bob pisani with the details.eresting story, bob. >> oracle is coming to the new york stock exchange. >> i think it is interesting. normally i don't make a big deal about the battles. but actually folks this is a pretty big win for the new york stock exchange. this is one of the iconic companies listed over at the nasdaq. one of the biggest market cap tech companies out there as well. here is a good question. i have not been able to get a hold of officials at the nyc or nasdaq but i can speculate. why would you switch at this point between the two different exchanges? one possibility may be a customer relationship. ice, remember is merging with the new york stock exchange. maybe they are a customer, maybe something going on there. a commercial even maybe software commercials. i know, you say, oh, that's not the way relationships work. excuse me? it is. remember juniper? and the new york stock exchange, guess what is in there in juniper hardware. let's not be on the run with speculation. finally, maria be with reme

in less than a month, bob pisani says the bond markets will have a real problem. why? coming up in a moment here. >>> and how much of a leash does facebook ceo mark zuckerberg has for job security? we'll talk with two facebook shareholders to talk about how they're feeling with their stock right now. take a look on the "closing bell" coming up. we went out and asked people a simple question: how old is the oldest person you've known? we gave people a sticker and had them show us. we learned a lot of us have known someone who's lived well into their 90s. and that's a great thing. but even though we're living longer, one thing that hasn't changed: the official retirement age. ♪ the question is how do you make sure you have the money you need to enjoy all of these years. ♪ >>> welcome back. the final 10 minutes of trading here for a truly volatile day on wall street today, bill. >> yeah, joining us to help get it home here is jeff cox, and bob pisani, and trader ben willis here on the floor. ben willis, what's the volatility about today? what's the message of the market?

bob pisani and kenny p.m. olcari, our cnbc contributor here.do you make of the market today, kenny the markets waiting, the first read on adp, so i think a lot of people sitting on the side and taking the time. taking a shot at the fed, and bernanke saying it's time to back off. it's curious. >> i'd like to a bit of a bounce, these interest rates sensitive stocks, so again today utilities to the down i'd, real estate investment trusts, i find that a bit disconcerting. they're still -- this is the biggest bond etf, down there again today. my personal opinion is the economic data still doesn't warrant massive sell of bond funds. >> the talk about the taper, i think -- not the animal tappier, but the taper i think has people concerned. they don't want to be the last out the door. >> esther george is supposed to be speaking. she is sick and will not be speaking, but she is going to -- the text of the remarks will be delivered at 1:30. so we'll get. she's a hawk, of course that's just -- >> ken counter, final words? >> it just adds to more confusion

bob pisani is here. fascinating chart. >> very similar, as a matter of fact, to that. >> which is why we're watching it so closely. >> the reason we do is because the nikkei futures and the dow is moving very much in line with how the yen is moving, so as the yen has been strengthening throughout the day, the markets have been weakening, and when the yen comes off of that, weakens a little bit the market gets a little bit better. indeterminant trading in terms of the sectors. wanted to mention that right now and while we started on the positive side with materials and industrials and energy stocks doing well, everything has kind of slipped down here into the middle of the day into negative territory and materials is still the best performing group. you can see more defensive names in there like consumer staples and health care. the best performing sectors today. take a look at dividend stocks, a couple of stocks who boosted their dividend. target boosted their dividend 17 cents or 19 cents, half an hour

bob pisani, what a day it was. i love the way you wrote your blog, taper tantrum. >> reporter: that's the way to explain it. a lot of people felt it would be early for mr. bernanke to explain what he would do, than to explain how the markets would react. let's look at the taper tantrum. the fed came out and said the downside risks to the economies have diminished. that's certainly good news. the economy is improving. then they went on to say, mr. bernanke reiterated, the fed may taper bond purchases at the end of the year and finish by mid-2014. that was a little more flesh on the bones of their plan there. that was the important part of that. stocks and bonds dropped on that. the dow jones industrials average. we have ended at the lows of the day, down about 200 points in the dow. that started dropping -- even though we were down before 2:00, the slide accelerated as mr. bernanke began speaking at 2:30 on the press conference. bonds took it on the chin. take a look at the agg. this is the bond etf, the largest one

bob pisani at the nyse. rick santelli at another large midwestern city with a questionable balance sheet, but, first, bob pisani, to you in the markets. >> you know, what's interesting this week is we've learned that a lot of people think there's a significant amount of interest rate risk out there, but apparently think there's also a little bit of growth risk out there. take a look at the dow jones industrial average. we were fine until just before 11:00 in the morning, and then we started dropping down. that's the time the imf report came out on the united states. this is not normally market-moving information but they lowered the 2014 gdp estimates, 2013 they maintained it, fairly anemic. it shouldn't move markets but appears to have done so. take a look at the dollar/yen which is what everybody locks at these days. the yen strengthened, and the market is moving to the downside. although we're getting choppy behavior this week, up and down, we're continuing to see weakness in the cyclical areas and intern

bob pisani, the markets have been moving lower on this. currently i think the dow is down about 70 points. what is it in particular that traders say that is pushing them down? >> you know, i said earlier. it's easier to predict what mr. bernanke is going to say than how the markets will react and a lot of traders felt this morning that no matter what happened the market would be down, at least initially. the close might be different but at least initially because there's been big moveups in the last couple of days on hopes that mr. bernanke would be more dovish. some people feel that statement being more dovish in itself could be reasons to sell. could be reasons why we're down, no matter what happens. you see us down to the downside here. remember what happened on may 1st. the real big moves happened on may 1st at the last fomc meeting and since then the s&p 500 has been up. there's market since may 1st. s&p up, bond markets down. bond markets moved down again on this announcement but the long-term bond market down significantly. >> bob?

