s centex has been the midwest builder. i think it's a closing moment for the two. >> let's link to that and go straight to financials. capital one, what's going on there? >> i'm seeing two things going on. capital one had a gigantic rebound. people are starting to think the worse is over. however, it's a huge buyer of september 29, i think capital one, which dipped all the way to 20 after the $27 pricing and change, pricing of their secondary. when president obama was bashing credit companies. it just made a big, beg leap back to $30. i bet that capital one pulls back before it has its next move. >> what about agilent? you think they're doing the deal right now, it's smart, good? >> one of the things we're seeing in this era is bristol-myers -- which i own from my charitable trust, makes in action. j & j's made a series of acquisitions. that stock's gone up. companies that need growth are usually using in this case the currency to start making buys. the other one i saw, first niagara, fnfg -- >> the philadelphia bank, righ

. >> i don't own it but i think centex is interesting. i thought when centex announced the deal with pulte homes that deal will close shortly. that was a seminole event in the recovery of home builders stock. those names have strong valid sheets and that he will be positioned to take over from others in a weakened position. who knows where the bottom is. you only know after. this is good data. >> we do know that housing is strong in brazil. hxm, they've gone from $7 to $26. interest rates are low in brazil. these banks are all selling and they are all issuing more mortgages. >> and my favorite story in the entire world which is the emerging middle class where the poverty-stricken finally emerge and are able to buy homes in places they never could before. >> that's the story.y. these guys are building low to medium-level condominiums and housing in brazil where interest rates are at record lows. and it's a rationale for those guys to get in there and spend money. >> back in may and june, they picked every one of the various sectors, and th

i owned centex b befe e i arted to wriri f forhestreet.com and thth got taken out. we sold it at a profitit. i expect there's's gngng tbe that a aivivitin the sector as wewe. >> anothth t thi that you did, i hahaveo o te you, it was very, very contrary. you took a lot of f coananiethat i thinindodo wl in a very slow enronment, talking aboututomome of t the dgsgssome of the slower chs. ansaid that they have totoo o here. exaiaito people why they donon't fit. because a lot of peoeople owow that the e ecomymy inot strong. t ty want to be defensiveve. >> thehe pprpriery portfolio i have, i'm working wiwith ainine amount o of shsh. i have to mamake aececion. where dodo a allate. do i want to stay y fefense andd just enjoy t t yiyields hoping that eventually, the other stocks will become werful again. toto ccentrate my firepower, make micekek uonon l the lo-term bet. the babas s anhome builders are going to come ouout ofhihithing withth t n nextwo years and th'll be some multiple as s they are now. >>ot a trade. >>>> n not a trade. >>neneloyment goes above 10%0%. do you c

i owned centex re i started to writefor thestreet.com d they got tak out. i expect there's going to be that actity in the sector as well. >> another thing that you did, i ve to tell you, it was very, very contrar you took a lot of mpanies that i thindo well in a vy slow environment, talkingbo some of the drugs, some the sler techs. and said that they have to go here. explain to people whyth don't fit. because a t of people know that the economy is notstrong. so they want to be defensive. >> the proprietarytfolio i have, i'm working with ainite amount of cas i have toake a decision. where do i allocate. do i want to defensive ann joy the yields in hop that the other stockre going to remain powerfu or do i want to ncentrate my firepo make micek uon larhe long-term bet. the banks and home builders are going to come out of this tng with theext two years and thl be some ltle as they are now. >> not a trade. >> no,not a trade. >> unemployment goesbove 10%. do you cnge your mind? >> no. i expect unemployment to go as gh as 11% wch it did in 1981. okay, we came ou

the one seeing some strength just to not the same degree on r centex. the one company that is showing not so good trends is basically the absorption rates down. the sector as a whole is showing the first gain in absorption rates, going back four years. >> tell us what you mean by absorption. >> in retail, same store sales. sale for community. and that is the focus of most investor. when that strengthens, that mean the overall demand on the same store base sis improving for the bullers. >> i think we'll have to wrap that up. thank you for being with us tonight. and a view from the top now on warehousing is headed and what role if any washington should play. jack is with remax international. and jim gillespie is the ceo of coldwell banker. you have a 55 city survey instead of the 20-city survey with case shiller. >> i'll get to that in a second. i have to tell you the tips you gave when we came back from the break were right on. i could not agree with you more. >> wow! i made them up. thanks. >> we don't really track the. that tracks 55 major metropolitan