Stopped short of calling them a pyramid scheme, what ackman hoped for. Said it would happen, the stock would go to zero. That language avoided and herbalife tried to frame it as an upbeat resolution for them. Heres what he had to say. They chose 0 negotiate a settlement with the harshest the ftc ever had against a pyramid xwee scheme. Misleading the market about what the ftc ultimately concluded. We think its a nice try, but its the herbalife, shut down by the ftc. They just havent realized it yet. Very harsh words from ackman but he went a step further. Accusing herballife, manipulating its stock, attempting to, planting stories with the media positive early friday morning before the markets open and before this ftc settlement was officially announced. Perhaps, although stopped short of saying it directly, encouraging carl icahn to speak positively and before all the facts were known and before the context, as he sees it, at least, of this, everything short of calling it a pyramid scheme findings were released. Reports that he is maintaining his short position, not going anywhere. You get the feeling from the headline that you just gave us hes going to be just as loud as he has been over the last few years into the future until he gets the resolution he thinks that should happen . Thats certainly what he seems to be building up to. Now, when i jumped off the call moments ago, he hadnt outright said that. How long his patients would last or the infamous billion dollar short and talked about the cost of carry on this show recently. 20 million per year and tied up 10 of his capital. 12 billion at last check. Certainly a lot of psychic energy into this as well as a lot of capital. I would be shocked if he gave up now. Were waiting as well. Reached out to herbalife, given what mr. Ackman said on the call. Yet to hear back from the company. You hear back or we do, certain to bring it. Did he say anything about how this investors this was an investor call, correct . Did he say anything how his investors are feeling . Where redemptions are . The state of the. He absolutely did. Fortune magazine dotcom, talking 600 million investments through june 30th. Could be regarded as reaction to setbacks with valiant, significant, not at least to the most immediate news on herbalife. He characterized these in historic context. Heres what he said on that. My guess is that our redemption is that weve received capital among the lowest in the industry and thats really because we benefit from a very stable capital base because our investors have been incredibly supportive of us and we appreciate that support. You know, ackman went through, scott, some of his highest redemption periodsy saying in that context as a percent of a of capital, this year counts as the sixth largest redemption period in history. Often after a good year people decide to take gains off the table as opposed to immediately reacting to bad news for a hedge fund. That said, he has an eight quarter redemption policy. Those redemption requests while they might note them now would take a while to play out. We know youll stay on the case. Always do. Kate, thanks for being here. The latest there. Get to the markets today hitting record highs as we said yet again and the question on many investors minds now, whether there are more warning signs or buy signals out there for investors. With us today for the hour, jim lebenthal, stephanie ling, josh brown anden pete emergennajaria. There are high levels of catch on the sidelines, bond yields as record lows and global uncertainly. More warning signs, or buy signals . The buy signal already took place before the new high, which was the bread thrust. We talked about that here. A huge broadening out of stocks that were working. I think people still have the narrative its really only the dividend stocks and the quote unquote low volatility names that led, but thats now a stale narrative. Its changed. Look at this weeks the xlk, s p 500 tech names up 1. 65 leading the market. No other sector is up more than 1 . When you take a look at s p high beta as a ratio shart versus s p low beta, thats now on the verge of breaking out. Meaning, value managers are putting money to work in the sectors that couldnt get arrested in the First Six Months of the year. This is a new development. And if you do get leadership from cyclical stocks selling at 11, 12, 13 times earnings in a Market Selling at 16, 17, thats a new ball game and were seeing it on screens now. Pete, part of the narrative today is that investors are finally growing more bullish . That a rally that has largely been quote unquote hated for as long as we can remember, is finally getting love. According to investors intelligence, bulls moved up to 54. 4 from 52. 5 a week ago. Both counts high since early 2015 when bulls peaked at 59. 