and you don't know what it looks like going forward. citigroup is in the process of being dismantled. so it's hard to really get comfortable. if you want to play the financials coming back i agree very much with joe i'd be in bank of america or jp morgan because you don't know what the citigroup play is. >> and that really raises questions about the fate. we talked to charlie about that yesterday. it seems like perhaps the clock is ticking for -- >> there is a rising star at citigroup. ned kelly, cfo, he is a rising star there. so there's hope on the way. >> let's go on to another one in the financial world, the regional banks, local banks still have steeper exposure to a weak consumer than some of the big wall street firms especially when it comes to their loan portfolios. bb&t coming out today. we got some sort of idea of what we could expect. joe, this is an area you've been tracking for a long time. you don't favor this. >> we have been talking about being along capital markets and selling regional banks. though understand one thing.

what are you looking for, guidance. and that's exactly what intel l gave you. they gave you guidance on the third quarter. that's critical right now. >> let's talk about intel and fast. we desee the stock move up about 7% on the guidance specifically. and specifically they mentioned strength out of china. that's the stimulus plan kicking in. igniting demand over there. at the same time, with the 7% rally on a name like intel, do you stay in this stock for the remaining part of earnings season or is there an opportunity to get in later on pullback? >> with that kind of growth expectation for the third quarter which nobody expected and the margins that they delivered on which people said were the biggest part of the numbers, i think you do. i think the guys busted through a significant resistance level that there was no need to drive it through that we got the reason. and i think you'll get a reaffirmation tomorrow from ibm. >> what is it specifically about dell that they talked about very weak pc demand and others are not seeing the same thing? we do own hp. i'm

what can you tell us about where the economy is heading? not in a backward-looking sense, but in terms of the next quarter. >> erin, thanks. it's nice to be on with you again. i'll tell you, there are better days ahead, it's just hard to call when that's going to happen. when we saw the earnings for this quarter in an era where less bad news is good news, we got good news, and that is it looks like the rate of growth decline is slowing, and we may be approaching the bottom. it's a very fast-dropping market, and that's good news. i think we didn't see boeing and airbus reduce their production rates. that's good news. so i think there is a lot of uncertainty left out there. i think we've got a couple tough quarters coming up, but i think the rate of decline and the rate of bad news is getting better. >> clayton, it's skye, how are you? i should know the answer, i don't. is there an up great psygrade c terms of avionics? >> if you look at our commercial revenues, we're just slightly over half the new oem equipment and oert half is the aftermarket. there is always a mai

and we are, as you can see, looking at sonia sotomayor. rings are beginning in just about four minutes, the top of the hour. everyone will be watching those very closely. you can watch that hearing live on our website, cnbc.com. everyone will be very curious to see exactly what the details are that we will learn, particularly on issues such as affirmative action. >> oh, yeah. the dow is up 11. is s&p is up one. earnings season kicks into top gear this week. the economic data pocket is plenty full as well. >>> to matt's point, we were up 40, still up 13. where will you fdt the stability and resources to keep you ahead of this rapidly evolving wor? the are tough questions. that's why brought together two of thst powerful nam in the industry. introducing morgan stanley smh barney. here to rethink wealthanagement. here to answer...yo que. morgan stanley smith barney. a new wealth management fir with over 130 yearsof e. >>> a judge grants a motion to delay the tax trial involves ubs and the u.s. government. they're trying to solve a dispute invo

you look at the service na you you haveo impressed. ose are the stocks that have corrected much more than t ice ofil. yocan still be safe with some of those names. that being s if the tape is itoing to break down, you' not safe in anything. but l services -- >> to put a wrap on this, meliss the qution is, do they come back to the oil futures phase? i mean, ifil tic up again, do we e everyone pile back in and get the futures? or do they do as we have suggested on the dk and get equitylode euroin energy needs. >> tre's a reason to invest in oil to begin with, the volatility, the extra juice you can have you don't getrom the s&p. >> it's so pure of play where some of the equities are not pure play. so many factors going he equity price the market for one oil futures a re play. but i really think we have not seen the end of this derivive discussion. that's a really importt aspect of who's gng to be in these rkets and what instruments a they going to ussoou can see a rther decoupling. it's bn a couple of days. it's so dramatic. but a furthe

