the thing we like about eog, the management team is probably one of the best, most respected teams. in addition to that, eog is growing the cash flow at a faster pace than its peers, and at a lower multiple than its peers. >> and anadarko, the thing about it, it is a high quality story with exposure to lots of different oil and gas fields across the world, as well as in the u.s. one thing we like is its exposure to the basin in the u.s., watch out for this one, this is a new one you may not have heard of. in northern colorado. it has the potential to be a significant oil field in the u.s. and as it develops, anadarko will do well. >> and it is probably a reasonable number, big picture of the oil and gas sector, they will continue to grow their production volumes in the right location as long as oil stays above $80 a barrel. >> you're a good stock picker, you are from kansas city, i see. you must be rooting for your team. >> it has been 30 years since kansas city made the playoffs. >> all right, we'll have somebody on for the giants next week, rob, with tortoise capital investments.

i'd probably stay with an eog where it's up 10%. i think people are hiding in that name. if you think that boom is coming, these are the ones to play. >> it has sold off enough where it's probably worth a look. i think apc can hold the 1904 level, looks interesting. >> time to pops and drops. we got a pop from mobile eye up 2%. >> so a day where you you saw the sell side coming in hard and this up, this is in and it is pace of the announcement there tesla, so i think you get another day.it is pace of the announcement there tesla, so i think you get another day. but you could see people sell off that. i'm still long. >> and allergen. considering strategic alternatives to a hostile takeover. >> there was a story they were looking for a bid above 200. it seems very much in play. meanwhile they're trying to get them to not vote his shares. something will work out at the end of the day. but don't know what with whom. >> general motors down 6% after morgan stanley cut the price target. this is a dramatic note. death of an auto analyst. >> i tell you what, one of the things that

whiem many aren't that investable some others with big yields and those with low finding costs, eog, apache, a a nadarko are setting up nice entry points. setting up. they are not there yet. the bottom line is today's correction counts as an opportunity for those who missed the bottom before. not as a reason to bail and head for the hills. get the shopping list ready if the selloff continues tomorrow. be glad you are gting a chance to buy high quality merchandise at a discount to where it would otherwise be trading. jeff in minnesota? jeff. >> how you doing, jeff? >> doing well. how about you? >> caller: good. i have questions on clf, cliff's natural resources. i work in the mines. the guys have been watching the stock. they think it will be below five. some people in the shop are going to drop the load, 20,000 apiece into it. burk hold or sell? >> this is an iron company. as i have explaineded to people in the end an iron ore company is stuck with the price of iron ore. it is not connected to biotech. ir ore is not going up. my problem here is my charitable trust owns valet. it's on

this eog. they went from $100 to 80 last week. now it's essentially back close to 100. that is a big move around here. transports, 8500, to 7700. a decline of about 9% in two weeks. bottom line it is essentially back again. transports up 225 points today. another good example, the home builders. xhb. we were at 31, then 28, down 10%. now we're essentially back. it is essentially 31. we've come completely back. whole series of groups have been down 15% and come back just in the last three or four days here. on top of that decent earnings report. illinois tool and united tech. illinois tool works, 30% of its revenues in europe. and united technologies 20% in europe. neither one lowered their guidance. back to you. >> thank you. ibm a rough start to the week. after earnings yesterday were amiss. david faber sat down with the ceo to find out where they go from here. >> we're reshaping around analytics, around cloud and the term i use "engagement." social mobile, security. but all for the enterprise. collectively almost 20% growth. improved every quarter and individually eac

and notable eog and rake all on the down side. been going on for almost a month now. footwear also on the weak side. deckers outdoors downgraded. european traffic is challenging. and we're going into earnings season. u.s. economy doing well, but europe economy showing signs of sput ter i sputtering. so i think we'll have a bifurcated season. europe weak, u.s. stronger. take a look at retail stocks. jcpenney down 6%. big day for them coming up wednesday, first analyst meeting i think in three years they will have. they have stabilized until today, but i think a lot of people want to know how they will increase market share at this point. >> we just jumped about 20 points, cut our losses. sue, back to you. >> and as you just mentioned, stocks have been going through a very volatile time lately. no more so than the small cap stocks. and russell 2000 down 8% from its most recent high in july. so that begs the question, could this be a buying opportunity? morgan brennan is taking a closer look. >> you're right, it's been a rocky couple 6 months for the small caps. russell

you take a company like eog who is the best in class in several of the major shale basins in the country whose cost structure is in the $40 to $60 a barrel range which overwhelms almost any other oil developed in the world today. this company down 35% in the last three months and yet they have easily the most competitive oil production economics of anybody in the world today. we think that is the time you would enter a name like that at ridiculously low valuations and as the price of oil settles you will still see an incredibly profitable investment there. >> a lot of people thought we were overvalued. so do you find value in the market at this level? and if so where would you be looking? >> there is always value. it depends on what sectors. i think energy is definitely one although i believe there are reasons why it sold off. the stronger dollar between the u.s. central bank and the other central banks around the world and potentially slowing world wide growth which eats into demand. while there are good values there may be a reason why it is trading below the broader market. we tend to

