villanova leading by 9 last night, creighton scores. villanova wins by 7. here's the shot. clearly too late after the clock expires. who cares? gamblers care. villanova favored by 9 and the incorrect call costing people. they have to police the outcomes better. >> thank you for watching "power lunch. >> "closing bell" starts right now. ♪ ♪ running out of breath ♪ but i got stamina good afternoon and a very warm welcome to the "closing bell." i'm wilfred frost. >> i'm sara eisen. >> just made it. >> trade war fears send stocks lower. whether you should trust any rallies until a deal is timely reached with china. >> i thought i would get through the "a" block on my own. >> i would never let that happen. bb & t buys suntrust top analyst says whether this is

just the start in terms of m and an in the financial space. look at the broader markets, though we are lower, 268 points lower on the dow the low was at 390 s&p down 1.2%. nasdaq down 1.4. we started softly today, very poor trade in europe and we haven't been able to shake it off throughout the session. >> global growth concerns all around let's begin with the trade headlines as talks with china inject fear in the markets what exactly did we len today, eamon? >> reporter: we have details of the president of the united states himself in the oval office taking questions of reporters a few moments ago and asked if there was going to be a meeting with xi jinping in the next month or so he replied not yet, probably too soon then he was asked, will it happen before the deadline, that is the march 1st deadline to raise tariffings s on china, an

president said, no, unlikely, no he's suggesting not to meet with xi jinping before the deadline and raises the question of whether or not the united states will raise tariffs on march 1st as planned aides here said that's a hard deadline unless there's a development here could there be a breakthrough? could the united states and china announce a meeting time for the two leaders after march 1st? that's another possibility we don't know at this stage but the president himself is saying he's unlikely to go there and finalize the deal before that march 1st deadline now, guys back over to you. >> i mean, eamon, what -- because we don't know a lot of details we rely on the day-to-day statements of how much progress is made. is there any sense of how much progress is actually being made? >> reporter: no. not publicly, right? aides here say things like progress is being made, we had good, frank discussions.

we do know that mnuchin and lighthizer are going over to continue the discussions and doesn't feel based on what the president just said like the white house feels as if it's in a position to get a deal by march 1st that the president can go and meet with xi jinping and sign finally by that deadline and there's the other question of where would any meeting between president trump and xi jinping happen does the united states want to meet on chinese turf want the chinese to come to the united states? meet in a neutral location so we are closer and closer to march 1st and the signals you are seeing don't indicate a deal by that date now, the big caveat is things change right? so that could change but that's at least what we are seeing right now the president saying this's unlikely before march 1st. >> quickly, normally these things take months to arrange. a simple meeting between the two big heads of state.

>> reporter: that's right. normally you have to have advance people, security people, logistics folks and all the rest on the ground weeks in advance sometimes. there's a lot just moving the president from point a to point b is an enormous undertaking there's a lot of preparation to take place my understanding is that that -- none of those preparations are in the works as of right now for china trip so unlikely that's happening any time soon but, you know, they can move heaven and earth if the president orders it and keep that possibility in the back of your mind but there's nothing happening right now to indicate it's coming any time soon. >> eamon, thank you very much. not just trade is spooking the markets but also new warnings of slowing global growth out of europe steve liesman has the details for us. >> thanks, wilf. central banks slashing their growth forecasts dialing back plans and even in some cases easing interest rates. last week the fed moved its policy to the one of patience

from gradual tightening. here we go europe today, the uk, the bank of england, cut its growth outlook by half a point. europe, the european union cut the growth outlook china, india cut the rate. australia shifted to neutral one analyst said they had four rate hikes dialed in for this year and not happening anymore in fact, in bunch of these cases forecasters had rate hikes put in and then they took them away because of this move to neutral by a lot of these central banks. what the u.s. federal reserve does depends on the global weakness on american shores. a u.s./china trade deal could alleviate some of the worries but you have to think it's not clear that it will happen fast enough, will be enough in itself to eliminate the gathering global risk, guys. >> steve, i'm a little surprised by the extent of the moves today lower equities here or in europe

because most of the change today has been in forecasts. it's almost like the forecasts were catching up with the data we have had in recent weeks and months and did get a german dat have been talking about a lot already and i would have thought the markets expected the downgrades in forecast. >> this is interesting, wilf, right? in a perfect world you have a downgrade and the central bank changes policy to meet that and essentially neutral for the market it is interesting the market is still selling off after the easings here we're talking about which may be suggesting that -- we'll see how this goes. you don't want to make policy on one day's worth of trade and we seal see if maybe what the market wants here is more from the central banks and then there's a big question i think we talked about it this morning, what more do the central banks have to give if you run it without a net do you get to a place where the safety net from the central banks is really limited for the

next downturn? that's another pretty serious issue of concern. >> we'll put it to the test i guess. >> the other point to note steve, thank you with the ecb is a change in president in october so i think mario draghi and everyone suggesting doesn't want to tie the successor's hands and then next couple of months even though you expect a dovish tone he tries to be as neutral as possible to allow -- >> what country is the next head going to be from >> we don't know yet and doesn't look like germany. >> and then tighter policy. meantime, big deal in the bank space bb&t merging with suntrust wilfred, you have been looking into the deal, listening to the conference call. >> absolutely have and so let's just run through the details. merging for the sixth biggest retail bank as sara mentioned by assets combined assets $440 billion combined market cap 66 billion

both focused in the southeast region and combined the third biggest bank in the region by depositive its behind bank of america and wells fargo whose stocks fell today in light of increased competition and jpmorgan with a big presence in florida. it is an all stock transaction suntrust shareholders with 57% price premium and 43% of the total. the deal strikes a perfect sweet spot because the combined bank below the threshold of assets to be a global strategically important institution and face more stringent regulation. 24% of the branches apparently within two miles of each other and all the factors and not paying a premium and why both are moving higher. >> clearly the market likes this deal two things i have heard. number one, the synergies, 12.5%

savings seems conservative with so much overlap of the 2 banks is that what you're hearing, as well what does it say about where we are in economic, credit and banking cycle that such a massive deal, biggest since the financial crisis, is happening today? >> two perfect questions first one, yes, people think there could be more cost synergies. >> don't want to talk about layoffs. >> in terms of the cycle, whether this is an exciting, forward looking merger, i think people are leaning towards the latter a little bit. so yes, it is late cycle and then trying to compete with the extraordinary spend on technology that the big banks are doing. and this gives them a sort of chance to do that. doesn't guarantee they'll catch up on that technological uplift but just one final point you're saying that the market likes it yes for them and the smaller banks seen as targets.