you start looking at where they can get credit. they can't. their homes aren't worth what they were before. they can't sell their homes if they wanted to. they don't have jobs. then you start looking at the earnings. i think this is the most important part. how many of the companies that have reported so far and/or report in the next week have had top line revenue growth as opposed to earnings growth? you know, we are not going to cost cut our way out of this. we need to actually rectify the fact that valuations cannot return to where they were before given the fact that the consumer cannot come back to the level they were at before. >> housing is also troubling to you so, patty, given these three factors and three reasons why you are a bear how do you play this market?t? >> you know, i am being very, very conservative at this point. philip morris international l gives me international exposure. i really like the fact that, you know, it's a bite sto ae's a vi. i think the emerging markets are going to come back sooner. all international play ha

you look at the volumes in exchangin exchanging, especially cme. you heard donahue on "closing bell," he made great comments. i think cme is a buy right off the bat. >> all of this stuff, it is trading vehicles. a lot of names made reversal as today. oil lower six days in a row. on the seventh day it rest. i got oil long on the close on the seventh day hopefully we rest. take a look at rncht i.m., you saw a powerful reversal, got below $64, hasn't done that in a long way. we were looking for the capitulation moment. the price of rimm jumps from $65.25 and goes $65.50 that's a tell bottom is in place. gives you a great point of revens. i bought it. >> let's move on to the next. in addition to oil banks weighed on the market. bernstein cutting estimates for morgan stanley as well as goldman sachs. trimmed back earnings on these names partly because of the fdic cost assessment and because of the t.a.r.p. could this be an opportunity? we're seeing goldman sachs trade although $136 and change. that's the best in clas. we've been taughting it here for som

yesterday's earnings came in, look at that. you can see what happened. maddy's warned that las vegas sands is subject to a possible downgrade which could jeopardize its covenants. the only good news is in cruising where it looks like discounting is starting to ease up and carnival is going to be -- is starting to raise prices for cruises booked at the end of this year. but the big question mark hanging over that industry remains h1n1, in fact, a royal caribbean ship pulled into port in france today with 62 people sick with cold and flu-like symptoms, so that continues to hang over the whole industry. i have to tell you one other thing, caesars palace, they are seeing a boost in business as people are wanting to check into the suite from "the hangover." >> funny you should mention caesars palace, oddly enough, because we're going to be on the ground monday in vegas. we'll report back. >> are you going to twit it? >> we'll be a camera for you. we'll let you know what's going on, me and the doc. >> that's amazing. >> "the hangover" pa

speaking as an american i think that's the kind of change you want. look, if right now hospitals and doctors aren't coordinating enough to have you just take one test when you come in because of an illness but instead having you take one test then you go another-to-another specialist you take a second test, then you go to another specialist you take a third test and nobody's bothering to send the first test that you took-- same test-- to the next doctors, you're wasting money. you may not see it because if you have health insurance right now, it's just being sent to the insurance company. but that's raising your premiums. it's raising everybody's premiums. and that money one way or another is coming out of your pocket. although we are also subsidizing some of that because there are tax breaks for health care. so not only is it costing you money in terms of higher premiums, it's also costing you as a taxpayer. now, i want to change that. every american should want to change that. why would we want to pay for things that don't work, that aren't making us hea

so is that where you want to be looking, healthy balance sheet? > i think you want to be looking at healthy balance sheets primarily. and i think the bad thing is that some of the companies that people think are healthy today like some of the banks, you know, a lot of -- there's a lot of commercial real estate that's still got to get refinanced pape couple of trillion dollars over the next two years. >> that's what i'm worried about too. >> i don't think that's over yet, and i think in the back half of this year we're going to go from worrying about citicorp to worrying about a lot of the regional banks. you can't bail every one of them out. >> that's the thing. because a lot of companies have exposure to the commercial real estate market you that don't necessarily think of right off the bat. and so if we were to see a real shoe to drop this is going to be broad-based impact. >> and i think it will make people rethink, oh, well, are these banks really safe? and if they're not then where does credit go from here? because you can't keep running $2 tr

