rick santelli in chicago.e back jane wells showed off ugly sweaters near the top of the hour. but that was just an appetizer. jane is he saving the best for last. the ugliest of them all. i don't think it's that one that's being held up on the screen but you will find out after this break. "squawk alley" will be back in two. . >>> it is the holidays and all morning long jane wells has been showing her ugly sweater collection. back with the best of the best or worst of the worst. actually fascinating business. you got more? >> it's a tough call to pick which is worse, carl. by the way, someone just called here, they want to run over and get that yellow hanukkah sweater. let's roll the tape. if you've watched over the last hour you've saw me reveal four sweaters, the $45 santa from ebay, the $48 cat sweater from here, the $35 y2k cardigan and so far the $60 lit up hanukkah sweater. this is five. pretty ugly, pretty cheap, $35 at a thrift store. safety pins i don't think so. the worst of the worst, it's not just

rick santelli is tracking action. what kind of grade is it going to get? >> this is one of the better options. b for boy on this auction. let's go through the inturnles. it's not really a ten year auction. it is the first reopening of the yield of the 21 billion, 2.214. the one issue market was trading 2.215. the best bid to cover 2.97 since december of 2012. we also had one of the best indirects at 53.8 since december of 2011. where is the fly in the ointment? third lowest going back to august of 2012. all in all it really was a solid auction and tomorrow will be the finale with 13 billion 30 year bonds. >>> we will bring back kate kelly to continue the discussion on insider trading. brian sullivan who is not a lawyer. he doesn't pretend to play one on tv but does have a law degree and michelle caruso-cabrera who wrote about why insider trading shouldn't be illegal in her book "you know i'm right." >> i love the stars. look at that. >> let me start with you, ron, if i might. what is your reaction immediately to this decision today? >> i think it has broad

we'll get to rick santelli for that. rick? start out with the freshest data, december, richmond fed, comes out at 7, as expected. now let's go to november, new home sales, we're expecting 465. 438,000, last month, revised down from 458 to 445. which should make it down a little less than 2%. how does 438 figure? i'll give you some statistics. you know, 459 is basically the high water mark for june of 2013. and the last time we were over 1 million was november of '06. now let's look at november income and spending. very close to expectations. income up 4/10, spending up 6/10. both of those originally released at up 2/10 last month for october. they both now stand at up 3/10. so pretty good. we like to see the spending, but see it fueled by income. spending did outpace it a bit. if we look at the deflatteror, n 2/10. i'm at year over year in october. interest rates still can't get to 220, even though, of course, the dow is passing out 18,000 hats. back to you. >> thank you very much, rick. so there are two main headlines coming

but first rick santelli. >> pension benefit guarantee corp. happy birthday.nd put into law in 1974. so it's 40 years old. how is it doing? that is the topic of today's santelli exchange. and if you want to find out if it's healthy, do you know -- robot butler, can you shut the shades? oh and could you turn on air conditioning i'm starting to sweat. i'll just do it myself. useless. that's nice. set's the mood. have your entire house within reach, even when your devices aren't. introducing relay by wink it's like a robot butler, but not as awkward. i research. i dig. and dig some (trader more. search. 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. when electricity is generated here's awith natural gasu: instead of today's most used source, ho

. >> bond pits, rick santelli at cme in chicago. rick? >> good morning, carl.we see five-year unchanged. we see the two-year virtually unchanged. long end yield's up, most likely some of the curve flatteners coming off. start at short end, two year, we have a two-year auction today. one issue markets getting closer and closer to maybe 70 basis points. if you look at old guy, currently trading, it's hovering around 64, open the chart up to two years, we're in a zone. i mean, friday we turned a whisker higher. but since spring 2011 for the short end. as i said, though yields unchanged, there has been more sticky selling the closer you get to the short end. if we look out to tens, whether it's one day or two day, yes, we've seen yields move a bit but not all that much. best context to look at it in terms of october 1st, with complete acknowledgement that mid month we had what was probably the most important session of the year, some will call it akcapitulation. 214 close continues to be, most likely will be, something focal to the market as we get close to year-en

back to rick santelli. >> a lot of volatility yesterday.e could talk about what numbers move markets. if we are talk what fundamental gets a lot of volatility in a short period of time? it's central banks. yesterday the fed. look at a chart starting on december 1st for two years. we'll start at the low end of the curve. yes, we had a lot of volatility in 2s, we had a higher yield close on december 5th. if you take out that 65 variant you would be looking at april 2011. look at 5s december chart. higher at 1.68 on the 5th considering the yield curve implications, open it up to september this year. you can see there is a lot more action there. the comps, if you're looking at the long end, you can start comping way back. not so much with respect to bouncing or higher yields. ten-year, let's go short term first. look at the two-day. the two day cover from yesterday's low yield to today from 2.04% to 2.21%. not many numbers do that in a short period of time. same for boons. they move from around 66 basis points to 63. one of their bigger moves.