let's talk about thit wis bob pisani and a cnbc contributor. not enough to break us through those ranges on the upside that you've been looking for. but an impressive performance, nonetheless. >> yeah. you know, i think it's definitely the bounce, right off the 1600 level with the fed defending that level, right? pumping $3 billion in their schedule today, their stimulus package. so therefore, the markets kind of technically bouncing. what you have to watch, though, for the lower highs, right? where will we go? where will the market hit resistance? >> we've got to go to rick santelli with the bond action and then back to you. 30 years off the board. >> this was not pretty! the markets trading 3.325. 3.32 basis points. it comes in at 3.355. so basically it tailed three basis points. that is huge. the bid to cover was light at 2.47. the only thing that was crease to the mark and were indirects at 40.2%. directs lie at 8.5%. dealers ended up with 51.3. it's a "d" on this auction. for the 29-year, 11 month, this is going to create anxiety about thi

let's get the story dprekt cnbc's bob pisani, good evening, bob. >> reporter: traders are confused. is the market improving for not? the market was volatile today. report on private sector employment by adp was weaker than expected as was an employment gauge released as part of a survey of purchasing managers in the services industry. all this is causing some to consider lowering their estimate for friday's critical may jobs report. it's critical to the traders, med officials have been talking about tapering their purchases of bonds as the job markets improves. what is it? is it getting better or not? we got this fed beige book today, officials sounded a little more optimistic, no engage in real estate and bank lending and hiring aids in several districts. so what do traders do when they're confused, larry? you know what they do, they lighten up on their position. the dow is 1.29%, the lost two-day losing streak since november. back to you, larry. >> many thanks to bob pisani. >>> now, in big political news today, president obama replacing his security adviser tom donelan with u.n.

bob pisani has more on that side of the story, and he's right outside of the exchange for us. hi, bob. >> hello, sue. this has been a high security area for many, many years, particularly after 9/11. this used to be accessible to the public, the floor of the new york stock exchange. the floor was closed to the general public, the visitors gallery closed after 9/11, and just to get into the building you have to pass a series of very stringent security requirements. i would note, sue, that this is not the only high security building that's in the neighborhood. right past me here is federal hall, but beyond that right up nassau street is the federal reserve of new york, literally just an eighth of a mile from here. there's no slack off in 12 or 13 years since 9/11. sue. >> i would agree with that completely, would be. thank you very much. neil ferguson is a harvard economist and is here to weigh in on many things but we obviously want to start with this breaking news. first of all, good to see you again. >> it's been a while. >> your take on this. a plot that was thwarted, not nec

actually in bob pisani's neck of the woods right now. trespassing on his neck of the woods and rick santelli, we'll get out tout in just a second. bob, everybody is freaking out about mortgage rates, right? >> everyone is absolutely freaking out is this unjustified? >> yeah. the idea that the housing recovery is going to be killed because suddenly we'll go from 4% to 6% on mortgage rates just isn't accurate. i want to put up what would happen to rates if we went from 4% to 6%, it's true, not a good sign. used $300,000 as an exam. paying $$1,400 for a 30-year fixed rate. mandy and brian, this isn't going to happen. the federal reserve said any dramatic rise in interest rates that might choke off an economic recovery is going to be met with more qe. they will stop this from happening if it gets anywhere close to that, so i just don't see it. >> what does it say about the united states of america that 4% on a mortgage is now considered a bad thing, 6% was a gold mine a number of years ago? this is our addiction to easy credit. >> i completel

bob pisani, robert? >> yeah, let's pull up the screen. crick the's own asset bubbles, don't kid yourself. and finally options expiration. normally an factor, but i think it is today. look at the s&p 500. we dropped below it 16 on the s&p 500. and tomorrow is an options expiration date. 1600 a big interest point. once you stay below that market makers are likely doing to have to sell more into the close. that's a big issue down here and normally it is not. let's move on. let's move back back into the united states. big two-day rally. that is hurting commodity and commodity stocks. even base metals like copper and zinc seeing declines as well. that's hurting the commodity stocks. this is one of the weakest groups here. you see, unusually large declines here, about 4% in some of the big commodity names. how about sectors. really no point in putting them up. whether you are defensive or not defensive sectors here, utilities, consumer discretionary, doesn't matter what ones you are talking about. they are all down about 2% or 2.5%. maria is ri