looking for? what would be the red flag? >> what youat is -- today it's interesting to have this discussion today. to show how uncertain the situation is, we got a good indicator. the trade numbers are better than expected. that's the debt that the economy in the second quarter may turn out to be stronger or the third quarter than we expect. a lot of uncertainty here. so i think you have to monitor the real economy. it's like taking care of a patient that you're trying to help recover. you take care of the -- you look at the vital signs. the vital signs are the rate of growth of output, the unemployment rate, the greater growth of jobs. we've had already an improvement, now, an improvement from a dire situation. in the second quarter of this year, the unemployment -- the -- the increase in number of unemployed peoples, 1.3 million versus 2.1 in the first quarter. still a terrible number 1,.3 million people losing their jobs. it's down sharply from the 2.1 million. and economists do believe that number, the second quarter number would ha

you look at software. then you get more hardware look. i think as you look forward to next week, texas instruments stands out as monday right after the close. they already have given us a little bit of a preview.w. in june they raised their profit forecast. what we've got to hear from them now is because of the fact they've lost out with folks like nokia, where are they going to see some of that growth? they've clearly put themselves still in front of the -- excuse me, the consumer products area. if they can get some growth over in china with their chips, that will be huge. they're still involved very deeply in the cell phone market. they've got the dlp products as well. i think that will be a very, very key number. intel, i think, we all came into that knowing that was going to be strong. now can texas instruments follow that up? if they can, then the smh has more room and they all look like they're exploding to the upside on a complete break-out right now. >> all right, pete. unbelievable music here. >> how we doing, pete? >> okay. what

you look at north american revenue up 13%. you know, the street was looking for something on the order of 17%, even 18%. international revenue growth 16%. the street again looking for something on the order of 21%. so even though we're looking at 32 cents as far as the company's gaap eps is concerned, that topline number is going to be a little bit of a concern only because that now calls into question amazon's decreasing margins and that, again, has always helped tell this story as a key metric. looking out to the third quarter, 4.75 to 5.25 billion dollars, that's good news. it ever so slightly raises the mid-point of the expectation, which on the street was at $4.896 billion. operating income 120 million to 210 million but that doesn't include $95 million in stock-based compensation. that would take it to 215 to 315. the street was at $271 million. so maybe some disappointment on operating income as well. so this is going to come up on the conference call. you're wondering about amazon slowing down its business and whether t

when you look at a person's life, there are core issues you need to dig deep in and find out about thatticular person. nobody ever does that. all they ever do is look into. writing the book was a healing part for myself. i also had to make amends to people that i hurt. i'm talking about two wives, kids, through all of my escapades and what i was doing out there in the world. i was committed to self destruction. i just wanted to tell the true story. plus, i wanted this book to be about helping someone else more than anything. we have a tendency of giving up on life. i did not quit. you know? i went for more than you can imagine. i did not quit. hopefully, somebody that picks this book up will really be able to understand, this guy went through all of this and did not quit. there must be something worth me going on through life and keep moving forward. tavis: you were talking about the war that i want to use. courageous. i think it is courageous for you to tell the story you told in detail. courageous as one part. the other side is whether it is at all embarrassing for you to admit all of

signed off on this, when you look back, what do you make of it? everybody comes on and agrees that every one of us wants to be judged by our body of work, not a particular series or interview, by the body of work. you are judged and what do you think? >> i look at america when i look at this. i have been asked why the topicality and the edginess, however they frame it. this is american life living the problems as i have seen them. that is all we were doing. when we came together, writers and producers, to talk about the next episode, we were used to reading newspapers and paying attention to the news and the families. what our kids and wives were going through. we were scraping the barrel of oru experie-- our experiences. >> as modest as you are, at the time, this was the writing -- risky, and you look back on this, it is ahead of its time. there are more black folk on television then then there are now. you were risky and you were ahead of your time. >> you know what i thought of, speaking of black folks on television. they were the first familie

you look at the company's guidance. you don't want to sit here and be a raw-raw chamber of commerce booster for all things tech, but couple this with intel and you're seeing pretty rosy trends for this sector. guys, back to you. >> i think when you look, melissa, what jim is talking about now, when you look at the ibm earnings, it shows the resilience of corporations. that's robust right now. when you look at google, that's less about -- and it's more about what you're seeing in terms of ads. we talk about momentum in google. i think what you'll see in google is the same thing you saw in the marketplace last week. momentum players will get shaken out of the stock. the stock sells off and it's a tremendous buying opportunity because you can't tell me three to six months from now, this is not a stock that goes north of -- >> and tomorrow, these guys trade one for one. it will plummet with google if we -- >> what is the weakness? >> google around here is probably where people want to own it, but i think they're a little wor

