obviously the cme group wanted this. they wanted to own nyc you're -- euronext. >> you have your sources, we all have our sources. i don't know if it could clear regulatory hurdles, but higher's a couple of things. kodak used to be an iconic brand. where is it today? listen, i love the new york stock exchange, but bob is right. let's say it's not a profitable model anymore. that's why they have been trying to find a date to the debutante ball for a while now. a couple of issues with the floor. when they bought the nybot, that was in early '07. the futures part of the floor was gone within a year, and just this past october they shut down all floor trading, so you guys may have an issue with that on the floor, abe, and, b, this outsourcing of clearing has a bunch issues. one is that the omc wasn't interested in the ecb because of the regulations. just the regulations and the aura of dodd/frank period, is there a power play with respect to how the s.e.c. fits in, topics being discussed on this floor. >> david, the biggest

let me get to charlie in the cme pits, look. a floor trader is always happy to hear other floor traders are going to live but what went through your mind when you saw charlie's interview? he said we need these guys. humans of always mattered to versus electronic which we know can go haywire. >> i hope they make a better goal of the equity market than the futures markets because quite frankly i traded a lot of futures markets that are traded options in and it is hard to find settlement prices hours after the market closed. when you look at the liquidity of a lot of the stocks i think eyes hurt more than helped that situation. you saw a lot of liquidity dry up once they moved to the computers. there is something to be said for transparency but we will see what happens and how they trade the equities but it has not been such a great self the commodities. liz: look at any exchange, trading glitches or the flash crash. i am all for you guys. let me get to the nymex comments. we are talking about gold, you got to show this at the mome

that saids, the cme still h a reasonable growth expectation. i think their five year analyst growth according to star mine is around 7.2%. but they enjoy even better operating margins. the last number that i had seen for the quarter was around 58%. >> yeah, twice what the nasdaq does. finally the chicago board options exchange, less than a dollar away from a two year high, speculation this could be the next exchange to be bought out. >> the cboe being a derivative exchange also has the ability to generate better margins. theirperating margins e almost up almost 50% from the last quarterly report. >> tom: dow own any 6 these shares yourself. >> no, i don't. >> tom: john kozey with thompson reuters investors. stocks reversed much of yesterday's losses as the u.s. house approached a vote on the republican's plan "b" to avoid the fiscal cliff. the s&p 500 didn't get any lift from the stronger third quarter economic data, but around 1:30 eastern time, prices began moving higher with the index, finishing at its highest level of the session, up six te

ashley: dan at the cme. dan, i want to talk gold. it's interesting, gold down eight or nine bucks on the day, and you think it's a safe haven play, but is it the profit takers trying to get ahead of higher tax rates to pay? >> it's possible, but i believe people think there's no grand bargain here. if they come to grips with a plan, the plan they talked about is tax rates. obviously, that's good, a nice headline, but that doesn't stop the sequestering io themes in play. if they are in play, that's deflationary, and that's why commodities are challenged lately. unless there's a good deal, gold will go down further. ashley: interesting. copper, silver, platinum, palladium, down across the board, isn't it? >> oh, for sure. none of the things we talked about, there's rumors now that maybe there could be some of the defense cuts spending in the sequestered items, but until now, no discussion at all about what happens to the other things other than income tax rates, and that's deflationary. good point. allen harry, seems to me, talk oil, a

david: cme futures closing, back to the cme group, and mark, ending the day, recovered, but that continuerhours? >> no, gave away a couple points after the bell. closed down another two points. you know, not so much good news, not the low of the day. we didn't get ugly after the bell. that's what would have scared me. something interesting to pay attention to is that over the last ten and twenty days, realize volatility in the s&p fell through the floor as we wait for these -- as we have been waiting for the fiscal cliff negotiations to happen. ten day falls 5%. that's incredibly low. just be warned. if something really big comes out, we are going to take off one way or the other like a rocket ship. we are like a jack in the box right now. we are on pens and needles. david: wound up, but can go up or down depending what happens. within the hour, we'll hear more from john boehner and the president who will be meeting. we are on-site there and let you know what happens. thank you, mark, good to see you. liz: thank you, mark. adobe halted following a positive fourth quarter earnings release.

