from what i understand, ge told the s.e.c. believes markopolos, because he's working for a short seller, is manipulating the stock. ge declined to comment on that but i understand they have relayed that message to the s.e.c. so does the s.e.c. look at this? yeah, they will look at it. the faster they come to a conclusion, the better. still an important stock. we are not talking about, you know, you know, some fannie mae or something. i shouldn't say that. people are going to go crazy on twitter now. liz: thank you, charlie. >> i couldn't help myself. liz: thank you very much. charlie gasparino on ge. >>> eight minutes before the closing bell rings. third day in a row that we will have had a move to the upside for the dow and the s&p. we are looking at gains of 275. high energy today for our "countdown" closer on black gold. brokerage accounts. and zero minimums to open an account. at fidelity those zeros really add up. ♪ maybe i'll win ♪ saved by zero . . liz: no more yield curve inversion. but, for now, we got a. 3 1/2 minute

the only thing i know about the s.e.c.t-zero is working with them on developing a new block chain capital market. i got that. the company, just so you know, the company is disclosing much more than that. the company is disclosing an ongoing probe, you can fairly surmise from the public disclosures and statements this ongoing probe is expanding -- ashley: not going away. >> as of recently. ashley: yeah. >> and you know, there's some -- there's issues here. now, again -- ashley: i'm looking forward to his latest blog. >> he tells me later today we're going -- like tonight on deep capture, i guess we should all tune in to deep capture, he's going to have more on his relationship with maria butina. ashley: you can't make this stuff up. >> whatever's going on with the fbi. should i call the fbi for comment? ashley: i think you should. >> overstock had no comment on this. ashley: great stuff as always. thank you. the closing bell coming up in seven minutes from now. the market ping-pong ball, bouncing higher after friday's big s

often the s.e.c.a pass but may not look as seriously at people who have actually assisted the s.e.c. in the past here is a real opportunity there is an issue in the markets called short and distort, where people actually use materially false information in connection with shorting the stock. we've not seen that many s.e.c. enforcement cases in that area it is a problem. and this is an opportunity to pursue it. >> i was going to ask you about that you look at something like this. how is this different from what bill ackman has done or some of the guys at the conference have done, come out and give you their best short my position has always been they've lined up their positions ahead of that. while you call it market manipulation, it may be a situation of them putting their money where their mouth is how is that different from somebody who is long in stock and saying this is a great buy >> you can have manipulation on both sides, long side and short side the short side we tend to not see the level of e

we'll talk to the chair of the s.e.c. next. ♪ let's get down to business.he business of atlanta on monday... ... cincinnati on tuesday. ...philly on wednesday. ...and thursday back to cincinnati . modernized comfort inns and suites have been refreshed because when your business keeps going, our business is you. get the lowest price guaranteed on all choice hotels when you book direct at choicehotels.com. every day, visionaries are creating the future. ♪ so, every day, we put our latest technology and unrivaled network to work. ♪ the united states postal service makes more e-commerce deliveries to homes than anyone else in the country. ♪ because the future only happens with people who really know how to deliver it. >>> so this morning there is no evidence of mass voter fraud in new hampshire in 2016. and there never has been. and now a key government official is calling on president trump to produce evidence for these claims that he continues to make. >> many, many people voted that shouldn't have been voted. some people voted many times. what i'm saying is

the s.e.c. never even bothered to follow up and not only was he right, he was right to the detail down on what bernie madoff was doing having read this morning's materials and comparing enron and worldcom to ge, the extent of the fraud at enron where they brought in phony employees to sit at phones and make it look like they had a live trading room and comparing that to whether or not ge is recognizing -- i'm not an apologist for ge >> but i take your point about the differences potentially between the two. >> the style of fraud he's alleging enron and worldcom were straight up frauds. >> so as -- so people know the heart of his allegations, the long-term care business is terrible they're paying out $5 for every -- >> the liabilities are way more than -- >> they don't have the cash flow to pay for those that's why he's calling them bankrupt on the issue of baker hughes, sort of subsidiary, that's where it gets into some of the off balance sheets you raise some of the other parts of the business

