and underappreciated apple. let's get a check on bloomberg first word news with ramy inocencio at the news desk. amy: ted cruz leading donald trump why about 10 percentage points in wisconsin. trump is telling john kasich to get out of the race. he says if i did not have kasich, i would automatically win. bernie sanders is leading hillary clinton in the state. firm in panama city hsbc holdings was among the most active in registering shell companies that moved moneys around the world on behalf of rich and politically connected clients according to findings internationale consortium of investigative journalists. it outlines the creation of more than 200 house and offshore companies. shell companies can be legal and can also be used to hide wealth. the supreme court has agreed to weigh in on claims of racial from ad hear an appeal man who said he did not have a fair trial because a germane offensive comments about mexicans. he said the comments were so bad that the deprived him of his constitutional right to a tri

>> i love them apples, but any stock selling at this multiple by definition is not underappreciated, because it is a premium to the market, and in fact, to other companies in the same sector, it is not underappreciated, so it comes down to what type of investor are you? i am more on the value side. >> and you are willing to pay up for growth though? >> if you are a growth investor, this is the perfect kapd date, and the metamorphosis is amazing, and they have gone from product to product, and they have stake theed a claim in shoes, and build on it, because lot of people never thought they would get there in shoes, but they are there. and if you are growth meyer, yes, and value player, no, you can't go there >> so you are willing to buy a stock like netflix with big valuation, and people are playing up for for the growth, and why not under armour? >> i have been in it, and not right now, and they were buying the 45 calls monday of this week, but it is not big enough, and chunky enough, and volume wise to follow them in, but the steph curry side of it, and we knew that when nike went i

the firm saying there is an underappreciated driver for the stock the market may be missing.he analyst behind the call joins us. welcome back. >> hi, how are you? >> are this catalyst is -- service is business. which you think can double by 2020. which has some people asking today, is that too big of a bet to make? >> well, that's correct. we did a deep dive into apple services and our conclusion is the market and all the underappreciates how big this business is from a profit contribution perspective. also its growth potential. so we see the gross profit contribution doubling to 30%. and what gives us confidence about this growth, remember apple's user base, $1 billion devices around the world, 6 money million unique individual users, use apple products. they are highly after fluent, attract very young. and as apple rolls out new services and continues to grow things at the app store and icloud and ramps up the music service as well as tv service, we see strong growth for the segment. >> i wonder -- i'm going to twist it and frame it another way. is this in any way a represe

what i would offer to you is one of the most underappreciated patriots are the military families.one to have all starbucks in an airport, you never know who the spouses are that have endured the same hardships. or are as all into this mission as the sailors that are out here. appreciationr some and recognition while we come out and do this. without their dedication and mission we would not be able to do this. the most fun moment i had in the , the top five flights, some of them were in training once upon a time. that was some really aggressive training. it was really awarded -- really rewarding. asleep andber being i upgraded the alert. 15 minutes later they were shut off the front end. it was the ability to do that and participate where it intakes -- where it takes the entire team to make that happen, it was pretty remarkable. and it has been a positive experience and i am so fortunate to be a part of it. host [music] >> dr. charles stanley: for all of us who are believers, god has given us the key to living a godly life and a life that is pleasing and honorable to him. and a lif

the progress they have made to date is so remarkable that it is underappreciated by a lot of people andaybe even the market. they created a diagnostic to genotype tumors so they could help physicians pick the best treatment modality so we are treating your cancer. if we all live long enough, we will get cancer and we can treat your cancer, not what was the gold can't -- gold standard for the generic form of what we call long cancer because it happens to be in your lungs. step here it will that lead to a cure? they say there is a turf cancer, early detection. so it is a big step. i will tell you there are patients alive who would not be alive but for the foundation medicine test. that is really compelling. in some cases, they did find a cure for cancer. emily: are there any areas of health where you just will not go where technology has not caught up to the need? bill: no. emily: how do you balance whether something is impossible? lose money, need to be correct, i need to be right, then that is the wrong business for you. emily: is that the luxury of working at google? bill: no. if we al

