but when you take a look at gile gilead, that's the one that stands out on the list. gilead.t this one has been mentioned as a potential acquirer. when people are focused on the list, many balance sheets look strong enough when the stock where it is that they could use the currency for that. >> 10 times earnings. >> it's going to be single digits as you go forward in time. >> this is unbelievably cheap. >> jim likes palo alto. big fan of that. >> all about you, dioc. >>> yahoo's plan to spin off alibaba without a multibillion-dollar tax bill might have hit a major roadblock. the stock was off hard on that news, what does it mean for the company going forward? and its ceo, marissa mayer? at&t and directv are now one. which means you can watch movies while you're on the move. sitcoms, while you sit on those. and even fargo, in fargo! binge, while you lose weight! and enjoy a good cliffhanger while you hang from a... why am i yelling? the revolution will not only be televised. the revolution will be mobilized. introducing the all in one plan. only from directv and at&t. >>> yaho

. >> how about gilead? fresh talk of another buyout. >> we talked earlier this week about the fact that stock had a couple of days where you couldn't put your finger on what's going on. i think something is going on where there's smoke there's fire. the last quarter for gilead was ridiculously good. stock performance never really is commensurate with the reports they put forth. i think this stock is cheap. i think gilead's going higher from here. >> the other part of this whole space is the pharma side of it and a lot of these guys also have fantastic pipelines that should get them some of the growth but someone like merck who's been thrown out because i think of some of the exposure to some of the pipeline that's still in question valuation dividend has not caught up from the fall from august 24th. take a look at the pharma. >> good point. coming up an unlikely safety trade in the fed starts hiking rates. it just might shock you. we're going to name some names for you next. you're watching cnbc, first in b

i notice that gilead is on your top picks list.ctors straight into the drug pricing debate, does it not? >> well, you know, we -- we're value investors, first of all. we've only dipped our toe into the biotech space over the last several months. i think, first of all, at under nine times earnings it's extremely cheap, and, second of all, the hepatitis c medicine that they brought to market is a huge advance. it's got over 95% cure rate versus about 60% before. i got a lot fewer side effects. it might -- the headline price might cost more, but the price per cure is pretty much in line with the previous therapies. >> quick. >> i was going to ask you about m&a given that the stocks have pulled back so significantly, so quickly. do you think that speeds up m&a, and then to the gilead question, when are they going to use up that $15 billion that they've got? what would you like to see them do? who would they buy, and who makes the most sense? >> yeah. i mean, first of all, gilead will be buying back their own stock, and they've issued a

gilead was down 2.5% in 5% and amgen numbers are down 2%. hillary's comments about honing in on prices weighing in on the biotech overall. nicole: lauren: the nasdaq up just a point yesterday. pope francis to bribe in washington d.c. today kicking off a six-day visit to the united states. the pope is scheduled to meet with president obama can address a joint session of congress before heading to philadelphia in new york city this week. the pope's visit will expect as you can imagine logistical challenges for delivery companies as they start ramping up security in closing down roads. ups will suspend pickup and delivery is and the three cities that would impact 30. fedex warning customers of displays and disruptions in more than 1200. patience is a virtue. but really, everybody is out. just get your roller skates. nicole: attempt about the apple iphone. everybody eagerly waiting there to liberate and those could be delayed to a certain extent. lauren: chinese president xi jinping begins a weeklong u.s. visit in seattle today. during his trip,

really gilead versus the government and gilead versus insurance, but it was not the industry as a wholeey set themselves about. situation with turing and valeant pharmaceuticals, everyone is taking a closer, harder look at the industry. mark: we have about 30 seconds. i guess i am going to answer my own question, the does this mean for consumers? what does it mean for people who need these medications? drew: in reality, it means there will be pressure on the nopanies that do this to longer do so ms they put their business model at risk. mark: thank you so much. still ahead on "bloomberg market day," how strong is the backbone of u.s. employment? we look at the strength of small business jobs ahead of the upcoming release of september's employment report. that continues with more news when we return in just a moment. ♪ the only way to get better is to challenge yourself, and that's what we're doing at xfinity. we are challenging ourselves to improve every aspect of your experience. and this includes our commitment to being on time. every time. that's why if we're ever late for an appoint

some of the names really strong there this week, gilead sciences, illumina. also in terms of tech. amazon up about 5.5%. google 4%. apple 3.5%. all of those names higher today as well. but there has been one stock to the downside with the biggest losers in the nasdaq. wynn resorts. another month of gaming revenues in macao. also a report from an animal cyst we could see some theft at wynn macao in the hundreds of millions of dollars. that stock is down 7% on the week. >>> goldman's top oil guy says crude could hit $20 a barrel. again, worst case scenario. our exclusive interview is ahead. >>> the worst performing sector is energy, down 1.2%. crude prices are also lower. the crude close occurs right here on "power lunch." you'll get et it at 2:30 p.m. eastern. a number.ry auto insurance polis but not every insurance company understands the life behind it. those who have served our nation. have earned the very best service in return. ♪ usaa. we know what it means to serve. get an auto insurance quote and see why 92% of our members plan to stay for life. ♪balanc