if you look at the nonperforming asset growth for wells fargo, it was up about 50%. that is way above what jpmorgan, bank of america are showing. if you are holding commercial loans or jumbo loans, the exposure to commercial real estate, that's the concern. that's why american express and capital one look good. >> and you are also seeing short coverage. you look at the way the stocks traded. they thought the numbers would knock the guys to their butts and it didn't. i hate to be a broken record, but it is money chasing or underweight or guys short that got scared. if you look at capital one's numbers, back to the fundamental side, year-over-year, up, that's second quarter '08 before they fell into the teeth of this problem. that's not a bad number. with these guys it's about the loan quality. not that bad. >> can we back it up? for american express, this is a name up 59% so far this year. you're saying that perhaps there are players out here that were short this name anticipating that finally the concerns about concerns about consumer credit and losses would catch up.

how do you measure that in humans and animals? well, in animals what we were looking for is how hard an animal would work before the -- to get the food. that test, some of you are shaking your head because you understand. that test called self administration is the study the fda used to control drugs. but it's how hard the motivation an animal would work. make the animal first press wants and give them the food. then they must press for times and then they have to press 16 times, than 32 times, than 64 times, then they've got to press 128 times before they get the food and then you get a sense with the break point is. what with the work hardest for? the answer was sugar. sugar was the main driver but when you add to that sugar you add fat. it's synergistic. it's more. second piece of science. with my colleagues in italy, gitano, one of the great pharmacologists, gitano has dedicated his career to understanding how jobs hijack the plane. he studies amphetamines, he studies cocaine. and what we know is when you administer drugs like amphetamine and cocaine when you see

maybe you want to take another look at that. t's like the big guys, microsoft, cisco, intel, dell, they really haven't done anything in ten years. i mean, i want to ask you, you can say the overall market hasn't done anything in ten years and that would be fair too. but i want to ask you, do you prefer niche investing? do you prefer the big guys that everybody owns? give us a little guidance on your excellent track record? >> generally what we've invested in is mid cap companies over time. we do own some of the large cap names when the opportunities present themselves, but we have 16 research analysts and we can differentiate our stock picks better by going into names that are less followed by the street. >> check point, symanc, tell us about that. >> they're both in securities software. securities softwareis going to continue to see strong demand as long as hackers want to attack corporations. what's happened over the last few years, they've gone from hobbyists to professionals, stealing credit card data and companies like syman

look, do you feel as though the climate is changing? not just in that it's hot.t's talk about how climate changes. it changes in water. do you feel like you have less water, or too much water? do you feel as though the highs are getting higher and the lows are getting lower? that kind of anecdotal evidence is usually the first place where it catches a bit of a spark. and then i refer them to scientific studies that show that this isn't something that's just happening because we're on a cycle. but if you look at the science of it, the amount of co2 we're putting in the atmosphere is staying there, and it stays there for decades. >> bonnie: president obama is the most pro-environment president we've had in a long time, possibly the most pro-environment. but there are plenty of people in this country who are more concerned about businesses and bulge us out of the recession than they are about lowering carbon emissions or restricting factories so that they don't spew a lot of pollution into the air. is there common ground on this issue? >> lisa jackson: i do believe

bill, over to you. >> let's look at what you find.t is the most widely-followed story and the editor is here to itemize for us. >> i have a weird assortment. we start with the bread and butter and the first one people were diving into alcoa. everybody thinks they will post the loss. what does it sneen we have an interesting analysis and others are saying no, it's just a taste of aluminum prices. the second one is a bit of this ha ha thing going on. uk spy chief, they are getting a new spy chief. the wife put the whole photo album up on the internet. >> i think it said it's like having leon's beach photos put up there. who wants to see that. he does have nice legs i understand. >> people are getting a pick out of that one. the last story is the golden trading scandal. apparently a trader uploaded a lot of secrets and algo rhythms and computer codes. goldman has note said anything about that. >> we will follow it more in a little bit as well. >> when we come back, a significant story. soak's secret formula and did they steal the trading

