and west texas crude i'm talking about in west texas, not west texas intermediate, it is 72, 73. so we are feeling the pain right now. when you feel the pain you will cut your cap x and the drilling will slow down. >> isn't that the whole game? isn't that what the saudis want? they want us to stop drilling. are you saying we should just do what they want in that situation? >> i don't think that is their strategy at all. they don't want to cut the price. they say they need $90 a barrel to meet their social commitments and all other issues in saudi arabia. you have venezuela over there. and the saudis are going to go visit them next week. no, i think what is going to happen is saudis are going to try to force nigeria, angola to cut back their production and everybody will struggle with it. you are getting ready to have a huge -- october you caught the lowest month on demand of the year. and november/december months have high demand. so you are going to get a real demand for oil coming up. and the saudis will try to get some of the opec members to cut their production. we'll see wha

this is the exxon oil -- sorry correlation with tween exxon stock and west texas intermediate crude. exxon always trades with oil. the reality is different. right now the correlation is close to no meaning exxon will go where it will go where it wants and do what it wants to do despite oil. there are moments like this one where the correlation is 0. the key thing here is that exxon doesn't have a history of jumping from no correlation to a strong positive correlation. that usually takes months and months for that to return which means it is not in danger of trading with oil for some time. long term uptrend slowly but surely chugging its way higher. the index around 50. that is pretty good news. rsi been for four years and remains in bullish territory. the vortex indicator up top is still bullish. at the moment on the monthly chart exxon sitting on long bullish channel. within this trend collins points out that a wedge has developed. if exxon can rally it will break out above the wedge. should that happen collins thinks the stock will be headed to 105. if we have a break down pulling

the people in west texas, hey, what chemicals do you have in there?ust drive around and ask. knock on the door and see what they tell you. that was texas attorney general greg abbot who was just elected governor of texas, explaining no longer it should post information about people in the state. just drive around and figure it out yourself. regulate yourself from any dangerously stored chemicals in your neighborhood that could explode. texas. if largest city, the fourth most populous city in the whole country is houston. about 25 miles east, you will find the city of la port texas. and one of the businesses you will find there is this dupont chemical plantd. >> my son called me and said dad, there's been an accident at the plant. >> a horrifying phone call. two of his sons killed during a chemical leak at the dupont facility. >> gilbert soon lesh e learned that the leak killed four people and later a fifth. >> two of that man's three sons were killed. what killed and injured these people was a leak of a chemical that's used mostly in pesticide, but it

this marks the seventh weekly loss in a row for west texas crude. well, despite today's gains, oil prices were down about 3% this week with west texas intermediate even touching a four-year low and trading under $75 a barrel for a time. now, this steep price decline is spurring some interesting discussions within the industry. jackie deangeles has more. >> reporter: oil prices in free fall. down 30% year to date. the main issue, a global supply. trying to gain market share and opec players are keeping production levels stable not wanting to lose shares. some analysts and traders are predicting that prices could fall even further. talk of $50 a barrel working its way through the pit. >> realistically, i see it trading as low as $65. the reason i say $65, at that point banks will stop giving loans for new exploration and companies will find it hard to operate with those low prices. >> the s&p 500 energy sector, the worst performer over the last three months, was a drop of more than 10%. amidst this backdrop, oil service companies halliburton are in me

west texas under $70 up there .t goes to equities and bonds in foreign exchange is stunning what we see across the hydrocarbon pears, canada out to one 14 and the ruble 49.99 dramatically weaker russian ruble and joe weisenthal mentioned in the equity market hammered their and the rest of foreign-exchange insurance. thank you so much for joining us biology through the hour and onto the morning, don't forget our next hour terry lundgren of macy's. ♪ >> the price of oil collapses as opec declares war on north dakota and the french 10 year breaks under 1%. appearance onan the macy's day parade and the lions win on black friday. retail america will they make it to january. killer thanksgiving and 2014, what is in store for m&a come next year? we are live from our world headquarters in new york. word of the month go? -- november 28. where did the month go? right now let's get to our top headlines. market andks the oil now crude is at its lowest price and four years. decided notr opec to take action to ease a global oil s