celgene is cheap and so is am gen and gilead.esn't matter because people are in the shoot first and ask questions later. the biotech index is where it traded down to yesterday, that was the low. it is right there now. i don't think you can buy the stocks until the cell gene report on the 22nd of october, i believe. wait until then. >> still ahead on "fast money," carl icahn sending a warning about one market. what has the hedge funder so worried and whether you should follow his advice. need to hire fast? go to ziprecruiter.com and post your job to over one hundred of the web's leading job boards with a single click. then simply select the best candidates from one easy to review list. and now you can use zip recruiter for free. go to ziprecruiter.com. >>> the high yields really stands for junk bonds. people are buying these, not really understanding what they are buying and if you just look at the numbers, they are amazingly risky. you have $2.2 trillion of junk bonds up five years ago, up a trillion dollars. that is a hell of a

i think pete and i talk about is the the gilead,sell gen, that is where i would be. >> i can't help but yellen say having tapes of us they are going to have crazy inflation, they don't know what they are doing at the fed. but that being said, the valuations do border on ridiculous. and as huge of a fan as i am of the face and there is going to continue to be more consolidation, it is so risky to pick one. we saw one the other day down from 44 to 9. >> that is right. >> i can't stomach that. >> those are the bioteches we talk about all of the time. there is a differentation between the huge valuations and have no value. they don't have any earnings and you are basing everything upon potential in the pipeline. and then you do have the gilead trading at 10 times, am gen, cell gene and billion dollar drugs already on the market with pipelines, there is a reason why many of the names and a lot of us would sit on the desk and saying why is she delving into the biotech and it depends on what biotech you are talking about. >> the low was something like 333-ish and now 357 is where it finished t

>> i'm not in a hurry to go in there and buy gilead.p thinking hillary clinton is running for president. she likes to get mileage out of this. it's a political football. i do like it. the political backdrop is horrible here. let's grow to don in north carolina. don! >> caller: jim, i'm seeing everywhere i travel, what do you think of meade johnson? >> the formula is the people is a china trade also don't forget perigo makes knackoff formula. >> that does well and hurts everybody more. frank in missouri. frank! >> your take on sirius xm? >> i have liked it. the stock always seems stuck in the mud. it has good subscription growth. that's what matters. brian. >> caller: my question is i own 100 shares of hda at 92. what do you recommend i do? >> i like this stock very much. i don't care where it's going, coming from. ive care where it's going to. i like hda. jo ev in new jersey. joseph. caller hello, cramer. >> yeah! >> thank you for having me on. >> thank you. >> my stock is kraft heinz company. >> my charitable trust owns kraft behind. -

gilead, on 14 million shares, typically trades 10, it up on the day. although i still think it is under pressure because the rhetoric will continue and it is shoot first and ask questions laettner biotech. >> going down to the chain to the kind of companies impacted by hillary clinton, you take a look at the hospitals -- the insurers today. and they traded better than the over all markets. you look at etna and humana, because they get the power to negotiate. >> they have the power to negotiate. and let's look at everything involved. hospitals, you see some m&a activity in hospitals. but getting back to ibb, if you see the top four holdings get pressured, those are companies that are not battling with what hillary clinton is talking about. those are selling at a discount. would you be a buyer ohose companies. >> and let's talk about the xbi, which is the smaller cap. and that doesn't bounce as much as the ibb and you have gilead and others close up on the day so a big reversal. this is a sector that is bubblish. and fueled by the cheap money in the syst

i like the gilead one. lockheed martin is mine. do we get the pearly gates for me. that is nice. i like that. we have a 3% dividend. 16 times forward erpgs and i don't think it is expensive. here is a stock that a wee bit off the all-time high despite the tape which has not been good. unbelievable balance sheet and tremendous backlog and this company will go on in perpetuity which makes lockheed martin my devine pick. >> is that you playing the harp. >> i do play the harp. it is a fantastic stringed instrument. >> home depot. every time you bet against this one it is the wrong bet. 2% yield -- what am i doing there. 2% yield there in home depot. never wants to back up. it is one for the ages. as this spot is supposed to be. when housing is doing well, it does well. when housing is doing poorly, it still does well. home depot for the ages. >> steve. >> i don't want to see the photo of me. mine is exxon-mobil. >> oh, look. >> he made it. >> 4% dividend yield. and this stock obviously has been taken down with the rest of the space. so i think valuation here, roughly 15.5 to 16 times

i think it was march 2014 when waxman sent a letter to gilead over the high price of their hepatitis a hit on the whole industry for a while. but not for long and nothing actually resulted. what i'm hearing from analysts is folks aren't really worried about actual regulation on drug prices unless the presidential election goes in a way. >> let me add real quick, i think the gilead letter was a seminal moment so to speak in modern health care history. i would also add, you know, forget hillary clinton for the moment. the democratic front-runner bernie sanders is -- this is like a central platform of his. when you talk about this is going to have legs. i imagine he's going to -- he's already introduced a bill in the 1990s, he marched people across the border to canada to get cheaper drugs. this is the type of story that would reignite what seems to be the point, just an obvious stupid move, i don't want to editorialize, but that came out? >> other words, may have been used. >> sure. >> we'll save those for the break. >> i rescind what i just said. >> good to see you, thanks. coming up,