eastern, the cme at 1:15 and the nymex at 1:30. the cme will close up shop at 1:45 eastern. u.s. investors get the monthly case-shiller home price index on thursday wednesday. thursday, it's jobless claims, new home sales and consumer confidence. friday, we round out on the week with the chicago pmi pending home sales. interesting to see the level of volume that we had in u.s. markets on friday. it was 4.8 billion shares traded. the fourth lightest day so far in the nyse. markets got complacent, got a little excited about getting a fiscal cliff resolution and we just haven't seen one. >> and deciding then at the last minute i don't want to sit in my positions if we aren't seeing any type of agreement between bainer and obama. by the looks of things, we might not be. but it's christmas. >> i know it is christmas. >> are you doing anything special? >> i'm actually prep ago turkey later today. i've got the rochini mushroom basting. >> i'll be over at your place in about three or four hours. >> it might take me a little longer than that. >> you never know. in denmark, it's our christ

sandra smith at the cme thank you.have juss turned positive, literally just above the water mark, now we have just gone below. you think about it, we were down 148 points. so as sandra says, maybe someone knows something about that meeting on sunday. who knows. but certainly the market reacting. the closing bell ringing in about 16, 18 minutes, somewhere in there. let's call it 17. he made the right call on bank of america when everybody else was saying dump it. founder of new generation research told clients to buy that troubled bank at the end of last year when no one else wanted in. b of a, guess what, has more than doubled since then. now, he's found another treasure in the trash, it's hewlett-packard. find out why hp could make a big move to the upside in 2013. it's coming up next in a fox business exclusive. ashley: what a reversal in the market. at one point today, the dow was down 148 points. at the very low. then about an hour ago, i'm going to put my glasses on to believe this, the house said it was reconveni

we have traders on the new york stock exchange, the cme group, and the imex.e start with crude, perhaps iraq scaling down its production. we got iran doing their naval exercises again, and perhaps a little bit of optimism that washington will finally get it done, but either way, look at it, hoil of to the upside. >> yeah, i think all the reasons mentioned are partly why we're up higher today. i also think this is just a technical rally. we broke out above key resistance levels. i think we can trade up to 92 #.09, the next level up. there's a report of a terrorist threat thwarted in united arab emirates, and we have early indications inter next crude oil number is a draw. bullish as well. ashlie williams thank -- ashley: thank you. firstly, doreen, what happened? well, we are negative again, but wiped most of the losses on the day on a very quiet day. >> very, vie quiet. as you pointed out, ashley, retailers what everybody's looking at because it's a predicter and indication of how consumers feel, and gdp in 2013, you know, consumers are 70% of the number, and

the cme globex has been closed for christmas and will reopen at 6:00 a.m.astern. >>> now to some of the other stories making news. former president george h.w. bush remains in a houston hospital as doctors say his health took a turn for the worse right before christmas. the 88-year-old former president has been in the hospital since november 23 with a lingering bronchitis-like cough. he had hoped to spend the holiday at home but developed a fever. doctors are cautiously optimistic that bush will recover but want to build up his strength and balance his medications. >> wish him the best during this time. >>> it wasn't a quiet christmas day for many across the south as severe thunderstorms and tornadoes blew roofs off houses and knocked down power lines from louisiana to alabama. that storm system is moving east to georgia and the carolinas. snow and ice are the problem in the midwest. blizzard conditions hit parts of illinois, indiana, and western kentucky with the white stuff headed for the northeast later today. better be time to bundle up. >> all right. >

ashley: in the pits of the cme, y. roberts is a long term -- forget about the fiscal cliff outcome, the top places for you to put your money in the first half of next year and shibani joshi ready to break in with the research in motion and nike earnings as soon as they're out, we will get right to that but start with scott bauer at the cme. let me ask you about research in motion, we don't it is off life-support but so much riding on the blackberry 10. >> the numbers they come out with enough few minutes really going to be immaterial. one important factor, the subscriber base. the subscriber base is not down and no announcement they are delaying the release of january 30th, there is room to run on this stock. i know that is a far cry from where we are. a very good resistance point. the loss is expected to report on the 2.65, those numbers are not as significant as what happens to subscriber base. have they been able to hold on to these people in the hope that -- [talking over each other] liz: stock is halted, last trad