5 . People getting more bullish, the evidence seems to suggest. They are, making you uncomfortable. Finally getting more bullishs here we are after a big run. If you go back to that lows we had postbrexit, incredible run. To joshs point, talks about the tech. Hit on that a little more. Looking for value. Looking for dividend yield and also looking for growth. They get all three of those in tech. Gotten through a few names already. Look at microsoft numbers last night. Impressive. Showing where the growth is. Pc, even pc wasnt as bad as expected. Because of that you see where that stock is today, but were seeing that across the board in various sectors. Seeing health care what a great run weve had out of that. Look at intuitive surgical. A name. Look at growth. Sold more devices than last year by 12. These devices go, the da vincis, for a million and a half dollars and beat last quarters numbers as well. Health care is working. Technology is working. One thing i think was why this rally was hated so much, what was working previous to this . Utilities, they feel a little stretched. Telecom. Feel a little stretched. Now youre starting to get other valuetype areas of the marketplace participating. Steph, warning signs or buy signals . Dow is over 18. 6 as we speak. At the highs of the day. Vix near a oneyear low. What is it telling us . Should we be worried . Should we be buying . I think you have to be mindful whats going on. Right . I mean, sure, valuations aralities stretched, but so Interest Rates are actually quite low and it does seem like they will stay lower for longer. Even if the fed does raise one or two times in the next six, eight months or so, even if its four times, rates are staying lower. Valuations could actually expand multiples can expand, because of those low rates. But i think more importantly, scott, its earnings. So far so good on earnings. Across the board. Maybe so far not so bad. I would say, good. 75 rate extraordinary. A high number. Its not just the bottom line. So far were seeing actually revenues beat. Now, maybe thats a function of expect acations coming down. Totally give you that. Theyre beating those numbers not making the numbers. Thats very important. I also think to both of the guys points, cyclicals are much cheaper than defenses. Tilt the portfolio that way. Mike santoli at the New York Stock Exchange today. What do you make of this conversation in this debate i think is going to grow more loud as the stock market stays at the levels that it is . Yeah. I think i see basically five strands to the bullish argument that have almost working in sync, up 20 from the interfebruary lows as of todays highs. Those five things i think unusually have all been working together. Fundamentals, you hit on this. Obviously the earnings picture trough, better rapidly and index working in favor. And a green light, josh hit on that. Three, six, 12 months. Sectors have given up the leadership but still working and people still want the yield. Still have a gap with treasuries. Fed, of course, how long is it going to remain sidelines . And that was part of the argument here. I dont think thats the case. Short term Trader Sentiment has perked up. Longer term maybe too defensive. All these things friendly and justify where weve gotten to. Each case, up for a test sooner or later to see if theyre going to work from here. Jimmy, looking at notes. People say overly bearish to mikes point. A contrarian indicator now. It is. Not a contrarian indicator brought it up twice, the vix. The index, look at a one, five, tenyear chart sdshs not go lower than this. Usually spikes back up. That means youre headed for correction. Put it together with what steph and everybody else says wait. Saying that vix at 11 and change is a sign that weve got a big correction coming . The way it usually works. No. Could be a 2 selloff to take the vix to 15. Not a direction. 10 plus. Not necessarily enough to get it up into the teens. Tying it in, another week and a half of the heart of earnings season now. Not just earnings, more likely than not the next week and a half this market goes higher. However, dont ignore the vix. Anytime its gotten this low, its bounced higher. Something to be aware of. What do we make of the vix . Incredible level. Were all probably surprised where were looking at it now, scott. Buy signal . Warning signal . I think warning signal and something you want to use the vix in your favor. What i mean by that is, stock replacement strategies work for those that dont have constraints about taxes and so forth. Getting rid of stocks now, replacing with options, to continue to ride the movers moving to the up side and through earnings season seen a lot of different names. Pepsi, alcoa, microsoft, jpmorgan. Different financials reporting strong numbers. Look right now and its a great opportunity, if you want to stay in. Either to protect or to shift into a stock replacement. To petes point i add, the way amateurs use the vix when it spikes, they take risk off, because they think its going to get worse. Right. The way professionals use the vix is exactly to petes point. If we get a spike, thats where theyre looking to add exposure, if they believe were in an uptrend. Or a breakout situation. So i would just use the vix sparingly. But use it as contrarian indicator, without a doubt. Positioning for a pullback . I am. In our portfolio, we run for clients, had one stock taken out in the last two weeks. Private equity buyout. Havent put that cash to work. Trimming high fliers. We have about 11 cash in our allstock portfolio, positioned and looking at the vix. Hearing what youre saying, insurance and really, really cheat now. Seriously considering it. The portfolio the guys jon and i manage, wealth management, 30plus in cash now because of this move and opportunities to take some off and looking for opportunities to get back in and just not seeing what we want to see. When does the cash need to find a place . If cash is at highest since november youre always looking. Even right now at these highs of the s p. Still looking for opportunities that might be out there, scott. There are some. We just have to look a little bit more deep right now than we were looking just a couple weeks ago. Postbrexit, there was plenty of time to look for opportunities in the postbrexit on some of that stock. Issue, you run the risk missing what could be a substantial move in the market . Absolutely, thats the risk. Why were at 11 and not 20 . Having said that, be patient. Names like nike. Down below 50 last earnings report. 