bob pisani tells us whether today's market move is a sign the worst of the selling is over. [ bells and applause ] >> reporter: is this capitulation? well, do you believe we're in a bear market or not? one thing's for sure, for a brief moment in the middle of the day, we saw some very strange numbers, i mean really strange. almost 40% of the stocks at the new york stock exchange were at 52-week lows. there were 30 stocks down for every one that was up. that is a weird number. and volume was twice as heavy as usual. now, all this suggests panic, and it's usually associated with at least a short-term market bottom, and that's exactly what happened. stocks rallied in the middle of the day, and they rallied hard. the dow transports rallied almost 300 points from the top to the bottom! that's about 5%. and traders cheered when the index went positive. here's the problem -- this only suggests that the selling has halted for the moment. in bear markets, you always get rallies. some of them last for a day, some for a few days, but then the markets just drooped again. so, you have to believe one

bob pisani now with more on today's comeback and why investors shouldn't breathe easy yet. >> the joke has been wall street is selling stocks to play the lottery. now that the lottery is over, the markets rallied. first jpmorgan had a strong earnings report preopen. futures did rise. second, oil staged a sharp rally right after stocks opened. finally and perhaps most importantly st. louis fed president james bullard said this morning the continuing drop in oil had caused a worrisome drop in inflation that may make further rate hikes hard to justify. hey, that is a very big statement. bullard is a centrist and voter on the fomc this year. is this the bottom? i don't think so you. first we're still dealing with the biggest issue of all -- just how much is the global economy decelerating. second, oil has not clearly bottomed. also it's not clear the fed is going to back off the aggressive rate hike policy. remember, we haven't dropped that much. right now we're in the middle a garden-variety correction. but remember, the s&p went from 700 in 2009 to 2100 in 2015. now it's only about 1900,

bob pisani has more on the sell-off from the new york stock exchange. >> reporter: after another downpen we pared some losses almost immediately after that as the chinese authorities suspend the circuit breakers they had implemented just four days before. then oil rallied and we actually had a modest rally going in the middle of the day. well, that all faded when a reuters report came out suggesting that chinese officials were being pressured to do a quick devaluation of the chinese currency, perhaps as much as 10% to 15%, to help out the economy. and the markets moved south again to end near the lows for the day even though there was no confirmation of that story. except for defensive names like health care and utilities, most of the market was down 2%. but there was particular weakness in financials with big names like goldman sachs and morgan stanley hitting 52-week lows. now, this suggests the market believes that two or three fed rate hikes are more likely than the four or so that fed officials seemed to be predicting. now, that's very important because tomorrow our attention wil

bob pisani explains why this market just can't seem to catch a break. >> reporter: it was another day where traders just wanted to take down their exposure to the overall market. everything was down 2% to 3% from auto stocks to financials to health care to technology stocks, virtually everything. there's a similar pattern in the trading activity in the past few days. stocks invariably start to the up side, but then traders sell directly into the rallies. it doesn't help that oil has been very volatile recently, but this sell into rally thing is relatively new. traders seem to be in no mood to pick up any bargains at all. oil is a symptom, though, of a larger issue going on. there is concern that global business activity is slowing down. you can see this in the earnings reports. recently, we've had 23 companies report fourth-quarter earnings, including big consumer names like nike and bed bath & beyond and general mills. 19 of the 23 have missed revenue expectations. that's a sign that business conditions are slowing down. for "nightly business report," i'm bob pisani at the new york s

bob pisani looks at what happened. >> reporter: 2015 was the year almost nothing worked.t started out with a few simple ideas. oil was weak but it would strengthen in the second half of the year. u.s. was the best place to invest in stocks in the world. europe was stuck in slow or no growth. and china was decelerating and also not the place to invest in stocks. turns out it was all wrong. oil went to new lows instead of moving up. china was a roller coaster but the shanghai market was one of the best stock markets in the world. it was up 9%. and germany and most of europe was up in the high single digits. and how about the u.s., supposedly the best place in the world to make money in stocks? it was flat. a laggard. so what happened? the main issue was everyone was completely wrong on oil and it turns out that cheap oil has a bigger impact than stocks on the economy than many thought and in some cases a negative impact. were any of the consensus plays right? the only big bet that worked was japan. most traders felt that japan's stimulus program would benefit the stock mark

