Leadership meeting in brussels which is still under way. We are going to take you live for all that. So many concerns yet seeing this rally. If we stay at these levels will probably be the biggest singleday reverse ideal in four years. Economist Thomas Piketty has a message for Angela Merkel. He says history will remember you for your actions this week. Hell join us live in a few minutes to explain why he believes not helping greece would be hypocritical. The big banks unveiled their living wills. These are the plans how they would handle bankruptcy during a crisis thats mandated by dodd frank. Dick bove will join us to tell us why he believes these wills are a negative for the u. S. Economy and calls it a dumb idea by the government. Another positive fitbit rating. Well talk to the analyst behind that call whether the company has already gone too far, too fast. Im not making fun of his name, but what is the analysts name . Will power. I love that. The fitbit analyst name is will power. Joining us to talk about the falloff of volatility in chinas market uncertainty in greece. Waiting on the iranian talks, as well. We have tim seymour and peter costov with us here the peter, youre among us. We are looking around going, what is this rally all about right now . Oil has turned positive, too, by the way. Right. Its very perplexing. I think we had a lot of pressure on the market over the last couple of days. Its been longer than that. Its over a week this. Might be a little bit of a relief rally. We are starting to hear maybe potentially positive comments come out of brussels. Theres a lot of rumors floating around. What you do want to watch is the transportation index is up almost 1 off and the dow usually follows the transports. Just keeping an eye on that. Good point. Tim, until recently here a few moments ago, we were talking about how strong utilities were rallying. The tenyear yield had fallen substantially and looked like this whole greece thing a was falling apart. What is playing today . You got to a place where markets look like they may be holding ing holding. Whether thats the s p. 10year yields. Around 2. 25 weve seen the bottom of the range. For traders, those are ranges. 2. 25 to 2. 60 on the 10 year. Until we get more news i think we are rangebound. I think as people looked at china this week i would argue china has been a bigger culprit than greece. China followed by commodities next. Thats really whats unnerved the markets. People try to interpret that as global. Growth being dead and thats not the case. You are not alone prioritizing china over greece. You also seem to be suggesting this markets trading more on technicals than it is on fundamentals right now. Am i misreading that . I think theres a lot of cash on the sidelines. People are well prepared on some level for this although equity markets have been too complacent. If you look at volatility around the world, volatility in germany, i do think portfolio managers, private investors, Retail Investors have been aware of the greek risks. The china risks have people really a little bit more uncertain that. Also is not fundamental. I would argue what happens in china stays in china. What levels are you going to be watching into the close here . Into the close we bounced off our highs. Pulling back we are a little bit on the buying balance on the close. Not that thats going to make much difference because its not that large. It will maintain a level in this range, within 25 or 30 points on the dow. To me its ended. It moved nicely. Talking about a 280point reversal which is huge. I dont think there is much going on from now till the close. Peter, you think we put in the low for this move . Yes. I dont think do think we are going to be testing those lows. I do think at some point in the next couple of weeks we are probably going to hit the may lows and marge low ss and march lows. We are talking about going below 2,000. I think the market is ripe for it. We are toppy and time to bring it back in. S p 2079 on the session. Thank you, both. Greece delaying its bailout proposal to eu leaders. There is a meeting in brussels. Michelle Caruso Cabrera live in athens with the latest there. A lot of waiting around there. Reporter so much talk so little action. Lots of phone calls. Flurries of meetings et cetera. Let me highlight, it is 48 hours since this country handed Alexis Tsipras a resounding no. He promised that if they did that 48 hours later, he would have a deal. He does not have a deal. We presume he is in a meeting with all the leaders trying to convince them to do something. He is arguing for a longterm this guy said he would never accept another bailout agreement. Now he is begging for a longterm one with a ton of money, very little conditionality. Now they are bouncing back to him saying maybe we can do something short term that will get us through the summer. Translate that into enough money so you can pay back the ecb in july and august. We wait to see what happens with this meeting. The banks are closed. You can do interbank transfers within the country in limited amounts. A lot of capital controls which are constricting the movement of capital and businesses ability to conduct business. Day by day we see this drip of strangling of the Greek Economy while they try to figure out something that would get the ecb to show leniency to the banks here we wait to see what comes out of brussels. We heard reports as soon as last night atms might have started running out of cash. Are you seeing anything in the last 24 hours indicating the cash crunch is becoming much more severe . We drove around this morning purposefully for that reason. There were long lines. As long as there are lines, there must be cash. It is widely expected this is the week where they run out of cash. Many thought it would be done by today. Getting to wednesday is actually beyond expectations. Im going to ask a simple question which im famous for. It comes down to what greece is willing to do to get their house in order . Cutting back on spending raising taxes. All the simple things we know need to be done that are so difficult to execute because nobody wants those. Wheres the middle ground in all of this . What could greece actually offer the eu that would bring them to the table with more bailout money . I struggled with that question, bill. They dont want to do a lot of things that are considered conventional wisdom in economies now. They dont want to privatize a lot of industries here. They think government should own more industries. They wanted to reverse privatization and take control of more companies in the country. They wanted more government workers. They think government should direct spending in the country. Although in america we criticize europe for being fairly left of center, the greeks make most of europe look very right wing comparatively. I struggle to see where they are going to find common ground. These guys see left the others see right. I dont know where they come together. I agree. Thank you very much. See you later. Our next guest says germany is acting hypocritically the way it is treating greece. Germany has a history of not repaying its external debts. Comments echoing globally in the last 24 hours. Thomas piketty. Author of capital in the 21st century. He joins us on the cnbc news line from paris. Professor, thank you for joining us. Do you think in this case european leaders meeting right now ought to be offering germany full Debt Forgiveness . When debt is too large indeed in history you see large Debt Reduction. Germany is a country which basically never repaid its debt for world war ii because all of europe and the creditors and also the United States have decided to forgive the german debt. This made it easier to invest. Its a bit ironic to see to germany and france to some extent explaining greece and European Countries that they would ask to repay their debt with no Debt Reduction with no inflation, with no exceptional policy decision. I think its a bit sad. We have to get to more a realistic attitude to greece. Your point well taken about germanys history, spotty record on repaying debt. Does that invalidate Angela Merkels contention that now is the time theyve got to come to some agreement, otherwise they are going to set a dangerous precedent if they let greece keep kicking the can down the road . They have their own problems you well know about. If they set an example with greece if they keep being lenient and forgiving debt or extending more bailout money, other countries are going to expect the same thing. There is a moral hazard here isnt there . Right. Light be concrete. Greece used to have 20 gdp public deficit back in 2009. In the past five years, they have reduced this to 0 and they even have a small primary Budget Surplus in 2014. What the European Countries told greece in 2012 when you come back with a small primary Budget Surplus we will start discussing the longterm plan and what is the target of primary surplus and debt you need to reimburse. Except when the government in greece last year told that to european leaders, european leaders said well you know we will discuss this later. This is why it failed last year. This is why tsipras got elected. The official european proposal is still that the primary Budget