west texas intermediate crude down almost 2.5%. how low might prices go in. >> the million dollar question. we are pairing some of our losses. oil down less than $2 at the moment. allen harry is a trader on the floor here. what is happening right now? is this the saudi price cut? is this the price we are seeing in the dollar or something else impacting oil? >> it is the saudi cut. it is also our surplus of oil that we have in this country. all of that is putting pressure on the market. we broke the level. now we are getting into a territory of how far it can go. i'm saying in my opinion 60 to 65. the reason i'm saying that is the big fracking companies their average of where they are in in production. >> at the moment i think for the next day or two we see back up to 78.5. they will take a week or two to break the level. >> thank you so much. crude prices obviously have an impact on greater equity. >> thank you very much. a number of winners and loseers as oil pops. dominic chu with that part of the story. >> stocks are getting hit

there you see west texas down 69 cents and ice brent crude off 61 cents. midterms are over. looks like the keystone pipeline may well get the stamp of approval from congress for what that is worth. but it's still facing that veto threat from the white house. jackie deangeles looking at stocks that could benefit from the vote on the pipeline. jackie? >> good afternoon, tyler, it's not a done deal yet, but that's right. we are looking at the invester side of it, stock angles to play. there's a lot of names, not giving them all to you, but look at angles and examples. most obvious play, of course, is transcanada. the builder, the constructer of the nearly $8 billion project, but on the gas an exploration side, there's a lot of names in canada that are moving product through the pipeline. one is canadian natural resources. also, consider the refiners, look at valero, benefitting from the lower leg of the keystone that opened this year. they could see action from there. conoco has significant states in the oil sands area, and there's a houston based company, quanta services, an i

west texas intermediate down close to 4% this morning below $76 a barrel.- and saudi is dropping its prices. saudi's just reduced to the price is a charges u.s. customers, oil is down more than 20% this year. here is investor mark ballmer. >> maybe the declining oil prices tells you the global economy is not recovering and though the bullish analysts think. piless. oil stock have risen. talk's tom magliozzi dies. ivy grads.them were they would talk about anything and everything. >> and they were so gracious to people like me that have no clue third i never called in, but you get the great fun of a man or a woman from the middle america calling an older honda civic, and they would do it with dignity that was absolutely original. >> and it was the two of them, it was not the format. i talks to npr executive and they said every week we get a pitch of someone who says i will do car talk but for plants or for pets. you were a big fan? >> i was, and my brother went to m.i.t., and so i have this fond memory of being at my brothers graduation and them coming on, an

west texas intermediate crude is generally cheaper than clearbrook minnesota which is where it comes off the bachen and it gets priced at a lower price. i think that you will continue to see a differential where you-- u.s. domestic crude is going to be less expensive than brent. and where the opportunity lies for the american consumer or for delta airlines is hopefully we have over time more moderate input costs. >> here's the questionment and you heard that this morning when you were at cbs. people wonder if oil prices are going down, why aren't planes, why aren't ticket prices going down? >> well, but you've got to start-- . >> rose: because when oil prices go up, ticket prices go up. >> think about it from this standpoint. if you just think very simply about what the real price of an airplane ticket with fees is today, we see that data, everybody follows that data with dot. it's still an incredible bargain. and ultimately. >> rose: but that's not the question, it is an incredible bargain. the question is if you charge more, if oil prices are up, why don't you charge less when oil