. >> but the consolidation in space, last week there was a lot of chatter, gilead and we alluded to it and it was getting press but it fell off a cliff. exactly to your point. >> xi jinping holding a joint news conference with president obama today. coming amid the concern of the health of the economy. michelle car urocabrera joins us now from washington. >> the chinese president was asked about the state of economy and he reiterated what he said in seattle over the last two days. he said the economy is under pressure but they are taking prudent macro and fiscal policies, monetary policies as well and china can continue to grow at mid to high growth rate. the good news is the two countries were able to announce some kind of agreement on cyber security. >> i raised one again or very serious concerns about growing cyber threats to american companies and american citizens. i indicated that it has to stop. the united states government does not engage in cyber economic espionage for commercial gain and today i can announce our two countries have reached a common understanding on the way for

, and google are sucking away the most points of any stock out there, with the exception of maybe gileadis a big weight on the s&p. almost 9% of the nasdaq. loses 2%, which is a pretty substantial amount to begin with, it really hit the indexes hard. the same is true of facebook and google. when they lose 2.4%, they hit the index hard. it is tough to put up any kind of gain when you see that. i am sure you have been watching all day. a big spike early in the morning and then came down. i am sure if you did progression of analysis, usc they travel close week together. oil up a little bit. don the ecb said we will what we can to boost asset prices because we are terrified of inflation, we had affixed by kent came back down. we recovered a little bit on the day, and that is impressive because the apple is up. and again on a day like this is pretty impressive. y thatllar is the dx is a basket of 16 currencies against the dollar. gaining today. gold falling today because it is priced in dollars. in fact you do see gold futures, and they are down even though mario draghi's as we will rev up th

. >> over the long-term gilead bottomed out around a hundred dollars, trading at all times earnings. is actually growing as well. >> the specific sectors, go sectors, go with some of the staple names and go with financials as well as healthcare. most of your viewership is retail investors. pepsi, dr pepper, hershey's. did quite well if you have a three to five year time horizon. >> i think is right. >> amazon, facebook, google. >> strap up, boys and girls. >> you want to be in something that will recover and come out the other side of this. >> they have earnings give guidance based on some strong dollar. that is one of the biggest overhangs. charles: domestically focused. the more domestic us centric focus for the near-term the better off you can sleep at night. >> russell 2,000. great conversation. rewarding people with higher minimum wage sounds good, but it is aa job killer, particularly for small businesses. and it inhibits in addition. new york state might be ready to make a huge mistake at ally bank no branches equals great rates. it's a fact. kind of like shopping hungry equal

look what gilead did today. mike cowan and john and pete nejarian talked about gilead and bristol-meyers. i think the space, the space is in play. that is what's interesting to me to echo was stephanie was saying before. >> that is a challenge. winners and losers, it's hard to figure out who is going to be acquiring and who will be behind. you need to have a broad strategy and well-defended strategy. >> i think there are winners and losers as we talked about stock picking. if you look at dollar tree, they had problems. that was a poor acquisition they made with family dollar. >> very poor? >> yeah. it hasn't worked. so far. they overpaid. they didn't realize how bad in shape family dollar was in. both dollar general and dollar tree have come down. i would look at dollar general as perhaps getting out of this and being one of the winners as dollar tree continues to flounder. >> what is happening now? is the pendulum swinging back to a walmart here? >> there is competition, no doubt about it. you had three players

and gilead hepatitis c pill costs $1,000 a day.'s tweet refers to a drug bought in august and in an interview on power lunch on monday the ceo defended the price hike. >> at the end of the day there have been much larger increases by bigger drug companies that you would argue that many companies don't need to do something like this. turing is a new company and not a profitable company. so for us to exist and try to maintain a profit i think is pretty reasonable. >> the u.s. is seen as the only market where they can recover large investments in new drugs so the u.s. accounts for a third of all global drug spending. >> thank you for that. here's your headlines this morning. shares in volkswagen accelerate losses after the car maker says it will set aside 6.5 billion euros in the wake of the emission scandal. europe european pharma stocks drop state side. opportunities aren't always obvious. sometimes they just drop in. cme group can help you navigate risks and capture opportunities. we enable you to reach global markets and drive for

amos gilead said, quote -- all putting to the lie comments by the president's spokesman josh earnest today who could only offer this weak statement. >> russia will not succeed in imposing a military solution on syria any more than the united states was successful in imposing a military solution on iraq a decade ago. lou: extraordinary. what a simple minded contradictory comment that suggests the white house has no clue about geopolitics and the foreign policy that it is trying to follow. the fact is events have now moved well beyond this president and his entire administration. and if mr. obama does not act quickly, he will find himself, his administration eating putin's geopolitical dust and himself relegated to a second tier status in our history books, and that's not a legacy one would think he would want. >>> our quotation of the evening, this one from, well, for our outclass ruling class of both political parties, i must add, one abraham lincoln who said, well, facing a collision of historical forces -- note, the president, president lincoln made it clear that it is not sufficie

that's apple, and gilead. back to you. >> we'll see if that changes over time. thanks.e back, markets recovering just a little bit since the beginning of august, but still down more than 5%. what does the rest of september have in store? art cashin will join us onset with the dow down 61. don't go away. (trader vo) i search. i research. i dig. and dig some more. because, for me, the challenge of the search... is almost as exciting as the thrill of the find. (announcer) at scottrade, we share your passion for trading. that's why we rebuilt scottrade elite from the ground up - including a proprietary momentum indicator that makes researching sectors and industries even easier. because at scottrade, our passion is to power yours. i'm a senior field technician for pg&e here in san jose. pg&e is using new technology to improve our system, replacing pipelines throughout the city of san jose, to provide safe and reliable services. raising a family here in the city of san jose has been a wonderful experience. my oldest son now works for pg&e. when i do get a chance, an opportun