Surplus should increase from 1 gdp in 2015 to 2 in 2016 to 3 in 2017. And should stabilize at 4 gdp. This is not fair policy. You should have a small surplus until gdp gets back to its precrisis label. It makes no sense to keep asking for more tax and more cut. That is not realistic. We have many issues to deal with in europe. Thou close is the euro project to failing here in your view . I think if we push greece out of the euro zone then this will be the beginning of the end. Then there is a degree we push greece towards russia. We give a big support in effect to all the extreme rightwing parties, we are advocating dismantling of the euro zone. We have to be very careful. Greece is 2 of the gdp of the euro zone. We have to solve this problem. Germany should remember europe was built in the 1950s on the principle of Debt Forgiveness. Germans should not pay the debt forever of their parents. Otherwise this will end of up really badly. Professor Thomas Piketty, thank you for joining us. Comments people are paying very close attention to as we try to see whether well have a deal this afternoon. Markets are moving sharply to the up side on a session that saw the dow down 200 points. We are up about 65 with 45 minutes to go. Oil turned positive too. It moved into the green after yesterdays big decline. Well go live to the nymex for a special report there. We are watching that market carefully, as well. Also ahead, financials under pressures as they refile their living will plans with regulators. How they dismandl themselves during a crisis without any taxpayer money. Dick bove weighing in how safe the banks are. When youre not confident you have complete visibility into your business, it can quickly become the only thing you think about. Thats where at t can help. At ts Innovative Solutions connect machines and people. To keep your internet of things insync, in realtime. Leaving you free to focus on what matters most. Seems like weve hit a road block. That reminds me. Anyone have occasional constipation, diarrhea. Gas, bloating . Yes one Phillips Colon Health probiotic cap each day helps defend against occasional digestive issues. With three types of good bacteria. Live the regular life. Phillips. Welcome back. Crude prices rebounding on the session today. Jackie deangelis has details live from the nymex. We saw wti paring the losses at the end of the session, 52. 33. We were down 20 cents. A big range on the day. The session low was 50. 58. We did pare some losses when brent crude turned positive. Actually in electronic trading, they are both positive. Still some of the catalysts and things to watch remain the same. The first would be the strength in the dollar. That caused some downward pressure today and is expected by most to continue. Also we are watching those Nuclear Talks with iran. Deadline extended again, but traders telling me they think that is a good sign that progress is being made. They believe what the politicians are saying about those talks. Finally yesterdays move the second biggest loss weve seen this year. Its not surprising that we would see technical buying here. The bias probably still to the down side. Sticking with that high 40s. Jackie deangelis keeping an eye on a volatile asset class. Banks selling off after describing how they would save themselves from failing should another financial crisis arise. All would end up smaller. Goldman and Morgan Stanley might disappear all together. Based on regulators views of living wills they put together. Here to tell us what he would do with these bank stocks dick bove at rafferty capital. You are not a fan of these living wills, are you . No. I think they are very negative. If you go to the management of any company and say i want you to concentrate what you are going to do when you go bankrupt as opposed to i want you to concentrate on what you should do to assist the growth of your company, help your shareholders your employees to build the economy, you are going to get a different result. What the government is basically doing is saying focus on what you do when youre bankrupt. Thats not the right way to run an industry. Another thing which is bad is once a year these bankers have to trot out before the public before the world that they could go bankrupt and if they do go bankrupt, no one is going to save them. Taking down the Financial System and requiring a taxpayer bailout isnt a way to run these financial companies. Think about how much money the United States has made in the financial bailout. The Federal Reserve made 101 billion last year. 95 of it went to the u. S. Government. Every one of the banks, every one of the big banks which took bailout money paid it back at a significant premium to the u. S. Economy. Im not saying that wasnt a take a stake, but to ignore the size of the deficit . The public debt because of this crisis the impact it had on the individuals who are still dealing with overhang here who might be under water on their homes, societal costs are larger than the federal stake took. You are saying the banks did that. The banks didnt do that. The banks were part of a system that fell apart because it was an excessive amount of cash that built up in certain countries around the world because of a trade deficit which was persistent. That money had to be reinvested. Everybody grabbed for it. Certainly the banks did. Certainly individual homeowners did. Certainly did the government. Basically to say, okay there is this huge series of economic demographic Financial Trends that came together in a negative fashion in 2006 and its all the fault of the banks is such a narrow point of view that it escape wass going on in the world. Im the last person to put words in Barney Franks mouth, but hes been on this program defending dodd frank. That would be the banks took on too much risk it blew up in their face and we have to make sure they dont take those risks again. If they do they have to tell us how they are going to dismantle their own business rather than us having to do it again like in the bailout. Why did they take on the risk . Did the United States come to the banks and say we want to increase the percentage of homeownership in the United States . Did they go to fannie mae and freddie mac and say we want you to go to subprime lending and leverage a bank sheet, deregulate, stimulate growth in the economy . We want you to take risk . Did the government do that . Yes, it did. Did the people who work with the banks take those risks . Yes, they did. Are you suggesting the banks are blameless . I said twice in this conversation that the banks were part of what went wrong. The banks did a lot of things wrong. Banks did take on too much risk. They are only one part of a much larger system that fell apart in 2006 and 2007. They are not the cause. They are a part of what went wrong. If you love dodd frank, turn around and say whats happening to the American Consumer . Can they get mortgages the way they did before . No. Can Small Businesses borrow money like the way they did before . No. Is the cost doing business with a bank substantially higher than before . Yes. Tell me how the American Consumer has benefited from dodd frank. I hear you. Bank shares may be down 1 from just publicizing these plans. Is the average joe paying that much attention . Should ibm do it . Should at t do it . Should google do it . Should all the companies in the United States step up and say this is what we are going to do when we go bankrupt and we are going to position ourselves against that potential bankruptcy . We dont care about growth or where we are going to go to assist the economy, employees or shareholders. What are we going to do when we go bankrupt . I guess if nothing else maybe we have them all do it. Everybody make it public what do you do if you have to wind yourselves down . Dick bove, thank you for being here. Thank you. The controversy surrounding the financial crisis of dodd frank still very people very passionate about it. 35 minutes left. Rally day on wall street. You should have been here midday. The dow was down 200 points. Big crowned, now up 90. S p is up almost 13 points and nasdaq up six at this hour. Fitbit is on a tear since its ipo about three weeks ago. Again today. Up next the top fitbit analyst takes the hot seat to explain his rating on the fitness tracking device maker. It took Serena Williams years to master the two handed backhand. But only one shot to master the chase mobile app. Technology designed for you. So you can easily master the way you bank. Verizon say neversettle. Tmobile agrees. Never settle for verizons overpriced gimmicks. Try the uncarrier riskfree for 14 days youll love it, or well pay for you to go back. Welcome back. Bill and i are standing at the fitbit post. Its trading 42, up another 4 . Still climbing on an analyst upgrade. William power put out a Research Report that hes got an outperform rating on the company right now. Thanks for join us today. Why now . I ive got a price pargt oftarget of 52. Thats right. The stock had a good move since the ipo. They are a leader in the wearable space. The only pure play publically traded opportunity thats had tremendous growth. Each quarter they go to the top line close to 200 . What about the apple watch . When somebody can take a device