i think if you're going to look in bank land period, you want to look at some of the large caps like a bank of america where you get a good franchise and a cheap valuation, a jpmorgan where you get a really good franchise, still relatively cheap. but you're probably better off still looking at the capital markets plays with goldman sachs and morgan stanleys next. >> what's the ipo calendar looking like last half of this year early next year? >> it tends to go day by day. the backlog really isn't filling up yet, we're finally starting to see activity levels pick up. but i think we need a couple of more months at least of a stable equity market environment until you really start seeing ipos pick up for that matter. >> all right, jeff, great to have you with us, thanks so much for joining us. jeffrey hart, and a little poll action here. >> oh. i love the reaction i get when i say that. couple of words, but the reaction. tonight's question is after goldman sachs's quarter, are you buying jpmorgan before earnings on thursday? a, yes, dimon's turn to shine or b, no, too much consumer exposu

if you look at other indices you never saw that correlation or corporation pattern for example if you look at the russell in " more importantly the nasdaq with to get c and of trading channel and it's interesting to note that in the business cycle when we're coming out of a recession there are three sectors that you want to pay attention to that should lead the economy forward a technology and if you look at the nasdaq 100 that is what we have been seeing a rise in tech stocks number to you want to look at transportation of gas of the stocks like ups cbs also cause fed ex and you see some of these stocks have been gaining and holding value, so when you look at the overall stock market i think there isn't something that everyone sees the dow and says we are going continue higher i don't see that. but i see is that fundamentally superior sectors and stocks will perform well maybe hold value here i will look for much appreciation from the skies. if the s and p's get around 980 doubt creeps right around 9000 i think we're looking for another 68 percent correction to the downside in other

you look at the toxic assets banks have held. i think you see tremendous write-ups as spreads have come in dramatically. that might surprise the markets. that would be a bullish case. >> let's make this meaningful to individual investors. let me ask both of you one thing would you invest in begin your respective views of this market? >> in sideways markets we think cover call strategies make a lot of sense. i would like at large blue chip companies i selling calls on these things to the sideways  market. >> rob? >> i would b biotech, or the oihd, oil service holders. >> nobody is buying stocks directly. >> no. >> thank you. >>> coming up next, check this out. the pentagon is talking about banning all tobacco use in the military. >> that's going to go over well. >> the idea is to save money and protect soldiers' health. wait a second. you want to eliminate a key stress reliever for the folks who are fighting and dying for america? >> shares of yahoo rising on an upgrade from thomas weisel. yahoo up 3.5%. times and conference tes

turn around, sweetheart. >> wow. >> you look terrific. >> you look beautiful. >> turn around and lookou'll see the difference. what did you do? >> first things first, you know, romaine has first of all, you're the youngest 69-year-old i ever met, romaine. we made her hair thicker by adding burgundy color to it, which works well with her skin color. enid give her a little depth around her eyes. >> go give her a big hug. >> they're crying. >> oh, and this outfit is lovely, still. >> stop it, people. we're jet lagged. >> you know, they so wanted this in the crowd. they were just begging us because they wanted this for their big sister. she looks so much younger now and needed pieces in her wardrobe. this is from white house black market and chicos. >> why are you crying? >> you're beautiful. >> oh. come on out. come on out. >> you've been officially ambushed here at the "today" show. >> thank you. >> you guys really notice if -- do guys really notice if -- oh, well. we'll find out what men really tice. after these messages. >>> we're back with our special "guys tell all" series and an an

like someone -- you look familiar to me. this guy look like joe jonas? that's crazy. oh, my god, you just missed joe jonas. yeah, he was right here. i swear to god. [ screams ] he was right here. >> what? >> jimmy: yeah. i just told him that you got tickets to the show. [ screams ] >> oh, my god! >> jimmy: your impression is a character from "7th floor west." >> you, actually. [ imitating jimmy fallon ] "you getting excited for the pizza party? you know, pizza, pizza party. pizza, pizza party. pizza, pizza. pizza train. pizza train." >> jimmy: that's pretty good. that's pretty rad. [ cheers and applause ] all right, hey, what's your name? >> ileana. how are you? >> jimmy: ileana, nice to see you. you do what impression? >> i'm going to do tina fey. [ imitating tina fey ] >> "i want to go to there." >> i want to go to there. >> jimmy: perfect. thank you. tina fey. [ imitating steve martin ] >> "they like to cruise and swing successfully with two wild and crazy guys." >> jimmy: let's see the pterodactyl. [ screams ] >> jimmy:

