exactly well now again you know it goes back to all the regulations about herbalife and we could talk about this for a really long time but really why haven't we seen action the us ok i think that's a fundamental question this put this business has been going on since one nine hundred eighty don't you think the feds would have stepped in by i know well a similar argument can be made for made off who went who flew under the radar he had a lot of standing in the industry he was head of bindra one of the top securities very private security regulators and he went undetected for what we don't know how long he was conducting the ponzi scheme but it was probably at least i don't know five ten years so it's possible for these to thing for these things to go on longer than bill ackman or bill ackman can stay solvent i think is a good many money manager and he got out of j.c. penney at the right time so my bet says he will survive this for sure ok so your. team both of them in certain. that it's all over now but you can see all segments featured in today's show on you tube at you tube dot com

apple reporting and so is herbalife. herbalife will not change the overall market as much as apple is. again, split decision. dow jones s&p update text, the nasdaq and the rustle down a tick. liz: no records with the s&p or the nasdaq. time for your front page headlines. david: shares of burger king getting a boost after better-than-expected quarterly results. from one year ago. liz: sales of previously sold homes fell for the fourth month in a row 5.6%. pending home sales index dropped to the lowest level in nine months. david: pharma merck third-quarter earnings fell on lower sales expenses related to pharmaceutical giants restructuring of the research and development operations. weighing heavily on performers. liz: amc networks buying cello media. this just waited to close in the first quarter of next year gives amc and major international booze. david: toyota outselling their rivals in the first nine months of the year. 7.4 million vehicles since january compared to general motors 7.25 million volkswagen 7 million. l

document powerpoint presentation in december of last year where he outlined the case that herbalife was a giant ponzi scheme and this is even after a court had actually ruled somewhere else that it was in belgium i believe yeah exactly he went short big time this was when herbalife was trading seventeen twenty twenty five dollars well guess what is shut up many times that since at least doubled in price and he was forced to cover at least forty percent of his position so i think he's kind of crying a little bit and let's mention also. that one of the reasons of our job is because people saw him. his big short and people like icon were like oh there's nothing like the short squeeze but also he was betting against the general market now it's one thing if you're if you have in place a legal framework or a case going there were a judge can say ok this is a ponzi scheme or the feds can close down your operation seize your assets but other than that it's been a great year for stocks so he was kind of betting against the fed at the same time if the market were in a bear market he could have st

apple reporting and so is herbalife.verall market as much as apple is. again, split decision. dow jones s&p update text, the nasdaq and the rustle down a tick. liz: no records with the s&p or the nasdaq. time for your front page headlines. david: shares of burger king getting a boost after better-than-expected quarterly results.

ackman has "new" info on herbalife.this new information will be unveiled in a couple weeks when he gives a speech at the robin hood conference were a lot of investors disclose their new ideas. i think he announced herbalife short he thinks it is a pyramid scam and it will go to zero about a year ago at this conference. bill ackman has lost hundreds of millions of dollars. liz: that is what i wanted. >charlie: i think it is 600 million. i don't have it locks down, but this is the biggest bloodbath bill ackman has ever taken. a lot of people say it is a short squeeze inspired by carl icahn. he went long and promoting the stock. we should point out bill ackman can go to to toe with him on the whole leaking promotions stuff, market manipulation. i will say this, for traders that chase headlines and for people out there that are generally our viewers are not just the traders, but long-term investors. don't trade off this news. if you believe th herbalife is a good company-- liz: didn't he say the shakes tasted? charlie: that

in a l-- ackman and herbalife l. ackman writing, by substantially reducing the size of our short position as a percentage of the share float we minimize the risk of so-called short squeezes or other technical attempts by market manipulators to force us to cover our position. some might say ackman's move to cover nearly half of his bet gives carl icahn a victory in a battle that has captivated wall street from the beginning. the first exchanged live on our program back in january. >> we will be proven right or we will be proven wrong. we shorted the stock, we have not covered our shares, we believe in what we -- and we have more to come by the way. we have -- we have some questions the company has given us the opportunity to ask and we will have responses for every issue they raised and their response of presentation to us and what i can thank carl for he helped highlight herbalife and the issues at herbalife and my guess is carl bought herbalife, because that's what someone in his shop leaked to the press and flipped

herbalife has a great model. herbalife actually, you know with all the criticism, you know, it is certainly not a pyramid scheme, in my opinion. and i think it does make work for people that are out of work. i mean it is absurd that it doesn't. it is a way of retailing. why do you have to retail to food stores necessarily? why can't you retail this way. >> i have nothing against it. i drink protein shakes all the time. have you ever had one? >> i had one. i have to admit i don't take them. >> one more question. >> okay. >> you have bill gross and i have every day, a minor one, twitter war. bill gross said something about you should pay more attention to charities than busting chops of apple and tim cook. you came out and tweeted along the lines, bill gross should give monies to charity is i give. i know you're a generous person. we have mutual friend believe it or not. why are you doing this with him? is this -- >> i certainly respect bill gross but it is a little fun. out there telling me what i should be doing