cme is higher today as well.o, not too much of an impact. >> trying to keep up with all the stories going on, supposed to be a holiday period. >> other acquisitions we talked about, arris group buying up -- >> a huge story. >> from google. arris 52-week high in today's session on the back of this acquisition. they are the acquirer. they are up more than 7%. fascinating how the deals are translated into the market. >> issuing 15.7% of arris will now be owned by google because they are not just buying this with cash. >> no. >> they buying it with stock as well. the purchase price alone in excess of arris' market value. >> $1 billion in excess. >> overall price tag. you can start -- take the 14 billion that google paid for motorola mobility. now we can take it down by 2.3. >> what's interesting, david, over and over again, you swhad is google doing with a set top box? >> now we know. >> the answer, getting rid of it. >> oracle and ehlo kwa, acquiring ehloey, 871 million. you look at ehlo quarks wept public in august

traders of the new york stock exchange, cme group, and the nymex. teeny little stumble after the comments from harry reid, but are you surprised by the resiliency of this rally with volume 30 percent better than friday? >> not so surprised. for a while now, for the last week when it comes to the the stock of negotiations, this the inside game and the outside game it's playing out precisely how we thought it would. they get in front of the cameras and try to put dampening remarks on, than they eat -- we got information. what's really interesting, it's very broadbased. this is not a head fake for the bigger averages. if you look at the small-cap stocks, the iww, i wm, they're rallying along with this. treasuries are selling off. money is clearly written into equities. the fiscal cliff sectors that would be here -- heard are really rallying. materials and financials are ll moving nicely hired, and the financials are moving higher because the yield curve is starting to steepen. liz: let me get to dan at the cme. you have a strange maneuvering was some o

. >> in the pits of the cme, michael tells us why dividend paying stocks are taught play regardless of next year's tax rate and charlie will share why he is bullish despite short-term volatility but let's start with phil at the cme. the dow did well today. better than expected, arguably better than expected, jobs report boosting the markets but we got consumer confidence and the fiscal cliffhanging over everything. what did you make of the markets today? >> i was disappointed we failed on that rally and shot up 1421 and sttrted to back off. the fiscal cliff is hanging on the market. as soon as you see john boehner talk for obama it doesn't matter. the market seems to come off of that news. traders have got to look out if there's a joint announcement, chances are they're close to a deal, we will see the market higher. look out for that. dave: let's get off of stocks and deal with oil. we see oil slipping a bit and you see a point at which you might stop and that is $84.50. that is the point we have got to look at coming in next week as the starting point for this drop. phil: we have com

>> the firm has position in the small growth and mid growth mutual fund. >> from the cme at sandy lincoln, with bmo asset management. >> coming up next week on nbr, monday is free shipping day, more than 1,000 retailers are expected to pick up the delivery bills and we will tag along with ups delivery truck and on monday we talk with the ceo of giovanni this yogurt companies makes up half of the greek yogurt market and growing. >> the china economy is also growing again, a new survey shows chinese factories have been busy this month with manufacturing activity hitting its highest level in more than a year, this could signal china's economy is on track to grow as much as eight percent in the fourth quarter that, is much higher than expected. >> it wasn't just china, u.s. factories also humming ago in november, humming along in, especially with manufacturers in the northeast being idle thanks to super storm sandy, auto parts helped pick up the pace. >> industrial public shun in the u.s. jumped 1.1 percent in november. >> described as widespread across industries, and that is pretty good new

let's get to the floor show. [ laughter ] traders at the new york stock exchange, cme aad the imax. >i was forced to do one for another network last year. liz: they are super popular, at least when it comes to the stocks. once again, is it this headline out of washington, d.c.? >> the headline definitely helps, without a dow map. the overall fax are a rally into the end of the year. if that happens, that changes everything. we are going into the end of the year with some strength. liz: i am looking at all that is happening. we cannot ignore volume, guys. volume continues to be a little anemic. chris, at the cme, looking at what is working, you guys do with the trades that are coming through, what are you seeing? >> we are measuring low-volume right now. things tend to drift lower. the big thing we are on right now is still the gold position. we are right around that $1700 mark. if the pops over that, a lot of these traders will become buyers. it is acting as a resistance to the upside right now. with japan coming through with the more liberal, you know, monetary easing, sort of scenar