guest: if you look at auto sales, they are at a 40-year low. they are selling 9 million vehicles per year. whereas seven years ago, we were selling 16 million vehicles per year. everyone would expect and forecast the auto sales will come back from the current record low levels, but it is clear that over time manufacturing has become a smaller share of total employment, and communities are diversifying out of manufacturing. with regard to manufacturing, to different parts of it. they are looking at how to get into green jobs. how to get into solar energy and things like that. these are going to be big growth areas of the next 10 years. host: there is a story talking about a shift in driving habits. the nation's 12-month total has dropped by 123 billion miles or slightly more than 4%. that is a bigger decline than the drop of just above 3% to during the 1979-1980 iranian revolution. many say there has been a real society shifts. guest: i think it is clear that people are changing the types of cars that they are driving in buying. -- and buying. t

look for a huge volume day. you take profits tomorrow.. >> intel, by the way, is you take charts, 1816, so way above the range that you've been talking about. >> absolutely. they crushed. it's a fantastic quarter, but intel on a valuation basis frankly is not that cheap. that's a tad expensive. pete might disagree. >> the only reason i disagree is because i think their earnings will be far greater. we've had a couple estimates over a dollar, and now you break down intel, and you say, you know what? this looks awfully cheap. you take a look at the balance sheet, this stock is doing everything great. knocked the cover off the ball, this is prince fielder right now. they did everything right, $8 billion quarter, incredible 18 cents versus 8. it's agree for i.t., this is what we needed.. we need to fold up with goldman sachs. it was the man as far as the financials, these guys are truly the man as far as the tech. >> let's bring in an analyzi, webb busch morgan analyst, patrick wang is on the line. great to have you wit

of course, when you look at the

government bonds don't look good. cash, you are getting nothing on. ur alternatives are really looking far too expensive. we do think equities will ultimately generate decent returns. >> interesting that you touch on government bonds. i want to put this question to justin. we have that massive two-year auction today. every time we get one of those, the market holds its breath. so far they have gone well. but it is still -- it makes one nervous. >> all the fingers crossed, if you can. we have had the issue with the chinese ones, concern over that, and back here with britain, same thing as well. an awful lot to try to be sold. it is really asking a lot to have all of this absorbed around the world. so i agree with john, the fixed interest market at the moment won't be attractive. and there's going to be more pressure there. i think there's going to be stuttering of this if governments keep on coming back and asking for more, particularly, as in the case of britain, where there is not a clear policy as to how they will pay their way out of it. and i think

you. well, take a look. i don't think you have seen this, but here you go. and applause ] >> see? you're doing a nice job. and guillermo did a nice job also. jill wagner. watch "wipeout" wednesys at 8:00 on abc. we'll be right back with music from linkin park. the pontiac summer closeout is here; hurry to get the pontiac you want before they're gone. the price on the tag ! is the price you pay. get a 2009 pontiac vibe for $13,708 after all offers. or get 0% apr for 60 months on most 2009 pontiac models! all are backed with the .best coverage in america,, including a 5 year/100,000 mile powertrain warranty. get some excitement while you still can, during the pontiac summer closeout. visit pontiacdealer.com but not nearly as important as outer beauty. that's why i use covergirl's simply ageless makeup a department store brand can glob up in lines and wrinkles and actually make you look older. simply ageless stays suspended over lines and makes you look amazing. simply ageless from olay and easy, breezy, beautiful covergirl. ♪ , and try new simply ageless sculpt

you want to ride the train and earnings have been looking good. into next week, the key is protection. remain long, but if you have a company recording earnings, learn about selling or scaling back your position. >> absolutely. cnbc.com is a great place to go for that. the biggest week for earnings is on monday from retail. we have the play by play at 5:00 p.m. eastern. the place dominating wall street, cit. what else are you working on? >> the market size well. the ceo of choice hotels, home of the comfort inn and econolodge. we will get the reaction to those bombings in indonesia and how the business is navigating the downturn. also ahead, meet the former employee going for the jackpot at the world series of poker.. are the strategies applicable to wall street and we will give you a leg up of what to expect in the market in the next week. coming up. >>> cit group shares have nearly doubled following reports that it's in talks on short-term financing. they are reviewing options after a federal judge dismisses insider trading against south maveric

