Yeah. The only exposure i have at this point in time is home depot and theyre the one that has battled them really well when you look at the growth they have done online but those that are competing and can go after amazon, because that is the big elephant we talk about it all the time, you look around out there, those that are competing well against them, those stocks are doing pretty well. Look at walmart, look at home depot. Costco to some degree. Im beginning to tihink when do look out on that landscape, you say maybe theres five names before i dont know the thumb goes away, this finger goes away, two or three maybe. Thats what it seems like. Its how quick those have reacted and those who have prepared for some of whats going on in terms of the online competition world. Those that have done that, i still put best buy in that category as well best buy has beat amazon at their own game walmart is doing a great job of competing aggressively when you look at what walmart has done in the last couple of sessions, not just a buyback, its about what they have done previous to that, how they have competed online and trying to make it more streamlined for the customer. So, joe, sears is getting hammered today ulta is getting hammered today williamssonoma cut to a sell. J. Jill lowers its guidance. Under armour price target cut. Walmart and even though goldman stays uy, they take it off the conviction buy but lets theres like shade being thrown all over the place. Lets take walmart and put it to the side. Lets not put walmart in the conversation of the companies that you mentioned. I hear you. But look at what we just showed on the wall. Heres the scary part of all of this. They had a bounce in august into september, a lot of these names, and everyone believed the bounce i think as you approach the end of the year, you have to give consideration to tax loss selling. The fundamental story here, nothing about it has changed for any of them. My biggest concern is what the problem and the contagion going to be in the debt markets as it relates to the retail space. If youre talking about a pvh, thats great but for the rest of these names, a couple of them wind up on the pink sheets. Joe just hit on a lot of important points obviously i know a little bit about this sector. Im having a fine year the debt is where we should be looking and thats where youre going to find the winners and the losers josh, i see you shaking your head. Ive got to say thats where the opportunity is both on the short and the long side. Take a look at sears, i think you just mentioned it. Oneyear debt for sears now trades at 17 . If would trade a heck of a lot higher if you didnt have Eddie Lampert lending more and more money there. You can find other portions of the debt market where there are clear winners. But the key element here is that the brick and Mortar Retail industry is still too large. I totally disagree with you toys r us excuse me, now let me talk. Im shaking my head because we just walked two weeks ago toys r us bonds completely complacent thats a very unique situation. With all due respect with all due respect, the bond market is the Corporate Bond market is asleep. The spread between the spread between treasuries and Corporate Bonds right now makes no sense outside of the context of global Central Banks supporting credits that quite frankly should not be trading where they are, certainly should not be as tight as they are. And im going to tell you something. It is not so simple as, oh, they just have to invest in digital, theyll be fine. Macys is the poster child for a company pouring its heart and soul into digital and it didnt help the stock is down by twothirds, has lost more than half of the companys value in like 18 months the xrt, the retail space, is giving you no reason to look at it at all. Down 5 week to date. Scott, scott, it double topped 2014. Its been in a down trend for three years. I dont understand why people are bludgeoning themselves with these names. None of them are showing any intention to get off the mat i think there are going to be a whole hell of a lot less companies. Thats my point. Why would you want to invest in this phase of that . Look, its arguable you can say that its early, but you also know that the xrt rallies in november. You know that. It rallies into black friday im going to try to make 4 what if i asked you what if i flipped that and said maybe its not early you could make the argument that its too late in many respects to get out of some of these names without just taking serious pain. I think you could make that point. And joe actually made that with tax loss selling which unfortunately for this group will pile on here. By the way, i looked at your favorite stock in this space what that be . J. C. Penny is under 4 today. At ten bucks you were saying j. C. Penney is fine. First off, lets make this a little bigger. Everybody has a portfolio. I have a toehold in retail this is 3 of my portfolio im have a fabulous year we talked about other stocks on this show that are doing well. Were happy for you why the hell then are you Still Holding this stock because frankly i think its undervalued. I think its one of the ones thats going to be a survivor here look, i look at the debt i told you oneyear sears debt is 17 threeyear debt for j. C. Penney is 6. 