worried that could open the way for more prices to climb as oil production is at an all time high, west texas crude was down $1.59 a barrel close about $77. jackie deangelis has more on the slide in oil prices as traders wonder how low can it bo? >> reporter: a blood bath in the crude pit. traders saying saudi arabia's price cuts yesterday were the trigger and the sec nickal seller. >> opec was once again lowering prices, not cutting production. the dollar started to strengthen again. we traded through that $79 area. it looks like good resistance now. if next report would be the 74, 95 number. >> all eyes are on opec's next meeting november 27th. traders were thinking we could see supplies cut from the cartel. >> that is the latest move as the most influential member indicates this could be a price war. >> they want to put small of the smallest producers, the ones at higher capital cost to produce crude oil. they want to put them out of business and show that by reducing prices to the u.s. >> the united arab emirates oil minster recently said there is no need to panic on opec pricing. they ha

those have tracked west texas intermediate futures lower. those solar etfs are down double digits and also closed lower again today. we are seeing this largely on the assumption that cheaper oil will tamp down demand for solar. however, analysts note that is not necessarily the case that solar is a play on electricity meaning it is more directly effected by the prices of coal and natural gas which is up about 5% for the month. we are continuing to see this solar oil pattern take shape. first solar sun power, sun edison, solar city. all of those closing down big today. >> thank you very much. we are here at the stamford town center mall. i have three very tall men who have come shopping. what are we doing here? it is black friday. shouldn't you be home eating leftover turkey and watching football? >> you guys are here. >> that's why. we talk about the price of gasoline and the impact it may have. you guys here in connecticut are not seeing that much of a decline in prices because you have big gasoline taxes here. >> we started at a high er le

it may be to the advantage -- >> we're at $73 now on west texas on domestic crude. where do you see that going in six months or so? >> i think the market will take this in no decision. it will head 70, 68 over the next couple weeks here fairly rapidly, in fact, and i think come the first -- mid first quarter next year, you'll see a price down in the low to mid 50s. everyone's metal will be tested -- >> low to mid 50s sometime early next year. for gasoline, what does that mean? >> that will translate into a national average potentially below $2 a gallon to as low as $1.80 in areas. >> is this unbalance good for america or not good, an oil price at that level if not sustain sustained? >> ours is a con economy. 80% drives the economy and this is a shot in the arm when this happens and it is also a huge competitive advantage to our industry that energy intensive like transports but like heavy industry and other companies that have a huge energy input here this is tremendous lly stimlative. >> you said there are a lot of smaller producers in the u.s., the frankers who ar

west texas intermediate down 25% year-to-date as the u.s. ramps production and the market fears of global supply glut. proponents of the pipeline say it will help transport crude safely, but even if they're right, what will it do to crude prices? >> whether approval of the pipeline is bullish or bearish for prices has supporters on both sides of the issue. the bulls will say that additional ways to transport crude means additional exploration for crude and a potential lifting of the ban on exports. the bears will say that you're moving crude to an area that's already well oversupplied with crude oil. >> meantime, from an investor standpoint, there are many stocks that could benefit from a yes vote here, especially with an energy sector that's been beaten down more than 10% in the last three months alone. an obvious play, trans-canada, that's a company building the pipeline. another, canadian natural resource, that will send product through the pipe. here in the u.s., refiner valero will receive more product to refine. it's already benefiting

from energythis one analyst, we could see west texas drop as low as 60-70. it could prop up prices if you get something geopolitically or a harsher than expected winter. goldman sachs rates the potential for further decline -- the fundamental issue is the supply glut. standard slashed their forecast and made the case for brent. we're looking at perhaps $68 for the first quarter next year. long a supplyhow glut will stay and who cuts first. prices -- hello do prices have to get for them to actually start saying it's to being profitable anymore continue drilling and producing all this oil. that level is near are below $60 a barrel. goal becausee production costs are so high. >> about 60. the short-term will likely see oil fall further before it actually picks up. >> take a look at currencies, which ones are taking the biggest hit right now? but you look at the small countries, it doesn't mean that all this is in the interest of opec. the ruble is at a record low. of norway is the biggest oil producer in western europe. that is at a five-year low. longer. gets