the progress they have made to date is so remarkable that it is completely underappreciated by a lotf people and maybe even the market. they created a diagnostic to genotype tumors so they could help physicians pick the best treatment modality so we are treating your cancer. if we all live long enough, we will get cancer and we can treat your cancer, not what was the gold standard for the generic form of what we call long cancer -- what we call long cancer -- lung cancer because it happens to be in your lungs. that is a huge step here it will that lead to a cure? they say there is a turf cancer, early detection. so it is a big step. i will tell you there are patients alive who would not be alive but for the foundation medicine test. that is really compelling. in some cases, they did find a cure for cancer. emily: are there any areas of health where you just will not go? where technology has not caught up to the need? bill: no. emily: how do you balance whether something is impossible? but maybe possible? bill: you can't lose money, need to be correct, i need to be right, then that is

come on, he's an underappreciated genius. still think it's me. it's not you.after him. of course there is. the mini cooper, 'cause it's me. how about this: he's a poor man's sheldon cooper. oh, tesla. hi. hey! how'd it go? oh, not fun. the doctor shoved a camera up into my sinuses. yeah, i watched. it was like the scary boat tunnel in willy wonka. did they figure out what's wrong? yeah. it's a deviated septum. the surgery to correct it is simple. he's gonna do it next week. why would you have surgery? because i can't breathe. i snore, i get sinus infections... yeah, back off, he's all mine. but you don't have a life-threatening condition. why would you take the risk of surgery?

. >> i sure know when to walk away and when to >> this is a remix of an underappreciated duet that he once did with the late great ray charles. this is a remix of seven spanish angels. the youtube mix. >> it's not going to play. it's a joke. >> in my head. [music] >> here's what's happening. stop bid javits center in manhattan with the free diabetes expo. kick off the day with entertainment, exercise tip and access. on long island, the wildlife refuge hosts the eighth annual conservation day with face and all ages have activities including double dutch and more. the educators have activities like hayrides and end active games. plus you can enjoy the hike-a- thon. the staten island highlights west africa to the caribbean and latin america back to the u.s. the museum of the city of new york celebrates international jazz day with the 16th anniversary of the ultrarare documentary satchmo the great. for more information about this event or you wish your dog could fight off fleas and ticks. but since he can't... you rely on frontline plus. because frontline plus unleashes a deadly killing f

some underappreciated feature of lincoln's character are nonconformity comest -- skepticism and openness to criticism. he questioned many of the conventional values of his time. he was a singular and unconventional person. let me read you a quote from william lee miller, which you have in your handout. he writes, "in an atmosphere soaked with hostility to indians, lincoln resisted it. in a time and place in which the great mass of common men in the west supported andrew jackson, lincoln supported henry clay. surrounded by democrats, lincoln became a whig. in a political party with a nativist undercurrent, lincoln rejected the prejudice. in a southern flavored setting soft on slavery, lincoln opposed it. in a white world with rain -- strong racial antipathies, lincoln was generous to blacks. in an environment indifferent to education, lincoln cared about it intensely. in a family active in church, lincoln abstained. when evangelical christianity permeated the western frontier, lincoln raised questions and give different answers than his neighbors. lincoln was skeptical about the common pr

jacob: that is one of the things that is so underappreciated partly because it is poorly documented ination to his hollywood career -- there was a playhouse he and also wased in, the internal spokesperson for ge. and made jet turbines lightbulbs, and all the things the future conglomerate did. it was over eight years, as the public spokesperson for ge that he went from being a liberal democrat that supported truman and thought about running for office as a democrat, to being so conservative, that ge did not want him as a spokesperson anymore. also, he was to the right of barry goldwater, quite literally three and one of the most important spokesperson for goldwater's campaign. sometimes i think it does not get as much attention as it should, whether it is a policy position he might take. what did you learn looking at that? you say am glad to hear that. one of the ways i related to reagan, is that he was a real writer yuri he wrote letters, extensively. , he was a good writer. him ad have given conservative column on "slate." he was a radio announcer, and often said he wrote for the yea