big banks declining and a shift of money into the smaller banks. >> doesn't help that yields are lower across the curve we had the ceos on today they finished the sentences. >> it was adorable. >> a love fest it was really -- all right. joining the "closing bell" exchange tort day, jason and rick santelli in chicago jason, one of the cases that -- of why bank valuations so low for so long and lower last year despite the economy is no major catalyst is this a catalyst to the financials if so, where >> i think so. we expected financials to actually outperform last year and so we were early to the extent to which we had been expecting them to outperform for a while based on the fact that the administration wants the velocity of money to increase and you saw some moves in that direction as far as deregulation and wilf mentioned

the sifi designation you also mentioned rates and i think that's one of the big head winds we're bullish mainly because of the valuations on banks and we also think that credit standards will ease. by the same token, though, it's hard when you get the yield curve this flat to make money in banks. i think stronger economic growth, a steeper curve to go a long way to helping. >> where are you positioned? big versus small banks, jason? the big guys are so, so much bigger than the combined entity that the economies of scale still dwarf the regional challenges. >> well, i think the change, wilf, in the designation led us to believe, again, we were early on this, but led us to believe there's larger banks buying smaller and regional banks and that's still our view. these are, you know, kind of

merger of equals, so on. closer of two regionals essentially buying each other. in my opinion. not quite. but in my opinion there's a lot of smaller bank that is would be very attractive targets and see a lot of consolidation. >> rick, the theme, you know, in your world today and fixed income and foreign exchange, strong dollar, strong bonds. the global growth slowdown trade is back on and is it just a reversal of the trend of the last few weeks of january or the start of something new >> no, i think actually it's putting a finer tip on what we already know listen is there a number more important than industrial production in germany? you know, the manufacturing center of europe no there isn't. they had their december industrial production number out. month over month was bad but year over year is worse negative

change back to the credit crisis in '09 we have the yeurozone productio numbers out tomorrow and i don't expect they'll be better and i think we noticed it in the u.s. but in a different way, as data comes down the pipeline and we can pencil in what the markets may have sensed earlier, we get a better idea of the breadth of the slowing and i liked steve liesman's intro and gave us the central bank dot plots of growth, whether the regaining year or 2020 and one issue he mentioned that central banks are getting easier may help. see? in the u.s. it may help and may have been tightening too much a little too fast but outside of the u.s. that isn't the case they are just adding to a policy that really is hardly reversed and it is a much different dynamic. the moral of that story is i don't think it has nearly the same positive affect on some of the more structural issues that

europe and many other parts outside the u.s. ignored like more normalization and going to catch up with them so the only issue i think that's left is trying to calibrate how much of an affect we're going to get from their downturns and potential slipping into recessions, whether it's germany or other countries in the european group. >> jason, even though the poorer economic outlook is international, not domestic, does it make sense to see over 1% of declines for u.s. equities today because of the bounceback we got in january? >> i don't think so. i think, frankly, i would -- it's hai it's hard to, of course, parse these things out and i would think a bigger part of today's decline is a disappointment with the -- what is the perceived to be the pace at which china and the u.s. are going to negotiate some sort of deal. i very much agree with rick. what scares me the most of the

global economy is europe china, you know, we have worried about a hard landing in china almost every two years since i've been in the business and china really just dusts off the old play book and you can paper over a lot of problems indefinitely not a good way to allocate capital but china can fix the probables in the short term. europe, in my opinion, without any sort of positive fiscal stimulus, any sort of regulatory reform, structural reform it's hard to see easier central bank policy in europe i mean, how much easier can it get? it he's ha >> thank you both very much. jason and rick still to come here on the "closing bell," we have much more on the market selloff into the close. goldman sachs chief economist jan hatzius to weigh in on the biggest risk he sees to the market. shares of twitter tanking

today as the company changes up the way it reports met ricks we'll have the details next.

welcome down down 1.6%. s&p down and nasdaq down 1.5%. we have got around 42 minutes left of trade. looking pretty soft but not as bad as europe was. >> buying in the dollar and treasuries risk off tone after a strong run for stocks. >> still up week to date. % twitter is changing the way it reports metrics there's a big drop in monthly users. julia boorstin has more in los angeles. should analysts be as skeptical as they are, julia >> reporter: companies are certainly making changes about how they disclose things so twitter is looking to change the conversation away from its declining monthly active user base to daily active and growing. losing 5 million monthly active

users. twitter saying by focusing going forward on daily users it will be offering more transparency and it says it will only count users visiting the app or website and see ads but this isn't making it any easier for investors to compare them. snap only reports daily users but that number isn't comparable with twitter because snap's 186 million daily users could include people that use messaging not including ads. twitter's not the only company in the digital space facing scrutiny facebook has also been looking to shift attention away from slowing growth on its core facebook app and towards growing users of the entire family of apps which, of course, includes what's app and messenger saying it's a family of apps of 2.7 billion monthly users up from the third quarter and apple

reports unit sales no more disclosing more information, though, is netflix it's now announcing viewer numbers of popular films and shows. but still drawing krcriticism f counting the user views. >> which i saw those criticisms for i think fx ceo earlier in the week fascinating. back to the social media companies if i may does this all in all suggest that the stocks in terms of users have peaked? trying to finesse the numbers, tweak out reported to dodge the truth and this now really rests on average revenue per user growth rather than head count growth >> it is a different situation of each of the three companies twitter reporting this morning and monthly active users have been declining for the past three quarters monthly active user base is facing issues because they have

been eliminating in part getting rid of spammy accounts, fake accounts and harassment on the platform where they see growth is trying to focus on the daily active user number saying it's more accurate so the question is if you're an advertiser or even an investor would you rather see more people using a platform like twitter every single day and generate more revenue? that ad number from an advertising perspective may be much more valuable facebook, facebook platform is so massive it makes sense that as they try to grow revenue from the other apps like what's app and messenger they try to shift attention. its growth is slowing. >> well, they have to show other signs of growth if they're not going to disclose the users. julia, thank you companies have had mixed success with this. thinking of nike the futures orders, they kind of conditioned investors to get away from there and the idea is

the direct to consumer business such a strong part of the growth and a part of the business it didn't matter as much what the wholesale business was doing and apple's trying to do that, as well not just about the fact it's slowing and could be a change in the way that the business is operating. >> the other lesson, of course, the day you announce you're changing how you report, whether it's apple two quarters ago now -- >> spooks people. >> you think slower growth hiding something absolutely. >> a transition on the hands to work on. >> they have a lot to prove. all right. we have got under 40 minutes to go here before the closing bell. dow lower. s&p 500 down only three gainers in the dow. walmart, traveler's and coca-cola. boeing and goldman sachs taking the most points off the average. tim hockey joins us to weigh in on the selloff. what he is seeing from the retail investor. a top portfolio says the market is due for a pullback and t ullong he thinks icod

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we are down 284 points on the dock 1.1% s&p down more than that as is the nasdaq down 1.5% we have 34 minutes left of trade. coming up next on the show, the co-president of wwe joins us to break down earnings check out this stock chart up 140% over the past year

three big gainers so far year to date to report after the bell. we'll l bring you the results from expedia, iac and intel when they hit "closing bell" will be right back ♪ ♪ our new, hot, fresh breakfast will get you the readiest.

