the risk/reward to me is the upside pete said it, if gilead ever catches a little hint of a bid, thishigher cellgene poised to take out the levels we last saw in 2015 i agree with carter. i think it goes higher. >> best performing area of the market today, better than the recovery in tech but if you think about the biggest of all, i mean, amgen is as well positioned as any stock. it hasn't made a move in three years. it's a big name. >> can we assume the pricing pressure is over when itle tos to congress and people getting on their mantle? >> who knows what we do know, in a tape that has a lot of no mmomentum, a lof money flothrown at equities, pee double back and find things that lag. that's what this is. little downside risk it's asymmetrical. you might get a big move or you're probably stuck where they. >> it's interesting how far down -- you step back further than that, how far up they were going into that. >> that's right. they were the best performing area of the market '11 lows, the debt downgrade to the peak in '15, bar none even better than tech their giveback is in relation

that stock up 2% then there's gilead and the rest of the space breaking out. expedia, an all time high in today' session so should you trade or fade these extreme stocks guy? >> restoration hardware, we've talked about it being oversold owning it for trade with the short interest that it had now, i didn't think it would rally to the extent that it has, but the move has been unbelievable i think deutsche bank was the latest to upgrade the stock. i think you're getting into nosebleed territory. because valuation is still expensive. that was the knock against these guys in first place. they haven't turned their business under nufund menially where you can consider buying it now if if you've written up the stock, 50 or so, you got to take >> i disagree a rit l bit. you think about this committee, the big issue was inventory. i think they turn ed things in the right direction. i agree. it's expensive if you look at 2018, 23 times home improve space, the stock, i think it's in the workdays >> i am not in it. i was in it from the bottom you know, 2936 area and got a

>> well, you know what -- >> it's up 10%, gilead, over nothing? >> no, because i think it was oversold to begin. i still think when you look at valuations, celgene at 15, gilead in the single digits. we all atalk about the cash. when will they do it they haven't done it yet. >> i can't say it's nothing. a relative green light has given the whole sector to run. celgene has run -- >> the absence of proposed regulation, not a regulatory -- >> i agree >>> coming up, president trump and india's prime minister modi are moments away from a joint press conference we'll bring you there live, tell you what the market implications could be. >>> also, did netflix just go from predator to prey? we'll talk to netflix co-founder mitch lowe and what facebook means for the streaming giant. >>> and martin chiarelli back in the spotlight. he heads back to court today and could put a bull's-eye on the back of biotech stocks we'll explain. much more "fast money" right after the break. welcome to holiday inn! ♪ ♪ whether for big meetings or little getaways, there are a

from i'd rather chase that one because of valuation, but again, if you can pick a gilead, which is down so much and has that balance sheet, to me on a single stock lel, that one is pretty interesting. >> we'll commend that institutional investors are back into bio tech. a move today, where we had extremely heavy volume >> when i see it happen on the desk we saw it in energy. it was so clear. they were completely underweight. had moved out of the sector, get back involved and look at it from a valuation perspective and opportunistic perspective. as far as the shifts that occurred as far as the costs of production and all that stuff. that was fierce. if i start to see it on the desk, they get back involved and look at it as the best opportunity in the sector and the more of the generalists in particular i'm back in. full force and i think we can really -- we awe that happen in metals and miping and energy names. >> bus is leaving the station. i really believe, not suggesting we're back to levels we saw in 2015 sort of the high flying days we go something between where we are now and where

we're looking at gilead sciences. community health. along with express scripps. gilead sciences up 5% and a biotech stock and wouldn't think it would be affected so much by the possible replacement of obamacare. but this sector, bio tech has been on a tear recently and bloomberg intelligence analyst recently told our -- it has to do with lots of positive data plus the possibility of m&a so it seems that investors are migrating that way today. the hospital stocks, they have the most to lose if obamacare is repealed. so you may be able to infer by this stock moving up 4% that investors think it may be a while before obamacare is potentially repealed. and that express scripps a pharmaceutical benefit manager also trading higher. this could be on some thinking that regulation will be pulled back. as for the rally that we have been seeing in health care, as i mentioned on record for a fifth record close or on pace for a fifth record close in a row. this is a lot going on here. a three-month chart and what we are showing is the number of stocks trading at 52-week highs

you saw it today i don't know if it was the fact ibb is breaking out, gilead to the upside in a long time. you got to hope that this lasts. if it does, ibb is heading much higher >> why do you believe this is the breakout what was the catalyst for the breakout in biotech? a story around ten days ago? it's regulatory. >> it's all regulatory >> still haven't seen the executive order. >> you had the original impact from hillary clinton way before the election results, and where biotech fell off 20 or 22% then you had trump saying it was a bipartisan issue about drug pricing. now you have him coming in saying, you know what, we're going to support these companies. it's a lot less of headwinds on a regulatory front that's why they are moving >> now you also have xlv and bigger names in the space rallying think about it, now they have capital in a currency that's more value to go out and buy some of the smaller tech biotechs >> xlv ran 4% in the same amount of time it took ibb to run 11% you're talking about an outsize move if you -- i think they both have to move in the same direction. i

