>> ibm is not a factor. the dow should have google in it. ibm is 200 -- $160 billion company. m. >>> we'll get the mad dash as we countdown to the opening bell in a minute. then as we said earlier, david's live and exclusive interview with ginni rometty of ibm is coming up. take one more look at the future as we kick off a very busy earnings week. "squawk on the street" is back in a second. you can bring back a lot of things from a trip around the world. but you can't always bring back customer data. because many customers don't like it when their data moves around. can i go now? if you're going to do business globally, you need a cloud that can keep your data where it needs to be. today, there's a new way to work and it's made with ibm. ♪ there's confidence... then there's trusting your vehicle maintenance to ford service confidence. our expertise, technology, and high quality parts means your peace of mind. it's no wonder last year we sold over three million tires. and during the big tire event, get up to $140

a lot of buzz on wall street today about the disappointing earnings from tech bellwether ibm, sending shares of big blue tumbling and nearly wiping out the modest gains made in the dow today. we begin tonight with the after the bell earnings from another tech giant, apple. it was like night and day. apple trounced wall street forecasts thanks to proceedout sales of the new iphone 6. apple earned $1.42 a share in its fourth quarter easily beating estimates of $1.30 a share. revenue of more than $42 billion was 12% higher than a year ago, it also topped forecasts. apple also raised its guidance for the full year and its shares rose in after-hours trading in the regular session apple was up 2% to $99.76. josh lipton spoke with ceo tim cook earlier today. josh joins us from outside of apple's headquarters. now that you've looked over the numbers, what's the big takeaway from these amazing results? >> i think the big number certainly analysts and investors will concentrate on is the iphone. that still does account for 50% of apple's revenue. they shipped 39.3 million iphones this quarter.

of the dow 30 ibm is the company i understand the least. 430,000 employees. their revenue per employee is under 300,000. 1.2 million per employee at google. 1.4 now at facebook. what is ibm? >> let me give ibm some credit here -- >> they don't make anything. >> here is the issue. ibm has done a great job of reinventing itself. it went out there when it was an old company and moved ahead. look what kodak didn't do and what ibm did do. look what xerox has been trying to do. ibm has reinvented itself. the problem is it too big. is cisco going to be in the same position ibm is in today? that is what is going on here. they have shifted themselves to faster growing businesses. they claim the smaller ones. >> they make slower version stuff. >> you get my point. what are they? >> 430,000 employees. >> it is a big tech company. >> can i ask a quick question? how much of this is because it is a victim of global growth? >> i think the size is an issue. i think you can say everything is an issue to the point of this. i think you can ask the question regarding ceo, is it -

let's get more on the trading action. hi, bob. >> ibm hurting the dow jones industrial average and not dramatically the rest of the market. we are a lot calmer than a week ago. two things really matter right now, number one, oil has stabilized from 105 to low 80s in oil. we have been there for the last three days. stability really matters particularly for the big energy names. exploration and production stocks many of them like chesapeake down north of 25%. take a look at big names. last three days they have been bouncing back. not dramatically but have stabilized. the other key headline is ebola. when you have 43 of 48 people on the original watch list in the all clear that was a huge relief for the overall market. you can see the effect on travel stocks, united, delta, norwegian. royal caribbean dropped 18% to almost 20% in the last several weeks. that, too, has started bouncing back not coming back to where it was before but you can see that. that is an enormous relief. you see this in home builders for example. itb dropped about 10%

that was the story at ibm and apple. that only works when the leader is there and when they can actually get their vision implemented. it is a risky bet. >> mcdonald's deserves some credit for reinventing themselves from time to time. as you point out it has to do often with the dynamism and vision of the ceo. that was a hamburger and french fry company that became a breakfast company and a beverage company now moving into healthier fare. >> at the same time it has been a marketing and customer relationship company. the marketing group which has been a powerful part of mcdonald's has struggled to make connections with the new group of consumers. >> thank you very much. we will have you back soon. >> thank you. >>> we pick up where you left off on the last comment. do companies like mcdonald's, coke and ibm have a generational problem? a milineal retail expert. welcome back. nice to see you again. >> thank you, sue, great to see you. >> our last guest pointed out connecting with that millennial consumer. you say there are