and buy things in a store and apps and do things with it versus a glorified pedometer. That is a good question. Apple watch will become a bigger competitor. This is an overall secular trend. Apple watch is trying to appeal to a broader segment of the market. Fitbit is more fitnessoriented. Its close to 80 apping is probably 400 plus. Its a combination of segment of the market and benefitting from strong secular fitness trends. We made much fact i got one for christmas around its at home in the drawer. Ive heard about a number of people who put theirs in the same drawer. What about that . Its a fad of some kind. It sounds good on paper, then you use it and it gets too cumbersome or you dont want to put in the work or whatever. How many people do you know put it away and are not wearing it . That is a very good question. No question is that a piece of the puzzle. Numbers around that are a little nebulous. How many using it on a monthly basis how many have they sold . They sold more than that right . Absolutely. They sold over 20 million devices. There is no question. Half the people that bought them arent using them right now. They sold 4 million last quarter. Our survey work suggests 24 plan to purchase some fitness band and fitness leads that category by a wide margin. Yes, to your point that, will be something to monitor. We think there are enough people that are getting utility that will continue to drive more sales. That 50 price target for people listening is based on 25 times 2017 profit estimate shy of half a billion dollars. Thanks for being here. Thanks. Time for a cnbc news update. Here is sue herera with that. Here is whats happening this hour. A source close to the iran Nuclear Talks telling reuters those talks are not openended. Either there will be a deal or no deal within the next 48 hours. The deadline has already been pushed back twice now. Extremely dangerous conditions are making it difficult for rescuers to recover the body of a 34yearold woman buried when ice caves partially collapsed in Washington State amid warm temperatures. Five people were injured in the collapse. They are expected to recover. The Transportation Department says 80. 5 of flights arrived on time in may, a bit better than a year ago. Top three performers were hawaiian air, alaska and delta airlines. 16 flights were stuck on the tarmac longer than federal rules allow. Ten of which were on the same stormy day. Seven weeks after tweeting he was exiting the simpsons, Harry Shearer has agreed to come back. Shearer signed a fouryear contract as did the other five primary voice actors for 300,000 an episode. Thats the cnbc news update. I think we are in the wrong business. Thats all right. Good for them. As mr. Burns would say, excellent. I thought we were in the same business. Dont people listen on the radio . They can see us. There is no animated version. I love Harry Shearer. I knew this was a negotiating point. Of course. Good for you. And with success. Here we are. We have a rally under way. The dow is up 100 points. Was down over 200 points midday. Its coming back a big way. The most important half hour of the day. We could see volatility volumes pick up. A top trader tells us what he is watching and whether this reversal will hold into the close. Legalzoom has your back. Over the last 10 years weve helped one million Business Owners get started. Visit legalzoom today for the legal help you need to start and run your business. Legalzoom. Legal help is here. Why do i take metamucil everyday . Because it helps me skip the bad stuff. Im good. Thats what i like to call the meta effect. 4in1 multihealth metamucil is clinically proven to help you feel less hungry between meals. Experience the meta effect with our multihealth wellness line. Shanghai deeper in. Red. How investors might be able to profit. Trade chinese adrs. It is looking like another weak session. According to kensho you may see them stem their losses soon as this next week. Some adrs rebound hard. There have been 15 instances since 2007 that the Chinese Markets as measured by the shanghai composite have fallen by more than 10 in just a week. Large chinese adrs outperformed in a big way. Petrochina china mobile. These adrs are positive 80 of the time. The following week with average returns of nearly 5 for the oil majors and more than 3 for china mobile. Another way to play this is fxi, the largest u. S. Listed chinese etf. It is a good rebound bet. On average, it returns more than 4 in the week after the Chinese Markets plunge 10 , which it has. Compare that to the average return for the s p 500 during such periods, its only at about 1. 5 . If you can stomach Chinese Market volatility those are few ideas how you can play it in the United States. Thank you, deirdre. Mark newton when we called you earlier today, the dow was down 200 points. We were going to talk about the 200 Day Moving Average and whether you were worried about this. Now we had this incredible turnaround. What do you make of this . Amazing amount of resilience. Weve seen two backtoback days where the s p is up over 30 points in terms of s p futures off the lows. Very resilient. The market seems to be encouraged a deal is around the corner. You are a technical analyst. This seems to be trading more on technicals than its on the headlines right now. Its interesting. Weve seen a down trend not only in u. S. Stocks but european stocks mid may, but the market is up for the month of july. We are in a down trend. Theres a lot of volatility. It is only short term in nature. We are starting to see signs of fear recently with puttocall ratios being high. Bullish signs in the short term. The broader trend is very well intact. Its more short term weakness. You are seeing big surges in the u. S. Dollar against the euro. That is interesting to note. Also the big move in treasury yields, as well. What are you going to watch the last 20 minutes . I hope the s p can still maintain somewhat positive bias that might indicate more resilience in the days to come but im betting on the low being in stocks the next three to five days. Stocks can probably make a rebound towards the latter half of july. Very good. Thanks, mark. Weve got about 20 minutes to go into the close. Dow 74 points higher on the session. Could be one of the biggest intraday reversals in several years. New yorks halloween parade the scariest procession of the year. Tomorrow Second Quarter earnings parade gets under way. It could be the most frightening quarter for earnings since 2009. I built my business with passion. But i keep it growing by making every dollar count. Thats why i have the spark cash card from capital one. I earn unlimited 2 cash back on everything i buy for my studio. And that unlimited 2 cash back from spark means thousands of dollars each year going back into my business. Thats huge for my bottom line. Whats in your wallet . Im here at the Td Ameritrade trader offices. Ahh. Steve, other than making me move stuff, what are you working on . Let me show you. Okay. Our thinkorswim Trading Platform aggregates all the options data you need in one place that lets you visualize that information for any options series. Okay, cool. Hang on a second. You can even see the anticipated range of a stock expecting earnings. Impressive. Whats up, tim . For all the confidence you need. Td ameritrade. You got this. Believe it or not, alcoa set to kick off earning season tomorrow after the bell. I thought you the meant the halloween parade. Weve got someone who says this quarter could be one of the worst since 2009. Christine short is back with us here. All kinds of things are colluding against the market and against earnings right . Yeah. Like you said that time again. We are entering the Second Quarter much like we enter the First Quarter. Expecting negative growth on top and bottom line. Looking for earnings per share to fall 3. 5 revenues down 2. 9 . Last quarter we were able to put up 2 growth. Like you said there are certain things well see. Almost a carbon copy of last quarter as far as citations in press releases regarding the stronger dollar. Slow down in china . Now looking for this new crisis which is the bursting of the equity bubble in china and how that will impact these companies. 8 revenue does come from asia pacific. Nike, mcdonalds, ge exxon, rely on a large chunk of revenues coming from china. Well see the end of the quarter here, but a lot of the companies ended their fiscal quarter already. Will probably be dragged out to the Third Quarter. Markets are forward looking mechanism. During the height of the greek crisis, we get a lot of investors talking about why they prefer the u. S. To europe or other areas. They would often say because of earnings momentum. It cant be the momentum in the Second Quarter. What earnings, positive momentum do people tend to see beyond this period . I think its been heavily weighted to the second half of the year. Once we go through earnings season, most companies tend to beat. Well probably beat to the up side a lot of earnings momentum was baked onto the second half of the year. Again now well see how estimates are revised possibly downward based on europe china. The dollar seems to have cooled but energy still the kicker in the Second Quarter. In the Third Quarter youll see apples to apples comparison year over year as far as energy starting to fall and dollar starting to strengthen Third Quarter of last year. You wont have as difficult of a year over year comparison. New up side surprises . We talked about how financials may do well. Mergers and activity Investment Banking may do well. A lot of activity fluctuation in currency. We are coming into the season. Financials are expecting low growth about 2. 