again, you have to look at the trends. you have to look at what it was like a year ago, what it was like a month ago and i think overall the trends are in the right direction. >> rose: there are reports that there was some tension between american military leadership and iraqi military leadership and that the americans were very concerned because the iraqis said "you can't leave the base until we tell you so. >> well, yeah. i've seen these reports. there are a couple of newspaper stories about them. you know, i'm... i'm sure some of these things have happened, but i can tell you, one thing that's very clear in the security agreement that we reached with the iraqis at the end of last year, that the bush administration reached with the iraqis, which is our guys have a right to defend themselves and they will defend themselves and no one can tell them they can't. so i'm not saying that there won't be disagreements, but we have worked very hard with the iraqis, we've worked very hard to have a common operations center. we've wo

so you look at some of these economic reports, look at some of the retail sales reports and we're gettingff of very low levels. people are saying, you know, this is not a manufacturing-led recession. this is more of a credit-led resession. that's true. however, credit is available for those companies that have good credit o'hare and that have the opportunity to get loans. i think if you -- gagain, thing are start to go improve. you look at some of those expensive areas and you want to be focusing on the areas of the market that are going to improve as the know improves. that's the early cyclical. things like technology, basic materials, industrials and the financials. i think if you're focus on those areas, you'll be a present happy investor. >> i agrees. but for me, it's not a credit-led desire. for me, it's all about the demand. i'm not used to having this credit-based consumption. this is why i'm still struggling with the consumer in the united states and in the uk here being so indebted that we all agree that they to deleverage. would the cut counting and the emphasis will continue to

ticker symbol ibb, you might want to look at those. ugh thing is taking individual health care stocks is dfl for the average investor. you go and buy an etf, you get the diversification and get solid representation in had that sector. >> okay. and james, you're a bullish guy. you look at anything in health care or are you liking tech better? >> i'm not much for health care. i think the uncertainty created by what the government health policy and what's going to come out of that, some of that is ultimately going to be a burden on all parts of the health care industry. also the greater profit leverage elsewhere. >> give us an elsewhere. >> well, i like the industrials and the materials, dennis, the best. i like the manufacturing sector. i think that we've got the world we're going to restart with a lot of stimulus. we're going to do it with lean and mean manufacturing in this country. we've got a weaker dollar, which is increasing their competitive position. we've got low labor cost, high productivity. a lot of profit leverage here. innin

when you look at how large it is, it's a miracle like he said and there were no serious injuries. laura? >> incredible the traffic is running smoothly as it is behind you now, 5:04 in the afternoon on a friday. thank you very much and you can stay ahead of the storms on www.myfoxdc.com. check out your live radar and get your five-day forecast. and you can see it on the home page. >>> a last-minute refill for the cash for clunkers program. the lawmakers working fast to infuse billions back into the overwhelmingly popular program. there are still big questions about whether the government has bitten more than it can chew. tom fitzgerald is in the studios with more. fitz. >> reporter: by all accounts, something was not done. the funds for the cash for clunkers program would have been exhausted by next week. looks like the program will continue. the question is for how long. by a vote of 360-109, the house came up with the extra money from another fund set aside to encourage people to buy fuel- efficient cars. the program burned through the original $1 billion allotted inom the first f

but you look at two cities not very far apart and they use three times as much health care in one city as they do in the other. and you say, how can it not be a good idea to gather comprehensive data on that? how can it not be a good idea to allow in a relatively a-political way reimbursement rates and reimbursement policies to be set to respond to anomal anomalies of that kind? so i would agree with you very much on the importance of fiscal discipline and the importance of health care in the fiscal discipline equation. but i would want to insist that the approaches that we're taking because of this belt and suspenders aspect, taking no credit for the more difficult to audit measures actually is setting a somewhat new standard of responsibility relative to what has prevailed. fred? >> larry, i'd like to go back to the macroeconomic dimensions of the trade issue that you've talked about earlier. you said quite rightly in your remarks that u.s. recovery ought to be export oriented not consumer oriented. and earlier on you wanted to avoid returning to the big imbalances that had been a fe