the panama papers is a good pon underappreciated threat to democracy. it's your home.erything you've always wanted. and you work hard to keep it that way. ♪ sometimes, maybe too hard. get claimrateguard® from allstate. it helps keep your homeowners' rate from going up just because of a claim. call an allstate agent first. 888-429-5722. accident forgiveness from allstate will keep his rates from going up. but not his blood pressure. michael james! middle name. not good. get accident forgiveness from allstate and keep your rates from going up just because of an accident. and it starts the day you sign up. so whether it's your car or home, let allstate help protect your rates. talk to a local allstate agent and discover how much more their personal service can do for you. call 888-429-5722 now. but i've managed.e crohn's disease is tough, except that managing my symptoms was all i was doing. and when i finally told my doctor, he said humira is for adults like me who have tried other medications but still experience the symptoms of moderate to severe crohn's disease. and t

the panama papers is a good thing because it sheds light an on underappreciated threat to democracy.ortunately, it may be just the tip of the iceberg. >>> next on gps, the middle class in america is angry, the american dream seems dead for them with no chance to move up the ladder. why is that? a fascinating answer when we come back. hey! this is lloyd. to prove to you that the better choice for him is aleve. he's agreed to give it up. ok, but i have 30 acres to cover by sundown. we'll be with him all day as he goes back to taking tylenol. yeah, i was ok, but after lunch my knee started hurting again so... more pills. yep... another pill stop. can i get my aleve back yet? for my pain... i want my aleve. get all day minor arthritis pain relief with an easy open cap. my school could be bad.ing fast. could be a blast. can't find a single thing to wear. will they be looking at my hair? won't be the same without you bro. ♪ when it's go, the new choice privileges gets you there faster. and now, stay two times and you can earn a free night. book now at choicehotels.com in new york state, we

jacob: that is one of the things that is so underappreciated partly because it is poorly documented ination to his hollywood career of four and political career after. he spent years working or general electric in the 1950's as the host of a weekly television program, ge playhouse. really it was then that time of , he goes fromars being a liberal democrat, who supported truman, and at some point thought about running for office as a democrat, to being so conservative, ge did not want him as a spokesperson anymore. he was to the right of barry goldwater, quite literally, and chief spokesperson for the goldwater campaign. jeff: i have always been fascinated by reagan's writing, which does not always get as much attention as it needs to, whether it is the journals or a policy position he might take. what did you learn looking at that? jacob: i am glad to hear you say that. one of the ways i related to reagan was when i discovered working on the book, he was a real writer. he wrote every day. he wrote letters, extensively. his writing is interesting. he was a good writer. i would have give

but i think what the market is underappreciating here is that euro area lending is actually growing.s are overreacting to the downside. we have loan growth to households and businesses above 1% now. that's a key in fundamental catalyst here. >> okay. we'll leave it there. thank you very much. >> thank you. >>> coming up on the program, netflix set to report earnings on monday with stock up 26% in the past two months. is any good news priced in or the stock still a buy? more "halftime" after this. how was your commute? good. yours? good. xerox real time analytics make transit systems run more smoothly... and morning chitchat... less interesting. transportation can work better. with xerox. thank you for calling. we'll be with you shortly. yeah right... xerox predictive analytics help companies provide a better and faster customer experience. hello mr. kent. can i rebook your flight? i'm here! customer care can work better. with xerox. wait i'm here! mr. kent? >>> netflix gearing up to report earnings after the bell on monday. what can investors and binge watchers expect to hear from th

and he found one of the most underappreciated women in american history very often we tend to make the assumption a remarkable woman. the decision to what goes in both directions. she had been strangled before this, in her late 20s. just at the verge of a woman's marriageable age. married augustine because she saw this man a sober minded very interested in her apart from personal qualities about which we can only guess. he was doing various things. all of that the management of the estate and in the management of her children her 1st porn being george washington. the decision was made among them being that george would not go to school in england but one says they are mount vernon and receive education through tears. very clear, very simple principles, george washington especially super organized. that wasn't just a made a personality trait. that was his mom. i have to make a joke there were two things i can't really say which was worse. come to haunt his later years, but in the stage of his death, and it was terrifying. the fire sales of gentlemen going out of business. but she was a

