speaking, growth will continue chart looks phenomenal >> cheap stock >> the cheapest of a very expensive group. >> momo bought it today. >> good holidays, again. happy new year same to all of you watching. thank you so very much that does it for us. "power lunch" starts now bitcoin tanking double digits at this hour. falling 40% with record high a wild and volatile week is the bubble already bursting final countdown, two full days to christmas how are the likes of u.p.s. and fedex dealing with the dulluge of holiday joy the cost of living forcing many to pack their bag s and wve good-bye to the golden state

"power lunch" starts right now welcome. i' i'm only slight movements and dow looks like it will end another week higher. what a year it's been. the s&p lower by 4 and nasdaq lower by more than 14. some of the big single stock stories. nike trying to drag the dow down the margins put had hit on weaker demand and cost cutting www too many ws, the wwe body slammed reports that vince mcmahon is selling shares to restart the old xfl. and san diego-based ignyta being bought by roche for $1.7 billion. president trump leaving the white house for christmas, but he signed the tax bill into law before he left and more companies now saying that they will give out bonuses to their employees as a result of that tax bill live at the white house with

more >> brian, that's right left the white house earlier today and the president is on his way to mar-a-lago where he will spend the christmas holiday. before he left, he took care of a couple pressing matters of business signing the cr the continuing resolution that will keep the government open until january 19th no shut down between then and now. there you see pictures of the president at his departure there. he is expected in florida later this afternoon he also signed the tax bill, sort of an impromptu signing and one of the things the president the way they reacted to the passage of the tax cut here's what he said. >> i consider this very much a bill for the middle class and a bill for jobs. and jobs are companies and corporations and you see that happening. corporations are literally going wild over this i think even beyond my expectations >> and to the president's point, take a look here at some of the

companies that have paid bonuses, raises or otherwise rewarded their employees with salary increases a huge list, including at&t, fifth third, boeing, comcast, nbc universal, the parent company of this network and sinclair broadcast, bank of america and on and on. a long list of companies enth e enthused about the tax bill, citing the tax bill in their decision to reward their employees. that's exactly what the president has wanted he said he has been surprised by the reaction from some of those companies so far this year it's gone beyond what he expected we'll wait and see what it brings because the president will come back january 19th they'll have that government shutdown dead line a big debate there over what to do to keep the government open there and on to the rest of the agenda, including infrastructure and welfare reform here at the white house. so, a busy 2017 and, of course, teeing up a busy 2018, asally.

>> eamon, thank you a crypto comeback of sorts at this hour tracking all the coin carnage. >> with all that volatility we learned that mike novogratz putting it on pause due to market conditions, although he says he's still current currencies now after surging to 20,000, bitcoin has below 13,000 guys, that's an over $7,000 move in the span of six days. bitcoin now down 40% since last sunday when the bitcoin future contract went live the selloff not confined to just bitcoin. bitcoin cash and among other crypto currencies are now down 20% in the last 24 hours when it pertains to bitcoin, though, there have been five separate instances this year when bitcoin has dropped 30% but for long-term investors, here's a silver lining

the 30% drop has been followed by an average 20% gain one week after. guys >> all right, seema, big move there. let's go down to bob at the new york stock exchange. bob, it doesn't appear to be systemic, i guess. doesn't seem to be impacting the equity market. i would imagine they're talking about it down there, as well >> the mania extends all the way to the floor of the new york stock exchange let me show you what is going on with the cme future. remember, this is only one week old. the contract there are price limits on it pauses that may or may not halt tradings once you hit 20% down, though, you can't trade below that you can trade above that you see that oval that i circled there, that's when it hit the price limit of 20% down a little after 9:00 for almost an hour, it did not trade above 20% and you can't go below that only close to 10:00 did you see it was starting to move up above

that those were the price limits and we've come off of those lows right now. the important thing, take a look at the cme contract for the whole week we've had huge volume today. almost 2,000 contracts that's 700, 800 would be an average. we had four, five times normal volume this is the same with the contract, as well. we had four, five times normal volume there, as well. so, what do you make of all this what we have is hitting price limits and extremely high volume this tells me that you're seeing professionals come in and sell their positions and they may be covering, putting taking off their short positions at this point. remember something, bitcoin is primarily driven by the cash market that is very, very important what we have here this week. we have talked about huge price swings 20,000 to 12,000 we see competing coins coming out and going crazy. we see talk of bitcoin etfs.

and the litecoin founder saying he was liquidating his holdings. let's put up bitcoin and the key point here is this is not driven by the futures market, it is driven by the cash market, even though that is the instrument we choose to focus on because that is a tradeable instrument. it is the cash market and you're getting enormous volumes here in bitcoin, as well as some of the other crypto currencies that are out there. so, my opinion is that you're probably seeing a lot of retail traders over in asia the ones that are driving this and then you're seeing people here in the united states in the futures market react to this get the sequence correct i think it's very important. guys, back to you. >> any clues, bob, whether or not traders here will get margin calls? the decline on bitcoin is steep enough >> there are things called maintenance margin on the cmes future contracts as well as the futures contracts. for example, 47% i believe was

the initial margin who had to put up at the cme and the maintenance margin is below that if you drop below and i think it's 43% below 43% that's in the account to cover everything, you could potentially get a margin call. so, yes, that is a possibility >> and they put it in very high margin requirements, relative to other assets for a reason. >> thank you and here is exactly why they did that and people like thomas who was extremely nervous about this and put very high margin requirements are looking fairly pressed and he did allow marg w higher margins >> thanks. joining us on the cnbc newsline "fast money" contributor brian kelly. great to speak with you. you sent out earlier today an e-mail which basically sort of recapped what we were seeing in terms of the bitcoin that we've seen in the past bitcoin has seen many, many

double digit declines in the past only to be followed by triple percent gains in the six months or so afterwards. why wouldn't this time be different because it feels like there's more retail investors and those guys aren't used to seeing declines like this. that's the incremental buyer here that brought us to the most recent record high >> well, yeah. i mean, the retail has been the entire buyer, not just the incremental buyers no institutions in this space. could this spook out some of the weak, absolutely the same buyer you had for a long time. i think what people need to know you get all excited when you double your money in a couple weeks. you have to understand that you can lose 50% of it at any time this is normal volatility for this market. >> normal volatility some people might accept that, but it might spook people further that they can't get their money out. if you wanted to sell right now because you think that this is it, it's very difficult to get

them coinbase right now and sell your position. >> yeah. >> if not impossible >> i'm sorry >> if not impossible to do that right now. >> i think the coin base is in post only mode there which means you can't trade there. this is early technology we've seen very similar thing during the internet bubble and when we started to have all these alternative trading systems. the tax isn't scaling as fast as people would like it oh, geez, i'm going to go put 401(k) money in this and double it by next year. we're in the very early days tech is going to break and there is going to be extreme volatility >> i'll take the other side. i'm a regular viewer of fast money. you prefer some of the other coins, as well could this be a good thing for bitcoin. the other coins are falling more the lite coins and some of the