when they do. >> when they do. >> if. >> thanks. >>> regular viewers know when we cross over to rick santelliit, if you missed it, rick was on "meet the press" over the weekend. >> what say you on the bhee? >> it's great improvement. we've come a long way. let's not get too happy about six-year cures for two-year flus. we've been long out of the recession, people aren't cheering. we had good wage growth. that makes that legit report? >> leisure most hiring but represent the smallest percentage of the wage growth. that's the problem. >> the santelli exchange. roaring performance, rick. >> thank you, simon. listen, we're all bragging about the numbers we receive on the economy. but the real issue is, many surveys continue to point many people don't feel as though the economy's doing that well. it really is how the pie is sliced. we'll continue to make progress. but i think we need to concentrate how to make faster progress. to that end, maybe one of the issues credit. i'd like to welcome chip dickinson. thank you for taking time this morning. >> thank you. good to see you. >> pursuant to what's

let's get to rick santelli and the santelli exchange. >> i was going to talk about a o couple thissivethings. feeder cat. five limit days in a row. why not expanded limits innage emergency meeting yesterday the exchange did expand limits. feeder kalt are trading. it's important to clear out the zone. second topic we need to hit on. down gradys venezuela's idrs to triple c. that's important. think oil. but being a real time show i want to talk about what's going on with sony and what's going on with the int view. i'm not a big fan that government can do everything and i think yesterday's fed meeting really does show us central banks are one of the most important fundamentals for equities and i just don't think that is the way it is supposed to be. the government does have a role in personal freedom. it needs to protect our personal liberties and i don't know about what eowhat happens with sony and "the interview"takes our rights away. we're not going to have a right to see things that express other freedoms on free speech and see things that are a little dicey or a little dark. that is

. >> rick santelli, what are you watching today? >> we're watching the two faces of the u.s.at least represented by today's data points. of course i'm referencing what's going on with november durable goods and how that was completely the opposite look that we had on our last look at third quarter gdp. we'll reconcile the data points and think about what energy may mean for 2015. all after the break. snoom coming up. with the dow breaking through 18,000 for the first time. how far can stocks really run? and plus value investor reveals his favorite stocks for 2015 and an exclusive interview with nick tiller. where does he think oil is going to go next? and how should you play it? we'll find out in about 20 minutes. >> thanks a lot scott. let's goat to dom chu. >> the coca-cola company, plans to cut about 2,000 jobs global in the coming weeks. co-rg to dow jones. the moves are part of a plan announced in october. currently shares up about 1% so far. >> thanks dom. one of the lessons emerge flg the sony hack means that just because you deleted the e-mail from your indox does not

rick santelli. thanks. and we're moments from president obama's historic announcement regarding u.s. relations with cuba. that is happening live and we'll take you there as soon as it happens. "squawk alley" will be back in a minute. the conference call. the ultimate arena for business. hour after hour of diving deep, touching base, and putting ducks in rows. the only problem with conference calls: eventually they have to end. unless you have the comcast business voiceedge mobile app. it lets you switch seamlessly from your desk phone to your mobile with no interruptions. i've never felt so alive. get the future of phone and the phones are free. comcast business. built for business. >>> u.s. and cuba set to begin normalizing full diplomatic relations and it could mean changes for u.s. businesses and consumers. what can we expect now that u.s. credit and debit cards will be allowed in the country? it is a galvanizing issue. and just because these companies can open bank accounts and can open new credit cards

rick santelli, what are the next levels to watch?t comes to oil, you know, anybody who looks at a 10-year chart of oil, only two spots to pick. 40 or 60. it isn't whether you hit them on the dime. it is about what the mean of trading will be pricewise two months from today. the mean closer to 40 or closer to 60? that's the way to look at it in my opinion. i'm going with the latter. i think 60. does it mean we can't trade 54 or 52? of course not. the real markets pricing on a mean over several month basis, once this bottom is found is very important. but you know, i had an epiphany eating my six mcnuggets. >> dipped in barbecue sauce. >> i love them. i'm sorry. my epiphany businewas i think i understand why the world is down on the energy. i think it's a death knell and a perspective that we have when we now look at it through the lens of many that are of course so sensitive to the fact that we have, you know, 400 parts per million of co2 in the atmosphere. >> listen. so many of -- one of the points overlooked is extent to which posit

