bad people, all right. >> scaramucci himself is making that point big bucks, lobbying government scrutiny hey, we're not talking about wall street. we're talking about amazon inside the national's capital it's becoming a big lobbying presence a look at amazon's growing attention inside the beltway the average american eats about 20 quarts of ice cream a year. we'll tell you about one shop on track to make $20 million from that, and we want to hear from you. reach out to the show using facebook, twitter or send us an e-mail

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welcome back amazon is facing more criticism from d.c. lawmakers following its deal to buy whole foods. in a recent interview senator

cory booker said consolidations helping by big tech giants like amazon follows more scrutiny following a report amazon spent $3.2 million on its lobbying in its second quarter has amazon become too big? joining us is david levanthal and tech editor at actionos, kim hart welcome to you both. >> thank you. >> thank you >> dave, is there lobbying spending high to you in an unusually high amount? >> as high as it's ever been for amazon request the question what they are lobbying on. what aren't they lobbying on it's net neutrality and tax reform and they want to put drones everywhere and add it all together and it serves to reason they will be spending more

amounts of money, a new congress, too, and you want great representation that you're having at the table in any and all of these discussions and that's why you see amazon along with other folks lob epping up doing 2017. >> kim, is there anything that you think regulators will seize on we spoke with a congressman last week he's concerned about the amazon whole foods effect on jobs senator cory booker, i'm not sure exactly what the substance of his issue is about this deal, but do you think that this one could start to run into some regulatory problems? >> i think that there is an increased attention being paid to just how big amazon is becoming you know, 10 or 15 years ago when it firsted, its main issue that it cared about was things like online sales tax and since then it's moved into a lot of new areas, not just an ebook seller before. as dave said it's moving into

drones and streaming service and announced the whole foods purchase and what you're seeing is lawmakers and other policy-makers are starting to see how many other areas that amazon is moving into and they are starting to say, hey, this seems like it's getting really big really fast is this something that we should care about, and i think that's also pushed along by just how big amazon and other major tech platforms like google and apple have become, you know, they are the highest market cap companies in the u.s. right now, i think it's starting to get a little more attention about shall we be paying more attention to how dominant they are and what that means for competitors in the market. >> michael, how dominant are they at least by conventional antitrust metrix we're talking about market share. >> right. >> and unless you describe the market as all of online retail and even there they wouldn't have -- >> there's nothing approaching monopoly power in any particular segment. there's a general vague sense that they are too powerful across certain channels and they

get criticism from two different sides. there's the group that says they are discounting prices from a list price. >> the ftc complaint. >> exactly. >> on the other hand, they are blamed for predatory price using the advantage in the profitable cloud business to drive prices too low for people to compete with, and eckersley how are they say? >> i have a question for dave and kim. given that historically the antitrust policies in the u.s. were always measured against what it did to the average person and what it did to consumers, a whole series of new tech companies where really frankly the beneficiaries of there have been the consumers? isn't that really amazon's best case >> and that's going to be a case that they are going to be making in a way you have lots of democrats who are saying, you know, this week, i don't know if this is really that great. they are making a case to the ftc, hey, we need to slow roll this here but amazon is playing

defense and offense and amazon is lobbying up in the way they are doing so right now in part because they want to make the case to not only lawmakers but also regulators that this is going to be something that's not just good for amazon but also good for consumers, too. that's why you pay the big bucks for big-time lobbyists that's why they have four former members of the house and senate on their lobbying roster which is dozens of people long, so add that all up together and they have got a pretty good team here, and one of the best teams in washington on the tech side of the ledger, it's a very significant force to say the least. >> a lot of times when you have the antitrust actions or scrutiny it's because a company is bundling different things together amazon prime, of course, is a bundle do you think they have to be aware of the possibility that they will put so many things into that prime bundle, if they had 100 million u.s. subscribers to prime that they are essentially going to have competitive behavior because of what's kind of included that comes along with a prime subscription. >> sure.