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jeff flock, what's going on at the cme?he ag room where most all the agriculture futures are down except for coffee. take a look at the arab ca bean, 80% of the world's supply. there is a huge coffee glut, bean glut in brazil which produces about 40% of the world's supply. that is, of course, the bean used mostly by starbucks, dunkin doughnuts and others, and because of this glut in what's called a low-crop year, every other year it has a low year because of growing cyclings. they've had a record low crop year. you take a look at the prices, this was up as high as $3 a pound back in august of 2011. it is now closer to a dollar and a half a pound and headed south. that's the latest on coffee. what are those retailers doing all juiced up on coffee, sandra? i don't know. [laughter] >> yeah, well, some of them have been used up this year on coffee, but some of the fizzle being taken out here at the end of the year. if you've been taking part in the gap, unbelievable rally, turn around for this stock, so far up in the year 69%.

tracy: phil flynn at cme. from the locker room to the courtroom the nld, nhl and others finding themselves the target of a major lawsuit but you might be surprised who is exactly suing. dennis kneale all over this story joins us now. dennis: revenge of the fan. of federal judges letting sports fans go ahead with a lawsuit with antitrust charges, national hockey league and big network, the networks owned by comcast, directv, package sports programs, reducing competition. it raises prices, stops fans from watching their favorite teams out of market. some teams named as defendants including the new york yankees and rangers and chicago's white sox and blackhawks. this could be tough to prove on antitrust grounds because sports leagues operate under a congressionally granted exemption from antitrust laws. baseball has had that since 1922. but the fans complain the block out agreement between the networks and sports leagues are anti competitiveness. if fans want to watch outside the market they cannot watch just the

let's start with tim at the cme. and, tim, we were talking about what a low yield you get now on treasuries. people are looking for some kind of yield, and the only place you're finding it is in the stock market. >> yeah, that's true. you also get the corporate bond market, the high-yield market. the fed has really through their interest rate repression forced people into risk assets, so the fixed income -- david: let me just stop you there, tim. you say interest rate repression on the part of the fed. that sounds like you're not too happy with the fed. [laughter] >> the fed's basically taken the market disciplinary function out of the marketplace with purchasing $85 billion a month with treasuries. they've been doing that for quite some time, so they basically have been, you know, manipulating the interest rates which i think is also when people taak about corporate spreads, high-yield speeds and treasuries, i think you have to be careful how you analyze that. the bottom line is you're forcing people into equities b

jeff flock in the trading pits of the cme where oil is on a tear.le petallides on the floor of a stock exchange where stocks are turning lower still. nicole: we see markets under pressure here to the downside. volume is fair because a lot of people don't necessarily get in and do the big trade on december 26th but i can tell you when i walk around here not too many people missing today, everybody showed up refraction. the nasdaq composite is down 0.3%, a majority of dow components have been to the downside. the dow is down 1/3%, not a significant move but it is to the downside and the s&p down 1/2% which brings me to urban outfitters. a lot retailers are leading the s&p 500 on the downside, names like ralph lauren and game stop, urban outfitters, we saw a disappointing selling over these two months comparatively, the worst since 2008 and moving to the home builder's which is a different picture, the case schiller numbers in and that has shown continued growth. it has been slow for housing and we have seen strength in housing and improving some but w

lori: we have larry in the pits of the cme. telling us why the pessimism on the fiscal cliff is making him bullish, believe it or not. and it is time to get defensive. larry, we will begin with you. how can you see this sorting out at the end of the day, a big deal, a little deal, no deal at all, what is the outcome? larry: the odds are pointing to a mini deal. expectations for a big deal are fading and fading quickly. it looks like it will be a mini deal with the tax extension will help those making under $250,000 per year and will not address the debt ceiling or spending or anything like that, it will be a patchwork of things that will make the market very nervous but given it is christmas eve, people are little bit negative but most christmas shopping. david: larry, round this time the irs issues its formal withholding guidance for the coming year. >> it'll be a bigger document than what we are used to because it will be giving guidance they are not sure even how to give guidance because they don't know what will happen. wha