they've just paid a multimillion-dollar settlement to the s.e.c. to cover these violations of foreign bribery laws, right? they've been paying off the families of government officials so as to get business from those countries. and they've been doing so successfully. in a lot of cases this thing has really worked out for them. they give a job to a foreign official's kid, they report back, oh, foreign official, your kid's doing great here. did you see that good job that we gave her? foreign official then shovels deutsche bank some money and it helps their bottom line. this latest one is the latest. it is by no means the greatest scandal that deutsche bank is dragging around on its balance sheet right now. before the start of the trump presidency, deutsche bank paid hundreds of millions of dollars in fines related to its role in one of the largest russian money laundering cases ever chased down by u.s. regulators. they paid $630 million fines for that russian money laundering scandal they were involved in. not long after trump became president, there

they have to play really big games like notre dame and have to play alabama if they make it to the s.e.c, and they're a team that could write their way into the top four and potentially a national championship and, eva, too, i got to give you a congratulations on your florida gators. they did win their opening match-up, and i was there, so college football is ready to rock 'n' roll already. >> see, we play nice in the s.e.c. we try to, right? thanks. >> a little bit. >> thanks, maria. you can watch "college gameday" live from ft. worth at 9:00 a.m. eastern. that is on espn. >> why didn't i get to do that segment? i feel like strahan always calling me and asking me about football. >> do you know who is playing today? >> the ducks and the tigers. i got my money on the tigers. ducks? >> he had to check the notes. >> all right. >> stay with us. diane is next with "pop news." "pop news." what if you had fewer headaches and migraines a month? botox® prevents headaches and migraines before they even start. botox® is for adults with chronic migraine, 15 or more headache days a month, each lastin

one is the s.e.c. thing.t has been ongoing, but it is really the idea that facebook doesn't want to be viewed as a security. it doesn't want to be regulated in that way. there is kind of a debate on where facebook's l birch ra should fall. the second is facebook has 28 partners with them on this, none of which have said anything over last few months. they are now asking them will you please speak up and support this thing? those are the issues facebook is fighting right now just for get this off the ground. it seems like it is going to be a long road for them for sure. emily: david, what is your take on this whole libra thing? >> well, first of all, they probably shouldn't have announced it when they did. they have way too many other problems, p.r. and real, to deal with. this is not the time for them to be trying something so fundamentally new, so landscape altering, when they haven't address other issues like we were discussing before. on the other hand, the problem they say they are trying to address, in p

a spokesperson for the s.e.c. declined to comment.nd we are attempting to make contact with the whistle blower. shares are finishing off the lows of the session. >> we should be clear as well, we're not just talking about anybody here this is somebody who was on the inside this is a former senior financial analyst. an insider >> yeah, an accountant at disney so awaiting a full statement from disney. again, so far a no comment from the s.e.c. on this unconfirmed report >> seema, thank you. disney shares not doing a whole lot of movement. but as we said, as the story alleges from a former insider, just a handful of days after an outsider has made these allegations on general electric and its accounting >> i think the market can look at the fact that can i sdisney the claims say organization fine, maybe they have been vetted. to be specific, they were in the theme parks division and just for context, i mean disney is a company that is, you know, very reliable cash flow generator. it is not really in these intricate businesses that i thin

and while it's induce tremendous cooperations like verizon, confirm those dangers in mandatory s.e.c. disclosure to their shareholders. so, improving this cell tower project the article 25 city departments violated the most fundamental precautionary principle. threats of serious or irreversible damage to people or nature exist, lack of full scientific certainty of our cause and effect shall not be viewed as sufficient reason for the city to prevent the degradation of the environment or protect the health of its citizens. closed quote. in san francisco, this board of appeal is the last hope for most ordinary people. hardly anyone can afford to litigate against giant corporations so tonight, you have an unprecedented opportunity of conscientiously reversing the cell tower permit on health and safety grounds. such conscientious and ground-breaking board of appeals decisions can lead san francisco and our nation in protecting against further and prude use of dangerous wireless technologies which seriously or i remember reversi rememberi rememberrebleo and nature. >> thank you. >> hearing

