we have the bigger sees this reactive baker hughes number -- we have the baker hughes number.d now everybody does. ok, the number of rigs that were cut, 8. illegal for added -- eagle ford added 2 rigs. balkan, nothing. ofrlet: the stabilization oil prices at around $60 is giving people a reason to go back to and produce more? alix: right, or bring up their wells that had been drilled but not filled. perhaps hedging production. a lot of hedging for 2015 because of the rise in oil prices. bank of america is coming out and saying you are looking at $50 oil because we have so much oversupply. scarlet: that will keep the cap on prices. ix: that is a conversation in the market. every rallies met with more production which leads to a decline in prices, keeping some kind of range bound. opec, of course, isn't cutting it all. scarlet: saudi arabia sticking to its stance -- alix: not just that. $800,000 --, 800,000 barrels a day in june. it is not just saudi arabia, it is members of opec we need money. scarlet: what about other commodities? alix: natural gas had a really interesting wee

baker hughes is out with the u.s. oil rig count for last week. we were down 24 rigs oil rigs to 679. remember the week before we declined 31 oil rigs. we were seeing the rate of decline slow a little bit. we were down 848 rigs versus a year ago. keep in mind we are down more than 50% versus a year ago and traders think that is a good sign, but what they are looking for is a change in actual production numbers. we did see two weeks of declines in u.s. production but shot back up last week. on wednesday when the eia comes out, they will want to see a decline. to see the rigs coming off line and having an impact on the numbers. crude was trading at 58 and change when the report came out and not changed that much at this point. about a 2% drop on the day. what traders are telling me they keep in mind they look at the data points together, but need to see the hard evidence. this is supportive of prices but we had a pop yesterday. i'm not surprised to see the selling action today. back to you. >> thank you very much jackie. buffett groupies and investo

in the latest data from baker hughes, the number of operating oil rigs fell by only one to 659. it may indicate that industry activity may be stabilizing for now. back over to you guys, melissa. >> thank you. and carter is taking a look at a retailer that sell as lot of gas and reports earnings next week. what is it? >> costco. a very big name. it's up four fold. it's crushed the market. and obviously it is a well defined, ascending channel. we're in the middle of the channel. i want to study this recent dip and tell you what i think is coming. here is the past year or two. what we know is we have a powerful advance up about 45, 50% and then this pullback of about 10%. these little lines i've drawn here, actually, this is what's important. we're up $45 from this period over about 11 months and we've pulled back 15. there's a ratio here. we've retraced 33% of the preceding advance. and where we started to stop is -- the presumption is that this decline leaves us at a level of support where rebound potential is high. we like costco for a bounce off its trend line going into earnin

did also get news on the oil front on the rig side today in the latest data from oil services baker hughes, the number of operating u.s. oil rigs fell by only 1 to 659. the rig count did fall, it may indicate that industry activity may be stabilizing for now. back over to you, melissa. >> thank you, carter is looking at a retailer that sells a lot of gas and reports earns next week. what is it? >> costco, big name obviously, and what i have here to start is a chart since the bull market began. it's up four fold. and obviously, it is in a well defined ascending channel. i want to study this recent dip and tell you what i think is coming. here is the past year or two. what we now is we have a powerful advance up about 45 to 50% and pullback of 10%. these little lines i've drawn here, this is what's important, we're up $45 from this period over about 11 months and pulled back 15. there's a ratio here, which is to say we've retraced 33% of the proceeding advance. there's nothing random about that. where we started to stop is exactly on the average. the presumption is that this decline leaves u