5 . Revenues closer to 4 . When they are drawn down that low, we saw that last quarter m a and currency volatility may help them out. Just real quick, do you have have you discovered a real barometer for the season or is it alcoa . I think its unofficial. Its just first. I would say in the past ibm was the barometer. Going forward to this season, its such a mixed bag. Do you look at Domestic Companies . It probably means people will if they dont know what else to look at. Right. Thank you so much. Thank you very much. Christine short. Tomorrow will be a big day on the show. Earnings season getting into full swing. Well have an exclusive interview with claus kleinfeld. That was a big number last time around. Well see what happens. The Container Store is reporting earnings in just a few minutes. If history is any indicator, it may not be pretty. Dominic chu to illustrate why. It may not be as big as alcoa, but moves could be fierce. It might be that roller coaster ride for traders and investors. Here is what to expect out of the numbers. On average, Analysts Expect a loss of 13 cents a share on rochester ewes of 174 million. The stock is reacting to earnings and it has been huge in the past. Officials traders are currently pricing in a move of up or down 11 in the stock on the heels of this report. Here is a big reason why. According to our data at kensho tcs stock has not has a positive day after earnings since going public november 2013. On average trades lower 14 after earnings. Of the six earnings reports it posted its beaten earnings estimates one time reported in line with estimates one time and missed consensus estimates four times. Remember, this is only six earnings reports, but still that is the history we have to deal with right now and perhaps why some traders are looking for volatility this time around. Well find all that out in the next hour or so. Incredible. Not a single time a positive response. When they say on a golf telecast, the guy has never bogeyed the 18th hole. Its the jinx right there the Container Store shares are up by about a little over a percent. 11 minutes to go. Thank you so much. Keeping an eye on markets here. Art cashin stopped by. No real bias up or down. He did point out financials do see a lot of buying going into the close here. Dow up 63 points. Dow up nearly 0. 4 . S p up almost 0. 5 . Nasdaq still lower. We did begin with a massive selloff this morning. Chris heinzy represents a major buying opportunity and will explain why. When a moment spontaneously turns romantic why pause to take a pill . And why stop what youre doing to find a bathroom . Cialis for daily use, is the only daily tablet approved to treat erectile dysfunction so you can be Ready Anytime the moment is right. 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This is good momentum today. We had financials come back the second half of the day. We have a ways to go here. Getting momentum into the earning season is what was critical. Im not suggesting greece and puerto rico and china are not concerns. Of course they are concerns. When are there never concerns . Those are more hills rather than big mountains to get over. The biggest thing we have going for us the u. S. Consumer is the healthiest theyve been since the credit crisis began. We are seeing coke and procter and gamble up 2 today. What about the financials . Are you not troubled by these living wills dick bove was upset earlier . The troubling aspect is when will we see the grind higher in rates and have it stick . As you go into fed liftoff everyone is concerned about the flatness of the yield curve and what looks like behind door number 3. Door number 1 and 2 are the wind at the back of the financials to benefit slowly from a rising curve, not just a liftoff from the fed. Living wills are living wills. When you look at the diversified nature of the financials, many of them are set up for a better overall u. S. Economy. We do worry about those other things, greece china and puerto rico. Fundamentals matter. We just had christine short here saying earnings are not going to look that great for this quarter. Thats the life blood of the stock market though. It is. Good news there is the fact the bar is so low that the revisions you are about to see will be higher than the bar. The market obviously, would not like the opposite to happen. The markets anticipating no good numbers coming out. Particularly from the industrials and those hurt by the stronger dollar. We are anticipating a snap back in the second half. If guidance fails and it doesnt look like theyll deliver that second half, that positive momentum is going to go away wont it . Great point. A little jekyll and hyde. You want to see enough guidance that suggests we are moving forward, but not enough to raise the bar high enough so you dont outperform in the second half. A little jekyll and hyde. The bull is restless ready to move higher. Dr. Jekyll has come back. Good to see you. Well come back with the closing countdown. Kevin oleary is looking to become the king of diamonds. Mr. Wonderful joins us the entire hour. [ female announcer ] who are we . We are the thinkers. The job jugglers. The up allnighters. And the ones who turn ideas into action. Weve made our passions our lifes work. We strive for the moments where we can say, i did it we are entrepreneurs who started it all. With a signature. Legalzoom has helped start over 1 million businesses, turning dreamers into Business Owners. And were here to help start yours. I accept that im not 21. I accept im not the sprinter i was back in college. 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I accept that im not as fast, but im still going for my personal best. And for eliquis. Reduced risk of stroke. Plus less major bleeding. Ask your doctor. If eliquis is right for you. So youre a Small Business expert from at t . Yeah, give me a problem and ive got the solution. Well, we have 30 years of customer records. Our cloud can keep them safe and accessible anywhere. My drivers dont have time to fill out forms. Tablets. Keep them all digital. Were looking to double our deliveries. Our fleet apps will find the fastest route. Oh, and your boysenberyy apple scones smell about done. Ahh, youre good. I like to bake. With at t get up to 400 dollars in total savings on tools to manage your business. Welcome back. 90 seconds before the close. Volatile day for the dow. Down 200 points just before noon. Then the comeback and putting news positive territory up about 90 points. One of the rumors a deal was maybe close with iran nuclear deal. That didnt seem to make sense because oil was moving higher. This turned around today. Wti crude over the nymex also turning around at the close here finishing up 1 today. As we go to the close, financials seem to see buying here. Its been a broadbased rally what we saw 11 30, when the european marks close, stocks moved higher suggesting european sellers here. Did you have the news about the iran talks, but no extension. If there is any problem, that suggests maybe we wont see any Additional Oil on the market. Energy leads. Interestingly enough defensive sectors, utilities and health care are the leaders. All of this helping to bring buyers in ahead of what should be a busy day tomorrow. Well find out what happens. Wait till you see the diamond kevin oleary has on the second hour of closing bell with kelly evans. See you tomorrow. Welcome back. The biggest reversal since 2011. Strong gains across Consumer Staples names like coke procter and gamble. Another strong session for the s p 500 up about 0. 6 . 