56 or so now. One wed like in the low 450s ad buy it. Be patient. A week and a half left of the earnings season now. That earnings season is positive for stocks. Im not chasing stocks here. Still got 89 invested. Looking to put it to work, i want earnings season to come to an end first. Usually have extra cash around earnings. Lie like blowups and able to buy on the dip. To petes point, 30 cash, your clients, maybe those blowups dont last that long and dont go that deep. Im looking at companies delivering. Johnson johnson, jpmorgans i dont mind paying up for them. I dont. I know that the visibility is there and as long as valuations are in mine framework where im comfortable with, im okay with buying some of those, too. Mike, the last word from the floor. Global uncertainty is on our list of warning signs or buy signals. How do you read it . Weary of or to say because of that uncertainty, thats whats going to give the u. S. Market the ultimate boost that its been waiting for . Global uncertainty. The backdrop. Rallies dont require all the worldss 1068ed to tosolved. Its an upward bias the next few months but tests along the way. Maybe next weeks fed meeting. Maybe the dollar rallies too much. Whatever it is, i dont think the cushion is as big as youve talked about with the vix where it is. Mike santoli on the floor. Thanks. Bertha coombs has a market flash. Right, scott. Despite reports that the doj seems prepared to block the aetna humana merger, a source tells me its not a done deal yet. Negotiations and discussions continue. In fact, at humana, a meeting, in talking with the doj as recently as this morning, the two firms have identified the vest chu vest ta chures that will ease and signed contracts with viable operators in many of those markets. So at this point they continue to believe that those discussions could prove fruitful. If, indeed, the doj does move to block the deal, this source says that aetna is prepared to defend its lawsuit on day one. So they will go to court to defend the suit, if the doj blocks. But it is not a done deal yet. You can see humana shares have been moving up as this news has begun to circulate. Back to you. Not to mention, bertha, so has aetna. Steph, both on the move. How closely are you watching, given you own United Health and are a player in the space . I would hold on in United Health. Theyre not involved in this craziness. I dont know. None of us know what the outcome is going to be, but it seems like aetna humana has a better case getting approval than the anthem signal transactions. But aetna will do whatever it can do get humana. Gets blocked and aetna sues, wow. Looking at next year a kind of approval and thats a long time to wait. I would be more inclined to hold on to united. I would buy some cigna, i do think the mid120 stock is attractive on a valuation basis, on a standalone basis. A look. Up 1. 25 . Next up, an analyst saying the next driver for apple will come from a very unlikely source. Well reveal it. Well speak to the analyst. Were back in two. My name is Valerie Decker and im a troubleman for pg e. I am a First Responder to emergencies 24 hours a day, everyday of the year. My children and my family are on my mind when im working all the time. My neighbors are here, my friends and family live here, so its important for me to respond as quickly as possible and get the power back on. Its an amazing feeling turning those lights back on. Be informed about outages in your area. Sign up for outage alerts at pge. Com outagealerts. Together, were building a better california. Welcome back to the Halftime Report. By now youve probably heard about pokemon go. If youre not familiar with the latest app store craze, we got you covered. Dont worry. The phone game using your phone. The goal catch all the different types of pokemon. So what could this be worth to a company like apple . Abouts 3ds billion in revenue, according to needman company. Bring in the analyst behind our call of the day laura martin joining us on the phone. Welcome. Thank you very much. Interesting note. Certainly piqued our interest. Made it our call of the day. Note investors are looking at on apple. 