west texas oil down 73 cents a barrel to 75.78, benchmark brent crude off 68 cents closing at 79.68. >>> and in response to reports that opec nations may vote to cut crude production at thursday's meeting, the energy minister from the united arab emirates said today that the cartel would make what he called the appropriate decision regarding production levels. >>> and just ahead of the long thanksgiving day holiday weekend, gas prices are down again. that's good news for the 46 million americans who are expected to hit the road over the next few days. the lumbard survey said that gas fell to $2.84 a gallon nationwide. that's a fresh four-year low. >>> still ahead, big investors have played a major role in the housing market since the crisis, propping up the market by buying distressed properties. but as they start to cash out, is anyone moving in? >>> are higher interest rates a sure bet in 2015? one top bond investor thinks definite so. jeffrey gundlach said that he expects the federal reserve will raise benchmark rates next year and the impact on bond yields will be significant. >>

west texas intermediate settled 66 cents higher at $76.51 a barrel. benchmark crude rose more than a dollar closing at $80.36 a barrel, wrapping up its biggest weekly gain since june. even though oil prices have tumbled 30 cents since their the summer weeks, a couple of events next week could rat it will oil markets and oil prices. our jackie deangelis has the details. >> reporter: the free first of all in oil contained for the time being but next week could be a game changer. monday's the self-imposed deadline for talks over iran's nuclear program. traders eyeing the date as a potential catalyst because it could open the door for sanctions on iran to be lifted, which would flood the market with iranian oil. if that were to happen, prices could fall further from here. >> if iranian oil comes back onto the market, conventional wisdom does say that we will work our way lower. >> reporter: and thursday, thanksgiving in the u.s. but a highly anticipated opec meeting in vienna. up till now, expectations were that opec would not announce any production cuts

hotels are completely maxed out, like west texas.million people who will not be deported -- they are not becoming citizens, but will get social security cards. >> and that is going to make them feel a lot better. a lot of our staffers are not comparable with current government policies and are afraid of being deported. >> is this a new labor pool for you? >> i think so. to can go all the way back the italians and polish immigrants that came over to the country in the early 19th century. their first generation works extremely hard. they are building a new life in america. they are ready to get to it. they do not want to be afraid of the government. giving them a green card or makeenship makes them -- their life easier. >> cap rates, which is a way of looking at him unlettered returns in commercial real expressed as a yield. you can compare it with treasuries. spread over treasuries is pretty tight. what does that say to you about the pricing of commercial real estate? >> the yield environment is very low right now. if you are an inves

west texas intermediate crude fell below $70 a barrel for the first time in more than four years and brent crude is headed for its biggest weekly decline since 2011. >> we leave it up to the market forces, and that means further downside. in an environment where opec is not going to balance the market, we have to hit the marginal supplier, and that is north america, and we need to look for lower prices in the short run. >> saudi arabia pushed opec to maintain production levels over objections. china has overtaken japan as the world's largest stock market, with a market cap climbing to $4.5 trillion. it could go higher. meanwhile, the japanese market is down over 3% due partly to the weakening japanese yen. there is also increasing pressure on the airbag maker takada. the move comes after the u.s. look nationwide. five deaths are linked to the airbags. split parliament voted to google apart, separating the search engine from other businesses. however, the resolution carries no legal weight. google has been the subject of an antitrust investigation from the eu for four years. if the cr

for west texas, we are down 6.5%. take a look at brent. down about 0.1%. unchanged right now in asia. the chart shows you the real story overnight. opec said, we are not going to do anything. let me get you the price, down 6.5%. 72.46 is the price of brent for a barrel. back to you. >> ok, oil prices front and center today. we have seen the price of crude fall to the lowest since 2010. opec refusing to cut production. put another way, saudi arabia blocking any idea of a cut. what has been the reaction from the other members? the fundamental picture is a global price war. shale oil production in the states is booming. they can't afford that, it becomes a price war. they have to keep production and prices down. it makes it harder for the u.s. to keep producing. >> three-decade high in the u.s.. >> only chinese demand slowing down across the economy. under pressure. within the 12 members of opec, saudi arabia, kuwait, qatar, than really need more strong foreign-exchange reserves. venezuela, nigeria and iran do needed. they rely heavily on crude exports to kee