let's get to bob pisani in the middle of all the action all day. bob? >> and a little more volatile the last two weeks, since the fed minutes meeting came out. volatile, 190-point swing. the average on the down, about a 125 points. we moved off of those lows late in the day. market on close buy orders. a sport down here, very widely practiced, trying to guess that one. we did not end in positive territory. the dow outperformed second day, some of the other major indices, for the russell 2000, the mid-cap index, as well as the transports, all did a little bit worse than the dow industrials. how about the kansas city's esther george. she came out 215, she was ill, but released a speech. she says, i support slowing the pace of asset purchases as an appropriate next step for monetary policy. not a big surprise. this is in line with previous speeches. but, in-line with some of the comments we've seen recently. take a look at what's been happening, in the last couple of weeks, i mentioned how much more volatile the market's been. that's since the fed's minute

bob pisani joins me on the floor of the nyse.dy as she goes, the market is basically sitting there waiting until 2:00. >> you and i and steve liesman were having an interesting conversation about the relationship between the fed and the size of the balance sheet. show you on the screen, there on the green line is the size of the fed's balance sheet there on the right side, the yellow side, and then you see how the stock market has been doing, and, of course, the important thing is they follow pretty well. this goes back to 2009 when they began questie1. the fed hasn't said longer term that they will reduce the size of their balance sheet and that's part of the anxiety. may 1st, since then, the s&p 500 held up, up about 4%, but it's the bond market that's changing, and really that may 1st announcement is what got everybody talking about the possibility that tape offering would occur down the road. you can see there's the tlt, the long-term bond etf to the downside. >> down 8%. >> since may 1st. >> bob, thank you very much. >>> how

thanks so much, bob pisani. despite the wild week we had, stocks managing to close in the green, and big time. stephanie lake from the street, bill richardson, and our own rick santelli. let's kick it off with you, stephanie. how did this rally feel to you? >> it's a big sigh of relief, actually. i think today's number was really significant because what it did was it showed that we're not kind of spiraling downward in the economy. we're kind of growing on a 2%, 1.5, 2% level. and earlier in the week, we had some pretty troubles data with the trade data, the ism, and last week we had disappointing gdp revisions and all that. so today the numbers shows things are getting a little bit better on the job front. there's still a lot we have to get through. we need to be doing a lot better than 175,000 jobs per month on average. this is what we've been doing over the last couple of quarters. so, but i think, at least it shows that we're kind of stabilizing here at this 2% level. and that all of this qe and all of this

bob pisani? on, it's not about the stock market but about the interest rate market. we're very much hostage to the interest rates. i want to put up the healed on the ten-year. it really is that simple. we've seen as interest rates started moving off of their lows. interest rates started moving up and we saw the stock market moving down so we were briefly positive. take a look at dow, down as much as 150 points, very briefly around 11:30, did go positive on the dow jones industrial average and now as sue mentioned down about 75 points. higher rates are in negative for the global economy. there's your key point here. put up the sectors, financial energies and consumers and discretionaries are to the upside, as you can see, and that's when pressuring these higher interest rates are particular-for-commodities and like industrials, materials and energy stocks, that's the case today. it's also been a real problem for emerging market stocks. i mentioned the eem in the last half hour. look what's happeni

bob pisani, see you a little bit later. ty, up to you? >> from frothy to frosty for some of the home builders. let's go to the nasdaq where seema modi is tracking, at least for a few more days, the big moves in oracle? >> that's right. oracle is now responsible for the nasdaq 100's entire loss today, and it's not just oracle's lackluster earnings that are disappointing the street. an analyst says oracle's tans fer from the nasdaq to the new york stock exchange could pressure shares between now and july 5th which is the date that oracle makes the switch. oracle has a 4.7% waiting on the index. leading the qqq would result in 15 million shares going up for sale and in terms of which company will take the spot of oracle and the nasdaq 100, alta vista research says it probably won't be a technology firm given the slowing growth that we've seen in this sector. now, other large-cap tech stocks trading lower today, extending losses from yesterday's selloff. however, a couple of tech names rebounding in today's trade specifically from the semicon

cnbc's own bob pisani has been following it for us all day.us your details and your take and good evening. >> good evening. 550-point decline in the dow in two days, larry. i'm calling this a mini perfect storm. several things, three in fact came together to cause most of the problems. first, the fed action causing people to worry about interest rate rises down the road. second, china is trying to reduce liquidity and they're trying to trick their own asset bubble and real estate there and that's causing gyrations in the emerging market world and we have an options exploration tomorrow and the options and futures when the s&p 500 drifted below 1600 in the middle of the day, that was a key option level and i think that hurt the markets as well. take a look at emerging markets and there is a lot of debate going on tonight about to what extent china is hurting. emerging markets and the rest of the world and to what extent the fed is. it's 50/50 at this point and look at china down 4%, the philippines, all of these emerging markets have been hit a