6 . Josh, you make the argument and ill grant you this is a discussion to be had, that the bond market might be asleep. I dont think you can draw that conclusion from one data point being toys r us. What did the bond market tell you about j. C. Penney a year ago, two years ago im not saying youre not going to make money with the stock how can we say that thats a useful signal given how asleep this market has been to all of these retail names until the very last minute the discussion that most of us are having on this space is one of are there bankruptcies coming this is clearly a speculative ill help you yes. This is a speculative space and youve got to Pay Attention to the bond market. When we had matt boss on the other day from jpmorgan who was once again named the number one analyst in the space, heres what he said about the very issue that were discussing now. There will be continued disruption, continued store closures and continued bankruptcy thats where on the off price side, i think theyre the biggest beneficiaries over the next couple years. So this guy as well yeah. A very well respected voice in the space says there is going to be more bankruptcies. I dont think any of us are denying that what im saying is you can start to weed out the winners from the losers by looking in the debt market thats really what ive been saying this whole time. Ill tell you another thing i think these people sitting in the Shopping Mall are sniffing glue if they think, oh, its a great yield. These malls are literally propping up stores themselves in order to not have empty space at this point you take a look at what went on with the bankruptcy of aeropastle you now have 500 stores or whatever being operated by the mall owners who formed a consortium and went in and said we will run these stores so i dont know if you like having your clothing designed by a reet but thats whats going on this is a mall store, the stock is down 50 today. We talked about that when it initially came out and all of us collectively said thats a name you want to avoid. But thats not a j. Jill story. Its part of whats happening inside the mall. Its part of a bigger story but youre talking about a company thats relatively new and interesting a category space that right now really as everyone is saying needs consolidation, not new stores. So i think look, look at the generals of what retail were, the apparel names. Look at l. Brands. These were the names that two or three years ago we were all talking about. Two or three years ago . Youve been talking about l. Brands this year this year. Ive been talking about it. I havent owned it and i like the company. This is a company i like you asked matt boss yes. A question about it. I like the catalogs the. You do have a good memory selectively. Scott showed up today to beat us all up. I didnt say i bought it, i said i would like to buy it. I would like to see the turnaround story. What im saying is its evidence of the entire Retail Sector right now, to joshs point and petes point and maybe a little bit to jimmys point, i just think youre looking at a scenario where such massive contraction is needed and you could use the term apocalyptic and i do think its going to hit the debt market. Lets bring another voice into the conversation. Dana telsey joins us live from new york city. Dana, its good to see you again. Thank you for having me nice to see you. I dont know how to sugar coat this conversation, i really dont. If you look at the way these stocks are trading, im looking at your coverage list. Im just going to ask you straight up, dillards is a hold the target is 55, the stock is trading at 51. J. C. Penney is a hold. The target is 5, the stock is under 3. 40. Macys is a hold at 25 the stock is trading at 20 nordstrom is a hold at 50. The stock is trading at 42 why . I think overall when i look at some of these names out there, i heard the dialogue that you were all talking about before i agree, were going to see more contraction. The areas of weakness of Department Stores and apparel, its not all retail thats weak, its those particular areas. When i think about the names, we came through a Second Quarter where these stocks had a rally and then all of a sudden we have a ton of negative news that are coming out these stocks are underowned and so theyre getting hurt more on the downside now but were going to continue to see transformative change in the group. And i agree, it is not over yet. I know. But why arent these sells why arent you telling people to run for the hills . Get out of these names and get into other areas that you like some of the interesting things with these names, the Balance Sheets of some of these companies happen to be very good i think when you look at the samestore sales, the expectations are so low right now that any little pop like what you saw out of the Second Quarter, these stocks dont just straight in 3 increments, they trade much higher than that. Theres also more change that can be coming. You know about the nordstrom go private transaction and yes, we know it hasnt happened yet but theres potentially more of that that could happen. Something like dillards has been buying in stock for years theres more to do look at kohls whos continuing to buy in stock. Dana, when you think about i was talking about mall traffic before and justthe fact that so lets take the malls that would be owned by Simon Property group. They quadruple the amount of space for restaurants and food they revamp the movie theaters theyre trying to draw people in with things that are not just, hey, we have a gap and a banana republic, which sounds great and i think to some extent it works. However, youre pulling dollars away that would be used for apparel, that would be used in a Department Store into the revamped food court or into the ninth restaurant they have opened up. So, yeah, you could boost mall traffic, but it has not helped these companies that are on your list what will help what can they do at this point i think some of the things in the Department Stores overall, if you look at the