the eagles. let's talk ibm. europe, jim, and china and, you know, the notion is, hey, american corporations are in great shape. they're in great shape. you combine the slowdown in europe with maybe we're not in great shape this earning season. it could be a problem. should we start questioning u.s. companies with ibm results? >> i think a lot of what ibm did was frankly being cannibalized by emgs themselves. you see it with sap, too. ibm has tried to reposition itself as cloud company. when you do that you take away a lot of your value. i think they're hurting themselves because there are too many areas around world that they did poorly and for me to think the economies are bad, losing schar, this is an actual disaster. they've been sticking by this ridiculous game plan since may 12th, 2010, where they said they could do this 20 bucks. it's time they admitted they can't do it. i want to know whether a warren buffett is going to pull tesco. the buyback is going to slow. >> i don't know, jim. i wish i had any insig

tax charge of $4.7 billion for the third quarter. ibmill also receive $200 million worth of assets making the value of the deal worth $1.3 billion. ibm said in a statement this agreement expands our long-standing collaboration that began with global foundries back in 2009. >> thanks a lot. 6:45 trading is under way in wall street. we see the dow is opening date in negative territory down 60 points to 16319. meantime the wall street journal is announcing a new bplan for te company now. according to the journal, mire will announce a plan. yahoo will hold its third quarter earnings call tomorrow. >> apple pay launches today for owners of the iphone 6 and 6 plus. owners will be able to make purchases with the touch of a finger with without their wallet. you need to update to ios 8.1 and link up to a debit or credit card. macies. mcdonald's, whole foods and nike are just a few of the stores where you can use apple fee. >> we're learning more about the dramatic rescue of a 73-year-old fresno man. the 23-year-old happened to be running by when

just shy of the 16,400 market. again not for ibmhe hit after reporting a disappointing earnings result relative to what the market was expecting we could have been positive to the tune of almost 100 on the close today. s&p 500 on a gain. nasdaq adding 57. bring in today's panel to talk about it. joining me is ross gerber, nicholas carlton and jon fortt and guy adami. welcome. >> hello! >> viewers paying close attention may have noticed we have a group who can talk all things apple when the report hits at 4:30. several other interesting things in the market today, guy. notely, the tone and tenor is much different story of last week. what changed? >> people feel better about things. kelly, well, the technicals have held up and in 1970 was the level. 1904 is the level that everybody talked about that second wave down. that was support. support becomes resistance. i think that's exactly what's happening now. i'm inclined to sell the market. i think i'm wrong on a close above 1925 and feels eerily similar as to back around october 10th o

the majority on the back of ibm's disappointing miss. mixed trade, large part of the red due to big blue. >> when we come back more of john fortt's interview with satya nadella, more on the markets with what has been an inflection point for the trading day. the close of markets in europe. and will.i bl am talking wearables and apple when "squawk alley" continues in a moment. ok, if you're up there, i could use some help. smart sarah. seeking guidance. just like with your investments. that sets you apart. it does? it does. you're type e*. and seeking another perspective is what type e*s do. oh, and your next handhold... is there. you don't have to go it alone. e*trade gives you the support and guidance to make informed decisions. are you type e*? >>> welcome back to "squawk alley." we're watching blackberry the stock moving higher on a report that lenovo might make an offer to buy the company. citing an unnamed source. an offer for $15 a share could come this week. lenovo and blackberry are neither commenting on this. blackberry shares up

the company assigned a ten-year supply contract. ibm reportedly sought to keep control over the design over its chip but wanted to shed the capital intensive manufacturing plants. the huge cost of upgrading equipment for each generation of chips has already forced others in the industry to quit leaving ibm with few partners to negotiate with. revenue from ibm's semiconductor unit fell 18% in the second quarter. global founders emerged as the second biggest contract manufacturer after tsmc. the company is owned by abu dhabi's arm and expanded when it bought the semiconductor charter the following year. checking the ibm shares this morning, they are higher. back to you guys. >>> sticking with tech news, microsoft in on the smartwatch game. forbes reports the company plans to launch its own device within weeks. the smartwatch will be able to track a user's heart rate with a battery life that exceeds two days. forbes says the watch could be in stores in time for the holiday shopping season. taking a look at shares of microsoft down fraction