as for the overall front-runner, i think one of the underappreciated facts about donald trump in his second-place finish last night in wisconsin is it was foretold a little bit by him losing his mojo in terms of his campaign rallies. the night before the wi we primary, donald trump held what was expected to be a large event at a theater in milwaukee that seats about 7,000 people. he ended up turning out more like 2,500 people. there was no line to get in. this was not a security problem. there were lots of empty seats inside. some parts of the theater, there were more reporters than supporters. thousands of empty seats. was that just a bad sign for donald trump in wisconsin? was that a sign that things are pooping out for him more broadly? here's your latest evidence from tonight. donald trump rallying tonight in bethpage, long island. this is at a venue that holds 10,000 people. these were the crowds that were waiting to get into that venue today. the crowd estimate in terms of the number of people who turned up tonight is -- this venue is at capacity, it's full. did i mention it se

it's an underappreciated part of her career. if she wins it, then it becomes really hard for bernie. really, really hard. what you saw with those wyoming numbers, he beat her with i think it was 56%. they just split the delegates. >> that's right. >> if they keep going forward with that, she ends up with a pretty big lead. >> one of the issues of course is that lead is insurmountable, double what barack obama had in 2008, but you have seen this concerted campaign by bernie sanders supporters to try to convert superdelegates to her side. to e.j.'s point, if she were to win new york, it would be mostly a psychological momentum change that might persuade superdelegates. what do you make of the really aggressive, the "wall street journal" has a piece this morning about the attempt to court superdelegates which has included contacting delegates, distributing the contact information, supporters are taking into their hands to do. what do umake of the aggression with which some of the sanders supporters are trying to get the delegates o

. >> and that is one of the things, jeff, that i think is so understudied and so underappreciated, partly because it's very poorly documented in relation to his hollywood career before and his political career after. but he spent these years working for general elect in the 1950s, when he was both the host of this weekly television program, "g.e. playhouse" that he stipes acted in, but always introduced the show, but also was the internal spokesman for g.e. he would go around to all their different facility where's they made jet turbines and light bulbs and all the different things a huge conglomerate did. and really it was in that for the period of about eight years that he goes from being a liberal democrat who supported truman and at some point thought about running for office as a democrat to being so conservative, that g.e. didn't really want to have him as the spokesman anymore. but also, you know he was to the right of barry goldwater, quite literally, and was the chief spokesman for one of the most important spokesmen for goldwater's '64 presidential campaign. >> glor: i've always

i think it's really important and grossly underappreciated certainly for a very long time. last one. >> well, actually i have two. >> okay. >> if that's okay. [laughter] >> first you mentioned the fed's role as regulatory body so i would like to hear more about that. i'm also curious about the u.s. status of world reserve currency, what's the fed's role in maintaining that or how does that restrict their action? >> all right, let's take -- yeah. [laughter] >> the dollar is not a great reserve currency except for all the other options. we are going to go to euro or the yen where you have deflation, there just aren't many other options, there's the yuan in china where there's not much transparency. if i had to bet i would see foreseeable is going to remain reserve currency just because of lack of options. it's not certain that it's a great thing, it is certainly true that allows us more leeway on the central bank side. central banks around the world want to reserves in dollars and so on, but it's not clear when you look at fiscal policy that having it so easy to borrow will w

it's hugely underappreciated and really is that dwglue that hold us together so us civilians don't look as dumb as we are when we have to get together. and jim was the architect and the master of keeping the executive secretary working both for secretary perry and for secretary cohen, and we got to meet at that stage and then we've had many opportunities since then. just delighted and honored that he's here. he's on his way to the gulf, and so he gave us the privilege of stopping off just for a little bit of time to talk with us to try to understand what is going on. i must say, it feels very jittery to me to have kind of a certain -- we've got this new kind of parallelism between iran and syria -- iran and saudi arabia. long-standing allies that are all of a sudden being put side by side with countries that have been opponents for quite a while. this is a very curious time and i think we're going to need to listen carefully to a man as wise as jim mattis to understand how should we be speak being this. so could i ask you with your warm applause say thank you to jim mattis for him comin