that's definitely a risk and something they are taking a look at i think as dave said, this is one of the reasons that they are really beefing up their lobbying sources. they have to tell their story and say why a bundle isn't anti-competitive and why it's delivering benefits for consumers, and i think beyond the benefits to consumers, one of the big things that policy-makers are going to start looking at is just the sheer amount of data that amazon has about its consumers. it has a lot of very loyal prime consumers, verk, and with every purchase they are gathering a lot of data about those consumers. google is dealing with the same kind of thing so it's not necessarily just the goods and the services that they are selling but also the underlying data that they are collecting while they are selling those services and what that means for consumers and how they are then going to use that data in the privacy implications of it as well. >> it's a great point. it's worth mentioning just last night, if you use amazon music, it's 8 bucks a month instead of google and by the way you can

get a bare-boned version is it like that you're choosing this and it came to internet explorer by default? >> that's going to be the question does it matter once you have the install base of amazon subscribers and it will be even more so for things that are thrown in, that are essentially free and you can't have a competitor possibly make it economical to provide it for free >> i think the biggest risk here is probably less on what washington actually does and more to the stock price which in the scheme of overvalued stocks. >> that would solve their washington problem, too, by the way. >> up there on the big -- the big list of -- >> are you shorting amazon >> never, never. i wrote a piece about 12 years ago, ten years ago about, you know, my unhappy experiences shorting amazon. i put -- i put netflix in the same camp. >> at least you gave it up back known. >> i was smart enough to figure that out. >> thanks for joining us have a good weekend. >> thank you. time now for a cnbc news update let's get over to sue herera.

>> here's what's happening at this hour, everybody security footage from turkey showing people running from cafes and restaurants and the hotels the moment the earthquake hit that area earlier today. the 6.5 magnitude quake killed two people, injured 500 more in turkey and also in greece. after the quake hit, a small tsunami also hit turkey's coast. the british parents of critically ill baby charlie gard have been told by a hospital lawyer that the results of their son's latest brain scan makes for, quote, sad reading, end quote. the lawyer broke the bad news at a pre-court hearing in londonch the hospital believes the child's brain damage is irreversible and wants to end life support the parents disagree they want him brought to the united states for treatment. a federal judge giving preliminary approval for an $11.2 million settlement between the marital infidelity website ashley madison and the users who sued after hackers released

their personal information a final approval here is scheduled for november 20th. and take a look at this. a man in southern india played the guy tar in the operating room to give doctors constant feedback as they operated on his brain to treat a rare neurological disorder. he suffers from musician's dystonia which causes involuntary and painful spasms of the muscles it's unbelievable, that video. that's the news update this hour. >> i'm watching the video, and i have real hand problems from finger picking, so i'm thinking -- >> there you go. >> might be your future. >> i don't know if i really want to go on the operating table like that. >> let's hope brain surgery is not in your future. >> i don't know if they are pain until enough for me to have brain surgery, the problems i have with my picking hand. >> impressive. meantime, the slowdown may have begun on the internet, that

is, on the wake of anticipated changes in the fcc regulations now reports that some verizon customers are experiencing slow speeds while using netflix what it means for consumers just ahead and dick sporting goods is offering top athletic brands like nike and under armour but the retail chain may be getting under the skin of both of the companies with a new product line that story and more coming up on fast take. chances are, the last time you got a home loan, you got robbed. i know-- i got a loan 20 years ago,

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>> welcome back. it's time for today's fast take and the first story up is the year's worth of tax bills heading for some hedge fund managers the tax bill could be $25 billion to $100 billion and maybe behind the slew of funds relocating to florida before year end of course, it doesn't have state income taxes and this could bail out connecticut and could affect markets if they are trying to harvest losses, guys didn't realize it was coming >> kind of a windfall, tax-deferred offshore money coming back and if they get repatriation of corporate profits overseas, it creates this kind of funny windfall for the government of the profits that accumulated overseas. >> i'm sure they will spend the money responsibly, especially if connecticut. >> i don't think too many people are feeling bad for the hedge fund guys having to pay their tax bill. >> if they do, they are trying to come up with ways, of course, to get around it. >> i read an interesting story, i think it was in bloomberg, about a house that went for sale in greenwich in 2007 and 2008,

