none of that happened at the cme. liz: none were triggered in cme product. does that still hold? >> yes it does. liz: you are not changing any trade or cancelling any trades? >> not at all. we coordinate with stock exchanges ron world by percentage so you know 7%, 13%, 20% intraday on moves. this was a small percentage down. it was not so much about market movements. it goes to what you said, this is about what made the market move. it is an erroneous fruits, and the world pact on. and people follow on to that week. and the public didn't participate. >> this brings us to an open outcry system but i am more interested that we have high-frequency traders and companies that use al gore rhythmic trading that actually rolls all kinds of websites and twitter and these computer systems make decisions as to whether to buy or sell on what they perceive whether it is confirmed or denied on twitter. how dangerous is that? how long before something like that takes down our markets for real? >> i don't go, i am not convinced that is the case but if you look at our market structure, these part

we are watching movers at the cme group. silver is the biggest winner at the cme.es also spiking. copper prices up. they have been getting hit hard. rbob is out today. only one was really a loser and that is natural gas. that is barely holding onto its losses. lots of green, as far as commodity our concerned. liz: if you hear anything from the traders about bernanke's comments -- much of this may have to do with bernanke speaking at the financial stability oversight committee. he is giving a thumbs up to dodd-frank legislation. i just checked jpmorgan, goldman sachs, morgan stanley, they are moving higher. vulnerability still remains in the market. we will get more on bernanke's comments in just a few minutes. let's get to coal prices. do you know how much coal costs? about $57 per short ton. they are off the highs from a few years ago. chairman and ceo, brett harvey is joining me now in a fox business exclusive. also some pretty decent numbers when it came to your epf. you matched estimates here. your stock is looking pretty healthy. it is down today, but you are

sandra smith at the cme. sandra.tch shut down the trading systems, both in their electronic and therefore operations are closed, remained closed and never opened this morning. we've just confirmed there has been no trading of options. chicago board options exchange. no trading of their options which includes the s&p 500, the vix options we talk about very often. all options have been affected, we know that at this point. the systems are still down. there was some confusion earlier because the exchange put out a notice saying trading would resume, note that never happened. the system is still down, there is still no trading at the exchange at the floor. working on getting things back up. they will notify us immediately when that happens. it has not happened yet. we are not releasing what exactly has caused this problem. we are on the phone with them and we will let the you know. cheryl: sandra smith of the cme, thank you very much. here in new york at the dow higher by 65 points. nicole petallides live on the floor of

let's get straight to the pits of this cme.ould have thought two of the most geo- political commodities would be benefiting from it. we saw that when cyprus was coming and confiscated basically a portion of some of the people that are, you know, have some savings in the banks, when that news broke that should have been a bullish catalyst for us. there was a lot of talk that cyprus would have to raise additional capital. they will sell more gold. other countries like spain and portugal will also take part in this. we are down at 1500 right about now. melissa: everyone taking a big wheel about where it officially entered bear market territory. we are well below that right now. talk to me about oriole as well. moving below the 200 day average. >> olio selling off. you start looking at some of the fundamentals of oil. we are pumping out about 7.18 million barrels per day. fundamentally oil prices should be in that 90-$88 range. if they do that, then i think we will see a sharp reversal back up. melissa: good stuff. thank you. lori:

we have larry shover in the pits of the cme. mark luschini has a bearish outlook on the markets but that doesn't mean there isn't money to be made. he will tell us where. and adolfo talking about the structural issues. we'll get right to it with larry at the cme. larry, despite the day's numbers we had a comeback in the market. i would say that is a buy cue that the market would come back fighting these lousy numbers. what do you say? >> i say traders and myself are paralyzed right now. we're in a situation in my mind is inherently unstable. we have wobbling growth momentum. we have a earnings season we have no idea what will happen and unprecedented. i'm still in a step aside mode. i'm happy be to be a pedestrian waiting for growth metrics to kick back in. david: mark, on the other hand we saw the mark kick back. it kicked back significantly coming from 171-point deficit it down about 0 points. doesn't that show there is this unrelenting momentum for buy in this market? >> well, think it is certainly supportive, dave. to sugar

let's start with scott at the cme. every time the market wants to head lower there are many more buyers. so many people are yet to benefit from the year's long rally. >> you know it's a great point that's why i really see any sort of sustained meltdown or any sort of sustained, you know, decline here, it's not out there. every time we get at major announcement, when i say major announcement, something out of cyprus, anything else, the market hits, a little bit of lows and all these buyers step in. there's still, still, so much money on the sidelines. so much money still that needs to and wants to get in this marketplace. we're not going to see any sort of capitulation anytime soon. liz: can i ask you what is going on behind you? seems that the pit is getting a little excited which is after the market. we still haven't got the s&p futures in but maybe give us a window what is happening? >> i'll tell you, 10 minutes ago, we're watching what the s&ps are doing right now, 10 minutes ago there was nothing but buyers coverin

