America and perhaps on american resilience manufacturing coming in very strong pushing stocking to new highs, that is where we begin tonight. October historically one of the worst months of the year, but you wouldnt know it today the dow 5ding another 152 points tonight. It also closed at the highs of the days day, which could be a technical sign the blue chip index kept good compute. All joining the dow at new record highs, it was a very broadbased rally as well all posting gains, but as markets climb, so do many investor questions, but how much more may actually be left in a nearly nineyear bull run. Those questioning have been around i have asked them seemingly for the last couple years. Those questions continue to be unanswerable i tell you, i continue to think we have taken a lot of our cues from europe. I say that because we emarked 12,000 as a huge line in the sand see where the dax traded down to, and what its done, and now it makes sense that equities are rallying what still works look what citi bachg has done, the stock is up 20 very quietly, financials still work, you mentioned industrials, honeywell one of the Great Companies here in the United States along with the s p making an alltime high so in my opinion they still work. I agree, the defense stocks will continue to work. I look at Consumer Staples, i totally stay away from the biotech names, even though theyre up 40 , theres still a lot of room to the up side if you look at a longterm chart, were just getting to his turkey levels as far as highs, so i think theres room to go, especially when you have a generalist investor getting back into this trade. I would still with that and the financials the financials are a play. Why not the staples i think theyre just out of favor. When you look at a market, thats an area that you say far and clear from. The reflation trades continue to work. Oil stable oil prices, i think you can buy the banks, definitely look at gm, and now gm is a name with a massive, massive run, about you heres a case where you look at certain parse gm is not expensive. Its only getting i mojo here, in my view i would say a stand outwhen f. A. N. G. Really consulted. I know the stop is up almost 12 in a Straight Line over the last month or so. These are some stocks that you, a, want to see consolidate a bit, especially as we head into earnings, when you look at an oracle, they have an Analyst Meeting on thursday, cisco is a stock that actually had a negative reaction when it last reported all these three stocks have something in common. Theyve underperformed a lot of their megacap peers, we now some of them are up 30plus percent over the year. They may be interesting on catalyst, interesting because the dollar, which is up a bit, i know in the last month, that sort of thing, so to me that may be an area that investors start to focus. You think the interest is for real and longlasting i think its healthy. At any point this year you could have said the outperformance has been eyepopping, and maybe for good reason. When you see listen, you guys have all been right. The xlf finally broke out, and youre seeing rotation into these areas that are working i think its healthy its not like apple hag fallen out of bed, so to me you want to see them consolidate, and then q3 earnings. I agree, i dont think money is leaving fang in a fierce week, if you say fang may on a relative basis yunld perform, but the fact is it will do relatively well. Theres no reason to put off foot off the gas to your point, intel, look at the money thats been allocated. The chart is straight up they talked about something different. They talked about theres been speculation about breaking the company up into two pieces and benefiting from that a. I. Machine learning sort of equation es on are a higher multiple given the fact that that could occur. The path of least resistance is certainly away. Google has had headwinds but netflix to me is i think starting to show there isnt that big of a moat around this company the u. S. Is joining the rergs of the world you want to go for the stuff in industrial land and inflation land. Obviously with the news of last night and today theres a lot of Bigger Picture issue that we have to discuss, so guy adami, that isn number did get lost in the headlines, but we cant overstate how strong that manufacturing number was definitely a leading indicator, something i think hes been on for some time one of the reasons why these many industrial names have been rallying one of the reasons why they will continue to rally. If it is a leading indicator, i think it augers well you can sort of cast aspersions on some of these names in terms of valuation honeywell, defense stocks, lockheed martin, boeing is rich, for example, but for me the tailwinds seem to be unabate d the s p was down like 20 biopsy. Here we are now, a week later, and a lot has happened. So when you talk about it, is valuation the thing . Is that why they sold off snow i dont believe so, but i think tims point is important, and its important, as we head goo q3 earnings, potentially regulation with facebook, google, amazon spending, the reaction to earnings and guidance over the next few weeks is going to be important, of whether they continue to close out the year strong. Do you think that from a markets perspective, that pullback, and i acknowledge it as well. Is bat for the market . Absolutely not. Its bad if they literally start to decline and then we dont see these other sectors thats been a rotation, if they pause and start going the other way. We havent had a selloff of 3 this entire year. Revenue growth, if you look at it historically, theres an article out today discussing it, bears can offers you have seen a its been financial engineering, were starting to see guidance come out on guidance thats much higher have we overstated the important of the fang stocks to this market . The best is facebook, its 17th this year in the nasdaq 100. Mer cato libre, paypal. I dont put paypal in there. Would you put wynn in there as a momentum stock. Theyre higher