3 billion incremental from pokemon go over the next 12 to 24 months. Who would have 245u9 . True. Only in the u. S. Two weeks already 21 million active users. More than candy crush biggest game of alltime achieved at its peak two years in. How can you model something, you said, only here such a short period of time . Still trying to get our arms around this whole craze nktsz sure. So the way you model it, look at, we have numbers of daily active users and daily active spending on ios devices. The answer, average user spending about 16 cents a day and we think apple keeps 30 of that, through the app store. So if you take 5 cents a day, we assumed half of the total users globally. Would be the level it hits at peak. Half of the candy crush user, conservative, and at that level you get to 3 billion of revenue to apple. And at a sort of aftertax, that translates into about 40 cents a share or 4 a share in value added to apple from pokemon go specifically, upexcludeing from the next some our genius in california makes. How do we know its not short lived . Ngts maybe. Candy crush two years. Ill take that for applefi appl. Fine with me. Nintendo has gone up 20 billion and they do have a. P. Risk. Apple does not. Its hedged. The next genius with a hit game, apple shares in that, too. This mayen transitory, apple has a future in all over the ios platform. Hi, laura. Josh brown. You have caught squirtal yet . I havent yet. But i saw pokemon yesterday, but he escaped before i caught him. So serious question. Is nintendo, its been pretty clear now, finally, after ten years, that they are going to embrace mobile, and that there will be more titles forthcoming, including maybe some longtime favorites. That do have potential positive be multibillion dollar blockbuster games. Should that now be thought about in the context of ios and apple, or could we be years away from a zelda or a super mario brothers mabel game on the platform . Look, every kid, clever kids dream drop out of harvard and make a billion dollar game. These guys did it. I think lots of innovation. People trying to be overnight billionaires. The important number for apple is the billion installed base of user with an average hold period of eight years. How long people stay in the apple ecosystem. Apple participates at the 30 level, no matter which genius creates the next hit game. I cant get past at least somewhat laura, the fact this market as weve mentioned overall is at an alltime high. Dow above the 16. 8. For or 18,600 for the first time and yet apple is below 100. Or knocking at the door. Still seemingly cant get a lot of momentum going. Can you really convince people to buy apple today, because of this pokemon research, and the outlook for that, versus what really matters to people, and thats more innovation when it comes to the phone and what the expectations are for deliveries for a new device . Well, i think part of that reflects at 40 analysts that cover apple are hardware analysts. Our perspective is a little different. We highlight apple has higher Profit Margins than the Walt Disney Company and higher returns on capital than facebook. Therefore, the notion it should be valued as a Hardware Company just because it makes phones is flawed. Those margins are only achievable because it does have ecosystem benefits like pokemon go throughouts ecosystem, much higher margin and much more live like a cable industry model, almost a subscriber type of model. Not just a hardware point of sale model. We have a differentiated point of view. Laura, appreciate that opinion. Talk to you soon. Laura martin. Steph, what should we make of this . We dont even know if this a fad or not. Im not paying for apple who cares . A couple years . No, no. To your question, spoton. They got to get iphone, 70 of total revenue, where prafts aof will be. This is nice, pokemon, but not why youre buying the stock. This is just one of the addones. The beauty what we talk about when we talk about ecosystem, the number of users and all the services. All of those different aspects of it, where everybody else, she points out, everybody is a hardware analyst and not probably looking at it the correct way. When you look at it this way, why most of us and the whole table here owns apple stock now presently. Ive owned it over a decade. I have not seen even though theres slowdowns in the phones, and everybodys worried about that, scott, its all of the other aspects of what apple really is, which is ecosystem and users and as much as and the rest of that. Looking at a stock, i said, jimmy, that is at, below 100. Yeah. Have an analyst with a strong buy on the stock. A very positive note. Basically saying the Company Found money. This is found money, potenti potentially, over the next 12 to 24 months, no small chump change. 3 billion. It is small change for apple. In a best case, 2 of their net income in a year. Best case. One pokemon go craze doesnt matter. Ten would. The question you asked laura, when is it an Innovation Company again . Until is, its valued at a Hardware Company and probably a little cheap. With the iphone 7 you can get maybe another 10 run in the stock here. It is having trouble breaking through 100. Trying to do it a week. Having said that, gets to 110 well before it gets to 90, a much better answer that, anyway. Halliburtons ceo, making a big call on oil. Well talk about it, when the Halftime Report comes back in two minutes. Your Insurance Company wont replace the full value of your totaled new car. The guy says you picked the wrong insurance plan. No, i picked the wrong Insurance Company. With Liberty Mutual new car replacement™, you wont have to worry about replacing your car because youll get the full value back including depreciation. And if you have more than one Liberty Mutual policy, you qualify for a multipolicy