sandra's at the cme, we'll talk to her in just a minute. these sort of defensive utilities look very healthy, nicole. >> reporter: that's right. whether it's good times or bad times in the market, one sector we always focus on are the you times, and take -- utilities. pinnacle west, for example, up nearly 1%,dte energy up as well. we see this group as a defensive play. now, i know you're seeing some down arrows here in energy, energy still holding on to a gain, but these names did hit some 52-week highs for the most part. as you noted, more than 40 names in the s&p 500 are at some new highs. so that's worth noting. and just to give you a glimpse of how many names on the s&p 500 are on the move, 331 up arrows and 160 to the downside. the rest are unchanged. and then, of course, on our dow we have those other names hitting highs like disney and j&j. liz: sandra, i don't know if you heard ben willis at the top of the show say he is more nervous today than he has been in four years about these markets, because they continue to defy gravity. >>

traders at new york stock exchange, cme, and imex.e live at the new york stock exchange in a moment, but, first, straight to the traders. give us the headline that matters most on a day like this where people woonder if the rally continues. ben willis, you are first. >> being a dip is a good thing wall on wall street. buy the dips now. when i was a kid, dip was not good, but now we can't get enough of them. liz: an old term. you're a dip. what about the cme? >> don't put today's money in yesterday's trade. last time last week i said buy gold off the 50/50 low and the euro yen weakness, so i really think that overall that yen continues to depreciate, but don't chase it up at these levels. we don't know what's going to go on. the upside weakness is minimal, and gold is going to be stuck range bound with dollar strength. if it goes on to 1550, buy the level again, it held over a year and a half, but don't chase it up here. liz: here we go jeff grossman to gasoline, oil, natural gas, what do you pick today? >> oh, crude oil is not dead ye

we want to go back to joe in the pits of the cme. >> hey, guys. a very solid post today.this afternoon because of light volume. there was no catalyst here. also you are seeing the staples and discretionary is still leading the market right now especially today with homebuilders and so forth, so we will keep an eye on that tomorrow getting a new earnings season. liz: you say watch for 1563, that is where we closed today, so do you expect a little bit higher tomorrow? >> i'm expecting a little bit higher, but like i said, we saw some sellers go when trying to look for some hedges going into the earnings cycle so it will be very interesting to see how this plays out. adam: thank you. liz: alcoa reported earnings minutes ago. they officially kick off earnings season, so let's go back to nicole on the floor of the new york stock exchange to see the reaction. nicole: this is a dow component. a global economic indicator. we have seen aluminum prices pulling back to that has cut into the company's revenue. we got the numbers of earnings per share, which came in and that was a bea

mark sebastian is in the pits of the cme. mark, i want to talk to you. we do have earnings coming in today but first of all some notion that the market isp to go out right now. another triple-digit gain on the dow. s&p is close to 1600. is the market topping off or do you think there is room to grow? >> i think we're at a very key level in the s&p 500. if you take 2000 high, the 2007 high and draw a straight line, it connects to 1592. that is right where we are right now. we got up to here one time a couple weeks back. failed to hold. if we hold there this tomorrow, i think that's our precedent to break 1600. regardless of friday's announcement. i actually think no matter what is said on friday we're going through 1600 sometime in the next 8 to 10 days. david: okay. hold on a second, mark. we have the buffalo wild wings earnings coming in. is it adam? go ahead, adam? >> hey, david, buffalo wild wings missed on exper share coming in at 87 cents but revenue, 304.4 million. the street was expecting 30.96 million. shares are trading up slightly. quarterly sa

we have todd horowitz in the pits of the cme. michael musio says the search for yield is impacting all areas of market. he will tell you how. dan neiman tells you what best stocks to buy are. we'll start with todd at the cme. let me start with the russell 2000. very often we don't pay enough attention to the small and mid-sized stocks, mid-size caps. are they leading the way because if they are they are leading the way down. they have been down three consecutive days and significant drop today. >> hi, david. they are leading the way down. small caps led the market on the way up and now they will lead the market down. we're down 4% last three days. this is signaled for the last week. once the russell made the last all-time high it is making a series of lower highs. it was telling us trouble is abrewing and not to be surprised. certainly last three days, 4% move in the last three days. the market will not be led higher by the dow. as you mentioned the dow is not the catalyst. we want to look at russell, nasdaq and s&p. that really

liz: phil, yeah, nobody is leaving today early from the cme. david: thanks, phil.e for quick speed read some of the day's other headlines, five stories one minute. japan airlines returning 787 dreamliner jets to commercial flights in june. the jet has been grounded since mid-january on those battery problems. southwest is ending free ride for no shows. the airline is launching a new no show policy which will force flyers to forfeit their fares if they fail to show up for a flight. sales of smartphones outpaced standard phones in first quarter. smartphones accounted for 51% of the 418 million cell phones shipped. >>> u.s. is suing novartis for allegedly paying kickbacks and providing lavish dinners to doctors. the company is accused using payments to encourage doctors to prescribe their brand name drugs for hypertension and other medical conditions. no. >>> facebook ceo mark zuckerberg is adding tech heavyweights to his political advocacisy group. microsoft founder bill gates, steve ballmer and ceo brad smith and john parker have joined the project. that is today's