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welcome back to the "closing bell." 30 minutes left of trade down 1% to 1.5%. let's look at the biggest movers amid the selloff bob pisani on the floor of the new york stock exchange. bertha coombs. bob, let's start with you. >> lousy european growth forecasts and the market's pricey we have been emphasizing this. regional banks is a bright spot. up 3% or 4%. most of the other regionals are up but i want to show you dow laggards today because you'll notice the big, big banks that are out there, the money center banks not doing much jpmorgan not doing much. citigroup and weakness in the big industrial names as you see. back to you. >> thank you let's go up to bertha coombs at the nasdaq. >> hi, sara. big tech names that led the way

yesterday giving back the gains and then some today. chips among the losers and some of the biggest tech losers with china exposure micron one of them and sea trip, the chinese travel jd.com, chinese commerce, of course, wynn with resorts. health care also today a big loser, as well a challenge to a patent from mylan for the blockbuster drug to treat multiple sclerosis sets the clock ticking with the u.s. patent office over the next year and sending the rest of the bio tech space lower, as well. >> thank you. time now to get a cnbc news update with sue herera at headquarters. >> hello, everyone here's what's happening at this hour. in washington, vice president pence speaking before drug enforcement officials says the u.s. will build a wall at the southern border.

>> as congress is involved in negotiations even at this very hour, let me assure you, we will not rest or relent until we have the technology, the personnel and the barriers required to secure our southern border we will build that wall. the wife of el chapo guzman arriving at a federal court as jurors deliberated for the fourth day guzman could get life in prison if convicted of multiple drug trafficking and conspiracy counts apple has issued a fix for a software bug affecting the facetime app allowing a person to hear the call the fix is available for download apple issued an apology to customers who were affected by that issue you're up to date. >> you can still spy on your

friends. >> right you could. not that you would but you could. >> not recommending it you would think they would roll it out by force. there we go. thank you. >> you got it. now wwe is one of the bright spots in today's selloff up nearly 4%, beating earnings estimates. full year revenue of $930 million. as you can see, up 10% over the last 3 months, as well. >> only up 140 over the past 12 months. >> that was part of the first question. >> let's still ask it. >> great performance what's coming together over the last year? >> it is the execution of the strategy we laid it out about five years ago and we said we'll become a responsibly, digital direct to consumer powerhouse. that will lift everything we do. and it's happened. it is the fifth year of record revenues $930 million as you mentioned. >> is this an example of an area of content creation that's really benefitting from the

media revolution, that you can see your platform distributed well over the top and also over traditional broadcasts >> so look look ten years ago, with a piece of content we had to find a partner. today we find partners and we love them or we can go through the platforms. youtube and facebook or go direct to consumer i was recently talking to someone in the media industry. he goes, boy, you guys cracked the code and i said, well, there wasn't a code you know, we didn't crack the code we wrote the code. right? we wrote the code about digital, direct to consumer and the paid tv bundle an doing that all at the same time. >> why haven't you been bought they're all trying to crack that code. >> look. you know, they're all smart. they're all doing great things i'm sure they'll be really successful we are happy with our strategy i'll quote our founder chairman ceo saying we're always open for business and speak to people

about interesting ideas and keep doing what we're doing. >> differentiator, i don't know, the content. do you have any direct competitors? >> well, you know, in our world, which is entertaining people, everything that puts a smile on someone's face or gets their attention is a competitor. i always say the best thing is reed hastings describing competition. sleep is competition. >> that's fortnite. >> well now it's -- us, too, right? you keep an eye on that. we did 6 billion hours of video consumed around the world and we want to cut through the clutter. fans say i want my wwe. >> globally, still international opportunities you haven't tapped yet? >> we are up we're really excited about some of the emerging markets. obviously we have a great presence in india, the middle east there's interesting things over five to ten years in china

so, you know, we'll keep pushing all those. >> sorry just to come back. you didn't crack the code. you wrote the code if you're able to look at the other big traditional media companies, what is it that they haven't done that you would suggest they should have done? had too many old revenues they didn't want to cannibalize >> we all had that one of the things wwe is good at is reimagining itself. thinking through being honest about the opportunities and looking ahead and having the grit to push through the ups and downs. you start here you end up here. it is not a straight line. it does this and pushing through the down times can be tough so i think that grit element is sometimes misunderstood. separate and apart from that, we are not aing a regator of content. sometimes you lump together ip owners and aggregators. >> you also in the events

business. >> yes. >> which isn't growing like the media side of the business. >> sure. >> what are your expectations around that? what are you finding is working as you take the show on the road >> we did 320 events or so in 2018 about 113 of them were ones where we created media the pay per views on wwe network. whether you are on the big screen or there it is just about really energizing the crowd and have you been to an event lately >> no. i can't say i have. >> if you had to one you wouldn't be asking i get it wrestlemania is at metlife stadium in april you're invited. >> you go, sara. >> what's the dress road for wrestlemania >> for you, business casual. you will be fine. >> thank you very much maybe we'll try that. >> all right i like it. >> business casual >> for wrestlemania

entertainment. all right. we have got 23 minutes to go before the closing bell. the major averages, still lower across the board there are a few bright spots on the session. mostly in utilities or real estate within the overall market down 1.3%. we'll take a look at the weak economic data out of europe. and after the break, goldman sachs chief economist discusses the potential setback in trade talks with china, the possible impact on the u.s. and much more risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group - how the world advances. ♪

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slowing global growth is did theme of the day the european commission slashing the gdp outlook of germany and the eurozone cutting growth outlook to 1.3% compared to a previous forecast of under 2%. joining us to discuss how to interpret this bad news is jan hatzius chief economist at goldman sachs. how slow is the global economy slowing right now? >> we've gone from close to 4% the last couple of years to

probably somewhere in the 3.5% range or maybe a little bit less than that. but we have definitely seen the slowdown across a range of places some places it seems that that slowdown may be easing somewhat. if you look at emerging markets outside of china, things have gotten a little bit better over the last three to six months but china continues to slow and as we just saw the european numbers continued to weaken. >> coming to europe i guess in the fourth quarter last year there was a belief that the slowdown could be temporary for certain specific factors like german auto emissions standards coming in or just country specific rather than pan european are we starting to see it's a worse picture than >> i think it's worse than expected the things that looked temporary probably still look temporary but maybe more drawn out the german auto cycle, for example, numbers have gotten

better and a slower pace than i think most people ourselves included would have included but i think there are some reasons why over the next i sarks i, six months or so things might pick up somewhat. lower oil prices help europe fiscal policy is easier. we have also seen actually quite a welcome pickup in the wage numbers after a long period of stagnation so, you know, i think it's a mixed story near term numbers definitely worse an some reasons to expect truths. >> youk thedo you think the ecb forced to fight -- or it's already doing? >> we do think there will be another refinancing operation so i think very targeted measures do seem likely broad monetary easing is not our expectation. we're not looking for a return of qe and we think they're looking to the exit although it's a close call whether the

first move away from the minus 40 basis point deposit rate comes in 2019. baseline or moves into 2020. >> what does that say about the state of the eurozone economy in general? a decade on from the crisis with such slow growth levels already that more is needed? we were worried of a recession possible here? does that suggest it's definitely coming in europe in two or three year's times? >> i agree with you that more is needed in terms of above trend growth in order to bring down the unemployment rate and underemployment rate which in europe is still obviously significantly higher than in most other advanced economies, especially in the south. we have now moved below 8% on the unemployment rate. that was welcomed. but we're still pretty close to 8. and that's a different ballpark