by the way, apple gave you the real growth. ibm'sia rometti, and she's an easy fall guy, basically, pretty much every geography. heard palpable to flagw3 was th mention of the partnership with apple. where ibm will supply and i quote a newfáÑi class of enterp ready mobile first business applications for apple'sw3 operating system next year.ok i like this cyber security business, too, but it's large, but not the needle mover. i'm trying to be sympathetic, believe me. frankly, i don't know how much to blame rometti who only became ceo january 2012. she inherited a five-year plan by the previous ceo for earning $20çó a share in 2015. that would've had the companyxd growing kf& earnings at 12% to 15%çó annual clip, a totally except now ibm doesn't have the ju numbers to buy back the sto]+k % and she had to abandon the five-year plan with this horrendous quarter.xd especially since thelp company missed the first quarter after it laid out the scheme. maybe it's good news th'4e ibm, expectations for ibmt( are now least let's say realistic.

the plans. especially ibm. out and got out while the getting is good. >> you know who else -- >> we're agreeing together on this. >> we are not agreeing they should -- no. yes. they should change management and not buy back stock and that's the future of these companies. ibm's last buyback at $192. how's that working out for them, kevin? if yahoo! did the same thing -- >> i don't believe in buying back stock. i believe in distributing cash to shareholders. i don't trust management. i want a cash flow from a company. it's disciplined. you don't have to deliver. making a promise, you don't have to do it. you're going to watch ibm probably stop -- >> why do i have to agree with again, kevin? this is a problem. >> we'll come back to the issue in a couple of minutes. kevin, broad thoughts here about the rally and the kind of october that we just had? >> all right. leaving ibm and these disasters that happened, looking at the s&p so far it's wonderful news, kelly. you have got 85% meet or beating but what i really lik

the equity futures were down more than 100 points. ibm said everybody in tech is hurting. listen, we see this a lot with these companies. these debacles and try to bring everybody into it. as it turns out the market would be up 100 points if it weren't for ibm. ibm hasn't seen top line growth in ten big quarters. apple huge top and bottom lines. they sold 39 million iphones. the net earnings, texas instruments. chipotle mexican grill. both beat moving in a different direction. your assessment of the general session. what do you think -- what do you think of earnings in general the market so far in apple? >> the market in general to me, it seemed like the market was open. after what we had last week, the volatility, we opened lower and then grind our way up. remove ibm from that equation, the dow would have a great day. things look very, very good, but it was low volume. that's a little bit of a concern. >> the investors took it that ibm was an outlier. it has its own particular issues. apple beating at the close. and they are an outliers

they are holding up really well in the face of ibm. dow off only 35, that's impressive to shrug something like that off. that speaks to the importance of the august lows, holding up, a lot of people watching that level. to answer your question i don't think the worst is necessarily over. number one, the one area that i think everyone is focused on is european stocks and oil. i think it's the same exact trade, maybe the same participants doing the selling. correlation is.90 between oil prices and euro stocks. that's remarkable. friday at the s&p closed up 1% the russell closed negative. that's only happened six times in the last 15 years and after each one of those events there was more down side to come. i do not think we've seen the worst. >> i mentioned we do have lee cooperman with us today joining us from florida. lee, it's always great to see you but especially now given what happened in the market last week, people were feeling pretty bad about where this thing was going mid-week and we recovered thursday and friday and slugging o

first, let's get you right to the top story that we are following. ibm shares plunged the most in the most in four years, struggling to transform fast enough to handle the shifted cloud computing. an earningsd forecast for 2014 and said it will provide an update on its projections in january. ditching a five-year plan to boost profit. the shares tumbled by dragging down the value of the stake held ibm's biggestett, shareholder. earlier, ibm announced an globalnt to pay foundries $1.5 billion to take over the chip manufacturing division. the deal is part of the ceos efforts to prioritize. apple reports earnings after the bell as the company enters the mobile payment arena. apple pay allows shoppers to buy products in stores using their iphones. the company has signed a banks and credit card issuers such as mastercard and visa. the new service will compete against paypal and square. texas health officials say about 120 people are now being monitored for possible infection with ebola because they may of the three people in dallas who have the disease. offic