. >>> first, rick santelli, what are you watching today? >> we're looking at two things.of course, is thursday ecb meeting. what are we going to hear? and will it be enough? but the second issue is, we're now well under 220 in ten-year note yields, but some have moved up today. we're going to talk about that and more right after the break. >>> it is coming up, the fallout from plunging oil. is the six-week rally in jeopardy because of the continued drop in crude? unexpected nachls are falling. we have all the trades coming up. >>> we are live in the one place feeling pressure from falling oil. plus, one 0679 biggest bulls on the street. morgan stanley's adam parker is here with the surprising sectors he says to buy in 2015. >> sounds good, scott, thanks. >>> let's get over to the cme and get the santelli exchange with rick. >> good morning, carl. i'll tell you this thursday is going to be important as many ecb meetings are. let's call it for what it is. bigger placebo, please. great set of sentences in an article in the wall street today. written by simon nixon called "23

we were getting an auction of seven years today and for that we turn quickly to rick santelli of the paper moving of the year. and we're talking about u.s. treasury securities. 29 million seven year notes just hit the market five minutes ago. early because of the early close t. not a pretty auction. i gave it a d plus. very strange. the yield 2.125. the when issued high yield and bid was 212. so higher yield, lower price. not a good scenario. here are some of the negatives. -- 2.29 to cover. the one bright spot, the indirect bids at 56.5 was also the best since the end of 2010. all in all not a good auction but we did move the paper and supply is going to be a big issue next year unless rates keep doing what they are doing the last couple day, moving higher. >> thanks rick. back to nick bilton. as, you know, twitter it's not been a great year for the stock. now we've got very prominent analysts saying costolo's tenure is limited what. do you think? >> first i feel bad for any ceo's whose company stock goes up when there is talk of him leaving the company. that has happened with micro

bob pisani and rick santelli in chicago. looks like the stock market is liking what they heard. >> look at the s&p. we moved up eight, nine handles on the s&p on this news. the key one as you heard from steve there the fed can be patient and beginning to normalize the stance of monetary policy. a great move there they kept the considerable time in there. that's only one of several things i was watching. on the first paragraph on the economic commentary i continue to see comments that the economy is improving, under utilization of labor resources continues to diminish. third thing, did they say anything about foreign risks or try to introduce that or concerns about what is going on overseas? saw nothing at all in that. fourth one is comments on the inflation. it was interesting to see them call the effects of lower oil prices transitory in nature. look what we have here. they are patient. the economy is clearly improving. they don't have comment on foreign risk. energy drops transitory. we have long-term rates remaining low f

rick santelli tracking the action at the cme. what is the demand like so far? >> the demand is what we grade and this demand came in a little above average. we gave it a c plus. internals. the yield at auction 0.703. the offer side was 0.705. the bid to cover at 3.21 was a little light. 35.7. a little better than the average. 14.5 a little worse than the average on direct. dealers took a whisker under 50%. c plus tomorrow and on wednesday an early option. >> thank you so much. now more head winds and tail winds as we close up the year. earlier on squawk box had this to say about the global ripple effects on stocks and commodities. >> i think the slow growth overseas is good news for the u.s. >> why? >> it keeps interest rates low. it keeps commodity prices including oil low. that more than offsets the weakness that comes because we can't export more. i think the weakness overseas is good news. >> let's talk more about the year end of the markets. want to hear more from chief market strategist. janua gentlemen, welcome to "power lunch." how are we looking at yea

let us bring in rick santelli. >> don't forget the japanese yielding 39 or 40 basis points. to interrupt. >> they have been yielding that for a long, long time. >> there you go. i put it to you, rick. thinks the yield down to 1%. what do you think? >> once again i have said it many times on your show i'm not going to question the success of very, very great trader. my opinion is that the price of commodities always moving faster than their influence within the economy. so the drop in crude is creating a lot because of the big liquidation trade. i have seen a lot of those trades. the benefits to the economy are going to take much longer to actually show up in the economic data. i do think there is lots of winners here because we are not just talking about gasoline. in many ways we are talking about energy. i think the technology and how low the pricing will go and be profitable is under estimated. on your list that you were talking about one thing i see solar and wind. can't say they will be hurt. they were never profitable without government subsidies. it is like the tesla. g

rick santelli at the cme, what has demand been like? >> the demand on this particular could have been better. the grade on demand d plus. 35 billion five-year notes. yield at auction 1.739. the bid offer on one issue market was 1.73 bid offered at 1.735. it definitely tailed a bit. if you look at the bid to cover was on the light side at 2.39 versus ten auction average closer to 2.80. 58.7 was a little different than ten direct but that is it. d plus, 35 billion. last supply of the year 29 billion. note the time 11:30 eastern due to early market closes for christmas. back to you. >> so we weren't kidding. it is a busy hour. let's send it to dominic chu for a "market flash." >>> we are watching shares of smith and nephew. the stock is soaring on a report that stryker is planning a bid for the company. smith and nephew up by about 10%. stryker up about 2% off session highs. bid deal possible maybe in the medical devices space. >>> let's get to the milestone for the markets. the dow hitting 18,000 for the first time ever being fuelled by a

