percent tomorrow, if it finishes february higher, it will be the eighth straight month of gains for the nasdaq the longest streak since "kiss from a rose" by seal and "seven" was the hot movie 1995. >> wow >> a long time ago cool stat. thanks for watching "power." ♪ kiss from a rose >> "closing bell" coming up right now. >> sorry to interrupt that seal - >> i think this came out after 1995, though, right? >> this is the "closing bell," everybody. live from the new york stock exchange i'm kelly evans. >> i'm bill griffeth two big stories driving the markets today. first, the future of media, comcast making a $31 billion offer to buy pay tv company sky, that rivals bids from fox and by proxy disney since they want to buy that from fox. >> that's one of the big stories today. and the future of the fed and

the impact on the markets. fed chair jay powell steeping out on cap hill. he signals the fed will keep raising rates. on that note let's go to senior economics reporter steve liesman for more highlights. >> thanks very much. yeah, fed chairman jerome powell in his first testimony before congress says that he doesn't believe this is going to happen, but one of the risks out there is an overheating of the economy. and he opened the door in a very subtle way to a possible fourth rate hike. saying, you know what, the economy is strong. we've had fiscal stimulus. his view on the economy strengthening as well. here's what he said. >> we've seen fiscal policy become more stimulative. so, i think each of us is going to be taking the developments between since the december meeting into account and writing down our new rate path as we go into the march meeting i wouldn't want to prejudge that. >> here's what jpmorgan says about that economy today's comments appear to open the door for others on the

committee to revise their forecast as they see fit and that powell himself may be inclined to look for four rate hikes this year. that certainly was the view of the bond market, which right around the time of those comments, you can see that cliff right there in the middle, that step up in the middle around 10:40 a.m. this morning. they shot up by five or six basis points and stayed there for the day. here's some other highlights from the powell premiere he did open the door ever so slightly on the fourth rate hike but didn't walk through it talked about great specificity on bank regulations, which janet yellen never did much more market centric twice he said it's working for that reason. and less concerned with inequality, something fed chair yellen talked about a lot. let's look at the probability for rate hikes this year march at 97% all a bit higher than they were earlier this morning 97% for march. 71% for the second hike in june.

66% for december and now a 27% chance for a fourth hike this year. guys, just listening to janet yellen and ben bernanke talking at brookings and she said a new normal is lower average for short-term rates and not a healthy situation without any room for fiscal policy to help in a recession so, she's worried about the fiscal policy situation, as was, by the way, jay powell >> well, i mean, i was hoping she might give us some real juicy details about what she really feels about these fed meetings - >> no, you didn't. she can't do that yet. >> probably unlikely. >> it's a little early for all of that. >> we'll take what we can get. is that just getting under way, steve? >> the q&a from the audience ben bernanke was asking her questions. i've often said, don't send a fed chairman to do a journalist's job. >> wise words. thank you, steve. >> pleasure. >> see you later let's get to the other big story of the day that we've been watching all day our parent company, comcast,

making that offer to buy european satellite outlet sky for $31 billion. julia boorstin has been following the story all day. >> well, bill, comcast all-cash offer for sky is a 16% premium to 21st century fox's offer for that same percentage of sky. now, comcast is looking to expand its international, it's drawn to sky's 23 million customers, its satellite, broad band and mobile services with broadcast news, sports rights including ee english premier soccer comcast would be happy with the 61% that fox does not yet control. >> comcast and sky have strong growth prospects separately and we are committed to investing to realize this new growth. >> now, this deal pits comcast against disney both company stocks are down

dramatically on that news. also against fox and the murdochs, who have been struggling to gain regulatory approval for fox's deal to buy the rest of sky. remember, the james murdoch is sky's chairman now, sky shares have gained about 20% today indicating investors expect fox, and by extension disney, to counterbid. fox saying it, quote, remains committed to its recommended cash offer for sky announced on 15th of december 2016. now, fox had said that it expected the deal to close by the end of june. though, after this bid, the timing is likely to change no official comment from disney. back over to you. >> at the shares sort of speak for themselves julia, thank you shares of disney and comcast are down this afternoon. let's bring in amy yellen, a research analyst first, help us understand some of the biggest questions here. first of all, do you think the comcast bid will be successful >> i think there's a lot of investor questions you're seeing reflected in the stock price and the way it's been reacting all

day since the announcement hit you don't know how the m&a playbook is going to end up. you don't know what this means for fox, disney, that deal what it speaks to sky. also, i think, a lot of questions around leverage and their own buyback and potentially their own core strategy going forward certainly, a lot of questions on the tape right now. >> have you figured out how much sky is worth i mean, both sides are going to have to determine how determined they are to buy this company, but they don't want to overpay when do we get to that point >> certainly, i think comcast has kept their balance sheet pristine at two turns of leverage this takes it to three turns i think the investor feedback you're seeing right now is 12 times for a satellite business in europe may be a pretty -- a pretty rich multiple compared to where, let's say, comcast is trading today. >> real quickly, why do you think it's so important for comcast do get that international growth and exposure >> you look at their logic cal

move, it would be international and wireless wireless in the u.s. probably has a different growth profile than, let's say, international. >> you're talking about the consent decree to when they bought - >> nbc. >> that opens them up to do other deals and wireless would be one to look at, international is the other. >> right obviously they have a huge content portfolio they could leverage abroad so that would be one of the strategic advantages to owning this. >> thank you very much >> thank you >> and now joining us with his reaction to the story, tom rogers chairman and ceo, of course he used to run nbc cable, used to be my boss he's the man who brought together financial news network and cnbc so many years ago and a part of many other deals good to see you. >> always good to be back at my alma mater, thank you. >> so, what do you think -- i mean, you've been a part of the deals like this. you know what goes on in those boardrooms, the strategy sessions that go on.

what do you think -- this is in disney's court right now what do you think bob igor is thinking about to do with that stake he has to buy from rupert murdoch? >> there's a lot of strategic chess going on here, you're absolutely right but my feeling is the market has gotten this absolutely wrong all the key stocks are down. i actually think this is good for everybody. comcast -- >> how can it be good for everybody, tom >> well, when it comes to comcast, they really don't have avenues for major domestic growth they've done very well with the comcast cable/nbc combination, sky distribution and content over there is similar to it. it's in their wheelhouse this is a much more natural business for comcast to own than disney it was a part of the disney/fox deal i never understood. to me it's like netflix acquiring t-mobile

yeah, they have something to do with each other, but it's a whole different skill set, getting into consumer electronic business in people's homes, the wiring, all the technology issues are totally different than the one that -- >> so, you're saying the way you see this is is a win-win it's a good thing if comcast e prevai prevails, is what you're saying, because this would be a better deal for comcast than disney >> yes i think it saves disney. ultimately if it were going to buy this thing, $30 to $35 billion on the piece transaction of the fox assets. obviously, if it went for the full 100% of sky, that would be the most problematic for it to manage i think you end up -- you end up here with a solution for disney to be able to own hulu outright because all this chess lends itself to some kind of negotiated settlement where disney avoids comcast coming in and bidding on the other assets,

ends up with 100% of hulu and the fox library that will power, which is an important piece of it it does lose something here with sky sports since the sport strategy is a very important part of the fox deal. >> tom, listen, if sky is so attractive, and we've heard expressions from comcast that they were deeply upset that they didn't have the chance to bid for what they see as an incredibly powerful asset, so why wouldn't this asset be equally -- shouldn't we assume it's equally attractive to disney as an international portfolio? >> no, not necessarily i think disney should be looking to get more content assets, which it still can get looking as if it should get sports assets in the united states with the regional sports channels it certainly can solve hulu and get comcast out of that situation, which can be a

