In fact it closed down 30 bips. Big deal. And in fact, to try to preach a lot of fear mongering right now is a dangerous thing to do. Having said that, theres a lot of damage underneath the surface. Theres a lot of stocks today. We talked about how weve been printing many new 52week lows across the board. And Commodity Prices are telling you something. And clearly is this deflationary . Absolutely. Is this good for the consumer . I think absolutely. Does this mean that Global Growth is plummeting . I dont think so. So on some level there is a supply issue. On some level theres an asset issue. And i think thats how you have to look at it. But to say the stock market is very healthy right now because its only a couple err percent off the highs is not something i would say. The tlt outsize move up more than a . Xle on the s p 500. Thats not good. 2 1 4 in terms of tenyear yields. Thats been a pivot point for a while. Were somewhat significantly below that. I still think yields go lower. I think the move in equities is intact to the up side as long as the russell stays above 121, had a rather benign day. Transports actually up today. For me its 2054ish in the s p is the line in the snd. If we get a close below that for a couple days well have another conversation. But the Broader Market has shrugged off every piece of bad news for the last five or six years. Tim just mentioned something. When you talk about oil down here its going make a new low. Thats going to happen. And it may happen much more violently than when it double bottomed back in the First Quarter of this year. But when is this benefit to the consumer going to happen . We just got through q2 earnings. We didnt see a lot of managements talking about this being a boon for their customers. And we dont see it from an input standpoint, we dont see it yet either because all the strength in the dollar is destroying our multinationals. We saw it in Companies LikeProcter Gamble just in the last week or so. To me i think we have a very dangerous situation especially when you see these sorts of industrial commodities acting so poorly. It speaks to me this time around more of a demand issue than a supply issue. Then you layer on top of it the loss of leadership. We havent talked about apple yet and well get much deeper later in the show. It broke below its 200day average p. Its in correction territory. There are some areas in the market you look at and say i feel pretty comfortable. Other areas, energy, technology, that makes you uncomfortable. You look at financials, health care, the pooid spooidar, the s p 500 bounced off the 200 day and moved up to the 50day moving average. Theres all types of ways to look at this market. The concern i would have right now i brought this up earlier in the day is the focus. The focus now is going to start moving away from earnings as weve gotten further and further from the earns season and thats whats pushed us up to these higher levels. But now as we look at china and greece and there was more news out there today, when we look at whats going on globally, i think there are some concerns. The fact that the volatility index is 1256 on the close today, i would be a buyer not of the vix itself but of the s p puts below to be able to have some protection along the way. Because theyre hitting it. I would be defensive. Guy talked about the iwm. To me this is the best way to play volatility. I think you get the most bang for your buck. Historically its how ive been hedging emerging markets. Fridays payroll number i think you have a setup where a lot of these things could bounce. Some of this has been predicated on dollar strength. The assumption the fed has to move the input costs or the deflationary element from commodities into whats going on in terms of core cpi and even ppi is something i think you have to watch. Whether its taking the fed out of the picture it doesnt matter. Weak ism today, weak data. To say that going into a payroll number where expectations are this couldi isbe at least a slightly softer number, it sets up for all these things. Theyre way oversold to have a very interesting bounce. I would not just start throwing stuff down the sewer right now thats been in the commodity space. I think it could be dangerous to do that. Just quickly what sector or stocks would you be most concerned about in a market that wants to go lower . Right now i think its the one you mentioned, this concentration in some names. Right now the nasdaq is holding on by facebook, google, amazon and that sort of thing. Theymaker me very nervous, these companies that have 200plus billion dollar market caps that are insanely valued and they seem to be concentrated right now. Crude oil getting hammered falling to its lowest level since march. Crude is now down more than 50 from last years highs, which may not be a bad thing for stocks. In fact, according to our data our genius friends at kensho, in have been five times crude has dropped 50 or more since 1986 and in the following year stocks were positive 80 of the time with the average returns of 24 for the nasdaq, 14 for the dow, and 11 for the s p 500. So is crudes crash actually a good thing for stocks . Lets bring in dennis gartman, editor and punler of the gartman letter. So dennis, lets start off with that very question. Is this a good thing for stocks and if so when will that happen . I think if one has to worry about where the stock mafrkts going to be tomorrow or next week or next month, weakness in the crude oil market is probably deleterious to the stock market. Its probably not beneficial. If you have the great ability to look out two years, three years forward, then im sure crude oil prices for the consumer, for businesses, energy being such an important component of production of everything, three years, four years down the line its very