the last week it was up 8%, and that brings us to bob pisani who also tracks the volatility. >> we do, and while it's been up since may 22nd when mr. bernanke gave his congressional testimony, the important thing is steady as she goes. the last few days, real found a floor. look at the dow industrials. in a rafnlg the whole month between 15,000 and 15,250 roughly. today we've been 160 points up since right at the open so there's your new sort of narrow short-term range. 3-1 advancing to declining stocks today, and the right kind of stocks run. what do i mean by that? stocks that you want to own in the growth environment, financials, for example, housing stocks are on the upside, the itb on the upside. tyler mentioned the home builder sentiment. the best we've seen in 2006 and also seen a nice move up in some of the energy stocks as well. bond etfs, those stocks as well. a nice move up. there's the bond etf, but the bottom line is for the most part yields are moving down and have been steady for the last couple of days. >> ben willis joins us as well. good to see you starting this mond

bob pisani missed all of the friday fun. he's back, however, today. what are traders saying about this final hour, bob? >> well, it's not like friday. not only so in index rebalancing but we saw money coming out of stocks and into bonds. that's not really happening today. however, there's a lot of cross currents. three of them, first, there's a lot of turmoil in turkey. the market down about 9%. we're watching that. more important, kelly's right. ism, construction spending well below expectation. that's telling traders to think about pushing off the time line for the fed tapering. bonds strengthened. the dollar weakened. gold up. then of course watching the nikkei down almost 4% and trading even down more in the afterhours here. while the dow is up, i just want you to take a look at what's been going on in some of the major sectors. remember the leadership groups over the last month or so? they've been home building stocks, biotech stocks and semiconductor stocks. how they're all doing today. once again, all those stocks are to the downside. we saw jap

at first we start with bob pisani with the big move for stocks. what ailing stocks? let me put up a few comments and points that is bugging traders. >> finally that yen carry trade that we have been talking about for a number of days. a lot of trade that makes the trade. much less attractive. you see it starting to roll over again. this is putting pressure on a lot of stocks to the united states. notice the transport down 2%. it has been a market leader also under pressure. s&p 500 down 1.25. yields are moving here today. yields have been backing up to the upside. >> you know, i wonder if it's something much more simple than all of that. everybody stepping up. >> the numbers -- the services number and the employment component. the whisper numbers are starting to come down. there is a lot more uncertainty. >> let's try to decrease some of that uncertainty. steve has an exclusive poll. >> suggested that the fed would be tighter or easier on the quantitative easing policy. before we figure out what the results are, let's go the poll of 27. 92% saying no change. what's t

let's bring in bob pisani. any update? senior floor official at the new york stock exchange. gordon, what was your reaction when you heard the nsa program had foiled a nascent blom plot? >> allegedly. this is their job, this is what they do. i'm not privy to the particulars. but certainly if you hear something like that, it's somewhat reassuring the folks are out there doing their job protecting us. >> it's been no surprise to people down here and traders i was talking to didn't express any surprise. certainlies had a high profile target. >> lower manhattan, of course. it's been that way even more so since the tragedy of 9/11. but, look, it's a dangerous world. primitive people do these kind of things. they talk about terrorists. i like to call them primitives. these are people that aren't in the flow and, you know, then they resort to these kind of things and it's sad. >> a lot of people don't quite understand the kind of surveillance we have down here and the kind of security that exists down here since 9/11. we sometime

given that push and pull overnight, let's get to the trading action here on the nyse with bob pisani on the floor here. >> how are you? >> down about 12 points. >> a bit cheap, in and out of positive and negative territory. 3-2 declining and advancing stocks. sue mentioned the weak economic data out of china, the weak export data. take a look at the effect it's had on stocks. base metals, aluminum, for example, put that back up. how much we're declining on the base metal stocks, aluminum, zinc, copper, all down and that's affecting all the commodity stocks. iron ore stocks, a lousy market for these stocks, rio tinto, valle and billiton is not, but starlight, a big copper company, essentially at a 52-week low so these material companies have not participated in the rally and home building stocks, lenar was downgraded and these stocks have moved up rather aggressively. home building stocks tend to underperform the stock market during periods of rising interest rates, sue. that is, indeed, what we're seeing. my overall sense and take a look here. there on bottom, that's the home buildin

let's get to bob pisani with duncan niederauer. >> he's fresh off his fireside chat with ceos and other global exchange conference. duncan, thanks very much for joining us. shareholders approved the ice merger this week, ice shareholders also approved it. what's the next step here in this merger? >> the next step for us, bob, for both of us, is to wait to hear from the european commission and our college of regulators in europe. we should have a lot clearer picture of where we stand and what the path to a closing is by the end of june. so we expect to hear from both the anti-trust authorities and our local regulators in europe some time in late june. that will be the next step. >> and that was june 24th, as i recall, is that right? >> that's right. june 24th is simply the end of what's called the phase one review on the european side. so we will be given an answer as to whether there's no further work to do at that time, or whether they need time to review the deal by then. we'll be able to give people a much clearer picture as a path to closing at this time. >> is it fair to say this i