difficult one otherwise to resolve. and it's not -- it's not what dis? i does this is what comcast does. and so - >> so, if you were -- you sound like if you were advising bob igor, sounds like you would say, walk away, line roberts have sky. is that what you think he's going to do, though? >> i'm not sure i would say let him have it. i think it sets up a very interesting negotiation. i think there's probably disney content that sky has that disney needs back in order to be able to launch a streaming service globally i think that's another piece of the equation that can probably lend itself to a resolution. but there's a deal here to be made where i think comcast as a natural owner gets -- gets a good deal that disney ends up with a better deal and saving a lot of money and murdoch ends up with a higher price for his sky assets at the end of the day, i think out of this chaos, some order can come of it that actually benefits all the companies and

that's why i think the market has it wrong >> that's a fascinating take >> tom, always good to see you thank you for your thoughts. >> thank you. >> by the way, those comcast shares down 6.5% disney down 4% the worst performer in the dow, probably taking 30, 40 points off the -- >> but sky up 20%. >> sky's loving it. >> yes, they are. 48 minutes to go we're deeply negative. the dow off about 200 points right now. we did turn lower after that powell testimony. >> also, did you see the number two republican in the senate, john cornyn, said it's possible there will not be time to do an infrastructure bill this year. >> you're saying the infrastructure etf take a hit on that. >> yes. >> you're right, another chestnuts we thought was coming and may be priced in and now they're kicking that one off a little bit. >> we have a whole bunch of chestnuts coming up on "closing bell." we're just getting started >> announcer: later, the airlines making a big change in the way you sit. more room? probably not that's next.

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you won't believe what we were talking about during the commercial break up here >> there's the pecking order. >> dow down 194 points that is the low for the session right there. and the biggest decliner is the russell so small caps are taking it down lower over 1% at this hour. here's a check of two retailers moving today, macy's and dillard's saw an increase in same store sales, higher than analysts expected. macy's was up more than 10%. very early this morning. but it is up 3.7% right now. dillard's held onto the gain, $12 and change. let's send it out, bob pisani is on set here, to talk more about retail, the bright spite as we move into that part of earning season. >> macy's is finally getting its

act together that's exciting. we ought thought, they're going to go over -- they're turning around it looks terrific. i want to note, powell is the one that mattered today. a lot of people talking, very lucid testimony from him who knew basis points mattered we knew two or three basis points look at the ten-year as he was talking about inflation, perhaps, getting near the 2.00% target, perhaps the economy picking up later in the year we move from 2.87% to 2.91%. and the markets, take a look at the s&p 500, just slowly started to droop once again, just like it happened last week on the fmoc numbers what we're learning is basis points matters who knows what will happen if we go towards 3%. interest rate sensitive groups banks are generally up today take a look at what's happening with some of the other groups here reits and some of the other sectors, utilities, emerging markets, that's the bottom one, that's interest rate sensitive however, it's not preventing the banks from moving up

comerica, zions and regions, along with bank of america and jpmorgan chase other sections of the market quietly moving up. we noticed the cyclical stocks rallied since the bottom and getting new highs like raytheon, boeing, northrup grumman but when does the market start to turn around if we see interest rate moves in four basis points started a complete turn-around on the market. >> peter, are you surprised at the way we kind of flipped on a dime with the powell testimony >> it's all about rates. the you know, the market -- there's not really -- after listening to powell's testimony, i wasn't really impressed in either direction it was kind of what i expected i know - >> he's fed chairman now. >> he's fed chairman you don't expect anything enlightening because everything is always read between the

lines. but where he kind of intimated there might be potentially a fourth rate rise, i thought that was a little surprising. but i'm going to tell you, i -- i'm going to bet against that one. i don't think you'll see four rate rises this year. >> do you think you'll see three? >> i think we'll see three and i think the third one might -- they might be on the fence on that one i think as the second half of the year rolls around, i think the economy is going to slow down a little bit and they're going to say, is this the time to do that even though they kind of pigeon holed themselves into that three rate rise for the season -- for the year, i think they can back off from that. >> i'll tell you what the key is here the key isn't -- two things are key. first is the velocity of the hikes, how fast are they happening. the second is earnings you can -- the market can go up when rates are going up if the economy is expanding and particularly if earnings are going up that's what we've been seeing so far this year. first quarter, second quarter, third quarter, double digit rate

hikes for as far as the eye can see this year. and they're not dropping them. if that keeps up, we can stand three rate hikes, i don't know, about four obviously, they're having some trouble here but the earnings are telling us that the economy is strong. >> it's surprising the retail sector -- we're down 1%, even though we talked about dillard's and macy's as bright spots we're in that part of the season, for better or worse. >> if you look at the retailers, everyone from every network has been talking down the retailers saying how big box stores are, you know, at some point in time they're all going to disappear and everybody will be ordering everything from amazon or jet. please, give me a break. you know, macy's has finally got their act together, like bob said you look at hudson bay group, they come out. you're looking at expects that actually have strong management. they're going to figure it out you know, people still go in stores and buy things. they might not be -- >> do you go in stores and buy things >> yeah, i do once - >> once a quarter?

>> once in a while >> i go into the supermarket >> well, there you go. but you got to walk the walk here you can't just tell me these retailers are going to be fine if - >> i do like to go shopping and feel things and try things on. i understand how easy it is to order things online. get a package, it's like christmas every day at my house. but the reality is i do like trying things on i don't mind going to stores when stores discount as much as they discount at periods during the year, it makes sense to go to a store get out in some fresh air. >> you want to see the modern shopping experience? you would like bonobo's. you walk in there, there's no big racks of aisles of anything. there's a couple pairs of pants, different styles and they have your measurements. you say, i like these points - >> you make an appointment. >> they got it and then they ship it to you you don't try on 67 different pairs of pants. >> a walmart company. >> it's a tiny store and packed in philadelphia. people going all the time.

>> i haven't set foot in a store yet this year and bought a bunch of stuff online. just deliver it. send it my way. >> the stack of boxes you have to deal with as a result, tell me, it is not a major headache >> what, the boxes >> the boxes. >> that's why god created recycling. >> yeah, once every couple of weeks. there's no living room anymore it's stacks of boxes. >> that's okay we can live with that. >> thank you, gentlemen. see you on the close, i think, unless it's sooner. >> will about 40 minutes to go dow down 190 retailer lower by 1% not many pockets here of outperformance the s&p down 25. nasdaq down 69 russell down 16. how about the financials, though they're up 8% since the reported bottom earlier this mop we'll head to jpmorgan's annual investor day and find out what that firm is telling clients about the year ahead. we love this story american airlines making major changes to its jet fleet what you should now and now expect in the cabin. and if it will make your flight

any cheaper, by the way. that's coming up oh, and there's the closing bell.