remember gilead after the hepp c cure. >> that is almost unheard of to have two block busters.nk it has a lot more upside. especially since it pulled back where it was after it reported the terrific diabetes drug last week. that's a steel. here's the bottom line. for years, eli lilly had to talk down. they struggled to walk the walk. in recent months, they made one, not two quantum leaps forward and these are both gigantic addressable markets. littlely set itself apart from the rest of big far pharma. in an incredible market it opens down 260 points, lily is the big name in bigp harma. >> that can be the case for years and years to come. caterpillar has a shocking shortfall i'm telling you if it can claw it's way back. >>> activists don't know best. i'm reviewing a time when meddling went way wrong just ahead. >>> then, are people missing the big picture with optco. stick with cramer. at&t and directv are now one. which means you can watch movies while you're on the move. sitcoms, while you sit on those. and even fargo, in fargo! binge, while you lose weight! and enjoy a good c

we did see that with gilead when congress starting pushing back that was a stumbling block for gilead. >> sure. we've seen that the stocks are subject to headline risks because it relates to stakeholders stepping in and making noise about the need to control prices and costs. cvs and express scripps made comments about the need to manage this category. we model this to be a $10 million segment globally. what we are talking about is a really good drug for patients with no other options. the part of this equation that a lot of people don't think about is we are on the hook for these costs anyway. if you have who already had a heart attack and they are high risk. >> there is no proof these will prevent heart episodes? >> that's true. >> thank you for coming by. great to have you. fascinating stuff. i'm sure we'll talk about this a lot. the cost of drugs is a huge issue for a lot of people. >> regeneron stock up 2,000% in five years. >> tonight on "fast" apple doing something ahead of product launch it's never done before. tonight at 5:00. >> thank you. "closing bell" picks up our market

it created a headwind on gilead.a long time. is it a possibility this time around or are investors so inured to this sort of noise about grousing about high priced drugs they're going to look through this? >> i think that they're likely to look through this and i think that this is going to be dependent on how much actually gets implemented, whether a bill gets created. so real identifiize you're expe senator waxman said this a year ago we learned nothing actually happened. it goes back to the same situation and it's a reason for biotech investors to take profit given all of the noise that's been going on recently. >> i'm sorry, michael. just back it up for a second. you said this is another reason for investors to take profit? >> well, it's another reason for -- today for -- >> bu you't you're not saying bh investors take profit, are you? >> we're saying this is a buying opportunity. once again we've seen this in the past and going forward we're going to continue to see some of this, what we call noise given that th

feel the fallout from this week's uproar over specialty drug pricing and the big cap biotechs like gilead maker of sovaldi, they're among the biggest losers today sending the sector near bear market territory down 20% from the july high. monster beverage though among those stocks today that are bucking the trend. they're few and star between. goldman sachs upgrading the stock. analysts saying monster could use its investment from coca-co coca-cola for a buy back. go pro getting some love. taking a look at some ads. they're quite spectacular. also chinese stocks interestingly, baidu bucking the trend. >>> a news alert in the bond market. 7 year notes up for auction. let's get to rick santelli at the cme. you gave the 2 years a "c," yesterday the 5 years a "b" i think. what about today? are we seeing continued improvement or not? >> yeah, "b" as in boy on this auction as well, mandy, which means, you know, another above average showing post-fed. that would make sense. $29 billion in 7 years. finishing 90 billion of supply on the week. the dutch auction 1.813. exactly where the bid side of t

gilead relatively speaking has held up pretty well. up 0.8%. not bad compared to the others but still not great. we'll be back after this. can it make a dentist appointment when my teeth are ready? ♪ can it tell the doctor how long you have to wear this thing? ♪ can it tell the flight attendant to please not wake me this time? ♪ the answer is yes, it can. so, the question your customers are really asking is, can your business deliver? go to ziprecruiter.com and post your job to over one hundred of the web's leading job boards with a single click. then simply select the best candidates from one easy to review list. and now you can use zip recruiter for free. go to ziprecruiter.com. >>> welcome back to "power lunch." i'm brian in for tyler. breaking news right now on aol. julia boorstin with more on that. julia? >> that's right. aol is making a big move into live mobile video creating tools in a platform for any content company to create and distribute live mobile videos and events to as many as half a billion mobile users all around the world. a

gilead got a bad rap but their drug cures hepatitis c. know what the right price is of that but they priced it at the same price as the other drugs. so now we're curing things. if you had a cure for cancer what would be the right price for that? i think there's a couple one off examples that you mentioned that are giving the industry a bad rap and that's certainly not the situation a wros most of these biotechs. >> to have a large cap company like valiant in congress' cross hairs that gives many investors pause. what would seem like relatively price increases went into the spotlight of the house oversight committees they look ridiculous. >> and, again, so you have examples where now you have a little bit of congress looking at some of this, it's going to cause a lot of uncertainty and fear and they are going to pull out the bad examples, they're going to pull out the bad skpampls and try to apply that to the whole industry when that is not the case for the dbil yads, the bio jens of the world. now we have an innovation system where we're