david: ais capital management president and scott bauer at the cme. scott we'll check back with you in a few minutes to see how the s&p futures end. david: thanks gentlemen. the extreme intense manhunt house to house for the second boston marathon bombing suspect, could the suspects work alone or could a more larger dangerous organization behind this. liz: this is live picture in watertown, massachusetts. just a few miles from downtown boston where there is massive manhunt underway are if the second suspect the first suspects was killed overnight. flight delays could get a whole lot worse courtesy of government cutbackss. remember sequestration? it is coming to an airport from you. we want to hear about that. faa warns of thousands of flight delays, will you change your travel plans? drivers take the trains instead? log on to facebook.co facebook.com/afterthebell. we'll read your responses later this hour. please don't move. we're right here for you. ♪ [ male announcer ] at his current pace, bob will retire when he's 153, which would be fine if bob we

charlie at the cme, what's your headline?you know, we're marching on to new highs in front of the fomc. i don't think the fed can move higher in terms of rates, and i think we had a mini correction here. we came down and tested the 20-day in the p s&p and marched right on to fresh highs. liz: teddy, i say fresh highs again and again, we've got somebody coming on later on in the program who absolutely believes the 10-15% correction is coming in the next two months. do you think so? >> well, even a broken clock is right twice a day, liz. [laughter] i mean, if you keep saying it's coming, eventually you're going to be right. liz: right. >> but the reality is whether we like it or not, the tape doesn't lie. the tape, obviously, sees something, whatever the reasons, and the momentum is clearly on upside. i mean, at some point are we going to correct 5 or 10%? i sure hope so, because there's a lot of money on the sidelines looking to come into the market. but, of course, when that happens, the money will get scared. liz: and look a

first start with dan, he is in the cme. we couldn't quite make it, what a comeback in these last couple minutes of trade? >> you know it is interesting, the market got a little panicking today. today was a good example what we get to pay attention to. we didn't have any european trade to watch so the market looked at numbers this morning. number came in off a little bit but still above 50 as david mentioned that is above growth. one thing to look at in the number the employment component was pretty good. we'll see how that works out towards friday. overall i want to see this number, not one month's worth, but two or three months before i make any assessment and it has been good over time. david: it is positive but could be better. one thing that could hold things back a little bit is this energy pop. i'm just wondering if, you know, $4 gas could end up being a drain on that number we're talking about? >> you know, that's very interesting you point that out because if you look at the past few years, anytime we got above $4 g

we are at the cme, the new york stock exchange and the imax. are in chicago where you see a lot of action in the cme. what were the traders thinking and how did they behave? >> a tale of two risk assets. @he equity markets -- what i think this leads to is a new look at qe. i think this jobs number really put in into that. we are putting the ten year yield below 1.7 you see the equity markets start to get a bed. you will see people buying dividend stocks. we are seeing the bond market screamed higher. the qe trade is back on. liz: the u.s. dollar started to weekend which has not been the trade as of late. you would think big, sort of, global companies in the united states was like a weaker dollar. we did not see any strength. >> yes. exactly. when you get a weak economic indicator, we see deterioration inside the market. that jobs number today was just a match that lit the fuse. we are seeing leaders inside of the market. we saw it in utilities, consumer staples, healthcare, really defensive names. s&p had some very key technical levels. that ga

the pits of the cme. a guy who is warning sell in may and go away. that will arrive earlier this year. he has got ways for you to play a pullback. bill stone, whose last pick is up 8% since he has been on the show. he is back with more ways for to you make money. first start, with hello, larry, in the pits of the cme. another very solid day for the bulls. yeah, give me sob story about volume but what jumped out at you here? >> what jumped out, sorry, a profound change in sentiment that we've seen. we haven't seen this in a very long time where you know the first quarter was marked by people rushing to safety. this is the first time in a very long time people rushing out of safety into cyclicals. i think traders behind me areewondering is this the start of something new or is a trade more crowded and people are just getting scared and reallocating? no one seems to know but it is a profound shift of sentiment we've seen today, that is interesting, larry. any way we can come up with a ceiling on this move right now? stocks are the only place to be. you

we're live from the cme with a look how low it will go.s we try to do every time around this time of day, let's take a look how metals are trading. tracy: oil continuing its slide for the fourth straight session, trading below $89 a barrel. that is prices we haven't seen since september. sandra smith in the pits of the cme with today's trade. how far is it going to go? >> the fact that we're now below 90 everything is in question. can we fall below $80 a barrel? what does it mean for gas prices? there is lot of talk that the national average could come down shortly considering that oil prices are now 88.85 a barrel. down a fourth straight session. right now hitting the lowest levels of 2013. if we were to close where we're trading right now, this would be the lowest levels of the year. by the way in trading terms we often like to look what happened on the week. it is down 7% over the past week. on the month down 9%. for the year oil prices down 4%. here's the news. american petroleum institute at 4:30 p.m. eastern time. they will come out

tracy: sandra smith at the cme if you should buy, sell or hold. treasury down two basis points. we will be right back. this is america. we don't let frequent heartburn come between us and what we love. so if you're one of them people who gets heartburn and then treats day afr day... block the acid with prilosec otc and don't get heartburn in the first place! [ male announcer ] e pill eachmorning. 24 hours. zero heartbur for more than $8 billion as part of that deal, home depot owns 12.5% stake in the company. goldman sachs ceo lloyd played finlloyd blank line down from te more than 60 million he got in . twitter is reportedly getting ready to launch a stand-alone music application. her music could come as soon as today. allowing users to listen to music by third party including video capabilities as well. that is the latest from the fox business network giving you the power to prosper. @ dennis: from craze to crash. that claim, the value plunging by $211 in value in less than two days. hackers are to blame for most of the selloff. last o digi