jeff block in the pits of the cme. tour continues in the cme, by the way, this is the bonds, the treasury bond, the 30-year bond fit, the 10-year, and behind me, the two and five year bonds option pitt this that you see, but, no, it's not the story today. bonds not the story, something you never see, but, oil, look at the numbers, oil up 2%, wti and brent up today and the reason is middle east. military exercises by iran taking place near the straits of hormuz, and, also, iraq, a cut in production in iraq. heading towards the s&p pit, the oil complex today. it's not just crude oil up, but all oils. heating oil, gasoline, everything. i leave you with a shot of the s&p pit up this stairs here. there you go, folks. >> so great. thank you for the tour. >> thank you for the tour, love it. >> thanks, jeff. >> as we avoid the fiscal cliff and the economy picks up, and big ifs, which industries stand to add the most job? rick newman is here for u.s. news and world report. rick, nice to meet you. >> hi, how are you doing? >> yo

liz: can i bring up the point, and there you can jump in this being at the cme -- when the first t.a.r.p. fell in 2008 when the dow jones fell 777 points. this is nothing like that, is that correct? >> exactly. what we are looking at is the u.s. dollar. where is that coming from? we are seeing a lot of movement now. i anticipate a lot more movement in the next week and a half. before the fiscal fiscal cliff does happen. i wasn't going to happen. the market is going to be watched closely. we will see the main people pulling back. but what we are also seeing his precious metals. all kinds of issues down in south africa, the mining of the gold, more demand for gold and silver now. i'm of the major things like russia and others are buying back into the goals. we will see these come back out. the other currencies. particularly the town of the euro coming back down. the industry will continue to pull down. we are waiting and waiting. nobody can make a decision. liz: while everyone is sitting there, people making money. you make a great point about how cool came back today by $11. it may just b

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jerry leavy at the cme. another was some erosion of the last couple of minutes, the last hour or two. headlines from president obama, john boehner. is this market a little overbought going at the end of the year? >> for my technical perspective, you're absolutely right. they have eclipsed the upper end, and overbought situation. from my perspective and my colleagues, we are shocked trying to figure out the market moving higher. a lot of it is trying to figure out, we know a deal will get done, the real question is what are the ramifications of the deal and how will that affect earnings. as a guy who follows earnings very closely, we see that the drop year-over-year. it was from government. a noted state tax receipts are down adjusted for inflation 1% from 2,082,012. earnings are down on the top line, where does the bigger earnings growth come from? david: we have manufacturing coming in saying he does see growth in capital equipment so there is a lot of cash, as you well known, companies have been hoarding a

shibani: a look at the s&p futures including going back to the cme group.> looks like we gave away another $1.50 after close. i cannot imagine a good reason to carry a long position overnight. there is so much risk from the government. one of the things we need from the government is to get out of the way and allow the economy to work and allow the market to work and until that happens expect the slow drip to happen and we will have zero ability to break away from the 50 day moving average we have been hovering around. david: what a novel time for that. shibani: we will put that together, thank you. david: is the president being told by his own economic advisors we're going to go into recession if it doesn't make a deal with republicans? we'll ask a former chief of staff on president bush economic advisors. see if she thinks the president is flirting with recession. shibani: a problem over at amazon knocking out popular online services including netflix causing families to actually talk to one another on christmas eve. a bit more over the holidays. we have

how does the cme, how does harry duffy -- talk to terry duffy who runs the cme.ing to do comparatively to fight this. this is a big deal. this shakes out the whole space. these are public companies. then, there is a public policy debate. is this a good thing? i am sure that the sec will come out with something. what do they think about this from a market structure. markets are fragmented now. we have a very fragmented market. i, personally, think that this is good for the markets. i think it is very good. it is a good thing. connell: terrific reporting. we will go back to local and a few minutes to get a look at the markets. >> a company that last year had revenue of $53 billion. the busiest time of the year. 35,000 of the shipping containers going worldwide. the man who is in charge when does right now. i know this is your busy time. you do not sleep much, i imagine, after thanksgiving. >> this is a somewhat stressful time for the whole management team. >> are people sending stuff overnight or are they sticking to the three to five business days? >> we are still

we are live at the cme ahead.e a look speaking of gas prices taking a look at oil, a little bit of -- we're getting close to $90 a barrel, 88 on the nose. we will be right back. markets now continues. dennis: almost 15 past the hour every 15 minutes team coverage coming up. phil flynn in the trading pits of a cme and nicole on the floor of the stock exchange. nicole: i have a winner. take a look at that, quarterly earnings, stock is up 3-1/4%, they expect shipments in the fourth quarter to be roughly flat compared to the third quarter and economic and political uncertainty continues to impact the buying patterns and they beat the street, flat at this moment not horrifying given up arrows, and let's look at major market averages up on the dow jones industrial average, up 74 points almost 1/2%, a ticketing nasdaq up 1%, tech stocks moving to the upside and the s&p a gainer. that is what we a seeing on the floor of the stock exchange on wall street. let's go down to chicago. >> santa claus is coming to town. santa cl