discount, saving you money on your car and home coverage. Call for a free quote today. Liberty stands with you™. Liberty mutual insurance. You can fly across welcome town in minutes16, or across the globe in under an hour. Whole communities are living on mars and solar satellites provide earth with unlimited clean power. In less than a century, boeing took the world from seaplanes to space planes, across the universe and beyond. And if you thought that was amazing, you just wait. Announcer when they test you, stand firm and move only when you hear the seatbelt click that says theyre buckled in for the drive. Never give up till they buckle up. All right. Welcome back. Show you the markets. There is the nasdaq. Leader today. Up better than 1 . Outgaining the dow, no slouch, going over 18,600. Currently sits at 18,603. Looking for its ninth consecutive day of gains. A gain of some 44 points off the best levels of the day. As i said, no slouch a the market hits yet another new intraday high. Sue herera has the latest headlines on this busy day. Indead it is. Thank you. Thats whatting this hour. Defense secretary Ash Carter Says the Coalition Fighting the Islamic State killed more than 20 of the groups operatives conspireing to carry out external attacks. He made the remarks before a gathering of Coalition Defense ministers at joint base andrews outside washington. Frances National Assembly voted to extend that countrys state of emergency six more months following last weeks killing of 84 people in a terrorist attack in nice. The measures give police extra powers to carry out searches and place people under house arrest. The czech capital of prague, banni banning segway devices. They were clogging up streets. And a tool to improve Customer Service at macys. Shoppers get answer about the store theyre in, such as where items are located or whats in stock. Available through a web browser and in ten u. S. Locations. Youre up to date. Thats the news update. Scott, back to you. Sue, thanks so much. After a series of highprofile accidents related to teslas autopilot feature the national highway transportation excuse me, the national highway Traffic Safety administration, better none at ntsa, easy for me to say, is addressing safety concerns related to autonomous vehicles. Noon at noon, phil lebeau in chicago with more on the Automated Vehicles ssymposium . Fresh comments from the administrator regarding developing rules and guidelines. We talked ak this yesterday. They expect to have these guidelines by the end of the summer. Were talked kwi the u. S. Transportation secretary, and the doctor today stressed the fact they are looking to improve safety, but theyre not shooting for perfection. That is a goal he says is impossible. Relative to all of the traffic deaths out there, heres the doctor just a few minutes ago in san francisco. In roadway safety, we are not in a good place. Were not in a good place that were somehow trying to make better. We lost 35, 200 lives on our roads last year. We are in a bad place. This is a bad situation. And we should be desperate for new tools that will help us save lives. If we wait for perfect, well be waiting for a very, very long time. As you read between the lines there it is clear that nhtsa will be looking not only at the tesla accident in florida, but other accidents and saying, in their totality, are these systems working . Do we have to change guidelines . By the way, offered no specific comment regarding the tesla accident. Look at shares of tesla, remember, elon musks master plan is expected in the next day or so, and, guys, he said yesterday that it is going to explain to people in comments he made to the wall street journal, this master plan will explain to people the solar city bid and logic behind that solar city bid. Which investors are awaiting greatly. Because theyve been questioning that bid from the outset, phil. Yep. All right. Phil lebeau. Yet stock is higher, scott. Stock is higher than compared to when they announced the bid. Explains the tesla story. No matter what is thrown in this companys way, resilient to say the least. Yeah, yeah. Including this federal investigation. Look at that chart that says it all right there. Remember when it sold off, people said, oh, boy, here we go. Bit off more than they which chew and solar city. You have an investigation and the stock is tickling 230. Thanks. For more on what this means, joined by oppenheimer senior analyst, perform rating on the stock. Colin, welcome to the Halftime Report. Thanks for having me. What do you make of what phils reporting and what nhtsa is views autonomous driving as . Were not surprised by the comments. Their mandate is to help drivers get around safely, and look at technology as they emerge, and regulate them appropriately. We see this is an assist for drivers and its a new experience for many people, and figuring how to use that tool appropriately and safely will take a little time and its worth a closer look, considering what weve seen on the roads in recent months. What are the chances this master plan, whatever musk has up his sleeve, causes you to change your rating on the stock . You know what we do know is that theyve talked about synergies between the two companies. We know the companys working aggressively to look at the Overall Energy market and applications for energy. Out