. >> this is a big call to call it, to repeat that west texas at $50 a barrel.nk put a report out where they were talking about the high yield energy sector. they say if the wti price gets down to $60 a barrel, there will be a push within the whole sector into some credit distress. do you believe there will be widespread credit distress in the oil sector in this country this year? >> i think we'll see some distress, for sure. the market is imbalanced. supply is one way, demand is moving the other way. we will see distress. measuring the extent is hard at this stage. you will see good distress. good levels of distress across many sections of the oil industry. frankly, the question is will opec still have to cut production at some point to balance the market? as i said, most production growth is baked in for the next six months. demand will react to some extent. if we get a warm winter, it's going to be a pretty nasty situation for many of the producers, i think. yes, i can see a lot of turmoil in the industry. >> it's a big call. thank you for joining us. >> than

i want to show you the wti, the west texas inter median contract and the one here in europe.oes to exemplify how consumers will feel the impact of the low gas prices almost immediately. it takes longer, john, for the effects to filter through to us here in europe for all sorts of tax reasons and so on. i want to leave you with the positive lasting thought for the day after thanksgiving. every 10% decline in the price of oil actually adds about .2 of 1%. this is good news for the economy and consumers as well. not good news for opec producing countries. >> good news for the united states. it means money directly in consumers' wallets. great to have you here, nina. >>> pope francis arrives in turkey. this is historic. the fourth time a pope has visited the mostly muslim country. one of the most delicate missions so far. the pope hopes to open up dialogue at a time of increased violence against christian minorities in the region. >>> weeks after kim jong-un, it appears his younger sister is taking a bigger role in the family regime. local media reports that kim yo-jong has a sen

benchmark west texas intermediate to fall to $75 a barrel. and brent to hit $85 a barrel in the first quarter of 2015. >> it is a lesson and a saving. >> despite the drop in oil prices the average price of gasoline, an oil product, is down only 15%. the top reason for the lag is crude oil makes up two-thirds of the cost of retail gas. the other portion is driven by transportation gases. the competitive possess of the market, density of motorists and rent operators pay. >> reporter: which explains the differences across the country. object 27th, the average national price of regular unleaded was a little more than $3 a gallon, it was as low as $2.78 in south carolina, and more than $4 in hawaii. >> over the last five years the average gross margin at the gas pump is $0.18 a gallon. throw in expenses, credit card fees and operating expenses. most retailers make $0.03 a gallon >>> not right now. the only good news is because retail prices lag behind wholesale prices by as much as two weeks, prices at the pump could fall during the holidays. >> t

west texas prices dropping 30% in the next six months.ther opec will cut production and stem the bleeding. joining us now is dennis, heedir and publisher. good to have you with us. >> good to be had, always. >> what do you think happens on the 27th? >> opec will announce a cut in production. there's no question. they have no choice. they have to put the best foot forward. the question will be what will they do when they have made the announcement. and the answer is opec lies. they have always lied. all the member haves always lied. always agreed to cut production and rarely followed through. if you are iran, you have a real problem. you have a problem with cash flow. you have made promises to the citizens in the form of subsidies and education and health care. all sorts of promises for social benefits that need $130 per barrel crude oil. doesn't matter what iran's production costs are. they're much below the current price of crude oil. but their cash flow is so high. so what happens when you're iran? you promise a production cut, but for

some of the areas around west texas, lubbock in particular, it goes from 80 fahrenheit, 27 celsius, down to 40 guaran heat. 80 to 40 in one day. incredible shift of weather here over the next couple of days.fa. 80 to 40 in one day. incredible shift of weather here over the next couple of days. rapid city, iowa, 22 down to 13, which is about 10 celsius below zero the next couple of days. minneapolis down to 27. but that comes with over a foot of snowfall on the ground the next couple of days. the models paint the picture, expansive region of significant snow on the ground the next few days. so you would imagine major travel disrugs when it gets there for the united states. that's the latest in weather. let me get tyes?straight... lactaid® is 100% real milk? right. real milk. but it won't cause me discomfort. exactly, no discomfort, because it's milk without the lactose. and it tastes? it's real milk! come on, would i lie about this? lactaid®. 100% real milk. no discomfort. and try lactaid® supplements with your first bite to dig in to all your dairy favorites. >>> police were on high aler