from the united states. >> so how much does the slower global growth, european growth put into question the u.s. growth story for this year >> i think it's one of the factors that is weighing on u.s. growth, as well. i don't think it's the most important factor the u.s. is less open an economy, more focused than most others just by virtue of its size so i don't think it's something that would make me, you know, dramatically change my baseline forecast but i think it was a factor the fact that the chinese numbers -- european numbers have been so weak and uncertainties around brexit, et cetera, one factor why the federal reserve made such a big shift. >> do you think gnat dollar, therefore, could get stronger now that, yes, the fed's made a shift and a bigger shift coming elsewhere. >> currency forecasting is hard. our general take, though, is that the u.s. has slowed by

more europe is, you know -- while they have slowed through 2018 there's a little bit more prospect of maybe slightly stronger numbers so, you know, at the margin we would say dollar slightly weaker is probably a more natural expectation but that does require i think some better numbers in europe and so far we haven't seen those. >> one hike this year? >> that's correct. we have one hike in december. >> thank you for joining us. gre we have 14 minutes left of trade. down over 1% for all of the major indices. the dow's just improved now. less than 1% s&p down 1% and nasdaq 1.25%. after the break, the biggest risks seen to the market. an later, we'll discuss how the selloff is affecting

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and the army taught me a lot about commitment. which i apply to my life and my work. at comcast we're commited to delivering the best experience possible, by being on time everytime. and if we are ever late, we'll give you a automatic twenty dollar credit. my name is antonio and i'm a technician at comcast. we're working to make things simple, easy and awesome. stocks are making a comeback in the last few minutes after selling off earlier today on the new that is president trump doesn't plan to meet with

chinese president xi jinping before the march 1st trade deadline joining us now is andrew do you think that trade is a sort of key outstanding macro factor for the u.s. equity market at the moment or, does that global growth joutd look that softened today also impact the u.s. equities? >> i think it's in terms of today's move it is a combination of both. look, the market has had a very big move upwards anews unnerves people. >> how much are they related seeing headlines of german growth cut and uk growth cut and how much of that is because of the trade war which now appears to be going on >> look. yeah it's great question. look if you look at the quarterly gdp numbers for this year, they're barely above zero.

so we're perilously close to a negative gdp which is a recession. if it's shocks of trade war extending or weak europe that gets people anxious because of a risk of economic slowdown this year i don't think we're going to have that because recessions don't lead to presidents getting re-elected but that's the risk but it's also because the market's up a lot so bad news impacts the market more. >> what about the micro, andrew? >> no. >> since christmas. >> this is the bigger story. i think that chinanus is the headline grabbing and what worries me much more is companies met lower guidance but analysts wept out and cut their numbers for 2019 since then. and if you look at the first

quarter year over year it's now negative for earnings growth and we're barely above zero for the second and third quarter i think there's a very good chance we are going to see an earnings recession this year and if that happens, i mean, the more the market goes up the more that becomes an issue. so that is the bigger story in my mind, which is, earnings -- the multiple on the market is just gone from 14 to 16 times forward earnings and estimates are -- and we're going to have 5% earnings growth this year those are -- that's a tough combination for the markets, either revisions to move back up or we need a little bit of a retracement in the market here. >> so are there pockets of the market, sectors, perhaps, where things don't look as dire and don't expect an earnings recession? >> yeah. i think you have to think about it in terms of what led the

downturn usually first things fall off are first things to recover. i think emerging markets, you know, china well into a downturn, well, that was a first to weaken. i think some of the early cyclical stocks here, the housing stocks you look at how they're doing today. they're not doing nearly as poorly as the rest of the market because they're already down a lot. i would be very focused on companies that have already priced in an earnings and economic slowdown. >> okay. andrew, we'll leave it there thank you for joining us up next, we'll be back with the closing countdown. we have got around six minutes left of trade. after the bell, earnings of expedia, iac, mattel and mor'lb. wel inyothe results. ♪ at pgim,

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and you should be mad at tech that makes things worse. but you're not mad, because you have e*trade, who's tech makes life easier by automatically adding technical patterns on charts and helping you understand what they mean. don't get mad. get e*trade's simplified technical analysis. welcome back we have a news alert on sears. courtney >> so it does look like it's official according to a bankruptcy judge, eddie lam pert is buying sears or what remains of it. a slimmed down sears for $5.2 billion. the plan to keep 525 stores open and to save around 45,000 jobs

however, that has been one point that's a big contentious in court since there's still some uncertainty as to the final number of stores and the final number of jobs but i think the headline is that sears lives on at least for now back over to you. >> courtney, thank you very much for that i'll pick it up. we have just three minutes left of trade and a snapshot of europe, pretty soft downgrading of growth forecasts going forward, some soft looking german industrial production data germany in particular, the decline. flip to the s&p 500 intraday and see we have a soft start here. hasn't really improved in the day. off the low and also had a good final 30 minutes or so of trade and down a full percent for the s&p. you can see the dow down a little less than a percent nasdaq down a little bit more

than 1% and the banks action today. of course, that merger of bb&t and suntrust both up. 10% of double digits now not good for all the banks bank of america trading lower. some of the other potential takeover targets like comerica up nicely. bringing in bob pisani dollar intraday with the poor international growth outlook and expect it to be up more. >> we saw sterling on that depressing -- am i exaggerating? >> it's higher ending the day and dipped half a percent and rallied back out. >> i know. that was depressing. >> it was. >> i mean -- i couldn't finish the commentary and then other comments of europe the economic situation is difficult. europe down 1.5%

global slowdown. that's a major issue today the trade issues with mr. kudlow and comments on the trump/xi meeting and then finally priciness of stocks. we haven't been talking about this 0% earnings growth this year and a lot of people do so the market is 17 times forward earnings very, very high multiple to pay for zero percentage earnings the bulls have to convince people that they're wrong or the market is going to have some trouble advancing this year. analysts and strategist with 2800, 3000 for estimates and get the earnings up or they won't get to 3000 right now. that's the problem. >> m and a -- you're the bank guy here the big money center banks not doing anything today jpmorgan, citigroup. also you noticed the regionals have done well this year and everything else in the financials have not. all the asset managers, they're

in fee wars. insurance companies aren't doing anything regional banks are hopeful on the m&a. >> we have the closing bell. so a slight little bit of buying the nasdaq down more than 1% and that's a positive in a relative sense. there goes the first hour of the "closing bell. sara, back to you. ♪ welcome, everyone, to the "closing bell. i'm sara eisen wilfred frost rejoining me in a moment along with mike santoli at the td ameritrade link conference with us today from san francisco. let's take a look at finishing the day on wall street selloffs across the major averages dow finishing lower off the lows, down 218 points. the s&p 500 down about a

percent. utilities and real estate finished higher. everybody else lower energy hit the hardest down 2% materials, technology, communication services, crude oil down 2.5%. the nasdaq closing lower than by a percent. tech names slammed russell 2000 down. fears about trade, not reaching a deal with china. here's the stories trade fears on the rise as it appears unlikely president trump and chinese president xi meet before a march tariff deadline regional banks merging creating the nation's sixth largest bank and awaiting earnings of expedia, iac and mattel. joining us is stephanie link, portfolio manager. mike, how do you look at today's selloff? in the context of the stronger action in stocks or global growth concerns starting to get