while they still have buy ratings on eog and range resources, they put some sell ratings out there particularly on laredo and parsley and downgrading names like anadarko and continental but the big picture here everything that we've seen moving, oil including, global demand story that has been weakening. also the fact that we're producing it right here at home, strong dollar, alllof this is really factored in. this group is the weakest group and has been the second half of the year in particular. back to you. melissa: nicole, thank you so much. hillary clinton is backtracking today after fiery comments on friday when she said businesses do not create jobs. clinton said she was referring to corporate tax breaks. don't know how that works but anyway. capital strategy. cheri jacobus is here with charlie and veronica is back. don't let anyone tell you, you know, that it is corporations and businesses create jobs. >> baffling. >> political misstep on her part. she said this in the people's republic of massachusetts. -@almost afraid if she will have somebody on primary far left -- melissa: afraid? el

eog has a terrible month. pioneer natural just it was positive but just move o down a few moments ago. hospitals a terrible day on ebola concerns yesterday. and they turned around. down 4 and 5 percent. the big names. turned around today but not back to where they were but nice to see signs of stability there as well. the banks, look, we are still hovering around 2% on the ten year yield. not great news. goldman sachs had an overall very good report but not much is moving the banks to the upside today as the net interest marge is going to have a lot of trouble. the internet retail. that is the weak group here. sales had a disappointing outlook for them. back to you. >> thanks bob. michelle caruso cabrera is also with us back at hq. but jeff, bob just showed had board of the financials. we heard from not only the ceo of goldman sachs but the president of blackstone. the fundamentals haven't changed, just the psychology they said. is that true? >> i think the fundamentals are changing a little bit. europe is on

dan dicker says eog is one of them. >> i hope he's right. sloane thought that was the bottom in crude. for a day he's probably right. i think if you look overall at the s&p and nine major sectors i think energy has taken most of the pain and i would see going forward that probably it would not absorb the majority of significant selling that i think the other sectors potentially could see. a lot has do though with the value of the dollar. and it depends again upon what we see in the japanese yen and the euro currency. if they continue their current trajectly. oil is going to have a tough time with the dollar continuing to rally. >> do you plan? energy? >> interested. three favorites are industrials, technology and financials but energy is certainly interesting. a tough month. one of the worst performing sectors in s&p year to date. long-term theme should be really positive if you believe economic growth is going to deliver. >> when does interested turn to actual activity? >> actual? >> yeah. >> we were talking about that over the last two day

do you buy quality, an eog, something that people love and it's really good? or do you buy something deliberately rough that you know will make a lot of machioney. we're not recommending any stuff. you've seen them get crushed. if you believe in a rally you very much buy those. we love the restructuring at hess. those would be two top names for us. we are struggling with refining because we thought brent would hold and it hasn't. we think long term we've always set up callers long-term. we think there's plenty of value there. marathon are our standard names. >> where do you go in oil? >> i think as paul said, large cap names start to look interesting after this kind of a pullback. if you think we have an incredibly mild summer so people were under weight and the supplies are something that could get burned through on stockpiles, there's probably a lot more up side an the nat gas side. and ultimately, i think you get to a place where oil has to find a base here. >> i'll echo paul on hess but throw in apc, oxy, marathon. you should still be in the service names.

eog was 100 to 80 and now back to close to 100 again. nobody remembers last week and what was going on. shipping companies, the concern of the global economy was slowing down, tanking companies all moved. they are back again. so i think people are quite happy. remember the three things, fed not as hawkish. we have less ebola concerns and oil stabilizing. those are the important ones. guys, back to you. >> all good reasons. >>> you might recall that a few years ago we started talking about the concept of hopium, our tongue and cheek term to describe hope that things are getting better. the dow up about 35% since then. since the fed announced the first qe program in 2008 the s&p 500 has more than doubled. also leaving a lowly french and spanish stock markets way behind. now talk is heating up that european bankers may start their own form of printing. dare we call this lopium? yes, we dare. joining us now michelle. is there any indication that europe will do it and if they do it the returns will come? >> let me answer b first. a huge part

we prefer eog. we like restructuring and cash returns to shareholders.like hess and pure dividends. conoco phillips or european names. >> you make the case that if you are wrong and oil prices continue to go down even as much as 25% more that you can still make money in oil stocks. that could be counter intative to certain people. why do you say that? >> the equity market is good at discounting what will happen next. in the previous six major down cycles for oil if you had bought the oil stocks 25% above the lows you would have made money over the next months. the equity market discounts the moves. that was a pure analysis. it is not our view but what happened in the market. >> it is interesting that as you see oil coming down there is the spread so people would naturally say i wouldn't want to buy a refiner in that environment. you would say otherwise, as well. >> that's right. if brent rallies we could see the spread rewidening. that is discounted in futures. if you look at the future strip you will see that they widen quite dramatically going forward