general electric is falling as well, pristine downgrading that stock valuation and underappreciated risk for the company, including a longer downturn in the oil and gas sector. cisco and jpmorgan rounding out the top four drags we are seeing today. scarlet: stocks you are mentioning, falling after reaching the highs of the year. volatility was the story of last week, with a lack of volatility we saw. julie: even the volatility fix up a little bit today, it's still a pretty low level. printleague jovially in as a good story out today, looking at volatility and what has happened and how it is formed a love investors. x, this is fix -- vi the three-year chart and the three-year average, you can see right now we are below that level. andtility, after spiking seeing the return of volatility here, we are now once again below the three-year average. at a time when a lot of investors are betting the volatility is going to come back. this is the vx next, an atm that vix.s the backs -- the it has spiked up and now has come down. these the shares outstanding. it a lot of folks who have been trading

what is underappreciated here, it's fair to beat up the bank for lack of revenue growth, but it's noteat up on the banks for lack of resiliency. resiliency is the strong suit of the banks right now. ♪ >> welcome to bloomberg markets. ♪ scarlet: welcome. alix: here's what we're watching at this hour. stocks are moving higher after the release of minutes. hoping for more clarity on the future of interest rates. scarlet: the merger is off between pfizer and allergan. bed bath & beyond reports earnings after the bell. lower for the retailer after a disappointing third quarter. scarlet: julie hyman has the latest. it is the first game this week. julie: we are seeing a big ounce back after a two-day decline the largest in two months. rising to about the highs of the session with the nasdaq leading. has been lagging throughout the session for one thing we have been watching highlighted in a bloomberg news story today has to do with short interests and stocks overall. we have seen them climb and climb. that in the recent rally, the recent move has been fueled in some part by a short covering.

my point is underloved, under owned, underappreciated.about time they started picking at that, and you can see that happening today. i don't see much more upside. but there's clearly get a little more widely owned. finally we're getting a modest new break, not a lot. it's interesting to see them hit new industrials. illinois tool works, rockwell collins, becton dickinson. no, it's not new heise, but definitely keep an eye if this trend continues, we'll have some definite breakouts. back to you. >> thank you very much, bob pisani. let's get to the bond pits and check in with rick santelli. good morning, rick zbhood morning, carl. we had two pieces of information that were key this morning. we had the gdp interpreted by the atlantic gdp but also for the lack of pricing and lack of productivity and environmental. look at the intraday of two-year. you can see the volatility and if you go to the far end, you can see the volatilities show up as well. maybe the most important chart is it will is ooh go to the area of the chart, the fulcrum of th

. >>> ahead, a woman who says he recylcl -- who says she likes being underappreciated in basketball.it's alright. ♪e. ♪ ♪ bend me shape me, any way you want me. ♪ shape the best sleep of your life. sleep number beds with sleepiq technology adjust any way you want it. the bed that moves you. only at a sleep number store. > ♪ >>> there's the cut and lay-up. >> that's lebron james at the first quarter buzzer beater in the playoff win over detroit. james is shooting for his sick pth straight nba final. >> i think he's going to have a great time and will do well. they might win the whole thing. >> yeah. >> no matter who battles for the championship, t the league winning. the nba brought in more than $5 million in revenue last season. more than 60% jump over the past decade. the average player salary is a little more than $4 million a year. all the players depending on a woman making history while fighting for their future. we talked to the first female head of a major american sports union. >>> good morning. michelle roberts runs the union representing over 400 nba players. the 59-year-ol

. >>> ahead, a woman who says he recylcl -- who says she likes being underappreciated in basketball.d 27 years. raised 6 kids. including 5 boys. he had grandpa move in with us. glenn: we loved having him as part of the family. kids: in congress, dad will protect president obama's legacy. he'll fight for jobs and protect social security and medicare. glenn ivey will never quit on you; and we should know, we're his kids. glenn: i'm glenn ivey and i approve this message. i'll take on the republicans for all of us. ♪ ♪ new fresh step with the power of febreze. odor control worth celebrating. > ♪ >>> there's the cut and lay-up. >> that's lebron james at the first quarter buzzer beater in the playoff win over detroit. james is shooting for his sick pth straight nba final. >> i think he's going to have a great time and will do well. they might win the whole thing. >> yeah. >> no matter who battles for the championship, t the league winning. the nba brought in more than $5 million in revenue last season. more than 60% jump over the past decade. the average player salary is a li

often the underappreciated role that women play in history.and in telling the story of isabella, i tried to tell the story of the expansion and growth of the spanish empire and how she made that happen. charlotte. >> when i was a child growing up, poleover was in news. news reels, newspapers, magazines, showed pictures of children struggling with crutches or entombed in iron lungs. what made things worse is no one could predict which town or which child would be the crippler's next victim. fear pervaded the country. in 1954 my home up to of kingsport, tennessee, was selected as one of the sites for the trial of the polio vaccine, which had been made by jonas salk and was being tested -- the national foundation for infan tile paralysis through the march of dimes so i was an original polio pioneer. when a year later it was announced his vaccine had been a success, that polio could be prevent, jonas salk became one of the greatest heros of my generation. over the years i often wondered, what happened to jonas salk, having reached a claim at age 4