worrisome? >> yeah. i think both i think the field position of the market was the precondition for what we saw today. this is basically a little bit of a mild pullback of the kind people calling for for two or three weeks after the strong january and makes sense in that way. the bigger view is that part of the january rally was, hey, nothing really much changed in december despite the fact that the market was down so much and nothing much really changed since november concerned about a deceleration in growth and exactly where the earnings come through and the first five weeks of the year, six weeks of the year it makes all kinds of sense to pull back and benign the way that the selloff happened today. down to certain levels people looking at just below 2700 on the s&p. for now i think it is mostly just a pullback and watching the treasury market and discussed about how the two-year yield

below 2.5% is not bullish for stocks and does mean that the growth fears are back in the forefront. >> is this also something to point to another relative outperformance day down 1% or so. and then in light of that you could say it's relatively resilient. >> didn't feel that way, though, today. there was a lot of cyclical leadership year to date and lagged and lagged hard the market up 16% from the lows, december lows, right we did have trade concerns today and some pretty crummy earnings, as well. right? that kind of dragged us down and the dollar has been persistent in terms of being strong everyone talking about how it's weak if that dollar does not weaken that's going to be problematic for a multinational company. >> up a percent this week. every day quietly. >> that's exactly right. we got earnings.

pretty good. guidance was kind of okay. maybe mid single digits for this year and you could use the days to buy some of those companies that we just heard from last week with sound fundamentals and what i have been doing. >> hit the trade story, kayla joining us on the phone with the latest details on the u.s. trade talks. >> the president has confirmed the news we reported earlier by all indications the meeting between the president and president xi of china will not happen before this march 1st deadline so what that means is that while there is still a deal in the works and a delegation going to china next week the deal is not finalized before the march 1st deadline number one, still too much ground to cover. number two, white house advisers want the president to have the full focus on the meeting with kim jong-un in vietnam and not preparing for an ancillary meeting with president xi to happen afterwards. finally, still the white house's preference that this meeting when it happens at some point

which could still be shortly after the deadline is it's on u.s. soil and what they're pushing for here u.s. and china discussed this happening in vietnam or on an island in the south china sea and obviously those plans are now not going to be followed through on and the focus on what happens on march 1st tariffs on chinese goods set to double from 10% to 25% automatically unless the president weighs in with the presidential memorandum and says we want to maintain the status quo. officials i speak to say that's the likeliest outcome and the status quo is maintains though i'll note ambassador lighthizer briefed lawmakers yesterday. when they left that briefing they said he was not definitive about what happens on march 1st, although the u.s. is inclined according to my sources to leave those tariffs at 10% as long as they feel they're still negotiating in good faith and

talks are making progress. >> kayla, is there a united front in the administration at the moment or is part of the delay because different members of the administration have different views about the best way forward? >> well, i think every member of the negotiating team would say only one person's opinion matters and that's the president's and predisposed toward a deal and disagreement below that level on compromise a good deal. and what china should be offered as a olive branch, an incentive to come to the table china wants all tariffs removed and to make these massive purchases to lower the deficit as part of their offering. this they would bring to the table. that is something that president trump is warm to he and president xi had a discussion at the g20 and gave every indication that was good enough other advisers say, no, there needs to be more structural changes made and we should not

roll all of these tariffs back immediately just because they're willing to make the small concessions. with some in the administration saying what if we just selectively roll back some tariffs and if china continues to deliver we could roll back more tariffs and if they don't we put them back on? there's disagreement of the contours of the deal to look like and it is still everyone's agreement that the president is predisposed to making one. >> all right kayla, thank you very useful color on when's going on behind the scenes between the u.s. and china so according to kayla's reporting it is not necessarily a done deal by march 1st and might want to keep the status quo and not raise the tariffs but that's got to be a risk at this point. >> oh yeah. >> how do you plan for such a thing? >> it's so hard. this is a fluid situation and i think if you're a long-term investor, you have to almost ignore it and go back and focus on fundamentals and valuations,

earnings and hearing from companies. >> this is part of the fundamentals. >> we don't have any control of what is going to happen and to try to predict that or to try to position your portfolio for an outcome that doesn't occur is dangerous to do. diversity at this point, diversification is really important. you have to own high quality blue chip companies, as well, to protect yourself until we get answers or closer to the answers. >> mike, markets aren't pricing in things getting worse? tariffs going up leads to a bigger selloff than perhaps the small improvements led to pickups in the market? >> i think that's probably the setup, wilfred social the market sought to rush to that place to just check off the box and say there's something coming out of this march 1st. i would doubt that the direction of the next 10% in the stock market is totally reliant on

whether, in fact, we get a deal or the tariffs stay the same or go up. after a rally to the downside because this was something we were counting on i think over the course of the last month, month and a half, the risk has turned in the direction of if we don't get a deal but by the way, i think it's also mostly that investors have a fatigue with this issue it is not the kind of thing that markets are good as handicapp g handicapping they can't follow the polls or leading indicators here. >> let's move on and talk about the banks. bb&t and suntrust trading higher after announcing they'll merge bill rogers and kelly king appeared on cnbc earlier to talk about the deal >> we are all facing an increasing set of complex

economic realities where wech hv to invest more and more in technologies and we recognize to go forward, move forward with the best premier financial institution we needed additional skills so that we can make the technological investments necessary to provide the very best digital platform. >> now, we have, of course, been talking about the deal already today and share price moves, a winner for the regionals, a bad day for the bigger banks but that particular angle which came up on the annual ialyst caa lot, as well, to allow them to invest in technology almost to play catch-up with the big guys does suggest that the moves today could be slightly temporary because the big guys have an ability. economies of scale to invest they dwarf the amount of spend of the smaller guys. perhaps we'll see it shake back out. if it's not and this is just a

great regional opportunity for them then that kind of explains why both stocks are up today. >> i was shocked to be honest with you i'm a suntrust shareholder i was happy. but i will say that these are two companies. they're premier super regionals and doing absolutely just fine in this environment and absolutely is about size and scale. the combination of these two is going to be equivalent of usb. there's still heavy lifting to do and no question about it. the big banks have been investing for years and years and years and will continue to invest and gain in the technology front and so, yeah. absolutely that is absolutely the reason they got together. >> and part of the reason why they moved so much in the market embraced it so much is synergy component and overlap. >> definitely one of them -- >> more efficient. >> both stocks up because i think a merger of equals pretty

much not one -- the market thinking one paid a massive premium for the other and, again, sweet spot as stephanie said. this is sort of a same size as u.s. bank corp. and so again, seen as a good sweet spot. mike, your take on the share price reaction today so positive for the small banks, negative for the big banks. >> yeah. i mean, it does make sense that i think that these two banks, if you look at the combined market cap, the market pricing in the efficiencies and i think the first deal after a long time in the industry maybe is the best one and almost always gets the pieces moving around makes a lot of sense to see the regionals move to the redefine what a big regional is because this institution will do that that all makes sense i don't know that it's going to