developing story, we will continue to see how it evolves from here and it's worth noting that the s.e.cand the doj have been and continue to investigate this company over some of its accounting methods in the past, including around that long term care insurance business. so yoveng this is the last -- and the company is going through its annual reserve reviews so i don't think this is the last we're going to hear about this by any means. shares are up 8.5% right now >>> after the break, inside virgin galactic's space port, next >>> welcome back to "squawk alley. after years of delays virgin galactic has finally moved into its new home in the mexican desert, the world's first purpose-built commercial spaceport, spaceport america virgin galactic is hoping to send paying customers to the tune of $250,000 to the edge of space from this architectural outpost. it's a reality the company hopes to pull off within the next year we got an inside look at the spaceport and mission control before anyone. virgin galactic's ceo george whiteside spoke to me about when he thinks virgin galactic can begin

obviously we've got to get to ge this morning on this report from harry markopolos we'll do these s.e.cfilings, buffett on amazon. we're back in a minute hey! i'm bill slowsky jr., i live on my own now! i've got xfinity, because i like to live life in the fast lane. unlike my parents. you rambling about xfinity again? you're so cute when you get excited... anyways... i've got their app right here, i can troubleshoot. i can schedule a time for them to call me back, it's great! you have our number programmed in? ya i don't even know your phone anymore... excuse me?! what? i don't know your phone number. aw well. he doesn't know our phone number! you have our fax number, obviously... today's xfinity service. simple. easy. awesome. i'll pass. ♪ >>> cramer watching some new takes on apple's phone cycle >> two positive reports. i'm going to do the headline despite china worries, iphone demand cycle looks stable heading into fiscal year '20 that's rev la story, actually. then a good piece by davidson. lots of people cover apple lots of people do quality work here's a review of their 10q, which

. >> ge's accounting practices are under investigation by the department of justice and the s.e.c.elated to its insurance business and problems in its power division the company has denied accounting fraud in response to lawsuits and says it is cooperating with investigators >> that's a story we'll keep following. >>> when we come back, the art of the deal. president trump out with a new tactic to try and salvage trade talks with china, linking negotiations with unrest in hong kon kong >> see china a humane way solve the problem in hong kong i have a lot of confidence in president xi i have no doubt he would solve that problem quickly >>> and hong kong is where we find brian sullivan. he has more. hi, brian. >> hi. in fact, we're here at one of the scenes of a big political rally. tonight this will be filled behind us. coming up, we have breaking news, one of hong kong's leading executives reportedly fired over the ongoing protests it's the intersection of politics and finance in hong kong and china tethbrk.ve that news for you afr e ea ahh... your teeth hurt? sensitivity. gotta do

. >> this came about about five, ten years ago when the s.e.c. rules and prospec s prospectus, instead of having these very stiff prospectus, they let you put in pictures it was called, i think the technical word was plain language. >> i like the pictures. >> you can talk in plain language what you've just shown on camera is the ultimate of plain language. >> quoting "legally blond". >> reese witherspoon is fabulous i don't have anything against that they're trying to portray their company. peloton is based on prospectus is 80% an equipment company. however, of the members i was very impressed by the very low churn rate, and churn rate is the key in a software product and i think it's like a half of 1% >> on a monthly basis. >> amazing. >> on a monthly basis. alan, thank you so much for your insight as always. really appreciate you joining us >> thanks, thanks for having me. >>> meanwhile, stocks turning around at session highs, a lot more "squawk alley" right afr quk eak.te >>> i'm scot walker, here's what's coming up halftime report top of the

so far, the s.e.c. has charged 13 financial institutions in its ongoing investigation into abusive adr practices which has led to more than $427 million in monetary settlements. >>> all right. this roller coaster week may be ending on a high note but take a look at the major average moves this week. the dow and s&p 500 both down more than 1%. the nasdaq falling about .75%, thanks to its strong moves today. but this is the third down week in a row for the major averages, the longest losing streak since may. it is a tale of two semiconductor stocks that attracted our attention. let's look at applied materials. earnings may have topped estimates but the biggest laggard on the nasdaq set to continue to see a challenging environment for the semiconductor sector. applied materials is down .75%. they make semiconductor equipment. they don't make the chips. they make the equipment. so are they a canary in a coal mine at the moment? applied materials says it does not expect any recovery until 2020. >>> nvidia, t