other ones so, does this -- because bitcoin is compared to the others, compared to the others, holding up reasonably well in the face of this, does it give bitcoin a measure of more credibility in the coin community >> well, i think what will give it more credibility is if it survives this fall another time. so, most of the investors in bitcoin have been through all of these types of ups and downs, including, you know, several months where bitcoin just kept going straight down. in terms of the other coins, there are some coins that are quite similar to bitcoin that are trying to be a competitor of b bitcoin. bitcoin is the biggest and the strongest. so far it's surviving. i'm of the camp, 10 to 20 different coins and protocols that operate this is very healthy market action let's wash out some that we can and let's get back to the business of building up the tech >> brian, michelle here. why do you think all the crypto

currencies are falling right now? >> well, that's just market. everybody is panicking this is fear and grief the miracle isn't that -- >> somebody say something. was there any kind of thing that happened or is this just -- >> it is a little bit of both. this started in asia and what you had was rumors at korea and japan would ban bitcoin and this happens very, very often and the heard sell so far we've seen nothing of that from what i can understand, nothing of that. in fact, going the other way and putting regulations in, which is probably a good thing. so, again, this is just, this is what bitcoin does. it's extremely, extremely volatile >> you're not part of the herd what are you doing today >> i bought bitcoin at 11,500 and 11,800 >> not cash, not litecoin and not some of the others >> no, i only bought bitcoin but

i'm not long -- i sold that and i mentioned that on "fast money. but i am still on the other ones and i still think they go higher >> one down. 8 million to go. >> thanks, brian enjoy your holidays. weekly counts just out jackie deangelos is at the cumoddy desk >> drilling rigs unchanged this week 747 up 224 versus a year ago now, this was another wild year for crude. prices up 9% from the beginning of the year. but, remember big fluctuations in between we're watching to see how u.s. drillers will proceed. it seems like there is caution here, even though it is an attractive time to buy >> got it. thank you so much, jackie. will the new tax law really cause an exodus from high-tax states like california live report coming up.

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there are just 2 1/2 shopping days left to christmas morning. you better get what you need believe it or not, you can still order online and get your gifts

on time. pretty incredible. morgan is checking in on how the big shippers are handling the last-minute crush. morgan >> hey, brian. i wouldn't necessarily suggest that, but combined u.p.s. and fedex expect to deliver 1.1 billion packages and this is historically the biggest week for that so, add in u.s. postal service 850 million packages the numbers i eye popping. based on third-party data, pretty well. ontime performance from fedex ground 98% last week and u.p.s. ground after 97% after service hiccups. preliminary results for this week show both are performing even better as we get to the final three days demand for services "remains very strong. we returned to our narmal delivery time and transit after the initial cyberweek surge that exceeded our operating plan. as for fedex ceo fred smith saying fedex is on track for

another record holiday shipping season it is the best peak season ever. as for the postal service, last mile delivery, which is what amazon uses very heavily, 99% ontime that is according to ship matrix and volumes higher than expected it forecast 6 million package deliveries on each of the sundays in december. this past sunday, the usps delivered 10.5 million packages. that is a direct reflection on amazon while we won't know the costs of all this until we get earnings next month, overall, operations do seem to be going as planned guys >> good news for lots of people waiting for presents thank you, mortgage. take a closer look at wall street's take. welcome to "power lunch. >> thank you very much >> make sure everyone knows you're a credit analyst not a stock analyst. >> that's right. >> these are pretty good numbers. we have seen absolute disasters this time of year because they could not handle the peak

demand have they figured out the logistics of this time of year >> they have mostly figured out the logistics this time of year. volume show up for where they plan for and fedex has had no problems this year. u.p.s. had some challenges after thanksgiving and part of that was because volume showed up particularly in atlanta more than they expected >> why are they using algorithms? >> they're using all of the above. but it depends on their customers, their large shippers and with having inventory distributed across the country when we place an order online, big companies can ship it from different places and depending on the flow of goods, that can affect where packages are sourced which can enter into a system in a place unexpected >> there is exxon and chevron and that's it in the shipping space. i know that uber has gotten into it a couple other smaller start is this a space, maybe this is out of your wheel house, but is this a space right for

disruption i just mean it seems odd there is only two. >> amazon is threatening to go into their business, right >> exactly >> there is potentially an opportunity, but, remember, three players in addition to the two. we have the post office. and if you look at the total volume, 850 million packages by the post office. in the u.s., u.p.s. is going to do 650 million this year this peak, excuse me, and fedex 300 million. 1.38 billion packages. you need the infrastructure and the system and the network >> the post office has done a great job. sundays they're out in my neighborhood delivering amazon packages kudos to them. but the post office still loses billions of dollars a year how does the post office's, you know, lack of recognition of a balance sheet affect the fedex and u.p.s.s who have to make money? >> i think the pricing is competitive across the space so, they're not affected additionally no one carrier can manage the

totality of that volume. even if customers want to increase volumes, they're tapd out today. that's why we see the increased investment at u.p.s. taking cap x revenues to up to 8% from 4% through past years and fedex is maintaining it at 8% revenue >> they have telegraphed, though, that they would be willing to increase cap x because of the tax bill. how much could they increase without challenging their credit rating or how you view their credit >> both company's ratings are comfortable where they are the tax benefits of tax reform is going to provide meaningful increases in cash flow but the companies are going to stick to their existing, their current policies for application. they're going to focus on their networks and infrastructure to try to preserve their margins as ecommerce grows. they make contributions to pension plans. >> you don't think they're going to increase because of tax. >> i think it will increase

incrementally, but depending on how much more volume comes from the higher gdp >> gentlemen, happy holidays thank you for coming in. coming up wihat the wealthy are getting ready to do for the new tax law. om berto pprptuys ull the trigger on the new loan. when "power lunch" continues of . with ingenuity, of . technologies, and markets expertise we create the possible. and when you do that, you don't chase the pace of tomorrow. you set it. nasdaq. rewrite tomorrow. ♪ ♪

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new data out on the housing market, diana out with the housing numbers. diana? >> big jump in new home sales.