be a complete headlong gold rush the days in the '90s just deal after deal after deal i don't know if we're looking at anything like that this combination, though, i think it was like first-year investment banking 101 with overlap and good geographies and the parts of the country growing better. >> yeah. i agree. all seems very obvious now, mike most of the analysts i think the morning taken by surprise and stephanie. >> one question is, are we going do see more? it lit a fire under the other names. >> is that for good reason and just see more consolidation or this is it >> i think that you can expect some more bolt-ones but not another one out there seems obvious of this size that would see another fifth or sixth biggest bank in the company created. usb as you said hasn't got as much head room for another one of the deals and looking down the curve some of the -- >> citizens. >> could start

it's interesting to see which ones moved the most today. i don't know if you were fishing. >> 3.5%. >> comerica up 5%. >> not two to combine to be of the size of this deal unless it was a bigger bank that actually goes after i don't see that happening i don't think the big five need to do anything quite frankly doing well in terms of capital positions, balance sheets. blocking and tackling. maybe we'll see some deals but by the reason they have the big ones fell today is positioning clearly what was going on. >> also yields. >> rotation out of them. i don't think it's going to last for a long while. >> in terms of regional focus, you could have expected wells fargo and bank of america to trade down and then -- >> yeah. >> i agree i think it's a bit of switch allocation today and settle it later. we haver andings on mattel >> shares of mattel soaring after hours for the fourth quarter and beating on the both

top and bottom line. the street expecting a loss of 16 cents revenue's stronger than expected compared with 1.44 billion barbie sales strong. hot wheels up 9% fischer price down 17% and american girl sales down 27%, as well they haven't totally shaken auftd the affects of toys r us the gross sales result of the liquidation down 6% and a much better than expected quarter here for mattel. back over to you. >> yeah. i mean, big pop in the shares. they have a new ceo. thank you very much. it's an interesting story. focused on media and the production house following the footsteps of hasbro and others have done despite barbie and hot wheels, american girl down 2%. fischer price down

not broad-based gains. >> this company hasn't delivered in years, years. so new management comes in you have low-hanging fruit, okay structurally this is not where kids are playing honestly. much more involved in digital and that sort of thing, social so you know, it is a nice pop. >> unless they're under 1-year-old, we spend a lot of money. question, to get a read on the u.s. consumer of the earnings out, it is confusing tapestry down almost 12% but chipotle soared double digits and really a team of winners and losers what kind of read are you getting on the consumer? >> i think overall pretty good shape. look at gm yesterday right? people are still shopping and buying cars. i think it's really a stock picker's market in the consumer. right? with tapestry, they didn't execute. they have old product. new designer coming in and the product's not hit the shelves yet. but very well run.

very cheap stock and let the dust settle on that. chipotle, the new management is delivering in spades and expensive and delivering and put up a six comp with margins up that's exciting so i think you pick your spots within consumer. >> mike, is the u.s. consumer going do get hit by the slowing u.s./eurozone outlook? >> i think you would have to see a few kind of links in the chain go before that one meaning companies themselves cut back on hiring because right now it seems i seems insulated. i don't think it's a free spending environment and with the wherewithal out there to spend. i don't know that it necessarily goes from the global malaise to u.s. consumer catching that cold. >> okay, mike, thank you very much good to have you here even if it was just for the "a" block and, stephanie, thank you very much

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welcome back today's selloff fuelled in part by concerns over global growth after the european commission revised down the growth forecast for germany and the euro area as a whole. for more, bring in dana peterson and richard haas richard, the downgrade in eurozone growth srks that something that's going to put us in negative territory in the next couple of years oar just a short-term blip given factors of last quarter >> well, it is part of a larger trend and a downgrading of global growth projections down from 4% to 3.5% and then you have some of the unique situations, quote/unquote in britain, italy, france and germany and just so overall you have got the combination then of

national factors, uncertainty about the eu and then the global context so it all adds up to much lower growth. >> you know, richard part of the fear today was that the u.s. and china won't strike a deal and there's a risk that those tariff rates go up. how do you see the u.s./china trade fight playing out from here >> it's a good question. easier to ask than to answer i think more likely than not they deal with the size of the imbalance. it comes down. some tariff and nontariff barriers come down you don't really address the fundamentals with technology theft or chinese government subsidies. so essentially you would have a phase one deal and there's clearly a debate in the trump administration about whether to be more ambitious than that and if they try to be more ambitious

i think they almost inev bring fail because china won't agree to change any of the fundamentals of its economics model to make the trump administration happy >> dana, is the outlook or the prospect for china/u.s. trade talks improving or getting worse? >> sure. a survey of our own believe 60% believe we'll delay the deadline and then will be a deal and then there's a dichotomy of whether the presidents will accept a veneer of a deal and not addressing the issues. and certainly when we look at the jououtlook for the global economy, there's concern of growing chinese growth and the trade dispute with the u.s. >> richard, you know, on wall street everything is very short

term in nature wants to see a deal and tariffs go away. are there longer term implications of the trade fight that we're not thinking about or talking about? g geopolitically or economically that should be on the radar? >> there are other things more important than trade china's structural slowdown. the end of the era of relatively cheap money and the backdrop to this and then more specifically with the united states and china i think we're probably entering an era where the two economies are much less integrated you won't have a total divorce but a separation the united states is not going to be as open or transferring as much technology to china china won't be as dependent on the united states because they're worried about sanctions and you are going to see something of a divergence with the economies. >> does that mean we're more of a competitor isn't part of the what the administration is trying to do

to weaken china's hand with 5g and the technology and telecommunications if you're suggesting to go separate ways doesn't that set us up as competitors >> competitors and we don't have the basic trust. china doesn't trust us not to sanction them. we don't trust them not to steal technology and introduce it under their own label and that's a recipe for two countries, more and more going their own ways. >> dana, the downgrades in growth we saw in europe today, do you think that they're overdone somewhat? big -- particularly on the forecast for the eurozone as a whole. >> i don't think necessarily overdone over the last few months we have been downgrading the forecast for global growth and european growth certainly seeing slower growth in germany, italy. there are concerns of politics and geopolitics in italy and france and certainly you have the brexit issue overhanging the

entire outlook where there could not be a deal. with that, we think it's entirely appropriate to see slower growth and do not anticipate there's a recession in europe or rather that's a very low probability event >> how do you think, richard, you know, we are already in campaign, political season how do you think that impacts the geopolitical outlook we are talking about not just with u.s./china trade but within the middle east? what do investors need to know >> probably making it harder to get the u.s. m.c.a. and nafta 2.0 through the congress it will probably make it harder for the united states to do anything about the deficit you simply don't have a consensus to do that i think more broadly the president is tapping into a reluctance of the united states to about and lead in the world whether you see it in syria, afghanistan. the strategic direction of u.s.

foreign policy i think that's shared. that's not just donald trump if you read what the -- and listen to what mr. democratic candidates are saying, the consensus is different than the post-world war ii consensus that guided us. >> richard, thank you for being here dana, thanks to you, as well. up next, td ameritrade ceo hockey tells us whether the clients increasing the risk appetite despite the trade tensions of the market today. ford is doubling down on all the new explorer suvs in the leju srtat it can mpta sas.