beneficial for the stock market but to get through for the next two weeks, three weeks or a month probably very difficult, probably detrimental to stock prices in the short term. I want to ask you about the direction of crude but i want to show you a chart, dennis. Our friend raul paul the global macro investor tweeted this chart out today which caught my eye and basically was a trend line going back to 1999. Its a trend line from 17. And he says if this levels breached, which is about 4351 or so it is game over for worldwide gdp. Would you agree . Do you think we will breach this . And how far do you think crude will go on the down side . Rauls a very smart guy, one of the smartest guys ive come across. Been honored to be on a platform with him several times. But i would hesitate to say the problems incumbent in crude oil are reflective of problems incumbent in world gdp. I think what you have here is simply a huge amount of supply coming at you. The comments by the Iranian Oil Minister over the weekend that iran could have half a Million Barrels of crude oil added to production within weeks and could be adding a Million Barrels within six months of the end of sanctions is a stunning surprise. That caught everybody off guard. It even caught the saudis off guard who are clearly going to be supplying crude oil as aggressively as they can to defend their market share. So i would say youre probably going to break that up trend line in crude oil. I think crude is in very serious problems. Production is going into crease, not decrease. But do i think thats detrimental for global gdp . Probably not. So it sounds like then you would be bearish stocks in the near term, near to midterm. I think one should be bearish in the next month or so. I think were probably going to take out the 200day moving average. I think the leadership of the market has been hurt. The generals who led the battles are now the ones who are getting killed. And when the generals go down, thats a problem. For the next two months at least stock prices are under duress. But as we talked about earlier, if crude oils down 50 and if history shows is that two years later stock prices are going to be higher, if you have that ability and the capability to bite your lower lip, two years from now its going to be terribly beneficial to stock prices but for the next month or two not so much. Dennis, good to see you. Thank you. Thanks, mel. Good to see you. Dennis gartman of the gartman letter. Deleterious for the next great word. Thats a haiku word. Im not sure i dont know. Good or bad, mel . Is it good or bad . What . Deleterious. Bad. Bad. Come on, dude. If youve been looking for a reason to buy these names. Conoco phillips, is it interesting . This is where it traded down to back in 2012 when they spun out psx. So if youre looking for a level this 49. 50, 50 level might be it. Im not saying its right on valuation. Im just talking in terms of trade. The fact their dividend is close to 6 now is scary because its risen for the wrong reasons. But if youve ever been waiting for an entry point, c. O. P. , this might be it. A number of the Airline Stocks and rails, youve p had a very big bounce. The argument theres been an upgrade in the airlines. One is theyre seeing stable saix in the prasm, passenger revenue per available seat miles and toward the end of the year they say they could strengthen a bit. If fuel stays low and the multiple stays low. Airlines up 3 to 4 today. Beaten up interesting multiples, lower fuel prices. But it wasnt just today with the airlines. You go back last week we had days 3 or 4 . You go back to july 1st and you look at whats happened with united, delta, alaska. We have seen paper, dan, youve seen it as well. The options world. There have been upside buyers and theyve been able to capture a lot of gains when you look at some of these names. The move to the up side extraordinary. Core shares getting slammed as a number of firms get cautious ahead of its report. One ablt says he sees major up side in the stock. Auto stocks failing to accelerate despite moving sales. Whats the major roadblock . The answer might surprise you. And apple shares did something very scary today and that is one of the streets widely followed technicians. Very nervous. Hell be here with a huge call in the stock that could have big implications for the tech rally. Much more fast money straight ahead. Hello. I am here to offer sophisticated investing strategies. My technology can help you choose the right portfolio. Monitor it. And automatically rebalance it. 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Find new ways to save energy and money with pg es Business Energy checkup. Welcome back to fast money. Check out whats happening right now with Biomarin Pharmaceuticals down about 2 on 40,000 shares worth of Trading Volume right now. The company did report earnings of a loss rather of 51 cents a share. That beats the average analysts estimate for a loss of 53 cents. Also revenues come in better than expectations. 