it's wti that has the risk, so companies that produce outside the u.s.ve horrid commodity up side. at the same time there's the poll of what's going on with condensates it's simply not adding enough refinery capacity to handle it in 2015. i think one thing that's been overlooked, even as we do -- that's going to be competing with additional supply out of a arabian gulf in asia for the new facilities in japan. we'll probably export far less condecentate than the market thinks which will benefit refiners here. folks. >> just a reminder, the president expected to make a statement in about five minutes. you can see everybody in the media scrambling to take what is normally just a normal press briefing to accommodate the president. >>> we always hear on "street signs" try to quickly focus on individual stocks that have compelling stories, and we're about to show you five stocks on the fly. we call it streak taet talk. >>> and we'll show you the locko indicator. "street signs" will be right back. collection is here. ♪ ♪ during the cadillac summer's best event,

>> well, wti is interesting.de here, because of what we have here, and this morning we found out we have more wti than we thought. the report this morning showed a build in stockpiles and expecting a draw. the price action in wti futures has been horrible. really bad last couple of days, of last month. the trend is still down. a couple important technical levels. you mentioned one. the 92 level we saw in january would be another, but you know it's acted horribly until the last ten minutes. it's rallied about 50 cents. >> for more on crude oil check out the website, and we have our live show, scott, tomorrow. 1:00 p.m. eastern time. see you there. >> thanks so much, jackie. >>> coming up, the most valuable comic books are worth so much more. >>> and we just saw carl quintanilla keep the ice bucket challenge going. his nominees, warren buffett, john legere, jeff bezos. more "half time" up next. so ally bank really has no hidden fees on savings accounts? that's right. it's just that i'm worried about you know "hidde

wti is about to test it.seality, wt outperforming the rest of the commodity complex. >> what are people focusing on if they are shrugging off what is happening geopolitically? >> they are very focused on the spread. that dip in oil markets matters quite a bit. the direction of the flow of oil. , andat spread can blowout it will be geopolitical influence, because brent is more , with all the supply and less demand, will come under pressure. that changes out, the direction of the flow of oil globally. >> just to reiterate, where do you see brent crude? a trade, not a long-term macro view, i want to buy it here. a threeit could have dollars bike with a few more advancements with isis, which i hope does not happen, but looks to be. you definitely want to sell out at the 107 handle. >> that's put the trade in layman's terms. he is expecting to go up to 107. it would be a profit of around $ 2.75. the total profit per contract $270.be what are you looking for for the rest of the week? >> brent could spike or rally w

and wti goes lower? what do you think? >> i think that over time that differential is good and pharaoh as in over the next one to two yeempls you got a lot of transportation changes in the u.s. that will cause that to occur. i think over the short term, will is noise, brent is up in the north sea. russia is one of the major influences on the brent price and the u.s. is obviously wti. so over the short term, you see a lot of volatility with the russian situation. although, russia is more of a gas situation than an oil play. the last thing russia wants to give up is its oil revenue, they're okay with using that as a weapon as opposed to their oil. that wti brent spread will move a lot. over time, the next year, two years ago you will see that convergence occur between the two greats. >> let me ask you something on the demand diminishment, is that all economically driven or some of it switching and greater efficiency? >> it's almost all economically drimpblt it's not a luge reduction in demand. it's a sligh

it sure seems to work here in wti. over the last three years we've tested it on three occasions, in fact breached it on three occasions, each time proved to be a nice buying opportunity, albeit with a little more weakness. i think history repeats here. i think we have a few dollars lower here, probably about four, five dollars down, then a little recovery bock to that 200-week moving around. short term there's more pain here in wti. it goes much lower. >> rich, pavel, thank you very much. in partnership withia hoo finance, posted by the terrific mandy drury today. >> yours truly. >>> cnbc's policy you lard million dollar home is back with a twist. this time money is no object. would that be nice? we can all dream for a second. we'll be showing you the most expensive houses that we can get into. the megamansions are battling to see which one is the best bang for your buck and you, folks, will determine the inwinning, this time pious pad takes on a new challenger manly digs. you with go to cnbc.com/vote and vote for your

you don't see that in the wti market, which is surprising, wti would be least affected by geopolitical concerns at this point. you look at the supply, there is about $200 million barrels in the golf waiting to have something done, i think geopolitical is holdings up a bit, i don't think it will last. >> basically to wrap up that conversation of whether it's heading. am i looking just for weather to be my next catalyst? a crude weather play? >> can we see abnormally cooler temperatures? >> even hurricanes. even looking at the weather forecast, there is an interesting phenomenon where the hurricanes can't dworngs i'm not al roker. >> really? >> i don't know, exactly. so there is something that's cutting off the tops of the hurricanes as they develop. so that's not a factor at this point either. certainly that can change and certainly geopolitically something could change, looking at the market right now, i can see it's $5, even $8 long. >> thank you for coming by. we should know it's al roker's birthday by the way. did they confuse that? >> very much. >> right. let's trade lower oil here