remember the census count signed contracts in november not closing. this was people out shopping for homes just as talk of the tax bill was really heating up sales of newly built homes jumped 17.5% for the month but october's number was revised down dramatically and september was revised down slightly. if you smooth it all out, including all the storm issues to a six-month average of 622,000 annualized sale versus year to date, you're still ahead nicely but not quite that much. biggest gains were in the south and the west the west is where the supply of existing homes is tightest the number of homes for sale, newly built, didn't change so, with all this new demand, the month supply fell to 4.6 months from 5.4. that's a 15% drop in inventory the median price of a newly built home up slightly just over 1% from a year ago builders are still trying to get more entry-level product in the mix. still not there yet, though. back to you guys >> thank you very much now we have kate rogers with

a news alert kate >> we're talking about the latest company to make announcements regarding wages and bonuses in the wake of this tax reform bill. they are going to be raising their hourly pay for minimum from $12 an hour to $15 an hour. effective january 1st. paying out bonuses in january for three-quarters of their employees. they're saying about 27,000 workers who are going to receive a bonus. they also donated $100 million to philanthropic fund and overall the total cost of this program is $152 million. back over to you >> 1,200 per person. about 1,000. >> absolutely. 1,200. fantastic. >> that's meaningful to increase the minimum wage as opposed to just a one-time bonus. >> in addition to -- 2017 has been a great year for stocks dow is up 25%. will tax reform for more fuel on

the rally? plus, nyc traders have a lot this year. an annual holiday tradition coming up. see u' rdyyoreea to go don't move when power lunch continues. 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 directv has been rated number one in customer satisfaction over cable for 17 years running. but some people still like cable. just like some people like pre-shaken sodas. having their seat kicked on an airplane. being rammed by a shopping cart. sitting in gum. and walking into a glass door. but for everyone else, there's directv. for #1 rated customer satisfaction over cable, switch to directv and for a limited time get a $100 reward card. call 1-800-directv.

hi, everybody. i'm sue herera here is your cnbc news update at this hour. north korean state media said kim jong-un stressed that no one could deny the entity of north korea. in addition, the country's foreign ministry said president trump's national security strategy unveiled this week is a criminal document. russian president putin thanking the russian military staff for the operation in syria. he delivered the remarks in moscow as he met top military brass. he also said the new u.s. national security strategy has a "aggressive character. here at home, air bnb announcing it's planning to bring an apartment project the residential complexes will be specifically designed for home sharing the first is under construction

in kissimmee, florida, and plan to build three others in the southwest. students at the university of nebraska saying good-bye. take a look at that, there they go, to their oldest high rise dorms. the implosion knocked all 13 stories down they were open in 1963, but they concluded that renovating them would be too costly. they're going to start from scratch. melissa, back to you >> thank you, sue. let's get to bob at the new york stock exchange for a long-time trade tradition when the traders sing >> some traditions never die, thank heavens. this is one of them. began in the 1960s with quartet but one thing never changed. the old guys and the old women and the friends of the exchange come down here and they sing wait till the sun shines arthur here for this great tradition.

arthur ♪ wait till the sun shines nelly ♪ ♪ down wait till the sun shines nellie when the clouds go drifting by ♪ >> so many of the old friends traders on the floor for this. arthur, something very important here i think we should point out. the leader of this barbershop quartet not with us any more the specialist on the floor. warren buffett specialist and a friend of warren his friend here and, of course, we all miss your father. >> thank you, bob.

of course, our family misses him dearly but this is his family down here new york stock exchange family was always a major part of his life and he's missed by everyone >> jimmy mcgwire was a teacher to many people down here on the floor and arthur another year go by 2018, everybody is still going to be here >> i certainly hope so and i wish a very merry christmas to all the viewers out there. >> okay. thank you, everybody, for supporting new york stock exchange and being such a great part a long-time tradition to have the old timers out here. but even a few new timers here say hello to everybody >> hi. >> she's just learning the song sheet to "wait till the sun shines nellie. everybody have a safe christmas. >> fantastic we look forward to it every year so, stocks are slightly lower right now. traders may have packed their bags for christmas not the ones on the floor.

those bagged wis stuffed and who tap for 2018 let's bring in jerry, president and cio and lisa ericsson is from u.s. bank wealth management good to have you here, lady and gentleman. very clear in retrospect 2017 was a risk on year. what is 2018 risk on or risk off? >> we're definitely risk on for 2018 and we think in a lot of ways, the year is going to be very similar to 2017. we're basically going in with some great top down momentum and back when we look at our u.s. health indicator about 65% of the factors are either in expansion area or recovery territory. still very positive signs from there. when we look at the bottom up, it's also looking good there, too. so, you've got good momentum for the past year. i think earnings are expected to come in at about 8% for the full year of an increase. >> tech support might push that higher, right. tax reform could push that higher

>> that's exactly right. we see that really as a beanonus we will see that help the market in two ways. a general lift to gdp and our estimate for next year is 1% for 2018 lift on gdp in addition, you'll see corporations filling tax relief whether from the elimination of the alternative minimum tax for corporations and, of course, that large drop in corporate tax rate so, you're getting a lift in the bottom lines, as well. so, we do actually believe that we're going to see some nice lift from it >> jerry, doyou agree? are you as positive as lisa is what does tax reform do to the bottom line for next year? >> it sounds crazy to think that after a great market move like this there is more to come in fact, there is. the stocks that were best impacted by reform have barely moved. you don't think being highly exposed to tax reform.

all the other stocks that have been okay and poised to move in 2018 and we think the minimum impact on earnings is broadly is over 10% and it's probably 15 because you just don't put the most aggressive estimate going in now as you hear the company describing what impact it's going to have, i think you'll have a whole line of revisions when company after company if you're not in this to start the year, you might be -- >> jerry, i don't get when you say the company that are most poised to benefit from tax reform barely move we've seen a 20% move in financials and 18% move in health care. the highest tax rates and benefit the most from the lowering of that corporate tax rate what sectors are you talking about? industrials are also up about 18%, too, by the way >> yet those numbers are barely matching the s&p and my point is, they have yet to really see the increases in their earnings estimates tha come from that because they almost haven't factored in that they basically just moved up

with the move in the yield curve. so, my point is, there is another move ahead coming in just those areas along with the other industry and high-tax paying areas small cap stocks if this was a great bull market, why didn't they lead last year they were the biggest and most exposed to corporate tax change. and that sits in front of us to happen we should stop and understand what the underlying components of a big move like this could come from. it's much more powerful. >> lisa, we heard some very specific ideas about what jerry thinks you should do and to capitalize on what he expect to be a big move next year. what sectors in the market would you pile into at this point? >> we feel like next year could be more of a broad-based participation. in general, our thesis is that in a moderate growth environment, like we're expecting, companies that have a higher growth potential will do better but, again, because of various factors, there are actually a number of sectors that could participate. on the traditional growth end

health care companies with revenue potential, they could all do well. but in addition to that as jerry was just mentioning, nice potential for some cyclical areas. so, for example, financials benefiting both from regular relief and the significant drop in corporate tax rates and we also have stabilization of commodity prices and we have that synchronized global robust swing and that should help global sectors like energy we are looking at this as a broader opportunity than we've seen in broader years. >> two bullish folks from 2018 thank you, jerry thank you, lisa. >> happy new year. merry christmas. a tax bill is now law and as people start to realize how it will impact them, some might decide they can't afford to stay in high tax states like new jersey, new york and california. jane is in california with the story. hey, jane. >> hey, melissa.