12 points 2081. Nasdaq was in the red but did manage to close the other two. Joining us we have michael santoli, kevin oleary, welcome both. And we have fast money trader guy adami. Guy, why this late day reversal . Technicals held up. Yes we breached it today. We tested levels when you came on sunday night during your show from 8 00 to 9 00 we tested the levels that the market troughed sunday night. We reversed from there and are off to the races. Once again, market rejects a selloff. Technicals matter. Sellers got spooked. You mentioned reversal in oil. That was huge as well. You had so many individual stocks oversold the s p didnt capture the damage done in prior weeks. You see the reversal in Energy Stocks and the rest of it. It seemed it was poised. Also if greek didnt hurt us the first two days if we didnt break, the instinct is to say with earnings coming maybe thats as much damage as that immediate headline risk will have on us. Any day given the volatility where is my incremental dollar going to go . Do i put it into bonds . I do think the fed will move aggressively on rates . It leads me to investments in equity. You will fall more in love with dividendpaying stocks. Utilities are having quite a nice session earlier today. By the way, the tenyear Interest Rate did drop substantially. That was during the first part of the session when there were these fears coming back about just what was happening in greece. You did have a lot of lift back into treasuries. The bond market closes 3 00. Most of the stock rebound after that happened. You didnt have it across the board. I still think its a matter of so much damage under the surface. It felt like a worse selloff than the s p 500 had been registering. For now, just a reprieve. Nasdaq lagging. Would you tie that back to amds disappoint. Its a small cap stock. Is there something the tech sector wasnt happy with . The only reason amd exists so intel doesnt have a monopoly on the space. The chip sector on the whole has been look at intel the last couple of weeks. That stock reached 30 on the down side. I think the semis have dragged the nasdaq down with it. Lets talk about the russell. We talked about 121 being critical support. It traded down and look where it bounced from. A pushback on kevin for a second. I get the dividend stocks. Theyre only cushioned by the dividend. Otherwise they are a stock like any other stock that has market risks like any other company. Guy, i mine for companies improving their Balance Sheets increasing their dividend increasing their cash flows. Thats going to protect me in this volatility. You, too, will fall in love with dividend stocks the next year. You will say you are so right, kevin. I wish i listened to you two years ago as opposed to now. I listen to you all the time. I think you are genius. Love the show the whole shark tank thing. Genius. Every company has been able to improve their Balance Sheet and get their fiscal house in order because of an overprotective Federal Reserve. Balance sheets never looked better for every company out there, amd notwithstanding. We are living under some illusion that the underlying businesses are better because stocks have done so well. I have to say a company that doesnt pay dividend is speculation. The only way you can make money if the stock appreciates. My way of looking at the world is i get paid both ways. I get paid the cash flow and appreciation maybe. Follow me into the forest my friend. I will save you. I would ask what is this volatility we are all talking about . Weve been knocking around this range. We didnt get the vix to 20. I feel like people are overconditioned to a calm market. It was another rough section in china. Shanghai composite now down about 250 in just the past month. Last night i was at a restaurant. Everyone around me at dinner was talking about this trading halt we had we had a remarkable thing happen in the shanghai market where by now more than 1 3 of all the listed companies on the shanghai index have applied to have their shares trading of share shares completely suspended from. What we understand, many more companies in the past couple of hours applied. This is according to the chinese media, the largest trading halt that china has seen in its stock market history. There are a lot of jokes about it online on social media. One investor was talking about how chinas stock market is a massive casino but at least in the casino you know what the rules of the game are. What the process is that a lot of companies will apply to have their shares trading of their shares suspended if there is a material announcement they are going to make. This time you are seeing this process not being used in the way that most people believed it would be used. A lot of people here have been very concerned about what all of this means, whether or not the government is really getting control of the situation. Thats why weve seen downward pressure on the stock market yesterday and today there is a lot of pessimism. People like to talk about the chinese equity markets as those traded by Retail Investors only as if 80 of the volume is there. Yet i look at this opportunity as a correction down from 150 increase in the last 1 1 2 years as maybe a buying opportunity at some time. Any Institutional Investor would look at it that way. Its the only economy still growing 6 7 . Nobody else can touch that gdp growth. Should i not get back into the stocks . I think what we are seeing here is that the market is very immature and we are seeing a lot of inexperience right now in the market. China is the worlds second largest economy. From here we always see the government trying to push shanghai as an International Finance center. It should be on par with new york or london. Just from the behavior of the government as well as the companies, you are seeing a market that isnt quite there yet, that is not really ready for primetime. Very much modernizing. If you remember several weeks ago the government was really hoping that shanghai was going to join the msci and be part of the emerging market index. That msci had problems with regulatory issues this market had. You could really see that there are inadequacies in the Regulatory Environment in the shanghai market. The anecdotes yesterday were so compelling. Do you have any others for us . The only other one we were talking about over twitter was that we had actually found a couple middle School Students who published a letter talking about how great it is to invest in the stock market. We are hearing a lot about how middle School Students some as young as 9 years old actually getting onto the stock market. When we approached some of those students to try to get them on cnbc to have them talk about it how they feel with these declines, they told us to hold off for a minute. Maybe come back to us in maybe another week or so because they thought based on everything they were seeing that the market would go back to 4,500 relatively soon. They didnt want to be perceived as losing money in the market. They wanted to come on cnbc only when they are actually getting more money in their pockets. These are 15yearolds 16yearolds, some as young as 9. We should make them that promise, 4900 coming on the channel. Thank you so much. We have earnings to get to which viewers will especially appreciate from the Container Store. The results hitting now. Meg terrell what can you tell us . 11 Cents Per Share compared with an expectation of 13 cents. However, missing on the revenue line 170 million reported the fiscal First Quarter compared to estimate from analysts of 174 million on average. When you look at Comparable Store sales, just a decline of 0. 9 compared with estimates of 3. 6 . Looking positive there. If you look at trading after hours, 8. 6 . The miss on revenue could be attributed to currency conversion. Back to you. Thank you. Unless im wrong, looks like the first positive market response for tcs shares since first going public. And we have breaking news. We are getting the sense here this meeting is starting to wrap up. What we have on the table at this point, it seems, is fresh proposals from the greece what they would like is interim funding to tide them over the rest of the month. What they are putting on the table it seems is a promise to take reform proposals through their own parliament to try and get some past before a significant 3. 5 billion euro payment is due to be made to the ecb on the 20th of july. We understand there are proposals. The finance ministers will talk about those in a Conference Call tomorrow, but we feel that we are pretty close to this leader summit wrapping up here. And perhaps there is still the chance that the greeks will snatch victory from the jaws of defeat. We are hoping well have a bit more news for you from here. Clearly, in the last half hour or so weve seen a turn around in euro market. The market sensing there may still be life in this greek story. Is that priced in that a shortterm deal . The outcome is priced in but enables people to say we are going to get over this immediate crisis. We might be running out of cash and having a further banking crisis there. Guy, same question to you. If i owe kevin oleary 100 i have a problem, somethings got to get resolved. Kevin has a guy here with an insured briefcase. Im not sure we have too many things to worry about. Thanks for joining us guy. Later. More with guy adami on fast money at 5 00. Talking about which chip names could be most impacted by chinas slowing economy. Greek banks close as the country faces a major cash shortage. Citizens only able to get 60 euros out of a atm a day. Odoma care was supposed to Keep Health Care costs from skyrocketing. Health insurers are seeking massive rate hikes. Could that make the Affordable Health care act unaffordable for millions . [ male announcer ] we know theyre out there. You cant always see them. But its our job to find them. The answers. The solutions. The innovations. All waiting to help us build Something Better. Something more amazing. A safer, cleaner brighter future. At boeing, thats what building Something Better is all about. Banks in greece remain closed this week. As citizens and tourists remain in line for 60 euros a day. His Company ProvidesPayment Processing services for banks and atms. Thank you for joining us. What is the situation on the ground in greece . To say the least, its very interesting. Everybody is actually trying to to business is frozen unfortunately. No business is taking place. Why is it you think they are going to be out of cash by the end