Department Stores in europe, theyre more than just apparel. And whats happened is that women used to buy apparel for four reasons work, weekend, gym and party and today you only have two reaches to buy apparel given the more casual society that were in its about work, weekend and gym as one collective and then party. So whether its putting in restaurants or putting in other categories, whether its hard goods like consumer electronics, whether its gym equipment, you name it, but its got to be other things than just apparel and you know, we may see the shrinkage of some of these Department Store boxes also and fewer Department Stores in each center maybe one or two instead of four and i think thats the future. Dana, weve heard one of our investors on the show today make the case that if you look at the debt market, it perhaps tells a better story than what the equity market is telling you about some of these names. Do you buy that argument i think you have to look name by name. I dont think you can say its Broad Strokes because i even think some of the names that have been debtladen, theres concerns about them. Look at the concerns about neem an ma neiman marcus. Lets go macys what about the debttoequity story there . I think overall on macys, its going to continue to be a little bit of a real estate story today. The benefits and changes that they have happening. But new loyalty and marketing program, thats a third and Fourth Quarter thing to see. Certainly the valuation is cheap relative to the level of sales that they have i think their debt is okay what about j. C. Penney . Were trying to help jim and save him from the apocalypse is there time . Is this an intervention i think there may be a little bit of time but its very narrow you need to see that gross margin improve. Thats true. You need to see that gross margin up. Can they do that . Lets see the third and the Fourth Quarter its a work in progress. Were having coming out the Third Quarter so far, its a hitandmiss Third Quarter. What happens if suppliers stop shipping them product, dana i havent heard anything like that yet. Its not going to happen. Its a good question to ask because thats where the death spiral starts. Were not there youre just not there. No. Dana, let me ask you something. Management at j. C. Penney, i see whats going on there and to joshs point about experiences, theyre moving out the salon style, the sephora, all of these things and getting no credit for it do you lay that at managements feet i think overall they also put in appliances. I think they probably thought that there wouldnt be as many sears stores now so they can get those shares i think having sephora is a big benefit to j. C. Penney if they didnt, wed be seeing sales per square foot that were a lot lower. Dana, appreciate you coming on we always appreciate your candor. Thank you for having me. Lets turn to the banks quickly. Citigroup, the shares lower despite the beat jpmorgan down early on jpmorgan and it rallied back up and was in positive territory citi hid new highs when you look across what their beats were, scott, they were yearoveryear beats they continue to show us that they are able to navigate a very difficult market, because we know how tough trading is. We look at the bond world and all of that has been very difficult but they made up for it on other ends, whether youre talking about jpmorgan or citi, they were very, very similar in terms of what their quarter looked like. If we see any change in this volatility that has been extremely low, weve only had two closes above 10 in the volatility index so far in october. I mean the volatility is gone. Volumes are very, very light, so that combination from the trading perspective is exactly what hurt these and i think people are taking profits today. I dont think necessarily people are coming in saying, oh, these are a sell i think guys are taking money off the table and thats going to create an opportunity. I asked you yesterday how high the bar had to be for this to not happen. Yeah. Did these, even though they were pretty good they were more than pretty good. Did they meet those expectations they meet, beat and absolutely were excellent. I think because of the 10 run end of this, there were some that said im going to take my chips off the tail this is a pause for the financials. Citi was talked about sort of the best in class. The stock has done the best in big banks this year. I think theres a little bit of short termism here and i think it relates to the trading book everyone is focusing on the fact that the bond trading for citi was so poor. I think were completely ignoring what some really relevant, positive fundamentals offer this everyone keeps talking about selling regional banks good luck selling regional banks when you see the commercial loans look as strong as they did. The retail bank is better than the Investment Bank right now. Net interest margins were the highest they were since 2013 at 2. 