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welcome back dow was just down about 212. here are the sectors of the s&p 500, which is actually percentagewise down about 1% today. a little worse than the blue chips. >> this is what i love about the market just looking at that, what do you know you know that interest rates went up today, right >> you see financials are the relative outperformer, even

though every sector is a little lower. real estate, utility, those are some of the worst performers today. >> interest rates went up today. we have a news alert now on the possible infrastructure bill and its fate this year kayla, what can you tell us? >> the headline, bill, is on the possibility of that infrastructure plan. the number two republican in the senate, john cornyn speaking to some reporters on the sidelines of capitol hill earlier today and telling them he thought it would be challenging for the senate to get to infrastructure this year, saying, i certainly would be happy if we could, but we have a lot of things to do, that being one of them and i don't know if we will have time to get to that. some headlines earlier said cornyn said it was unlikely that the senate would get to infrastructure this year his office took some issue with that because they said the senator does still hope that they can get to it but, you know, they are going to be talking about gun legislation as they are this week. they have a few more weeks to try to pass a budget before march 23rd deadline and perhaps they'll tackle immigration yet again on the other side of that deadline

there's certainly a crowded legislative calendar and it seems some of these senators in the leadership are starting to get realistic about that. >> yeah, kayla, thank you. >> and when he made that announcement, when it hit the wires, i happened to notice the dow was down 120 and immediately started dropping now down 200 points. >> here's where some of the damage is. the infrastructure plays igf, covers the sector, broadly down 6%, vulcan down 2% >> nasdaq is 2% off its highs. courtney reagan has some of today's movers. >> actually, time traveling, i am here at dmroebl headquarters, but we'll still cover the nasdaq for you. down about 1% when you look at the composite or nasdaq 100 on the session. three-quarters to more of those components in the nasdaq 100 are lower today. actually, accelerating into the close. cnbc's parent company comcast, that's the big laggard shares down more than 6.5% after the announcement that it

made a $31 billion competing bid for europe's sky company now, that's pulling shares of 21st century fox lower, down 3% as well. comcast bid currently for sky is 16% higher than 21st century fox's bid. comcast is the biggest point detractor from the nasdaq 100 index today as well. shares of international internet companies are also among the losers take a look at some chinese companies. netease.com down more than 4%. and jd.com down 3% chip makers among the top performers for most of the session in the nasdaq. intel shares hitting highs not seen since about the year 2000, as citi makes intel its top chip stock pick for 2018. it's comparing intel to what we saw with micron in early 2017. you might remember when micron

shares nearly doubled last year. micron and microchip are still higher on it is session here by more than 1% they were higher by almost 2% earlier in the session investors also buying into shares of express scripts and workday, getting an upgrade and price target increase bybank o america. some action into those shares as well back over to you >> it will be a busy afternoon for those earnings we'll see you then courtney reagan. >> wherever she is. time for a cnbc news update. let's get over to sue herera. >> i'm right here, thanks, guys. here's what's happening at this hour the u.s. is not doing everything it can to keep russia from interfering with the 2018 election, so says nsa director admiral mike rogers who testified before the senate armed services committee >> so, i think the challenge for all of us is, what are the tools available to us and is the strategy says, diplomatic, economic, some cyber things.

there are tools available to us. and, again, i think in fairness you can't say nothing's been done, but my point would be, it hasn't been enough. former president bill clinton arriving at the billy graham library in charlotte to say a final farewell to the late evangalist. the duchess of cambridge visiting a hospital in london as part of launching nursing now, a campaign to raise the profile of nursing across the world in a speech she said the world would need a further 9 million nurses within the next 12 years. you're up to date. that's the news update this hour back downtown to you >> thank you, sue. see you later. in an effort to drive greater profits, airlines are racing to standardize their

fleets, configuration, in hopes they'll be more cost effective phil lebeau is in washington with more on what american airlines is up to. phil >> reporter: we are on an american airlines 777-200. they're in the process of retro fitting this plane have you the main economy cabin here they're going to take out about 40 seats on most of their 777s why? to make room for premium economy. premium economy, about 24 seats on this plane, but they will still have up to the front business class they're not getting rid of business class but they're making room for premium economy. the reason why, three things are going on here. for american airlines, it's about giving customers greater choice there are a lot of people who buy main economy standard seating and decide, i want a little more. maybe i pay a couple hundred dollars more and i move up to premium economy. and that gives them greater revenue. at the same time, that helps them drive higher margins, higher profit margins and fewer

headaches when it comes to replacing aircraft at the last minute i hear this question all the time from people, well, i was on a plane and the new plane was brought in and i got bumped because they didn't have as many seats. that's because over the years, because of so many acquisitions and mergers, there have been a number of different planes brought together in one fleet. american said, we're standardizing it if they have to replace a 777-200 in the future, it will have the same number of seats, it will be easy to move people from one plane to another. we'll see more in the industry again, this is all about american saying, we think we can drive greater revenue and greater profit margins by giving people that choice with premium economy seating. it's a change you'll be seeing more and more within the industry >> happening to you? >> what's that >> you get bumped and -- >> i've never been bumped but i had to get off one plane and another one. it was a different configuration, and they did a head count and some people were out. >> musical chairs. >> exactly phil, thank you so much.

i never understood why they weren't standardized configurations anyway. >> sounds like they were and then combined. everyone had their own and then -- no i try not to fly, if at all possible. >> i'm aware 28 minutes left in the trading session with the dow now off the lows, down 185 points. the russell 2000 is the big laggard, down 1% markets have a long way to go to get back to the all-time high levels we saw in late january. when we come back, a leading trader weighs in on what needs to happen to get back to those highs. >> i mean, today's a setback, but we're getting there. the nasdaq was almost all the way back. >> one step back, two steps forward. after the bell we'll get earnings here are some names, etsy, square, express scripts. we'll dive in when we come back.

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shares of underarmour down in a year but seeing a bit of a resurgence. >> tomorrow on "mad money" jim cramer will talk with ceo kevin plank. we're looking -- kevin plank has listed the priciest home in washington, d.c. he's listed it for $29.5 million. he paid $7.85 million for it in 2013. >> wow >> so, he's a house flipper, too. but a lot of work into it. >> we're working our way back to the levels of all-time closing highs. at least we're trying to those highs occurred on january 26th let's check on how the market is doing today as we have less than a half hour together continuing it lower, down 231 points on the dow. the selling has intensified. this is what we've been seeing lately, where we see this selloff here s&p, nasdaq, russell also at their lows for the day >> let's ask our "closing bell"

exchange about that. we have mark travis from intrepid capital funds, and rick santelli from the cme in chicago. so, welcome. matt, first of all, is this an overreaction to powell's testimony? when his remarks first came out, people were saying, oh, he's the same as yellen, same old, same old and then he makes bullish comments about the economy and here we are. >> yesterday may have been an overreaction to see the market up over 400. >> in anticipation of it >> it may have been. the writing was kind of on the wall we saw the vix was a little changed despite the market being up today we get a 20 change in the vix. people are definitely overreacting to whatever word he says. >> rick, though, when you look at the ten-year, we've already documented this, when chairman powell was testifying today, hinting, at least the interpretation was he was hipting we could see four rate hikes. the ten-year shot up and that

took it the equity market down what did you make of all that? >> i found it interesting that pretty much twos, fives, tens, 30s off on their own for the most part, but even early they were part of the group they all shot up about the same amount it was roughly a parallel shift on the curve i guess you could say his heavy way to the economy was okay, was equal and balance and intensity the long end rates to move up is the notion he made to do and four rate hikes, i get that. then again, you know, i operate from a different perspective to me, i don't really believei you but every fed person on a lie de tech totector, they don' how many they're going to do so hinting about three or four seems like a parlor game that doesn't mean the markets don't pay attention. listen, traders don't care exactly how it turns out they want to get an edge right now. to that effect, i think the markets did move with him. as a matter of fact, if you look at the high yield of the day, it

was made around 12:22 eastern. the stock market really started to give it up more after that, but the initial shock of it all when rates popped up and they popped up more at 10:00 eastern and the stock market went down, it gave you plenty of time the best way to look at it is, if you think slightly higher interest rates are a death nail for stocks, then you should sell your position yesterday. because there's very little doubt we'll be getting more of this along the curve i think it's just a repairing. today the machines had their way, the nervousness, but i do think as time moves on, the equity markets will get used to it and they'll repair up and move more in a tandem fashion as time moves on. >> what you said caught my attention is how they shouldn't just say they're going to say they'll do three or four rate hikes, because they don't know, right? >> exactly. >> the last thing is you want a fed to say, we told everyone we