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brokers taking a hit today with the broader market. mike santoli is in san diego for td ameritrade's link conference and joined right now by the ceo tim hockey mike, over to you. >> sara, thank you very much tim, good to see you thank you for stopping in. >> thank you. >> so just to get to the news of the day wechb talking about, this big bank merger, obviously, regional banks not the same thing as brokerage firms and investment firms but you participated in consolidation and questions of whether this is another way for regular tory and other reasons. how do you think about your business >> we participated very recently

and -- >> scottrade. >> a great opportunity for us to help consolidate the industry. my view is there's a stabilization for a period of time and always rumors and talks but we're very focused on just growing organically. the environment is conducive to allowing the deals to happen who knows if that's the start of an additional wave >> you think it's a stabilization period >> i think so, why. >> markets have had kind of a wild run obviously bad december almost a "v" recovery in january. wondering what your read is on your investor engagement, your clients whether from the trading side, self directed and there's indication that coming into this reserve of caution out there >> yeah. so certainly october, november of the last quarter was interesting. december, of course, was what you talked about

january, a good description of "v." and a rebound back what we saw in my view is two distinct of our clients. clients serving here and their clients who tend to be served by the population are really long-term focused african an aberration. they have questions and advisers are spending a lot of time with clients with hand holding an explanation and look at the retail clients more self directed themselves, we call them empowered, they take advantage of the opportunities december did feel different. i would say. there was if you look at the investment movement index, it dipped down. the cash levels bounced back up. and then that's now slowly recovering after the active investors get back in the market. >> some of the other fundamental inputs of your business, the world downgraded expectations of

the fed of rate hikes and comes when you have competitors of ads of cash balance. >> right. >> there's pressure in there how does that shake out for you? >> we have a very different view as most in the industry do of what that cash is for. they don't think of that as an asset class in and of itself with self directed account you are saying this's my money there as a holding tank until i make that trade and that money is highly sticky and doesn't usually chase for yield. so as a result it's a careful balance for us to manage the interest paid levels with the demand sensitivity of clients and we think we find the right balance. >> one of the areas of investments that's not seen as many fee pressure, some argued, is investment adviser channel.

do you think that's next or is that -- is being closer to the customer protection against that >> it's a help let's face it. there isn't anything in wealth management, under some level of pressure the question is the rate and so, when i talk to our advisers here, our advice to them is helping them build the practice up to spend a lot of time thinking about the value adds they have if they were still in the asset class allocation business might have been 20 years ago that's commodityized hugely and moving to upstream services estate planning. thinking through how you will be okay in the -- clients still hugely value that and willing to pay for this. >> emotional support. >> absolutely right. >> thank you appreciate it. >> good to see you. >> sara? >> mike, thank you save us a spot by the pool mike santoli reporting from san diego today. time now for a news update with sue herera. >> hi, sara.

i was thinking the same thing. beautiful out there. here's what's happening at the hour, everyone vice president pence with a nasa day of remembrance at arlington national cemetery reflecting on the memories of nasa's moments he said the nation holds a debt of honor. the senate jewish yash committee approving president trump's nomination of william barr and the nomination now goes to the full senate floor where barr is expected to be confirmed. bill cosby is moved to a general population unit as he serves three to ten years in prison for sexual assault. this after he spent four months in special housing as he got acclimated to the phoenix prison in philadelphia. he's now in a single cell without a cellmate. hall of famer frank robinson, the first black manager in major league baseball

and only player to win the mvp award in both leagues died today. he has recently been in hospice care he was a first ballot selection to cooperstown he was 83 years old. you're up to date. that's the news update this hour i'll send it back downtown to you. >> sue, thank you very much for that. skechers numbers are out eric >> up at least 15% after reporting earnings strong numbers on the eps with 31 cent result better than the 23 cents the street was expecting also reported strong margins, also increased guidance on the earnings front going forward but on the revenue side they actually missed this quarter and guidance is lower going forward. nevertheless, the stock up 15% last few quarters moved plus or minus about 15% to 20% and volatile stock after earnings typically. back to you. >> eric, thank you very much for

that. up next, whether the merger of bb&t and suntrust to launch a wave of merger. coca-cola and taking heat for napkins on the carrier's planes that's coming up oh, wow. you two are going to have such a great trip. yeah, have fun! thanks to you, we will. aw, stop. this is why voya helps reach today's goals... all while helping you to and through retirement. um, you guys are just going for a week, right? yeah! that's right. can you help with these? oh... um, we're more of the plan, invest and protect kind of help... sorry, little paws, so. but have fun!

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call or visit shares of bb&t and suntrust higher today after announcing it would buy suntrust in all stock deal. >> they like to use term merger of equals. a bit annoyed. anyway joining us to discuss whether more regional bank mergers to follow, steven sandlin thank you for joining us. >> thank you for having me good afternoon. >> do you think it sparks a wave of further consolidation >> we do, honestly i don't think it's immediate but i think over the next one to three years you could see activity of a similar ilk, larger regionals with moes, $150 billion or whether this

motivates u.s.b. or pnc to come into the southeast and looking at regions which is now kind of a remaining target of focus for people down here. >> i guess, steven, looking at the share price action today the biggest banks did decline. are those the two most threatened and surprised to see this deal take place today and, therefore, most eager to do one themselves >> i think so. i think that's the right take. i think if you wanted to be in the southeast, right, suntrust and then maybe regents to a secondary degree the targets to look at and one of those is gone and bb&t, whatever that is to be called, will be competing up against you and show it is banks they don't want to go it alone and needs additional scale to absorb the technology costs and, again, compete with the larger

banks and do so from a regulatory standpoint. soy think those are the first primary. >> it didn't get a lot of attention, that question, steven, but is there likely to be regulatory scrutiny on the deal it was so long since we have seen a deal in banks in this size since the crisis. >> yeah. it is a great question, sara what's hard is they still have a bsa order currently and again done away by the fdic and joutd standing with the fed and the people have slight consternation and they're not new to m & a and you have to believe they've done the checks to know that this is a deal that the regulators feel good enough to give them a preliminary blessing on and assuming it gets it done we see additional activity from here. >> steven, talk to us about that technology aspect that you just said they talked about it on the call and did interview with david earlier today. does this tie up actually allow

them to compete on the technology front with like tos of bank of america, for example, or not still enough of scale >> yeah. i don't know that they can compete quite at that level and i don't know that they really need to. bb&t was going to spend $1.1 billion on a standalone basis and now an incremental 100 million. that money would have had to have been spent at them and suntrust and you have a savings and end of the day you have to do enough to maintain the customer base and grow it and folks don't want to be at a citi or a jpmorgan so i think they have to do enough here to be competitive but not necessarily quite on that same scale and i think this allows them to do that >> all right see what happens next. thank you for joining us. >> thank you so much. two auto stocks in reverse today. ford down despite increasing production and fiat chrysler in the red after announcing

something for shareholders it hasn't done in a decade. we'll have those stories next and actually both fell toward the close. a bad attempt at matchmaking a bad marketing move for diet coke and delta that story next on our radar what do advisors look for in an etf? don't just track an index, help me meet a client's need. is the fund built to sell or built to last? etfs are only part of a portfolio. so make it easy to explain. give me a quality fund that helps me get clients closer to their goals.