of the week . Well we think basically without extra assistance from the ecb, the consensus is banks will be running out of cash by the end of the week. This is the problem. We are starting to hear more reports of people putting their cash in freezers exchanging it for goods like chanel handbags and expensive foot wear trying to do whatever possible obviously, to protect their wealth. I guess that makes it for you standing in the middle of these Payment Processing systems how much where is their money and where is there not . Is where the system still functioning and where is it not . From a systems perspective, everything is working as it should. Modern Payment Systems are easily figurable. Imposing the capital controls that have been decided by the government is relatively straight forward process. So this has not been a major issue. The issue is really the worry and the lack of confidence on whats going to happen in the future. Just your initial point about what people do with their money, your description is true. A lot of people do not feel safe that they can have their money at the banks. Aside from the cash shortages or potential running out of cash, are there difficulties in terms of spending money in greece by debit or credit cards . Are those systems enabling people to spend as they like . There is absolutely no limit on electronic transactions within greece. The capital controls are there to actually limit the flow of money from greece to outside of greece. So there is no issue about that. The problem is that we are starting to see instances where merchants are really refusing to accept cards and they only trans transact with cash. What percentage of the greek population over the last decade middle class and wealthy greeks transferred a portion of their assets into switzerland, jersey island, London England . I did business quite a while ago in cypress and lebanon and greece. Many people had accounts outside the country decades before i met them. They didnt trust their own government for good reason it looks like. What do you think the answer to that question is . Its really difficult to provide a specific answer to that. Certainly, there are people worried over i think from the beginning of the crisis from 2010 onwards, and anybody who had any savings or was worried could actually do it because its not really a straight forward for people who are not familiar with banking and banking abroad especially. They wouldnt decide to do Something Like that. Certainly there are a lot of people who have moved their money abroad. How much is your business down versus this time last year . From our perspective, from our business perspective, i dont think that we have had a major impact. Of course business has been impacted, but we are still basically servicing and serving our customers. The timmic banks agree. It has not been a major impact to our company. Thank you for joining us. Appreciate it. Difficult time in greece. Number of companies deep in junk bond territory is soaring to a fiveyear high. Are investments worth potential rewards . Should investors be worried about a crash in china . Head of emerging markets in Morgan Stanley joins us to discuss what he calls the beijing foot. Pt. Ut. Welcome back. Junk bonds have been a popular investment, but they are getting riskier. Jeff cox has details. We are not just talking about junk bonds. We are talking about the junkiest of the junk bonds. In other words, the companies that moodys rates b3 negative or worse. Saw a huge surge in these companies over the past quarter. There are now more than 200 of them, the highest number in five years. Its a 12 quarterly increase and 24 annualized increase. Why does this matter . Because as far as the overall aggregate numbers go this is not out of line with historical numbers. However, we are getting onto a normalization period as far as Interest Rates go. A lot of these companies that are poorly rated, theyve been enjoying low Interest Rates if the market now rates start to go up. We start to see maybe that old saying about you get to see who is swimming naked when the water goes out. These companies that benefitted from low Interest Rates are starting to lose ground in terms of credit quality. They are not going to get the rates they got in the past. It will create an interesting environment in that popular junk bond market. I want to bring in with our panel rick santelli. What do you make of this . Are the risks ones investors are aware of or not aware of . They must be aware of them. They are aware they like yields. They reached for some of these companies. I agree with mr. C. At the end of the day, jeff is right. They dont really current statistics dont look that dissimilar to history. Ill give you other issues. We are talking u. S. High yield here. Right off the bat, everybody complains about it but you have a relatively strong dollar and it may get stronger as we speak. We have an economy growing. Albeit slow but it is growing. We just came through an energy issue that certainly stress tests much of the junk. Most people were wrong calling for the end of the world, the clock is ticking. You need a trigger. Normalization is only part of it. That means higher Interest Rates. When you need to start rolling over this junk things could get dicey. You are going to be competing. It isnt going to be this year or next year. 2018 2019 is when big rollover numbers in bank loans, junk corporates and government paper all start to hit. Thats when you need to pay extra special attention. Its a maturing credit cycle. Its not the normalization of rates. Its the underlying economics. You dont get much of a default crisis or sector over sector. Winners and losers are going to be separated out. Would you be loading up on some of the higher yielding stuff . You are big on blue chip names and big on the dividend. What about the junkier part of the bond . Junk debt these are corporate credits. Each one is different in terms of the covenance if they have them. Heres the thing. If you are willing to buy the stock of these companies, you should be willing to buy these highly lyly levered bonds. They are senior to payouts to equity holders. If im going to get in trouble, i would rather own its debt. In the end i own the company. Thats the nature of what these credits are. There was a cycle where things were issued with light covenants. If i cant claw back to owning the equity i never touch the stuff. Thats the work that has to be done. To echo one thing. Moodys have covenant scores. They have been saying several months covenant scores up 4. 5, 5 is the worst. That sets up a danger signal companies are getting money maybe shouldnt be getting it. Final point, last quarter we saw a fairly steep decline in issuance of junk bond down about 10 First Quarter. Thank you, gentlemen. Rick santelli good to see you. The meeting has wrapped in europe and we will probably be hearing from european leaders shortly here. Alexis tsipras expected to make a statement on his way out. Time for a cnbc news update with sue herera. Here is whats happening this hour. An air force f16 fighter jet collided with a small plane in mid air near charleston, south carolina. Debris hitting a trailer park. The pilot of that jet ejected to safety and was taken to Shaw Air Force base for observation. No word on his condition or the fate of anyone onboard the small plane. The u. S. Army plans to put 40,000 troops over the next two years affecting all of its domestic and foreign posts. Thats according to usa today. It is citing a plan due to be announced next week. The paper said that plan also calls for 17,000 civilian employees to be cut. Massive crowds gathering for a mass by pope francis in ecuadors capital. More than a Million People were in attendance. The pope connected the themes of political liberty and religious evangalism. Jared fogle was arrested. The search is related to the investigation of former Foundation ExecutiveRussell Taylor on child pornography charges. That is the cnbc news update this hour. Back to you. Thank you for now. Bulls were in charge in china just a month ago. The shanghai composite is ruled by the bears on a 25 plunge. Is this market on the verge of collapse or is it a once in a lifetime buying opportunity . Is the concept of the American Dream dated or dying . The results of a new survey out and youll be very surprised by some of the answers in here. Companys data is secure the possibility of a breach can quickly become the only thing you think about. Thats where at t can help. At at t we monitor our Network Traffic so we can see things others cant. Mitigating risks across your business. Leaving you free to focus on what matters most. The eu summit on greece has ended. We have various comments. Mr. Renzi from italy said the european leaders will hold another meeting on sunday. Greek proposals will have to come. He hopes the sunday summit is the last on greece and hopes it will bring a happy ending. In addition to that we are awaiting a News Conference which we believe will begin shortly. We know Angela Merkel will be there. Here is the bottom line. Its other ministers making comments. Greece has until sunday to make last proposals in front of the full European Union summit. Thats it. They are throwing down the gauntlet once