among top performers, liberty global, gilead and biogen.wer lunch" is coming right back, stay tuned. 7 . >> announcer: and now the latest from tradingnation.cnc.com and a word from our sponsor. you totalled your brand new car. nobody's hurt,but there will still be pain. it comes when your insurance company says they'll only pay three-quarters of what it takes to replace it. what are you supposed to do, drive three-quarters of a car? now if you had liberty mutual new car replacement, you'd get your whole car back. i guess they don't want you driving around on three wheels. smart. new car replacement is just one of the features that come standard with a base liberty mutual policy. and for drivers with accident forgiveness,rates won't go up due to your first accident. learn more by calling switch to liberty mutual and you can save up to $509. for a free quote today,call liberty mutual insurance at see car insurance in a whole new light. liberty mutual insurance. ♪ ♪ (under loud music) this is the place. ♪ ♪ sustainable tea tree eir boil and ka

but on the ibb, i look at the big cap names, am gen, gilead, cell gen and when you look at where they are now and when you have strong earnings, great balance sheet and a pipeline, i think those names go higher. >> coming up, amazon taking a page out of uber book and promising on demand delivery but will it fall flat. >>> and jack dorsey may be named the ceo. >>> and model x misses the spot. the stock failed to rally so what are investors missing. a top analyst weighs in. much more "fast money" still ahead. >>> welcome back to "fast money." we have some news on glenn corp. kate kelly is on the fast line with more. kate? >> hey there, melissa n. a meeting today this afternoon in london, with credit investors in glenn corp, officials from that company sought to assuage ongoing fears in the company. shares were up on monday but there was a huge route and unfounded rumors about a liquidity issue. the officials from the company toast investors they have $50 billion worth of access to letter ever credit financing, a special sort of financing that backs cargoes in transit as part of glenn co

our largest holding and then once again we're taking advantage of the biotech selloff to add to our gileaddings as well. liz: that's interesting. they have that drug very pricey. >> yeah. and it is ridiculous to criticize a company that has cured hepatitis c. liz: has it cured it? >> yeah. they've cured it. liz: they haven't wiped it completely off the plant,. >> yeah. they have to get the drug out there. and they're getting it all throughout the world and this is amazing positive for society. i can't imagine why you would want to stifle that kind of innovation. liz: i hear what you're saying. hillary, final thoughts. >> i think that this is a opportunity to buy. i really do. even with the global -- liz: what are you buying? >> we still like this retailers, we love the consumer restaurants, you know, bloom brands that has outback steakhouse and -- liz: going to go out and have a drink and steak. there we go. well, former peanut company executive. you will not believe this story. spends 28 years in prison for his role in covering up a deadly salmonella outbreak. 9 people died, hundreds sick

bristol meyers, gilead just to name a few. >> what do you mean this market is running on hatred? negative sentiment has been so profound and extreme that you're getting everybody saying i can't be a seller here, everyone else is too negative. you don't see a lot of other things that are bullish catalysts except for the fact that people have been so skeptical. >> we are going into earnings. that could be it. >> it could be at some point. day to day right now things get stretched to the down side, people leaning against the market too hard. >> everybody, thank you. guy add amy, threw. be sure to catch the rest of the "fast money" crew. they're asking one tesla investor why investors are so cared about the potential of an apple car. >>> you may be shocked by just how much one pharma company has raised the price of one of their drugs. comments from the ceo behind this price hike. >>> first, did netflix lose a major battle in the streaming wars after huge wins for amazon. you're watching cnbc, first in business worldwide. >>> nice day for tech and financials. let's tend send it over t

gilead something over the last couple days has been going on with them. last couple of quarters have been outstanding to say the least and seemingly hidden in all this is that gilead and bristol meyers for whatever reason over the last two or three weeks seemingly are trading in lockstep not to suggest anything that's going to happen or is imminent between the two, but it's worth noting that the last three weeks at least they have been trading eerily similar. >> okay. do you own -- by the way -- >> i do not. i do not. >> none of these names? >> no. >> dennis, were you going to say -- >> i find it a bit remarkable that kyle bass has this strategy in hand. of course, al truism and making money are all in play there, but the patent reversals -- if you are sitting on a patent word bored and making that judgment and there's a hedge fund guy, i think there's some political pressure or feeling or sentiment in the patent board that maybe we don't want the hedge fund guy however right he may be pushing us around. that's the problem in the stretch. he says he's aro

you look at gilead and cell gene. i think you can stick with some of the bigger names, and at certain levels you want to buy them. i'm looking right now on this full-back. >> i'm not in the biotech camp as much as pete, but i think some of those that may actually use this as an opportunity to do a little m&a, brian. if this continues, i think you will see some teaming up of companies as we go lower. just like we have in the oil space. >> which makes sense because when you look at the winners recently in biotech, quarter today winners on our screen, it's not the big ones. it's the not the cell genes. >> crude oil. down more than 3% after earlier gains. we got jackie d at the nymex. is this all about inventory data? >> good afternoon to you, brian. that's the question, rooip right? we got that inventory data, and it really was supportive of crude prices. what's hamming here? >> when you look at the technicals here for crude, you sthau break-out despite the inventory numbers here too. once we got out of the triangle form

