larry shover joining us from the pits of considerate of me. larry, i want to talk about a stock we'll talk about very soon, linkedin. they're about to come out with their financials. you have it on the outperform list. why do you think it will do so well? >> i think it has a lost potential. talk about talent solution. that is part after subscription based model for corporate clients. at end of february their subscriptions were 48 you and a half. -- 48,000. they have exponential potential with that model. i like subscription-based model with their enterprise business. that has to be eating away at the competition. i like the fact it is available in china. as you know facebook is not. linkedin is. lastly i like the fact it is very unique data set. i visit linkedin every day. almost prerogative that i will see what is going on in linkedin. i don't have to be attracted. it is already something i do. great stock. has got a lot of upside potential. cheryl: joe, i know you can't talk about linkedin specifically. talk about social media stocks. this ha

larry shover from the pits of cme. larry, i want to start with you. when i talk to nicole, think about what is happening with rates. rates are going down on five-year, 10-year, 30-year, they're going down. is that a problem for treasurys? are traders worried that money is moving into treasurys? >> i mean there is something that traders are worried about that there might be something lurking underneath the surface of why rates continue to to lower. however, we do have to keep in mind that rates in europe are going lower as well. so really, more of an arbitrage trade than anything else. consider the fact that ireland's 10-year yield is about equal to ours. you look at spain, their 10-year yield is only 30 basis points higher than ours. who would have ever thought that a few years ago, in 2011, when the rates were up 7% plus? that said, it does seem like arbitrage trade but traders are worried about it on the backburner, knowing it could be growth or something else. liz: traders are always worried. they're always worried about something rightly so. >> ye

david: let me go back to larry shover if i can. i'm looking at activision, like liking at whole foods. don't mean to keep switching back and forth. whole food is really a big story here, larry. it is really dependent on a lot of things. the food base price which is increasing. food inflation is not included in cpi. should be in my mind. it affects companies like whole foods. then of course the consumer. consumer right now is getting squeezed and may be cutting back on things like quality, paying a premium for food at the supermarket. maybe one of the things that they will have to cut back on? >> maybe. i also think, here's the whole foods story. intensifying competition. there is a lot of wannabes in this space crowding out whole food right now. also whole food is moving to smaller markets. with those smaller markets they will have to lower their price point. i think traders know that. on the other hand, i think, it might be a immediate storm cloud but long term a great thing. if they lower their price point and do move into these s

larry shover, alternative chief investment officer at the cme, larry, before we start with stocks, it to talk about gold because that is way down today. why? >> well, think of it this way, gold rallied 70% between 2008, 2011 and for the exact opposite reason, it's going down. economic data around the global is getting better, but today we to though the ukraine, that whole tension area is getting less tense -- bad way to put it. but really the big reason is that the normalization of u.s. monetary policy will continue to be a cross over gold's head. i'm not surprised to see gold continue to dwindle lower. i still think it's going to be $1200 by the end of the year. lori: chris, do you think that the selloff is indicative of investors having a heavier appetite for risk and that's partly why we saw an equities rally today? >> i think people are getting excited because there's really no other place to invest, we believe. fixed income yields have come down in the big part of the year. we think equities are the place to be. we're looking at new opportunities. we think that the second half i

managing partner with his stock picking strategy and three names to add to your portfolio and larry shover in the pits of the cme. larry, i heard from you early this morning about how things were shaping up. coming up, peter barnes will talk to the new york fed chair bill dudley about bond yields and why they're down. why do you think they're down? >> i think it is for foot trillion reasons. all because of the 10 trillion bank -- neutral reasons. see headlines coming out of europe, half-baked headlines somebody will take action. we know on june fifth the ecb will have to do something. a lot of expectations to make asset purchases. i think that's unlikely. more, i mean could do ltros. they could suspend smp. rate cuts are a foregone conclusion but, david, what this has done, it has create ad great arbitrage where our 10-year yield looks very good compared to ireland. italy is 3%. ireland is at 2.6 etc. it is become very attractive as an arbitrage. liz: we go to what happened this morning before the fed had started speaking, and jason, you had pretty much obvious behavior when it comes to th

trader larry shover of sfg alternatives joins us on this wednesday morning. happy wednesday to you, larry. > > good morning. > > it's a good morning for investors-- another record run in the stock market. how long can this go? > > well as long as we continue to have good economic data like we've had last week and even yesterday and stable housing data which we saw last week and yesterday and continued good central bank commentary around the world, we can continue to ratchet higher-- it won't be linear, but we can continue to grind higher because we are healing. > > what is putting the fear into the oil market? russia came out and said that those gas deliveries likely to continue through europe at least into june, but here we are at $104 per barrel. > > a lot of that was the ukraine. people were worried about what was going on there so we've had easing in geopolitical tensions yesterday's at least perceived, and also we realize that we have a little more stockpiled that we thought last week. it's amazing what can happen in seven days of trading. > > well apple'