what brought the dow down was ibm. liz mentioned, taking a terrible hit today. may be a time to buy. we have analysts suggesting just that. as you can see the nasdaq up 1.35%. we have apple earnings. apple is not only one coming out with earnings. we have chipolte and some others as well. texas instruments. we have very busy hour. fasten your seatbelts. "after the bell" starts right now. liz: as we wait on both chipolte and apple let's get to today's market action. joe durant, united capital ceo, here to toll you why you should stay away from the very thing a lot of you are attracted to right now. not brad pitt but treasurys. bob phillips, spectrum management group, says why you should be wary of small caps so stay away from those. peter kenny, warns of more volatility in the next couple weeks. bob iaccino in the pits of cme. we begin with you, bob. ibm we know what happened this morning. they missed, they warned, it was a total mess. look at the dow in the last final hour, crossed the unchanged line 12 or 13 times. it was really trying and made the grade here. w

back to the story on ibm. big blue is paying global foundries to take over its unprofitable chipmaking unit. joining us with a look at what this means for the company, is bloomberg intelligence semiconductor analyst. real-timeunique research on injuries. finally ibm was able to offload this unit. what took them so long? >> i think the haggling of the price was an issue. there are details of how long r&d was going to be continuing with another issue. for ibm, i think the focus now is on services going forward. the burden hangover, of the hardware division across pc's and servers. now chipmaking is off the table. ,t is now going forward exclusively focusing on software and services, which is what they have claimed they want to be for a long time. >> yet their stock is plummeting right now. >> there were some issues with sales. there was some weakness. that could be a hangover on the company's sales in the near future. >> in the short term. >> again, going forward, it brings ibm completely away from hardware, chip

pretty funny, we were watching the opening this morning. ibm took a minute to open. in that interim between 930 and 932, the market was down 18 points. as soon as it hit, that went down 118 points. it's powerful on our markets here. i think the overall sentiment, the overall message is that global economic slow down is is there. there's many other factors that will effect ibm. ibm used to be a household name of computers. they're now an ip -- there's many different areas that ibm more of a conglomerate than a technology company. >> normally we wouldn't give this much attention to a single stock. this is october 6. the piece was originally about women and wall street and women running companies. it basically almost foretold this. can ibm ever be cool? today it's everything, but cool. we don't mean to make light of this, one of the big pieces of news looks like a huge stumble and that is they're paying a company to unload one of their chip businesses. i thought of roger saying take my wife here. here saying, take my chip business, please. they're paying a company one an

maybe he gives pass on the next quarter. wow, ibm about ibm was they have a relationship with apple and introducing 16 new products. they have something in security. they buy a lot of companies. they have no social, no mobile, no cloud, no interactivity. every one of those will say they are up double digits. the base of what they are up on is so small. is it cumulus cloud, i've got to get a weatherman. this is a cloudy story. >> how about verizon? >> the ads are good. the penny misses. the one that dazzled me last night, no one talks about texas instruments. texas instruments, micron, sky works solution. texas does have some apple. these quarters are remarkable. i think we put behind microchip. some companies are doing really well in the business of tech. ibm is not one of them. i question whether it is tech at this point because -- on the call, it is open rebellion on that call. you guys are a second rate -- i can't take it. they are so mean and horrible. they were bullying apple. ibm. ibm was a love affair. they are bullying ibm. >

we'll look at how serious the problems are for ibm. ♪ >> you are watching the best of "bloomberg west we focus on innovation and technology. i am emily chang. ibm is struggling in the age of quad computing. they just gave up on a five year earnings goal. ibm is actually paying global foundries $1.5 billion to take its index of its hands. cory johnson i spoke with david kirkpatrick. i started by asking david how much trouble ibm is really in the. >> if service is going down, that is the biggest news item despite having to pay somebody $1.5 billion to take the chip business off their hands. the reality is, this is a giant and old conglomerate and an industry that is changing really rapidly and players are becoming specialized. that is a lot of challenges altogether. >> cory, what did you say? is ginny left holding the bag here? she took the ceo spot. >> i am always quoting warren buffett. when a manager's reputation meets a business with a bad reputation, it is the reputation of the business that survives. >> he has lost a big share. >> ibm is in a crummy business and they are trying to