by one estimate 2 million californians will see their tax bill go up and for some it is the last straw >> our individual tax, sales tax in long beach is over 10% now. it's insane. >> sandy is retired executive who has had it with the income taxes, property tax, gas taxes and now big deductions will be capped next year she's leaving california for florida or texas and so is her son who's convinced he will never be able to buy a home. >> i can get a two bedroom, one bed house in tampa for $120,000. my mortgage is less than my rent was. >> and he wouldn't have to pay state income taxes either. california dreamen has become california leavin' 134,000 moved out than in last year. home prices statewide are up 9%.

look at that the median price for a house in san francisco is $1.5 million. >> this is part of a very sad sort of sectionalism that is growing in this country. frankly, it doesn't help texas and tennessee if new york and california suffer and it really doesn't help california if texas and tennessee suffer >> but, let's be clear, a lot of californians will pay less than in taxes because they don't itemize. still, the state depends heavily on hthe higher income earners that don't itemize they won't make all their deductions right now and hard to find a reason to stay, even the weather hasn't been that great this year. back to you. >> you know, jane, the moving thing got me thinking. earlier today i went on the u-haul website and i tried to get a 20-foot truck from l.a. to houston, texas, and looked at the same truck from houston,

texas to l.a if you want to move from l.a. to houston, a 20-foot u-haul will cost you 3 grand with tax. if you want to go from houston to l.a., under 1,000 now, a lot of variables here, but, to me, what does that say demand going to texas like that guy you interviewed is a lot higher than going the other way. >> yeah. it seems to say they don't have as many trucks as they need right now in l.a they have a boat load of them in houston because they'll all come that way it could also be pricing power in the market. they could probably charge more now and get away with it >> a lot of reasons. just pointing it out look at ryder, not supporting u-haul not everybody can afford to relocate for tax reasons, you have family or jobs. how can you best prepare your money for the changes ahead in the tax code let's speak with the man who is advising financial advisors. vice president and director of

retirement strategy. are you sleeping i would imagine you're quite busy >> hi, thanks for having us. >> what are the one or two biggest questions that financial advisors are asking you for their clients or for themselves? >> well, one of the big questions is who exactly is going to benefit from this tax cut? and according to the tax policy center, the average american will see a 1,600 savings beginning in 2018. which means 20% of us will enjoy a lower tax bill now, investors can do one of two things with that savings they can spend it or reinvest it as you might expect, we're big proponents of the latter >> where do you invest it then what tax efficient ways of investing are there not only now, but that might be created next year at the tax bill that we don't know of yet >> the playbook generally renames pretty much the same

so, we would still be in favor of maxing out 401(k) contributions and for families who are thinking about college savings for children, 529 plans just got a whole lot better. beginning in 2018, you can now take upwards of $10,000 per year, per child out of a 529 plan tax free for private, elementary and secondary education. so, 529 has gotten a whole lot better and then, finally, for people who are eligible, we still like health savings account because not only does the contribution eligible for a deduction, but the dist rubugzs come out tax free >> yeah, the 529 thing certainly good for the private school. that's very specific or college i think they added a $10,000 car on a private k through 12 side what is the biggest risk in the new tax bill that you see for your financial adviser clients what is the one thing that

they're maybe not thinking about? >> the biggest risk with the tax bill deals with the itemization of deductions. with the standard deduction and going to 24,000, fewer people are going to itemize and, secondly, some of our itemized reductions may no longer be available such as the 10,000 limit on property and state income taxes no more deduction for certain home equity loan interest, depending on how the money is used so, financial advisors and their clients need to be very strategic about how they use deductions or how lump deductions to make the most of their opportunities. one of the things that we're seeing between now and the end of this year is a lot of interest with donor advise funds. now, charitable deductions will be available next year, but it's an opportunity for clients who are philanthropically inclined to lump those donations into 2017 and maximize those deductions this year >> all right, good real-world

strategy advice for a lot of changes coming matt summer, thank you happy new year appreciate it. >> my pleasure happy new year. let's get to morgan brannen xpo is what we're watching here. morgan. >> this is the other company that is big in delivery and has been getting bigger, especially for all those big, bulky pieces of furniture that go and the other pieces that go the last mile we have a headline report coming out that home depot has held internal discussions regarding a potential bid for xpo logistics. this article saying part of home depot's desire to keep it out of the hands of amazon. that sources also believe it is purchasing xpo and that they are both customers home depot and talks have happened and reached out for comment right now and halted as this report has come out

they are up 7% back over to you >> thank you >> do you remember when he said yesterday distribution is the new cash flow. he is the guy helping the inventories for all these online companies and this, the logistic change because we buy so much online is now much more important to the way you make your money so, you can see why a big retailer starts to think much more about doing a logistics deal >> i blew it with the audience because when we had jonathan on from moody's in the last half hour, i was going to bring up xpo, but my brain froze and i couldn't remember the name of the company. that was the third player. we should -- i wish he could still get back on. kind of hodd though home depot distributes their own stuff. xpo distributes for a lot of companies, wonder why home depot would be interested? maybe morgan knows tax bill passed without a single vote from a democrat in the house or senate. president trump saying he wants

to work with democrats, however. is that just wishing for christmas miracle? we'll debate plus, wine in a can. are you in or are you out? >> out. >> in. >> you haven't even the pitch yet, melissa ♪ (news anchor) downtown traffic is still bad. expect massive delays. (news anchor 2) all lanes on highw with some of the worst traffic, with the average driver sitting in gridlock the equivalent of three days a year. for every hour that you're idling in your car, you're sending about half a gallon of gasoline up in the air. that amounts, over the course of the week, to about 10 pounds of carbon dioxide.

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that cities face around the world. who knew asphalt could help save the environment? (lani) and the possibilities are endless. time now for our regular power pitch feature where entrepreneurs have 60 seconds to convince a panel of experts that their business has what it takes to be the next big thing >> my name is alexis beechen and ceo and co-founder of drop wine. bring wine off the white table cloth and into the real world. we combine their award-winning california wine with our eco friendly can as we like to say, finally a wine that can keep up with you, no matter where the day or night takes you. prior to launching the drop, i

managed the most interesting man campaign i know first hand what it takes to create and sustain an alcohol company that millennials love. we launched in may of 2016 and sold out within 14 weeks since launch, we've partnered with hotels, music we partnered with hotels and music venues >> we are distributed in 16 states we bring great values to consume consumers. in 2018, we plan on launching two new products as well as our direct consumerer panel. >> i am dominique chu. you just saw the drop line pitch, now, lets meet our panel. joining us here onset, start up adviser, kelly keenum. and angel investor alexis.

