and it's buried in these schlumberger conference call from last quarter.ked about oil stabilizing and going up only when the deep water oil wells begin to run out. and there are no new ones to take the place. when it comes to supply and demand, schlumberger knows more than anyone. they saw the downturn in crude coming, saying, there is no bottom coming in 2017. if you wan the to chart their words, take a look at its stock which took a downturn when it refused to call a bottom on its conference call. that's unlike everyone else in the industry. why? the real deep water wells, the ones that have far more capacity to produce oil. the single good shale prospect today are still in fabulous shape. there's been no need to drill new ones. worse, even our own country, the big offshore wells are producing monster amounts of crude right now. the ones that were drilled off the maconda oil spill -- that's almost 300,000 barrels a day more than last year, you want to know where that glut is? there you go. you may think we can put back on production at some point? the op

schlumberger, all service based. 55 cents, the options market implying some pretty big cuts, about 20 each for former chevron and exxon. 30 cents for royal dutch, which is most of the 47 cents you already had. a warning sign that dividends might not be sustainable. take a look at the yield. it's over 7% for royal dutch. that's a troublesome indicator. >> we've discussed this here. these companies are loathe to cut their dividends, and many don't. >> many don't want that on their head. you are the one that cut the dividend. >> talk to me when oil is like 20 bucks. not 47 bucks. >> here's the thing, that's what they're thinking. first of all, sort of the non-agreement in opec. guys are thinking, it's going 20. i don't think they're cooperating at all. but then there's this. exxon by far is the biggest one, you have the live billion. the next close is maybe chevron, new 52-week lows. something is wrong. it's probably the cuts. >> one of the things you have to consider is if companies have to take on additional debt to basically sustain a dividend, we've had incredibly low rate environmen

morgan stanley and barclays slashing estimates for the likes of schlumberger. under pressure.lysts suggesting we could see a 50% drop in stock value. oflysts cutting the likes royal dutch shell and chevron, so a real bloodbath in energy stocks. mentionings sentiment not as bearish in the oil market for 20-30 years. will be selling nike shoes there a brand registry programs designed to keep counterfeit goods off the site. nike issachs saying forging a closer relationship with amazon. them,ocker, concern for what does this mean for their business? one analysts saying they will still get exclusives, but a big question about amazon dominance. , theig news overnight deputy crown prince is now the .eir apparent this means ago for reforms. certainlymarkets liking it. stocks are by more than 5%. fourth-quarter earnings of for oracle crossing. the company says cloud hypergrowth is expanding and helping to grow operating margins. eps growth continuing to , so oraclein 2018 sounding all the right notes, the stock of 4%. let's take a quick look at bonds in u.s. trading, starting with acti

, i think if you want to look at the s&p, energy, etf, xle, almost 50% of that exxon, chevron, schlumbergerll spreads make a contrarian bet. >> that chart looks like a disaster. >>> mcdonald's teaming up with snapchat to recruit 250,000 new employees this year. >>> video game stocks, one of the hottest trades of the year they could get an even bigger boost as the biggest gaming event of the year gets under way. we'll tell you what to expect. you're watching "fast money" on cnbc, first in business worldwide. i love how usaa gives me the peace of mind and the security just like the marines did. at one point, i did change to a different company with car insurance, and i was not happy with the customer service. we have switched back over and we feel like we're back home now. the process through usaa is so effortless, that you feel like you're a part of the family. i love that i can pass the membership to my children, and that they can be protected. we're the williams family, and we're usaa members for life. call usaa today to talk about your insurance needs. the future isn't silver suits anit's

schlumberger when it was trading the selling of 10,000 o. september quarterly 60 puts at 81 center still it looked like that seller bought to open 240u6789 of the cement quarterly, 65 put paying $2.15 for those. those break even at 62.85. what's interesting about that roll, are they are laying out the money. let's go to the chart. this is why 65 strike may be interesting. when you look at this look at the support that it's gotten down to a sharp bounce it's going back lower here i want to break it down. up want to go out five years okay this is this level this is 60 bucks right here. kind of interesting, to me, this was an important break down level in q12016. it had a nice long really for a bit to me, i think you could see the low 60s especially if crude is going back to 41, 40-ish or so. >> check out the full show friday at 5:30 eastern time. >>> macy's is getting a boost. it's a start of a comeback we got those details i'm mellissa lee you are watching "fast money" on cnbc, first in business world wide in the meantime, here's what else is

. >> 2018, that's going to be harder because schlumberger says that's when the oil runs out.ield -- the curve out five years is right here. it's actually a little higher, but not much. oil is a terrible glut. but at 43, remember, we'll see a drop-off in the rig count. we will see less -- remember, they drill. they just won't pump. oh, my god, i think we have to go to washington. oh, man. >> james comey has arrived at hart building 216 as the senate select committee on intelligence hearing is about to begin in about 20 minutes. we begin our special coverage now. we have all the bases covered this morning. eamon javers and ylan mui on capitol hill and john harwood is in washington. eamon, we'll begin with you. it is seth it up for -- it is. set it up for us. >> the big question is whether comey will say what he saw in terms of his president amounted to obstruction of justice or not. but in the q&a section we should get into the smaller issues. senators will have a lot of opportunity to question comey here. i'm wondering about a couple of things. the president told james comey,

halliburton and schlumberger bay be exporting some of that technology, good for the companies, bad foriced something, roberto friedlander, an analyst at seaport global, iraq is now sending nearly as much oil to the united states as saudi arabia iraq on the ascension and just blowing through every barrier that anybody trying to set for them. >> take a look at what's gone on in libya. >> libya as well >> a year and a half ago they were producing a quarter of a million barrels of crude oil, now 950,000 barrels of crude oil per day. it probably will get back to what it was producing four years ago, nigeria is coming up very quickly. there's a real problem out there in the crude oil market. you will get a rally and the market is rallying today, it is nothing but a dead cat bounce. i see we have nearby wti at near $45. we might get to 48, but that's diagnose to be hard-pressed to push beyond that much at all. >> it's energy week in washington and the president is expected to make a speech at the department of energy storm with the focus expected to be on exports of crude ago well as crude pr

exxonmobil, chevron, schlumberger, hess all moving lower.umbers, down one, two, 5% as oil continues to drop. >>> virtual reality by the way keeps getting bigger and some say it could change the future of live music industry? hillary vaughn joins us with details. hillary, how does that work? reporter: well, you need a vr headset and you need to download an app, but for the first time ever virtual reality is transporting fans into one-of-a-kind live music experience. live nation is teaming up with next vr to give fans a front row seat and backstage pass to their favorite bands live and they can do it without leaving their couch. >> those of you unfamiliar with virtual reality, essentially removing the fourth wall. people are using to watch concerts live or at home, home watching on tv or tablet, on an ipad for example, first time ever you're stepping into the screen and experiencing a concert like you're there. reporter: the whole experience is broadcast with ten different cameras on stage, behind stage and in the audience. production crew out