. >> where is the floor looking at wti? >> from my point of view, i think we've reached the floor on brent. our view is that as we go towards the end of the year, countries could easily cut back on their production to support oil prices. they're producing 10 million barrels a day, so they have a lot of room. we could not discount another geopolitically driven price rally. investors have now spoke to long positions. so technically, for us, $100 on brerchbt is the floor, 92, 93 on wti where we're at. currently, it's the bottom end of the trading range and is we're looking to improve to 110 on brent and possibly 1100 on wti. >> how long do you think that the contained scenario is going to last where future prices are higher than current prices? >> it's a difficult question. but if you look at the current market and the structure of prices, we have a -- indeed in brent. we don't suppose that's going to last lock because it's a result of faction. putting extreme pressure on the price, we had physical factors in the market. inter

you're not seeing that in wti, where the u.s. market is a little stronger. so, now, what happened today is reflective of some fundamentals. >> okay, thank you, let's trade this. what do we do this as a result? >> well, devin energy, sold off. i liked the name for a long time. just hitting a downside after nothing but an upside run. look for names that were hit, bp is another one. underneath $48 a share, it's been slammed. some great opportunities out there. >> and i'm long to think that $105 is a decent spot. >> and i would go back to what pete said. totale, destroyed because of russia, but they have a 6% dividend yield. >> so, russia doesn't matter? >> well, it does, but that is not a reason to sell these companies down. >> and the exxon, xom below 1$ 0 $100, going a make a push to $110. >>> and mcdonald's, it's worst july in ten years. >>> and pete spotting some very unusual activity in the housing space. later on, a big move. good poin. grab an edge. look there's two guys on the state farm borrow better banking sign. nope for real there's two dudes on the

back to you. >> bertha. >> wti, can't lift. >> even in the face of all of this stuff?e they were going to lose the southern oil feels. libya, nigeria. russia. people worried about bp, royal dutch, what happens? what happens during this period? west texas intermediate keeps going down. amazing story. this has to do not with demand side, as so many say, it has to do with the supply side and no place to put it. when i hear rb and energy, they need to find salt domes underneath houston replace all of the oil, this is extraordinary. >> you said talking about this all week? >> doing a week on energy. i've got range resources and danberry, range, natural gasp we can't find places to put. we are flaring more natural gas in this country, burning it off, than we are using it. these amazing stories. and a lot of the reason you don't hear about it because it's not like new york is energy central here. >> yeah. >> it's not. >> well, rupert plmurdoch takin aim at google. weapon, a weekend tweet. >>> one of 50 cent's album titles get rich or die trying. so here with the multiplatinum

brent has been falling relative to wti for quite some period of time now. even when the news is as supportive of brent as one would seem to think, given the libyan circumstance that brent can't rally. today, brent gave up quite a bit. markets that won't go up on bullish news are not bullish markets. a market that won't go up such as brent when you have the circumstances in libya expecting brent to rally. brent can't rally. brent tells you there is a surplus of oil in the world. i think you will see brent evaent wally in the next five, six months trading back to more normal parody to the wti contracts. even though you have projects, one boys, one sells,er ti. >> how does this play out across the entire commodities base. are you speaking of industry issues or lack thereof, where do you see it across the commodities base? i am a believer, i know you have been bullish on industrial metals. these are things i see interesting trades. so you have been right on this call. how do you trade it from here? >> i still want to be long of the industrial -- >> we got to cu

oil should be up at 115 right now in terms of wti. there is a lot of economics. the last point is that the difference between the two-year treasury and the ten-year treasury has gone from 260 basis points to 200 t. last two economic revive also that curb between twos and tens have steepened. now we're massively flattening. >> sorry, how much when you see oil coming down, is that just all what you're prefacing here or is there something we're missing? is there something we could be seeing based on united states supply entering the market or where are we missing? everyone thought that spread between brent and wti was going to collapse. it's actually widened. how much of that is supply coming on verse what you are seeing as quote/unquote a.r.m. geddon almost. >> this event, this invasion the best risk indicator, we have this lehman risk indicator. the best one we have, last wednesday we put a note out on declineance. the vix future, you went from contango towards vacuation the clients the hedge funds were buying up the short term ball they were selling that long ter

wti was quiet today. liz: find out if there is noise where gary is.ou're in a different part of the cme than jeff flock. you can look over your shoulder and find him and say i've got more exciting than the beans and the corn? >> one thing with the agricultures, is we were looking at the livestock today. we had limit down, seeing the hogs and cattle falling back, and we've seen it continuously in the last couple of weeks. it is going to reflect at the retail end, probably in the next couple of weeks. teddy stay awake. bear with me. again with the crops too, it was a big number for everybody. a little disappointment and going to reflect back at the retail end in the near future. liz: riveting today. [ laughter ] >> riveting. >> also with the low volume. liz: very true. good to see all of you guys, thank you so much. we'll make it exciting here on "countdown to the closing bell" no matter what, we are watching your money every step of the way. closing bell ringing in 39 minutes. u.s. bank profits, you hear complaining about regulation? guess what? profit