. >> gilead, i like story here it's had a big move here i think they make a massive acquisition. i think this company is going to take off once they do that >> bk. >> well, for me, america is all about innovation, entrepreneurship, so go with silicon valley like twitter. i think that one has a chance to rock it. so buy twitter and happy birthday, america. zbh that does it for us here on fast we'll be back here on wednesday. don't go anywhere. options action starts after this have a great weekend [v n it comes to investing, looking from a fresh perspective can make all the difference. it can provide what we call an unlock: a realization that often reveals a better path forward. at wells fargo, it's our expertise in finding this kind of insight that has lead us to become one of the largest investment and wealth management firms in the country. discover how we can help find your unlock. >>> the guys get ready the to kick off the fourth of july weekend, but before you fire up the grill, here's what we've got on the show. >> put that coffee down. >> that's what investors have been b d

because his previous job was the head of federal affairs for gilead, which created hepatitis c cure thatt $80,000 hard to believe he'll crack down on high prices for drugs but the bottom line is, there's always money that wants to play the trend of the day, which is to buy banks, tech, and health care and all three are getting a boost from washington, with russia and health care reform off the table for a day, you can see what happens these three sectors catch a fabulous bid the seller walks away and the stocks fly up in unison. and those who brave the negativity walk away the wealthier. those who panic, maybe next time you'll remember that no one ever made a dime panicking. doug in connecticut. doug >> caller: jimmy, how are you doing? >> doing good. how about you? >> caller: never better. >> all right >> caller: so hey, here's the question i have for you. a significant growth in p to p and p to b alternative payment options, including crypto currencies what are your thoughts on pay pal? >> pay pal is the winner here. everybody thought that visa would crush them, that wells fargo would

ibb, even of those top couple names, gilead, there is questions about their business model, what theydo with their cash, it doesn't surprise me they're up a point. >> we were talking about a binary issue, when you do you el with these biotech companies. when you deal with those large cap tech companies, it's not a binary issue. there's plenty of live i different levers they can pull. there are plenty of different things to tap into to drive the markets higher, people generically are afraid o biotech. >> i get it. >> for more "options action," check out the full show tomorrow 5:30 p.m. eastern time, yours truly. >> all right. >> we'll be here. >>> we do have a news alert on lloyd blankfein, jackie deangelis is headquarters with more. i think i know what this is about. >> reporter: actually, scott, it's his first tweet. so you guessed that, you were right. this is the, @lloyd blankfein. he said today's decision is a setback for the environment and the u.s.'s leadership position in the world, linda hirsch parisagreement. he already has several hundred retweets here. back over to you. >>

you can see names such as gilead, that was up 4 1/2%. bristol-myers was a winner. another story is amazon. who will watch football thursday nights on amazon with the prime membership? turns out they want to charge for the national football league game for advertisers, maybe $2.8 million for a 30-second ad. amazon trying to figure out making money for viewers who want to you watch football on thursday night. melissa: interesting, nicole, thank you. david: health care in the senate, senate leadership unveiling their health care bill today in hopes of bringing an end to obamacare but will this bill finally bring affordable health care to americans, how different is it from obamacare? gerri willis has details what is in and what's out of the bill. hi, gerri. >> david, the senate proposal moves to the left of the house bill, no doubt about it, it is more moderate. here are the details. first off some things we expected, the individual and corporate coverage mandates are gone just as in the house bill but unlike the house bill the senate bill would roll away 20 of obamac

faster drug approval gilead is up 5%. amazing enough i can't remember the last time we said that when you look at the four big biotechs, the amgens, cellgene and the capital will be repatriated back for m&a, it's great for the space. >> it's remarkable, jimmy, when you look at our wall and put it into the perspective of the stocks that are moving in tandem today, and not by insignificant percentage moves >> nuts. >> that's exactly where i'm looking, 9%, 10. >> everything is up but the hospitals are clearly up more than anything else what that's telling to me is they think the insurance mandates are going to stay in place. i haven't read the whole 142 pages, i've only seen headlines, but it looks like what's going on here is some monkeying around with premium levels and deductible levels that will allow insurers to stay in the exchanges and make some money. there will be fewer people in the hospitals. having said that, i think john was just saying this, there's still a long road to hoe to get this done. >> anthem, humana,

