schlumberger, itself.nk that's the right call. as much as i respect the other sources, to me, oil's bottoming once again. you can buy schlumberger for the accelerating recovery that the best service company on earth now says is finally upon us. doug in virginia. doug? >> caller: hey, jim, thanks for taking my call. >> of course. >> caller: i'm calling about conocophillips that was mentioned in your book "real money." what has happened since then, namely the spinoff of phillips 66 and the price of crude oil, of course, went south. >> right. >> caller: that resulted in them cutting their dividend by just over 65%. do you recommend buy, sell or hold? >> i'm not as big a conoco fan. i like the integrateds more. the splitoff -- it's funny, scott wapner's show, "halftime" and joe really likes psx, the best of the refinders. you know what, i'm going to pass on that. my charitable trust owns occidental, has a higher yield and more coverage and didn't cut its yield. i think that's a better play. let's tgo to carlos

schlumberger is not willing to go that far.y that because of the serviceoilfield companies in america, international will be a better place for them to grow earnings than in north america. vonnie: what are you hearing in houston about the next round of refinancing and other outfits that finance oil companies? you have a lot of companies looking to go to the credit markets again. termsstill happening in of companies trying to exchange shares for some of their debt, to get on top of things. but there's not a lot available right now, and that is the problem. they need oil prices to come up, just to give them some breathing room so they can get the debt down and get back to the banks. david: david, thank you very much. coming up in the next 20 minutes, full steam ahead for the presidential race. the rnc wrapped up in cleveland. we will examine trump's strategy going forward, and the guessing game continues. pandora's earnings reported flat. up 2/10 ofee the dow 1%. %.e s&p up about 1/3 of 1 the nasdaq up 1/2 of 1%. ♪ >> yes. by all

>>ty didn't i hear you say don't ever bet against schlumberger? >> sister and i doing a complete mind meld. live long and buy slem bchlumbe. not with the morgan stanley, you know, death rattle call. schlumberger laid out how this was the worst decline in history, but it is bottom. they said it several times they are bottom. you go against schlumberger you're going against the people who know more about oil than anyone in the world. i'm not equipped to do that and can't join morgan stanley in the oil bash. i think by the way, refiners, don't want to buy them into the quarter, because i think bp had a little trouble, but more importantly, rusty brazil, does rbn saying be aware there be ethanol concerns that are, also shrinking margins. i know people want to buy the refiners every time oil drops. oh, that little bit of fluff, but i'm not biting. >> longer term -- >> you want to buy 66? >> the refiners tell you why. 66 report july 29th, going to be awful. >> have a debate. come on. >> ps xsh, jim's going to agree. performed well against double digit l

they have been buying schlumberger debt, glencore.com and others.of people are sitting europe on trading calls --dering how on earth that >> behold from the ecb standpoint is how do we ease credit conditions. if they buy periphery and bonds, does that translate into the corporate sector? companiess that more come out, actually invest, issue more debt, and that's how it can transmit into the real economy. they don't need to depend as much on the banking system. the banking system in europe never easily capitalized. if you go down the route of interest rates, it's getting stuck. corporate debt, they bought things which you don't necessarily see as being that economy positive. going forward, we hope more companies will say, let me issue ecb buys, let me invest and buy a factory. >> companies in europe are financed by the banks. this process will take years. >> that was misra there. theresa may, the newly elected chancellor of great britain, speaking with angela merkel there on your right greater this is their first joint press conference together. ange

i guess what i'm saying is, schlumberger is disagreeing, point blank, with the previous guest. there's not as much oil as you think. it's going to go down. they're looking doctor fe manned. the demand side has to pick up. they're saying if demand stays steady, i'm starting to feel that the consumption is weaker. is the consumer alive or not. you saw newell, the old newell-rubbermaid merge. people are painting their home. putting new fixtures in the home. redoing the bath rooms. doing new cabinets. doing the kitchen. it's happening. >> that's weird. charts look up. way up. >> but cars do so much better on a gasoline basis. oil, look, there is a short-term glut because the wednesday number was horrible. if schlumberger says that can't be maintained, the only number with a great number is pioneer. they had to start drilling. >> we're going to get to a lot of other numbers today. we want to recap last night. hillary clinton speaking. both conventions now wrapped up. john harwood has the takeaways in philadelphia nad, as john, these gdp numbers may be fodder for trump ats campaign i