. >> i look at the chart of wti. i look at a chart of crb since june. crb is down 7% the commodities index. can you tell me the strong dollar is not going to impact the quantity trade? >> no, i can't. it feels to me like it would. i also look at this commodities trade. there's trades off of this. when you look at some of the commodities. you talk about oil, you talk about oil sort of breaking down, how about the way the airlines have been trading. they vbl actually off the charts. this is a great spot to be. when you look across, i think there are a lot of spots in ernlg in continue to the upside as well. i continue to see activity across this spacep when you look at the service sector, when you look at the shale fames the integrated fames, they continue to perform. it's because they have such a balance and such great balance sheets. >> i like energy. i have liked it for a while, but do i think the commodity to your question the strong dollar is it going to kill commodities? i don't think it will kill them. i think it makes them soft for a while. i thin

>> a little more confidence in wti. >> it's going to have here. thank you. >>> "power lunch" starts now. >>> halftime is over. "power lunch" and the second half of the trading day start right now. >> indeed it does. what an interesting wee, what an interesting trading day. the big question this hour -- how bad will it get for the bulls? the the dow is down and down sharply. about a half percent at 16,471, on top of yesterday's 317-appointed decline. what is your best option right now? we're going to talk about junk bonds, which have been not doing so well. dividend stocks, hunting for yield, shelter from the storm, you name it, folks, we've got it covered today. another big number today is 209,000 job in july. we will debate whether the job creation -- this makes i believe the sixth months in a row of above 200,000 being added to the economy. what it might mean for fed policy. first let's check in at a very busy new york stock exchange with sue herera. >> absolutely. it really is the big story today. this hour the markets. just told you the dow wa

>> a little more confidence in wti. >> it's going to have here."power lunch" starts now. >>> halftime is over. "power lunch" and the second half of the trading day start right now. >> indeed it does. what an interesting wee, what an interesting trading day. the big question this hour -- how bad will it get for the bulls? the the dow is down and down sharply. about a half percent at 16,471, on top of yesterday's 317-appointed decline. what is your best option right now? we're going to talk about junk bonds, which have been not doing so well. dividend stocks, hunting for yield, shelter from t

wti sitting at 9665. dow losses escalating, too, continuing to be into the red. now down 64. we will have more on this situation when we come back in just a moment. lly has no hidden fees on savings accounts? that's right. it's just that i'm worried about you know "hidden things..." ok, why's that? no hidden fees, from the bank where no branches equals great rates. virtually all your important legal matters in just minutes. now it's quicker and easier for you to start your business, protect your family, and launch your dreams. at legalzoom.com we put the law on your side. >>> welcome back on the cnbc newsline right now in the wake of markets being near their session lows, we bring in nicolous. nick thanks for joining us. >> absolutely. >> keep your eye on the ten year, art said as walking off the set. at session lows, could go lower depending what more news we get out of that region. what do you have your eye on in markets today as nearly every asset class seems to be sensitive to this news. >> should be sensitive. absolutely. on the ten year side obviously the tensions in uk

. >> the percent annual of older vehicles on the road is the highest since 2009, wti, 95 or so. 97, excuse pe, but it seems to be trending lower at this point. >> if gas price is the magic number i think, it's not crude price, if most of the country sees more than $4 gas, people start shiek away from suvz. one thing in defense of gp i have to say is their new large suv which is the denali, exxon, yucon, suburban. whether you like it or not they have had some problems getting these on the lot. those numbers might be softer just because of the production. >> real quickly on the trade, i lick targeting 30. 30 is a passive technical level. heart's chart. that is a massive triangle of death. i want to say back to ford, too, it was a failed breakout there. the momentum has left the building in this space here, so you pay want to look to adam on lower lows. i don't think this is the spot. >> send us a tweet to cnbcoptions. check out our options fuse, videos, throughout the week and exclusive trades. some have called it a revelation. we simply call it optionsactions.cnbc.com. here's wrats coming u

wti rose 51 cents settling at 93.96. >>> one of the reasons oil prices have been capped is the increased production here in the united states. one of those oil rich areas, as you probably know is north dakota. the brkformation. with that drilling comes side effects. morgan brennan has more. >> reporter: it's the biggest issue in the bocan right now, natural gas flaring. they produce 1 million barrels second to texas but drillers are producing more natural gas, more than they can transport. the rig behind me is drilling 11 wells that will come online around the same time. this scenario is playing out across the bakken and there lies the issue. more natural gas is coming online than the current pipeline system can handle and that's why drillers are forced to flair. across the region, thousands of wells are burning so brightly that astronauts have captured images from space. the flair rate here is 30 times higher than other producing states like texas and alaska resulting in more than $100 million worth of gas wasted each month. >> if you look at the value chain, 95% of the value is in the