again. Unless they come up with proposals before that. We are awaiting that News Conference. Thank you so much. Sue herera at headquarters. All eyes have been on the greek debt crisis. Our next guest says its the china plays across the world weakening from commoditys to Companies Selling to china. What would a crash mean globally . Ruchir sharma joins us. This was a quiet story. How much further could it go in china . If you look at the up move in this market it had no fundamental basis. We all lived through many bubbles in the past this. Bubble in china beats all the checklists off a classic mania and bubble. In some ways its the most extreme bubble ive seen in the last 20 or 30 years. There was no fundamental basis for this massive rally to take place given how weak the chinese economy is and given about the amount of margin debt accumulated in such a short span of time. Today the amount of margin debt in the chinese stock market is higher than any market in history. I would ask if the rally had little to do with economic fundamentals in china, why does this reversal have bad implications for chineses growth story or the Global Economy . We are seeing basic materials and Global Commodities sell off as if this means its a new down leg for the chinese economy. I think the rally which took place in the chinese stock market convinced many people that the Chinese Government can achieve whatever it wants. Now that the rally is unraveling and the Chinese Government is not able to control this this very basic notion so important to the chinese story, that the government can achieve whatever it wants is being questioned. The beijing put is being questioned. The fact that is being questioned had a lot of people worried. The belief has been yes, china has a big debt problem but china will manage this because the government is in perfect control of the situation. The fact that basic belief is questioned about china is causing this panic ochin plays across the world. Im intrigued with this market. I havent been invested in it in a while. I missed the up side took what were great profits. Now watching this correction. Here is the question i want to ask you. Im watchg basic usage. Gasoline, importation and use of gasoline in china has not sold off that materially. Its actually up. People are still driving. Looks like the conmer is still active. Companies are still using energy. Infrastructure spending remained constant. If it really i the worst cas in my view and tell me if,000 investment thesis is wrong, lets assume 5 gdp growth lower than any analyst out there, shouldnt i wait till all these stocks are open . Let them correct. Go down another 50 , then buy in on the assumption this economy is going to grow 5 10 and i cant get there quickly than anywhere else in the world. If it can grow 5 there will be opportunities. Its a large enough market. Given the amount of debt china accumulated, the fact that it can grow anywhere close to those rates is now being seen as being questioned. Valuations on the matter that outside a few large cap stocks in china, the entire market is trading at high valuations and they need to correct more before they become a buying opportunity. Thank you for being with us. Its an important point begin all the volatility weve seen. We are getting more headlines from brussels. What can you tell us . I think the big news here is that the meetings have broken up. Its sweet and sour in terms of the commentary we are getting from euro zone leaders. We should focus on chancellor merkel since she will hold most sway. She said the conditions for esm, Financial Support for greece that could come in before the end of the month, those conditions are not yet in place. She has said that the euro zone will do everything it feeds to do to protect the euro and the euro zone. Of course she has fallen short saying that would be greek debt hair cuts or sore support for gree at this stage without any further fulsome proposals for the greeks on what structural changes theyll make on their economy to improve their public finances. Shes been talking. We also had renzi, the italian leader who very much echoing her words saying if we come back on sunday, i hope this is the last meeting on greece we will have. This issue has to be settled definitively on sunday. There is a real desire among the leaders to get this over and done with this week. The austrian leader coming out and saying, we perhaps need to start thinking about a plan b. That sounded quite ominous. I think the news is the greeks seem to have bought themselves a little bit ofime unt sunday at least. Back to you. A few more days. Thank you so much. Your Health Insurance premiums may be about to spike. Insurers asking for permission for increases by more than 50 . How that could impact the stocks. Welcome back. We are following shares of the Container Store after hours today. It reported earnings after the bell. The First Time Since going public in 2013 seeing positive response. Popped about 8 9 now up 5. 5 . On slightly better than expected earnings results. Health Insurance Companies predicting a big rate increase next year. Blue cross blue shield seeking increases 20 to 40 , claiming new customers are sicker than previously thought. This coming health care consolidations are on the rise. The largest deal in the Insurance Industry of aetna buying humana for 37 billion in cash and stock. Ana gupta covers health care services. Joins our panel. This is much worse, correct, than was hoped for when obamacare was first rolled out . Yes. The Blue Cross Blue Shield said the medical claims that came through for 2014 were much worse than expected. As you know these are not for profit companies. They are usually not motivated by shareholder interests. About a week ago, the government released the data on the payment to insurers to backstop some of these losses. They disappointed expectations. Particularly for humana i cover as well as for aetna. Humana guided down and in part for 2015 this was because of the less than expected payments from the government on the exchange. Since you cover these companies from the corporate point of view where does this lead them . This is one piece of a business that meantime they are doing better with inflection point, Medicare Advantage payments coming up. Their Exchange Business is relatively small. How will this affect them the next couple of years . Yes. The Exchange Business is small. You are right to point out that Medicare Advantage, medicaid the rest of the commercial business, all of that contributes to the earnings. That being said this is potentially a 3 to 5 margin business. Companies are losing money. At best break even. For 2016 to the extent that the companies can get to break even or even make a slightly positive margin, it is very positive. I think particularly for aetna, humana that had issues have recently announced a merger that is going to be important for them. Meantime its not a positive for consumers who have to cover higher deductible plans and higher higher premiums. The market looked on the bright side with the consolidation story with the health providers. At the same time the government is allowing this to be created, they are going after the airline when they said waits okay to consolidate, now look at the pricing situation. Who knows for how long youll have that run . Ana gupte, thank you for joining us. More headlines from Angela Merkel. Sue herera has the story for us. I know jeff brought you some of those Key Headlines a moment ago. There are three that stick out to us here on the breaking news desk that indicate Angela Merkel is taking an extremely hard line. She says we now need multiyear programs that go far beyond earlier discussions. She says the greek proposals have to go beyond what bailout institutions demanded before the referendum. And in addition she says we need detailed proposals from greece on medium and longterm programs. She is demanding if these headlines, if you take them literally, she is demanding more from greece than was demanded before the referendum was voted on. Its going to be very interesting as we continue to follow this News Conference to see what else Angela Merkel says ahead of this sunday summit. Back to you. Thank you so much. Markets closed after hours. Well have a long evening, overnight session and morning before we open again digesting all of this. A nice house, white picket fence, few kids that used to be the American Dream. In 2015 that dream is changing. Up next well discuss what the new american goals are are and which country is finding confidence in capitalism. It took Tim Morehouse years to master the perfect lunge. But only one attempt to master depositing checks at chase atms. Technology designed for you. So you can easily master the way you bank. Verizon say neversettle. Tmobile agrees. Never settle for verizons overpriced gimmicks. Try the uncarrier riskfree for 14 days youll love it, or well pay for you to go back. Welcome back. Are you living the American Dream . 