>> you should be worried about it. look at hank paulson and the trouble he got in today talking about tarp money. like when was in college i would ask for moneyor books and go on a vacation. neil: did you really? i thought i was the only one that did that. >> worked for a while. but he got wise to it and that is what will happen here and the american people are getting wiser the more we are taxed. >> i want to get back to what adam said. when a company raises money they raise it from people who are willing to give it to them. you are talking about a government that essentially is hitting its citizens over the head with a brick. along that same line, that is how nancy pelosi is thinking. this is communal. throw it in the pot and see what happens and if we don't use it for this we use it for that. >> great point. you have narrowed the debate in a useful way, charles. when i company raises money it goes out to willing investors and when a got raises money through taxes it is doing the people's bidding and going out to willing

and you look at intel, and you wonder, is that going to kick off the rest of tech as well? it's starting to feel like a trend here. looking at a chart of jpmorgan. so what's the consensus? we think jpmorgan when it comes out tomorrow, thief got to beat, right? >> what some people are saying, but not the same thing as goldman. with goldman, it was straight-playing in the markets. jpmorgan has some consumers they're taking care of, too, if you have credit cards and things in there. but it's interesting to see these numbers. there is one analyst who downgraded their estimates early they are week, talking about those one-time charges the fdic special assessment. this was barclays saying jpmorgan may end up taking a charge of 12 cents, but it will be interesting what they have to say about the broader consumer, because this will tell us more. >> what are you guys hearing about morgan stanley, if there is a semi rotten apple in the bunch, people are saying they're not going to do well? what do you hear about -- what's the gossip? is. >> well, i heard you in the last block saying y

i think you could look at energy with the energy prices. we just raised our forecast to $85 for next year. 2010. >> did you want to add something? >> i think the cost of capital is very low and i think the fed is on the sidelines for the foreseeable future. cost of cap is going to remain low. that tsunami of stimulus, over 700 stimulative programs globally. the federal reserve sex panneding its balance sheet. that is going to be a stimulative effect. don't bet against the fed. that's a good way to get washed away. >> we're going to see you guys in a little bit, talk to you later in the program. thanks very much, stephen wood and david darst. bob, over to you. >> 45 minutes before the closing billion. stocks showing resiliency. we were down 60 points. many big names like microsoft weak on some disappointment over tech earnings. we are set to break, though, that nasdaq winning streak. maria? >> up next, an exclusive interview with labor secretary hilda solis. we will discuss whether the latest minimum wage increase will help workers or whether

if you look back to may 1st, that's when they made the call. they just didn't verbally come out and say it. they upgraded chemicals, coals, steels. they go with every sector. sector by sector. now you jump into the financials. that was the call back then. we talked about it then by moving into those areas, that's talking about global growth and those we talked about three, six, nine months out. steel, six to nine months out minimum. but by making that call when they did, they were already telling you we're going over 1,000. >> think about what they did last week. everyone thought goldman sachs, the sun is rising and setting by goldman sachs. the timing is a little bit critical here, don't you think? so as goldman sachs goes, so goes the economy. i think that's what we're looking at. >> and you're also operating in an environment where everyone is very, very cautious about showing optimism. and what does that mean? that tells you the hand of what the market has right now. the hands right now that they're playing with is very, very un r underinves

these shots you don't have to anticipate -- you'll have to look for the lighting. so in my search for america basically with the camera from not here to tell you whether the metaphorical class that i looked through is half full or half empty, but i am suggesting that as you walk through your daily america were ever that is weather in florida or in california that to look through the glass or the lens and you take this purpose i view that i do and you look and that glass inside out, outside in. you get down on the ground, you look from the rooftop. i love rooftops, that is why i live there are lots of talks, their role is sitting at the top of the trees looking down. i guess to say i like looking down the people and certainly i do. because it gives you the perspective. many of the shots i take are panoramic views and when you want a panoramic shot you want to see the ping view and the only way you can get the big view is two really look through that glass in some a different way as. i live from the political left and the political right. on a single day and i photogr