gilead have a profit margin 125%. >> sounds like a sad ending for consumers. tonight. thanks for watching. "hardball" starts right now. >>> great scott, walker walks. let's play "hard laul." "hardball." "hardball >>> we don't need an apprentice in the white house. we have one right now. >> good evening, i'm chris mathews. governor scott walker from wisconsin, a strong favorite for the republican nomination is no more today. he dropped out of the race all together. this is the candidate who mocked

gilead have a profit margin 125%. >> sounds like a sad ending for consumers. thank you for your time tonight. thanks for watching. "hardball" starts right now. >>> great scott, walker walks. let's play "hard laul." "hardball." "hardball >>> we don't need an apprentice in the white house. we have one right now. >> good evening, i'm chris mathews. governor scott walker from wisconsin, a strong favorite for the republican nomination is no more today. he dropped out of the race all together. this is the candidate who mocked donald trump as someone unprepared to be president. to use his word, an apprentice. now walker walked off the field as texas governor rick perry did and other candidates might as well begin their current level of support nationwide which is zero. what's it take to be a champion in the republican battle? do you have to play dumb on whether he is a muslim? do you have to issue personal manifestos like you don't want a muslim to be president even if there is no one running. is that what it takes to stir the souls of today's republicans? scott walk

i think you can stick with the gileads, when which i know is one of his picks. i think there are other names out there that obviously can still perform. to steph's point earlier, when things get sold off, that creates opportunity. those are the names you like them. if they get sold off too much, that's the option. >> tloob at some of the other sectors within health care that actually fall on this news, like the hmo's, which would be -- they'll be impacted, but less so. take a look at them because better jobs, higher interest rates next year, and a pricing power story, very powerful for that group. that would be the group i would look to buy. >> we'll take a quick break. before we do that, i want to show you a live picture from out in seattle. china's president xi jinping has arrived. he will be on meeting with a host of business leaders, including tim cook, warren buffett, bob eiger, jimmy of ibm. we'll be back to talk much more about that. we'll take you live out to seattle where our own michelle caruso cabrera is on the ground there as well. there's a live pic

. >> weiss, gilead with the big bond issuance, not a surprise given what we've seen in that realm over the past couple of days, enormous, we talked about the stock yesterday. it initiated a hold at whatever firm made that call. what's your call? >> pete and i disagree. i didn't own the stock, i bought it this morning, even though it was up a couple bucks whendy. the reason being with $15 billion in cash and about $12 billion of long-term debt. they took on another 10 billion. they could be doing that, racing to the window before rates go up. we know they're going to make an acquisition, maybe they're prefunding it i chose the latter. i like the company anyway. think we'll see more corporate issuance ahead of it they borrowed 10 billion. but roughly 2 billion -- >> 20-year money at 4.5% roughly. who is not going to do that? >> yesterday was a record in the amount of issuance. >> jon, box raised forecast. lost 28 cents a share. one penny less than expected. >> one penny better than the loss that was expected. i believe they were expecting 29. i might be wrong. and they did raise guidance

. >> you feel as comfortable today with gilead and cell gene which are among your top holdings as a week ago given where the debate over drug pricing has gone this week? >> yeah. you know, every day there seems to be another headache, and this monday it came from pricing pressures. you know, it's difficult to gauge again the sentiment and the pricing rhetoric that will be very present in these companies for the next three to six months. auto i'm obviously altracted that growth profile, but you need to take into consideration headwinds of the political landscape and other things that i don't feel change the dynamic a little bit, but are you seeing that with the selloff in the biotech space as well. >> thank you for being a part of our program today. >> thank you. >> let's go full circle as we look one more time to yellen. the notion of what's happening in emerging markets, steve, caterpillar today dropping a pretty big bomb. bunch of layoffs. not only that, but, you know, updating their guidance, and the story is not good. all that must factor into the -- >> yeah. this is larry kudlow's n

facebook is down, google is down, apple is down, gilead is down, the biotech sector is down.he today's ramie is being led by the xlb and xle, that's materials and energy, if you want to bet on a rally led by that group, but historically recently it's not been a great bet. >> barry bannister is with stifel. he joins us live from baltimore. barry, welcome back. i guess our headline is pretty clear -- you went from 2350, with a year-end target for the s&p, which was the most bullish on wall street. to a new view of 2200. which is still well above where we are now. why? >> well what happens we reset the bar with a correction in the fourth quarter. much like last year in the fourth quarter we reset the bar. the other big change from a year ago is we let the dollar rip. it hurt the cyclical side of the market, more than it helped the growth side. it's hard to hit a much higher target. >> i still guess i'm focusing on the point that you know where we are today, trying to figure out if we're, we bottomed, if we're going to go much lower. retest the real lows of last week and perhaps

gilead sciences got an upgrade up she goes, $2.50 higher. gilead reaching 106.chrysler got a recall of over a million ram trucks faulty air bags the problem there. no effect on the stock is actually up pup 20 cent it is 14-61. republican presidential hope powerful governor bobby jindal has some choice words for the national press club momentses ago. listen to this. >> trump is not a serious candidate. he's a narcissist egomaniac. only thing he believes in is himself. the reality is that i want to say what everybody is thinking about donald trump. but afraid to say -- everybody know this is isn't new, the idea of the donald trump debate is great. the reality of donald trump is absurd. >> ashley -- >> he called it a carnival act he said donald trump has never read the bible the reason we know is because he's not in the bible. he also said jindal today but said this week that his best running mate would be charlie sheen he's going on offensive here, and a different approach it is unloading. bobby jindal where he's at in the polls except to go after the number one p