. >>> in the latest dat a at that from oil service companies, baker hughes fell by one to 659. the rig count the did fall. it may indicate industry may be stabilizing for now. back to you melissa. >> don and carter is looking at retail a their sales gas. what is it? >> costco very big name. what i have to start is chart since the bull market began. it's up four fold. it's crushed the market. we're in the middle of the channel. i want to study this recent dip and tell you what i think is coming. here is the past year or two. what we moe is we have a powerful advance up a 45 a to 50%. this pull back of 10%. these lines i've drawn here -- this is what's important. we're up $45 a from this period over 11 months. we've pulled back a 15. there's a ratio which is to say we've retraced 33% of the advance. there's nothing random. where we started to stop is exactly the average. presumption is this decline leaves us at a level of support where rebound potential is high. we like costco for a bounce off the trend line going into earnings. >> mike, this lines up with what you're seeing with

oil rigs in use fell for the 23rd strag to baker hughes the number sits at 60% below the peak of october 2014 and the report is clowely watched and viewed by some as a proxy in the oil industry. oil prices fell to $59.69. >>> gas prices are rising in recent weeks but don't worry if you are planning a road trip this summer. you almost certainly will pay less to fill up in the coming months than you have in quite a while. jackie deangelis has the details. >> next weekend is the official kickoff to summer memorial day. triple-a suggests that 30 million americanwi hit the road next weekend, up 5% from last year. the reason -- cheap gas. the national average is now $2.69 a gallon and still almost a dollar cheaper than a year ago at the same time. in fact gas buddy said this is the cheapest driving season since 2009 right after the financial crisis. and more good news. while we tend to see a seasonal boost in prices because of the summer driving s falls off in the fall and the prices drop and the energy department is forecasting the $2.43 and for next year $2.69 and with the u.s. household spe

it looks like baker hughes data, a number of rigs closed down last week.lly begun to slow down in terms of the number of rigs being taken out of production. as you look at the second half of the year, what should we use at to guide us? should it be baker hughes or demand? >> it is not just the number of riggs. it is what you get for the drilling activity. that is the key to this. the efficiency of the drilling operations has been hugely improved. it is not just a numbers game, although i take your point. what is going to guide us over the next few months, in my note, i was referring to the price is more likely on the down side than the up side. one key is iran returning to oil markets in 2016, which is a grabet possibility. the spanks of production in other places and resilience of places like canada. that is expanding fast. demand growth is not stellar. the key to this is china growing slowly. 400,000 barrel day. they were growing by 800000 or 900,000 a few years ago. that is a big difference. you have all this supply coming to the market, and you have a

later in the day, an hour ago, we had that report from baker hughes that showed the us rig count fell 21st week in a row. that's pretty incredible. it fell by 22 for oil, the rig count. that is supportive. because it's another sign that us oil production is peaking. that the capital spending cuts are starting to have an impact. it will be a whole new world for us oil production as the production continues to fall. liz: phil, where do you see oil going? >> i think by the end of the year, we've been seeing the high 70s. the 80s. shorter term. we could make a run for 62 and a half. the charts look very, very bullish. liz: all right. quickly, keith, where do you see the dow going? the dow, wher where do you see it heading? >> a range similar to what i described for the s&p 500. and the russell 2000. any of those indexes will take some sort of catalyst, whether to the downside or the upside to break out of this range. until then, we'll follow the trend line up. we're not in violation of any of the major moving averages. either the 50 or 200. expect more of the same as we tread through the

schlumberger and baker hughes halliburton seen as the biggest job killers.if the jobless rate is falling, you've got companies that are falling. >> i love how you say schlumberger. >>> tensions are rising between beijing and the united states. a state-run newspaper in beijing is calling a china/u.s. war inevitable. really? we're live with that story next. >>> china is escalating the rhetoric in its dispute with the united states after american spy plane with a cnn crew aboard flew over disputed waters in the south china sea. china has now lorchddged a formal complaint with washington that vows to expand its military operations. how bad can it get with the two nations. the cnn's dave mckenzie live from beijing. dave what's going on here? >> reporter: well you had that editorial in the tabloid global times, saying the war between u.s. and china overt disputed south china sea is inevitable. that's certainly worrying rhetoric as escalating tensions in that area putting u.s. and china potentially on a collision course. it's also the fact that china has announced