job done on cbi and i didn't appreciate it but the problem is they were deeply linked with the west texasde and as that stock goes down that stock will go down too. i can't recommend it right now even though they're a good bunch of guys. >> what's up? >> what do you think of kodak stock? >> the quarter wasn't so good. since they came public i try to find a good reason to own it. i don't have one. i'm very sorry. let's go to dave in maryland. >> booyah jim, thank you for your help and all you and your crew do for us. appreciate it. >> thank you. >> my question is about aria. some are saying it's going to go further than what it is. >> here's the problem with that one. this is one i have not liked. it's a very speculative stock but i developed a new attitude. a lot of people knock me every minute on twitter which is if you want to speculate i'm not going to fight it. that's a speculative stock i'm not in favor of but that doesn't mean you can't own it. jerry in florida. >> caller: this is jerry in jacksonville. >> hey, how are you, man. how are you? >> caller: yeah we don't talk about that

west texas were getting to oversold levels. of course, the interview names will follow along with it. interestingly enough, but all the big oil names fully integrated names with exception to exxon mobile. i think the bigger story in the market, look at the russell 2000. it's at its most success he believsusceptible to good or bad data. it's rallying nicely on those economic numbers you talked about. particularly the philae fed which is an astounding number to all of us. as long as that trend continues and we stay up at this level, it would be surprising for me to see a blow off rally. >> let me interrupt you. russell up three-quarters of a percent. you've been a big believer in small caps even though they've lagged over the past eight months. >> sure. look at year to date. s&p over 10 percent. russell 2000 barely break even. >> why do you like it then? >> we love things cheap and at a favor. if you look at the s&p 500, you've got the popular sectors. telecom. things like that. i want to get out of them. and buy the things not v

he traveled out west, starting in texas. he worked at a copper mine in chino, arizona. he ended up in a fruit and vegetable stand, managing it. him, he, fortunate for got contacted by his brother, dick penrose. brother was in denver and told him about his childhood who was inrles, colorado springs and had been in colorado springs for eight years. and so literally about a month later, spencer penrose arrived in crowell -- colorado springs and that started a lifelong partnership between the two gentlemen. penrose reintroduced spencer to his longtime , that was justd greek -- cng of the reek. perfect timing for penrose to come up to colorado springs, so much so that when he arrived, my great-grandfather had just found a mine called the cash on delivery mine. the c.o.d. mine was the same gold vein across cripple creek. bob was a gentleman who actually found gold in cripple creek. my great-grandfather sold mr. penrose half interest in the $500 and loanr him the money. our records of the foundation show that spencer penrose starting about 1909, frankly we are starting to buil

gas is, wouldn't they want to tighten prices, instead they're cutting prices that would relay to west texas -- >> i think they have the right idea. the first news that came out was that they were going to raise the prices to the east. then the news came out they were going to lower the prices to the west and finally everybody realized, hey, we have a higher ollar too. we wash out a dollar 50 in the last half-hour. i think saudi arabia has the right idea now. with lower prices, they get the high cost producers out of the market, and i think that's their biggest threat. liz: let me just say, you wash out a dollar 50 in the last half-hour. seventy-eight dollars in change. and it is certainly very pols affecting the consumer and auto sales which we will talk about in just a minute. let me get to chris at the cme in chicago. you tell me what the traders are looking at the most. volatilities are slightly being impacted. now, serve sayingg wait a minute we have had records on the and want dow. little tougher to make that happen today. what do you think happens? do investors go back to a little bit