. >> why couldn't a big name like valeant or celgene or a biogen or gilead continue -- >> yeah. i think we have a structural thing going on in biotech and there are some very deep pockets chasing. i think the smaller deals are the ones that probably can still go. you look at valeant this is a name that although there's probably as a lot of these guys say, if we're anywhere near successful with our pipeline as we think we're going to be our stock is cheap. and that's the way people trade them. except for the fact in this market. that's what dan is saying. i wouldn't go near this stuff. if you think netflix is going to 85, which i do, then valeant is going a lot lower. >> that's your market view. that's how you're expressing your market view. >> this is a real example of where people have profits. this is where they pull profits out because they're nervous about losing their whole year. so a lot of guys pull out their profits from here. if you look at the xbi or ibb they're only above their 200-day moving average. you need to be above your 100-day moving average to be able to get

gilead on the rise. if you look at the biotech etf's there is still a lot of red on the screen.ll as these two etf that track the biotech all of them down now for eight straight sessions. in particular is having its worst eight days on record, down another 4% today. the division occurring throughout the course of the session. at the same time health care ,verall is helping the s&p 500 some of these are still providing a pretty substantial drag. keeping an eyean on the markets as we head to the close. a warning from carl icahn. in the new video entitled danger ahead, the billionaire investor lays out the problem facing the united states economy, including the risk of continued low interest rates. why should they raise rates? it is almost a rhetorical question because there are so many reasons. low rates almost by definition building bubbles. building real estate bubbles. even in the art market. kass joining us is doug who just put out a note today addressing karel icon comments. wondering if you could give us your thoughts. what exactly are you responding ?o in the video gekko >

cisco systems, wells fargo, gilead and comcast are up. >> the nasdaq is five points off of its session lows. giving up most of the gains it made earlier. some of the most active movers here at the nts -- apple, no surprise. as we monitor this apple event we are awaiting big news, that is the details about the phone. yahoo! trading higher, up 17.4%. stay tuned, we will have more news about the iphone as we get it, brian. can a business have a mind? a subconscious. a knack for predicting the future. reflexes faster than the speed of thought. can a business have a spirit? can a business have a soul? can a business be...alive? [is the staying awake part...t challeng( gun shot )your day sleep train has your ticket to a better night's sleep. because when brands compete, you save. through sunday, during mattress price wars, save up to $400 on beautyrest and posturepedic. get interest-free financing until 2018 on tempur-pedic. plus, helpful advice from the sleep experts. but mattress price wars ends sunday at sleep train. ♪ sleep train ♪ your ticket to a better night's sleep ♪ >>> ge having a

gilead will come as a surprise to no one as the top-selling drug last year. it actually had more than a billion dollars in u.s. revenue, but ims's numbers, they're the ones who provided us this data. you'll see other very commonly used drugs. abilify. these are things that millions of patients use. so the highest priced drugs aren't the ones that are actually costing the system the most money. >> civaldi is one of the most expensive, isn't it? >> it's not even close. it costs $84,000 for 12 weeks of treatment. >> and it's not even close? >> not even close. all these top ten drugs cost more than $500,000 a year. it's a gene therapy. only approved in europe. costs about a million dollars, for one treatment. >> does it cure? >> it aims to cure. >> because in civaldi's case, it is pretty much a cure, correct? >> oh, yeah. these are taking a toll on medical centers. the cleveland clinic says price hikes have cost them more than $11 million. >> let's bring in dr. toby cosgrove now. he is ceo of the cleveland clinic here in a cnbc exclusive. >> welcome back, toby. >

gilead sciences is off 14% from its recent 52-week highs. showing some weakness there, maybe not a great sign. disney shares, with he kn-- 16%o the downside. citigroup off 17%, and then financials to technology. remember, technology, financials, health care, the three biggest sectors in the s&p. intel off 24% and chevron, the biggest decliner in the s&p 500 with a market cap of $100 billion or more since its recent 52-week highs. if you're looking for some of the names really weighing things down, these are the guys that are doing it and next hour in "power lunch" we'll take a look at some of the stocks that have been holding things up in this current market. back over to you. >> thanks very much for laying it out. should investors be concerned that most of the s&p 500, 80% of the companies are in correction territory? joining us now gina marsdon adams and hayes miller, head of global multiasset north america. thank you very much for joining us, both of you. gina, bears are currently at their highest since 2011. is this something we really n

amgen, you have gilead on the bored moving higher. tune in to "mad money" tonight. jim cramer has two looks at the biotech industry. novavax off a phase two adjustment this morning and dr. eric topol from medscape is going to be on as well. "power lunch" is back in two. awe believe active management can protect capital long term. active management can tap global insights. active management can take calculated risks. active management can seek to outperform. because active investment management isn't reactive. it's active. that's the power of active management. this bale of hay cannot be controlled. when a wildfire raged through elkhorn ranch, the sudden loss of pasture became a serious problem for a family business. faced with horses that needed feeding and a texas drought that sent hay prices soaring, the owners had to act fast. thankfully, mary miller banks with chase for business. and with greater financial clarity and a relationship built for the unexpected, she could control her cash flow, and keep the ranch running. chase for business. so you can own it. >>> p