bob pisani has more on today's vanishing rally. >> reporter: it was another up and down day but overall, it was disappointing for the market. on the surface, it's simple. there's no peace in the stock market without oil coming down. oil broke down twice ood today right after the open and in the middle of the afternoon. both times, the stock market followed down. today was a little more important for technical reasons, as well. the minute the s&p 500 broke through 1880 in the afternoon was the closing low on friday. the market took a leg lower on heavier volume. the market took another leg lower when it broke through 1867. that was the low for the s&p 500 in august of last year. stocks rose after i'll stabilized late in the day but not after a lot of damage was done. big oil names like conoco phillips down 7%. hes down. exxon was only down 1.5%. it seems almost the news from the big drops its fellow oil companies have been seeing. you may be wondering were why are the technicals so important? when afraiders don't understand what the fundamentals doing and they're confused right now, they

bob pisani is with me. what a day it's been.et's start, though, where the fun began, that would be in shanghai in china. we have a one week chart just to show you the magnitude of the selloff in that market overnight where they had to halt trading with the market down 7%. it will be very interesting to see how it opens tonight and whether it continues the selling cycle overnight and into tomorrow morning. as for our own market today quite a come back. as you've pointed out, bob, started to ease up a little bit when europe closed at 11:30 eastern but much of that easing has occurred here on the close, we are down just 1.67% after having been down much more than 2.5%. wti, what a wild day that was, the tensions over in the middle east pushed prices higher, they be we got word of a flut in curbing, that pushed prices sharply lower. we are down for the trading day. the ten year, five year, 30 year all moved lower in yield as they bought those bonds and then the vix we are back above 20 to start the new year. >> and you might think,

but even though stocks rallied bob pisani explains why there may be little reason for celebration. >>eporter: we rallied today but it was a crummy unenthusiastic rally. really we should have done better. first mario draghi, head of the european central bank says down side risks had increased. he was worried about the lack of any inflation and he implied there was more stimulus coming. it was widely believed some of these comments were directed at the federal reserve, a veiled request for them to sort of back off on this perception that they're going to be on an aggressive path to hike rates. what actually happened? our markets opened up and they immediately sold right into it. that's not good. the only thing that saved us from a humiliating plunge right after the open was oil, which staged a dramatic turnaround right after the u.s. open and it took the whole market up with it. but here's the worrisome part. the second oil stopped rallying around noon the market stopped going up and began to gently roll over. and for the rest of the afternoon mostly the markets meandered around in a ve

bob pisani has more on today's rout from the new york stock exchange. >> reporter: ugg. what a lousy open for the year. most of the market was down 2% the whole day except for a very brief rally at the close. there were several reasons that stocks traded down. first we had a poor close to 2015 at a time when the markets normally rally. second, china was a major factor in the drop today, with disappointing manufacturer numbers, a new circuit breaker that halted trading when the market dropped 7% and probably caused more panic than anyone expected, and as traders sold ahead of news that large shareholders previously banned from selling would be able to do so at the end of the week. now, third, the saudi-iran conflict was a major geopolitical event, and oil couldn't even hold a rally, though energy stocks were down less than the overall market. finally, the u.s.'s own december manufacturing data was weaker than expected. you add it all up, and it collectively sends a message to the markets. there is not a lot of reasons to be long stocks at the moment. now, is there any hop