by the way, imagine if goldman sachs actually were asked to confirm members of the s.e.c.e corner. wouldn't it be nice if it weren't such a running joke. we will and right back. >> teacher: let's turn in your science papers. >> tech vo: this teacher always puts her students first. >> student: i did mine on volcanoes. >> teacher: you did?! oh, i can't wait to read it. >> tech vo: so when she had auto glass damage... she chose safelite. with safelite, she could see exactly when we'd be there. >> teacher: you must be pascal. >> tech: yes ma'am. >> tech vo: saving her time... [honk, honk] >> kids: bye! >> tech vo: ...so she can save the science project. >> kids: whoa! >> kids vo: ♪ safelite repair, safelite replace ♪ you may have gingivitis. when you brush, and the clock could be ticking towards bad breath, receding gums, and possibly... tooth loss. help turn back the clock on gingivitis with parodontax. leave bleeding gums behind. parodontax. so, every day, we put our latest technology and unrivaled network to work. the united states postal service makes more e-commerce deliv

now if you thought to thought about that for a s.e.c., that's obviously not the case.this country anybody can have a water balloon. nobody can have a nuclear weapon. somewhere in that spectrum, we're going draw a line. so it's not like the second amendment doesn't allow us to draw the line. we just have to decide where. and i think in the wake of what we have seen, not that it should have required something like this horrific weekend for us to do it, but if not now, when? we've got to have these common sense measures. we've also god to add to the resources that are available to our government in order to deal with domestic terrorism. i propose that we have a billion dollars in an account where right now they've actually cut it from 10 million to less for countering extremist violence. if we were able after 9/11, however imperfectly to step up and take a tremendous amount of added capacity to deal with international terrorism, we ought to be able to do the same thing when the threat is coming from white supremacist terrorism. it may be embarrassing for this administrati

critical issues, we have ceo david taylor, nelson pelts, rock creek ceo and more plus we'll hear from s.e.cairman jay clayton, and joe kernen will sit down for a one on one with veep, mike pence, register for tickets at delivering alpha.com. >>> coming up, a warning for the wealthy, and wlle' dive into the worldwide slow down concerns that have been weighing in on stocks stocks stay with us they don't have an. i want to know what i'm paying upfront. yes, absolutely. do you just say yes to everything? hm. well i say no to kale. mm. yeah, they say if you blanch it it's better, but that seems like a lot of work. no hidden fees. no platform fees. no trade minimums. and yes, it's all at one low price. td ameritrade. ♪ >>> welcome back we're just getting word that james mattis is returning to the board of directors at general dynamics general mattis will be rejoining the board. >>> a warning to the wealthy, ceos, board members maybe? americans are frustrated, and they want to cap your pay. >> governments and companies are ignoring the frustration of the tea public over soaring pay. we're about to

i think what's more noticeable for disney is that the s.e.c.r in person, met with her over the phone, they are asking for more information so they at least are doing due diligence. that doesn't mean they think disney did anything wrong but they are doing their job. stuart: what's disney's response? deirdre: that the claims are completely without merit. and that she was fired, she was terminated, but i'm going to go right to disney's statement. they say in fact that she had acted in a bad faith, she displayed a pattern of workplace complaints against her co-workers without a reasonable basis for doing so in a manner that was disruptive, inappropriate and in bad faith. stuart: got it. thanks very much. >>> we've got some retail names to report for you today. they reported on their profits earlier. first of all, look at home depot. sales actually fell short of expectations and they did lower their outlook. they are concerned that a trade war may slow consumer spending. but home depot is cashing in on the refi business, whereas people are, you know