. >> as jackie was talking about, we have the weekly oil rig count from baker hughes. last week it was down eight to 660, down from 871 in the year ago. the decline is the smallest decrease that we have seen since december. that's good news. we have seen a slowing in the decline, the number of rigs being put off line. the rig count is down eight in the last week, standing at 660. >> thank you. shares of keurig green mountain getting hammered the worst performing in the s&p 500 down about 8% at 94.71. this came after a peek the the new cold machine, sarah eisen has more. the new cold machine is called kolk with a k for keurig. investors and analysts only. a few disappointments. the machine starts at $299 and goes up to $369. the pods start at 99 cents. it's a lot more than buying a can or bottle of soda or water. the roll out plan also disappointed and goes on sale in the fall online only. slower to retail stores and won't be fully available until holiday season 2016. overall the company failed to wow the crowd and there was a lot riding on the machine for keurig and th

baker hughes out with the weekly recount decline numbers. oil rigs are down 13 this week. to compare this to last week it was flattish. it's a steeper decline that has been supportive to prices. the last we checked we crossed over the $60 mark. we do have a big move on our hands, about 4%. a couple of things that traders are watching and they are looking at the u.s. complex right now, a perceived boost in demand that is helping the prices move forward. also geopolitical issues in saudi arabia. isis taking responsibility for an attack on a mosque sending us higher as well. the recount declines are supportive of that move already. back to you. >> stocks down modestly today, but they are on track for a positive month since sell in may didn't work. new data including the number that steve talked about. chicago pmi showing weakness in the economy. will june and the summer months be volatile for investors? joining me in studio the chief investment officer at northern trust wealth management and u.s. strategist at the global investor. on a scale of 1-10, how worried should we be

the number to watch today is the number from baker hughes.that at noon central time, 1:00 p.m. eastern, 6:00 p.m. in london, so you can't go to the pub. well, you can but you have to have your finger on the trigger. check out the graph. write about january, everybody who decided to order a rig was getting rid of it. we have seen the number of rigs fall. last week, we saw the number decline to 660. you can't really see it there. but we are seeing a little bit of a flattening. that is what makes this week so interesting. obviously, this is a leading indicator. the idea is that if there are less rigs, eventually, there is less oil and that will push the price up. we don't know that. we have seen a little bit of a softening in the curve. that is the big number to watch today. jonathan: tilde production just starting to roll over. ryan chilcote will be at that opec meeting. do not miss that. up next, hong kong stocks meet risk. thanks please guilty to penalty charges. all time highs for the s&p 500. we wrap up a pretty strange week. ♪ jonathan: go

. >> if it's friday it must be baker hughes count. headline numbers, u.s. oil rig counts. down 11 to 668 total rigs. down 11 rigs to 668 total use rigs. it appears the decline is starting to slow although it is a dikline. the total count is down 11 to 894. that means that gas rigs down to 221. miscellaneous rigs up to five. the canadian count is down four to 75 rigs. the headline for u.s. oil rigs is down 11 to 668 total u.s. oil rigs. that is the headline number. >> a rapid update on the economy. an interesting day. >> pretty good jobs numbers. that was for the month of april. march wholesale making it more negative than before. let's look at the rapid up site survey of 10 economists. what we see is we are down 0.5%. falling another 3/10 of one point. this started out in february. the first were like 2.9% on thes to 55 side. gdp has amazingly disappeared for the first quarter. we are tracking it and we are still believes in the q2 track. they bounced back and up 2.7% is the estimate. some at 4% and some at 0.8. amhurst and steven stanley over there along with the optimist