rick santelli has breaking news. >> thanks. your timing is impeccable. factory orders down 0.7. we were looking for unchanged. last month down 0.6. how does that stack up? better than the stair i'm standing on. we had minus 10 which was a record. we had plus 10.5 a record in the other direction in july. those durable goods did the same thing. as this stands, this isn't a great data point. it is fourth quarter. we did earlier, but it got lost in the shuffle. a little bit larger trade deficit for the fourth quarter october 43.4 billion. we want to factor this in as we move on and try to figure out what the gdp is going to be after that very good jobs number. sara, it's all yours. >> that certainly is going to steal the show today. thank you, rick. let's dig deeper into that and today's jobs report. steve liesman is back at hq. with that number, steve, it's becoming harder for the haters to have doubts about this labor market recovery. >> it's like standing on the beach after they signalled the warning on a tidal wave coming from overseas and the tide doesn

back to you. >> thanks so much, rick santelli. >>> starbucks upping the ante. we'll fill you in on the latest rollout. she's still the one for you. and cialis for daily use helps you be ready anytime the moment is right. cialis is also the only daily ed tablet approved to treat symptoms of bph, like needing to go frequently. tell your doctor about all your medical conditions and medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain, as it may cause an unsafe drop in blood pressure. do not drink alcohol in excess. side effects may include headache, upset stomach, delayed backache or muscle ache. to avoid long term injury, get medical help right away for an erection lasting more than four hours. if you have any sudden decrease or loss in hearing or vision, or any allergic reactions like rash, hives, swelling of the lips, tongue or throat, or difficulty breathing or swallowing, stop taking cialis and get medical help right away. ask your doctor about cialis for daily use and a free 30-tablet trial. dad:

joining me with rick santelli. amy walter, john stanton and kaseem reed. welcome to sunday, it's "meet the press." >>> good morning. it has been another week with headlines don't natured by an angry reaction to a grand jury decision not to prosecute a white police officer for killing a black man. last week the story was in ferguson, missouri. this week, new york city. the grand jury's decision not to indict daniel pont lantaleo, wh eric garner in a chokehold which led to his death brought thousands to the streets. what was different was even as they demonstrated, politicians from across the political spectrum came together to condemn the new york decision. >> what do we want? >> justice. >> when do we want it? >> now. >> mr. garner's death is one of several recent incidents across our great country that have tested the sense of trust that must exist between law enforcement and the communities they are charged to serve and to protect. >> i asked them, what do you want? what is the point? they said they want accountability from the nypd, from the prosecutor

first, rick santelli, what are you watching today?ennials gave me santa lists certainly seem materialistic. we will have to put that under review. flat the big trade in 2014p. will flat be back in 2015. tune in after the break, we will go into whether you should be asking for a flatter curve or flat screen from santa this year. this is a burrito made with chocolate, soybeans, and apricots. what kind of chef comes up with this? a chef working with ibm watson, on the cloud. ingredients are just data. watson turns big data into new ideas. and not just for food. watson is working with doctors and bankers to help transform their industries. today there's a new way to work. and it's made with ibm. >>> coming up mark fisher with us on the best trades to make in the worst performing sector of the year. bob peck gives his best ideas for 252015 and prediction for twitter as well. a new social media site on the block that pays users to post. can they disrupt facebook and instagram? we asked the founder all examining up in about 15 minutes time.

check in with rick santelli. hey, rick. >> hi, carl.g rates revisit the crazy november and we closed 28 basis points. the interyield of 187. the settlement was 214. the two-day chart the real catalyst was the early close trade friday pushing yields on that ten year below 220. indeed, they're close to unchanged right now. but they r hovering. open the chart up at six-week lows having settled at these levels since the day after that 10: 10/15 -- i called it the capitulation. we last saw a close of this magnitude. open the chart up to may of 2013. i see we're under 290. virtually unchanged from a 30 year as well from that early friday buying spree but now these are 18 month low yields for 30 year bonds. we talked about the spread holding at 50. that seems to be right about the differential. i'm over simplifying. look at the spread. spread is lost four basis points since last week. it's not at 150, it's at 146. boon yields are virtually unchanged at 170. a quick trader on the floor said i'm looking for 66 basis point boon because i don't th