cisco, wells, gilead, and comcast, all higher today. oh, berra cue barracuda. going to go crazy on you coming up. h are ready? ♪ can it tell the doctor how long you have to wear this thing? ♪ can it tell the flight attendant to please not wake me this time? ♪ the answer is yes, it can. so, the question your customers are really asking is, can your business deliver? oh, barracuda. >>> welcome back to "power lunch." it is 2:27 in the east. today's disaster du jour, barracuda networks after taking a hit on reporting a sales myth and weaker than expected guidance, the stock down 34% right now. >> ouch. take a look at hack and that is the etf that follows the cyber security stocks down 20% on the quarter but that could all change in the coming quarters thanks in part to uncle sam. s dan put out a note today saying a big inkroo he is in federal cyber security spending could help these names. dan, you're saying it's a $20 billion next generation market opportunity over the next three years. how much of that right now is in the stock? how much are they getting of that

some biotexting that look attractive the smaller caps definitely pricey, but some of the larger ones gileadences look at the valuation that that stock trading below big pharma free cash flow worries about growth but not pricey. >> john good to see. >> you great thanks for having me. >> thanks for joining us, forget the cash living in room netflix into virtual reality we show how you can end up inside your favorite tv episode continue on facebook check out ab fwavk/ing mornings maria what you would like to see click the button get the latest dates on the show we're back in a moment ♪ he cried and cried ♪ ♪ you cried and i cried and you cried and you cried ♪ ♪ ♪ it's more than the cloud. it's multi-layered security and flexibility. with centurylink you get advanced technology solutions. including cloud and hosting services - all from a trusted it partner. centurylink. your link to what's next. >>>. >>> this morning expecting a rally in equities, watching, of course, commodities as well expected gains in stocks we are seeing movers in the commodities area -- good morning phil. >> hey good morn

to that, piper jeffrey putting out a note saying vertex is not too much an acquisition target for gileada couple things pressuring more so than the broader market. >> let's keep an eye on the markets. the dow down 311 points, the s&p 34, the nasdaq 69. it was checkpoint software was one of those few names the nasdaq 100 in the green today. >> the post fed decision sell off continues here, but a lot of this is exploration. now art cashin is signaling we do have 2 billion to sell. that is the imbalance going in and that is all expiration right now. when we come back we will get a fund manager's take. he will give us his take on today and what to keep an eye oon in the near future. stay tuned. awe believe active management can protect capital long term. active management can tap global insights. active management can take calculated risks. active management can seek to outperform. because active investment management isn't reactive. it's active. that's the power of active management. >>> all right. down 328 now that's just about the low of the session. again, if you are just joining us it i

biotech stocks account for 40% thehe index, gilead saying worst day in a month.performers on the s p, low weight estimates for apple. they did say that they sold 13 million new six as an access less units versus 10 million units of prior models. facebook share to stamp a month, down by 3.8% this year after angela merkel question the company's efforts and restricting racist posts. they have been down only five buting days this month, that is shedding a little bit of those losses from earlier. betty: we'll keep our eyes on apple. thank you. make sure you stay on top of their movement today. coming up, the yuan general assembly -- u.n. general simply isn't new york. mark a chance to sit down zuckerberg, angela merkel, and talk about what went down at this high-powered roundtable. we'll have the new iphone sales at what is driving that strength. still ahead, shall ditching alaska in a surprise announcement. is this an end of arctic ambitions for oil? ♪ betty: welcome back to the bloomberg market day all of the market recognition -- day. all of the market action start

i also like gilead and juno. >> all right.me of the name brands with he know, we're familiar with. thank you for joining us. >> what they refer to in the notes as the fab four. >> yes. >> all right. >> for that reason. time for cnbc news update, here's sue with that. >> hi, bill. here's what's happening at this hour. president obama and cuban president raul castro discussing additional steps each of their governments could take to deepen cooperation. it happened during a rare meeting the two had on the sidelines of the united nations general assembly this morning. >>> edward snowden found a new megaphone in twitter. the former nsa worker who leaked classified documents about government surveillance started tweeting today. he has 185,000 followers just one hour after his first tweet which was, can you hear me now? >>> shocking video shows drug smugglers transporting drugs on a spanish beach filled with tourists in broad daylight. it happened last saturday. the video shows some shocked tourists watching as the smugglers casually

there's a piper jaffray note doubting that vertex could be an acquisition target of gilead, possiblyg into the weakness we're seeing in those shares. and then if you take a look at some of the data storage names, western digital and sandisk, western digital down more than 5%, san desk dodisk down 4%. these are outsized losers at the nasdaq. last but not least, i want to talk about facebook, down just absolutely, but we saw some interesting moves throughout the session. we started lower. we actually broke into positive territory for shares of facebook before sliding back down. the company, of course, saying that it will or hopes to launch a version of facebook for the workplace by the end of the year after 100 companies, large and small, have tested it. tyler and mandy, back to you. >> thank you very much for that, courtney. the reaction to the fed's decision is generally down today for stocks. how should you be reacting? joining us is matt tuttle. thank you very much for joining us, matt. it's weird, we had all this volatility going into the decision and fears over potential rate hik