. >> let me bring in terry duffy, ceo of cme group right here. he's been participating in panels and walking around talking to asset allocators. good to see you again. when you see this market at record highs here, s&p 500, what does it feel like to you? in your heart of hearts you know trading better than most people. tell me how it feels from a trading perspective to you. >> i think what's going on here, maria, we're seeing this not only in the united states. we're seeing it especially in japan. we're seeing central bankers intervene buying securities, government debt all over the world. and what's happening is you're driving -- as rick knows, you're driving yields down to record lows. people need to get some kind of return to the market. they have to put their money to work. they're going to put it into equity markets. the same old song we talked about before. market up to historic levels on anemic volumes. that's going to continue to be the pattern until the government decides to do one thing. how do you get out of a trade? i'm a big believer

phil flynn is in the pits of the cme. bag weighing on crew today. >> right now, that data when it comes to manufacturing and german unemployment. it is outweighing the hopes. we are seeing a lot of downward pressure into this market. a lot of things are out play. tonight we have another inventory report. the chicago manufacturing number actually going into contraction. that is a strong sign that the u.s. manufacturing number will not be strong as well. that is causing a lot of traders to get out of that market right now. going forward, talking about opec. opec actually increased production. that may be a sign that they are getting a little bit desperate. we saw a big uptick in opec production. that is coming into play as well. saudi oil administrator made a big statement today. he said despite the fact that oil prices are week, we will see them increase their production output by 15 gallons. melissa: he is always very clever about which he is trying to push the market. let me ask you very quickly about natural gas. gettin

sandra its smith is in the pits of the cme. on the floor with. >> we're keeping close eye on markets hire. exciting for the bulls as they watch the s&p 500 sitting at 1596. if it were to close at these levels, it actually would surpass the record closing high, all-time closing high on april 11th. we'll see whether or not we actually hit that milestone by the end of the close of business today. tech-heavy nasdaq composite is the best of the bunch, up one full percentage point. the dow not too far up also, up 1.9%. as far as the dow jones industrial average, most of the names on the dow have up arrows, shows you whether banks or drugs or we're seeing all up arrows. so technology certainly has led the way. i noticed microsoft and ibm and hewlett-packard are doing well. microsoft is of course unveiling xbox on the 21st. alcoa, disney, dupont, cisco intel. we'll watch materials. materials very interesting to watch those. as i speak to traders they talk about the fact earnings season is underway. earnings per share have come in. reve

scott you were there, what was it like when you were on the cme floor and you heard the news? >> we were pretty involved in the market. we saw a break i don't know how much x-percent. the s&p index was down 20. when the news came out it immediately shot down to 30. that's when we all wondered what was happening. the news came across. so in times like this you will see, equity markets do what they did. we kind of rallied back. still people were very uneasy about taking those positions home. plus we have come from some pretty heavy highs too. so we have kind of a perfect storm. at the same time we saw a lot of money run to the bonds. we saw the bond market yields falling with a panicked trade toward the end of the day. liz: not surprising when you see this explosion, and i believe that was the second one, adam? hard to tell. adam: what when the second see the flame from the ignition of the device. it is further down the street and it is far off when we show that video. liz: still see the smoke. adam: that is the first explosion. liz: then you will see the second one. adam: there

let's ask some traders at the cme group and the nymex. nicole petallides at the new york stock exchange, but this is not an alarming pullback at all, is it? >> the long-term, the primary bullish trends are still in track. we're due to sell off a little bit, but what you're really seeing in the market today is the inflationary poll. the defensive sectors are the only ones performing somewhat well today. gold selling off part fundamentals, part technical, a deflationary pull from that, and the 10-year yield has really come in as well as people climb into bonds. it has worked out, part of the economic data we got and i think as long as the trends stay intact, we will move higher from here. liz: we do have oil moving lower, but remarkably lower on a day where we also see equities down, gold down, so it really leads people to wonder if this is the economy trade where people think it is the economy slowing, just 19 days ago people said go for oil, coal for energy. today it is to go away. >> first it is an oversold situation. don't think we will

and in the pits of the cme.cott, i think this is remarkable, this market so resilient, all the downward pressures today basically where we started the day. >> this is almost a repeat of last friday, if you remember. starting to rally back, we saw the same thing today. wlet me point something out to you. the fix, the fear index, unchanged today. the vix futures down today. liz: is almost below 12. that is unbelievable. if you look at the actual vix, 12.07. there is no fear, traditionally that would be a market top, no? >> you are absolutely right. we have spoken about this so many times, there is no reason not to stay in this market in the stocks that you like. you take a little off the table by buying protection, it is too cheap not to. like you said a few moments ago, gold is down to levels we have not seen since july, august of 2011. every time we have seen the volatility spike like what we saw on the kind of the volume we have seen today, over the last 18 months or so, a quick snap reversal. if we don't get t