for "nightly business report" i'm bob pisani at the new york stock exchange. >>> and today at the worldconomic forum in davos, switzerland larry fink, the ceo of blackrock, the world's largest asset manager, echoed that sentiment. >> i do believe the market will be higher by year end. i said that last friday. i do believe there is a need for blood in the street. we need to -- we need to work out all the excess inventories in energy. the only way that's going to happen is through bankruptcies of some of the oil companies as they stop pumping. this is all good. this is a good process. actually, this market correction weeds out the weak. >> and as for oil, mr. frink does not think we have seen a bottom in prices just yet. >>> but that is the big question. has the price of the world's most closely watched commodity bottomed? in the past two days we've seen a sharp and swift move higher, up about 16% today alone. crude settled above $32 a barrel. why have prices moved so quickly and is the worst of the selling behind us? pavel mukhnov, an energy manager at raymond james, joins us now. pavel,

dan draper of invesco and bob pisani. >> thank you very much. times square home of the most expensive real estate in the world. so expensive that toys "r" us gave up the flag ship store and moved out. a new tenant is ready to move in. we'll tell who you it is and we'll talk to the man that helped broker that deal coming up. here at the td ameritrade trader group, they work all the time. sup jj, working hard? working 24/7 on mobile trader, rated #1 trading app on the app store. it lets you trade stocks, options, futures... even advanced orders. and it offers more charts than a lot of other competitors do on desktop. you work so late. i guess you don't see your family very much? i see them all the time. did you finish your derivatives pricing model, honey? td ameritrade. ♪ ♪ those who define sophistication stand out. those who dare to redefine it stand apart. the all-new lexus rx and rx hybrid. never has luxury been this expressive. this is the pursuit of perfection. >>> commercial real estate prices are around 16% nationally. but in large cities

bob pisani is here joining us. just a quick recap with about three and a half minutes left in the trading session today. the dow from the get-go this morning, unlike recent markets where we saw a rally that failed on the open in the morning. the dow down on the open. at the low of the day, 566 points. and then they just started that comeback around 1:00 eastern time today. it took us back. if we have a six-month charlottcharlottt, it took us back to lows in august. we got back to those lows he was after. his number was based on the s&p at around 1865. price of oil today back to a 13-year low. taking us below $27 a barrel. the yield on the ten-year note down to 1.93%, taking us back to a low we saw last october. so some benchmarks were taken out today. >> this is at least a short-term selling climbed. the market internals when things turned around were screwy. twilight zone numbers. this is the worst since 2008. 1347 new lows at the nyc. that's 40% of the new york stock exchange at new lows. twice normal volume. in

our bob pisani. >>> tim seymour, he mentioned a lot of names there that have been whip sawed.ld you be putting your money to work? >> i think first of all what i'm encouraged about next week is we will start to trade on ultimately some real earnings data. people really need to know what apple is seeing not only in terms of what's going on with their hand set business but china specifically, freeport mac, halliburton reports on monday. i think it's people are approaching the next two to three months in in market i don't see how they can't stay offensive. the consumer product areas, especially those places with international growth and that seems almost kousht intuitive, kimberly clark, procter & gamble, pepsi, i think these are the names in a make the most sense to me in an environment that i think you have to be defensive. >> mike, how good can we feel when freeport mcmoran closed down 3%. >> i do think you have to keep some kind of perspective on the scale of these moves. on wednesday all we really did is the world collectively said are things 13% worse than december 29th. >>

let's get to bob pisani who joins me on the nyse floor. you have to ask you, bob, today when i was coming down to the stock exchange, my driver turned to me and he said, i was reading that the u.s. stock market is down because of something that's happening in china. he said why should u.s. stocks care so much about china? and then, of course, we spent the next 30 minutes trying to work it ought out. >> that's a big can of worms. a good part of the s&p 500 gets its earnings over seas. take a look at what we're doing. we rallied a little early in the morning as we heard chinese authorities suspended their circuit breaker. you can see we're moving to the downside. look at the dow stocks. a lot of growth sectors, financials have been weak throughout the morning, big industrials like ge, apple also just cannot bounce at all. energy has a modest bounce but not all of them. some of the big beaten up names like eog have been rallies, pioneer natural. one stock i want to highlight is exxon, down only 1% for the week and very much trading indifferent