the party. everybody does. full disclosure, ibm is one of the things i hold. >> and shares are rising in the premarket. 184 is the current trade. >> let's begin on a call or monday morning with two smart guests. david blue is with us -- woo is with us and alicia shalit. lisa, did you buy on friday in which you acquired this morning? >> absolutely. our perspective is this is a garden-variety albeit highly volatile, market correction. this is part of health and hygiene. >> i like that. we found some very interesting and much more appropriately valued spots. >> david, for you and me, lasted was fun. everything was correlated. this morning, how correlated our markets and how correlated is when theconomics? >> market closed on friday crowds a most people would say at least 15 and not 20%. >> and that persistent today. >> lisa, you wrote about the growth scare that have mastered but it doesn't appear to be happening -- affecting companies all that much. thise ibm paying to get chip maker off its hands. do you see this to continue? >> we

why the move? ibm is rolling out applications for watson and wants to attract the young hip sound developers to write apps for it. several deals announced today. the founder of travelocity, a company that will allow travel agents and consumers to use a natural language interface so consumers and travel professionals will be able to talk naturally about travel plans and it will make recommendations on flights and hotels and places and destinations. it's part of a very hot area of technology called cognitive computing, something like artificial intelligence. they don't think by themselves but capable of learning. they can interact and propose solutions and the technology is getting better very fast. another use watson is being tested for is as an aid to doctors to more quickly and accurately make diagnosis. it will react with information from the doctor's medical exam. the doctor could look at watson that will compare the symptoms to boost a series of possible diagnoses. this is valuable when dealing wit

and ibm too as it seeks to get away from the money losing hardware business. >> very interesting. cially ibm this morning has been forecasting a big announcement. that is it. and more breaking news and for that mary thompson at hq. >> this concerns currency. it's been in the news because it is this rival mobile payment application developed by a group of retailers, including walmart, cvs and rite aid in the news earlier this week because rite aid and cvs declined to accept apple pay. current c says it's been hacked in the last 68 hours. emails and dummy accounts have been accessed. it continues to investigate this. but keep in mind this is a pilot program so these are dummy consults not real accounts. but again current c which is this rival app that's been set up my merchant who is don't want to take apple pay because they don't want to pay the credit card processing fees. >> not exactly encourages for folks who want to take our money. october was clearly a month for stock market sentiment. not least travel and leisure stocks. simon hobbs is joined exclusively by arnie sorenson, pr

the company has managed to unload its money-losing chip unit. ibml foundries $1.5 billion to take that business off its hands. a group of investors plans to make a $2.2 billion for reebok. reebok is currently owned by adidas, the world's second largest maker of sporting goods. a hong kong-based right equity firm and funds affiliated with abu dhabi are going to make the offer. in 2000ought reebok six. reebok as a brand has fallen on hard times since then and is trying to reposition itself as the leader in fitness gear. poll shows it's a dead heat with a week to go before the presidential runoff elections. bit two are statistically tied. the two are statistically tied. news for people who came into contact with the first ebola patient here in the united states -- they have been cleared of the risk of getting the disease or will be clear today. there is the 21 day window. most were workers up hospital where thomas eric duncan was treated. on cdc blames the exposure inadequate safety protocols. dr. anthony fosse says new ones are on the way. >> very cle

that's why the ibm in partnership is so important. they are thinking about specific business uses that only a tablet can do. ibm is writing software just for ipads, and those are new things. that is why the pay of and ali is so important. the thumbprint deal. we talk about apple pay. apple pay for e-commerce is a really important thing. the idea you can go to groupon using your thumbprint so groupon never gets here credit card,, that is a big deal. ipad-specific use cases are starting to bubble up. >> you caught up with people at the event, including gene munster. >> we had a little tim cook tim,e not caught on camer, and also some gene munster time. listen to what he thought about today's announcements. >> a lot of increment of things. there was a little surprise in terms of apple pay. that was the real news, how much progress they made in the last month. >> did you wonder when they would come out with it? >> we expected it in the month of october. the 500 banks and 10 retailers, the mid-more progress in two months than ebay has at p