37 so the true fundamental story of what a bank should be is evident. This is really, as pete is point out, about trading and good luck predicting when volumes and volatility will rise once again. Lets remember, these banks dont participate proprietarily in the trading as they did ten years ago. Theyre much smaller. Is citi best in show . No, jpmorgan is. But citi has more upside. Citi was trading at the Biggest Discount to tangible book value jpmorgan probably is the biggest premium. I think that premium has been worth paying for investors thats why i stay in that name i think if we do get into some kind of a storm in coming years, which would be likely, just economically i always feel like jpmorgan is going to be the one that weather it best so i prefer that and i would call that best in class. Being long bank in america, i think this buffers any kind of blow that they may receive when their earnings come out. Okay, we know trading is going to stink. Just keep an eye out for credit card losses its not that these banks are underwriting poorly, but the number of frauds that are going up is really quite prolific. Take a look at credit card reserves as you go forward. Morgan brennan has a market flash for us. Lets talk about o. J. Right now. The usda releasing its first report on the florida citrus production, estimates for the 20172018 season this is the first report since Hurricane Irma swept through the state of florida and did extensive damage to the citrus crop last month. The florida orange crop will be the smallest since 1947. Huge losses. This of course due to that Hurricane Irma, as i mentioned, but floridas Agriculture Department just earlier this week had estimated the yield would actually be even lower the lowest since 1942. So presumably this forecast, really rough not quite as bad as anticipated and that is the reason the november contract for o. J. Futures are trading lower right now. Theyre down about 2 . Keep in mind we have seen this contract move. Its up about 15 over the past two months and at cnbc reported last night, some experts are still warning that fresh o. J. Prices at supermarkets are expected to climb. Back over to you. We are just Getting Started on the Halftime Report. Heres what else is coming up. Our call of the day. One tech stock that surged more than 130 this year. Oppenheimer is initiating its coverage with a buy. Well debate it. Plus josh brown is keeping it real. He admits it might be a little crazy. Why one type of investing might not be your best approach. And a first on cnbc interview with former treasury secretary Larry Summers. Heats all straight ahead. T Halftime Report with scott wapner and the traders is back in two minutes i cant wait for her to have that College Experience that i had. The classes, the friends, the independence. And since we planned for it, that student debt is the one experience, im glad shell miss when you have the right financial advisor, life can be brilliant. Ameriprise were back on halftime. Take a look at shares of square today, up 3 the mobile Payment Company initiated at buy at oppenheimer, weve made it our call of the day. What do we think here . I think its a good call. John najarian has been talking about this stock since 11 or 12. Its grabbing market share you go to any Small Business where i got this wonderful haircut the other day, square. Thats what its all about right now. Small business dont you laugh. Dont let him off the hook. If i said that, youd spend five minutes on it. You know, its about all the verticals as well. Thats what this analyst is talking about today and thats why the price target is where it is there are verticals in the lending side of this there are so many different areas and they have executed with efficiency and thats what theyre talking about in this call today. Sometimes you can make a joke without saying anything at all he mentioned the haircut. I think josh went to the same place. Do you have a thought on twitter . Josh has been point this out with visa and mastercard if you can be an intermediary and not have to put up capital in Global Consumer demand, that is a great place to be and square is there. How about twitter today its up 4 . Rumors, man. Rumors . Rumors, rumors, rumors. Huge call buying right out of the gate they were buying calls that expire tomorrow. Is this a oneday thing . There hasnt been people talking about it we know what some of the rumors have been out there but i think this is more about rumors than anything else in terms of twitter. I think on an earlier show there was a good point that maybe some funds that were are big in facebook just given the risks, the political noise and narrative around facebook, that maybe some people twitter has the same risks. Twitter has the same risks their management also are talking to congressional investigators. Google as well i dont know that twitter has less risk than facebook. It just has less usage compared to what went on with facebook. And facebook gets a lot more attention. Twitter is getting into this gap here, it looks interesting youve got this consistent pattern of higher lows, going back to, lets say, april and may. Its kind of been trending up but very slowly, very quietly. This could be a gap fill up to about 20 thats where resistance should be so if youre the kind of person looking to play this thing for a point and a half, be my guest. Its hard for me to see it getting way beyond there and im somebody who owns the stock. Its failed there so many times, i would have to have much more convincing price action to feel like the worst is over. From a fundamental point of view, you need to see user growth weve been stuck at 330 and youre not going to. Somebody is going to buy this . I guess verizon bought aol and there is a market for things that arent growing that rapidly but i dont think this move is supported by the fundamentals unless somebody knows users are growing, which i dont see. Up next, the first cnbc interview with Larry Summers he talks the economy, president trumps tax plan, so much more. Plus Pete Najarian tracking unusual activity in the Options Market well get his latest play coming up. First, though, take a look at the s p sectors on the move today. S p is flat. There are real estate stocks leading the way toy. Alftime report back after this i think its terrific. Your kids go to college and you start trading. Yeah, 5 years already. 