trader larry shover of sfg alternatives joins us on this wednesday morning. larry we've already heard from some of those fed presidents that moved the market yesterday. today the fed minutes... what do traders want to hear-- what's going to move the market? > > i think what could move the market is any narrative related to the housing industry because they are going to talk about or they could talk about the fact that we are stuck in the mud and will there be any that, nobody's expecting many fireworks from the fed. > > the treasury did see some fireworks yesterday. tell us what happened there, and what to anticipate for today. > > yesterday yields got down to 251 let's keep in mind a lot of this is arbitrage opportunity. our yields are looking very attractive when you consider ireland's at 2.6 and italy's at 3% our country's in better health, our rates are just a better deal. so with that said june the fifth when the ecb speaks people are waiting for them to take action that might be the end of the bond rally. > > we do have some housing economic data coming

joining us now is larry shover of sfg alternatives to break down this market action for us. good morning larry. >>good morning. >>we have the jobs number coming out today but there are lots of mixed signals in the market coming from treasuries, equities and even oil. what are you watching? >>i'm watching all 3 actually. especially when you look at the yield curve. right now the 10 year yield 2 spot 61. the yield curve is flattening . that means the difference between the 2 year and 10 year is compressing. that means either there is a lack of inflation or lack of growth in the market. it's disconcerting to me for the stock market. when it comes to the equity markets, i do believe the headlines have been good but there tends to be this continued rotation from value to momentum then momentum back to value. nobody knows what end is up. with oil we've seen wti blow $100 a barrel. again, that's great for the economy however how far is that going to continue? all these things are driving the market right now. >>with that battle between momentum and valuewhich way are you going? >>i'

trader larry shover of sfg alternatives joins us now to talk about the record levels in the market. good morning to you. what are you eyeing? > > right now i just continue to look at the broad market and you look at the differences of what's going on underneath the surface. we see yesterday the s&p kept bumping up against 1900 and right now people are just wondering what's the next move? what industry's going to take us to the next step? it's really hard to figure out. > > oil is on the run, what's prompting the oil run? > > yeah yesterday we saw 1 percent up movement in wti. i think from today people are looking for the inventory report to come out for another draw down like we saw last month. so right now it's people getting ahead of what they thinks going to be true today. > > we have earnings coming out for macy's and nordstrom j.c. penney kohl's this week. will you put on any retail plays? it looks like the options market is mostly bearish on all of those stocks except for j.c. penney. > > yeah it's funny the one stock i really do like is macy's. i think their cash position is

larry shover of sfg alternatives joins us on this wednesday morning. what do you think? will janet yellen, the fed chair be a market mover today? >>i don't think she'll be a mover today. she's got two days to speak today. thursdayi do believe she understands that the market is just depending on her to stabilize the marketand i think that's what she'll do. i don't think she'll reiterate anything other than we're data dependent, we continue to watch the inflation and jobs reports. >>disney had earnings report last night that topped expectations. will that move the dow? >>i think it will. that was really nice to see them beat on both ends. the market was really looking forward to that. talk about a company with it's finger on the pulse of the consumer and something so hard to quantify or qualify. a lot of good thingsi think the only downside with disney is the volatility and ratings with abc. but definitely could move the dow today. >>we had a rough go of it on tuesday with the stock market. what are some of the biggest losers of this market? >>right now it seems to be soci

mark newton and larry shover, mark, what's sucking the life out of the market?sn't been arable to hold the gains -- hasn't been able to hold the gains, it's all about the russell. the russell started down about two hours ago, and the rest of the market followed suit, so now we're down about 1%. set april lows on a closing basis, so that's interesting. and, you know, it continues to be a very defensive trade. the only two sectors that are in the green, telecom and financials. telecom showing great strength and, obviously, some additional strength from at&t and verizon. and, you know, utilities and energy which have been the best performers really over the last few months are today's laggards. melissa: yeah. larry, i mean, we're going to the flat line on the dow here. i'm watching it fade away. feels like we're going to go negative. what do you think has taken the life out of the market today? >> i think it's just a lot of rotation consolidation, but people are also growing weary, that little utterance about the council is comfortable in acting next time. what's t