. >> i don't think it's specifically a wti thing. a lot of this is a dollar based thing, too. a huge move in u.s. dollar. a lot of cross currents, not just the politics. >> and apple, ahead of its iphone 6 it closed at a record high today. the options think it will get even better. two apple calls traded for every put. will the bullish call buyers be proven right? the chart master has made it over to the plasma and we'll break it down. carter? >> i've got several charts of apple. and we'll along at how a bad situation improves. i'm going back in time. if you will, take a look at where apple is. i'm going to switch to red here. here's the all-time high, two years ago in september of 2012. roughly a split adjusted price of a hundred. buying stocks in down trends is bad business. drops some 50% or close to it. now let's go forward. clearly developmental breaking above its downtrend. this is as of about eight months ago. you can wait, go a little further, and wait for a formation like a cup and handle if you like that kind of thing. but ultimately this kind of setup projects right

wti, oil as well. >> do we have to wait until the end of summer for prices to go back up?k at past performance with equities and natural gas, when the levered equities do better -- >> heading into the last part of the year? >> that function of getting past . and the natural gas stocks for example, it is a question of heating demand. >> ok. good to talkh very to you, as always, on what is going on in the energy complex. for on the markets, i'm julie hyman. ♪

we've been surprised by wti or frankly, for that matter, oil.oil was extraordinarily well bid. in fact, if you looked at present and started to brock the out from an almost three-year range trade. that breakout would be strong lipped. i'm still given the state of that trend, we think over the course of the next couple of weeks, wti should see a push back to its january lows. >>> before we let you go, give us your best trade of the day. what do you like? what do you not like right now? >> i tend not to focus in on a lot of interday trading activity. over the course of the next couple of days, we should see a bit of a consolidation or a pullback in the u.s. dollar. but that pullback and conso consolidation should be seen as a buying opportunity. we think that is quite a strong trend and is a trend that should persist for some time. >> all right. thank you so much for that, mcneal curry, head of technical global strategy at bank of america/merrill lynch. >>> we've been talk talking about a $20 million investment in snapshot by cliner perkins which

>> we came from elevated prices, brent and wti.e of wti, we were at a high of $108 mid-june and touched a low of $95 just mid-august. and so, the question is, were we ahead of ourselves and is this pullback maybe an opportunity? we went back and looked at something, which is, when you have a 12% to 15% decline in crude on a two to three-month basis, which is actually what we've had in the june-to-august period, how do energy stocks perform in the ensuing one, three, five and six months? if you go back to 1990 and examine that data, there have been about 200 times when crude has dropped in the order or magnitude of 12% to 15% in the two to three-month period as we've seen now. and energy stocks in the s&p out-perform the s&p itself on a consistent basis one, three, five months out. and so, actually, there are many energy stocks here that we like for rebounds. they themselves having sold off aggressively, perhaps as some of the news has gotten a bit better. but we just heard just seconds ago that according to the russians, there are

wti at its lowest level since march. currently down about 1.5% toward session lows, helping to lift the airline stocks. if you look at american, delta, united airlines, all the majors in the u.s., all moving higher. green arrows, a nice up day for the airline stocks. >> dom, thank you very much. >>> consumer reports taking a fire hose to amazon's much-hyped fire phone. c.r.'s smartphone guy joins us first on cnbc to tell us why he can't recommend it. it's not his fave. retail detail, walmart cutting its outlook. kohl misses on sales. nordstrom and penney's reports after the bell. >>> and a milestone for warren buffett's berkshire hathaway. shares crossing the $200,000 mark for the first time ever, up $2,300 today alone. that could buy you a three-bedroom home in buffett's hometown of omaha. >>> and we'll tell you what city we're going to. we'll give you some hints after this. i make a lot of purchases for my business. and i get a lot in return with ink plus from chase. like 50,000 bonus points when i spent $5,000 in the