we rebounded a little bit after those baker hughes recount numbers came out. we did lose more oil rigs eight of them. we're down 871 since last year that's more than 50% decline. these numbers tend to be supportive of oil prices. there's still a lot of people out there, analysts investors alike saying not so fast. we are going to probably see the price stabilization here or potentially an increase as we go into the summer driving season. they think there's more downside ahead when that demand falls off. that could be as soon as the fall. back to you. >> that's a point, jackie. peter, it's so interesting. we've had this massive drop in oil prices at least until the last rebound there. consumer confidence this morning, it took a step back. again, it was disappointing. again, this goes back to the question, which way is this economy moving? >> well there's another way you can look at oil prices too. i'm a big fan of looking at other data sources to get some insight. if you look at the high yield market for instance, last august, that market was flashing sell sell

are gathering in cincinnati where the retailer is holding it's annual meeting and this afternoon baker hughes gives traders a read on the number of drilling riggs actively exploring for developing oil or natural gas in north america. the united states as well as canada. >> we're going to do a story about the interview with crowd funding for backyard drills. if you want to drill oil in your backyard. that's coming up. in corporate news there appears to be a stumbling block in the expected conclusion into a probe of rigging into some of the world's biggest banks. they want assurances from regulators that they will not be barred before agreeing to plead guilty to criminal charges. this is said to be causing a delay in a settlement. they are expected to plead guilty to rigging rates to benefit transactions. the wall street journal reports the justice department voided a 2012 settlement with ubs over the issue with more than a year of talks. >> among some stocks to watch, el pollo loco posted better return in revenues. they'll fall short of estimates. is there any cool way to say that? >> el pollo

also worth watching t baker hughes rig count is going to be released at 1:00 eastern.his is a weekly census of the number of drilling riggs actively exploring for or developing oil or natural gas in the united states as well as our northern neighbor canada. >> in corporate news charter communications is in talks with time warner cable about a bid likely to be well above $170 a share. the wall street journal says that the 170 number is the number expected by some analysts. charter bid about $132.50 a share for time warner cable last year before being topped by a comcast offer. reports say the european telecom approached them about a deal. get this fcc chairman tom wheeler reached out to the chief executives at time warner cable saying that the agency is not against cable deals. the wall street journal reports that wheeler told the companies any deal would be assessed on its own merits following the agency's stance on the deal many industry executives expressed uncertainty about the regulatory climate for the tie ups. >> is that bizarre. >> but whatever time wheeler thin

hughs could spend one to four years in jail if convicted. >>> prince george's county says governor hogan should give county schools the money they're owed. baker members of the county council sent a joint letter to the governor. they're asking him to release $21 million next year in the budget. the governor has been at odds over school funding. it's not clear whether the governor will honor the request. >>> liquor sales will be on the docket for the montgomery county council this morning. they'll take a look at a new ordering system that was launched in february. many restaurants and beer and wine stores say the system is not efficient and deliveries weren't timely. the officials at the department of liquor control say that they're still working out the kinks in that system. and it should get smoother in the coming months. >>> get ready to firm up your memorial day travel plans. this morning aaa officials head to reagan national airport for a press conference. the forecast is a helpful heads up as you budget for gas prices, hotels and airfare. it includes data about whether the prices are going up or down. aaa will share predictions of how man

reform for people like baker and it's really important to remember how bipartisan the effort was, but also that things were passed in the fall of 1974 even before the story, like the hughes-why it amendment, which required the president to report covert activities. they were really, in substance more important arguably, then anything that the church committee came up with. watergate's relationship to all of this is complex. >> this was a great panel. i learned a lot from this. i was somewhat surprised to hear the emphasis on how little actually changed because of the church commission, how little things actually changed or the limited of facts. in some ways, many of you would say that and then he would backtrack and list a number of things that happened. i wondered whether this panel might have had different conclusions about the impact of the church committee had been speaking in 1998. i'm wondering, in the post-9/11 world, how much of these things are creeping back in? a different way of asking the question might be, how is the church committee like and unlike the more recent torture report? just looking at those different issues it seems like there were some changes f