were going to do four so we better do three or four, whatever the case may be. >> i think they want more life insurance with higher rates so i think they're error on how much they think they could do if things turned out well at the end of the day, anybody out there thinks if we broke 3,000 points in the next week in stocks that the march meeting would be a for sure quarter of a point, i question that i know powell and many fed chairman and chairwomen don't think they do anything for the stock market i disagree i think it's on their radar screens as big as it was on donald trump's. >> do you think we're in for a turbulent year for equities if, in fact, we do get four rate increases this year, or even three? >> well, i mean, i'm like rick i don't think we really know it's hard for me to believe. i can think back to february of '94 and we had the surprise february massacre when greenspan gave us a 25 basis point booster

shot and it decimated in reply view the less liquid parts of the capital market i think we're going into an environment where long duration assets are going to be at risk if there's long duration equity you're waiting on a cash flow -- >> like netflix. >> there you go. like netflix - >> i saw is it in your notes i cheated. >> you know, as long as the credit markets are open, that type of long duration asset works. when the credit market is closed, i would not want to be in equities. for us at intrepid capital funds, we value business on free cash flows today and things people like and need and use in this case, food we have a variety of restaurants around the world at this point mostly smaller cap where we can value those free cash flows and say, we can get you to a higher price regardless - >> so your stock for this environment is cheesecake factory. >> not for you, kelly. not for you. >> i like it

but you say that's a way we can ride out 2018? >> you look at the ticker symbol, it's at three times the value. there's very little debt in their capital structure. if there overton wanted dividend recap it or sell to a pe firm, he could at a considerably higher price so, that's something we feel good about, even though their same store sales are down. they sell almost $11 million worth of volume out of every one of those 200 stores. >> wow >> something we would be happy to hang onto. >> before we go, are we hitting any levels of significance for you here >> no. 1% move in the market really doesn't matter right now i think just get your helmet on and, you know, trade from that side of it and thursday we'll get another day like this probably >> probably. >> because of the inflation report >> and the chairman testifies again to the senate banking committee on thursday. good to see you. see you later, rick.

thanks >> 17 minutes left in the trading session. just off the lows. the dow down 207 points. jpmorgan chief jamie dimon is pushing companies to end a long-standing practice on wall street we'll tell you what that is coming up. >> former white house budget director david stockman has called the new fed chair, quote, janet yellen with a tie. coming u wllp,e' get his take on powell's capitol hill testimony powellwhen it might be timemony to buy or sell? with fidelity's real-time analytics, you'll get clear, actionable alerts about potential investment opportunities in real time. fidelity. open an account today. fidelity. and i recently had hi, ia heart attack. it changed my life. but i'm a survivor. after my heart attack, my doctor prescribed brilinta. it's for people who have been hospitalized for a heart attack. brilinta is taken with a low-dose aspirin. no more than 100 milligrams as it affects how well brilinta works.

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welcome back you know, the financials have been rallying since the most recent low we saw earlier that month. in that group, morgan stanley is up 1 is% from intraday low on that date, jpmorgan up around 10% goldman sachs also, and citi up about 9%. >> some headlines out of new york city, wilf. >> yes, indeed, kelly. so, the head of the investment bank daniel pinto commenting on that market rebound you were alluding to, bill, and saying he wasn't surprised we got back up from those lows so quickly

as it relates to jpmorgan's trading numbers, he said it was likely to be up high single digits this quarter. that would make it the first quarter in a year helping earnings, not hindering earnings the broader sector down 20% in terms of trading refuse new. ceo lake commented on interest rates saying, quote, there have not a particular level of rates at which they're expecting negative implications. jamie dimon as it related to interest rates commented on rates of 5% to 6% as an issue as opposed to 3% or 4%. the digest disappointment came in terms of expenses, upgraded guidance to $62 billion versus $58.5 billion last year, but that came along better guidance, which is why it hasn't weighed on the stock price today jamie dimon also addressed the health care initiative it's

pursuing with amazon and berkshire hathaway. >> if you already buy health care for and on behalf of our employees, about $1.5 billion a year administrative costs, about 25% a year there's something wrong. we need to fix it. it's not for just anybody. we already do it as a not for profit we want to take it to a higher level, better outcome for employees and a better cost. at a maximum, maybe we can figure out how to do something better for the country overall >> dimon also said he regretted but did not retract his recent comments on bitcoin. he made it very clear that his successor is likely to be an internal candidate as you alluded to before the break, bill, mentioned he would like companies to be judged on their absolute earnings numbers as opposed to relative to expectations that analysts and journalists put out, and particularly called out cnbc on that point, with a little smile on his face as he did it guys >> well, now, wait a minute.

there's two different things here you can't keep the analyst community or the media from putting estimates out there. what you can do is say to companies, don't encourage it or don't, you know, help to narrow that down maybe so specifically by giving it yourself, right >> i mean, he wants to do away with quarterly guidance, right, twice a year, whatever, isn't that what he's trying to get at? >> no. he didn't give a chance for us to respond, so that's one point which i think you're getting at, kelly, which i agree with. what he said is he wants to continue reporting their own numbers every quarter. he just doesn't want to have to set out guidance because i feel like his overall point is he doesn't like to see earnings measured each quarter against expectations as opposed to the absolute numbers i.e., the long-term trend of a company might be doing very well but each quarter we might focus on "x" is 4% and we had it up

5% if we were allowed a rebuttal, i would have said long-term absolute performance is important but share prices react to relative to expectation clearly, that's something we'll all continue to focus on. >> indeed. lovely to have you back from holiday. thank you, wilf. >> my pleasure great to see you guys. >> see you later >> we are -- >> did he look tan >> no, he doesn't tan. he's from england. >> he just burns i think he tans. >> no, he doesn't. his father tanned, but he doesn't. nine minutes left in the trading session. we are down 208 points on the dow right now. and just one trading day is left in february tech has been the best performing sector for the month, actually a top tech analyst will look at the best buys as we close things the best buys as we close things out.

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>> according to our partners at kensho, shares of etsy have moved 8.3% up or down after releasing their earnings square moves an average of 8.4%. express scripts has a much smaller swing on average it usually moves only 1.3% of course, we'll have those numbers coming up right after the bell. in the meantime with the dow setting lows, here we go again down 236 points. we'll come right back with the we'll come right back with the closing countdown. and actually improves memory. the secret is an ingredient originally discovered... in jellyfish. in clinical trials, prevagen has been shown to improve short-term memory. prevagen. the name to remember.