251 million versus 218 million. They also got strong revenues from a drug called naglizyme which treats a rare set of disorders relating to cellular enzyme interactions, that sort of thing. Now, the company does really kind of just looking at the stock reaction here, we do have a stock thats up about 63 year to date. Up 140 almost overt the course of the past 12 months. So yes, the expectations a little bit better than expectations. Also some strength from one of their drugs. Maybe perhaps a little bit of profit taking here. Light volume down about 2 , guys. Melissa, back over to you. Dom chu, thank you. Pete, whats your trade . This is a tough one. We talk about biotech all the time. We talk about those names that have great earnings actually and the ones that are more on the pipeline and how they look. Bio marin id put in that category. You look at this gilead stock the way it was trading today in a terrible tape. You look at amgen last week after the earnings. I think youve still got to quantify exactly where you want to be when youre in the biotech space. Are you in a big cap that already has incredible earnings or are you betting just on a pipeline . And thats what i think separates many of these famous names. In terms of biomarin i agree with pete. I dont think theres any reason to rush in at 144 or whatever it iss in in the after hours. There will be an opportunity to bite stock. Unfortunately it will be in the mid 130s. Weve seen pullbacks before. Every time its an opportunity to buy it. But down 3 in this name i dont think its ready yet to be bought. President obama laying out a ploon for more clean energy. He called out sole their particular. Take a listen. We doubled down on our investment in renewable energy. Were generating three times as much wind power. 20 times as much solar power as we did in 2008. Over the past decade even as our economy has continued to grow the United States has cut our total Carbon Pollution more than any other nation on earth. But all that solar talk didnt help the sector. Take a look at the red arrows pretty much across the board. Dan . Lirngs, i know there are some people on the desk who really like this space, and i think you have to kind of separate what the longterm viability for this sort of stuff is versus the nearterm Investment Opportunity and it doesnt just seem great. This seems like it should be very good news for remuable stocks and we have sun energy thats down 30 since they bought vivant that day. If it cant catch a break on a day like today with this sort of rhetoric coming from the white house im not sure you step in right here especially with oil trading the way it is. You guys can talk about correlations all you want. Solar stocks, dont sun edison seems to be a different story. There are some concerns about capital payments, the debt its raised recently, and you also take a look at the yield cos and the yield cos in the market, Terraform Global which report ond friday they are getting destroyed. Dance pointing out the correlations you cant fight them. The concerns on the yield cos is these guys wont be able to continue to finance themselves. If youre in an northwest where the same investors investoring in yield cos are the same ones that have high yield exposure across the Energy Sector some of thats fundings going to dry out. This is not 250i78 to run out of this sector but the irony is yes, obamas out with all of this on a day when the oil is getting destroyed. Commodity set a new low. Not just solar names. Look at the coal names, ore names. These things are going out of business. Politically hes putting more pressure on states where this is their number one livelihood and thats not going to be popular in a lot of place zblpz this is what mizuho said about the clean energy plan. The analyst said this is mutually assured destruction of coal fire generation industry. Meaning game over for coal. Dan mentioned the correlation between crude oil and solar names. That has been true. But in solar city specifically scty for the month of july it doesnt seem to be taking place like it did prior. Reported earnings a week ago. Almost a 40 short interest. Seemingly there are some tail winds to this stock i think. I dont think you want to be short this name for sure and if you do believe in the space this is one name you could own right here. Could you possibly own coal . No. I would stay away from it. If theres any name in the solar space i like right now i think of the names out there first solar would be my favorite. Macaus gambling revenue falling 35 in july. Is it a warning to the rest of the world . Its not a warning. This has been going on a long time. Year over year youre down 34 1 2 . Its an improvement over june. Depending how you want to look at it its a relative victory. The chinese visitation to the macaw casinos is down about 10 . I think its probably stabili stabilizi stabilizing. Look at the charts of sands, wynn, and even melco. These are names it looks like the charts very constructive and its not time to run back in at least on earnings multiples. They look very cheap here. Theyre not cheap. Its based upon trailing. I dont know that you can say this is the right time to get in but i think things are stabilizing. The macro pressure, the regulatory pressure on macaw is also lessening. Thats very important for these stocks. Theres been no shortage of head winds in macaw. But the one thing we know nothing about is what is the chinese economy doing. We know theres a lot of regulations, smoking bans, the bustup in these bunkts or whatever. To me when you think about wynn it had the nice pop. Its given a lot of it back. Its straddling this 100 level. I do not think you take a shot here. Just like it overshot on the up side last year i think its going to overshoot on the down side. Yes it may look cheap on a lot of levels, may look decent technically. I think youre going to get to buy lower. Michael kors falling hard today as a number of analysts came out with bearish notes ahead of its Earnings Report on wednesday. One analyst says he sees major up side in the stock in the form of potential buyout. Oliver chen is a retail analyst at cowan. Great to see you. Thanks, melissa. Is there a way out for michael kors if its not an lbo candidate . I do feel like the near terms under pressure. But i do think in the long term this is a great vibrant industry. Its a 40 billion handbag market. Operating margins are above 20 . And why does our leveraged buyout analysis work . Its because it generates a lot of Free Cash Flow. 550 plus Free Cash Flow annually as well as 1 billion of net cash. And keep in mind hand bags, m