let's get to the bond pits and rick santelli. >> we could argue about fundamentals.argue about the whys. the one thing not debatable is how traders have been right on top of what's going on in interest rates. they clouded, they don't look through political glasses. they just look at the charts and look at the major stories. the major story today obviously is china and european rate. look at one day and two day of 10s. we are doing a beeline. we talked about this 214 level that closed below the market from october 15th capitulation. keeps drawing the market down because of the spreads between the bunds in europe. they are right back to guess that magic number, about 150 basis points. if you open the chart up to mid october, you could clearly see what i'm talking about. if i took the name off this chart and it was a stock, would you buy this chart? probably not. those are rates going much lower. you would buy the face value, but not the rate. if you look at china, we talked about it. look at a two-day chart. this is important. all markets we paid more attention before

and not next to him but in chicago is rick santelli. yes. when's next to you, rick? i don't know. kenny p, put the market in perspective for us. you guys on the floor you trade stocks on, you're watching oil trading a few blocks away here. aren't you? >> you know what? there's not -- everyone should understand there's not a sense of panic, not a sense of the oh my god this is the end at all. there's pressure on the market for you. oil is absolutely the story. the fed next week is going to be the story. europe is the story. all these kind of, you know, conflicting stoirl that is are going around the world just giving everyone an opportunity to jump on board now that, you know, the oil's really prompted it and then all the other stuff to pile on. it feels like the s&p wants to test a 50-day moving average and probably should. >> where is that? >> 50-day moving average on the s&p could be 1999. got to shake it out. right? shake it out in order to get rid of the weak links and then allow the market to once again begin to build. >> meg green, you say volatility is great for you finding

and first rick santelli, what are you watching today? >> what everybody is watching of course. the jobs report. is it perfect? no. is it better than expected? oh yeah. it definite was. we're going to discuss why the treasury market move wasn't more exaggerated and what that may mean down the road with regard to interpreting the weakness in europe. how could a luminous protein in jellyfish, impact life expectancy in the u.s., real estate in hong kong, and the optics industry in germany? at t. rowe price, we understand the connections of a complex, global economy. it's just one reason over 70% of our mutual funds beat their 10-year lipper average. t. rowe price. invest with confidence. request a prospectus or summary prospectus with investment information, risks, fees and expenses to read and consider carefully before investing. right now, you can get a single line with 3 gigs for $65 a month. 3 gigs ... is that a lot? that's about...100 app downloads, 45 hours of streaming music, and 6 hours of video playing. (singing) and five golden rings! ha, i see what you did... (singing) f

and it's reflected across the board. >> let's go out to rick santelli and get a check on the bond market>> not often you can look at a three year or into ye two year chart and see an auction result. still down a couple basis points from settlement, but it was an average auction, a bit of a nervous feeling in the treasury market. maybe they're starting to believe that the fed will raise rates in 2015. if you look at the two day ten, you can see the same move. but still well below the bulk of trading yesterday. and everybody is talking china, let's focus in on the fx relationship. here is the 24 hour chart of the dollar versus the chinese juyua. you can see how quickly it has moved there. back to you. >> thanks, rick. oil prices stabilizing a bit after crude hid a new five year low of $69.29. oil still down more than 30% over the past three months. but that isn't stopping some of the big banks from cutting checks for energy deals. risky move or not some we'll talk about that when we return right after this. robot butler, can you shut the shades? oh and could you turn on air conditioning i'

rick santelli here. and robert goodlocke, congressman republican virginia.welcome congressman. >> good to be here. >> at 1:30 eastern today you are holding a hearing. can you tell us what is on the docket. >> this is on the president's unconstitutional power grab with regard to legalization of millions of undocumented immigrants who are in the united states and wie'll have constitutional scholars there to testify. the president himself claims to be one. and there are nearly two dozen instances where the president himself said before he took these actions that he didn't have the authority to take the action. so that will be the focus of the hearing. >> congressman, you said unconstitutional. and i guess there has to be some debate there. because it seems, you know, i have all these memos from homeland security secretary johnson. pretty much all is going to go into effect, most of it, january 5th. one question, issuing guidance. i tried to read them all. very hard to understand. i think the issuing guidance part is going to be rather significant. can you elabo

rick santelli's in chicago. rick? >> all right. go, november industrial production, double expectations, up 1.37 if we look at utilization rates, they are also significantly better than we looked at. and they leaped a handle, now at 80.1. granted, we normally look for revisions to maybe mean revert, not necessarily the case on utilization. moved up from an originally released 78.9, now 79.3, mean us in one-tenth on production, moved up to 1.10. looking at october, november, production numbers firmed up following a weak manufacturing, first november number, week sense january 2013, last went negative. and, we're still going to have tick data and housing data to come. but at this point, look for stocks to be rebounding and interest rates to follow that move up. carl, back to you. >> we'll see you for home builders sentiment in a little while. >>> we'll get cramer's "mad dash" count down to the opening bell after trading gets under way, live interview with alcoa's chief klaus kleinfeld. dow futures up about 100 points. for trading nev