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heading into the last two minutes as the market continues to set lows, the dow down 250 points bob pisani with me we start with the ten-year, that's where everything emanated from today and you can see where the market started to hear chairman powell during his testimony >> put a little circle around that spike up there. i would also point out, by the way, it was around 2:30 that john cornyn in the senate said

it was his belief that they may not have time to get to the infrastructure bill this year. and that's when we really started to see selling at that point. >> even though everyone believes there will be very little movement and a bill to get anything done to affect the stock market in in way, i think that was a factor. the answer to our market lower is very, very clear, we have to keep powell off the television i don't see any way out. >> he's back on thursday we warned you. dollar, look at this the dollar index back above 90 that's something significant for rick santelli. we'll see if that means higher prices down the road higher levels. >> can we mention one thing with the vix. >> let me show you the vix here today. what do you mean not doing too much it was up another -- >> we moved to the upside. i want to point out we had a vix product, the vxvy.

it's going to be one-half the inverse. you see it moving down rather noticeably today basically their reducing the leverage and i think that's in response to market volatility. >> down 280 and more at the close. stay tuned for more earnings and an assessment of jay powell's is sesment on the second hour of the "closing bell" with kelly evans. see you around, kel. thank you and welcome to the "closing bell. a late day selloff pushed the dow down more than 300 points at the close. that leaves us at 25,407 or thereabouts. the s&p 500 down about the same amount it was a 35-point drop on the close to 2744. the nasdaq down 1.25, 7330 the russell 2000 dropping 1.5%

down to 1536 today also of note, volatility gauge, that vix up three points to just under 19 interest rates were moving higher as well after testimony from the new fed chair jerome powell we'll have more in just a moment we have a bunch of earnings headed our way and we have a bunch of reporters standing by to cover those results courtney reagan will bring us elf beauty, and deirdre monitoring square, seema modi will have numbers from booking holdings, and leslie picker will bring us results from hertz and express scripts. thank you. we'll see you in a couple minutes as this gets under way joining me now cnbc senior markets commentator michael santoli as well as michael from ubs financial services and chris burtelson joins us dow was up 2% at the last check.

big laggard was disney after comcast said it will be going after sky. both chairs of comcast and disney disney down 4.5% on the bell on the s&p the big winner was aes while autozone dropped 11% to make it a big loser a rally down as well mike, real quickly, even though a lot of the weakness occurred much later than the original selloff, do we still tie it back to testimony from powell >> the testimony from powell obviously got treasury yields moving back up which took away this idea that maybe we'll get a reprieve for a little while longer on the interest rate concerns the dollar going up, as bill and bob were talking about, has also been a switch from the recent trend. yesterday we were kind of poking some holes in the quality of that rally i called it an upside air pocket we just undid it the s&p 500 just gave back yesterday's pop and a couple of points the dow is still up from friday's close i do think it's worth noting the market is still skiddish it doesn't feel as if it's out

of the woods when you see the volatility index add on three-plus points, as i'm looking at it right now to almost 19, it shows we're a little on edge about all these macro factors. >> here's what jerome powell said in his debut, testifying to congress for the first time as fed chair. he reiterated the fed's chair that rate increases will be warranted and downplayed concerns about recent market volatility. >> we looked after the volatility came and subsided, where we look carefully to try to understand what did happen and it seemed the markets were orderly through all of that time and etfs are a particular form of fund and i don't think they were particularly at the heart of what went on on those days. >> so, trying to sort through what happened. what do you think is at play here >> i think rates today were

definitely in the limelight, no doubt. and i think rate investors are a very finicky, easily aggravated lot and they can be the tail that wags the larger dog. >> where did we go up to on the ten-year, about 2.91 >> yeah. what's interesting is don't just look at ten-year rates, look at two-year spreads where we bottomed around february 12th, that's not where rates bottomed that's where spreads started compressing again. i think that's important >> that's weird. you're saying the yield curve got flatter and -- >> flattening is good. we don't want it to steep, too flat either. if it's too steep -- when it's too steep and rates are too real, bonds are too good relative to stocks so, we don't want a one-year that's too high and we don't want a ten-year that's too low we want it where there's a 50,

60 spread. >> like a goldilocks situation. >> it is >> we have breaking news, sue herera. >> amazon is at it again, disrupting the home security market this time around. amazon announcing it is going to buy ring, undisclosed amount for that it's partnered with ring in the past but this time they are going to buy ring, which is the smart door bell maker. it is being backed and bought through its alexa fund and amazon feels as though it will be able to disrupt the home security market using its alexa device we're awaiting more details. we might get a price tag, may not. once again, amazon is disrupting yet another industry back to you. >> wow, sue. thank you. the shares look largely unchanged on that. >> you know what, adt has been dropping its competitors have been dropping adt was down 5% last time i looked it is now down -- actually - >> down 4.5%.

>> so it's come way back. >> just before the close that's interesting that that happened sue, thank you chris, let me quickly bring you in on this because this is an interesting one. ring is a pretty small company but it's really quickly kind of come to be the forefront of the conversation around, am i going to install something in my doorway, is this going to be the way that i, you know, interact with this technology in the future and amazon signaling it would like to do that. it would make it easier for them, right? why have to deal with owner -- remember, they were going to pilot these programs like let our drivers come into your house with a one-time code ring would be a much more efficient way to deliver packages, right? chris, what do you think about that >> absolutely. you can visually see what's going on not sure if they go in the house but now have you a video of the

amazon delivery. ring works well from a security point of view. it fits another need and people won't be stealing packages or anything. >> yeah, that's the idea anyway. >> what do you think >> amazon is willing to be opportunistic, touching much other points of customers. it's a data business as almost all businesses are right now it makes a lot of sense. when adt came public, it was very recent. it was coming out of a private equity ownership the number one story line was, these guys are -- they're in the wrong place for where this industry's going. >> also not to mention this ramps up the rivalry of google a little bit nest, of course, wants to -- wants them to be in this space and amazon is saying, no, we'd like to be there, too, actually. >> yeah, without a doubt that whole ecosystem is to importa important, particularly when you add voice and vision, what consumers wants. >> we'll get you more when we

get it. take a look at shares of macy's and dillard's those department store giants were significantly higher after reporting earnings that beat expectations macy's closed up 3.5%. dillard's up 17% we'll hear from other big retail names like tj maxx, lowe's, nordstrom, foot locker what are your thoughts about retail >> no question when will wall street learn? 26% short in dillard's, and very low expectations you already saw target and other retailers come through no wonder they had beat expectations it's not that, you know, online sales aren't going to take over a great part of retail and amazon is going to be a big winner it's just that people that mispriced this badly >> look at the difference. even with today's close, that's the second column, dillards up to 83 bucks compared to 142

dollars at highs. >> those are all-time highs. they're making up a lot of ground i think the story is the stable sdmrags at physical stores pretty good demand there's a tailwind from wage growth and decent pricing. in that environment, macy's trading at eight times this coming year's earnings room to bounce. >> you trade at half a multiple of the s&p, you're either going out of business or figure it out. and i think for the survivors, there's multichallenge and starting to hold their ground versus the bigger threat. >> chris, which names do you think are most interesting in this space >> i think target looks good to me i think there's a possibility that amazon may partner with them and they talked about various partnerships to have distribution centers to my way of looking at it, online retailing is only 10% of all retailing. eventually it's going to grow but they looked away from the

other 90%. this was bound to happen. >> let's look at shares of comcast and disney on the big news that comcast will make a bid for sky, disrupting disney's plans for doing so after buying fox. major shakeup potentially here tom rogers last hour suggested it would be best for everybody if disney walked away from sky, let comcast have it and try to take 100% ownership of hulu instead. >> i think that might be a couple moves down the chess board. i don't think right away disney will say, fine, it's yours the market is saying that. the market is essentially saying that this is now going to be a battle, costly at the final price. it doesn't mean it's a disaster for anybody involved but it does show you we're in an environment media where it's about trying to pick your partner, trying to redefine what global scale means. >> i wonder if for comcast they say either with this bid, we get the asset and we're willing to pay up for it or we make disney pay more is it a win-win from that point of view?