72 of americans say they are as part of a new survey by my next guest, don baer. Hes global ceo of burston mar marstellar. I almost got that right. You made it. Whats so interesting about this, though is the American Dream itself our concept of it is shifting 37 what did you guys find in this survey . We found a lot of very interesting things. We did this with the aspen ideas festival and the atlantic which weve done every year for the last seven years and mark penn from microsoft was also my partner in putting this together. And what we found is people actually personally believe theyre living the American Dream, which is a great thing. And personally theyre optimistic, which is a shift from what weve seen in previous years. But theyre worried about the country and theyre worried about overall the American Dream. So a huge proportion, 2 3, more than 2 3 of the country said the American Dream is suffering and theyre worried about whether we can pass it on to the next generation. I wonder if you would slice it by age. Ive looked at some of the Consumer Confidence data that suggests that baby boomers who generally have lived the American Dream still have this feeling that maybe things are tougher for the next generation the countrys going in the wrong direction. That is one of the most interesting findings in this whole thing. Every age cohort the greatest generation, people over 65 millennials, people sort of in the middle all sort of feel reasonably positive and optimistic about their own lives right now. But baby boomers are the ones who are most concerned. And i think theres a reason for this. If you think about a baby boomer now whos sort of in his or her late 50s or 60s, they were hit really hard by the financial crisis. So 20082009 they were just hitting their stride as earners. And its been hard i think, for them to come back and feel as they look now toward retirement years that theyre going to have the same level of security they expected to have. But thats a big shift. I wonder about how much of the gridlock in politics is filtering into this decision because if i remember in my youth in the 60s, 70s, agnostic to party, theres a lot more cooperation in leadership. Today its very partisan. And young people are very disenchanted with politicians. And i just think that was always part of what made america great, that we figured it out. It doesnt happen that way anymore. I think thats why you have this conflict and this tension between what people now are saying theyre feeling in their personal lives, more optimism but really deep pessimism about the country as a whole. I think its because they look and they say were not doing anything together to move the country forward and theyre very worried. Its interesting too that when you look at minl yalz, and some of the data really support this they are more focused on their personal lives. Theyre more focused on what they can achieve and accomplish themselves. And if you think about that generation, its been a long time since we as a country have actually accomplished something together that they can point to and say oh i understand how that works. And so theyre reverting to selfhelp. Im just going to have to do this myself. I think if you look forward, say, for the next 20 30 years, what does that mean for the country . Fascinating question. We also want to ask about views in america versus other countries about the dream and whether capitalisms working. What did you find there . So this survey only focused on americans. But we did another survey with cnbc called the corporate perception indicator, which came out last fall which was 27,000 respondents across 25 markets around the world. And what was interesting about that, and the data are still pretty fresh, developing countries have more positive optimistic views about the role of the corporation and the role of capitalism than do developed countries. So the u. S. China in particular . China brazil, india, much more positive. In china in particular and i think if you think about it aspirational economies that by the way, were not hit as hard by 2008 2009 as the developed countries were. They see everything as moving up. Maybe not today in china. But they see everything moving up. Whereas here people had an expectation we were moving up and that got derailed pretty seriously. So now theres a lot more skepticism back here than there is there. And theres much more information to did i dig through. Don, thank you so much for joining us. Appreciate it. Don baer this afternoon. Hes going from dad daddy dividend to daddy diamond. Kevin moons going to show us the investment hes brought with him here to the new york stock exchange. And Virgin America announcing a partnership with in flight Internet Provider viasat to offer at home quality wifi while flying. Those shares climbing higher today. Stay tuned. Jim cramer has the exclusive with the companys ceo on mad money tonight at 6 00 p. M. I built my business with passion. But i keep it growing by making every dollar count. Thats why i have the spark cash card from capital one. I earn unlimited 2 cash back on everything i buy for my studio. 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Sup jj . Working hard . Working 24 7 on mobile trader, rated 1 trading app in the app store. It lets you trade stocks options, futures. Even advanced orders. And it offers more charts than a lot of the other competitors do in desktop. You work so late. I guess you dont see your family very much . I see them all the time. Did you finish your derivative pricing model, honey . For all the confidence you need. Td ameritrade. You got this. Well Kevin Olearys getting his new shine on his portfolio. Investing in diamonds and gold. Although gold to a lesser extent kevin. Hes brought something impressive to the set today. Talk to us about why this diamond ring is now your new investment. For decades ive been using gold as a hedge against inflation. I keep 5 of my portfolio in gold. I use gld and bullion itself. But ive noticed its been a lot less of a performer lately and i wanted to try a new asset class. This is a 15. 54 carat yellow diamond. This is an Investment Grade stone. I think people need to see it on kelly, i think its going to look beautiful on your hand. Im part of a syndicate that owns this stone. Its not as liquid as gold but i think it may appreciate faster. But try it on your hand. Wow. All right. I just think people need to understand how big this is. Oh. Looked and i have pretty big hands. Oh my goodness. You look gorgeous in that. Its perfect for you. Kevin, who wouldnt look gorgeous in a 15 carat diamond . Come on. Listen you need a new boyfriend. Thats what i think. Somebody who can afford that. Is this a good investment . Why do you think thats the speculation im making. Obviously i dont have the same liquidity. And time and money is the big question. Thats a very special stone. Somebody in the world is going to want to buy from me. When i dont know. Well see over time how i do with it. Is it more like art . Obviously its not a starntizedstarntized ize standardized not every stone is the same the way a bar of gold is the same. When you get past three carats, between three and five you go into Investment Grade stone. Each is known around the world. Its a remarquable community of dealers and traders. Im just learning about it now, working with a man named Michael Green whos been known in the industry for decades. But you know im providing capital and im trying to figure out is this a replacement for gold for me . Will it be a good hedge against inflation . Will it provide stability . These stones are acquired by individuals who have a special relationship with them. But kevin, what would you say to the typical investor . Is this something they should be owning, the physical diamonds, or playing one of these diamond etfs . No, i think this is different. You when you get past five carats you want to own the sfoen. You want to know where you got it from. Plus get the enjoyment of giving it to someone like you for a few minutes. So not many people are going to access this but well be interested nonetheless to follow it as an investment. We will. Thank you so much for joining us. Kevin oleary, michael sanity oeli. What an afternoon. What a week its been. Fams fams fast money coming up in just a few seconds. Melissa lee, as the european headlines are flying. What do you guys have on tap . Well have a look at china and the market open from hong kong. But also, kelly, you guys are caulk talking about carats. Were going to talk about chips. The impact of china on chips. I dont know if you know this but i lot of these Chinese Telecom stocks today in todays session were trading down and a lot of the chip stocks were decimated before the lows of the market. Well take a look at which are being thrown out with the bathwater so to speak. Straight over to you guys. Thanks kel. Fast money starts right now. Live from the nasdaq marketsite overlooking new york citys times square. Im melissa lee. Your traders on the decemberric steve grasso, dan nathan Karen Finerman and guy adami. Tonight on fast oil recouping some of its losses from a brutal week but one top strategist is here with a bombshell prediction. Find out why crude could fall another 15 . Plus, just how big a threat does chinas market pose to the major chip stocks and which names are the most highly levered to china . Were naming names in just a few. But first to the whipsaw day on the street. Stocks staging a massive comeback. The s p 500 breaking below its 200Day Moving Average early