loets bring in bob pisani with a look at the big board. >> why is the market dropping?if dollar yen and as we started moving down about an hour ago, the markets started moving down. this is a big trade. it's not just people trying to sell to get ahead of it. the momentum may have shift. rather than weakening week after week, the yen is strengthening. so as we saw the market moving down, this is well below 100 here, the stock market started moving down. this has been an enormous trade. look,s in one of the biggest trade of the year. the yen is weaker hear. and we have been coming down for days now. people are paying attention to it. take a look at how the sectors are. it's all the sectors involved. that's weak side. so there's the risk off side of this whole equation. again interest rate sensitive groups are getting hit hard. and of course, we had a nice little run-up. but we're down almost 11% from the highs we hit recently. still up on the year. but 11% on the highs, that's getting a lot of attention in the last couple of days. i want to mention -- put this up. this is

bob pisani tracking this all day. bob, what is going on? >> you know, this is an interesting reversal we've had today. a lot can be attributed to an oversold bounce. some of it to the fact there is a little bit after discontinuation with the yen trade this morning. take a look at the dow. 5 to 1 advance. maria, that's a perfect mirror of yesterday. 5-1 decline in advancing stocks. take a look at bond market. really rallied today. there is the agg big etf. you see moving up, that move up towards the end of the day. john over at wall street journal out with another article saying the fed is likely to push back against market skper expeexpect. that moves yield up to the down side. economically sensitive stocks. that's nice to see. they are beaten up pretty well. transports, cyclical stocks. housing index also to the upside. defensive interest rates sensitive stocks up but they lagged a little bit here. you see utility moving up nicely toward the end of the day as the yields move to the down side. publishers add great day. the deal closing, big

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let's get to bob pisani. over to you, bob. >> reporter: it was a tough week. but tougher in the middle of the week, maria. that's the clear point here. put up the full screen. the main theme, it's pretty simple, interest rate risk. that's all anybody was talking about all throughout the week. we had a lot of problems with emerging markets hit hard. not a lot of growth out there in the global economy. bonds were hit in the middle of the week, but recovered late in the week. the dow jones industrials, the bottom line is this, when the imf came out just prior to 11:00, lowered the growth rate for the u.s. economy in 2014, markets took a little of a droop. it doesn't normally do that on imf commentary, but that did happen today. when i say it's a tough week for emerging markets in japan, the s&p is down a little bit for the week. told bonds, agg, that's actually up for the week. a little bit of a rally. emerging markets, the eem, and japan hedged equities, japanese stock market, the dxj, a big down week again. the hedged equities down almost 30% at this point. you

let's get down to our market reporter bob pisani at the nyse and rick santelli in chicago. obviously, bob, before i get on to what's happening in the stock market here in the united states, we've been watching the violence erupting out there in taksim square in turkey. is there any kind of jitters in terms of what is happening there at emerging market and what kind of impact it might have here on our developed market? >> well, certainly, turkey is being watched, but i have to say in a broader sense it's what's going on with interest rates and now late in the afternoon, even with the dollar/yen relationship, that i think is a little bit more important. everybody sees explosions in turkey and gets a little bit concerned here. i want to show you briefly the interest rate situation in the last three or four weeks. since mr. bernanke gave his testimony on may 22nd, that's proved to be a bit of an inflexion point. put up the interest rates, and we've moved up about oh, 0.2% to 2.2, that might not seem like a lot for the ten-year but a fairly significant move overall. there's the m

guys, back to you. >> thank you, bob pisani, down there on the floor.e have talked so much this morning about the move in rates and what it means for bond bon bonds, and what it means for the stock, and we have had jeff gunlock on "halftime" yesterday, and a lot of people consider him to be the bond king. >> that is what we called him. >> double line and $60 million. >> incredible how he has grown assets as a result of the performance. >> and we asked him yesterday obviously, what were the thoughts on rates and let's l listen and react after. >> look at where the copper is, gold is, and look at where gold is in foreign currencies. i mean, it is hitting new lows in terms of the japanese yen, and it is hitting new lows in terms of the euro, and looks like new lows in terms of the dollar which is a weak currency, so gold should be going up in dollar terms so what we are looking at is a bond market rally that going to start fairly quickly. >> all right. fairly quickly, and that is before the fed yesterday and he said that the long-term treasuries are the be

bob pisani and rick santelli in chicago. bob, this morning the s&p upgrade, an endorsement that we're healthier, good to see stocks reacted well at first so why have we lost steam? >> other things besides that. by the way, the s&p announcement i think was good news. long term it should help lower the borrowing costs and short term we're enthralled with the fed tapering being cut. you can see the effect that china's numbers had. the weakness in china that we saw due to the trade numbers that we had really has had an influence here. we've seen all the industrials, energy, consumer discretionary, interest rates sensitive stocks and i want to concentrate here. material stocks and commodities notably week on the lower trade numbers out of china. the thing that's the most worrisome is interest rate sensitive sectors. bond funds under pressure today. remember, i said a couple months ago, you start putting together two quarters of notable bond losses in the polls of and they will start squawking about it. put up what's going on. i wa