wti crude nearly 1%. what do you make of that?it's incorrect to make a binary call in the overall market going up or down. look for the big fat pitch. to me the big fat pitch, the fact equity energies, forget oil, energy equities lagged over the last couple of weeks. tremendous opportunity, i believe. >> after leading many weeks. >> yes. a bunch of names out there now. i heard jon on the break talking swn. i agree. that's a great call. ultra pra petroleum, upl, purchased that today, put it in a portfolio. a domestic energy play. it's all about shale, all about the exportation potentially of oil, and i just disagree with the premise that oil, when i say oil, correct that. that energy equities were going to fall of a cliff of leading to be laggards. a tremendous opportunity. >> i agree with joe. in particular, judge i think both of us have been saying for weeks that when you get to the fall in winter, there's going to be demand for fossil fuel out of europe that will just blow your mind. and anybody who doesn't want to buy these thi

we went part of way today with wti leading the way, and i would expect we should test around 98, especiallyh the ukrainian situation and what we have going on with isis right now. adam: peter, why would oil be going up? if we are producing so much more petroleum here in north america, why is it a factor if there's a potential disruption in the middle east? >> well, i don't think there's much of a threat of the flow of oil. it's just that fear seems to play a part in this. whenever there's fear, you see oil prices go higher. and we didn't see it all week until today, until we got the weekend. adam: gary, want to ask you about something that's not getting a headline today but it could next week when the ecb talks about interest rates. some of the eurozone is falling intoty nation. they're in negative inflation. in spain. we're in some serious trouble in europe, and it hasn't gotten here yet. is it on its way? >> i believe we're going to leave it over there for now. again, it is italy that really is in a rough situation. we still have such high unemployment over there right now, and they're no

wti closing slightly higher on the day, 97 puff 65, but down almost 6% in a month, brent crude closingust around $105, but down 4% over the last month. brent actually turning negative later in the session. so what's impacting oil prices here? you mentioned the latest news comes out of iraq, certainly geopolitical issues are front and center on traders' minds today, but the oil market not overreacting. that is because of the three conflict zones we're watching, iraq, russia and also israel, there haven't been any supply disruptions just yet. in iraq we're talking about the north. the news about russia and beefs the exercises, the military exercises at the border, that's actually positive news, but really not royaling the oil markets today as it did with equities. in the futures pit, typically they shoot first, ask questions later, but they are being very cautious right now, studying the geopolitical events before they start making moves either way, even though brent prices were lower, prices are still supported with these things on the back burner. back over to you. >> jackie deangelie,

okay, retail etf is in white up top, wti crude oil and basically gasoline is green on the bottom. it's going back a year, take a look folks, you can see in the right hand side, the i ddiverge, nothing is perfect. when crude oil goes down, retail tends to go up, so if oil keeps falling, gasoline keeps falling, watch the retail space. we've been bashing them forever. maybe this is good news. >>> here is a story that might leave a bad taste in your tax payer mouth. according to the report, or a report, the u.s. is about to slap import duties on sugar from mexico. u.s. big sugar is complaining it simply can't compete and prices are down. and rick joining us, we know prices have dropped the past couple of years, but sugar has doubled over the past ten. is this just another sweet version of crony capitalism to boost big sugar millionaires or am i being a conspiracy theorist? >> let's look at the fact, the u.s. is the sixth largest sugar grower. of course mexico is the seventh. unlike the top five, brazil, ind india, european union, china, and thailand, mexico has aen unique situation be

from a wti standpoint, looking at oil -- the bulls can defend this level.ng it up, we have to talk about opec. they are the leaders in setting the global oil prices when it comes. at what point do they say, we have to cut back supply and boost prices? >> we have a situation with opec. it is a diverse group of people. the last i checked, the saudis and iranians don't really like each other. there is the ying/yang. lower pricesstain in the interim if that will put pressure on iran. enough, what opec means for the u.s. consumer is, 10 years ago when oil prices were shooting higher, it was great for me because i got to go to cnn every opec meeting. for got to go to vienna every opec meeting. now i get to go to pittsburgh. not that there's anything wrong with pittsburgh. you in studio.e thank you for explaining that to us. >> coming up, from hollywood hot wheels, and movie producer who was going to build his own cars. you can buy one if you have enough money. ♪ >> last reagan's car options have pebble beach failed to deliver new record price for the ferarri gto,

they're selling wti this week in west texas for about $76 a barrel. $78 a barrel.ota crude is in the 80s. canadian crude is in the 70s. we really are the privileged continent. we see it on natural gas where our price is a third or a quarter of the natural gas prices elsewhere. it's more subtle on gasoline and it's more subtle on jet fuel and diesel. these are the lowest prices for oil, those products, though. >> i know but we're getting better and better, you know all the arguments about everything, we're going to run out of everything, and then technology gets us, now we got horizontal fracturing and all of a sudden all the stuff that we thought was going to happen didn't happen. we keep, you know, finding more -- >> i think we're on the right path. i really do. we're going to probably be between 10 million and 12 million barrels a day of oil production, which is higher than it was when richard nixon was president. and the cafe standards, they kick in at 36.5 later this decade and then up into the 50s, the mix will change a little brit. natural gas will get some t