rick santelli is standing by at cme.2 on headline cgi. strip out food and energy, up 0.1. both numbers lighter than expectations. year over year closed expectations. 1.5 headline. 1.94. housing starts. hey, hey! we're over a million. 1.036 million units. last month revised to 968,000. we haven't been above a million since '08. yeah. let's check it out. last time over a million was june '08. that's up 7%. if we look at permits, they were a little light. that's a little bit of a disappointment. we were looking for close to 950,000. we ended up with 902,000. but cpi light. housing starts a bit heavy. the preopening equities are better. with the big reversal after the horrible terrorist attack yesterday in boston we see yields. we are under 1.70. now 1.73. back to you. >> bob is the chief economist at fao economics. numbers on the housing starts look really good. >> well, it's finally about time for us to get a good housing report. they have been on the light side. home builders survey tipping a bit lower. it looks like some

sandra is on it at the cme. sandra?cross the board saying that they are downgrading their rating on commodities to a neutral rating, believe in the near term. a lot of the commodities suffer because of weak demand from china. things like coffee taking the biggest hit in trading today. rbob gasoline falling p crude oil prices, metals complex took a hit, corn prices falling, copper tied to the economy, also one of the biggest losers on the cme today. look at gold. gold fell in today's session, down nine bucks, heaviering at 1400. this is the one commodity where in the report from goldman sachs saying we're exiting the short trade saying they are bullish on gold at the prices, although, liz, they did not rule out a further sell off in gold from here. that's what's happening today, but they are saying they believed that the yellow metal has a chance of about a 10% rebound from where it sits today. liz, back to you. liz: okay, thank you very much. let's get back to what has really almost violently gyrated the markets today,

sandra smith has been on the cme floor. what were the traders thinking when this hit the tape?dra: i want to pan over to the trading pit, they have been with us since this occurred. a lot of activity. this all picked up on the news reports, all the tv screens went the explosion in boston, speculation is the key word right now. speculation is on the table the possibility of a terrorist attack. the market is pricing in that possibility. reaching their lows of the session following these reports. gold hanging onto those losses, but treasury market certainly a place where people are watching right now because treasury yields were hitting four months lows prior to this event happen. we have a date in the treasury market as we speak. again, merely speculation, but traders as you can see clearly reacting to this news and until we get some sort of news, the s&p 500 futures pit closes at 15 after, 4:00 eastern time. they reopen an evening session and many traders will be glued to their trading screens in the evening. just spoke to john brady, obviously there is regulation this could be

along with todd in the pits of the cme. the fed minutes released way too early. coming out at 2:00 p.m. eastern, whatever the reason, not important now because we see the reaction, right? >> brand new highs. the short squeeze. they caught the bears offguard, the numbers came out before the numbers opened and from that point on it was sailing along, getting long. i think it is probably a little premature, but again you cannot fight what is going on. the market feels ben bernanke is going to continue to support this market so let's keep buying and keep supporting the 1%, the bank versus the rest of the 99% of main street that has not been participating well, but the bond arc it goes higher and you have to watch. not a great spot for new money here. ashley: this is the longest time being a defensive lead rally. seeing more money coming in. >> i still think you see, liz mentioned the names earlier, those are becoming overvalued. the evaluation of those are becoming too much here. that is a sign the market could be reaching a top. you cannot predict the top and bottom

he is right in the middle of the action in the pits of the cme.very, the fed just keeps on humming along those printing presses for things like the market's tumble along with them. >> reporter: think that is what it amounts to. last friday, 1% sell-off on the week of unemployment report, bad news. we have not had a sell-off of more than 12% and who knows how long. the market is looking at what the fed monetary policy is. by 85 billion. that is a lot of liquidity. that is driving the market, and there's zero interest-rate. you like what they're doing. it is causing some is allocations. safety maybe not being so safe. liz: i am not one of these beat up the fed people, but i would have to say, who really kind of started the bubble? who started the housing bubble. now we have inequities bubble. the fed fingerprints are on this right now. a better figure out how to exit in a very graceful way. in. >> and i'm not sure they know how do it. in 90 years it took the fed's 90 years to grow there balance sheets, assets to 900 billion. and in three years. that

let's head back to todd horowitz in the pits of the of the cme.happened in the final execs, todd? >> we had a bit of selling pressure. watch the 1550 number and look at jobs numbers and philly fed number. if 1550 doesn't hold we're going to 1530. lori: wow! talk about interest rates, people calling the support around 1.68%, 1.7. with all the terror attacks and concerns todd looks like there could be more room to run in the fixed income market. >> money pours in when there's fear. there are two places to go, u.s. dollar and u.s. notes and bonds. that's where it is going now. david: forgive me for cut cutting you off. we have the ebay earnings. go ahead, dennis. >> earnings per share expected to be 62 cents. comes in 63 cents a share for ebay. revenue expected at 3.76 billion. the first report i get it came in just shy of that although ebay in another headline says slightly higher figure. another number to watch for, paypal is the real big piece of that. that is electronic payment system. it had 110 million paypal accounts in year ago quarter. it ha