$15 million. >> still on the market. >> just sold. >> sold for 5.5. >> yeah. >> my being is somebody has to pay the tax bill finally had to sell the house. >> betterman is growing a unicorp horn worth $800 million after its latest fund-raising had nearly $10 billion in assets management is the robo adviser here to stay >> i think it is going to be stand-alone startups like wealth front or betterment, or will it be vanguard is doing it, schwab is doing it look, $10 billion is a real amount of money. >> yeah. >> still a high valuation based on assets under management, and they are talking about down the road going public so it's probably one of the survivors. >> i've been investing with vanguard tore over 25 years now. i don't know why a platform like that -- >> because you're not a millenial. >> exactly. >> i know. >> you're betterment first. >> good branding. >> up next, facebook has applied for a patent for a mad lar

electromechanical device i don't think i said that correctly. what do you think about this another phone, they tried this before a home speaker what's the point of facebook trying to go physical? >> everybody seems to eventually experiment with it, even, of course, snap, snapchat in facebook sites, trying a camera device and seems like everyone thinks these electronic appliances. >> like a snap on snap-on. >> i'm not sure. >> are you shorting facebook yet. >> i can't talk. i'm done talking about stocks that, you know. >> have anything related to do with google. >> definitely done that. >> you couldn't short google because that would make for awkward conversations at home. >> that would be the natural hedge actually. >> you're getting me into a lot

of trouble. >> dick's launching its own sportswear line. caught my mind, not just aimed at the elite athlete in athleisure but if the grocers can do private labels and undermine the brands, why can't sports retailers do it too >> i think it just adds to the glut obviously under armour has been suffering, you know, almost too successful its brand was too ubiquitous on clothing, and it's more hurts under armour than nike because nike is still more footwear centric. >> i buy $3.50 t-shirts online so you're talking from the wrong guy. >> from amazon >> yeah, but not amazon's. >> when under armour's mock neck came out, changed my life in the cold winters on the lacrosse field and now i feel like it's a cool design. >> it's gotten xhodtized >> it has. there we have it up next, verizon denying reports it's been slowing the video feeds of netflix and youtube on

its network at a time when the fcc is close to overturning rules designed to prevent the likes of verizon from doing that we'll talk to a former fcc staffer about what's going on. my experience with usaa has been excellent. they always refer to me as master sergeant. they really appreciate the military family, and it really shows. we've got auto insurance, homeowners insurance. had an accident with a vehicle, i actually called usaa before we called the police. usaa was there hands-on

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can actually hold your business back? say goodbye to slow downloads, slow backups, slow everything. comcast business offers blazing fast and reliable internet that's up to 16 times faster than slow internet from the phone company. say hello to faster downloads with internet speeds up to 250 megabits per second. get fast internet and add phone and tv now for only $34.90 more per month. call today. comcast business. built for business. welcome back we snapped a string of gains -- snapped a string of gains today. small declines for that and the s&p which was down a point and dow down 30 weighed down by general electric today after some weak guidance and the russell 2000 down 6.5. meantime, verizon wireless subscribers are complaining about slow netflix and youtube speeds reddit users saying they are capping data on purpose and

netflix says it's not responsible and verizon is also denying the allegations saying, quote, we've been doing network testing over the past few days to optimize the performance of video applications on our network. the testing should be completed shortly and the customer video experience was not affected and joining us to discuss is adonis hoffman along with barry sein. barry, i'll begin with you do you take verizon at its word? >> they are increasing traffic from the limited i can so what they are trying to manage here but i don't believe this is a net neutrality issue. >> a buy rating on the company, 54 price target. >> correct. >> do you think net neutrality in general will be pushed back by the trump administration? >> i think it will be loosened and we'll move away from title 2, but the goodness is when i talk to the carriers involved, talk to a gentleman named james