. >>> also schlumberger has a loss. the acquisition of cam ron international.eakened during the quarter. boeing plans to take more than $2 billion in charges in the second kwaertd. this relates to accounting changes for 787, 747 tanker aircraft programs. got a few other stocks for you to watch this morning. vodafone reporting better than expected revenue. the british telecom giant says europe is looking stable. >>> konoko phillips is cutting jobs. those energy jobs still feeling the pain of lower prices. >>> chipotle reporting a bigger than expected drop in same store sales in the second quarter as free food give aways and stepped up safety measures failed to bring companies back meanfully following several food born illnesses last year. not enough to appease stockholders. the stock down 2% after house. >>> now back to politics. p republican national convention coming to a close as donald trump formally accepted the party's nomination for president and used the prime time speech to attack relatively hillary clinton. >> after 15 years of wars in the middle east.

in the rig count, not just what we've seen in the last couple of weeks. >> john, what's giving schlumbergeron the confidence to call a bottom in the cycle here? and why wouldn't you buy it? they've certainly got a good window into the industry. >> well, i think there's hopeful analysis there quite often. i think they want to sell a good story to their shareholders. i think it's fair to say look at 2017 things could get better. i'm not discounting that. i think it's a ray of hope for the industry. we have record gasoline inventories in europe. we have a glut of diesel fuel in asia. it's not stopping. the opec increases from iran, iraq, saudi arabia, if the libyans come back on, all the declines you see in the u.s. get more than made up. so, again, i just don't see this market balancing. i think there's been a rush to judgment on that. >> i love when we have a little disagreement. and we just did. pavel, thank you very much for being here. john, as always, thank you very much. >> do you make that joke every time? >> i'm going to milk it as far as i can. >>> it hasn't been the best of times fo

sector's already the worst performing sector of the day, names like bp and chevron, chesapeake, schlumbergerey are all moving lower. but it's chevron and exxonmobil that are the real drags on the dow right now. so as we see that, i was just saying yesterday -- or monday that we did not see that equities, oil connection? today we do. to politics, chaos and division ensuing in philadelphia where now in just 56 minutes from now the democratic convention is officially set to get underway just as hillary clinton announced her vice presidential pick weekend, virginia senator tim kaine. another e-mail bombshell engulfed the clinton campaign and the dnc. chair debbie wasserman schultz implicated in the leaked wikileaks dnc e-mails which revealed secret plans to take on bernie sanders in his campaign which was scrappy but, you know, gaining a lot of momentum. actively undermining the former clinton rival. you might have seen some of these leaked e-mails over the weekend. here's one of them. democratic officials plotting to expose bernie sanders as a, quote, atheist? you know, using his religious beli

schlumberger, a very expensive stock and safety, great balance sheet, dividend as well, but that's notheap either. do valuations get in the way at a certain point? >> it's worrying. the fact is people have had to rotate into energy and had a shift out of growth into value for energy and the stocks are -- they look expensive. i mean, we've got pretty good numbers in for '17 and '18 in terms of oil forecasts and the stocks don't look that cheap. we're struggling to find value. we like noble with the big position in israel which is a fixed gas price contract. you can argue that anadarko is a value and people are big expl e explorer and that doesn't look good. really hard to find deep value like we find like ten years ago and you can find hess with crazy broken down values. i can't tell you there isn't a single stock out there going bust that's actually a deep value. >> paul, thank you. >> it's a pleasure. >> paul sankey, wolf research in oil. >> well, good for these guys, because, again, refiners were a very popular trade and i think some people were out ahead of the curve on this and mov

schlumberger, the biggest in the world, making acquisitions every single day. that hates to see u.s. companies survive, and they make it tougher for them. here's the answer, number one and number two in the world, warren buffett. that's the answer. that's why they're allowing this thing to go through with this little b.s. about craft brewers. that doesn't matter. >> yeah. well, here's the thing, you made a good call about obviously depot and staples, both those companies by themselves are going to go out of business, abuse you're right, they're losing that race. that's why they block these, charles, they prevent these companies from getting smarter, from getting better, and it ends up hurting the consumer in the end because when they go away, that's less competition. that doesn't do good news for prices, they go up on people, and everybody gets matted about it. charles: yeah, i've got to tell you, again, i just see these are american companies. and i understand, too, to your point i do agree this government probably doesn't understand this is a global competiti