you are sitting at the pit of the cme.have bryan he says the market may be due for a pullback record after record today notwithstanding. but calling for another 5-10% gains. first, let's go to tim. these records, initially it is a great deal, but then it ceased to excel at the markets and we need more energy behind each brigade. >> it has been a consistent grind. pullbacks have been short and shallow, but it is of fanfare that goes along with record highs and just as not fair. in a real inflation adjusted basis we are not there, but i think it has to do with the falloff, drop-off in trading volume that we have seen not just this year, but over the past several years. david: what would validate another bowlegs in this market, real shot up a thousand points on the dow? >> i think what you're going to see from the earnings standpoint , i move from the boring health care and staples and see cyclicals and technology take the lead a little bit. also, we're coming into the second quarter. assuming there is no surprise across the

there on the floor of the cme, what are traders talking about as it relates to what happened yesterdayersus today in >> yesterday was unusual. before we came in, as you stated, it started with china, and the market was down for fears of growth in china. the boston bombing increased it. as we go on, hear more about what's going on, it's not looking like it's a coordinated attack, nothing to spread to the rest of the country. that's begin us time to di jeers everything and look at what we have to, and that's economic data that's going to drive what the market is ultimately. the other things have effects, no doubt, and they vie ma more in the future. liz: indeed. speaking of futures. futurings in brent crude, ed yacht, to cocome below for 100 a barrel for bread, that's what trades overseas which is already about at dplr 88 a barrel here. tell me why that is. what's happening? is brent catching up to the loss seen in crude lately? >> tough call. we always talk about here, how crude is a news driven market; right? yesterday, we had some news, ten as moving, but to say, you know, below a hun

sandra smith still in the pits of the cme.ith nicole at the nyse. >> tracy and ashley, you're absolutely right that economic report pertaining to gdp came in lighter than expected so the growth we saw under what the analysts were hoping for, the economists more notably. with that that really puts a damper on things. had the gdp done better we would see a better picture on wall street. dow jones industrials up 16 points. led by names of hewlett-packard, boeing, merck, chevron which cale came out with their quarterly report. tech-heavy nasdaq down one-third of 1% and s&p. if they close with down arrows today, they snap that winning streak that we saw. want to do some comps and look at s&p versus the nasdaq to try just to give you a glimpse how we've done this week. despite the fact you see we're not too far off the unchanged lines it is worth noting that the dow is up over 1%. s&p is up 1.7%. this is for the week. and nasdaq, best of the bunch, up 2.3%. we'll continue to follow a lot of names that come out with bits and pieces o

and larry shover is in the pits of the cme. he has all the commodity actions covered. larry, let's start with you and start with gold. it is still under $1400. it had a bid up midday but after hours it has been trading down a little bit and oil has barely gained any ground at all from yesterday's losses. okay. hold on, larry. hold the thought. we'll get to commodities. but right now we want to hear about intel earnings. we have the cfo coming up. let's hear what the earnings are. adam go ahead. >> actually it is dennis kneale. how are you doing, david. revenue come in 1.6 billion. matches expectation of $12.59 billion. but the big surprise will be that intel's earnings per share fall one penny shy of wall street expectations coming in at 40 cents, instead of 41 cents per share from intel. that company getting buffetted by the slowdown in pc and laptop sales as everyone moves to tablets and iphones. people will watch for how the pc division did. i don't have the number just yet. if i get it i let you know, dade. david: my old "forbes on fox" friend. how could i not know

biggest movers on the cme group today.reaching levels that we haven't seen in nearly two years. so, the natural gas trade definitely on, guys. by the way, we have a big energy information report this morning. the eia report showing a 17th consecutive weekly draw down in natural gas inventories. that is also going to push the prices higher. so we're seeing a big move there as well. ashley: that helps on the upside as well. sandra smith. thank you so much. >> thank you. tracy: the dow is up 40 points right now. stocks off the session lows. nicole petallides on the floor of the new york stock exchange. nicole, what is going on? >> that's right. we're taking a look here as the dow jones industrials are up about 40 points. we hit a record highs earlier today. we're off the highs at the moment. the banking index is actually turned into the red. so while you're seeing some names on the dow hitting all-time highs, the bank stocks are pulling back some. we're focusing on jpmorgan and wells fargo. they report quarterly numbers befor

we are live in new jersey where cme and nasdaq are partners to move down transition exchanges. this affects all the investors watching our show. >> reporter: that's right. albert einstein said the speed of light is the faster speed, but we have got on the the point where the speed of light as it transfers over a fiberoptic cable is not fast enough for high freerktcy traders. that's why nasdaq and the cme partnered to build a series of towers across the country connecting markets in new jersey with those in chicago and the tower you see here behind me, a 128-foot tall bohemuth from the top you can see the manhattan skyline from here, 25 miles away, it doesn't have the curve that is a fiberoptic cable has, and will shave four milliseconds from the information going from new jersey to chicago. and it's about as fast as you can go. take a listen. >> what's exciting is that you're getting as close as possibly to the there et call speed of life. the value of knowing what's the latest data for the cross-correlated assets, right, the futures and the underlying equities are really impor