brad, i asked bob pisani, our wonderful new york stock exchange reporter, earlier, you know, is a lotf the bad news already priced in? and bob just wasn't convinced. what do you think? >> well, if you look at everything that's happened, i think you have to say yes. we've had a chinese market crash. we've had two banks saying get out of the market. i don't remember that ever happening. we've had a slowdown. everything has happened. what else can go wrong? i'm sure there's something but there's a lot of bad news in there. >> does it mean you're buying the dip? >> i think it does make sense to start moving back in now. we don't see this at commonwealth as a 2008 moment. we see this as an adjustment and a healthy adjustment at that. >> i understand you are not simply blindly buying the dip. what would you be doing instead? is there a different tact to take right now? >> there is. there's a huge difference in the sector rotation or sector returns after the last few weeks and likely to be over the coming year. so you don't necessarily have to buy in the diplomats. you don't necessarily have

bob pisani striking the action here at the stock exchange, steve liesman will give us the low down on that jobs report. bob, first you here on the floor here. >> well, bill, we had a 12 point gap up at the open but we've given back virtually all of it. take a look at the s&p 500, a lot of cross currents going on in the market but we were up overnight on the china markets being up, then up a little bit as the jobs report came in better than expected. we moved to the down side here, a lot of cross current. that jobs report good news for the u.s. economy but has created concerns about additional fed rate hikes above and beyond what traders were expecting, the normal traders typically thinking two, maybe three on the year. china walking back issues is definitely a positive, they removed the stock circuit breakers and stocks have been dramatically oversold. we should be getting a bounce but we are not seeing it right now. you can see the way the market is looking. very defensive tilt to the market. telecom and utilities and consumer staple stocks have been the mod ets gainers. tech was a m

the two-minute warning, as it were, bob pisani. the dow down 240 points.e didn't even mention we had minutes from the fed that came out at 2:00 eastern. didn't really move the market, but then it led to that selloff there. oil, though, has been the catalyst again. a seven-year low for crude oil, wti below $34 a barrel on the settlement. $33.97 right now, a decline of 5.5%. the ten-year yield setting lows going back to october as they continue to buy the treasuries. we're at 2.17% now. and look at the vix. i asked them to build a one-year chart of the volatility index, the fear index, which is now at 20. but even with this selloff, we are nowhere near where we were in the august selloff. >> we've got three days of mild -- what seems like mild panic, but it's not being reflected either in the volume, or people going out and buying protection. the vix representing people buying, put some calls in the s&p 500 the next 30 days. it's not there. i call the desks. i say, you busy? no. bob, i'm telling you, you know, this is more like a buyers strike than people pa

bob pisani is on the floor. >> that's right. let's look the s&p futures.e had a nice rally overnight and on the jobs report. they sold into that throughout the movement this morning. the rally over in germany as well. that was nice to see. again, they sold into the futures, the business on that. in theory we should be getting a rally here. china had a nice about-face. they set the circuit breaker to be removed. the yuan mid point was set higher. and insider trading ban in place. there was extreme oversold in socks, extreme bearishness, and inverted vix. that would indicate a bounce today. modest so far. in europe, oversold in daimler-chrysler, allianz, basf. daimler down 10% this week. all it can manage is a 0.7 gain. new lows in the financials, morgan stanley and goldman sachs down 9%, 10% for the week. modest moves on the upside here. what we don't have are the oil moves. modest moves considering the declining. exxonmobil here, the big flight to quality for oil stocks, many down 6%, 7%. exxon down about 2%. it has the near 4% dividend yield. that's a goo