. >> we're not allowed to talk about funds per s.e.c.n. >> i think it's important for viewers to understand it given we've now -- you've sort of become a china expert, at least on our air and in your various tweets and the way you're communicating in the marketplace. what is your sense in terms of growth rate in china and what is really going on with chinese economy? >> i think if you just look to the mistake that the chinese made with the bank back in may, prior to may, there was never a concern of credit risk or insolvency risk in the chinese banking system in their case, they ended up taking down and nationalizing a bank writtener bank depositor by 30% and commercial depositors by 30%. from small regional banks to big banks because that all of a sudden credit risk and solvency risk brought into the system you're seeing china print the slowest gdp in 25 years. you saw the july data that was amongst the worst we've seen the banking system, they have taken down three banks since may. the last one they took down was a few hundred billion

. >> ginn everything previously and the board chose not to dispatch him in particular the s.e.c. that took place there, is there any reason to think that -- you can't ignore a large shareholder but could this happen? >> the board has put its stamp on the company and they have evolved the board a fair amount but it is still pretty much the same board previously. >> one of the biggest criticisms in the piece of james anderson is lack of sort of team building that musk has done saying he could learn from jeff bezos how to build a team of like minded individuals like aws what does that look like at tesla? we have been following the executive departures who's running it who's around him >> i think from our perspective it is an intense environment to work in. where people are under a great deal of stress and very heavy mandates to meet so i think there's an element of survival from our perspective and doesn't necessarily lead to really compelling team building as people are trying to get as much as they can and save themselves so i think there's a point to be had there in terms of inte

given the timeline and what the s.e.c.public disclosure, their filing would have to be disclosed for 15 before they actively market it to investors. it would make sense that we see something this week if they are aiming to get it out as quickly as possible once the investors come back from the hamptons from their august vacations guys. >> thank you leslie picker at headquarters. >>> as we head to break, the big tech under pressure. apple is bucking the trend right now. it is higher by 0.4% netflix up as well much more "squawk on the street" when we return >>> stocks being put through the wringer this month one long-time bull isn't scared. find out why on tradingnation.cnbc.com more "squawk on the street" is coming up. ♪ ♪ >>> let's get the sandetelli exchange. >> good morning. you know, vincent, it would take a unique person to come up with pinball wizard as a definition for a good fed chair person. what do you think? >> i think it's the appropriate pick for the current circumstances. tommy the pinball wizard, number one,

money but we know the company currently is being investigated by the department of justice and the s.e.cng practices related to their power business. connell: that's a big move in the stock. >> huge move in the stock. huge move. connell: before we move on, on that last point, on the motivation here, you want to say something? >> i think, i don't ever want to bash short sellers. sometimes they shine a light on things that are bad and need to be revealed but in this case, it is a difficulty in our system that you don't need the fundamentals to be true. you don't need the story to be right. merely saying it creates the result for the short sellers. the fact he's working for an unidentified hedge fund, if someone did this on the long side they would be going to jail. it would be called inside trading. on the short side you are allowed to do it. i have a problem with that. connell: we haven't had an investigation yet or we don't know what really happened. all right. we have to get to steve morris. he's coming up next, as a matter of fact. we will talk about stocks moving with every headline o

ge, i think the sunlight should include the hedge fund and i also think if i were the head of the s.e.cight miake a call, put a little jingle in there. no >> that said, when hedge funds own a lot of stuff and analysts come out all the time and build them up and we don't ever say a word about it. >> that's a good point that's a very good point i found it was -- this notion you can do what the regulators want and somehow it is fraudulent, if you do what the regulators want seems wrong. >> yeah. >> it just seems wrong. >> larry culp is not -- the baker hughes accounting, that's harder i don't think, again, lorenzo is an open guy, the ceo of baker hughes, i never heard anyone say that anything negative about the accounting or that doesn't mean there isn't a possibility. but i just brought up the long-term care because you just can't tell how much it is. so what you do is you do what the regulators want and a little in excess and that's what larry culp has been doing, the ceo. >> couple of stocks, guys, i'm watching one is this aaramark, up on newt mantle ridge, the activist -- you can call