larry shover at the pits of the cme. larry, i want to start with you. let's mention the fed. the fed is meeting. they hunkered down. tomorrow they come out. any expectations from traders about what the fed might do? >> i think the expectation is there will not be any major policy change, although vernacular will probably change. that's what we're looking for. the labor market, they need to come out and say it is frustrating. they need to say something with regards to inflation discussion that we're talking about. is it disinflation or deflation? and the game-changer, something that will really help everybody, is maybe a new exit strategy for them to be a coupon clipper, no sale. but continue to be coupon clippers. let the balance sheet run up. that is what i think people are looking at. david: wouldn't that alone spook the market, larry? >> i think it would but at some point this balance sheet is so gigantic, so enormous, we have to experience dealing with a balance sheet this big, at some point we have to come to terms with dealing with it. david: so, peter, if all the fed d

joining us from the trading floor of cme group... alan knuckman and scott bauer. good to have you guys on the show this morning. let's get you going with topic #1---it's a fantasy trade. which stock is it better to go long with? first solar or green mountain. > >i call these unicorn stocks because the price action is not to be believed. i like gmcr. i think the patent issue has been overdone to the downside and i think that with the coffee price being cut in half in the last year gives them greater margins. and you've gotta realize this was a $100 stock just a year ago. > > i really love first solar. take a look at what this thing has done over the last three days. monumental. up 40 percent. but that doesn't tell the story. the story is in what the chairman came out and said yesterday. their costs--solar costs are gonna be down almost 50% over the next year. and he gave guidance for the next 3 years which was almost triple what the street was looking for. this stock---albeit that it's up 40% in the last 3 days. stay on the roll here. look for this thing to actuall

larry shover at the pits of the cme. you get first crack at a day like this, wow. >> a day like this with strong bond yields with sovereign bonds. we had good earnings, good enough earnings offset by global pmis confirming we're in a cool-down camp as a world. however the stock market looked beyond that, look at earnings, look at sovereign bond yields falling. good grief spain at 4.25% right now. that is good thing for europe. we're seeing a rally we're seeing behind us. it is disbelief, frustration. people are throwing in the towel as we speak. david: that dip again, we want to emphasize you see in hour by hour tick, that was because of that bad report, ap's account was hacked into and they, a bad twitter was sent out about a terror attack which was not true. so that is why you see that red mark down there. mark, let me go to you, there was a dip in the market last week. we saw a dip of over 2% in all the various indexes. was that the pullback that we have been hearing about? or is there more to come? >> no, there's goi

joining us now from the floor of cme group, alan knuckman and andrew keene. let's get it going, guys. right now, japan is up, china is down. what is the best asian etf for investors' money? - i like them both. bullish, obviously. we have come down in support in china. china here is trading around 35. 32 is a key support over the last couple of years, and it is down 13%. i like japan even more. it is up 15% year-to-date. it has been trading between 12 and 8 for a good period of time, so it has some good upside potential - about 40% if it breaks above 12. - the trend is your friend. short the fxy, which is the yen, buy the ewj and short the fxi, which is the chinese etf. so i'm going to be buying japan stock, i'm going to be selling chinese stocks, and i'm going to be shorting the yuan. - so you're saying china- china's over? - 7.7%. came out on sunday night, it rolled the market over. - 7.7 is over? - yes. - ok. - we were expecting 8%. - round number two: sprint dish - dish is the latest company that wants sprint. but how can investors make money on the deal?

sandra smith in the cme.ndra, especially metals, gold, silver, by percentage leading to these declines. a lot of reasons causing the breakdown of precious metals but what are you hearing there. >> the easing of inflation concerns drove up the price of gold. weaker china story with gdp coming in much weaker than expected. you have a stronger u.s. dollar. you have this massive levered liquidation in all commodities across the board but gold and silver getting the brunt of that, guys. we're down $13 in the front month gold contract -- $138. i confirmed on cme website the gold futures contract and most active contract is hitting record volume as we speak. we already topped the previous record for a single day of trading. that is just in the electronic session. not even combined with the pit trading session. so you're seeing huge selling on heavy volume in the gold contract. melissa is right, silver on a percentage basis down even more, down 11%. copper, industrial metals, they're also getting hit hard today. guys

and now, from the floor of cme group, the two "ak"s, as one viewer likes to call them, alan knuckman and andrew keene, ready to electrify you with their trader smarts in traders unplugged. topic one: energize your money: which coal stock is likely to rise now that nat gas is going higher? - go ahead. - i like peabody. i think it is a beat-down stock. here at $19 it looks very attractive. we are at the lows for the year. it has come down from $30 just recently. so i think coal is an under-valued asset here now that that price advantage is going away for natural gas. - if i could choose "none," i would choose "none," but if i have to choose one, i was pushed up against the wall and alan was making me choose a stock, i am going to choose arch coal. they had record revenue and profit. the stock trading at a 52-week low. it is trading at 0.3 times book value. the chart looks a little weak. on a short leash, i would get long arch coal. - all right, moving on now to topic two: the housing recovery is going so well, fannie mae may be able to repay the government $50 billion from its bailout.