rick santelli joins us from chicago. rick, i hate to pick on you. i'm not but you have been asked about it all day and here we are 5% gdp in the third quarter. unemployment at 5.8%. and fed funds rate still at zero. i got to get your first blush or maybe it's your tenth take on it by this time of day through all of this here. >> well, even, you know, if we look at the third quarter final at 5% of realized that if you average out and assume a 2.5% to 3% fourth quarter we are still under 3%. for the year. and it's like a football game, bill. you can have a good or bad quarter and about who wins the game and there's definitely improvement there. but when you think of the idea and so many of our guests say it all the time. why would the fed want to raise rates? you know, inflation pressures aren't there. why would they do anything? misappropriating capital. we are creating bubbles for future agony and worry. it's just a no-brainer that zero is too low. that doesn't mean we have to go from zero to 4%. maybe a couple of quarter-point tightenings to give t

. >> cautionary tales with rick santelli. the dow now up 200 points. s&p up 1%. nasdaq up 30. thinking about htaking this speed test from comcast business. oh yeah? if they can't give us faster internet or save us money, they'll give us 150 bucks. sounds like a win win. guys! faster internet? i have never been on the internet and i am doing pretty well. does he even work here? don't listen to the naysayer. take the comcast business speed test. get faster speeds or more savings, or we'll give you $150. comcast business. built for business. >>> as kayla said before the break. massive interday swings in the market. dow up 200. we were down 9 early in the morning. ti ar t tiacref global marketing strategist. is this feeling like a bottom to you? >> well you know hesitant to call something like that. but the thing to focus on is on one hand you have markets that go into a bit of the irrationality. which explains more what we've seen over the last couple days. if you look at the fundamentals if for u.s., even europe and equities you know the fall in oil is positive. so even with the

rick santelli, you said yesterday you will go see it. you can stream it now. >> no we're going to the theater. we are going to definitely go to the theater to see it. and whether it is a good movie or another lone ranger move, almost doesn't matter yeah i want to go see it. >> pat how about you. >> >> i'm not going to go see it but this reminds me of the new coke. a big mistakes that turned around and turned into a whole bunch of other things. so it's turning into sony was being beaten up and now they are coming through and looking sort of like heros here. a good pr effort on their part. >> i think it is going to be very interesting to see the impact on the streaming business. a first run movie like this. very front rage. >> there you go. >> this will open up avenues that haven't been opened before. don't you think? >> i think so. and necessity is the mother of inventi invention. it is a calculated risk but i think it potentially redefines how movie theaters and streaming interact going forward. a think a lot of studios are going to watc

rick santelli. we got pressure all across the energy complex.deangelis. >> we're looking at oil prices lower today after what traders are calling a dead cat bounce yesterday to upside. we're seeing wti at 55.65. just two pennies under that. a very key technical level to doumpbsi the downside. a big build in inventorienvento. at the same time, rick is talking about that dollar index potentially going higher. and traders are talking about that as well. when fresh money comes into this market in the new year and the dollar strengthens, we do think, traders think, that these oil prices are going to go down. to bob's point, not necessarily going to stabilize here at this 55 level. i want to point out that brent is trading over 60 and that gas prices ahead of the report today down as well. a lot of this energy news still good for the consumer. back to you. >> thank you very much. when we come back, we'll talk with two independent theater owners who have decided to show sony's film "the interview," which opens in limited release tomorrow. in the meanti

our panel of pros including steve liesman and rick santelli hash it out next. >>> also, ahead, president obama speaking out on sony's decision to cancel the release of "the interview." >> i'm sympathetic to the concerns that they faced. having said all that, yes, i think they made a mistake. >> a mistake. we'll get reaction of what the u.s. government should do next. plus, china, cuba, russia. none of the above. where would you rather invest in take part in the live poll at cnbc.com/vote, the results and pros weighing in after the break. >>> welcome back. keeping a tight eye on the s&p 500 two points of going out on a record high. we are slightly off the highs of the day. oil prices have moved a little bit higher. there's speculation as to why that's happening. might have knocked a little bit of wind out of equities. still a pretty song session building on a strong two before that and president obama defending his decision to take steps towards normalizing diplomatic relations with cuba today. john harwood at the white house with the latest. hi, john. >> reporter: hi, kelly. the decision