>> i am going to give you an a mu minus. what's your favorite consumers buying this product? >> we think that young men are really are our over look segment ma marketing to young men where he creating a brand that works for men and women of what they will looking for wine >> i thought your picture was spot on, i will give you a picture of a why is it not taking off in the u.s. >> i think americans love their wine and maybe traditional but i think the surge in craft beer and then using can is going to help the wine category >> i thought your delivery was strong and good information behind it, i am going to give you an a you seem to have a niche with millennials what do you get communicating your customers that the big brand don't

>> millennials today expect the brands that are marketing them to talk to them every single day. that's why we are active of partnership and social media and a well as e-mail marketing tell me how your background in beer translates into a wine company. >> we need to a product that tastes great that your consumers love so much of alcohol is creating a lifestyle and a world around the product. what we have learned, i have been able to bring into the draw >> we heard of what alexis had to say, now we want to know if the panels are in or out >> the fact they thare going ino a competitive space and different ways of approaching t the market, i like that. i am definitely in >> i think the new format is going to brew the market and bring in new consumers in.

i like that the drop is first to market and have a strong millennial voice, i am in. >> alicia. >> you have a smart founder with a great background in marketing and a lot of good tractions so i am going to be in. >> all right, that's three ins alexis, what's your reaction. >> well, i am thrilled thanks so much, if anyone would like to know more or shop, you can find us at dropline.com. >> thank you very much to our panel lisists panelists, that's today's panel pitch. >> are you guys in and out >> i am in >> i know. i want to taste it >> i am out. >> you drink wine from a box >> that's me >> anything in the can is carbonated and why should it not be carbonated? >> all right, we want to find out if you are in or out on the

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you see the pop of 9% and home depot is considering a take over of that firm. earlier xpo hits a fresh a high of 87. we'll see how the story develops a few days left in 2017, it is been a darn good year for stocks what about the stocks that did not participate in the rally we are taking to the islands of we are taking to the islands of misfit stocks ined the of ""power." don't move of ""power." the financial advisor was able to work with this client. he's now on track to retire when he's 65. having someone coach you through it is really the financial advisor.

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step-by-step options trading support from td ameritrade welcome to "power lunch. here is what's on the menu a done deal. how that's out of the way, what's on the trump's agenda for 2018 how about infrastructure two days before christmas, holiday crunch time to find that last minute gifts. we are all over it here on "power lunch." it is the stock of the hour. home depot is considering buying

this company we are all over that, too. second hour of "power lunch" starts right now ♪ merry christmas, merry christmas ♪ struggling for gains at this hour, the major averages are still on track for a positive week would be the dow and s&p 500. check out some of the big movers we are tracking right now. we got a big call on shake shack and wing stop are downright now. we'll talk to the analyst that made the downgrade call in just a moment we begin in washington, the president signing the the sweeping over haul of the tax code in more than 30 years, eamon javers is live right now >> hi, the president before he left as you say signed that massive tax bill of a little bit

of an impromptu sign ceremony after a year's long wrangling over that bill the president did sign it before he left town he was in a very, very good mood as he finished up today. these are two big accomplishments today, the tax bill and continuing resolution keeping the government open for january 19th no government shuts down beginning part of 2018 the president is looking forward to doing some deals with democrats. here is what he said >> infrastructure is by far what people wanted. we'll have tremendous democrat supportive for infrastructure. i wanted to save the ease ones down the road. we'll be having that done quickly. >> there are other people at the white house agreed with the president perhaps he should have started with the infrastructure build early on instead of going after the repeal and replace

obamacare which did not work out for the president. infrastructure is widely seen as having a bigger opportunity for democratic votes every polit-- the expectations f $200 billion worth of federal spending what they are calling incentivized private sector and we'll see where the number shake out on that bill they're talking here at the white house about welfare reform you hear the president saying he would like to do something effectively fixes the situation in which somebody works two jobs and making less than somebody getting welfare benefits and others of what they like to do is job retraining and opioid abuse to get people in the work force who's been unemployed for a long period of time. all of that they think having the opportunity which they did

not get for tax reform, they like to get that in 2018 so they are going into the new year's optimistic it is ahmad term election year of 2018. they got about a couple of months to get something done early in the year before the political wrangling takesover the counter. >> eamon thank you very much. >> with tax reform is behind us, what's next in washington? joining us is bernstein and joe watkins, the former white house aid to president bush, good to have you here. do you think we'll get some infrastructure done here is the republican party going to be too difficult because it is going to cost money. >> well, this is a president that's not hampered by details,

he wants to win and he has been winning. the tax bill that's signed today into law and so i think that there is a good chance of getting something done and this is a president who demonstrated that he'snimble and he can wor with democrats as well as republicans and witnessing what happened this past fall where he suddenly called chuck schumer and nancy pelosi of his two biggest enemies. they became his two fast friends. >> chuck and nancy >> and they were absent from the discussion of taxes. they will gladly talk with him about infrastructure i am always as stoutounded by te president's signature. this enormous signature. >> there is more letters in there. >> too many letters in there >> my good friend jared was t s teasing you earlier. the president thinks he's going get some democratic votes. do you think he's ready?

>> democrats are skeptical of this trump plan that depends to the tune of 800 billion. when you are involving private investors and infrastructure, you are talking about infrastructure that has a return on investment and toll road and things like that there is some room for that. it is not what democrats are thinking about i also think unlike joe here, i think republicans are actually going to be a problem on this. paul ryan is never bullish of infrastructure and investment. if luke at trump's budget. it is cuts investment in transportation and i just don't think these republicans are in any mood to spend any money. if you want to see some building, the disaster relief money will help build some infrastructure in portfolio, at least i certainly hope it does >> jared, the president is right. this is a bipartisan issue and what we have done extensive

shows reporting from dc, there are bipartisan bills the problem seems to be that there are so many conflicting bills. everybody agrees that we need better roads and bridges and airports the problem is, nobody agrees on how to pay for it, public private partnerships and infrastructure banks and where do we focus our attention. there is three competing bills the last time we reported on this is this less bipartisan and more just simply about priorities and regional in fighting >> yeah, it is less bipartisan because i think it used to be the case i have watched these bills taking place that it was a lot simpler than what you just described and what you just accurately described it was that you would allocate some money and you may have paid for or may not you allocate funding and you go pay public goods you never got involved in leverage and private partnership. i am not saying it is a bad idea i think they made it extremely complicated of repatriation.