growth i will say earnings season is crucial it changed everybodys expectations of s p. And i think thats an important part. Im not saying the argument can be made youve seen sales growth lagging and now were seeing expectations ratchet up for the Third Quarter. I look at that and say that shows you the economy is picking up steam or continuing to pick up steam lets take more about this rally that seemingly just wont quit and bring in brian belski one of the biggest bulls out there, getting more bullish, now believes the s p 500 could reach 2800 by the end of the year. That is another 10 . Heres the question, brian welcome, by the way. Thanks for having us. Out of 11 groups, only two are down this year telecom and energy of the big ones do you believe, a, energy hast turn around to get to your argument, and b, do you believe it will turn around . Ill do b first, because im polish, do we do things backyards. No, i dont think we need energy to turn around i think we just need energy to be a bit better. We put in a tactical trade about a month ago to say it was time to buy energy. I think the theme no energy is embrace the range. Many of us forgot they had a supersighle between 1982 and 2002 a lot of the companies did great in terms of earnings and cash flow we dont need oil prices to go up or down so many people, all they remember is moddie super cycles, death to america, you bike stock, because Interest Rates are low. Energy can perform nicely, it doesnt need to be an overwaiting. Mohr directly, brian, can we get to 2800 if stock s dont participate . Yes we still think the majority of our clients around the world are massively underweight financials you saw in a stock like wells fargo do awesome some accepted people are still bitter about what happened, and we think the majority of investors are way underexposed, about you we just published a note saying september in the Third Quarter was all about financials and energy getting going again i think the market will do well with those two ectors, but it about a return to value investing. Value investing is the mo Intrinsic Value of all we talked a lot about the beginning of this segment thats true i think its still a sense where most investors believe that theyre chasing the same stocks were not believing as a marketplace an increasing amount of companies show abovemarket growth thats a value market. Weve got slow to think about that and actually believe it. Ill play devils advocate just to do it. Does xlp, the Consumer Staples have rolled over effectively since may. You and i have been in the business along the same time. 30, 40 years. Right yeah. Combined. No. So back in the late 80s, early 90s, campbells soup. General mills, heinz and when is the last time you had campbells soup. You would be shocked. When was the last time you touched your cell phone. Consumer staples in general are a sector has lost without leadership reached a tough year its a sector thats hard to be overweight it doesnt surprise me we have seen the type of negative brian belski, a 2800 new start on the s p 500 brian, good to see you. Thanks, by the way, go twins tomorrow against the yankees the last time i put a hat on was september 30th of 2003, i cohosted squawk box, and the twins beat the yankees that day. Ill say this, im no yankees fan, but one game doth not a trend make when somebody says dime after do you have a dime so i can call someone who cares. Showing your age now that youre references dimes and payphones. Doing what i can. Seem op still uses a pager. Thank you very much. Guys, what did you buy today . Biotech to me and david, ill mention it again biotech is breaking out gileads acquisition, the announce metropolitan unlocked a lot of potential deals going forward. I think people are figuring it out. I sold nike i had been there since the last gad, and it just acts like death. I think the reaction to guidance was disney bought it after that earnings gap back in august it kind of found a floor in the mid to high 90s. I actually sold intel today just because of the spike. I think it pulls back a bit, and added some Bank Position also i6789 bbs lets talk about retail next block. I sold some Hall I Burton which has been rocking thank you very much, guys. Stocks did shake off todays tragedy, as we mentioned were following the latest from las vegas where last night a gunman killed 58 people, injured more than 500 others new details are unfolding every hour still ahead, though, well go back to the markets nordstrom until pressure the deal to go private might but you just heard tim seymour talk about retail. Hes staying long and strong on one name and later on, General Motors shares also at record highs following another upgrade from wall street. What has analysts and investors so excited over gm well let you know, next 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 tmobiles unlimited now includes netflix on us. Thats right. Netflix on us. Get 4 unlimited lines for just 40 bucks each. Taxes and fees included. And now netflix included. So go ahead. Binge on us. Another reason why tmobile is americas best unlimited network. Want sure ck . Alright, looks like weve got chips, popcorn, pretzels . Pretzels plain, sourdough, spicy, sesame, honey mustard, chocolate covered, Peanut Butter filled, this ones in german, it says, reindfleisch . Plain. Great. So what are we gonna watch . Oh show me fall tv. Check out the best of the best handpicked fall shows on xfinity x1, online, and the Xfinity Stream app. Thirsty . Sploo well come back to fast money. We have a market flash on allergan sneer mccaskill writing a her questioning the deal with the mohawk indian tribe. This time coming from senator clair mccaskill. This was a deal that raised a lot of eyebrows at the time. Its really interesting. Allergan is facing chance from generic drug makers, and a relatively newer system called, ipr challenges, of course gained attend a couple years when the investor used the system to challenge the patents. It turns out nativeamerican tribes has sovereignty over the patents. In return, allergan is paying the tribe 123. 