. >> a name like honcho or eog, which i still hold. i would look at the lot of the shale plays domestically. and you are going to see activism in a lot of the oil names given the tremendous strength in the assets and underperformance in the share price. >> doc? >> btu. peabody energy. it's paying 3% dividend yield. and this stock is down 9% today, judge? if you are looking for overdone that is one place i'd look right now. >> gap is the worst performer in the s&p today. after getting smacked with four downgrades on the ceo's departure. we're going to talk that story and other stocks. we're back in two. ocket right n? i have $40, $21. could something that small make an impact on something as big as your retirement? i don't think so. well if you start putting that towards your retirement every week and let it grow over time, for twenty to thirty years, that retirement challenge might not seem so big after all. ♪ this is charlie. his long day of doing it himself starts with back pain... and a choice. take 4 advil in a day or just 2 aleve

eogs, u.s. silica. transports went positive. the russell went positive. ebay, a bit of a disappointment. the regional banks, sue, we are up here as interest rates have finally moved up, but very modest moves here. there's no big rally going on. >> we'll see if that holds. >> the european banks, very ugly day. >> absolutely. michelle will talk more about that in just a moment. see you in a bit. the nasdaq dipping briefly below the correction level. bertha coombs following big movers over there. hi, bertha. >> with that dip, we were down nearly 2%. if we finish in positive territory as we are right now with the nasdaq composite, robert hung, one of our quant fellas, said this would be the biggest back in 2009 when markets were very volatile. big caps have been the drag. apple now starting to get a little more positive. netflix continuing to be down in the dumps after the disappointing subscriber numbers. ebay with disappointing numbers as well. it's been the chip stocks that have been holding things up. that's the strongest performer. as we look at them, th

you can put up the usual names, halliburtons, anadarko, eog. the whole flcomplexion is up.dustrials. i love them. they are doing great. the trend is clear. they are maintaining guidance for 2014, not lowering everything. we saw illinois tool works this morning. i love them. classic, nerdy, in automotive testing equipment. adhesives, lubricants. all the nerdy stuff in the automotive industry and behind the walls you never pay any attention to. they beat and bottom line is they raised the mid point of their guidance. they get 30% of their revenues from europe. 30%. despite that, they raised the mid point. industrials that would see a big slowdown are not panicking even though they have exposure to europe. united technology. 20% of its sales are in europe. they beat and they talked about 2014 guidance affirm. didn't lower the guidance here. they make automotive. they are in the aerospace industry. heating ventilation and air conditioning with carrier. another company said things are fine. we are not lowering our numbers. this is a trend. remember last week with general electri

e&p, all the big names, eog, chesapeake, they are all trading down significantly here.et's move on. nasdaq. volatility helped these companies dramatically. i'm talking about the exchanges. they came in roughly in line but did announce a 500 million share repurchase program, as well. that stock is trading down. you spent a lot of time on amazon. the thing amazing to me and i spend a lot of money on amazon. revenue up 20% and still a loss of 95 cents? $170 million inventory evaluation reduction on fire phone sales being poor. this is the great irony. north america media up only 5%. is this ironic? this is because the old school physical text book sales were weak from the shift of ownership to rental. and to digital. i would note, you see that electronic and general merchandise, that's 2/3 of amazon's revenue. that was a very good number. that was one of the few pieces of good news we saw overall from the company. right now the dow industrials, very steady, up 50 points. you can see amazon, by the way, that is a 52-week low for amazon. >> the worst day for amazon since the

eog.ngs to mind the upgrade we got yesterday out of citi on some refiners as they think that differential between brent and west texas. if we're creating all this oil in the united states but policies don't change that allow us to export it, what is that going to do to the spread between brent and west texas? a lot of strange dynamics going on in the energy complex. >> and a question as to how many shale projects need to get canceled if oil stays where it is. >> if cramer were here, he'd say watch occupant at 80. you're going to see not just production but jobs take a hit. >> it's been such an explosive part of growth in this country in terms of jobs. we've talked so often about what's going on there. if we were to hit that, you do wonder whether that would start to pull people off the rigs, so to speak, or from the frack. whatever you want to call those. >> and the action continues. the s&p energy group is the hardest hit right now. . >> all right. let's get to bob, see what's moving on t

eog has the best production growth of any of the oil companies. that's starting to come back.roblem is, head and shoulders. it's the head and shoulders patterns. you're going to hear that. the hedge funds, what do they do? they look at the charts, and the charts are bad. >> panera, your old favorite. >> i had the call on panera. why are we buying? very easy to understand. this is a company that's about panera too. we suggested on "mad money" this company was going to get killed when it reported. you had to start buying it. this company on the conference call saying all the right things about 2015. yes, there's some raw-cost dairy, not so good. dairy is coming down. forget about dairy. ask domino's pizza. so i think panera, down here you're going to get a lot of upgrades. and 2015 is going to be the year when panera 2.0 takes over the country, and they're good. no longer in a mosh pit. don't be a dope. >> hershey, not a great response to its quarterly numbers. >> why don't you put out a release that says don't buy me? i'm not kidding. you should be shorting dean foods if you be