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best performer on the cme right now.ve a report from the government this morning that showed a 72 billion qubit feet drawn out and natural gas. people are cranking up the heat and have more demand for natural gas. also, some major weather forecast for colder than normal temperatures. that too is helping to push up natural gas prices. natural gas, by the way, adam, up 12%. back to you. david: we had a guest on melissa francis is show last week, gas prices will fall after march. if that something investors should be taking into consideration. sandra: absolutely. certainly a lot a lot of folks pack up the car and go on spring break. we do start to see gasoline prices start to rise. crude right now is sitting very healthily above $90 a barrel. back to you. david: thank you. outlook 2013. as we continue on our series of what to expect in the new year, right now we will focus on tack. we have a few names of products that may surprise you. can we start first with facebook? you do not think they will deliver. i heard on a radio

sandra smith has today's trade from the pits of the cme.s directly tied to the coal temperatures. we have this eia natural gas report out today. this is a report about how much we have used. 72 billion cubic feet drawdown. that is a drawdown. that is why prices are going higher. that was right in line with estimates. natural gas is the biggest gaining commodity. by the way, that gass of two out of the last three trading sessions. we will see beloo trading temperatures. oil prices, they are down because we have that huge build an inventory. moving in opposite directions, as we speak. dagen: thank you, sandra. i want to take a shot of our control room. we want to say, that is our line producer and me and the whole staff want to congratulate her for just getting engaged. [ applause ] congratulations. i have seen that ring up close, very close, i may add, keith, you did very well. we are very excited. keith, works here, by the way. congratulations. moving on. we have to talk about washington. john brown saying throw the bums out. it is a limit

phil, how is the cme?the oil prices are really unmoved on the story out of egypt. traders watching that very, very carefully, but, today, the markets seem to be done on concerns about the swelling economy and the fiscal cliff, but this comes on a day when oil production in the united states hit another milestone. oil production last month hit the highest level since 1998, another step towards energy independence in the country, and another reason why oil prices are under pressure. the spread between the u.s. and europe, we're making a lot of progress on the oil production front, but across theeboard, we are seeing products really getting hit. oil, a feature today, down over five cents a gallon, and a lot has to do with the warm temperatures and slowing demand. other big news on europe, production coming back and crude pressing it down. the standard here, how the medal -- throwing it to sandra here, how the metals looking? >> gold and silver down, commodities in the red. gold, certainly, no two ways about i

he's in the pits of the cme. david trainer says we are headed for a market rally next year no matter what happens with the fiscal cliff. and we will also be told what stocks he thinks are undervalued right now. let's start with larry. we're glad we picked up from the 150 point loss. i'm glad about that. looks like there won't be a santa claus rally this year. >> no, it doesn't look like it. we saw some pretty big down drafts today and earlier in the week. that's not what traders expect when we get into the last couple weeks of december. we usually have low volume rallies. we have done opposite. high volume drops in the market. today was a good example. recovered quite a bit but those points in the the chart have been made. the traders look at that and see the markets keep making lower lows and that makes them want to sell into the market and not buy it. shibani: david, i want to get your thoughts, you know, despite what's going on in and around the beltway, the gridlock that exists, you're still a believer in the

dan is in the pits of the cme. jason fried telling us why european equities might be the best place to be. and brian is going to tell you how to play these markets if we go over the fiscal cliff. let's start with dan. i want to start with apple. what to you hear from folks in chicago? where is the floor? >> you are close to the floor right now. everyone panicked when apple doesn't meet some guidelines or whatever and i heard about the sock chinese opening but in fact when they come out with their figures every time they beat them, apple probably a cautious by right now, it is getting hammered and if you look at the fundamentals of that stock is relatively cheap value. liz: especially considering the pe ratio under 9, 8.8 as i last saw it but apple represents 4% of espn is a big chunk of the nasdaq as well and that is worrisome because right now it is not the cool kid in high school and looking at that you say i might not know that stock but it is hurting my index investments. sort of investing in an index fund is n