in the in the field, whether transportation or otherwise. And weve you know, taken a hard look ourselves in terms of what we think the possible synergies are and still dont think its a good use of capital. The company is very good at marketing and advocating its position. Were curious about the details will take a hard look and the devil in the details not only on the plan but how to execute on it. Were looking for real generation of cash flow from this guys and hitting the production and shipment numbers as well as the refinance numbers on the solar city side. Lastly, what level of risk do you think is in this story . Or should be considered, if the government take as more hard line view on autonomous driving . I dont think theres much risk around that. In the stock here. I think people are buying the product for how it performs, not for that one feature. The car is extremely compelling from a performance standpoint without that feature. We think the sales process is still going to go forward with that. I think our real concern is around potential saturation on a high end. Introducing lower end vehicles, the shift and what the margins are as we go forward well see. Colin rush at oppenheimer. What do we make of the story . What the stock has bun ovdone oe last six months. Remarkable. Said six months ago, have an accident where autonomous driving is called into question. Youre going to have issues over proper disclosure of the accident to investors. Youre going to do a dilutive secondary. Going to have all of these issues, and the stock would have been up 15 . You would have told me, youre crazy. And make an acquisition. Highly questionable acquisition. Threw all of that at it yet you look up 15 . Its up and look at technically how its holding on, scott. Event recently, technically. The 200, 50 day, moved nicely. Implied volatilities. How much fear in the stock, thats dissipated away almost back to normal levels for volatility of the year looking at tesla now. The one interesting thing, colin points out, people are not necessarily buying this. Theyre buying it for the technology not for the autonomous sides of this thing. The question, we note the stock has been resilient, that its up 16 in six months in the face of perceived head winds. The question is, why . Shareholders are under a spell. And just to what is that . Its a fact. Theyre under a spell. Look at a oneyear chart. This is what a growth stock looks like when it breaks down. People are starting to question the valuation. Theyre starting to question the production limits, and great, its up 15 in six months, scott, but the oneyear chart, this is a growth stock that is breaking down. They love him. Love him. Not throwing in the towel. Theres nothing he theres nothing he can do so far. Well see if theres a limit. Nothing he can do to dissuade the people that believe that his vision of the future is kreshco. They dont care about producing x. They produce yt. Will at some point, just doesnt now. Im sorry. If they really were believing in it, it would be setting new highs and its not. Just that simple. All right. Move from this story to breaking news regarding the Trump Campaign, and for that, john harwood has it in cleveland. John . Scott, just gotten a statement from the Trump Campaign about the lines from Michelle Obamas speech that got into melanias speech and caused controversy. Initially the campaign said, no, common words, and there were no borrowing of those passages. Now a speechwriter put out the word that, yes, she put those lines in the speeches after a conversation with melania trump, in whichofmelania ras reading passages she liked including Michelle Obamas passages. Melania has always admired michelle. She then wrote them down and put them in the speech without quotation or without citing Michelle Obama saying it was her mistake. She offered her resignation to the Trump Campaign. The Trump Campaign said, no. Obviously, the Trump Campaign felt they needed to do more to address the continuing questions about the issue. And the question, whether that puts it to rest or fuels the controversy further. But that is the development that weve just had here in cleveland. It likely fuels 2 e s it fur. Wouldnt you think . Jon . At the time, the campaign itself, when you have a pretty big docket of speakers tonight pb theyd like too move beyond the issue and deal with the substance what these folks are saying. Not this issue from two nights ago. Scott, for that reason im surprised this happened today rather than yesterday. Yesterday it would have, i think, put a damper on the controversy. Instead, it fueled all day long. Now, everyone did move past it last night, because you had the very effective speeches by Tiffany Trump and donald trump jr. You had Chris Christie going very hard after hillary clinton, and so today they were on to different topics. Well have ted cruz, mike pence, the Vice President ial nominee tonight. This certainly, at least this afternoon, gives legs to the controversy and fuels it, but i think the Trump Campaign clearly felt the questions were still going to linger enough that they would distract from the convention and they decided to put this out right now, and as of this statement, meredith macgyver, remains on the Trump Campaign. One of the things that happened yesterday, you had people like reince