known as the we company, is looking to disclose its ipo prospectus which is currently on file with the s.e.c. confidentially as soon as this week. that would put wework on track for a september debut. wework sells short-term leases for office space, a model that some have questioned viability during an economic downturn by revealing its prospectus investors will learn more details about the company's financials, its business model as well as risk factors for investing. guys >> leslie, thank you tilray set to report results tomorrow aditi roy has a preview. aditi. >> reporter: morgan, it's been a busy quarter for tilray. the company will likely touch upon domestic and international sales at home in canada. retail adult use sales were up more than 20% in april and 15% in may month over month. that could help drive topline growth its own international footprint tilray announced last week it has increased cultivation space in portugal and that could affect guidance back to you. >> aditi, thank you very much for that and the tilray ceo will be right here on "closing bell" tomorrow afternoon with

the s.e.c. wait a minimum of 15 calendar days from the time they disclose their ipo prospectus to launching their road show. that means wework can technically start marketing to investors by the end of this week but because of the holiday they maywait until next week t get more attentionf but does it command a multiple of a tech company that focuses on real estate or that of a real estate company that has some technology guys. >> leslie, stay here joining us is the ipo analyst whose firm has a strong track record of predicting ipos based on a proprietary model rett, you have rated so many of the ipos that we've watched come out this year. you're here to reveal your score on wework. what is it how did you come up with it? >> i wish i could say it was a good score but unsurprisingly it's not so terrific you know, if uber was an average score in the scoring system, this one is below uber but above lyft it's a fourth quintile which is surprisingly good given all the bearish behavior and bearish talk

owner of wordpress.com >>> and larry culp has bought more of his company's shares according to an s.e.cculp purchased almost 334,000 new shares at an average price of $9.04 a share that brings his told holdings to nearly 943,000 shares. so a purported vote of confidence in a stock that could very much use one. >> absolutely. >>> meanwhile, let's talk about the tensions in hong kong. they're back again this morning. chinese military vehicles building up near the border. meanwhile the airport in hong kong again suspending departing flights. and china's central bank weakening its currency we want to get to eunice yoon who's got more on that story >> reporter: hong kong airport has suspended flights going out once again for the most part the airport has been calm today. there were several protesters staging a sit-in once again, but the authorities made an announcement saying they wouldn't stand for this action in fact, the hong kong leider carrie lam was asked several different questions from a quite rowdy bunch of journalists she reiterated the government's stance that violence would not b

stories that are coming out, one which i find interesting, is he was consulting with elon musk on the s.e.c. battle he was having, remember last august musk was, that funding secure tweet led to the whole thing. a reporter for the "new york times" says he met with epstein in new york and had a long chat with him and said he was helping musk find a new chairman and also investors into tesla. since that time, of course now musk is saying absolutely not true, i didn't have any contact with jeffrey epstein at all. the bigger issue is how the heck did this happen, how was he able to apparently hang himself in his cell and that is being looked at from the very highest authorities right now. stuart: was it incompetence or was he given the opportunity to kill himself? we can get into that. ashley: lot of questions. stuart: we've got this just coming at us. charlie gasparino, fbn's charlie gasparino reports that cbs and viacom have agreed to merger terms. a formal announcement is imminent. both stocks down just slightly. >>> uber, whoa, did it take a hit yesterday. down big-time and down a bit more

this is one of the few cases that a high ranking s.e.c.cialization and said i want to connect you with other people to make sure you know that excessive specialization played a role in the financial crisis and it's not being talked about and what the officials and other industry people said, look, we had a system of specialized action and regulation. consumer regulators regulated consumers. securities regulators regulated securities but the fact was the provision of credit ran across this entire system and nobody was looking at that. right? so nobody had their eye on the system so you can have narrow experts who are very good at doing what they do, but if they're optimizing just the small piece of the puzzle in front of them, everyone doing that separately can still lead to massive catastrophe when you look at the entire system. >> all right. the book is "range, why generalists triumph in a specialized world." david epstein, thank you so much for being on. i certainly hope that people -- that educators who are watching and business leaders