>> absolutely. i think comcast put themselves in the driver's seat by waiting. now the next move,ist onto fox or disney. >> and look at comcast shares closing down more than 7%. that's biggest drop in some time. etsy's results are coming through. >> hi, kelly etsy shares are flying high, up 16, almost 17% right now upon a strong earnings forecast beat on the top and bottom line. the revenue coming in at $136 million versus estimates of $132 million. earnings were 15 cents adjusted versus estimates of 9 cents adjusted strong guidance as well on the revenue for 2018 up 23% versus 18.6% estimate up. also another really important metric here is gms, the gross

merchandise sales, total of all stuff sold on the site, that coming in at 1.02 billion, also a beat analysts were forecasting $975 million. the company also beat -- basically in line on ending active sellers at 1.93 million and a beat on active buyers, 33.3 million we'll be on the call to get more back to you. >> thank you a 16% pop in shares of et sy are you loving it or what? >> absolutely. it's another example of online, another example of something where the expectations were muted and it's a stock that's done well and all of a sudden they continue to perform well. i like it a lot. >> mike? >> it's amazing. the first day this stock was public in 2018 it traded at $27. went down to $6 and change >> wow. >> and now it's in the mid-20s again. i think it really has been one of those deals it was a brand

and phenomenon and now it's a business. >> they come out at a price. they get whacked - >> it's a buzz and then under whemd -- >> some fight their way back. >> etsy is one of those maybe rare success stories booking holdings, known as priceline, they just changed their name. >> it's a beat, $16.86 adjusted versus the estimate of $14.12 estimate so, a big beat on its bottom line revenue at $2.8 billion. the analysts consensus was $2.7 billion. q1 eps guidance a bit light. that's why you're looking at the stock down in extended trade want to point out that booking holdings finished 2017 with a strong fourth quarter, according to glenn fogle, ceo, saying a reported year over year growth of rooms booked and adjusted

growth we talk about the challenges the sector is facing year over year numbers look good for the quarter and over the past year, but looking at guidance for q1, slightly like, that's why the stock is down i will be speaking to ceo glenn fogle tomorrow on cnbc's "squawk box" at 7:40 a.m that's an exclusive. we'll get his take on where the company is headed, the challenges and opportunities that's coming up tomorrow morning. i'll be on the conference call as well with the details back to you. >> seema, real quickly on that, was it expedia, tripa. dvisor that just had a rough patch? >> yes. >> seems interesting priceline is holding up as well. >> expedia reported results two weeks back and stock dropped 15% on the back of disappointing earnings as well as guidance a different story for tripadvisor. sales beat, earnings missed and stock moved higher by 10% as nonhotel portfolio continues to expand, particularly in restaurants and experiences.

it's only becoming an interesting story with online travel, especially as they expand outside hotels and into eateries and experiences >> yeah, and you wonder for priceline or booking, are we going to talk about a $2,000 stock? >> it was $2,000 at one point. >> i guess they're berkshire. news alert from the white house with eamon javers. >> reporter: white house officials not commenting that jared kushner has had his security clearance downgraded from top secret to simply secret here at the white house. you remember this comes after that controversy of whether or not he could obtain a permanent security clearance and the white house was given information that he would not be able to qualify for a permanent security clearance. and he had been operating on interim security clearance until friday, chief of staff john kelly was deciding what to do about that and a number of other white house staffers who have interim security clearances. now it appears that jared kushner has been downgraded to

simply secret security clearance. a white house official telling me the white house doesn't comment on individual security clearance issues now, this comes after news this afternoon that influential white house staffers is leighing the white house shortly, within the coming weeks his term of a year or so here at the white house is now over. so, that all put together, prompting speculation of the role of the presidential son-in-law going forward it would seem difficult on its face for kushner to be involved at the highest levels of middle east peace negotiations, for example, if he doesn't have access to some of that sensitive compartmentalized information at the white house, some of that top secret intelligent information, very valuable for policymakers making decisions about overseas negotiations, treaties and the like. that has been his role here in his first year in the white house. we'll see how he maneuvers now if this report is accurate that he is now being downgraded to secret security clearance. back over to you.

>> exactly eamon, thank you eamon javers at the white house. shifting back to earnings. square results are out let's get those with deirdre >> it is a beat on revenue but the stock is under some pressure may have something to do with guidance i'll get to that first, top line numbers from jack dorsey's payment processing company adjusted eps and q4 of eight cents, a beat of one cent. q4 adjusted revenue, $283 million versus $266.3 million, which was expected subscription and services revenue made up $79 million of that that's nearly doubling on a year-on-year basis gross payment volume, $17.9 billion, which is an increase of 31% year over year and beating street's expectations. guidance for first quarter following short, projected eps of 3 to 5 cents instead of 8

cents, attributing this to stoc based compensation saying full-year guidance is still in line with expectations want to talk about square's move up market to bigger sellers. what they call midmarket sellers, which are sellers doing more than $500,000 in gpv. they now account for 20% of total gpv. that's flat, so that could mean that push is stagnating somewhat this is a stock up 35% year-to-date already after a big year last year so, we are seeing a little bit of pressure, but in the grand scheme of things, down less than 1% it was down more than 5% as soon as it is earnings hit. i want to share some new numbers they are sharing this quarter. for the first time they're sharing two cash app metrics their cash app is the p-to-p venmo competitor cash card, virtual card spending was $90 million in december so making it $1 billion on an

annualized basis >> deirdre, thank you. square shares a little fractionally lower the last word before we go. >> yes i think square at 90 times earnings and triple over the last year, i think, it needs a rest i like priceline in here it's one of the high pe stocks that amz seems to be a buy and they always seem to underpromise and overdeliver. i think it's great >> and it's turned positive. it's almost like it's listening. thank you. amazon made another big buy. we'll have that next on the "closing bell" and much more still to come. >> announcer: straight ahead, the georgia state senator who's so angry with delta for ending its relationship with the national rifle association, he's striking back against the airline and corporate giant. see how when he joins us live on the "closing bell. plus, what president obama just said that will send shock waves

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just moments agno news breaking that amazon is buying ring amazon just fractionally lower tim lesko is with us now to talk more about this what had do you think of this deal >> i think it's a bit narrow looking at how this affects adt. certainly adt has had a business that's ripe for someone to come in and disrupt it for some time. and i think ring has done a nice job on its own of creating what is really the next generation in home security. amazon really wants control of the home what they're doing with echo and echo dot is trying to put am. >> amazon in every room of your house. now the basis of your security system, but not only alexa everywhere you are, but tracking your every movement, where you are, what to sell you along the way. we could probably spend an hour on the implications of amazon

getting further into your business >> before we do, i can understand why adt is down for all you're saying, fundamentally they're still disruptingne of adt's, you know, core arguments to the consumer, right, which is we're going to keep an eye on things for you. now with amazon's backing of ring, it seems like ail big hurdle. >> i think ring still has to get to the point where they're considered one of the majors in home security where insurance companies will give people a discount for having the ring home security system run their system adt has a pretty good install base and will continue to print money on what is a pretty low expense/high revenue business. they've already been facing competition at adt from the likes of comcast and at&t who are all looking for the same thing. i'm not trying to downplay how bad this might be for adt, but i don't think that going after adt is the reason amazon is making

this acquisition i think there are much broader implications for amazon in this. >> walk us through exactly how, perhaps, this would get integrated with the alexa service and being in every room of your house. >> right home security system five years ago made from being in-house to wireless so adding the capacity of alexa cannot be a far way away on all of those devices i think the shortcomings of alexa, while alexa is hanging out in your kitchen while you're someplace else in the house. adding this capacity, they could essentially have your personal digital assistant everywhere you are. i think google sees that through their acquisition of nest and beginning to roll out more security problems with nest and they really actually leaves apple somewhat behind the other two in gaining that share of the

home more important than home phones you sell people is really becoming the operating system for their life and, perhaps that operating system is going to be your virtual private assistant or whatever you want to call it. >> i think you're right about that what could apple do at this point? >> apple has homekit, which is a more secure software platform and a very interesting asset that you have yet to see a lot of people jump onto. i think apple needs to push development of homekit-enabled devices to, you know, gain some of that share that they're really sieving to other people homepod was a little late. that ties into that same home software system. it may end up being they need to make some acquisitions in that area like they recently made acquisitions in music. >> perhaps if i'm amazon, too, buying ring means no one else can do it. tim, thanks for joining us. >> right thanks for having me

one georgia lawmaker is threatening to take a key tax break away from delta after the rle okim at the nra. rle okim at the nra. he's with us live. team spirit ? (cheers) what's it worth to talk to your mom? what's the value of a walk in the woods? the value of capital is to create, not just wealth, but things that matter. morgan stanley

welcome back some more earnings to tell you about. this time elf beauty with courtney reagan. >> fourth quarter, we actually have a mixed result with earnings coming in at 26 cents adjusted that did beat analyst adjusted at 17 cents.