wti crude down about a puck, $97. and brent down 40 cents, $105. natural gas down across the energy spectrum. gold, up $2.50 after a sell-off to 1,285.40. >> let's talk about an explanation for the market in just a moment. corporate news first, i don't think there is an explanation for this, but that's a different story. a number of stock toes watch this morning, earnings reports that came in last night, let's run through a couple of the big movers. tesla's earnings beat the street. revenue nearly doubles. shares rose on the news before falling. we're going to talk more about the veteran auto industry watcher named paul engracias. 6:50 a.m. eastern time. you don't want to miss that. the nation's automakers will be reporting monthly sales today. sales hit an eight-year high in june, rather, and analysts are looking for another positive set of reports. chrysler out with its numbers. its sales were up 19.7% in july. that's its best july numbers in nine years. however, that was slightly below forecasts. shares of gopro, we talked about this right at th

this morning, there are additional gains for wti, up 68 cents to 98.45. the ten-year note looks like it is yielding to 2.48%. take your eye off that for a day. also, the dollar, at least at this point, looks like it is up against the euro. it's down against the pound, up against the yen. euro is trading at 1.33911. dollar/yen, 102.66. gold prices, up slightly, $1,293 an ounce. >>> today, the second american to contract ebola in west africa will be flown back to the united states for treatment. concerns are still running rampant of the outbreak here in the united states. joining us now with his take on the situation and to tell us we're going to see a vaccine in the near future, dr. anthony fouchi is here with us. he's the director of the institute of allergy and diseases. before we even get to whether we're going to get a vaccine, tell us the state of where we are. there was a report out earlier this morning that a man went into mt. sinai in new york city and wanted to get tested for ebola. how worried should we be? >> the we shouldn't be. the outbreak we

we have seen a selloff over the last couple of weeks in oil prices, but this morning, nymex, wti up byut 69 cents. the ten-year is a big story. we're going to be watching, too. because the yield there falling below 2.4%. 2.372 is the latest tick. this is following yields overseas. if you were looking through europe, we were just talking earlier about the german bunde, which is looking like it's closing in on 1%. could even fall below that at this point. take a look at the dollar this morning. it is down against both the euro and the yen. the euro trading at 1.3394. dollar/yen is at 101.82. gold prices with the increased anxiety have picked up a bit. >> global markets getting a wake-up call this morning following the president's statement on possible air strikes against militant rebel forces in iraq. just add that to the growing list now of global hot spots putting pressure on investors. joining us now to talk more about this, the markets and everything is the senior economist at wells fargo securities, and with us here on the markets is craig hodges, portfolio manager of the hodges sma

i want to point out, despite the geopolitics in the background in the past few weeks, we still saw wtiits lowest close since march 17th, down 6.8% over the course of the month. gold not a safe haven, either, down 3% for the month lifting off some of the lows this morning. but it is below that 1,300 handle. let's go out to lance roberts, chief strategist at sto wealth management. i'm attempted to say houston, do we have a problem here? >> not just yet, but the interesting thing is that data is a little bit weaker than what we would expect to see at this point in an economic recovery cycle. so if you look at what's really happening on kind of main street versus what's happening in terms of the global economy, you are seeing a lot of weakness in termsz of the consumption side of the ledger and an economy driven almost 70% by consumption, that is important. >> if consumption is so weak, why are we seeing the gdp as it is? >> that's a great question. if you look at gdp in that 4% print, first of all, i think that's going to be revised down here over the next couple of months. but almost 1.6

wti trading at $96 a barrel, and next level to the downside to watch is 95.79.e, this is a supply-demand story right now absent geopolitics. euro demand slipping, seasonal demand in the u.s. weak, and china's demand declining as well. that's what people are focusing on. the brent price over $102 a barrel. september expired yesterday, and we want to point out the spread between the two is coming in so it shows you that brent is out of favor right now. back to you. >> thank you so much, jackie. when we come back, a cruel summer for nation's restaurants and shareholders. what's wrong and what it takes for the chains to snap out of their funk. zblmpl later, heading into the weekend with weed, if that's your style, hempfest in oregon for the first time since recreational marijuana became legal. "squawk on the street" will be right back. [ male announcer ] ours was the first modern airliner, revolutionary by every standard. and that became our passion. to always build something better, airplanes that fly cleaner and farther on less fuel. that redefine comfort and conn