to the bond market where we find rick santelli. >> many of you are surprised it held up as well as it has. look at the two-day chart of tens. yesterday we touched a bit below 2.15. here we are at 2.27. if you open up to the 28th of october all is pretty much in front of you there. we had 28 sessions between 2.30 and 2.38. you will find yield resistance at that level. if you look at a two-day of the spread it narrowed rather dramatically yesterday and that contraction gave a signal it is about watching that spread. the last chart as we get closer to thursday's ecb meeting seems the euro is running out of gas. >>> let's go to dominic chu. he has a market flash for us at this hour. >> let's call on the gold conversation. that drop in gold prices is weighing on the gold mining stocks. we always talk about the major ones out there as they move lower as they are more levered to the price of gold. as gold prices start to hover gold minors are taking a bigger hit than gold itself. >> thank you. move over batman. you are going to look at the new high tech way to maybe deter crime. microsoft ha

rick santelli tracking the action at the cme. rick?well, tyler, if you look at a one day and two day of tens rates are a bit elevated but not a lot and still hovering near some low yields going back to the spring of 2012 or excuse me 2013. you go back to 2012 for the 30-year bond. what is fascinating is parallel shift all rates up about four basis points. and if you look at how the dollar is going into this fed meeting and a lot of issues regarding the dollar, the ruble you see that since early november we are hovering close to the highest levels since april of 2006 but we have consolidated. so has the euro and so has the yen. you want to pay particularly close attention to the big areas. 1.24 handle euro. >>> ahead in ten minutes time another story you see only on "power lunch," body cams for police. we will show you exactly what they look like, what kind of money is being spent on them and which departments are early adapters and how this technology is changing both how we fight crime and how we deal with accusations of brutality aga

rick santelli. oil prices, meantime, having trouble getting back above 68.kie deangelis. >> that's right. we're edging up higher on both sides of the atlantic. right now west texas intermediate, 67.47. this is ahead of the department of energy report on invest stories coming out at 10:30. what we do know is the api report came out last night. we got a draw down of 6.5 million barrels. that was significant considering the fact we've been seeing builds for the last few weeks. that's probably what's pushing these prices higher. expecting to see a little bit of a build. that seems like it may not happen now that we got this api number. meantime, i want to talk about brent prices. just over $70 a barrel. there was some news that the iraqis and the kurds have struck an agreement in terms of some of the oil fields there. you're going to see probably production in iraq increase a little bit. of course, this is amidst a backdrop of global supply situation where we do have a little bit of a glut here. that probably long term is going to put some pressure on brent's cr

kenihand joining us and thomas fross, lee drogan, renee norris and our own rick santelli who rocked it yesterday on "meet the press" with chuck todd. well done, ricky. let's get to the conversation right here. >> thank you. >> thomas, to you first. so we have this really good jobs report on friday. and then you have this continued drop in crude oil. how concerned should we be about this drop in crude that doesn't seem to want to stop? >> well, we're not concerned at all. let's put in it per suspect i. you look at 2008, summer of 2008 through the fall of 2008, oil prices dropped almost 80%. right now -- >> and the economy was fine. >> and when you add to it people are going back to work. you have people going back to work. making a higher wage and spending less money at the pump. how could that be a bad thing? we think that's a recipe for good things long term. >> not necessarily a good thing for the stocks that are most at risk if oil keeps falling s. that in part why we're seeing the stock market sell off today and how concerning could that be if it continues? >> it certainly is a rea

rob martinstein, dick burrage, jeff reeves, lindsay pegzia and rick santelli. lindsay, any soft spots many what appear to be a gangbuster report today? >> it was an impressive report and as of late the market has been applauding relative improvement with the plus 200,000 numbers. this is the first report in months to show outright strength. now, of course, we look at the report, a month is not a trend and talking about the tresh hold for rate us creaincreases, we n several reports in line rather than one every six to nine months and the hawks at the fed use this report to bolster the argument for near term rate increases. the doves still make their argument because even with the .4 increase in average hourly earnings, wages are stubbornly low since the end of the recession and the augmented unemployment rate is still nearly double. so it was impressive and no immediacy here in terms of monetary policy. >> rob, i was going to pick up on the point of this bringing forward the timetable maybe for the fed to raise rates. are you surprised that the market's up today

rick santelli in the bond pits. gdp 5%. do you think this is really a 5% economy? >> no, i donot but we can always hope. my chicago bears weren't very good this year but every now and again one of their four quarters would show definite improvement in play. the zero hedge has been riding. awful lot of consumption. americans dug into their savings but there are questions as to that dynamic. if the questions are correct you will see some strength mitigate. no doubt it was a good better than expected revision on our last look on third quarter gdp. no matter how you slice it we had minus 2.1 in the first quarter. we had 4.6 in the second. 5% in the third. even if you are between 2.5% and 3% in the fourth quarter you are somewhere between 2.5% and 2.7% for the entire year. we are still on an annualized basis. under 3% economy. i think now that we are -- the one guest you had said seven years of bull market, march of '09 the bull market started. six years since zero interest rate policy. i hope we can change gears into a 3% economy soon. >> thank you very much. >>> let's