you have to be tieable to set ad for. >> what about people dealing with people who came here as children illegally and now are here, they're going to get some kind of deals on there >> sure, donald trump is a politician and everyone though he does not say to these one, he's smart politically and he understands what he needs to do to move numbers and he's looking to midterm election and 2020 to further -- to pat his resume right now, he's saying whether you like me or not, because of me, donald trump, the economy is doing better and he's saying and look at what i have gotten done, i signed the defense bill just today which proves that i mean what i said about being strong and defense and i signed the fourth major tax bill in

decades. i got that done and i am going to get infrastructure done and things done and welfare reform done he's going to be able to say by the time 2020 rolls around, that he's gotten three or four major things that he promised the american people he would do. that's going very tough for democrats in the 2020 reelection bid. >> quickly jared >> i actually think that given how well the economy is doing, trump's approval rating is surprisingly low if you look at presidents with similar strong economy behind them, they are much higher approval rating. i am skeptical that the strong economy is nefeeding into his approval rating. >> gentlemen, thank you, have a great holiday and new year's jared and joe. >> you, too. >>. consumers are shopping the old fashion way by hitting the

malls, courtney reagan, standing by the center of new york. >> it really does happen 126 million americans are expected to shop tomorrow, super saturday, that'll make tomorrow the second busiest day of the year just behind black friday. so if you have things to check off on your list, you are in good company >>. >> noun ne of it is done, we ju gotten started and i started a couple of weeks ago and today is my second day and i think i am going to go tomorrow again i think i need some adrenaline last minute, it gives me some adrenaline, this is what motivates to do the shopping >>. >> how about some adrenaline from the ticking clock holiday sales are up more than 6.6% a strong number going into the

final weekend. electronics and eappliances and specialty retails showing strong numbers there. >> and analysts are upping their forecast going into the final weekend. we have jeffries ups price targets and boot barn and abercromb abercrombie & fitch. here, traffic have been picking up all day as soon as the stores opened at 9:00 a.m. and tomorrow they are opening at 8:00 a.m. they are staying open for 35 straight hours they'll capture every dollar that they can possibly can >> back over to you, guys. merry christmas. >> courtney reagan tomorrow >> wow, could not pay me to go

to the mall. >> lets bring in moody's lead retail analyst charlie. according to things are looking better stocks have soared have the credit profiles and the balance sheet risk, also improved or just an equity store? >> i think the balance sheet are better fundamentally the industry is stronger and i think what you are seeing is a recognition by the recognition by the equity market that amazon is not going to take over the world and a lot of the brick and mortar retailers are investing. it takes a lot of money. these retailers have been making these investments over the last few years and now they are starting to bear for it. what happened? six months ago, all retailers are gone what happened in the last, you

know, 90 to 120 days that changed so much. >> that's a good question. what may have happened is walmart really started to hit its dry and the market starts to recognize that that could be a case of rising tides and best buy has had a resurgence over the last several years. you are seeing a lot of power in brick and mortar people still like to go to the mall and go to a brick and morter location. the last time we talked to you, charlie, we are talking about retailers whose holidays is a black friday but make or break for the holidays does the tax reform give any of them a lifeline? >> it can. or is it a push because of the treatment or interests on debt >> thank you >> yes, for some retailers, it will definitely help those that are facing trouble competitive positions that don't

have highly balance sheet that'll get a benefit. they'll be able to invest in their lines and people >> boy, we got 20 plus names on our cwa and below wall when i look at that list, i see way less than investment break >> we are talking about several into the territory liquidity can be tough and we got a wall of debt coming. >> any of those improving? >> off the top of my head, i can think of a few that would see some improvements there. boy, i am trying to go down the list and see who's got the less leverage and right now it is hard for me to do that >> that's the trick though >> there is so much debt and what they can deduct on interests on that debt is going to be not favorable. >> not as much as it used to >> exactly, if you look at that

list and you carve out the sponsor names, there are some names on that list is not sponsor related. those are the ones that'll have the less debts >> so will there be more banks for season 2018? >> you are seeing more defaults. i think you will see more of that >> charlie, thank you. >> happy holidays. >> here is what's coming up on "power lunch." papa john's founder is stepping down what's next for the pizza change >> winter storm bearing down the nor northeast of one of the busiest day of the year. still looking for last minute gifts, we got you covered with the top picks on cnn

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papa john's pizza announced

that john schnatter will be stepping down. >> the company is an nfl sponsor and claim the leadership have hurt papa john's shareholders. papa john's have apologized for schnatter's comments they went onto say we believe in the right to protest and equality and support the player's movement to create a new platform and change. together, we should honor our anthem there is a way to do both. papa john's was the only one to blame the protests and competitors. >> did i hear correctly?

>> papa john's account tweeted out the middle finger emoji. >> they said they support the players and the year right to free speech. there is a way to do both. they did the middle finger mow j emoji and said fu to those guys. >> relevant on social media. >> i guess so. >> high glis that right? >> thank you, kate >> what's on the menu for 2018 a lot is baked in the stocks and challenges are in store. joining us now is andy barish, it is great to have you with us. >> good to be here >> going into the last quarter of this year, a lot of the stocks have already started to see sales and look like spending

is stabilizing and things are looking a little bit better. how does tax fit in and what's going to come in 2018. do you think that'll actually provide a boost because it is going to theoretically provide a boost to money and consumer pockets? >> it could continue to help some of the things of sale numbers that we are seeing here of the holiday season showing up again. they're definitely are some more positive data point which is nice to see. it is a little early to tell what's going to happen and who's going to benefit we hope a little extra money in consumer consumers' pockets will whine up in the restaurants industry. >> what are you seeing specifically for those two to stop >> those two companies are well position to see a little boiit

a pick up on the consumer side we thought dunkin' have been competitive competitive competitively squeezed between starbucks and below them their business have not been great but management teams have been putting strategies maybe getting a little bit of a traction it was tough to to have an under performed even though the stocks have moved up recently and texas road house focused on values and execution is driven positive and casual dining and a rarity, we think that'll continue again and partly help by fiscal stimulus with consumers it was not a great margin year for the company but again, it has not matter, the sales have

been positive. >> you downgrade shake shack and wing stop to under perform, why so negative on those two companies? in term of fourth quarter of stock price performance, shake shack is up 4% and wing stop is up they have fine long-term growth opportunities and we just think the stock have kinds of gotten ahead of themselves here and trading to most and if not all to the rest of the restaurant sectors. >> andy barish, at jefferies, thank yo the moment a fish is pulled out from the water, it's a race against time. and keeping it in the right conditions

is the best way to get that fish to your plate safely. bacteria can multiply to high enough levels that even cooking it will not destroy all of them. it's definitely the most important thing in my business. how fresh is the fish? where it comes from? how it gets here. the more i know, the better. sometimes the product arrives and the cold chain has been interrupted, and we need to be able to identify where in the cold chain that occurred. we took our world class network and we developed devices to track environmental conditions. this device allows people to understand what's happening not only with the location of that asset, but also if it's too hot, if it's too cold, if it's been dropped... it's completely unique. we ship fish, beef, poultry, vaccines, insulin. this is about monitoring and protecting

everything we ship. i catch all this amazing, beautiful fish and then once it's out of my hands, i have no control over what happens to it. if you have a sensor that can keep track of your product, it keeps everybody kind of honest that way. it's really all about the network. you are looking at trillions of transactions a year. not too many companies in the world can even scale to that type of volume. who knew a tiny sensor could help keep the food chain safe? food has to be fresh. it's that simple.