wti price is around 97.5. backing off from highs earlier in the session and branch prices negative. cautious watching the issues around the world and see how they play out. i do want to point out by all accounts if we were not seeing geopolitical conflict, you would see downward pressure other than these oil prices for several reasons. first, opec backed off on demand forecasts saying global production is up and as the equity markets are seeing weakness over the last week or so, traders saying global demand forecasts could come down as well. these prices are going to see volatility and you'll see something major have to happen overseas to send up up higher. normally this time of year, a lot lower. >> jackie thank you noor. >>> breaking flus from the faa. decided no aircraft, no civilian aircraft should fly over iraq airspace for fairly obvious reasons. to recap, the faa here, reg later here in the united states suggesting that u.s. airlines should not fly over iraq. though why any pilot even at 30,000 feet would want to attempt that i'm not sure after ukraine. >>> market, up 54 poin

to talk about what happened in the late '60s, jerry wilson was appointed police chief and then the wtirm stanford was saying that he had done things completely differently. >> right. so in 1969, jerry wilson was appointed police chief in washington, d.c.. the nixon administration at the time was trying to ramp up the war on crime. wilson took a very different approach. he immediately saw that the police force did not represent the community, that it was much whiter in the community and that previous police use had gone further south to recruit for the police department. so what wilson did was try to recruit from within the city and tried to build a police force reflective of the city. in the first recruits it was 50% black. what you saw in d.c. was a community much more willing to work with the police and much more willing to give tips about crime because they became more trusting of the police and saw themselves reflected in the police force, which i think is really important. interestingly, crime actually went down in d.c. during wilson's tenure while it went up in the rest of the co

prices now, wti trading e inin 4 97.04, lower on the report. about with the crude prices at a nine month low yesterday as a matter of fact. we do have a very well supplied market here, iea saying that opec's output in july up to a five-month high, and also chi china's oil demand going lower year on year, down 2 % in the month of july, supporting other weak china data as well, and in the u.s., demand falls off this time of year, that's why the prices are lower, now dropping under $97 a barrel. brept prices lower as well over the course of the last few days, brent prices at a 13-month lociing the opec numbers go up, not so much worry about geopolitical tensions at the moment until there's a supply disruption. back to you guys. >> i want to highlight that 6789 that's fascinating, jackie. five or six years ago, trouble in the middle east, shot up to $150 a barrel. >> exactly. >> very, very different this time below a hundred dollars a barrel, talking about supplies, the other main factor is the united states imports far less international oil than

. >> wti would need to be over 115? >> 115, about 10% to 15% above where we are.oday household spending, the economy, that would grab investors attention. >> john, the big issue is if you're not interested in stocks, where do you put your money? >> in stocks. >> hold your nose and do it, anyway? >> yeah. if you look at the earnings, they have been coming in surprisingly well. and, you know, to your point, if you look at the cost of capital interest rates versus the yield on stocks, it would be dividend yields or the pe or what have you. stocks are just, you know, look undervalued, pretty significantly, .i think that you can see, you know, years of double digit returns as this very slow and steady recovery moves forward. >> so you're not talking about a situation where you think stocks are just the best house in a bad neighborhood. you actually think stocks are undervalued here. >> yeah, i do. and i think it's a mistake that -- >> undervalued? >> yeah. if you think about it, the bond yield right now is implying over 20 multiple on stocks, just simple math. right no

in the world of energy and oil, right there, wti crude, the number to beat 95.57. we'll tell you about the ten-year. i don't -- you know, the yields at 2.4% or 0.5%, is that what is -- is that what's really impacted the markets over the past week? i'm just telling you, if you're the fed and if you're a central bank around the world and you are staying where we are, the gop program to move up and that's what they wanted. that was the idea in the first place, right? to have fair wealth. i don't know whether it has or not. but what are you going to do? >> under the mattress. >> i was going to say, that's one of the reasons why the u.s. treasury market is benefiting. because the comparative yield again is obviously about buying a u.s. security. >> it loses and like a play where you can just -- the person in the play can turn, right? >> michelle is -- >> chime in. exactly. we'll be here. >> who is supposed to read this? you are. >> i am? >> you are, ser. give us an economic pulse check. michelle gerard and michael hanson are joining us now. you're not that handsome, are

the price of oil -- geopolitics, wti higher by 28 cents, 94.14. what's going on with libya and the kurds. brent is at 102.75. with ten-year, 2.375%. and the dollar is lower across the board. 1.65 for the pound. the euro is going to cost you 1.31, almost 1.32. the yen, 103.92. and the price of gold, which andrew does not have any of, higher by a buck. >> hanukkah gelt. >> but, you know, if you live in europe, you're actually still better off because -- >> because of inflation, i know. but i'm just looking at it in reference to the slam dunk trade that our bonds -- that the ten-year would be at 3%, 3.5% right now. it's been two, three, four years that people have said slam dunk and that's happening soon. how can it happen if spain is at 2.0? we cannot go here -- >> route right. i've been at cnbc nearly 16 years and the one consistent piece of advice given out by all, whatever you do, don't buy the long end of the curve. who would want to get paid only 6%? who would want to get paid 6%, 5%, 4%, 3%, and yet some of the best trades for more than a deca