priebus, chairman of the National Republican committee saying somebody should be fired over this. That is clearly not going to happen. Yeah. John harwood, latest from cleveland. Thanks, john. All right. Next the missing link, despite a 15 drop, stephanie bidding on one stock she believes it poised for a big comeback, and shes going to reveal it, next. Is a g welcome back to Halftime Report. Lcome back to im jackie deangelis. Crude oil hitting a twomonth low and reversing into positive territory. Anthony garzanti, what do you make of the turn around today . Hi, jackie. We were at the bottom and a range. Still in this summer driving season. The high demand season for crude oil. Recommended buying at 45 yesterday. If you talked to me a month from now i would say sell crude. I think theres one more push to the up side as summer demand continues. Some summer demand and supply and demand. Brian, part of the story is the dollar, too. It is the dollar, jackie. The dollars definitely had a head wind here for oil. A dollar index. People getting fearful we trade 100 on the dollar index and certainly the housing numbers, look at job numbers here in the United States and the trade of the flow of currency from europe into the United States, its pushing the dollar higher, acting as a head wind. I think that 44 level is key support. Continue to hold there. The dollar holds up. Hold that level and push back up to 47. 5. But have to break that mark, see good, Strong Demand numbers, continue to come out here in order to trade higher towards that 50 range. But 44 to 47. 5 is the range youre look the at now. A note, expiration at the close today. September comes on the board. Meantime over to michelle Chris Christie. Michelle carusocabrera. Dr. Ben carson is our guest, and youll hear from the man who made an outright fortune today, just today. A lead investors following a company the billion dollar sale to unilever. All over this record rally on wall street and also plan on interviewing at neiro. All that starts at the top of the hour in just about 14 minutes from now. See you back on halftime right after this break. Im here at the Td Ameritrade trader offices. 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 and 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. Td ameritrade. Thats why i run on quickbooks. Details. I use the payments app to accept credit cards. And everything autosyncs. Those sales prove my sustainable designs are better for the environment and my bottom line. Thats how i own it. Bacteria can hide in food and make you ill. Wow announcer but you can keep bacteria from ruining your day with 4 simple steps clean, separate, cook, and chill. The roadchip to food safety starts at foodsafety. Gov. Perfect driving record. Until one of you clips a food truck. Then your rates go through the roof. Perfect. For drivers with accident forgiveness, Liberty Mutual wont raise your rates due to your first accident. And if you do have an accident, our claims centers are available to assist you twentyfour seven. Call for a free quote today. Liberty stands with you™. Liberty mutual insurance. Our resident investor jim lebenthal, three value stocks he says are breaking out. A segment called dollars and sense. Who likes intel . I like it. As a matter of fact like it going into dollars. Based on microsoft, intel positions themselves nicely going into this report. You own it. I own it. We like it. Not crazy about it. A nice run. Anying of selling . I dont know. Look, end of the day, pieces are getting less bad, which is good, and data center. Theyve got to show good Data Center Growth and visibility. Thats what will drive the stock. Mik, make the case or thought on intel . Qualcomm and intel overarching comment. Talking earlier, where is this market going . Setting new highs, how much further can it go . Be defensive, dont want to chase Consumer Staples stocks sells at 20 times plus earnings these names, whether intel, qualcomm, pfizer, want to talk about, trading at relatively low multiples, 12 to 14 times depending what youre looking a the. Intel 3 dividend yield. Qualcomm, almost 4 . Pfizer 3. 3 div geidend yield. Pfizer case, great ands growing oncology franchise. Int intel, interesting. Reporting after the close. Verbiage ike looking for, whats going on with them and the iphone 7. Qualcomm, whats going on in china . Signed that great settlement late last year. Started a sign up of a lot of chinese smartphone oems. Is it them. Pete. Chips more broadly. I like the chips in general. Been in and out of micron many times. The one problem i have with qualcomm has been this stumble that seems to happen quarter after quarter after quarter. It does, doesnt it . But there are other names out there that have been absolutely explosive. Some reporting and some will be reporting. Pete, i think theyve stumbled so many times its actually priced into the stock right now its stumbled. On intel its run back into resistance at 36. It makes sense for it to pause here. But rsi is climbing. Coming up. Pete najarian has some unusual activity, what hes seeing, whether you should be a buyer as well. Halftime report with scott wapner is the place for market moving interviews. You dont call a company a sewer because a company made a mistake. Real money. We are short both tesla and solarcity. Real debates. People think the