. >>> ahead, a woman who says he recylcl -- who says she likes being underappreciated in basketball.d that one time ron said another chili dog was a good idea. yeah, it wasn't. so when ron said you'd never afford a john deere tractor, you knew better. now ron does too. the e series. legendary john deere quality. unexpected low price. e series compact tractors come with an industry-best, six-year, no-cost powertrain warranty. american workers know how to fightso does she.build we need jobs that provide dignity and a bright future. new penalties to stop companies from moving profits and jobs overseas. for businesses that create manufacturing jobs, a new tax credit. and let's invest in clean energy jobs, with 500 million solar panels installed by the end of her first term. a real plan to create new jobs and industries of the future. hillary clinton. i'm hillary clinton and i approve this message. > ♪ >>> there's the cut and lay-up. >> that's lebron james at the first quarter buzzer beater in the playoff win over detroit. james is shooting for his sick pth straight nba final. >> i think

i think it's still by a lot of people underappreciated in terms of the impact it's going to have.re still growing users, growing engagement, driving innovation at a pace i think the world's never seen before. >> all right. gina sanchez, no doubt facebook is killing it. operating marge sin like 55%. i've argue foded for years facebook is becoming the internet. it's just where you go. it's bigger than johnson & john sob s johnson. is there anything that worries. >> you >> can you always look to me for worry. i'm a professional worrier. look, facebook is an interesting story. obviously, facebook has benefitted from a structural shift in how companies spend their ad dollars. and so while most, you know, companies at this point are suffering in sales, they still find social media and facebook in particular an important ad spend. now whether or not that continues to be the case is the big question. and that's what, you know, worries me in the long run. you know, you can always argue that there could be competitors. but facebook is incredibly resill yenlt. facebook also has an incredible

it is a very underappreciated part of the marathon story, but a differentiator for them. >> stocks ofve a $58 target. bullish on mpc. brad, thank you. have a great day. >>> tomorrow we're going to have another name off this rbc capital best ideas list. this stock, though, the analyst says, has a 58% likely upside. that name is, well, you got to tune in tomorrow. >>> governments around the globe launching investigations following the leak of millions of documents on how the world's rich and powerful hide their wealth. known as the panama paper. the former panamanian minister of economy and finance weighs in on why he hates that name. as we head out, look at the financials now. bank of america down 3.5%. jpmorgan down. citigroup down nearly 4% now. tough day for financials. a lot of concern about yields and the japanese yen. tavi gevinson. trendsetter, tastemaker, and teenager. watson, you sound like a fan. millions look to you for advice. i know... i can't believe it. i am learning to analyze social media to spot trends and predict demand. sounds like you spend a lot of time online? i

>> there s i think as they build out this services, you know, some analysts argue that is an underappreciated part of the business here. i was on the phone with drexel hamilton's brian wright. he thinks you'll see services jum top $6 billion. if they can sell that story, do you bring in a new class of investors that may be interested in high growth, high margin services businesses f they start to think of apple -- >> if that's six billion out of more than $200 billion in revenue. >> but year not interested -- right, it's less than 10%. i think investors more interested in not what it is today but what it will be. if you see that business north of 25%, that can get investors pretty interested. >> all right, dylan and josh, good discussion. thank you. >> got a news alert from the bond market. two year notes up for auction. rick santelli is at the cme all over this auction. rick. >> 26 billion two year notes just hit the street. the seven year will be on thursday. c minus is the grade i gave demand at 1:00 eastern for this auction. let's go through it. .842 is the yield. that was a little bit th