on the ibm cloud, the us open analyzes 41 million data points from 8 years of competition to uncover key insights. data can help show you how to win, no matter what business you're in. today there's a new way to work. and it's made with ibm. >>> buying and holding blue chips have been a dependable strategy but with several of the big names struggling, is that still the best way to invest? are blue chips past their prime? log on to cnbc.com/vote. tell us what you think. the journal raise an interesting question with a great article that seems to suggest maybe these blue chips, this tried and true strategy that's worked for a long time may not be the best way anymore. >> i think they cherry picked those scott. the list they pulled out. and it's pretty long. >> what do you mean cherry picked? ibm, procter & gamble. that's a big cherry picker. >> disney up 25%. microsoft up j and j. i can go on. i won't so they completely picked. the point of this exercise is if you are in the right names. if you are just buying the dow you are buying the dow you have the composite of 30. we talk about a

on the dow it's as if investors have put aside ibm, coke and mcdonald's. re the only three components in the red. every other is higher. >> and those are the stalwart american icons too. we talked about the s&p. that is going to be the story for the week because of how much earnings volume. but stoke noting still about 40 points below the 50 day moving average even though it's above the 200 day. so traders are watching for that 50 day no doubt. >> what's down and flat. arm holdings down more than 5% today. down 22% for the year. also we've got google which is just about flat today. interesting to look at that chart for the year so far it's down a bit. >> and not done with earnings season by a long shot. to the judge and the fast time money halftime report. >>> thanks so much. welcome to the halftime show. we are live in the heart of new york city at the robinhood investors conference. and boy do we have a big show over the next hour. coming up we are going to get investment ideas from some of the street's brightest minus. greenlight capital, keithmeister an

the dow being dragged down by ibm. ng the kind of many expected to make last quarter, that hurt the dow industrials. price of oil around $82 per barrel, just about 82. the family of the second nurse diagnosed with ebola hiring a lawyer they say claims acted recklessly are not true following cdc guidelines. all rise, judge andrew napolitano are here. if they can to be sued by various entities. speaker that is a reasonable expectation. i don't think she expects to sue anyone, she recently anticipate the people with whom she came in contact who lost 21 days of their lives, locked up in their homes for 21 days are going to sue her for the fair market value of that economic loss. if they do sue her, who will bear the financial responsibility for defending her, paying a settlement if there is any, paying a judgment if there is any, the homeowners insurance company. if she rents and has rental insurance, has homeowners insurance, almost all of them have a clause four out of the home behavior of this nature. it shifts financial

a silicone firm is taking over the chip making division of ibm and getting paid for the privilege. our reporter nick smith is live in santa clara with more on why ibm would be willing to fie gpa >> reporter: good morning. it is all part of a move for ibm to increase its revenue while it transitions to technology. it has agreed to pay $1.5 billion to take a profiting unit off of its hands and will supply ibm power processors in exchange for intellectual property. that would allow them key technology and ibm chips for its systems. under the agreement ibm will make payments for the chips over three years and will receive $300 million worth of assets making the value of the deal $1.3 billion. ibm has said it will release its earnings offerings today around 7:00 a.m. pacific standard time and announce a separate deal e. >> happening today, cal trans leaders are set to meet about the next step about a minor project that turned into a disaster on friday's commute on the bay bridge. traffic was backed up for miles in every direction. drivers slowed way down to go over two steel plates near

the economy. whenow have more ibms missing and surprisingly missing, by a lot. is is -- everybody is hoping it's an outlier, but here's the sort of silver lining here. get a couple more of these and then the case gets to be made that should still print money and not raise interest rates and that's a positive for the market, at least in the short term. >> just when we start getting worried, enter news that is weak enough to keep the federal reserve keeping the money going, keeping the party going, and it's like a perfect world. >> well, i think i disagree with the first two guests because i think -- >> you disagree more with, charlie or tracy? >> charlie. but generally, ibm has had a weakness in their business for many quarters, ten quarters where they have been seeing top line sales drop and they have been relying on the stock buyback program. they issued $37 billion of debt and have been spending four times as much on buying back stock than growing their business. this idea that their earnings are strong i disagree with. their earnings have never been -- >> the