we have sandra smith in the pits of the cme, and john stevenson it's the era of buy and hold that's over, and larry says why he's not one bit concerned about the fiscal cliff -- we need to talk about that one, but starting with sandra. sandra, we talked about oil edging down a limit today, up this week, a couple key inventory reports driving the markets today. >> yeah, well, there's a much bigger build in crude inventories than an anticipated meaning we're not using as much oil and gasoline as analysts expected showing weakness in the economy. we saw a selloff in oil prices today.3 although, they hung on to the $90 a barrel mark with gains, and the energy market, natural gas, that's colder temperatures rolling through the country. we had a storm in the northeast, across the central plains, and people are heating their homes and demand is going up for natural gas, and natural gas, a bright spot in the commodity market for the year up 12% so far for 2012 so that trend's playing out in today's session, and, by the way, guys, i want to make mention as i stand in the s&p500 futures pit, tradi

let's go to the s&p futures desk at the cme group, to mulholland, how does it look for monday?for monday looks like it could be quiet but you never know what will come out of washington. the twenty-seventh is when we will hear something but the uptick we saw on the close, also induce a triple witch which is the futures expiration for december. other than that light volume, we have some potentially big market moving news and whatever happens in washington and who knows? liz: will be a big holiday week for the markets. dave: thank you. liz: can never take a break. shares of under are rising today. one of the few retailers that has done pretty well. let's head to nicole petallides on the floor of the stock exchange. nicole: 3-1/3% for under armor. this is a clear winner when you talk about vince in people where, under armour is doing well because nike came out and nike reported strong sales, athletic apparel is hot and under armour is one of the beneficiaries of that. when you talk about nike, bring it close, up 6% so nike was a real winner and they talk about demand going forward

the firm expects 2013 will be a tougher year for cme. let's look at shares.re is basic lay flat line on those shares at 5426. >> exciting moves. i agree with this call. i think the entire space, even drive ters will be a part of trading. even after 208 and the aig fiasco. i think they will roll that into the company and the price earnings ratio is pretty high. so i agree with that. >> you agree with that call. moving to apple. and eye will get this right the first time jeffries with a rating, expecting the first q1 with acceleration. let's look at the stock, there you see it down $4. >> i disagree that stock should have ever been priced at 900 target in the first place. i think 800 is a better price target. i agree with what will happen in q1 and q4. blow out numbers,rly with what is happening in china. even if you good out to 2014 like they describe, long-term, they said this about google at $300, i still think apple is a buy. >> you think it is on its way eventually to somewhere around 800. >> yes. in a couple years. i think it'll be 700 nextier. >> let's m

chief market strategist, and larry shover live in the pits of the cme. larry, we mentioned housing when we came in. nobody saw a year ago housing taking off great guns the way it has. is there one area, maybe one sector that you would look at for 2013 to be the surprise takeoff stock or sector for 2013? >> yeah. for me it would be definitely financials. and it's just going to continue to go just like it did this past year, because i think we're all -- including the market -- completely underestimating the tailwinds that the recovering housing market's going to have. even like the median estimates for next year is housing's going to rise maybe 3 or 4%. that's wonderful for footballs. so that -- financials. so that's the area if you're not in, i would get in right away for 2013 even though it's already started to move and has moved the past six months. liz: okay, so you're saying double down on financials, but what is the financial sector of 2013, larry, i mean, what is that outlier that will do beautifully as well? >> well, i think the outlier's going to

with that, over to phil at the cme group, hey, phil. >> good morning, lauren. looked like oil had everything going for it, a big expansion in the chi need manufacturing data, very, very bullish. all of that geopolitical risk. oil prices hit above $90 a barrel, but it was not the last. as soon as that u.s. economic data came back, we took away most of those gains, and got back even on the day. all we're up on now, of course, is the concern, of course, about the middle east right now. the big news, of course, in the soybeans today, another three week high today on beeps, strong economic data means the chinese buy beans in december. the better the economy, the more beans they buy. bean traders love to hear that. up on the day. back to you. dennis: thank you. tracy: coming up, may have the one retail analyst in all america who still likes jcpenney. i want to know why. dennis: amazon and ups have jobs available now. why don't they have anyone to fill them? tracy: first how the world currencies are faring against the dollar as we head out to break. ♪ >> 22 minutes pa