wti crude price right now $94.83. and the ten-year there you got it 2.347 is the number. that everyone -- what? >> t-note or a t-bill? >> t-note. >> i just -- >> i read what they tell me. >> you're not like a ventriloquist. you're like sitting on the -- no, go ahead. you're right. >> that's what i am. thank you. the story everyone's buzzing about this morning ready to go head to head with amazon, a fleet of drugs designed to deliver small packages. jon fortt has that story from the new york stock exchange. >> good morning, andrew. if self-driving cars weren't sort of dangerous sounding enough for you, how about self-flying planes? that's what these drones are about, and really when you look at it, google is calling it project wing. these are drones with about a five-foot wing span. what's interesting about this is they're generally a couple of different types of drones out there. one that's a helicopter type design. those tend to be more expensive. then there's the wing type. the helicopter type can take off straight up. they don't need a long runway. google designed one

wti is at $ -- 97.70. the dollar right now is? >> drum roll. >> mixed.ainst the pound, stronger against the euro and the yen. you're going to have to pay $1.33, maybe $1.34 for the euro. and the price of gold this morning is essentially flat. >> and therein lies one of the major issues, right? joe said it earlier. the euro. >> right. >> the euro should not be at 1.33. >> and yet, it is. >> well, 1.33 it was 1.38, and it really made no sense as they're easing and we're uneasing. >> right. >> well, it sure as heck would help the situation for some of those countries over there if the euro were closer to par. >> oh, absolutely. i mean, every time the euro moves up, draghi gets epp indigestion because you've done all this work with quantitative easing and then 50% of that work disappears when the euro strengthe strengthens. >>> will geopolitics remain center stage for us? what should investors be watching heading into the training week? jay bryson is global economist at wells fargo and jeremy zier is chief equity strategist for wealth management research at

if you want to take a look at what's happening with oil, oil down by wti by 24 cents to 97.35. and also what's been happening with the ten-year here, that's what we've been watching for quite a while. 2.421%. the dollar index continues to rise yesterday, to the highest level since last september. this morning, the do dollar is up against the yen and the dow is down against the euro. dollar/yen is at 102.44. gold prices were up yesterday slightly, rising to the highest level in just over three weeks. up by another $2.10. $1,216.60 an ounce. >>> it is a busy day on tap for retail. walmart, as we mentioned, is set to report in about an hour. courtney reagan is here with more on what to expect. >> watch out for retail. the best in class retail expectations and lower guidance, walmart, jcpenney and kohl's could be in trouble. looking for earnings of $1.21. same stores are expected to be slightly negative again. walmart's commentary will be paramount particularly as investors try to clear out what is exactly going on with the consumerer. walma walmart's ceo told me last month, spendi

the savior the big increases in production from north america, wti at 97.21 lower by 87 cents and brent lower by more than a buck. >> i thought you were going to segue from jolts with lazier to enfebruary. >> liesman loves that nfib. >> he does. >> he's going to be mad that we're making fun of it. >> he is. >> we're not making fun of it. >> we're not making fun of it -- >> not him. >> i love him, too. you never know whether he's going to have a mustache. >> starwood is sending in the robots. the aloft hotel in kuper tino, california, will soon begin using robots to deliver stuff to your room. josh lipton joins us now with more. >> guys, i want to introduce you to my newest friend, alo the bot-ler. yes i said bot-ler. we're here at the hotel part of the starwood family. they think this could be game changing technology when it comes to providing and services their guests. here's how this technology really works. so a guest would call down to the front desk, order a tooth brush, a razor, or a towel. the front desk employee loads up the botler, types in a room number and sends it on its wa

and you can see there's additional pressure this morning on wti. it's down 21 cents to 96.71. ten-year note we've been watching very closely. the yield was down yesterday for the fourth day in a row to 2.47%. and, again, some additional pressure on the yield this morning, 2.455%. also, the dollar at this point looks like it is up across the board. euro is trading at 1.3378. dollar/yen at 102.32. gold, $1,305.90. >>> from geopolitical concerns to uncertainty about the fed, the numbers are dealing with a number of question marks. joining us now, chris rustler and coportfolio manager of the ne needham portfolio, as well. jerald, started something big, correction, buy the dip? >> it doesn't look like something big. global stocks are off about 3% to 4%, michelle. i think what you're seeing is we've seen about five of these mini corrections since 2012 and the euro crisis. this looks like another one. kind of that 3% to 6% number. and then the buyers step in. the fundamentals still look good. valuations aren't stretched. >> so you're not telling people wait until we get to the 10% ma