bob pisani at the exchange conference in new york city and joined by td ameritrade's ceo. >> the ceosof the exchanges all of the stock exchange, commodity exchanges, future exchanges all over the world here talking about how the business is going. who knows better here, fred tomczyk, ceo of ameritrade. you've released interesting figures. may trading figures up 9%, month over month. is the retail investor starting to get back into the market? >> i think slowly they're starting to get back into the market. what's driven it this quarter, this month, i'm sorry, basically little bit more volatility in the market. the more active investor or trader has been trading more. i think in terms of the average american investor they're tepid in terms of get bag into the market. >> one of the things you talked about, a great line, the great rotation out of stocks, into bonds, has not begun yet. you're not seeing that? >> no. if you look at a variety of things and you look at our customer base based on their actual behavior they've become increasingly bullish. if you look at fund flows and equity vo

down to the floor with bob pisani, and rick santelli stand big to talk about the ugly auction we saw earlier. this looks pretty good when we saw japan plummet overnight. >> more importantly about the yen. the trend we've seen for weeks, the yen is stronger, as it was today, our markets have been weaker, bonds weaker as well. i hesitate to all call it a trend reversal. it's one day. the happ s&p is up near the highs of the day, the ten year is one and dollar/yen. when this is down, yen is strengthing. this is breaking the trend. we're taking note of even if it's not exactly trend reversal. we'll need a few days to see that break down. transport stocks are up nicely. cyclical stocks outperforming consumer stocks. there's a good example. better than 1%. that's a good example of the risk. russell 2000 to the upside. here's something we haven't seen in a long time, south africa, austral australia, peru, brazil, all up one, two, three, close to 4%. we're not out of the woods on this japan thing. leverage trade here being unwound. no clear these tis. from 12,000 in 2 months to 16,000 on the

cnbc's own bob pisani has been following it for us all day. evening. >> good evening. 550-point decline in the dow in two days, larry. i'm calling this a mini perfect storm. several things, three in fact came together to cause most of the problems. first, the fed action causing people to worry about interest rate rises down the road. seco,

bob pisani joins us to show us how. bob? >> it's a tough call.n turmoil. let's show you how the etfs have been performing since may 22nd. the s&p down 4.4%. but emerging markets and emerging market debt. look at this. they're getting hit hard. bonds have been weak, as well. commodities are showing more signs of stability. that's because the dbc -- and this is the big etf in this space -- is a basket of 14 different kinds of commodities, but with a very heavyweighting toward energy stocks. the fund has been mostly a sideways performer for sometime because of uncertainty on the global growth outlook. and the commodity fund. managers are now recommending at least a 5% weighting to commodities and dbc is the one everybody goes to right now. if you want to learn more about how to build a retirement portfolio using the low-called etf, check out retirement.cnbc.com. check it out, and learn how to build a diversified global portfolio. bill and kelly, i've been asked about the eem and the emerging markets, and let's look at the three-year chart. the only

bob pisani at the nyc and rick santelli in chicago. bob, i want to talk about increased volatility and big losses getting racked up, particularly in emerging markets and storks and debt. what does that mean for us? >> a lot of people trying to diversify their assets using etfs overseas are getting hurt because a lot of people are heading for the exits. you're right about the volatility, dow in a 200-point range. this is the norm. ever since may 22nd, mr. bernanke gave his testimony in congress, we've had a jump in volatility. look at this, a simple way to look at volatility, but up until may 21st the dow swung at a high to low 109 point. that was an average. since may 22nd. 184 points and today is about an average day. just a more volatile situation, and it's particularly volatile in emerging markets. two questions i get every day. what can i do with my bond funds and what do i do with my emerging market etfs because there's a lot out there. the eem, a big one, we're down 10% since about may 22 nd i mean, that's a shockingly big decline

not looking good for the bulls today, although bob pisani, the selling has moderated here. to art cashin and other traders. put up the dow here, 60% of the stock up for sale, 40% to buy. that's a little better than it was earlier. so we're listing off of those lows. these market on close orders become very important. if you look at the recent market leaders, they're the ones that are selling off. and there's some kind of profit taking going on. two years ago, biotech were the market leaders. transports were the market leaders. these are the groups that are weakest today, and you can see some of the profit taking going on. you can also see an exchange traded funds, particularly some of the big international ones. the emerging market, etf, one of the biggest in the world, that essentially has two weeks of moving to the downside. right now, we're sitting essentially at the lows for the year. this is a big, big market influence here, just a few months ago. >> all right, bob, back to you. >> see you later. we have 15 minutes left and selling has moderated, but we still have some