5 years, hmm. You ever call your broker for help . Once, when volatility spiked. And . By the time they got me an answer, it was too late. Td ameritrades elite service team can handle your toughest questions right away with volatility, its all about your risk distribution. Good to know. Thanks, mike. We got your back kate. Does he do that all the time . Oh yeah, sometimes he pops out of the couch. Help from real traders. Only with td ameritrade. The cnbc iq 100 index, beating the Broader Market over one year up 25 . Todays leaders include dxc technology, amd, agilent, Northrop Grum an and raytheon. Pete najarian tracking the Options Market. Yesterday we were talking about intel. How many days have we talked about micron, intel, anything in the chip space take a look at applied materials. Look at that chart, is that a beautiful thing . I know josh is mr. Chart im not a big chart guy but i love when i see a chart that looks like this. Today they bought the october 55 calls. It was trading right around 53. 30, somewhere in that range, scott. Huge call buying it was 11,000 and its exceeded even that level. Weve seen this before this is a name thats continually been moving to the upside some chips may be pulling back here and there tell you what, this chip maker, these guys are absolutely exploding. I love these calls ill be in there for probably at least a week. Lets go to sue herera now. Sue has the latest headlines for us i do, scott well focus on california. Heres whats happening at this hour california is still burning. Pictures taken from the sky overnight in napa valley show the relentless wildfires are not slowing down, and the forecast unfortunately is getting worse the area is expecting gusting winds of up to 45 Miles Per Hour and continued dry air, which officials warn could cause some of the 22 fires currently burning to merge cal fire Officials Say over 115,000 acres have burned. That is an area two and a half times the size of washington, d. C. These fire storms are on their way to being californias deadliest so far, killing at least 23 people. They are also some of the most destructive, burning 3500 homes across the northern part of the state. These pictures are from sonoma county, and they show the charred remains of entire neighborhoods covered in ash and aband abandoned. The two largest fires have left businesses burned to the ground. According to a list compiled by the San Jose Mercury news, 13 wineries have been at least partially destroyed and it will be a big economihic t to that part of the state. The Halftime Report is back in a moment plan who are these people . The Energy Conscious people among us say small actions can add up to something. Humongous. A little thing here. A little thing there. Starts to feel like a badge maybe millions can wear. Who are all these caretakers, advocates too . Turns out, its californians its me and its you. Dont stop now, its easy to add to the routine. Join Energy Upgrade california and do your thing. Welcome back sara eisen live in washington now with the outspoken former treasury secretary, Larry Summers. Its an interview youll see first on cnbc. Sara, ill send it over to you all right, scott, thank you very much. Here at the peterson institute, treasury secretary former treasury secretary Larry Summers. Nice to see you as always. Good to be with you, sara. Scott used the word outspoken. You have been very outspoken lately on the administration and its policies why . Even trash talking it sometimes. I think weve seen an unprecedented level of factual error and statements that arent supported by any Economic Analysis from the administration on a range of questions. In particular the claims that it will produce enough growth to pay for itself in terms of the tax reform bill, and the flames that it will be distributionly neutral and wont favor those with high incomes i think are indefensible and not supported by economists. Ive never thought that my predecessors like hank paulson nick brady or john snow, who were republicans, i never felt like they were making false statements i never spoke this way about the proposals of the Bush Administration but i do think that theres some real sacrifices of seriousness and credibility in the policy process in the way that tax change is being advocated. If someone wants to make a case that, yes, it will cost the government money but its worth it because of some benefits and, yes, its a policy that favors highincome people, i dont agree with that case but thats what reasonable political argument is about. But the argument that they are making is a dishonest argument. What about this new claim, and this comes from kevin hasett that it will boost the average Family Income 4,000 to cut the corporate rate, move to a territorial system with repatriation. Ludicrous we had a big change on repatriation in 2003 to 2005 a huge amount of money came home and it all went into Share Repurchases and dividends. As has been pointed out, there may be changes in the location of corporate profits, but if they change the transfer pricing rules and people use accounting in a different way, we may get some extra corporate revenue booked here, but that wont translate into more jobs. Wages or higher wages if were simply booking more income here. Look, sara, the cost of capital, which is after all what taxes how taxes influence investment, is lower than at any point in the last 40 years. And even with that low cost of capital, we already have substantial firstyear writeoff of investment. And we are having all of this all of these regulatory changes for better or for worse. So the idea that somehow some lack of incentive is whats causing corporations not to invest, by the way, corporate profits, theyre