melissa: a near two-month high, a live update from the cme just ahead.ori: lou dobbs weighs in on immigration reform and mexican barbie. will it help the economy in the years ahead? how's the dollar? stronger dollar in the wake of the deep, deep loss for the stock market. interest rates also a little bit lower here today as well as the classic flight to safety is underway. we're back after this. ♪ ♪ with fidelity's new options platform, we've completely integrated every step of the process, making it easier to try filters and strategies... to get a list of equity option.. evaluate them with our p&l calculator... and execute faster with our more intuitive trade ticket. i'm greg stevens and i helped create fidelity's options platform. it's one more innovative reason serious investors are choosing fidelity. now get 200 free trades when you open an account. and you wouldn't have it any other way.e. but your erectile dysfunction - you know, that could be a question of blood flow. cialis tadalafil for daily use helps you be ready anytime the moment's right. yo

adam: sandra smith at cme. thank you very much.: we'll have the fed minutes here, wednesday, 2:00 live. you don't want to miss that quarter past the hour. time to check on the markets. nicole petallides still on the floor of the new york stock exchange. i'm not going to ask you about greek parade, i know you talked about it last hour but it was really cute. your do you is positive. >> two points. maybe i should focus my eyes over here. take a look, we have the dow in positive territory after we were down 67 points earlier today. just brings us back to the back and forth action we've been seeing. look at general electric which confirmed it is buying lufkin for about $3.3 billion in cash. 38% premium. there is the stock up almost 38%. so obviously that's right in line with what would be expected. this adds up to, ge string of acquisitions they are doing. this will beef up their oil and gas business. so that is good news for ge. they're paying 88.50 a share. the stock has pulled back a little bit, lufkin. we're seeing lufkin hitting a

the cme has raised margins, not only on gold, but on many of the metals. that's something that's not contributed much to the volatility. some traders saying that is yesterday another reason for the global growth is slowing. we did get good economic numbers. but still it's rather remarkable how strong the market is and the breadth of the market. i have to get put up these sectors. when you soo el health care moving up with financials, moving up with materials and consumer staples, all, look at that, that's a broad market advance. i think that speaks to the resiliency of the united states. copper miners or silver miners, or gold miners, or even physical palladium or platinum, all moving to up the side. i do want to conclude by noting the building products sector is very strong today. we're getting vulcan materials with an upgrade. this is a play on the whole construction industry, granger also had agreed numbers, owens-corning got an upgrade from citigroup, look at some of the products that involved the lumber industry, with construction, all of them stronge

tracking the bond action at the cme. at that last auction you gave it a c minus.he overall impact. could it be that people are buying stocks instead of bonds? >> i think there is definitely some of that going on. i thought that sam yesterday and many of the discussions about sam today really missed the point. yes, you almost have to whether you like it or not is a sue per flus issue. a lot of times after $66 billion in supply you see a little bit of rally. not a great week for supply. now let's switch gears a bit. if you look at the euro currency you can clearly see that it's moving higher. >> earnings for the next three years are going to paint the estimates and not by just a little bit. the solar panel producer was also on an acquisition trail. joining us exclusively is the ceo of first solar. they run the . >> there is skepticism there. there is skepticism in the form of short sellers. how do you answer? >> there has by a diversity of opinion for a while and that's understandable. what i tend to focus on is we gave an outlook that covered three years. but when

copper is one of the worst performers on the cme right now. it has had a heck of a week.eports that inventories are swelling to the biggest levels and 2003. back to you. dagen: thank you for that. sandra smith in chicago. connell: most businesses are shut down in boston. dagen: we are waiting for that press briefing. we will bring you that as soon as it begins. ♪ all stations come over to mission a for a final go. this is for real this time. step seven point two one two. rify and lock. command is locked. five seconds. three, two, one. standing by for capture. the most innovative software on the planet... dragon is captured. is connecting today's leading companies to places beyond it. siemens. answers. 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 u need to enjoy all of these ye

the only place is at the cme where they have future options. is a bunch of issues here for all of the big -- whether mutual fund or pension fund that have big s&p 500 trades, you can't trade in many of these positions would expire on the close tonight. you talk about the s&p 100 as well as the vicks, they only trade at the exchange, which is a huge advantage for them. today it's really a problem for them. for some reason they can't open the exchange. >> let's walk through various scenarios about positions may be in. let's say i'm in vix and i trade every week to just sort of hedge my risk overall. where am i today? what am i able to do? what am i not able to do? >> if you normally trade the vix calls against that position, which obviously hundreds if not thousands of institutions do on a daily basis, this contract is traded over a million contracts a day. then that's unavailable to you today. you can't do that because the cboe is closed. it doesn't trade anywhere else. it doesn't trade on the nasdaq. nowhere else does that contract trade. same

joining us from cme group is jim yurio. jim, this has defied all logic.ing the jobs report that came out 8:30 friday morning. what do you think is really happening here? shorts getting washed out in every direction? >> no doubt. correction is the most expensive word. i have used that word a few too many times the last month. right now -- yesterday was an impressive show of strength. not only did it take out the highs, it stayed above the highs and settled strong, which i didn't think it would do. just two or three days ago -- to defend us. 18% is a hell of a move the last couple months. we should be a tiny biittner vows. i'm not saying wait for the dip but i will tell people the fact that volatility is at historical lows. but i think on futures a couple days ago. his point, when the 10-year is hovering around 1.7%, those dividends at mcdonald's and the utilities, the the stock market looks good in comparison. and i think longer term it's going higher. i do think once it gets to 1600, then that's 25, 30 handles away. that's where i will get the most nervou