. >> bob pisani has been spending the day and right now he's with a special guest, bcg partner's chairman guys, bob, you first. >> a lot of fun to talk to howard lutnick, chairman and ceo of bge partners. one of the big topic here, the low volumes we've been seeing all over the world. you're big in financial services everywhere, stocks, bonds, foreign exchange. what's the volume story right now, where is the growth? who's trading around the world right now? >> equity in volumes have been so lousy and they've been lousy for so long. but in the last two weeks, you had bernanke talking about maybe taking his hand off in this quantitative easing and wlahat happened to treasury volumes and interest rate volumes? exploded. almost doubling the last two weeks of may. will that continue? i don't know, but that was fascinating, just talking about taking his hand off, moved the market. you have australia going out and saying, you know what, i liked what happened in japan. i'm going to de-value australia. and once you get these sort of chaotic movements, you know, a central bank saying i'm going to d

bob pisani joins us with that story. bob?e're talking about is equal metrics, and they plan to begin offering automated trading to the masses. they have an app with software powered from the crowd, so do it with a simple laptop. this is not high-frequency trading or trading in miliseconds. they're just using electronic trading program to buy and sell stocks. can you grab and drop various indicators to create your own strategies. for example, set a program to buy google when it crosses the 50-day moving average, for one example. the good news here, you can back-test the strategy and see if it is working in the past and how many times it's worked. price seems fairly reasonable to me. $99 or $250 a month, depending on the number of algorithms you're planning to use. the company isn't a broker, so they'll use interactive broker, so they'll use fxem to execute the trades. this kind of off-the-shelf algorithms have been around for years, though they've usually been more expensive. that's the breakthrough here. everyone else has the

bob pisani, what was driving the market today, or not driving it, as the case may be? >> reporter: that's right. narrow trading rains, light volume. two stories. number one, put up some of the commodity stocks. disappointing numbers out of china's export numbers. remember, china does push the world around. when china's not doing well, commodities, big industrials tend to have very tough days. that's the story today. and if you look at base metals like aluminum, zinc, copper, they were all down rather noticeably today on the disappointing china numbers. these are big iron ore companies. sterileite, a copper company, essentially a 52-week low. and also, higher interest rates. rick was hitting on this. is the 10-year treasury moving up again today? well, it didn't have a dramatic effect on the stock market. it's continuing to put pressure, and it's really the big story on interest rate-sensitive groups. for example, homebuilding stocks weak today. the housing index down almost 1%, the hgx there. and periods of rising rates, homebuilding stocks historically have underperfo

joining us now, veterans of the floor, matt and ben, and our own bob pisani.l, everybody, i'm the shortest tenured. i've been here three years. you know, we all live with this knowledge in the back of our minds every single day. especially in you were here on that certain day in 2001, right, ben? >> and i was. and you guys were. >> i was here in 2001. i was here in ' 3, the -- '93 the original bombing. >> yeah. >> and the fact that this is coming to light is not really a surprise, because we've been a target for a long time. we're going to continue to be a target. this is not going to stop it. >> does this get you nervous to come to work every day, matt? i mean, what did you think when you saw this news? >> it doesn't make me nervous. i like to consider this a patriotic rally today. we're taking this and we're saying, you know what, throw it at us. we got it. i like to think our security is good enough to handle it. >> that is interesting. >> we both were here on 9/11. a scary day. >> emotional day, scarred day. the thing i'm most proud of, everybody came to w

bob pisani, what's going on other than we're getting set up for another tuesday. >> 21 days, 21 tuesdays in a row. that's potentially what could happen tomorrow. that's already acquired legendary status. what we had today, poor economic data in the early a.m. period. ism was poor. of course, construction spending also below expectations. then we had some comments from dennis lockhart of the federal reserve saying the bond purchases may, may start tapering after june. that hit the tape in the middle of the day. let's look at the dow jones industrial average. despite all of this issues that were out there, we close just at the highs of the day as you can see there. take a look at what else is going on here. how about merck? why was the dow up and some of the other ipd seize were not doing so well? merck was a major factor today. some very good showings out of a cancer drug. couple other good companies had good showings of cancer drugs as well today. that's the reason the dow was so strong. how about elsewhere? despite the fact the dow being up there were a number of weak sectored that cont

let's get straight down to the floor of the nyc and find bob pisani and then out to rick santelli. we'll get on to the markets in a moment, but first i would like to ask you a question in light of the fact that we got the fbi revelation that the nsa surveillance foiled a bomb plot on the nyse. what's the security like down there in light of those revelations? >> the security has been extraordinarily tight since 9/11. people used to be able to come in here, tourists and stand by the visitors' gallery and watch everybody and you can't to that anymore and this is happening on a daily basis now. security is tight. there's extraordinary security measures just to get into the building, and that's not really changing at all. i don't sense a change in the mood down here. as for the attitude, people have gotten used to the fact that we live in a high security area. the federal reserve is just down the street so nobody here has had a change in attitude or shocked to hear there were plots. let me move on and if there's worry about person bernanke tomorrow, they are not showing it. for the sec

many thanks, bob pisani. so what's behind all this red on wall street?re back with our two michaels tonight, michael farr and michael ozanian. before we jump into the market at large, just follow through on this google internet story regarding the fisa court and the warrants. is there any real damage here? are stock investors going to walk away from all these companies or what? >> no, i don't think -- there may be in the short term some damage, certainly not in the long term. i'd be a little more invested in tech than i was in the past. i'd go with an etf like vanguard's etf on infotech stocks, very low expense ratio. google and some of these other tech companies, microsoft, they're going to grow better. i'd be a buyer. >> just common sense. investors in those stocks and onlookers, they know now that this has been going on for a while, that like it didn't just start two days ago. and so it has not affected the performance of these tech companies. i don't see why it should affect it in the future. >> i don't see why it should either. i own google. i've ow