75 million up front, potential 15 million after that in royalty. Allergan says it doesnt affect the patents in the federal court system the ceo said this arrange was to skimpily avoid double jeopardy now we have learned that senator mccass kiss has wrote a letter, saying this is one of the most brazen and absurd loopholes i have seen. Given the recent comment, pharma can and should play a role in telling its members that this action is appropriate, and though the stock price calling it creative, the stock has since declined guys, we have reached out to allergan and pharma on this. Meg, thank you very much. Anybody with a perspective yeah, you step up and buy aggressively here. Its a ridiculous to have this stock trading this low its a sentiment shift generally youre talking about Brent Saunders as one of the most creative and innovative ceos in the country. Universities have been hiding behind this for years. I love you, i love you, but why . I didnt hear a reason why to buy the stock. Its creative. I dont care about the ceo heres the thing, you have every analyst saying its creative. Give me a reason why youre buying the stock. They want a podium to stand on, what, drug pricing issues . Or anything that has to do about the big bad pharma its insane. This is a Company Generating significant revenue. Hes being realtyive in protecting the patent instead you have a political interest thats ratcheting down and hurting this company, in my opinion. I sort of i still didnt hear a single reason why our viewers should go buy allergan, when the whole space acts well. A perfect example this stock was up initially when it was announced why . Because it was a creative innovative way to look at it the reason its down is they have their sights on allergan in a way thats disruptive. So, therefore, people stay away. The investors walk away. But his question is, what is it is drives for. Restasis is an amazing drug the fact is, is that patent in jeopardy in fact, the higher courts will make a determination from a generic perspective. Allergan is smart enough and will defend themselves wheel heartedly. The fact is the way it was structured,ed reason why he structured this, home run, kudos for her for doing it the fact this country has decided to take a negative stance on biotechnology names like this, its crap defending allergan. Still ahead, crude oil knocked back another 2 today, about Energy Stocks may be telling a different story. A top technician will explained the market mystery in the meantime heres what else is coming up on fast its auto versus auto. As General Motors sid a new record and tesla hits the skids. Which car stock will be left in the dust the traders place their bets much more finfast money is st ahead. Welcome back to fast money. Strategy did i striking last night after a gun maam opened fired during a Music Festival on the las vegas strip. Lets go back out to jane wells in las vegas with more in fact the clark county commissioners is using the number 60s mgm says its cancelling all of its shows and other shows have been canceled. Thats the mandalay bay behind me it seems as if you look add a video of the crime scene, we get new information every hour about the shooter stephen pad dock New York Times said he had 19 weapons in his room, two on tripods, and nbc news is reporting his father in the 60s was a serial bank robber on the fbis most wanted list people here who have survived are trying to get back to the scene to get their stuff, including Daniel Rosales who was working the show last night. You get a sense as soon as he hit the ground with his wife he started Facebook Live you could hear gunfire go on and on, then a short break, and gunfire on and on. Here is a short snippet of what he told me. It seemed like it went on forever. Im toil shaky. What do you have left over there . Our vehicles, we lost a love the stuff. Personal items that we dont really need. We want our vehicle. Were being shot at were being shot at. Oh, my god cmon. [ gunfire one person went down and i told my wife, just run, just run as fast as you can, go reporter how far did you run . We ran all the way to the mgm, and my wife was picking up people who were shot on the way. F. Reporter theyre reporting it took 72 minutes from the first 911 call for police break into the room. The gunman was dead. It wasnt clear how long he had been dead. You obviously met that gentleman with quite the story to tell. Are people still around . Is it almost as if theyre hanging around the area, theyre not leaving . They want to talk with other survivors. It seems like there are many people still in the area for one reason or another. Reporter look, las vegas, there are people who paid to be here this week, they are still here there are other events going on. I havent seen a huge exodus, the flight i have on was packed for people who i dont think know what happened here on the southern end you dont get a lot of traffic, but people are trying to filter back up to the scene, and they do want to talk about it, as often people want to after things like this. For more on who this might mean, harry curtis, managing director and Senior Analyst of gaming lodging and leer yurt harry, a difficult day, but we are cnbc, which were going to talk about it from the business angle. What do you think might be the longer term impact from the business side of what happened last night weve looked at it today from both the long term and shorterterm perspective the longterm perspective, if history repeats itself, and you go back to a shooting in a casino in manila, the orlando incident, paris, in each of those instances, those cities recovered. We expect the same for las vegas. Yeah, and particularly mgm, which is the owner of the mandalay bay, along with other properties i read some comment that the management is on top of this, and theres not a great anticipation evident a longer impact americans are resilient, very brave and we 2e7bd to go back to trying to live our lives after way too many of these types of incident ov