. methamphetamines of of -- millions of americans are mo moving through airports how did you land at a sweet gig at new york airport, eric chem

>> reporter: you can see behind me there is basically nobody's here not a lot of traffic in terms of car drop box or people getting into the airport we walked up and down this airport and there are no lines and not a lot of people. if you go to data, not any delays and it is all green dots in the area. delays are generally 15 minutes or less. today is the busiest of those days >> it is even 3% more than the holiday last year because airports and airlines are able to squeeze in a few more people in and they have a few more roots. all signs with a lot of traffic and delays the weather is good and everything is working okay right now things seem to be okay >> what terminal are you in,

eric >> we are in terminal b. >> that's the reason that's the international terminal >> wait about 4:00 >> families with 60 bags getting on a flight to portugal. >> there was a morning rush and now there is no rush we are in terminal b that's where the port authority wants the media to be. >> oh. >> the data confirmation >> managing the story. >> i see >> that port authority thank you, eric. >> have fun at the air train >> you got it. as the world counts down to 2018, take a look at what's on the global agenda. what would move markets in the new year >> here is what i will be watching in 2018

first, international trades. will the u.s. withdraw from the north american free trade agreement, nafta and the trade between new mexico and canada are contentious the wto, the most recent meetings there ended in discord. second, there will be key elections around the globe, mexico and italy and the reelection of vladimir putin of russia this could be a thorn in the side in you win. and third north korea. the biggest rivals of china and russia and is certainly expected to come up here at the u.n. time and again next year. >> mexico especially is important to keep our eyes on

next year. one of the potential candidate andre manuel lopez is an extreme leftest. he thinks nafta is a bad deal for america. the trader's perspective, we'll see a move in the pesos. >> i am going to ask you and you don't have to. i was arguing with a friend of mean of the mexican election, would you consider him a communist? >> oh yeah but that's me >> >> scaviing prices >> he was a fan of chavez of venezuela. >> oh yeah >> all right, lets check in with sue herrera with our headlines at this hour >> hello, guys here is what's happening the year end news conference

mitch mcconnell mocking steve bannon for packing roy moore in this month's alabama senate race >> i am going to say this the m political genius is on display throwing away a seat in america. it is hard to know >> the cdc releasing its latest flu number saying 23 states currently have widespread flu activities among those risk are young children adults 65 and older and pregna pregnant women austria police arrested eight men of the largest meth bust a record of 1.3 tons of the drugs worth about $800 million >> it was brought by boats those drugs originated in china. >> you are up to date. brian, i will send it back to

you. >> sue, thank you very much. if i don't see you, merry christmas. >> absolutely. to you and your beautiful family >> thank you so much >> and everybody out there >> just us, sue. >> okay, just us >> thank you >> the oil market is closing for the day, lets go down to jackie deangelis who celebrates christmas like nobody else >> you are christmas >> well, i am dressed like christmas today. i am dressed the way of crude line, a little on the flat line. the support coming from that optimism of demand as a result of many factors, mostly that anticipated economic stimulation from the tax bill. a dollar index at 93 in change and that's supportive. too. all of those factors oil is about 13% star. back to you. >> got it, jackie.

2017, a banner year for sto stocks if you did get left behind out in the cold, straight ahead, we'll take you to the land of misfit stocks, tell you which one could get some love in 2018. stay with "power lunch."

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a check on the market here, we have all three averages down but on page for gains for the week >> xpo logistics are up. >> bb&t corp. announced the latest wage hike kelly king will be on "the closing bell" today. >> not all stocks are shared in the rally. dom chu takes on the journey of the land of misfit stocks. if you take a look at the sectors overall that set record highs or at least multi year high of the course of this given year we have a handful of them. we'll focus on three in particular of this land of misfit stocks that we have in the industrial sector, there are a lot of names out there that have under performed the overall sector these are some of the worst.

alaska airlines, they have done 16% and general electric have lost half of its value ls ovs oe course a misfit stock campbell on the consumer staple side staples have made a new high sometimes this year. of course, there is the consumer stretch on the retail front because it is the season for that retail trade. and under armour shares are among the worst of the s&p 500 as we take a look at these hitting record high levels, the question for a lot of traders out there is whether or not there is a bounce off of these low levels or whether or not those trends to the downside stay in place. back over to you guys. >> dom, interesting stuff there.

president trump signing the $1.5 trillion tax over haul tchlt compa the number will speak for itself is he right? we see a big jump in economic growth next year lets bring in ron isana, what do you think? do you think it is going to boost the economy a little bit >> so yeah, i think there will be some sectors that'll do well and some don't do quite as well. i think the biggest question is whether or not individuals will feel the effects and despite the fact that the middle class, scott, rather large cut. these are smaller in some ways >> i saw it but i do wonder if that's because you pay off or paying off debt, it is not sexy or fun

you don't have awe. thiyou don't have a new thig >> if you make 50,000 or $75,000, you got 600 >> i am not arguing that point will it have a huge impact on gdp, we don't know >> lavorgna, what do you think >> to me it is going to be three. the animal spirit have followed the 2016 election. small businesses and cfos and the economy is really good and we'll accelerate next year i am not sure how much of it due to tax cut and overall, momentum is solid i am optimistic on the economy my guess is how much is going to help on the household side

>> economists are like models. i am wondering if we get a headline light at&t spending additional billion dollars in cap ex or comcast or something like that, name the company that may have an announcement like that, how does that get put in the model and does it take into consideration that the additional spending will have in the economy? >> aggregate, if you look at about 30% of jobs of the fortune 500 companies, 500 and above if you took all those companies of workers of $1,000 i would argue that you still have an acceptable impact. >> but, it will be more function of the unemployment rate goes. it looks like it maybe rising. the grand scheme of things, the

different corporate announcement don't add up to a whole lot is my point >> the trend is what's important. the momentum is excellent. that's been the case for the last year. >> if you go back to the clinton years, at 9% of the trough of unemployme unemployment it is doable from 4.1% >> i am sorry, joe >> there is open jobs in the united states right now. if you get some of those people into the jobs that exists of the unemployment rate would naturally go down here >> ron is exactly right. >> i would say unemployment next year is 3.5. it is going the look as low as the 1960s. >> is defense blowing next year?

>> yeah, you have fiscal monetary fighting as they have >> all right, you guys, we'll see. 2018, what's it going to bring, ron and joe. appreciate it. >> happy holidays. >> thank you >> if you hadon't just grab the thing you see. >> we have ideas for your last irhointi sait trgh haspray. ahead. >> oh boy.