the company's revenue fell 6% in the third corner. quarter. ibm is paying the company one point $5 billion to take the underperforming unit off its hands, and entered's out this is onlyhe underperforming ibm unit. so how much trouble are they in? cory johnson with me in the studio, and a reporter who covers ibm. also, david kirkpatrick who set down with the ceo. how much trouble are they in? it sounds pretty big. >> several things. if services are going down, that is probably the biggest news item despite the glitzy thing about paying someone $1.5 billion to take the chip business off their hands. this is a giant, conglomerate in an industry where layers are becoming increasingly specialized or that is a lot of challenges altogether. left holding the bag? is this something that was put into play before she took the ceo? >> i always quoting warren buffett. good manager meets a business with a bad reputation, it is the repetition of the business that survives. you mentioned the prophets, they said they will double profits. they said they would doubl

ibm earnings out yesterday. the big warren buffett names. >> 16% in coca-cola. >> 9% outstanding? he is quite significant. enormous companies. when it comes to ibm, the whole theme of the marketplace which we heard from ebay, hewlett-packard and we heard yesterday from ibm. >> tesco in the u.s. the market was moving too fast to respond. >> coca-cola weighing on the dow. the company's conference call is wrapping up. his long day of doing it himself starts with back pain... and a choice. take 4 advil in a day or just 2 aleve for all day relief. honey, you did it! baby laughs! it's in this spirit that ingu u.s. is becoming a new kind of company. ing u.s. is now voya. changing the way you think of retirement. maestro of project management. baron of the build-out. you need a permit... to be this awesome. and you...rent from national. because only national lets you choose any car in the aisle... and go. and only national is ranked highest in car rental customer satisfaction by j.d. power. (aaron) purrrfect. (vo) meee-ow,

ibm added additional $5 billion to their stock repurchase. in addition to the.4 billion they still have on remaining stock purchase programs. so again, ibm one of the companies talked about often as the serial repurchaser of stock now adding more to that. and pointed out in "new york times," since 2000 ibm bought back about $180 billion worth of its own stock. >> now back to the fed. what could tomorrow's announcement mean for treasuries? let's go to jackie deing . >> the market has not necessarily had rational reactions to the fed announcements. we are expecting to see qe end tomorrow. but the question is how will it shape out in the bond pits? >> i think what the fed has to say is going to be mil milk and kookzs and a pat on the head. the last time the fed ending a meeting was above 20 0u. we know it is going to end. i think they are going to push out raising rate because that is what everybody's paying attention to now. >> jim said earlier this morning he thinks rates rise before falling again. where do you think. >> i'm o on the camp with jimmy. if you see

on the ibm cloud, the us open analyzes 41 million data points from 8 years of competition to uncoverey insights. data can help show you how to win, no matter what business you're in. today there's a new way to work. and it's made with ibm. >>> shares of sturm ruger. gun demands slow. down about 10%. dragging it down is smith and wessen. they are down about 6%. and on the --. 2013 marked the peak for domestic guns and ammo and accessory sales. >> f5 reporting 18% rise in revenue year over year for strong demand of security products. the stock is up about 4%. what is next for the company? john mcadam joins us now along with the announcement that he is going to be retiring in 2015. john, first of all, congratulations on the retirement announcement and the great quarter. you seem to imply on the call last night that your successor will probably come from within. because you have got a strong bench. what are the characteristics based on your conversations thus far with the board that you believe that next leader needs to have? >> well i think the leader needs to be innovative. you need to