sprint >> the way health care has been trading, there are certain names that have not participated and gileade i look, merck, pfizer leading in terms of big phrma. i like the way health care is trading. >> i like the way american express is trading that's actually under the radar. it is up 11% year to date. it still trades at 14 times for estimates. i heard the company speak at a conference they sound very bullish, very confident in growth. that story is right back on track. i like that name >> visa, master card, they get a lot of love and axp doesn't get much >> i kind of like that >> i am back to what pete is talking about with health care the desk has been focused on it. it is an area of opportunity get yourself exposure. it might be the leading sector soon enough in the s&p >> 24 record closes this year. we'll see what the mark the questions do the rest of the day. power lunch has that now >> i'm melissa lee here is what's on the menu of the nation's capital once again at the financial universe. all the presidents men talking about tax reform can a deal actually get done oil tanking crude

biogen, you can be waiting for gilead to make an acquisition is like, it's taking forever. they should have done it let me make just a broader point, if i can. >> please. >> i just don't think, jimmy, and this is not criticizing you, that three years ago, without the market where it is and what we've seen in amazon and so many netflix, et cetera, that you would have ever, in your wildest dreams, considered alexion a value stock. >> no, three years, that was my point. >> three years ago >> zdespite the fact that stocks come down. >> nobody even now would consider it a value stock. >> exactly that there's been this creep -- >> i mean, you look at the valuation. >> what is the valuation >> it's in the high teens on an earnings multiple. you know, you've got to -- >> i'm looking -- that's on forward multiples, you're going out, or trailing multiples it's ridiculously expensive, right? >> it's not -- i wouldn't say it's ridiculously expensive. you've got to remember a couple of things. first off, the stock is down from 200 to 120. >> that means nothing in terms of valuation >> o

gilead it's been a down trend over the course of last year.inst that magenta line, we start to move lower you want to keep that in mind. it bumps into up resistance. maybe you sell some of those positions off a little bit or trim one more on the buy side of things, on the technology front, we've talked about the qs. s the qq etf that tracks the nasdaq 100 if you take a look at that trend line, it's been pretty solid over the course of the past year every time the stock or etf hits around there, it's been a bounce or a buy opportunity scott, again, this is not the only factor traders are watching, but still, when you're talking about systems, this is one of those inputs that goes into some of those models, guys. >> good stuff, john, thanks. it's interesting, you're watching the qs, in fact >> it's important to point out that, these trendlines don't exist and then the share price hovers around it the share price hovering is what creates the trend line and so in the case that dominick just showed us with the qs, that's an area that's been reliabl

so you got gilead, a big bio tech that's higher. corp of america which provides clinical lab testing. you got genetic testing company abbvie, big dvi -- drug maker and not just today. health care has been performing really well. oliver renic a great chart and we have duplicated on the terminal. this looks at the percentage of companies in the various sectors that are setting 52-week highs. you got health care in gray. financials in blue. technology in green. and earlier this year, technology had a big chunk of it. but it's been shrinking and health care although it's been pretty consistent through may and into june, but health care has been taking up a bigger share of stocks setting new 52-week highs as we've seen the momentum shift from tech and into health care. julia? julia: thanks very much, julie. let's stay on the big political story of the day. republicans in the senate out with their much anticipated health care bill today. the celebrations didn't last long. just in the last hour, senators including rand paul and ted cruz vo

speaking of the nasdaq, gilead, we have a lot of questions on this one because it's got a lot of cashthe balance sheet. people are wait iing for it to a deal and yet it has not been a buy or a good buy for quite some time. >> i'll say hold and i'm reticent because it's a cop-out f. you're holding you're saying you're a buyer. what am i saying? valuations have been the reason to buy the stock. it's been the wrong reason but their balance sheet is unbelievable. they'll be force d to make some deal, hopefully the right deal. and you have to believe at some point a name like this you'll see an activist come in so the risk/reward understanding it has been grim death now for a year and a half to the upside. >> i'm surprised an activist has not gone sniffing around. >> the valuation makes sense. i like the stock. i also like the debt. we own that. we would be buyers there. they've been successful at redeveloping themselves and this sock is going to go. >> final stock this round, because we'll do this again in the 2:00 hour. one more in this round which is kroeger. i hear your point about a h