globalization has hurt businesses. Its not. It is technology thats hurt businesses. Competitions a good thing. I dont want to have i dont want to go back to a single marketplace. The most profitable hour of the trading day. I love this show all i get to do is tweet about this show. Im on this show. Its like the greatest moment of my life Halftime Report, weekdays at noon eastern. Its here, but its going by fast. The opportunity of the year is back the mercedesbenz summer event. Get to your dealer today for incredible onceaseason offers, and start firing up those grilles. Lease the c300 for 379 a month at your local mercedesbenz dealer. Mercedesbenz. The best or nothing. Focusing on her vision for americas economy and how it affects your money. Join the best team in business for insight and analysis on air and online. And online. 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Back on Halftime Report. Resident options expert Pete Najarian is tracking big moves today in financial stock. Take a look at schwab. We have seen or gotten through a big portion of the major bank in terms of earnings, scott, Morgan Stanley this morning, bank of america, also look at a name like charles schwab. You can see this huge correction it made, this brexit correction it made here. Its been coming back ever since. But whats really interesting is now all of a sudden somebodys out there and actually putting some money to work buying the january 29 call, scott. Buying a little extra time going for the second half of the year. Very aggressive over 10,000 of those were bought. Almost completely financed by selling the january 25 puts. So what am i saying . If it goes under 25, theyre willing to own this stock. They actually think those that are buying think this stock has a great opportunity to return where it had been previous to this whole selloff. And thats why theyre doing this trade. Great, very, very smart way to actually position yourself right now for the upside. Are you among those . Im among those. However, i didnt do the options. Ive been waiting for some of these different financial names for a period of time. I like schwab enough i actually bought the stock. So i bought the stock and im dpoing to start selling calls against it for the next several months. Oh, interesting. Thanks. Josh, do you like schwab . It depends on rates. If we have low rates, schwab will do well. Steph, youre watching, in our missing link segment. Yes. Web co. What is it . Its a Truck Company they make engines and brakes and transmission parts. Based in europe . 55 of their business is in europe. And the stock got hammered on brexit down 15 . The Company Reported earnings today raised estimates encouraging up 7 today. Certainly wouldnt chase it, but i think this companys done a phenomenal job. If you want exposure in the truck industry, which has been hard, i think this one will outperform Something Like cummings or pacchar given they have such a good operation and this exposure in europe. And believe it or not trucks are older in europe than they are here in the states. Quick break. Second half trades on the other side. [child speaking indistinctly] announcer are your children in the right car seat for their age and size . It may be too late to check when youre on the road. [blaring car horn and skidding] fortunately, youre on the couch. All right. Were back. Microsoft pacing for its best day since october following earnings. Pete, what do you do with the position . I know youve liked this stock. I like the stock. Ive been trimming a little into it. Scott, i think if you start to look at this stock, if it starts getting up towards 60, i like what theyre doing. The transitions been phenomenal. But at some point in time you see that growth start to slow down at all, you look at the valuation. Its not overly crazy right now for microsoft, but its getting a little high. Jefferies thinks it is. Jefferies staff thinks shares shouldnt trade at this level. They say underperformance. It depends on then why amazon . It depends if you think the Cloud Business is reflecting. They had to prove they were going to be able to grow or decline less than expected and thats exactly what the company delivered. They are expecting Gross Margins to decline next year but only by 100 bips versus 200 bips we all had modeled in. I also like oracle better because theyre turning faster. These big Legacy Companies are doing the right things, but its going to take awhile. And at least theyre showing a little bit of progress. Truly going to be a rival to aws, then in fact we dont know what microsoft should trade at. And that is increasingly looking like thats whats about to happen. All right. Thank you guys. That does it for us. Power lunch starts right now. And welcome to power lunch where you are looking live at the floor of the Republican National convention, day three set to kick off in cleveland. We have a huge guest lineup coming your way. Very own Michelle Carusocabrera there live. Were going to get to her in just moments. But the big story at this hour stocks hitting alltime highs. Youre looking at the dow heat map. Excuse me. About two out of three of those dow babies are moving up. The dow eyeing its ninth straight day of gains. That would be its longest win streak since march of 2013. Welcome everybody. Im Tyler Mathisen along with brian sullivan