revenue slightly below expectations coming in at 81.6 million. the street was looking for 81.8 million. the guidance, however, for the full year is very strong, particularly when it comes to the revenue. earnings is strong, too, but the revenue stands out the company just notes that they are looking at minimal expansion other than what they have already announced with the expansion into ulta beauty you can see shares of eyes, lips, face, beauty down more than 4% on the results. >> thank you how about express scripts, those results are also out leslie picker brings us those numbers. >> a beat on the top and bottom line for express scripts the street liking what it's sealing. top line posting $25.3 billion in revenue for the fourth quarter compared with estimates of $25.1 billion that the street was expecting. on the earnings side, they posted $2.16 per share adjusted

compared with $2.09 per share the street was expecting notably, the company announced a bonnus of about $20 million for each employee getting between $500 and $2,000 based on tenure, an additional $30 million will be donated to an education fund for employees for post-secondary education as well as philanthropic opportunities in the communities in which they serve. now, the company says that this bonus pool and philanthropic endeavorer is likely thanks to the tax bonus of up to $850 million to $900 million. a lot of interesting stuff in this release back over to you >> thank you, leslie the shares are up nearly 3% for express scripts there. now f you're just joining us, let's take a look at how we finished on wall street. a selloff that picked up intensity on the close

dow down 300 points, 299 on the bell the s&p down 35. the nasdaq down 91 decline of 1.25% for those averages the russell 2000 down 1.5% to 1536 it's time for our cnbc news update let's get over to sue herera >> hello here's what's happening at this hour, everyone there is a new push to curb the country's opioid epidemic and it's putting drugmakers on notice attorney general jeff sessions announcing new to the justice department's effort to end the epidemic. >> today i'm introducing prescription litigation unit task force the p.i.l.l. task force will focus on targeting opioid manufacturers and distributors who have contributed to this epidemic the tsa is testing equipment to make rail stations safer. today's test taking place at the amtrak terminal in penn station in new york city

the equipment is known as stand off explosive detection technology, which can spot explosives such as a suicide vest it is designed to do random checks at entrances. and if you think it's cold where you are, take a look at that the fountains in rome are freezing as an arctic storm hits much of europe the fountains were frozen in the italian capital as the storm brought temperatures to their lowest levels so far this winter that's the news update at this hour, kelly back to you. >> yeah, i think i saw a snowball fight going on, too. >> yes, absolutely they were. in naples. >> sue, thank you. >> you got it. >> sue herera there. with delta air lines announcing it will stop offering discounted airfares to nra members in pressure from the parkland mass shootings, a move is afoot to cancel a lucrative tax break by state republicans over that nra move georgia state senator michael williams is running for governor and he's also one of the gop

leaders in favor of canceling delta's $50 million sales tax exemption. he joins us now. welcome, senator. >> thank you it's good to be here. >> what are the different moves delta currently faces? the lieutenant governor mentioned how it would lose other tax breaks and preferences. what's on the table here >> before we start, i was clear. i was for these tax breaks before delta came out pulling support for the nra discount on friday i was out there trying to get this -- this tax credit taken out of the bill. now, what's going on is there's talk about sending this bill back to the finance committee so we can't take out the delta tax credit. >> but, again, there's -- so, they get -- explain exactly what delta gets from the state right now that you want to do away with. >> well, right now delta and all the other airlines in the state have to pay sales staction on the jet fuel and the bill would remove that sales staction,

making them exempt from it that's what i was trying to pull out friday and hopefully send is it back to the finance committee, pull it out and be successful in that. >> but this is specifically because delta is removing its support for the national rifle association? >> that's what i was saying earlier. i've been fighting this because i don't believe in corporate welfare. i don't believe the citizens of georgia should be subsidizing the bottom line for delta. since they made that announcement, it energized our base they called their senators and the georgia senators are feeling the pressure from people in georgia that love our constitution, love our second amendment right and we're willing to stand up and fight over this. >> so, do you -- you mentioned you wanted to do away with crony capitalism do you have a problem with delta removing its support for the nar? >> no, if delta wants to do that, that's up to delta i don't want to get into delta's business plan, but to do it while the state of georgia is

contemplating taking out a -- or giving them a tax break, what that tells me is delta was more confident in the politicians they had in their back pocket than they were in how fervent the people of georgia would fight for their second amendment right. it was a tactical error on their part. >> just to be clear, you're okay with delta's decision to cut ties with the nra then >> i mean, i don't want to get into the -- the process where politicians are telling corporations how they need to run their business i think it was a stupid move on their part i would love for delta to reinstate it again, for me, we do not need to support crony capitalism and give public corporations tax breaks. >> all right state senator williams of georgia making a run for governor thanks for joining us. >> thank you now, citi made a very bullish call on intel. the "fast money" traders are on the case for us. toe of the biggest move irz the upside in the dow today when

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. weight watchers are out. yesterday nutrisystem took a hit after hours. let's see how weight watchers is doing. >> we're seeing the opposite reaction for weight watchers

earnings beat 37 cents adjusted and the street was looking for just 31 cents. revenue is also beating estimates at $313 million which analysts were looking for $308 million. if you take a look at the guidance for 2018, strong guidance for revenue earnings guidance for eps is going to be between 240 and 270, though at this point it's unclear if that's a comparable number shares are jumping after hours more than 5% they added more than 13% new members for the quarter compared to last year, 23% more members year-over-year for the full year 2017 for weight watchers back over to you. >> thank you. a news alert on mcdonald's with sue herera. >> we have a teaming up with two iconic american companies. mcdonald's and disney getting back together on mcdonald's happy meals. the two had been in alliance on happy meals back in 2006, but then there was some controversy

about the nutritional value of happy meals. they basically dissolved that deal now that mcdonald's has made some changes to the nutritional value of its happy meals, disney and mcdonald's are teaming up to get disney characters in those happy meals once again it will begin in june with the incredible ii, which is the disney film coming out early in the summer it will be followed in the fall by "ralph breaks the entinterne" disney and mcdonald's teaming up on their happy meal alliance. >> curious choice for an animated movie. >> well, "incredibles 2," i can see, but "ralph wrecks the internet," i'm not sure. >> i believe that's the sequel to "wreck it ralph". >> it is, absolutely but what toy, mike, would you put in a happy meal? >> i would think a character of ralph. >> maybe ralph. >> i have no idea what you guys are talking about. >> an action figure. >> oh, you will, kelly