take vo cesar --- bueno, asi como lo escucho, herbalife niega repetidamente las acusaciones y descartauctos son una oportunidad de negocios. --- de acuerdo a la empresa el 80 por ciento de sus distribuidores son latinos... cu tiempo de la primera pausa publicitaria en noticiero telemundo 48 pero al volver take vo cesar --- preocupacion entre los inmigrantes de una ciudad en california ya que afirman que hay indocumentados que son arrestados y deportados cuando llegan a la corte para hacer algun tramite... take vo cesar --- en mexico una mujer es acusada de ahogar a sus dos hijos y luego quemar sus cuerpos... stop sot iban empatados y mi princesa le cambia a su programa. ¿y el de papá? baja nfl mobile. recibe los partidos de las noches de jueves, domingos y lunes de la nfl. exclusivo de verizon. ante la denuncia de que las autoridades, supuestament e estan deteniendo a indocumentados en una corte de bakersfield, cuando van alli para casarse o para pagar una multa. --- sin embargo, como nos dice carlos botifol, las autoridades tienen una version muy diferente de todo esto. take pkg 00:15

de la casa blanca, regreso con ustedes >> gracias claudia un juez federal rechazo la solictud de herbalife reclutando >> en perú enterraron a la mtiad de los accidente, 23 de los 33 residentes murieron cuando el autobús se accidento porque el chofer iba borracho la tragedia ocurrió cuando volvian en un festival y el camion cayo 300 metros por un barranco la fanta de transporte público dllevan a muchas personas amontonarse en distintos pueblos en perú >> enrique peña nieto reitero que la seguridad es una de las principales noticias del gobierno >>s e iagura un foro para que la policía y seguridad rteabajen juntos >> enrique peña nieto reconocio que la seguridad es uno de los problemas que más preocupa a los mexicanos y es parte fundamental de la agencia de su gobierno >>e stamos convencidos de que si es posible lograr el méxico de paz que nos proponemos aclanzar >> en el foro sumenos causas, ciudadnaos más oplicias, el mandatario dice que hay mucho trabajo que hacer y se busca hacer una autentica renovación de los cuerpos policialcos >> la forma en que el crimen organizado se mueve y s e co

well it looks like there's another guy in the news and his company is herbalife now the company was forced to acquire a new auditor because of allegations of insider trading no fault of their own two of a previous order can you tell me about this new herbalife audit and is that something that carl i can look forward to. you know call i can should take a lesson from vic the palmeri that took over crazy and found a bunch of empty boxes ok hedge fund managers that rely upon what it to financial statements of fools now herbalife one of the directors actually bragged that he was going to get that the company would get a clean what opinion from pricewaterhouse coopers that's like a john at a whore house bragging about getting laid with a prostitute we're going to get to that subject in a minute that was sam and star owner of white collar fraud dot com now let's get to today's big deal. ok first and foremost i have to bring your attention to the flashing disco lights of our studio and the emergency warning but we are a boom bust we are going to leave you know we're going to take you to the very e

i should have thrown in herbalife, too. one of the offshoots of that was weight loss. >> management, apple of the company considering worms of capital -- and we will also dig into the apple eco-system. should the social stock be a buy for you. that and much more coming up on "fast." before their gift helped preserve the point... before a credit solution was used to expand their business... before trusts were created for their grandkids' educations... they chose a partner to help manage their wealth... one whose insights, solutions, and approach have been relied on for over 200 years. that's the value of trusted connections. that's u.s. trust. at a ford dealer with a little q and a for fiona. tell me fiona, who's having a big tire event? your ford dealer. who has 11 major brands to choose from? your ford dealer. who's offering a rebate? your ford dealer. who has the low price tire guarantee, affording peace of mind to anyone who might be in the market for a new set of tires? your ford dealer. i'm beginning to sense a pattern

perhaps this should not be a surprise, given the controversy this year over herbalife.but 80% were thumbs down. >> it's a big hedge fund type and we haven't traded very much and it's spooky but 90% yeert to date, i don't like it. >> i don't have any interested in herbalife either. it's developing now what i call a bare flag and when it breaks out of that i'm thinking of putting a shirt on. >> netflix is the last but not the least. 63% were thumbs down. jim? >> i agree. i'm thumbs down, too. it's had a tremendous run over the past few months. to me it seems kind of toppy. i would be thumbs down as well. >> jeff? >> right now i agree with him, thumbs down. but it's been a phenomenal stock. the original content is graining traction. they are going to be on every cable box moving forward. i want to give my thumbs up. >> thanks, guys. appreciate it very much. jeff, jim iuorio, back to you. >> let's take a look at gold and where it stands. up 13, 15, 19. there you see it. a very small move for gold today. sue? >> let's check interest rates because as the stock market has been