after are in the green natural and organic segments of general mills are being underappreciated by investorsetter growth this year. price target was raised by two dollars. a buy rating on general mills is kept. check out the bloomberg, i pull up the anr function. you pull up this graph in the corner of your screen. you can see something interesting happening with general mills that you don't often see with analysts. the white is the actual priceline, the yellow is analyst estimates. normally, analysts estimate prices way above the price of the actual stock. right now, the stock price has risen above analyst asked him -- estimates. shares of public that taking higher this morning after pivotal research upgraded the stock. the analyst raised his price target to $970 from $800. the expect out of that to sustain double digits. jonathan: i find out so much about your life from markets. the gas tank i'm trying to buy in japan, you can only get these gas tanks from one guy, it takes about six months to build. cap'n crunch is my second favorite breakfast cereal. jonathan: let's get some first word n

end, driven bygh hidden underappreciated assets like japanese royalty plant and equipment.alling after being lowered to an underway or sell equivalent. michael bowen says a lack of competitive tools besides just cutting prices. 50% off is not working, what will, in a research note that came out. it also expect customer turned to be worse than previously thought. sprint has already seen so many -- so much bad news. we turn now back to jpmorgan, the largest bank in the u.s. and is having a very good earnings day. net income did fall 7%. care to discuss more is michael foreman, franklin square's ceo. what does this tell you about the banking industry? >> they have the benefit of scale and a great management team. we have seen that with diversification that they have. we will see how the others report. wemanage franklin square and are in middle-market lender, so we invest in noninvestment grade large bankse see exiting that space because of all the regulatory changes we have seen. from our perspective, we see opportunity. we are seeing the big banks rely on trading, fee generat

jpmorgan has been leading the stocks, the bank stocks underowned, underappreciated, nobody wants themey're more in vogue. volume very strong in this group today, hasn't been for most of the year. china was a big source of the volatility. suddenly everybody is saying maybe china isn't so bad. volatility collapsed now. the vix trading at below 14 now. see the 13 handle there. have seen that in a while. new lows for the year. etf volatility products like the vxx also on the down side. people bought volatility products. a lot of volume today. people getting out of those positions. finally, the big deal. could we get a real new high breakout in the s&p 500. remember that old hide, 2130 in the middle of may of 2015. seems like an awfully long time ago. we're only -- you do the math there, 50 points or so away. that's a few big days of trading. a lot of people starting to say maybe we break out of a trading range. >> remember in january, we were all doomed, how long ago that seems. >> yes. >> the recession did not happen. number one. and number two, the big sources of volatile, the fed quiet

that is just underappreciated. got it. mike, thank you. paul and john, thank you also.g up, saudi arabia threatening to sell hundreds of billions of dollars in u.s. at r. assets if a bill in congress pass that's would make the kingdom responsible for any role in the 9/11 attacks. how the u.s. could respond with one key asset of its own. stay tuned. >>> hi, everyone. here is your cnbc news update at this hour. president obama holding a joint news conference with british prime minister cameron in london. among the host of topics, he gave a strong defense for the uk staying in the european union. >> the united states wants a strong united kingdom as a partner. and the united kingdom is at its best when helping to lead a strong europe. it leverages uk power to be part of the european union. >> more than 200,000 convicted felons will be able to cast ballots in virginia in november's election under a sweeping executive order by democratic governor terry mccullough. he says his action was help undo virginia's long history of trying to suppress the black vote. republican presid

it's hugely underappreciated and really is that glue that holds us together so us civilians don't look as dumb as we are when we have to get together. and jim was the architect and the master of keeping the executive secretary working both for secretary perry and for secretary cohen, and we got to meet at that stage and then we've had many opportunities since then. just delighted and honored that he's here. he's on his way to the gulf, and so he gave us the privilege of stopping off just for a little bit of time to talk with us to try to understand what is going on. i must say, it feels very jittery to me to have kind of a certain -- we've got this new kind of parallelism between iran and syria -- iran and saudi arabia. long-standing allies that are all of a sudden being put side by side with countries that have been opponents for quite a while. this is a very curious time and i think we're going to need to listen carefully to a man as wise as jim mattis to understand how should we be speak being this. so could i ask you with your warm applause say thank you to jim mattis for him comin