force, the ibm sales about the apps being written for this, and he gives that not only something elseo sell but a way to put their apps in a new place. tim, let me ask you also, there is some speculation about the apple tv product, they could be announcing this thing, as well. any indication this is coming closer? >> there is also some us and changes with a mac lined up, so we are looking at not just ipad news but other new products that the company has. >> so we will circle the date in our calendar. so many companies coming up with new products for this fourth quarter. our bloomberg news reporter, tim, thank you very much, and our piper jeffrey analyst joining us all of the way from indianapolis, thank you. how do you stop cyber crime? hitting a lot of banks and stores, with millions of victims? the former director of the nsa shares his thoughts with us about the rash of cyber crimes. ♪ >> i am cory johnson. justice agrees on fulfillment. whether they should be paid as they wait in line at security check out. -- suggestingng it is helping amazon, but chief justice john roberts questi

remember just last week, introduced the ipad air 2 and also talked about the collaboration with ibm. macs still make up 12% of the rev new. 5.5 million units. that was up 21% year over year. cook telling me that was the best quarter in the history of the mac. chalked that up to a back to school season he said which he described as a blowout. back to you. >> let's take a look at the stock after hours session. right out of the gate, it was not the reaction one heigmight position. >> i think going into fourth quarter which is everything that tim cook claims it will be, but i think what is interesting about the company now, it almost has two quarters. it was always first quarter was almost a black hole for the company. and this would be fiscal second quarter actually. but i think if you're in in a case where with the china move, the fact that we've only just gotten out of the gates, the 4 g rollout and momentum in the stock that we have now, believe it are or not, i believe that all expectations and the sentiment on the street is barely balanced. year and a half ago, people were way too b

there's a good component with the ibm program. >> thank you so much, howard. i appreciate it. these will be here tomorrow night and fans can bid on them and then they'll go to charity. coming up, why this program is so important. we'll go into detail on that. live at at&t park, chef any calm. >> with. >> a little pop culture for you. >> the world series will be one of those things trying up traffic. there's also cal-oregon tonight. both expecting crowds around the shoreline amphitheater. and performing, tom jones, neil young and the sharks. >> there's barely any time to sleep this weekend. >> well, you can raise. >> what are we looking at, rob mayeda? >> 62, we've got some patchy low clouds out toward the north bay. it appears thickening up,s a the finally he's 70s in the north bay. you'll notice the clouds thickening ups a this weakened storm system bears down. now for a check of your friday commute, here's mike. >> the toll plaza goes, you have cash lanes building um gradually. we'll see the metering lights turned on in the next couple. my concern for highway medicaid. now w

the market. not just yet. i don't think ibm is showing us the way. neil: remind me not to invite any of you back on disoars i deem important. apple pay is off and running. tracy, you're one of the people with the iphone six plus. potential -- it makes it almost too easy to test. >> oh, my gosh, i'll swipe my wife away. if the kids are on it i'm really toast. paypal has made it so much easier to buy things. this takes it to a whole new level. makes it very dangerous. >> people are worried. is it secure? watch what apple pay is doing. you know, you have to give your three or four digital security code to the cashier, apple is doing away with that. it will scramble for you every transaction. it will give you a new encrypted code. it will make it safer to shop. >> it might make it safer and easier, but in terms of not thinking how much we're spending, i mean, consumers are already so far beyond that. i think the leap from cash to plastic is so simple that consumers are already spending without thinking and you can see it in the bankruptcy courts, you can

on the ibm cloud, the us open analyzes 41 million data points from 8 years of competition to uncovernsights. data can help show you how to win, no matter what business you're in. today there's a new way to work. and it's made with ibm. get to the terminal across town. are all the green lights you? no. it's called grid iq. the 4:51 is leaving at 4:51. ♪ they cut the power. it'll fix itself. power's back on. quick thinking traffic lights and self correcting power grids make the world predictable. thrillingly predictable. >>> welcome back. we had the pleasure of being joined by nathaniel august of mangrove partners. wwe, he went short that name. i'm going to you for obvious reasons. >> what are the obvious reasons? when he talked about subscribers and the fact that they will have to double for them to make money. i'm not in the name. i haven't been in the name. i love the product but i have to agree with him here on the stock. >> josh brown, you can take fortress, wwe or another standout. >> so on the wrestling thing i hate the product. >> why? >> why do i hate the product? because thos