cnbc's bob pisani is also down here with us. bob? >> reporter: thanks, melissa.pite higher volatility and lower returns, 2015 was a big year for etf flows. $222 billion in net inflows, an increase of about 10%. 2.1 trillion assets under management and while that's still small in comparison to the roughly 11 trillion under management in mutual funds, mutual funds have steadily been using assets. three hot topics, smart beta. etf weighted some other way than market cap and goldman sachs weighted three etf by volume, quality and low fees. the big question do they outperform market-weighted indices, the jury still out. active management. so much money is coming into etfs that it's attracted the active management crowd that insists they can outperform passive index funds. the industry is split on this. half say who needs them? we don't need them. the other half says there's plenty of room for other kinds of investment styles. finally, is the s.e.c. going to tighten regulation of etfs? they recently announced that they would be looking into the suitability for investor

. >> meanwhile, bob pisani joining us. and bertha coombs, of course, tracking action at the nasdaq stock market as well. bob, this late day selloff, rather unusual. >> yeah. this is another one of those days where they're taking down overall exposure. we've seen this a number of times. the whole market is down about 2%. it really doesn't matter. overall market exposure being taken down. what's point is we're seeing a little more activity in high beta names. stocks that have a little more pluckuation on a daily basis. so look, transports having a very ugly day.fluctuation on a . so look, transports having a very ugly day. everything down about 4%. another high beta sector that we're seeing a lot of activity, come on over here, is rhrhe reg banks. about 4% in the regional bank area. another sector. another high beta sector is the oil names. i'm just bringing up one. anadarko. and it's not unusual now to see 4%, 5%, 6% declines. these high beta names, as we call them, have had a really tough time this year. i want to show you

it doesn't have to do with the price of oil either, bob pisani. >> it doesn't. it has to do with china and indirectly changes in the way we use certain energy products. arch coal declared bankruptcy, this is playing havoc with all the commodity names, if they needed more trouble. take a look at shreveport mack more ran. we're talking 2001 levels for freeport with what was going on with arch port's bankruptcy and china as well. you can see other coal names, you can imagine what's going on with the coal names. here is peabody energy down 20%. obviously this has produced pressures on producers of coal, china's growth slows, we have power plants switching to historically low priced natural gas as opposed to using coal as well. so that's a major issue there. so you can see the whole complex, the down side right now, there's console energy, jeks, here is another company that produces oil and natural gas as well as coal, that's down about 10% also on the biggest decliner names. another thing i want to point out is the strong dollar is a major problem, as it relates to

back to you, melissa, bob pisani. >> you were living in russia at the time. >> i was living in ure asia had a major adjustment in global occur yecurrencies excep saudi and the yuan, and that is starting to revalue. so debt to equity, private sector debt a big problem. but if you look at china, they are three quarters of the excess debt in e.m. and i'm not saying it is good, but to say this i is '97 or '98, i won't say irresponsible but off the mark. but to say you want to rub for the hills -- run for the hills here, china policy is clumsy and don't bank on it but it won't take our economy down and it is very clear to me. >> you were actively trading at that time, i imagine. >> back in the day. >> back in the day. >> i have to tell you something, the currency moves, we saw in '98, nothing close to what we see now on a daily basis. you have one off once in a while. but in a ridiculous magnitude on a bailey basis. and it is not normal. and it is not normal to move 2% and 3 in one day. there is something wrong about that. and there have been books written about currency wars. and we're in t

bob pisani is on the floor of the new york stock ex schang, michelle caruso-cabrera joins us here at post 9 today as does the "wall street journal's" hong kong bureau chief ken brown. let's get some hits, runs and errors. >> the important thing is a lot of 'tis appointment. we started off down but moved up after we had news china was eliminating its circuit breakers. we have moved down in the middle of the day and a lot of expansion of new lows, more than 3 hub here at the new york stock exchange, including, for example, morgan stanley which is now about 4%, that's a new 52-week low, a lot of the big financial names down about 4%. one source that's giving some people hope here is exxonmobil, only down 1.7%. that's far outperforming its peers down 4, 5, 6% some of the other ones for the week. one thing you want to watch for tomorrow, good indicator, ashr, this is a china etf, these are market makers trying to guess how the market might open tomorrow. down about 5%, but it was down 8% earlier on. we will keep a close eye on that one going into the close. >> thank you, bob. michelle is