schaefer who is the ceo of cogent, he said not an issue verizon is one of the good guys today. they are not blocking our traffic. so i think the issues that we had previously had been resolved i don't think we'll go back to blocking issues. >> adonis, the likes of netflix tried to raise the importance i think last week when they had a day of protest, if you will, where some of the websites you would go to and it would say here's what it looks like if we do away with net neutrality, and they are able to ration or change the way they offer internet service is this something that needs to be, you know, regulated as a public ustilt or fair for all the carriers who are doing this here or is it got to do cost-sharing >> the whole horizon of net true tralt, first of all, you've got an fcc chairman who does not agree with the current law of the land which is in the open

internet order and has teed up a new proceeding to look at those very rules as to whether title 2 is going to be the -- the appropriate statutory vehicle for regulating broadband, so we're entering a new era the second point i think is important to keep in mind is that every internet service provider has the opportunity under the current law to engage in what's called reasonable network management that means that they can look at the traffic coming across -- coming across their network and decide within reason what is going to work best for their customers and for their suppliers, and so that's -- i think we can look at, that and then the third thing to keep in mind, you know, that there's enough sort of blame to go around on both sides last week we saw twitter, for example, essentially throttling or doing away with content that they disagreed with over the day of the -- the net neutrality day

because at&t was blogging and -- and came out with issues that they didn't agree with, so i think, that you know, we're looking at now a time in which more and more companies are going to be challenging the practices, the three-core principles of net neutrality, no throttling, no discrimination and no pay prior authorization the fcc at this point, and this may change, that the fcc is not going to enforce those infractions until the net neutrality issue is finally resolved. >> michael, telecom has been the worst performer this year. has there been, do you think, an interruption in the business because of all of this >> i don't know about interruption i think it's general price pressure, right. you basically have the sense out there that unlimited and basically being generous to the consumer because of competitive pressures is just making it tough and also i think there's -- there's a bit of a move out of the yield stocks, so it's caught up i think in a couple of areas there. >> evan, same question is it fair for them to say, okay, well, wait a minute.

the customers all want unlimited data is it just up to us to completely build out fund and offer this or should the netflixes who take up so much of the bandwidth be contributing to that as well >> this is a heavily lawyered field where people are making their entire career out of kind of figuring out what's right and what's wrong the only thing would i point to, again, is valuation. if you are the verizons of this world, if you're somebody who built networks and you're basically just a dump pipe at this stage and you can't get any of that profits from it, and a company like netflix is sporting an $81 billion, $82 billion valuation right now basically -- >> off the rails, right. >> it must irk the heck out of you. >> barry >> sorry, adonis. >> barry, barry, go ahead. >> what the carriers are doing is they are virtually integrating. if they can't make money selling to you on unlimited, at&t is buying time warner, comcast consent decree with nbc universal expires in 2020 and

verez orrin talking about disney and comcast has been talked about with sprint. i think that's the future. you're going to see vertical integration and the carriers will be able to make money more than on plain unlimited which is not a very profitable way to run a business. >> final word to you, quickly, adonees. >> going back to the predictability, the carriers, the isps have a problem they are heavily regulated in title-2-and the edge providers, netflix, googles and apples of the world are not regulated at all, and their practices which everybody agrees are affecting consumers just as much in fact, they touch consumers in the household and over the mobile devices perhaps even more so than their isps, and so the call for some sort of regulatory parity here and the move away from title 2 on to some other salt try way to look at this is probably where things are going.

>> tech giant meantime getting into the business of debugging we're not talking about computer viruses, we're talking about eradicating zika we have the details coming up. plus, millionaires on wheels we'll have an inside look at the eng sissf odrus ck wh we come back. ome meet the ne. the new guy? what new guy? i hired some help. he really knows his wine. this is the new guy? hello, my name is watson. you know wine, huh? i know that you should check vineyard block 12. block 12? my analysis of satellite imagery shows it would benefit from decreased irrigation. i was wondering about that. easy boy. nice doggy. what do you think? not bad.

what do you think? 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 so we need tablets installed... with the menu app ready to roll. in 12 weeks. yeah. ♪ ♪ the world of fast food is being changed by faster networks.