after tax, theyre at record highs. So the idea that this is going to produce a 4,000 increase in wages, i think its an absurdity. I think my colleague, scott wapner, actually has a question for you back in studio. Mr. Secretary, i wanted to pick up on this very issue on october 8th you tweeted, and i quote, there is little doubt among serious economists that Immediate Impact of Corporate Tax cuts would be to help corporations and corporate shareholders jamie dimon today on the Jpmorgan Earnings call said he would boost jobs and wages much more than he otherwise would with Corporate Tax cuts. Are you saying that hes lying i mean i dont understand why such an adversarial relationship with Corporate America and shareholders of stocks when people like jamie dimon himself say that Corporate Tax cuts would lead to more jobs and higher wages jamies my friend i do not mean at all to be attacking him personally here would be the question that i would ask, and lets just do the calculation. You can get your researchers to do it for your viewers if the Corporate Tax rate were cut from 35 to 20 . Thats about a 15 tax cut 15 rate tax cut jpmorgans profits are about 25 billion a year 15 of 25 billion is 3. 75 billion. How many people will jamie dimon increase his payroll by . Will it be any substantial fraction of 3. 75 billion . If jamie dimon is prepared to say that he will commit that if theres a tax cut he will increase his payroll by anything like 3. 5 billion, i will consider revising my views but the fact that he says hell hire hell hire some more people, thats not enough to convince me. Why does it have to be just jamie dimon, the individual . Maybe mr. Dimon is speaking for the greater Corporate Community . Maybe he is, maybe he is. I think he is. Absolutely, absolutely. I think you can make the case that he is. Scott, scott, lets be serious here youre the one who introduced jamie dimon as a representation. And jamie dimon hiring as evidence in this calculation if somebody would like to present a calculation suggesting that if we give up a trillion dollars of tax revenue to corporations in Corporate Tax cutting that will produce a trillion dollars additional payroll and say where those jobs are going to come from, that would be a very important and useful analysis. There are a lot of economists who study these questions over a very long time, and that has not in general been their conclusion certainly the stock market, which responds very sensitively, seems to have the view that the beneficiary is going to be corporate shareholders if you just look at how the stock market moves on Corporate Tax reform news. So youve got the stock market on one side, youve got most of the economic studies who have looked at this on the same side, and you have a certain number of people who will be the beneficiaries of the tax cut making nonquantitative statements, asserting that theyll hire people without describing any plan on the other. So at that in the face of that evidence, ill stick with my view. Maybe there will be some other evidence thats presented, but its going to take more than ceo assertion to move my view. Well, gary cohn actually said that that would even benefit the worker as well with the rising stock market because it would help their 401 k s and their pension funds. Do you buy that argument at least . Well, what gary cohn actually talked about was firemen and policemens pensions and that was actually a poor example for him to choose because almost all of those pensions are defined benefit pension plan so it helps the people who have the liability, not the people who are going to receive the benefit who arent tied to the stock market yeah, it will help those it will help people with 401 wu1 k but people look at actual data and what the actual data shows is that the very large majority of all the Stock Holding is institutions like harvard and the like, and people who are in the top 1 of the Income Distribution so it will go very disproportionately to those. Look, when the tax policy center, when the Congressional Budget Office, with all of these groups do distributional analyses, they are very much aware of the distribution of Stock Holding and thats reflected in their calculations. Look, sara, this is the First Administration we have had, i mean ive been watching this stuff for 40 years this is the First Administration that believes that if youre rich and you make an assertion, that constitutes a fact. And in the past, weve had people who are actually in business, have been in the market, have been on the front lines. In the past, in republican administrations and in democratic administrations, in the reagan administration, we had the treasury, the Civil Service made an estimate of the score. They made an estimate of the distributional impact, the Congressional Budget Office did that all im asking is that we use the same discipline that we always have rather than move back to the world of assertion and its analysis versus they claim that is my problem. So were out of time. Yes or no, are you taking the bet, Larry Lindsay says 30 grand to make sure the economy is better under trump than obama, inequality dlieeclines and inco rise. Ill keep track of this forecast and ill certainly be the first to recognize if im wrong, if we pass this tax cut, which i dont think will happen, and it is shown to have increased the economy substantially. Then i will have been wrong. But i wouldnt wait up im sure well talk to you before then. It sounds like maybe youre willing to put your money where your mouth is. Larry summers, thank you. Good to be with you. Scott, back over to you Larry Summers, former treasury secretary, white house advisor and