let's get to bob pisani. good morning. >> off the lows but just barely. i want to show you the s&p 500 futures. a lot of debate about the cause of the big drop we saw, more than 20 points after 9:00 eastern time. two things occurred, the word out of that korean nuclear test, and china said its currency fixed lower. a lot of volume there at a typically light time of the evening. north korea's nuclear test has added to the worry, the yuan, the weak oil, and the fed rate hikes. we were trading 2,000 to 2100 throughout the s&p 500 in the last quarter of the year, now we're breaking below that. the low in december was 1993. the new trading range will be the late summer trading range. the 1850 to 2000 range. when people are unsure, technicals are important. we had good eurozone pmi numbers. very good. but europe down again. autos again week. mike jackson saying profit margins may be coming down. too much inventory out there. ford, car max, to the down side. you were talking about pioneer, the important thing about that $12 million share secondary, they had one

bob pisani. let's get to rick santelli at the cme in chicago.appy new year, rick. >> happy new year, carl. good morning to all listeners and viewers. looking at lower yields, down about 5 basis points on a five-year. look at the six-month chart, important to pay attention to all the tops you see in the 170s and 180s area. that's the options pit and treasuries. having an interesting high volume first hour of trade. looking at a three-month chart of ten years, you can see the low to mid 230s was a breaker bar for the market towards the end of last year. no different this year. actually now under the pivot, so say traders, right at 2.25. it's all about china this morning and deservedly so. the globe, so much economic horsepower, each contributes, each developed, and the emerging market and frontier economy all tossed in. every country tossing less in reflects the picture. that, in many ways, is what is going on with china and the markets. look at their currency, dollar/yuan intraday. the last time the dollar was at these strong levels was in april

back to you. >> thank you very much, bob pisani.ay from carl icahn and his continuing dispute with the management and board of directors at this point of aig, a letter released this morning from mr. icahn goes into more details again as to why he believes the company will benefit from being broken up. this battle began back towards the end of october, october 28th when mr. icahn issued the first of a number of letters. the first letter to aig and to its shareholders asking it to essentially de-sifi, get itself out from under the financial designation as a systemically important financial institution, he believes that would enable it to pursue various lines of business separately that would benefit all share holders as a whole. in this he is joined, you might remember, by paulson and company, which has a significant stake and also by josh sterling over at bernstein who has been saying similar or same things about a breakup. the latest letter, let me give you a few takes. management has been either purposely misleading in public discl

bob pisani on the floor. >> very sim story. we are positive almost every day.ajor shareholders announced they would not be selling stock any time soon. >> the big concern is that some might be selling early on despite what the authorities said. that caused a bit of a rally over in china. over in europe, germany was up early but sort of sold off there. there was a reuters story out that the ecb would not be interested in more qe. i think that disappointed the market. that came out very early there for them. you see it moved to the down side. over here in the states, we turned down. just about the time that jpmorgan came out, around 6:45 in the morning, we rallied off of our bottom there. jpmorgan trading on the up side sector here in the united states. they were up just about four or five minutes. we have turned to the down side here. on best buy, everybody is focused on the computing and mobile phone sector. you can see it is down here. a new 52-week low. appliances were quite strong, up 13%. consumer electronics, health and wearables, home theater, put up the

