we we heard mna chatter around guy's tesaro. people are saying, oh, looks pricey.ght see people holding off as buyers. >> tesaro's price, that i have to ask, what's a risk-reward? we established it on the down side, it basically sold in the last month, month and a half, it would somewhere between 210 and 225. geno therapy putics interested me. the risk-reward, if they get it right, the stock doubles. if you want to play at the hundred dollar table too me it's geno therapeutics. >> it's a political risk. and i cannot play knowi they wil have a trial coming out. if lay the space, it would be ibb, i am long one, valiant the three of us are long. there is life to this option. >> thanks. >> and simply, there isn't, things that concern you is why i own merck. you have a trade, it's having a big run. you are not tied this. >> that's next. >> thank you, guys. >> thank you, see you from chicago. >>> sticking with biotech, the biotech etf is surging nearly 3% today. one trader is making a big bet. >> that rages on. mike ko brakes down the "options action" for us. hey, mike.

. >> you can see that although the stock had been down, tesaro, analysts are saying looking more of theeing clovis is getting this as well >> now clovis looks like a prime candidate and this has been the conversation around tesaro you can see the differential there. >> different things going on and jp morgan is saying these data should narrow differential a little bit there will be a lot of speculations continuing about that of course, these are not the only companies in the space. so it is a really tight race but always good to see good news of drugstores fighting for positive causes >> we have been talking so much about amazon tell us the story about amazon expanding its regions to hospitals, is it alexa or the e echo >> this is the story on our cnbc.com today of course, we had a story s suggesting amazon is getting into pharmacy. it is a great story and i u suggest people reading it on the website. we saw implications for pharmacy stocks on the whole foods acquisition from amazon. you see walgreens and cvs is getting hit very hard here >> it could be helpful in the hospital settings

drug, saying they plan to apply for expanded approval of the drug within four months and showing you tesaroegain losses earlier in the day, this morning it was down as much as 10%, that's because these two companies are really competing in the same space. analysts coming out today saying these data from clovis really imply these drugs look nr similar than different this is a potential m&a story, both names have been talked about as potential ramping up te about clovis along the similar vain, we're looking at exelocis. expanded approval of one of their cancer drugs the stock closing the day up 12%. also mention biogen getting an upgrade from ubs today only to neutral. had a sell rating on the stock which you don't see too often. biogen up. contributing to a move upward for the day in the biotech ebf closing up 2.4%. before we talk about health care today, i have to mention valiant. that having positive news today. as shareholder john paulson joined the board closing up 6.4%. they've been on a roll of positive news lately we'll be waufing closely to see if that can continue. >> they finally o

tesaro has been a perennially talked about target b we are also watching seattle genetics that stockas clinical trial for acute myeloid luka and valeant saying paulson has been added to the board and he said he's fully supportive of the strategy and brilliant team at vibrant >> a lot of movers no your space today, meg thank you very much. >> and coming up, we'll tack about the future of the retale indust -- retail industry. -- retail industry. and the dow is u p 106.50 (bell rings) parts a and b and want more coverage, guess what? you could apply for a medicare supplement insurance plan whenever you want. no enrollment window. no waiting to apply. that means now may be a great time to shop for an aarp medicare supplement insurance plan, insured by unitedhealthcare insurance company. medicare doesn't cover everything. and like all standardized medicare supplement insurance plans, these help cover some of what medicare doesn't pay. so don't wait. call now to request your free decision guide. it could help you find the aarp medicare supplement plan that works for you. these types of pla

analysts intelligence said that one benefit to sorrow has is timing -- tesaro has is timing.joined the board to help with the takeover three months after a fellow hedge fund or exited his position at a loss. stock down about 90%. quite a takeover ahead. david: when news of amazon buying whole foods crossed the wires it rocked the world of grocery sales and online retailing. coming war the between amazon and walmart and raised real questions about how walmart is trying to move online lori in.com's mark charge of efforts. accomplishedte setting up the domain names diapers.com and soak.com. he had a ton of money. that compares to amazon's growth market value of 200 billion. barely making a dent in the online arena. hter ismichael packed back with us now. as far as i'm concerned in my view you called this. you said there is a coming war going on between amazon and walmart. amazon has just recruited a big army to help it. >> i think so. the missing element is the logistics management. what amazon is especially good is managing giant fulfillment centers and packing things and getti

medicines called parp inhibitors and the results could help and differentiate it from rivals we mentioned tesaroews >>> some months after the election americans weigh in on the economy and the outlook for their wages and their hopes. senior economics reporter steve liesman joins us with the exclusive cnbc all-america survey >> economic optimism remains strong as the post election bump continues and it's even strengthening. the percentage of americans who are optimistic about the current situation, and optimistic about the future, at a record 30%. spurred by surging public optimism, and democratic pessimism that sparked below republican levels during the obama years. you can look at this chart kind of optimism flattened out -- oh, move on to the next one here anyway, behind this optimism, the percentage of americans who think their home prices will rise in the next year is at a record the percentages you see higher wages is at a near record, 54% of americans think their home price will increase in the next year but this is not necessarily good news for the president few americans who have a posit