economist. All right, sara, thanks so much our thanks to the former secretary as well. Brian sullivan now has a look at whats coming up on power. Coming up on power lunch, larry versus larry you just heard from Larry Summers, skeptical any tax cut will help. On power lunch were speaking with Larry Lindsay he wants to bet 30,000 it will create Economic Growth tech under fire, facebook on the hill talking to lawmakers about russialinked ads during the election but big tech be getting for a big wave of new regulation. And its mink walls and an ice chamber. No, that is not Pete Najarians vacation home. This is an 5 18million mega mansion in the swiss alps. The Halftime Report is back right after this volatile markets. Something we all think about as we head into retirement. Its why Brighthouse Financial is committed to help protect what youve earned and ensure it lasts. Introducing shield annuities, a line of products that allow you to take advantage of growth opportunities. While maintaining a level of protection in down markets. So you can head into retirement with confidence. Talk with your advisor about shield annuities from Brighthouse Financial established by metlife. Your bbut as you get older,ing. 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And Security Teams are looking into this matter and that a bun dance of caution have taken this page offer line this coming after independent security analyst are trying to trick visitors into installing adobe update this coming with malware its affected the data of 145 million u. S. Consumers Equifax Equifax shares are down 3. 5 on this latest report back over to you paging senator warren. Paging senator warren. Its matter of time before he gets on that this is a stock that bounced off of 90. Very, very strong bounce beyond even v shape. Got up to 115. Now its rolling over again. I dont think it holds 90 this time theres no shorts in this stock at least as of the last data i saw. Less than 3 shortage. I dont get it does no one think this is going to be potentially problem for this Company Going forward i kind of do all right we have more now with futures now. Good afternoon to you Wti Crude Oil falling over 2 at one point today. Jeff, whats the biggest driver of todays weakness in crude were seeing a lot of fluctuations due to crude inventories. We saw a draw down that kind of trimmed loss earlier. Overnight we saw the International Agency talking about a swelling of supplies that was the 2 drop right now we are discovering the low. 50 has been support ifr specifically as opec and nonopec members are beating those numbers. That should be supportive of the crude oil market what are you seeing . Weve been in a pretty decent up trend if we settled before, lets call it 49. Id start to question it right now i think were going higher the fundamental argument is what jeff said about opec job owning they expect demand to increase they will keep going with this talk all right joining us today on futures now is former u. S. Representative ron paul hes going to lay out what could lead to the next stock market bubble Dennis Gartman will reveal which market trend could end violently. Thats at the top of the hour. 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Sign up for outage alerts at pge. Com outagealerts. Together, were building a better california. You know win control . Be this guy. Check it out selfappendectomy oh, thats really attached. Thats why i rent from national. Where i get the control to choose any car in the aisle i want, not some car they choose for me. Which makes me one smooth operator. Ah still a little tender. vo go national. Go like a pro. Can i kick it . Yes you can can i kick it . Yes you can can i kick it . Yes you can well im gone not rebalancing your portfolio. Focused on what you love, not how your money will last through retirement. We make it easier to plan for retirement with day one target date funds from prudential. Look forward to your 401k plan. Were back we have trader tracker and some new buys a couple of trades here ive added to existing positions in google and qualcomm i think its going high r and it will be led by tech. Google is a great way to play that its responded positively. The second one is qualcomm its been a storied stock. They will eventually settle this suit with apple. Its priced in they will lose everything i dont think thats the case. These guys will compromise and that will pop the stock. If im early on this i was a 4. 4 dividend yield to keep me cozy while i wait. Hedge funds will move to quantitative models. Screens incredibly well. Revenue excelling 30 . Expanding into africa. The moment is there as well. Lets do final trades talking about how bad everything is. I see a name thats getting dragged down lululemon. That growth is incredible. The stock will go higher apple was down about 9 from its high its not only building a base but starting to bounce off of that i think it will continue higher from here. Josh. Put up a chart of google when you get chance in is a stock thats about to make a major break out. Getting above resistance that dates back april i think it will be big joseph. Red hat breaking out as well. Good stuff. Power lunch starts right now here is whats on the menu will president trumps tax reform plan give the economy a major shot in the arm . Two former white house economi advisors face off. Another larry is making a big bet against him. Well explain. Big tech under fire. Facebook in d. C. Getting grilled from lawmakers and the companys role in russia linked propaganda ads. Will it keep the regulation push at Bay Investors taking a bite out of dominos this stock is getting slammed. Whats worrying wall street . Hold the