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when you hear google has a new project called debug, you probably think it has to do with software, wu actually, it's about real mosquitos meg? >> hey, well, we're here in key west where they're testing a new method of controlling the mosquitos that translate viruses. they're releasing more mosquitos to try to control the pop lag, but they carry a secret weapon it's called -- a bacteria that when you release male mosquitos infected with it and they mate with females, their offspring can't hatch. they're releasing 75 of these infected mosquitos, they're trying to suppress that population meanwhile, 3,000 miles away in fresno, california, google is

doing the same thing on a broader scale. in a project it calls debug fresno first, they thought the robots how to automate the technology and make it more cost effective and efficient. they're also using computer visions where they can take pictures of every mosquito they're thinking about releasing, determine whether it's male or female and only release the males because it's the females that bite. they only want the males out there. rethey're releasing them to see if they can do the same thing. meanwhile around the world, zika still exists in smaller numbers. it's not spreading the way it was last year, but because we have them in florida and across the country into california, anywhere these exist, there is the risk that it could spread to these guys, so a lot of cool new efforts at work trying to

control this >> that's serious muscle power thank you so much. in key west there. i wouldn't want to be near all those. that's a little uncomfortable. speaking of bugs, how about food trucks they're turping into a booming industry with some serving up more than a million dollars in sales an kate at one of those in new york >> some trucks like this one have been b growing at a faster pace than traditional restaurants over the past decade, we'll tell you how and "csi bl.ng up after thbrk e eaop o longel [pony neighing] what? hey gary. oh. what's with the dog-sized horse? i'm crazy stressed trying to figure out this complex trade so i brought in my comfort pony, warren, to help me deal. isn't that right warren? well, you could get support from thinkorswim's in-app chat. it lets you chat and share your screen directly with a live person right from the app, so you don't need a comfort pony. oh, so what about my motivational meerkat? in-app chat on thinkorswim. only at td ameritrade.

and i'm an arborist with i'pg&e in the sierras. the drought in california has killed trees on a massive scale. any of those trees that fail into power lines could cause a wildfire or a power outage. public safety is the main goal of our program. that's why we're out removing these hundreds of thousands of hazard trees. having tools and technology gives us a huge edge to identify hazard trees. my hope is that the work we're performing allows that these forests can be sustained and enjoyed by the community in the future. together, we're building a better california. mobile millionaires, food trucks are proving to be very profitable for some.

kate has more from one of them here in new york city. >> hey, there, kelly they had no idea how successful, they launch a truck like this with a ton of new flavors and indpreed yents and the line remain ed all summer >> they also retailed at whole foods in california. preaching their flavors like honey comb they're also tracking -- they've never taken another dime now, over to philadelphia, marty lieberman useded the success of her truck using only mac and

cheese to launch a brick and mortar store she is bookeded up with catering events through 2018. >> it was only within the first few monts of being on the truck that our first catering jobs came in. which is an aspect of the business we didn't realize would be so lucrative, but u that's really where all the money was >> despite all of the success, they have one thing in common. in all of these big city, they say regulation is a -- to get a local license like lisa inside the truck has, it takes months to complete the training to get the license, so van says that's something you're taking into consideration as they continue to grow and expand kelly, over to you >> great toustuff. kate rogers here at the ice cream truck because i bought one at the store, it was expensive we want to get to the mail bag so we'll move on viewers have been chiming in on today's show, but we have tweets

to share one over who should play anthony -- he said i think michael san tolly should play him in the movie sfl we're from the same part of the world. you have too much cash, send it my way an i'll be happy to -- >> i was going to get that i meant relative to equity but i'm sticking by my ksh. >> we're putting that on a banner >> then steven e-mailed us one outstanding concern. we all pit stop at the pump. i don't like this because this is why we bring it up every time the market goes up

>> it's a real net benefit you still have those that does it for "closing bell." "fast money" begins now. >> "fast money" starts right nouchlt live from the nasdaq market side overlooking times square, i'm melissa lee. your trards are -- tonight on fast, general electric hitting its lowest level in nearly two years. as sales drop, what can turn the stock around plus, 13,000 is on deck for earnings next week and one trader thinks the name could be about the crashing down and later, the dollar sink iing to s lowest level in more than a year as the ur o spikes higher. is it a warning to the rest of the world? bu