you face unthis is something that they really figured out with herbalife.k-cup machines that only take green mountain coffee k-cups. i think the jury is out on that. i would be inclined to lean in a bearish direction. >> no touch in your view. when david gets behind something, i thought this with ackman as well. he is a smart guy. if you have te marety -- >> i thought you were going to go in a whole other direction. let's stick with that. >> you get shorted. >> and check out our website. options action.cnbc.com. not so fast guy. our traders are quick but not always right. >> nobody believes in it. valuation is ridiculous but that has been the latest with the last 30, 40, or $50. i think the stock can continue to go higher. >> that was bad. since the call the stock is down. >> i think it's worse than that. the citron group came out a couple of weeks later and said that they saw a $30 price target on it. i won't use the adjective you want. >> way to go. >> it still has to pass and get president obama's signature? and google set to report tomorrow. swre the tr

bill ackerman calling herbalife a pyramid scheme.it is a pyramid scheme -- the market is saying it is not. liz: what is the difference? >> he never came out there to the market to do what this guy is doing. liz: it is now down 17% after this double interview. this is what happens. >> it is getting dangerous. that is penny stock territory. liz: well, they are trying to get out there. there is an analyst that is standing by. liz: listen, i want all the tips that i can get. i want people to leave stuff to me. i have been watching karl icahn on this whole apple business for months now. it is getting to the point where he is manipulating certain parts of the business media. there are people at these networks -- liz: one of them is not us. he has been on, of course. charlie: think about what he did yesterday. i think it is pretty marginal. he demanded a buyback. why is karl icahn doing this? a guy that promotes positions to basically move up the stock market. ron said i trust tim cook. that was very interesting. right after that, karl icah

. >> we covered herbalife. >> here's the deal, america is strong, china is strong.y. >> and teva, this has been a disappointment. take profits. >> and still no conference call. >> what's coming up on "mad" tonight? >> it's my halloween show. i'm looking at the stocks that came back from the dead in the last few years and they are scary good! there's some scary good stocks on that list. >> does this mean you're dressing up this week? >> i should dress up, shouldn't i? i'll pull that bull uniform i've got or maybe a bear uniform to shock people. i'm still occasionally stopped on the street. you are the latest lennon. if you're unhappy, it your own fault. >> coming up, the speaker of the house and house gop leaders set to talk in a few moments. also a capitol hill hearing on the president's health reform law. we'll stay on top of all of that when "squawk on the street" comes back. ♪ [ male announcer ] staying warm and dry has never been our priority. our priority is, was and always will be serving you, the american people. so we improved priority mail flat rate to give

>> herbalife, right? >> i don't know. it's not herb greenberg, it's herb. >> it's not herb greenberg. this is erb that you're talking about. >> herbalife. >> reported better-than-expected earnings. revenue matched the company's estimates. somehow, i think they're -- it does eventually -- it sold to someone and the people use it, right? i like their candy bars. they sent me some of those. oh, they weren't candy. >> they were protein bars, right? >> yeah. they were good. i ran out of them, though. >> are you looking for more? >> if i had some more, i'd be able to talk more clearly about these results because i'd have more energy. the company boosts -- i like the peanut butter ones, in case anyway was wondering. also boosted its full year forecast and earnings and revenues. missed wall street consensus. the data gave lighter than expected current quarter guidance and that caused the stock to be down. anyway, it's -- working on it. working on it. they're collaborating with cgi, the obama care firm, to fix our charts. no, they

liz: herbalife came out after the bell, they beat on the top and bottom line the stocks down slightlyay but again carl icahn telling you he could be holding this thing for a long time. >> that was the real news on that. i bounce a lot of stuff off of carl icahn. i like carl icahn. liz: can you do the imitation again? charlie: golly. we had a preinterview. that conversation was interesting because i had to leave out the expletives but you know what is interesting, he says it's the way it is, and i asked him point blank about him using the media particularly cnbc and bloomberg. if he didn't like what one guy said, would he go to the other guy? he didn't like what somebody said about him, he had an interview set up and went to bloomberg. he didn't deny it. he said it is what the president does, why can't i do it? i don't fault him for it. i fault them for being played like that, but i don't fault him. by the way, this just goes to show you if you are a journali journalist, you don't have to do kiss up interviews to get people on. as long as you treat them fairly. we gave him his shot. i