. >> rick santelli in chicago tracking the action at the cme. >> indeed crude oil is center of attention and hard to define how much. one and two-day of tens shows you we continue to stabilize just under 2.10 in terms of yield. we continue to hover right around the lowest yield closing since about mid 2013. if you look at a two-day of dax this is interesting. it seems as though even with influence of oil it was really when it traded under its lows friday that it accelerated to the down side and pound versus dollar look at this long term chart. why is it important? because we are hovering so close to the lowest levels in 15 months at 156.35. we all know speeches about how the uk most likely is going to be in the same fed direction, monetary policy as the u.s. tyler, back to you. >> thank you very much, rick. >>> first live television interview since leaving pimco. the full interview basically an hour away on "street signs." "street signs" starts in about 26 minutes. brian is going to stop by and join us for a preview after this. look, i love the way he controls abthe lightsbutler. and unl

let's get to rick santelli in chicago. what kind of pricing are we seeing? i saw a couple double digit moves. >> absolutely. it is ironic to some extent because the biggest dynamic is the flattening yield curve. ten year note yields only up about five basis points from where they were prior to the number. we hover at 2.31. normally this number would have dented stocks. let's be fair to that top of logic up 70 points isn't exactly stellar. i think for the most part it is a stellar number. it is taking maybe too many years to get there but we are there. if you look at the foreign exchange side that is really quite unbelievable. not only does the yen have 121 handle the dollar index at the best level in 8 1/2 years. we have heard inflation isn't running hot. the calibration of the fed to zero interest rate policy isn't right. calibration is the issue. we understand what is going on. traders continually debating today regarding what the fed's next move is. as many have written today the fed seems a little bit behind these numbers from the nonfarm side have been

go now to chicago and rick santelli. are the folks saying, oh, my heavens! the words might stronger in tone. some people, are they dramatically caught off guard by this slide in oil? >> tell you what, maybe caught off guard to the -- sheer breadth of it, because all commodity repricings are dramatic. most of the people on the trading floor have the right positions on. just consider on october 15th, we had lower yields across the board. we had an intraday low of 110 for pfizer, 152. 267.5, at 276. so been there, done that. so to them the issue is, if they see anything, any cracks in stocks they like to jump on it, think the end of the year anti-window judging will play in their favor. they know the equity markets of the moving force of treasuries, add in the nervousness about some of these projections, around 2016 in china and playing it right. the real surprise may come in, if you're out of bouncing stocks oil stayed here. that's the debate they're having. what would rates do then? many think if stocks jump 300 points, oil stayed here, rates would pop back u

out to chicago and the bond market where rick santelli is tracking the action. >> thank you very muchee numbers that you are supposed to have memorized, 1.11, 1.86 and 2.67. those were the intraday low yields. as you look at the curve it is amazing how much it it is steep. look at the chart starting on that date on october 15 for five year. the fact that it sold off so much more and the yields have come back our comps are to december. as you move down the curve you get closer to those intraday lows. look at tens. we are back to the middle of 2013 with respect to closing yields. as i tell you 1.86 was a low intraday yield. 30s back over two years to november of 2012 and we are much closer to its 2.67 intraday low yield that day as we hover at 2.76. elections called by prime minister abe will happen sunday in japan. you want to watch this trade. look at over seven ye lows on the yen. that is in terms of the dollar. look at the action since november. keep two things in mind. is this going to give another second mandate to abenomics. we don't have a lot of energy. we are debating but we d

. >>> let's go to the bond market cme rick santelli. >> look at this chart dating to the end of septembere have a boat load of resistance in the form of 20 sessions between 2.30 and 2.38. everybody is talking about the effects and high yield of what is going on in energy. when you look at the hygtf. open the chart and go to spring of 2007 we clearly see the issues in front of high yield may be more than they were a year ago but certainly not anywhere where they were during the crisis. last but not least let's put up a chart going back to the spring of '09 for the dollar index. hasn't been at these levels since then. euro is at a 27-month low and yen at 7.25-year low. >>> a lot of unusual moves today at the new york stock exchange. we will tell you about that. as we head out more on our ceo summit from "squawk box." >> republicans have both houses and want to show that they can get something done over the next two years because of the big presidential election coming up. you have the president with two years left to drive his legacy. that to me is an interesting combination to try to get s