let's get to bob pisani on the floor. >> let's show you what's going on overseas.sia was ripping, japan was up, shake high was big, hang seng was up. germany is up and the reason is central bankers are saying look what happened in the last 24 hours. one of premier abe's aides said conditional easing has fallen into place. they say china will continue to intervene in its stockmarkets calling his markets imma tear. draghi says they may need to review a policy stance. you've got energy stocks leading very big. you mention all the usual high beta names like marathon, devon, murphy, anadarko. all of them are up. most in positive territory so far. i hate to bring everyone down but we're missing on revenues a lot. g.e., kansas city, suntrust. kansas city is up. they're up about 9%. earnings and revenues. revenues well short of expectations. that's way below expectations. we asked our friends at kensho to look at it. 2009. 1970 was lousy. 1960 was down 7%. 1990 was down 6.9% as you can see. in each case for those four lousy years we rebounded. look at 2009, for example. ja

bob pisani is joining us. bob, it's easy to blame china but it is certainly not the only thing causing today's weakness. >> it's not. but we want to focus on china because we have one of the big china etf experts here, he runs crane shares. what happened? was this all china pmi? what caused the 7% drop and still couldn't finish in china? >> the pmi was probably a minor contributor. we mainly are seeing that the ban on insiders sales is expiring this friday. that's about $1 trillion rmb is going to be allowed to be sold for the first time. that's going to weigh on small c cap. >> and these people were prevented from selling several months ago and now they can do that. >> for the first time. >> you think retail investors might be trying to get ahead of this? >> very much front runer running knowing the potential for sales coming on friday. >> let me get to seema mody with breaking news. >> dow jones is reporting mary berra is being elevated to chairman and ceo which would many she would be ceo and chairman of gen

bob pisani joins me now. what happened? had a move to the down side. 2016 is looking a lot like 2015. lightening up on the big global names. look at industrials. big names. owen illinois, dover, illinois tool works, emerson down more than 1%. then we have oil moving to the down side. energy names moved down. we've seen the names, baker hughes, cabbot oil and gas to the down side. one thang is notable today is the auto stocks. the auto numbers weren't that bad. but they sold right into before the gm numbers came out. ford had a great year overall. the f-150 truck was terrific. look at the numbers here. all the auto -- anything associated with autos is a down side leader today. what else looks like 2015? consumer staples? they're outperforming again. we have kimberly clark, altria, reynolds, clorox, they were on the best performers list. they're showing up again on the best performing list in 2016. >> thank you very much, bob. as we can see there, stocks are down now. the first two trading days of the year. does this mean buy

bob pisani is on the floor watching what's moving. >> the important thing is we have a rally, but it'sodest, and not very enthusiastic. the volume not very strong. let's look at the s&p 500. we did have a gaap on tp on the, 12, 14 points, but they sold into it. this is what happened into europe. even germany bounced on our non-farm payroll report. but they sold into that as well. a lot of cross-currents in the markets now. here's the three biggest ones. the jobs report. now there's a concern that there will be more fed hikes than the market anticipates. market anticipating two or three. fed officials may be anticipating four. that's an issue. on the positive side, china walked back several big issues. they set the yuan mid point higher, removed the stock circuit breakers and kept the ban on insider trading in place. and another positive, stocks are dramatically oversold and sentiment is very bearish. we should see a bounce today, yet the response of the market is mediocre. europe is not far from closing here. we had big oversold conditions in the auto americas, like daimler, semens and

let's get to bob pisani at the new york stock exchange.snm we see oil moving lower and stocks followifalling with it? >> yes. there is a technical level that was breeched and that is friday's lows. there is no piece without oil in the stock market. it's that simple. i'm sorry to say. that i wish it wasn't true. we hit 1880 a little while ago on the s&p 500. that was friday's closing low. and essentially we were sitting right near the august lows. so this is a very important psychological level. the minute we broke below 1880, there was an avalanche of sell orders. if you put up -- you can't see it. you can see the etfs. volume spiked when we hit s&p 500 1880 and broke below. that put up the xle, you can see the divisive move down. there is the leg down in energy. the whole complex that is dependent on global growth, materials for example, you can put up materials, you can put up industrials intraday, they took a leg lower as oil moved to the lows of the day. the reason this is important is this technical level is we're at an inflection poi