jim murio is at the cme and anthony grizmante is at the nymex. >> jackie, it's short covering comingnto the market. i ran you naval exercises on the straits of hormuz. you have obama coming back from his vacation to deal with the fiscal cliff. we have low volume situation which moves a little bit more exaggerated. i'm not putting a lot of stock into this move. i think it's a little overdone. >> jim, good to see you for a second time today. you're looking at the chart of crude. technically speaking how important is the move in your view? >> well, this is funny. you started out the conversation with saying how significant is the move? that's what i've been dealing with all day. you look at the chart. we've been in a pretty well defined trend channel for a month or so. right now we've come to the top of it. the market is telling us the news out of the middle east and the news on the fiscal cliff is a pretty big deal. now it's decision time. is it big enough to take it above 91.25 and settle there? if it can't do that, it will be considered a failure. i want to be short oil and i think 8

let's start first with mark at the cme. mark, dwi us some color from the trading floor as we hear all these fiscal talks continue. the market sells off, ends the day in the red, the dow below 13,000. where do we stand as far as what markets believe are going to happen here at the end of the year? >> well, i think what you saw today was hoo when we don't have a catalyst, these important technical levels matter. so we actually topped out right at the s&p 500's 50-day moving average, right around 1421. then that ism data came out, and we eased off that. so this morning before the market, decent catalyst, nice international economic news. then we look like we've got a shot at breaking that 50-day moving average. negative catalyst comes out, we ease right off that technical level. so i think until we see some real, some real news either on fiscal cliff or possibly nonfarms on friday, we're going to have a tough time breaking that 1421 level. on the downside, you're going to see some resistance at 1400 and at 1385. that's kind of

first up, goldman sachs downgrading the cme group to a sale from neutral.ing 2013 will be a rough stock for changes. >> it has been a tough couple years for these guys. everything from peregrine financial and mf global but the numbers are telling a different story. they just had earnings out last week, up 16% volume was at the cme year over year. that's a positive sign. so on dips here, i'm a buyer. i own the stock already through some seed ownership years ago. but i continue to hold it. >> joey, let's talk some priceline seeing a big drop today after a downgrade over at deutsche bank. that citing a more challenging environment in 2013. this is a stock that's obviously had a good year, joe, down 5% today. >> i think the stock back in may when it reached 774, really the story was over for priceline at that point. stock is trading between 550 and 700. i don't think that's your online travel trade now anyway. i think it's expedia. the ability to grow internationally as deutsche bank says in the report. and again, trip adviser. trip adviser at $38 i think is mo

joining us today from the cme trading floor: pro traders alan knuckman and andrew keene.morning guys. > > good morning angie. > > morning angie. > round one: lucky 7's - 7.7%. that's the unemployment rate. it's at its lowest level in 4 years. is that good or bad for the markets? > > i think it is good for job searchers, but i think it's bad. if we're looking for more stimulus or monetary action, i think it's a very positive sign. > > it's good maybe compared to spain, which is 25%, but it matters what kinds of jobs they're doing. we need economic value. if they are working at starbucks, if they are working at retail stores, that is not really providing for the economy. > > it's getting better. what andrew's forgetting- > > getting better? it's the lowest it's been since obama has been president, yes, but historically it's extremely high. > > a lot of people are leaving the workforce- > but is it good for the stock market? is it good for the stock market? > > it could have a muted effect- > > if it keeps going down, then it's good. but if it stays at 7.7%, it's not good. >

joining us from the floor of the cme, pro traders alan knuckman and andrew keene. good to see you guys. ready, set - round one: mc- recovery. one of the best stocks of 2011, mcdonald's, stalled this year. are you lovin' or hating it? > > i'm hitting it. i will tell you three reasons why i don't like mcdonald's: number one, they have currency problems. they can't convert their money back to the u.s. > > you can hedge it. > > ok, have they been able to hedge it? > > you can hedge it. i'm not saying they did. ok, what's the second one? > > the second one, increased competition. you loved yum! brands. that's huge competition against mcdonald's. > > it's mcdonald's! you can only get a mcrib at mcdonald's. what's number three? > > number three is their dollar menu is hurting their profit margin. > > i think there is going to be a global recovery, and i think more people are going to be utilizing mcdonald's, particularly after everyone was so concerned about the europe slowdown this year. that hasn't happened. the euro is surging back. this was a top-five stock in the dow