you will trust me >> yeah, i've got some research to do. sue, thank you. >> you got it. >> sue herera. intel is up more than 1.5% after citi named the chip maker their top pick joining me are the "fast money" traders. >> good to be here. >> intel, a down day overall but this was a bright spot, pete can it keep going? >> i do believe it could this is an interesting company a lot of people had given up on them the reality was, acquisitions actually helped save this company. they've got cash, they've got great valuation, but they had that in the past i think the acquisitions they have made over the last couple of years, the two biggest they have ever made, actually, is already starting to hit the bottom line. that's what's really propelling this stock to the next level i know steve's got some stuff on the enterprise world they have growth across every sector >> what's your stuff, steve? >> so, kelly, obviously, enterprise has been a headwind for them for quite some time it's 50% of revenues

if that's starting to turn, then the idea is that intel could be turning because for the last couple of years, it's been soft. so, if you do believe that -- we're looking at prices, though, kelly, we haven't seen since 2000 >> yep. >> it's taken that long to get back to these prices so, while it has a yield like the other plays do not have a yield, you don't capture that, i've heard an analyst say you have the ability to buy the micron of 2018 or you could just buy micron you have nvidia now up 28% year-to-date you have - >> yeah, we have -- we were just looking at that nvidia chart >> it's unreal. >> if you zoom out on that, it is vertical, mike. >> bull market lasts long enough, you'll go back to the stuff that worked two bull markets ago. that's what's happening with cisco and intel. what's happening to me about today's intel call is it's not just a financial engineering story about repatriation and a buyback and dividend that's still pretty generous. it's a little more about the cycle and the product. >> it's about the cycle and it's also all those other things do

add in, though, mike, you have to admit that. >> yeah. >> and the tax reform, the fact they're going all these different directions, repatriation there are so many different tailwinds, i don't think intel is close to done >> and they're bringing the happy meal back. that's how you know what's old is new again thank you, guys. pete and steve on intel. catch all the "fast money" action at 5:00 p.m. eastern. former omb director is predicting a doozy of a stock market crash under new fed chair powell

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new fed chair jerome powell testified on capitol hill saying the economy is getting stronger and his personal outlook has strengthed since december. joining me is mr. stockman you think this guys is setting us up for a crash, don't you, sir? >> yes, i do it's the same old, same old. it could have been janet yellen in a trouser and ties. i think he's missing three giant skunks sitting on the woodpile in front of us number one is an epic monetary fiscal collision that we haven't seen, i haven't seen in my lifetime, and i've been involved since 1970 on capitol hill next year starting - >> meaning >> because starting in october,

fiscal year 2019, the federal government's going to borrow $1.2 trillion, which is an astronomical number for ten years into a business cycle expansion. at the same time that the fed is on automatic pilot, everybody says they're going to be sh r g shrinking the balance sheet, they pivoted to quantitative tightening for the first time in 30 years and they will be dumping $600 billion of existing bonds into the market at the same time. so, you have $1.8 trillion of -- >> supply. >> -- government debt looking for a home in fiscal 2019. i don't see how the market will clear anything close to 2.90 on the ten-year there's going to be a monumental yield shock that will take the market to 3% and 4% and probably

overshoot beyond that because there's no help coming from the other central banks around the world. the ecb is going to the sidelines -- >> i know, but the only thing i'd say about this is, everyone's aware of this it's not an event that's going to come into the market and shock everybody. i mean, i'm buying treasuries today knowing there's $1.6 billion supply come in and apparently i'm comfortable with those levels what else did you think was a problem? >> no, i would say, good for you, but words aren't the issue. it's flow. it's supply and demand and it's the lack of any support from central banks, the ecbs on the sidelines and what's happening in china is they're finally trying to get their massive debt under control so, i think the market may know they're speaking the words, but $1.8 trillion is going to hit

the bond pits like a tornado and yields are going to soar and then all of the front-runners who have been buying the bond because the fed was buying are going to start selling because effectively the fed is selling now, the market at 26 market at >> david, why is $1.8 trillion scarier than the net issuance of a trillion dollars a few years ago custom the market absorbed at historically low interest rates. >> because the fed was buying bond hand over fist, as you recall. >> a small percentage, yeah. >> no, no. they bought $3.5 trillion worth of bonds drained it out and it wasn't just the fed it was every other central bank in the world you have seen the numbers. $15 trillion of debt much of it u.s. government orb gse debt has been drained out of the market into central banks during that period. now we are in a totally different ball game. we have had a pivot to gt.

-- to qt it will spread worldwide and the pricing in a qt market is documently then a qe market. >> we are seeing that, higher volatility and the sense that maybe we are in the middle of a paradigm shift david, we have to leave it there. i know you have more points to make come back. this guy is just getting started. >> okay. >> there is going to be a lot of time for our friend yellen in a tie. two tech giants are threatening democracy in the u.s. according to a former president. that's coming up in today's takeaway. ahead on "fast money," one technician says the retail rally technician says the retail rally is far from erov ddos campaigns, ransomware, malware attacks... actually, we just handled all the priority threats. you did that? we did that. really. we analyzed andions of articles and reports. we can identify threats 50% faster.

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it's time now for our takeaway we begin with more pressure on facebook and google. this time from barack obama. saying they need to recognize their impact on our culture and take responsibility. did he have zuckerberg said regulators need to focus on facebook and google and monop y monopolies as opposed to time warner and such. >> facebook and google are underperforming the rest of the fang group it seems as if there is a gathering sense there is going adjust men, a reckoning or something going on here. president obama has had the concerns for quite some time i think it's all the other pressure. >> it doesn't hurt for president obama to reiterate it, either. >> alexa tend to send people towards amazon choice brands or its own private label offerings.

what should the likes of proctor and gamble do? >> i don't know what they can do aside from strengthen brand loyalty outside this channel so therefore you tell alexa to get pampers. >> or kleenex. >> it's funny because for years kimberly-clark would have said don't call it kleenex. don't call generic brand kleenex. now they want the reverse. >> finally, your next pizza may be delivered by a self driving ford fusion, at least if you live in miami. testing means heme drivers will be in the car but will not interact with customers. the challenge is how to deliver products or pizza the last 50 feet who should figure this out, ford or domino's. >> i think ford wants to see what the options are they are going to learn how people interact with the vehicle. that sounds like a euphemism for something to make sure they don't do any damage or they pay

or whatever has to happen. >> it is ultimately domino's product that's being delivered >> that's right. >> they have as much of a stake in figuring that out as well nevertheless, ford wants to make sure it's not becoming the back end technology. >> all those jokes about the pia guy on your doorstep will go away. >> shares of under armour, down 21% to he have the past year seeing a resurgence in the next weeks. tomorrow j cmeimrar talks about kevin plank. also sales force's mark beneoff.

that's tomorrow on "mad money" with jim cramer.

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welcome back to "closing bell." breaking news on celgene shares down6% after hours. because the fda is unable to review its ms drug because of insufficient paperwork shares are falling here. more than 7% now on that news. cally, i guess they have got to get things in order and resubmit. >> the market is taking that like a big hit celgene down 7.5%. the application rejected for

that treatment >> the market has a raw nerve about higher rates i don't think this is a change in the story, it's a of rory rebound, but i think we are skittish. >> 2.91% we hit on the ten-year. that was enough. even though we came back down on the rates the markets went down as well. time for "fast money." that does it for us here at "closing bell. that show begins now >> "fast money" starts right now, live from the nasdaq market site overlooking new york city's times square i'm melissaly pete najarian, tim seymour, and grasso a crypto star is born a. 21-year-oldst started his own hedge fund and he says a way to make money in bitcoin where the cryptocurrency goes up, down, or nowhere at all he will explain how to do just that. first we start off with the fed and an unfamiliar sound. the sound of