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so, servicenow put your workflows immhm. cloud, huh? your employees must love you. [ chuckles ] thank you. you could say that. i love you. servicenow works for you. welcome back to "closing bell." look at the stories that are pretty buzzy away from the market news today. >> i'm going to start with a

postmate story confidentially filed for initial public offering, ipo according to the company, the size price and timing of the offering haven't been determined yet. so interesting to see another potential ipo of a new tech type company. there are so many. it's such a crowded space and all reportedly loss making. >> food deliveries >> food delivery apps, this is one of them. three or four years ago it was not a novel idea and suddenly using one app and now how many caviar, uber eats. >> seamless. >> plenty more in the uk. >> grub hub. doordash the difference with postmates, i'm a pretty active user of the services, i don't cook, postmates lets you go to pretty much any restaurant and finds a courier versus some of the other sites matched with particular restaurants. so it's helpful if you want a restaurant not on the other

services but the service is a little shaky. i have had many orders canceled. >> doesn't caviar do that? >> no. a specific list of restaurant they work with they have the best restaurants in new york city in my personal opinion. >> the expert right here. looking at delta, the creepy napkins. both delta and coca-cola apologized for the in flight napkins to suggest writing down phone numbers and hand it to the plane crush. according to corporate blunders, this is not serious. and not -- i don't think a major faux pas but obviously all wrong because people went nuts on social media. >> two things to this one, really dated i don't know who would do that long before our time i would say and also why did you get the napkins? in america, a bar or the airplane, every time you get a drink or anything, it is another nape napkins. >> you don't get - >> a coaster to stay there

permanently. not -- >> kind of nice and don't put it directly on the tray table and not always clean and nice with snacks because then you can wipe your fingers. >> they give out too many. not being like environmentally friendly like that i think you get a lot of them. >> have the right message on it. ford's recently revamped explorer is driving new investments for the automaker. 2020 edition of the best selling suv unveiled last month and now increasing production to meet expected demand. that story coming next with all that usaa offers why go with anybody else? we know their rates are good, we know that they're always going to take care of us. it was an instant savings and i should have changed a long time ago. it was funny because when we would call another insurance company, hey would say "oh we can't beat usaa" we're the webber family. we're the tenney's we're the hayles, and we're usaa members for life. ♪ get your usaa auto insurance quote today.

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welcome back expeetd expedia getting a big

boost. >> expedia beating earnings estimates and revenue estimates. the company speaking to the strength it's seeing not just in hotels but its vacation rental platform homeaway. just for q4 up 20% on the call the company talking about how it's expanding its inventory to cater to a broader audience, and so investors seemed to like that news you can see the stock up 9.5% in extended trade guys, back to you. >> the ceo will be on "squawk on the street" tomorrow. ford and fiat chrysler both making headlines today phil lebeau has the stories. let's start with ford. as we've been talking about for some time, it is a truck and suv world that we live in here in the united states. when it comes to manufacturing those vehicles, the automakers are making the investments to support those vehicles ford announcing that it will invest a billion dollars in its plants on the south side of

chicago, adding 500 jobs again, this is all for the new explorer production will begin there in the next couple of months for this new suv we are in a truck revolution and the plants that build the suvs and pickup trucks, that's where the investment is going. here's the reason why. truck sales are up 10% last year you're not putting money into a plant that builds cars that's why certain plants are beingphased out. the stock under pressure for a variety of reasons wall street is waiting to find out what the further restructuring details will be when the company announces them in the next couple of months there are some white collar job cuts that have been rumored. whether or not that develops, we'll have to wait and see another stock under pressure in the auto sector, fiat chrysler reported quarterly earnings today. the guidance for 2019 was disappointing. that's the reason the stock was

down 12% all day long. they're expecting a profit a little over $7.6 billion before the call, the analysts were expecting a profit of $8.3 billion. that's why they're bringing down their numbers and that's why the stock is under pressure. >> phil, on the point of fiat chrysler, was that u.s. guidance that dragged it lower? i know it's got a little bit more international exposure and there was some one-off items in diesel and emissions fines. >> no, that's overall corporate, the guidance for the corporation overall. but remember, when you talk about north america and the united states, that's where the bulk of the profits are made 85% of the money comes from north america. europe is a struggle to a certain extent, but that's not the biggest concern out there right now. it's the fact that they have a combination of higher fines because of what's going on with emissions and the diesel investigations and higher capital expenditures put those two together and that came in higher than expected in the eyes of many analysts.

>> phil lebeau, as always, thank you very much. >> you bet. shares of mattel are soaring after hours on earnings. we'll check in on that sckndto a some of the other big movers, next with signs of opportunity. but with opportunity comes risk. and to manage this risk, the world turns to cme group. we help farmers lock in future prices, banks manage interest rate changes andrisks and move forward.stsr it's simply a matter of following the signs. they all lead here. cme group - how the world advances.

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let's have a check on the headlines making news after hours. mattel getting a big pop as earnings and revenue come in above estimates. barbie sales degree 12% in the quarter versus the prior year. >> barbie and hot wheels offset fisher-price and american girl. sketchers earnings came in below expectations and shares of columbia sportswear beat on both the top and bottom lines giving some pretty strong full-year guidance the company announcing a new $200 million stock buyback just another sign that it's a pretty mixed picture in consumer you saw that in some of the discretionary stocks with tap industry down 14% and chipotle up double digits restaurants seem to be doing better some brands, if you got the right influencers, are tapping into a very strong holiday season and a very strong consumer environment. >> my takeaway, i think big declines today or felt like big declines, the nasdaq down 1.2%

s&p and dow down less than one if you look at the euro stocks, 50, down 2%. germany down more than that. in a relative sense, these kind of trade headlines and european growth headlines had come a couple of months ago i think we'd have seen bigger declines it's not as bad as it could have been. >> we still have trade talks in beijing next week, something the markets can look forward to with the deal in doubt after today. tomorrow on the show we've got the ceo of cleveland cliffs, the iron ore company where the ceo told one analyst that he was an embarrassment to his parents and a lot of other derogatory things he's back. >> we look forward to that i guess the other final thought is on the banks, fascinating moves. such diversity in terms of small banks doing very well, some of the medium sized flat. those big banks taking a hit i agree with stephanie link that there's a bit of rotation in the

stocks in terms of people that allocate to them as opposed to this being a bearish sign for the likes of bank of america and wells fargo. >> they're also exposed globally. >> exactly fair point. that does it for "closing bell." thanks for watching. >> "fast money" begins right now. "fast money" starts right now. live from the nasdaq market site overlooking new york city's times square, i'm melissa lee. tonight on "fast" stocks feeling the heat today, but don't worry, tony dwyer is here and says new highs are coming, but don't buy just yet he'll explain. plus twitter tanking nearly 10% as it changes the way it uses its user base we'll tell you what has wall street so worried about the social distortion. first, do you feel that? >> what was that >> trade tremors sweeping across wall street as president trump says that he will not meet with president xi ahead of the march 1st trade deadline the dow sinking nearly 400 points at th