herbalife out with earnings. >> let's take a look at the stock. shares are heading higher in the after-market after the company reported earnings per share on an adjusted basis of $1.41. that beats the $1.14 average analyst vichlt going in. very good earnings beat. sales coming in just in line, 1.2 $billion of sales. they also boost their full-year profit forecast. so one big reason for that jump in shares, again, a boost to full-year forecast. separately, they have announced the appointment of dr. richard carmona, former surgeon general of the united states, to its board of directors. an earnings beat, sales in line, forecast raise and former surgeon general is now a board member at herbalive. we'll bring you more details as they warrant. back over to you. >> thank you so much, dominic c chu. apple earnings out any minutes. we'll bring you the results. second day it hit wall street and the tape and while dissect them, get full team analysis and shareholder reaction. >>> also ahead from billionaire to bust. it's a possible bankruptcy. he once boas

david: it may seem like small potatoes compared to everything else we're dealing with herbalife sinkingt had three days of gains. >> ackman obviously had short positions and moving his positions changing them up from equities to puts. david: we have to talk about tesla, we just have a couple seconds. again that is going down. this video is having a lost traction. >> yeah, this was a big story yesterday. transpiring today, tacking on more loss, down over 11% in a couple of days. [closing bell ringing] david: 11% down in two days for tesla. what a day on wall street and inside the beltway as well. let's look at the various indices. dow jones industrials down about 136 points now. it seemed to stablize that level. its up and down depending on the news we're getting from washington. it seems to be about that level, maybe a little less than 1% loss on dow and s&p. nasdaq more than a 1% loss. same with the russell 2000. very busy day and an interview with jack lew, the treasury secretary. "after the bell" starts right now. david: well liz claman, this is not exactly the lead into your intervi

as for his stake in herbalife he has restructured his bet to protect the fund for further paper losseseuced the short equity position by more than 40% and replaced it with long-term derivatives and put options, he acknowledges herbalife is a pyramid scheme and announced a 1 billion short bet against the company by saying it is this big pyramid scheme. carl icahn gave scott wapner a statement saying "i am certainly happy i made the profit. i this his purchase is a judicious one because i believe the company is meaningfully undervalued." we wanted to see how much damage was out there. >> two points i want to make. one is oddly enough if you look in august, he was up in terms of how much money has come into the fund. only by 1% and they're down materially so i don't want to suggest that somehow people are flocking to the fund but in terms of withdrawals not as bad as you would have thought. the best line in the whole letter, i have learned the key to long-term success in investing is balance confidence with mew hillty to recognize when the facts are no longer consistent with one's origina

>> uhhh -- herbalife. >> yeah, starts with an h. >> a electric of a run, as it is with the multilevelarnings squad for this morning. tweet us @earningssquad. >>> coming up, new york state comptroller says problems in washington will hurt wall street profits and new york state's coffers. he will explain why in a "first on cnbc" interview, and that is next. (announcer) scottrade knows our clients trade and invest their own way. with scottrade's smart text, i can quickly understand my charts, and spend more time trading. their quick trade bar lets my account follow me online so i can react in real-time. plus, my local scottrade office is there to help. because they know i don't trade like everybody. i trade like me. i'm with scottrade. (announcer) ranked highest in investor satisfaction with self-directed services by j.d. power and associates. in a we believe outshining the competition tomorrow requires challenging your business inside and out today. at cognizant, we help forward-looking companies run better and run different - to give your customers every reason to keep looking for you.

in the meantime, there is herbalife and masco. >>> pending home sales is about to come out.gton, d.c. >>> carl, pending home sales down 5.6% month to month in september. this is a huge miss. the street was looking for a little less than 1% decline down. 5.6% month to month from a downwardly revised august figure. pending home sales are signed contracts in september, not closings. an indicator of where we are going to see home sales in the fall. lower. pending home sales index, down, 1.2% year over year. this is the first annual decline in this index in 29 months. just over two years. it is the lowest level since december of 2012. realtors chief economist lauren young says declining housing affordability conditions are likely responsible for the bulk of reduced contract activity. he notes consumer confidence and the government shutdown may have played a role in this. the shutdown did not begin until october. so these numbers are from september. regionally, breaking it out in the northeast, pending home sales down 9.6 month to month. in the midwest, down 8.3%. in the south, do

debacle, down 50% or more and his installation of ron johnson as ceo, which hurt so many people and herbalifewin on air products. we'll see how the stock actually does over i'm. but interesting moves on his part. interesting letter. talks a great deal about humility. i'll leave that for others to decide whether in fact he displays any. >> okay. well, as someone who used to short stocks all the time when i had my hedge fund, i am retired, i almost always used puts because the investors, who are your real bosses, were always horrified to know they could have such unlimited infinity risk on the short side. you said don't worry, the shorts i have, i'm using puts. >> to come out publicly to let the entire world know you're short and how much you're short is rarely done. >> i always thought it was manipulative. >> it can be both ways, it can be manipulative, and it can be very constructive when everybody know what is you're short and decides they want to go again. >> a lot of moves today. tiffany coach getting some today. >> a lot of love. we're getting -- this is the backlash. these are power play