. >>> let's get to bob pisani. a shaky week for the marks. how do we stand for over an hour? >> reporter: we call paul sir over here. on the floor of the new york stock exchange. thanks, maria. the dow jones industrials, the one thing we found out this week was plenty of interest rate risk, but also growth risk. the imf came out, lowered its growth forecast for the u.s. normally, that does not move markets, folks. around 11:00, it did move it down. maybe it was coincidental, but saw a definite move up in the dollar. the dollar weakened, and the dollar-yen, we all watch that now. the yen strengthened, moving down, means the yen strengthened. generally the markets move to the downside. the story of the week has been about bonds dropping and emerging markets having trouble. here's where we are so far for the week. generally s&p is down fractionally. that's the agg total bonds, actually up, a two-day rally, a little more stability in some of the bond fronts, but not in emerging markets front. the eem, the dropping down, and over the week, japan hedged equities, down 4%. that thin

. >>> bob pisani, a bull, just handed me a rally cap. he wanted me to put it on backwards.t happening, but a lot of people are wondering whether this tuesday streak is going to end here, robert. >> we have gone almost completely around here. put up the dow jones industrial average. why are we coming off the lows, because it's tuesday, dummies. that's why. a market on close, orders will become a sporting event down here. those orders right at the close, the final print of the day, just talked with some of the traders, including art. of the 50 biggest stocks down here, 44 had to buy here, as of a few minutes ago. maybe that's paring off now, because we're coming off of our lows. the important thing is, two weeks ago, the market top, the day the fmoc minutes came out, and since thing, things have been quite volatility. utilities down and ten-year treasuries down as well. talk more about that at 4:00. guys, back to you. >> another trader just came by, plea maria, and told me the bias is heading back towards the sell side. 12 minutes left, down 42 point on the industrial average

and bob pisani, here to recap what has been a volatile trading week, obviously. >> and essentially 300s from the bottom yesterday, better than 300 points from the bottom. put up a two-day on the dow. i think the story was, everyone felt good about the number today. it was amazing how many people commented about, it wasn't a feel-good number, but people said it was the feel-right number. and i guess under the circumstances, that's the right way to look at it. a slowly improving labor market, the fed's likely comfortable with its qe policy right now, that is jawboning towards the concept of tapering later in the year. most people still don't feel they're going to do it, but at least they're jawboning in that direction. the sectors today, back to risk on. all week, we've been very defensive. it's been consumer stocks, names like utilities have done a little bit better. but today, industrials, consumer discretionary, financial, and energy stocks all on the up side. joining us now from the sandler o'neil global exchange conference, the former chairman and the ceo of the new york stock excha

bob pisani on that. >> so far, the excitement has been at the open. this was the quarterly expiration of futures. this will be one of the busiest volume days of the year. after that, it's been pretty much steady as she goes. looking at the dow. a lot of traders down here -- i said this last night -- will be happy to see a quiet day. narrower range, maybe 150, 160 points on the dow, than we've seen recently. that's fine with a lot of people down here. we may get a little bit of action at the close. this is the quarterly rebalancing, and the s&p 500, usually happens four times a year. a couple of stocks seeing decreases in their size, their weightings. pfizer and at&t, they'll see lower weightings, mostly due to buybacks that the companies are having. i'll keep an eye on that one. sector. strength in defensive names. healthcare stocks doing well. utilities are doing better finally. tech, cyclical names, a little to the downside, but not aggressively so. not compared to what we've seen recently. and a little bit of a bounce in emerging market markets. re

so you know, bob pisani is there with them. hey, bob. >> hey. i've been doing this for many years. and that's how to and night tr reduce trading glitches. >> we made a lot of investments on our side, information security, disaster recovery but at the same time working well together, since the flash crash. almost finished flash crash reforms, limit up, limit down, keep trading in a narrow range. completely rolled out by the end of the summer and prevent the most egregious case of stocks falling from $50 to a penny. that's not able to happen anymore. >> there was a lot of talk about an s.e.c. proposal for uniform technology standards that would reduce a lot of the technology problems. that might happen within a year. a lively panel on market structure. compared to 20, 30 years ago the average trader was getting a very good deal, commission costs are lower, spreads tighter, execution better. i was surprised to hear that. not a lot of talk about the casino we keep hearing. bill o'brien surprised everybody by saying the biggest there the average trader was not coming from high frequency