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tomorrow is schouper saturd, one of the biggest shopping days of the year. >> joining us is senior editor with some of the season's best gift ideas of last minute shoppers >>. >> they blow off the price they are usually $50 and it is now $29. this is the amerson dot.

they give you all the same functionalty as the bigger version. they just don't have the big speaker built in the google version has a google assistant. >> you may think you have to buy these online but you can walk into a whole foods to buy these. >> that's true, they have them at amazon and amazon prime now, they'll deliver one of these in a couple of hours. >> does the amazon dot do everything the echo or aelexa does >> you will want to connect it like a blue tooth speaker. >> smart plugs, 22 bucks >> it works with google home and amazon amazon ecosystem it is down to $19 and you can plug anything into this. i set it up so my son can just

say alexa, turn on the tree and lights on the tree turns on. >> really? >> handy >> you just sit there and things are taken care for us. >> basically are >> the fire hd 10 tap let. it is only 150 bucks there is got to be a price drop. >> they dropped the price and made it faster and it is not as good as an ipad, an ipad is $300 and up it gives privilege status to amazon services, you can do netflix and everything else. it is great for kindle books >> i did not like it that much >> i bought one of those and i want to try it if you are not an amazon person, it is not for you. i am not saying that i am or not. it is all amazon even the browser. >> they got amazon and has at least all the big android games

and you can do hulu and netflix and super mario run. >> what's this nintendo switch for $299 in. >> this is a new game consul from nintendo. it hooks up to your tv it is less expensive than a lot of the other consuls >> what does it do >> you can play video games on it and on the big screen >> michelle? >> it brings back the 80s like you can play together. with these little hands held controllers. >> are they hard to get a hold of >> they were i did some spot check at best buy and target the last couple of days, and now they have it in stock. >> which is great. >> what is this hp spectre

>> this is fantastic for laptop. >> its got this white ceramics on the outside its got one of intel's generation processer it is giving you a speed boost point. >> frankly, the parts inside, you're largely buying on design and look and feel because you look and feel it all the time. it really represents you so you might as well get something you like this guy is so thin and fast, i like it a lot. the video that we showed while you were talking, looks like you can open it up and the back folds onto itself, like a real physical notebook like you add in high school

>> about whhalf of the big laptp that you see now giving you the best of both worlds. >> is that by design or just happens to be that there is nothing design, or nothing -- >> i went out and got an iphone x, i was skeptical at first. i got to tell you, the face i. d. log-in works well, exceeded my expectation i'm a big fan of apple's 12 inch laptop they call it the macbook. >> all right, dan. >> have you dropped the phone yet, dan >> i am so careful i'm paranoid i hold onto it with two hands. leather case on it i don't trust myself without a case with a cover for the screen on it. >> sure. nice >> thanks, dan. >> too bad you can't see the glass back in that case, though. >> one are those things called, the pop sockets? can you muput that on the x? things you put your fingers in, goes on the back of the phone. >> i don't know anything. >> you know what i'm talking about? does anybody --

the xle is an etf that tracks the energy market up over 5% this week it's on track -- >> do you know what i'm talking about? >> no one knows. >> everyone knows. >> the energy slump behind us we will debate it straight ahead. plus a very special cnbc event. marcus has been to puerto rico looking at the island's crisis and challenges ahead "the profit in puerto rico: an american crisis" premieres tuesday at 10:00 p.m. eastern ryme and pacific ve compelling. you got to watch it, please. let's get started. show of hands. who wants customizable options chains? ones that make it fast and easy to analyze and take action? how about some of the lowest options fees? are you raising your hand? good then it's time for power e*trade the platform, price and service that gives you the edge you need. alright one quick game of rock, paper, scissors.

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let's trade the xle energy etf with borris, and todd gordon todd gordon, it's had a nice run, technically, how does it look >> it looks very good. i like the bottom formation, brian. we have an inverse head and shoulder massive underperformer in 2013 looks like we want to go up, retest these old highs just in the $70 to $75 region. the stock i like to play, actually just put the trade on today, eog same kind of pattern kind of an inverse head and shoulders. you can see it's more escala escalating showing really good relative

strength i like the breakout. i bought the 110 calls in january. i like this stock. >> likes it there. borris, you view on the xle? >> i like it as well, getting a huge boost from the tax bill strongly up. i actually like the pair trade long xle, short spdrs on a relative basis if we have a correction in the market, xle is going to hold bid and be an interesting trade. the dividend on xle is bigger than a dividend on the spdrs. >> just to know, you both like it, two stocks, exxon and chevron, are both 40%. thank you both very much for more "trading nation," go to our website. "check please" is next. >> now the latest from tradingnation.cnbc.com and a word from our sponsor. >> in a losing trade, avoid letting your emotions get the best of you. too often, traders want to add to a losing position, but experienced traders will say your first loss is your best loss in otheror wds, take a small loss and move on before it becomes too big. [vo] when it comes to investing,

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check please >> so, brian was asking earlier about what's a pop -- i had no idea turns out i have one on my phone. >> they were making fun of me on the air. she has one. >> so when i want to text, i do this. >> i never actually heard it called something i thought it was a thing on the back of your phone. >> because the thing on the back of your phone sounds better than pop socket i love how you guys are giving me the business and you have one. >> maybe we just like to give

you the business. >> you can also -- >> that's it. >> -- pop your phone up like that >> see >> very useful. >> yeah. all right. >> the thing on the back of your phone. >> more serious matters, we're going to continue to watch the crypto carnage bitcoin on coinbase, back up after being out for two hours. you were frozen out of basically buying and selling $13,377 or so on coinbase. we'll watch this very carefully. this is the first time a lot of investors have experienced a dramatic decline so we'll see what the reaction is in the days following. >> and when the underlying exchange can handle the -- >> exactly you're frozen out, do people freak out >> your buddy, john mcafee, tweeted out, don't worry, it's christmas. something else colorful language. mine is very boring, could be a huge deal over the weekend. >> it's exciting xpo, third largest delivery company behind u.p.s. and fedex, recode reporting they could be a subject of a buyout.

up 12% right now but the reason, according to recode, is they want to keep xp out of the hands of amazon home depot may buy xpo over the weekend. >> could be a very interesting story. >> merry christmas, everybody. >> have a safe holiday, everyone, enjoy. thanks for watching "power lunch. >> "closing bell" starts right now. hello, everybody and welcome to the "closing bell c bell", i'm kelly evans to close out the week at the new york stock exchange. >> we've been standing here waiting for the show to start. i'm bill griffeth. the tax bill has been signed into law just before christmas as they said it would be many more companies have been announcing end of year bonuses as a result, including bank of america, pnc and bbnt. why are we listening to "jeopardy" song? >> i was going to ask, are you hear