ist is underappreciated, it fair to beat up the banks for lack of revenue growth but not fair for lacksiliency is what is the strong suit of the banks right now. have aie: they get to boy scout badge, but are they reason to invest? >> they are like an oil spring -- a coiled spring. at some point, they become uncoiled. we are in japan for the next five or 10 years, fine. we put that report out five years ago. if you think that is your view, fine, there's bigger issues here. we think that is overly pessimistic. david: here's an alternative explanation. the problem with the earnings -- the banks have been through a trauma in terms of regulation. they have had to adjust their business, go out of profitable businesses and retrench. back.regime will come it's not that they are shining the shoes and waiting for rates to increase. a lot of these banks are doing a lot of restructuring and getting into other businesses. you think that is fair to new management? ke: one side of the regulation is the risking and deleveraging has hurt revenue growth. the other side is that it has improved resilienc

it's hugely underappreciated and really is that dwglue that hold us together so us civilians don't look as dumb as we are when we have to get together. and jim was the architect and the master of keeping the executive secretary working both for secretary perry and for secretary cohen, and we got to meet at that stage and then we've had many opportunities since then. just delighted and honored that he's here. he's on his way to the gulf, and so he gave us the privilege of stopping off just for a little bit of time to talk with us to try to understand what is going on. i must say, it feels very jittery to me to have kind of a certain -- we've got this new kind of parallelism between iran and syria -- iran and saudi arabia. long-standing allies that are all of a sudden being put side by side with countries that have been opponents for quite a while. this is a very curious time and i think we're going to need to listen carefully to a man as wise as jim mattis to understand how should we be speak being this. so could i ask you with your warm applause say thank you to jim mattis for him comin

as it is, i think the market could be underappreciating the approval process that verizon for yahoo!ould have to go through. whether -- keep in mind, if there is a change in control, yahoo! has a lot of important relationships with the likes of mozilla and yahoo! bing. that would have to be restructured and restruck. >> so when verizon bought aol, there were at lot of people who looked at the deal and thought they were crazy for going ahead and paying for it. is this a similar situation? or do you think all of this is madness that actually -- i mean, this time around there are a lot of different places that have looked at this. and said no thanks right now. but you think verizon does make sense? >> i think there is something going on at verizon with respect to consolidation of advertising technology soflt wh technology. so when you look at the adapt mobile service and the ability for a big wireless company to facilitate the shift in viewer ship of video onto our iphones and the ability to serve ads on the devices. >> why does it make sense for verizon and not at&t, for example? >> th

training while they are in prison, things you want people to look up in this for work, really underappreciated opportunities. >> i think we can make better use of police on the ground, and on i.t. to edify hotspots and other ways of making sure that those resources work well and then secondly on recidivism, i think there was a lot more we could be doing in addition to cutting sentence lengths to make reentry into a productive workforce better. i will highlight briefly even though this is not politically correct, ideas like ceiling criminal records is something that is worth really pursuing or thinking about, so many who commits a nonviolent crime in the early 20's should not have a scarlet letter on them for the rest of their working lives in a way that so often happens. [applause] we price transparency and i am in favor of that, but i think we have gone too far in many dimensions and this is one of them. >> i wholeheartedly agree, and i think that from our perspective, the report were the highlights the importance of what we call it front end, which are front end, making sure we create opport

the beauty of an unexpressed thought is underappreciated in modern america. >> you know who loves toe i love? i love our nurses! i have got a group of nurses here! yeah! what's your name? >> joanne mcclave, from wayne community college, north carolina. >> you're visiting new york city. what do you think so far? >> it's very busy, very busy. >> i apologize for the weather. so you're from north carolina. >> yes. >> okay, so how are you going to keep warm today? >> the best we can, with the coat and tobaggans and coats. >> what is your favorite cable news channel? >> fox news. >> we have cold temperature, it's 38 here in new york city, snuggle up, my friends! past 24 hours you can see the snow moving across the great lakes in the northeast. you're going to get a taste of it here in new york. you're going to wish you were in north carolina, because we are expecting flurry this is afternoon in new york, new jersey, philadelphia, winter storm advisories are posted here and then we're going to see a little bit of snow and a little bit of rain mixed in. you know what? you all warm our hearts