Judge who will be here with us live in a little bit. Captain wait to talk to him and get his impressions. Stock is not responding at all today. Look this, programming language is a fascinating one to discuss. Well go to the graphics, sorry, guys. Denials of wrongdoing are coming fast and emphatically after leaked reports that the government is investigating Insider Trading involving activist investor carl icahn, golfer Phil Michelson and noted gambler bill walters, plus billionaire mark cuban is now taking to twitter in defense of those in the crosshairs of the s. E. C. This is a fast moving story. Well have the latest on that coming up. Yes. Another important story. Cant talk enough about this right now. When the new normal in the Auto Industry is a sevenyear car loan, is that a red flag for auto sales . Why some fear that this is a sign that all of this could end badly, much the way housing blew up a few years ago. Phil lebeau will give us a full report. For the first three months amount of money we borrowed to buy cars topped 100 million, never borrowed that month in a threemonth period. And the demand is so strong. Thats whats driving a lot of this as well. It is the investors willing because of a reach for yield to pick up all sorts of, even, auto loan packages, a lot of the way the subprime loans were a decade ago. Heres where we stand in the market, head together close and the dow is staplinging a 21point rally this year. The s p 500 slightly positive and the nasdaq is off by 13, and, bill, i believe, s p and the dow were still on a new record high watch. You see the stutter step on the open for all three of the major averages. How much was this bizarre revision we kept getting on a manufacturing report from the government this morning. They had revised it twice. Twice. They got it wrong the first time, got it wrong the second time and finally got it right on the third calculation. And this after wall street economists looking through the data said basically, guys, this doesnt add up. Crazy, crazy, crazy. Lets talk about our day on wall street and closing bell exchange. Danny hughes from divine capital. Jeff cox from cnbc. Com and joe and Andrew Aarons and, of course, our our own Rick Santelli as well. Danny, moving into the month of june. They didnt sell in may and go away but will they change their tune in the month of june, as we were saying on friday . That was nice, bill. Actually if you didnt sell in may you were objection but this morning it was a little tricky, like you were alluding to before with the ism redo and then redo again, and once again another trust crushing government al redo, and so, you know, we were saying on the trading desk actually who got the high speed numbers on that ism release and did they get the corrected number, because if they did, they did very well today . But that aside, this is a big week for numbers. Yes, it is. Its about seven Central Banks reporting, and weve got big jobs numbers at the end of the week which is really important as well. Yeah, that number, andrew. Can we talk about that number for a second. Its got to be now what people are looking to, estimating we added, what, 200,000 jobs last month for the u. S. Economy and after the ism number was revised higher, its more consistent with an economy that looks like it has some momentum, perhaps sustainable momentum going into the year than one thats losing steam. Would you agree . I do. I think one thing about the ism numbers that everybody is really hoping for a really good number. I kind of liken the ism number to taking your child and teaching it how to ride a bicycle. Youve got the training wheels on. Youre letting the child go, and youre hoping that they can go well enough for you to take this thing off. Unfortunately the fed doesnt feel like it can just take the training wheels off but some more positive stronger ism numbers. They may get us there, but im hoping that they will get better. Taking the training wheels off one screw at a time, very, very carefully. Jeff cox, what do you make of todays market and this reading . When all was said and done, that ism, institutional supply management number was a pretty good number, wasnt it . Okay. 56 indcates expansion in the economy so i guess that thats as good as much as it stands. Goes back to the training wheels analogy which is very interesting. One. Things that happens with training swheels when you keep the training wheels on long enough that you get so used to having them on there you dont want them to come off anymore. Thats the story for the markets. Trade now is being fueled by three things. One thing, disbelieve that the economy is as good is as good as the consensus says it is. I think the other thing is the fed knows what its doing and number through, when the fed doesnt know what its doing anymore will want to get out in type. My friend rick once made the metaphor, when that point does come, it will be a room full of ralph crammedens trying to squeeze out through the key hole. How much are markets being pushed around here by developments coming out of europe . I think they are being helped by that. Europe is strengthening as well. Two years ago we were talking about a complete breakup of the european union. Obviously that talk is long gone, but i think the u. S. Economy stands on its own based on all the indicators, the numbers and low leverage. This week, if we see an historic move by the European Central bank to perhaps push their key rates negative, is that why the markets here are responding why they are, i respective of u. S. Data . They are rushing to safety over here . Well, i think that helps. Theres no question, and the europeans are trying to infuse capital and a little oomph into their markets, but i i believe with or without europe, the United States is doing quite well be a sent a collapse in europe. Rick santelli, so here we go. Month of june, what are you expecting here as we move into the summer timely . Well, you know, i think its very important to assess the jobs number on friday and to see which side of the last number it falls on because if we are looking for this big weather bounce, in my opinion we should be building on the last number, but well have to wait and see and well all scrutinize the Unemployment Rate because what it depicts is actually not happening. The drop in the Unemployment Rate is more respectful of issues within the economy versus positives within the economy, and last but not least, the guest who said two years ago we were talking about europe breaking up, well, sorry to say that its pretty much the big talk now. As to which countries are going to want to hold on to the euro, sand this going to give france strength because most realize that without the number two economy not buying into the whole emu story, it probably wont hold together, and france, based on the parliamentary voting count, doesnt seem too enthralled, neither does the uk, so i think the euro and the eurozone is going to be a huge issue whether they go into negative territory on rates or not, and the final question is an easy one. Globalization. Im sorry, but i dont see it. If europe gets off the track, it certainly isnt going to make the locomotive of the u. S. Economy run any better on its track. Rick, whats so interesting is like all the issues that youre talking about, after europe has done so well across the bond markets for the last couple of years, do you get the sense that all the flows are coming into the u. S. Because they feel its now a safer place to put money to work even if the ecb does more stimulus over there in. I dont think its a safer place argument. I think its a relative value argument. I think when you look at some of the rates in italy and portugal and spain, that those rates arent real raise and if you put them to a level, compromise of risk and reward, those countries may be insolvent so i think the flows here are greatly affected, a trend of lower rates that dont reflect the next natural fundamentals of many of the economies in europe. Danny, the last couple of months here of the Second Quarter weve seen a gradual shift in the stock market away from Growth Stocks and back to the defensive plays again. Where do you see opportunity right now . Where are you investing here . Its interesting because we said wed get away from defensive and into cyclicals and we went back to the playbook and started all over again with defensive. I think people are very well concerned, the firstquarter earnings, actual think they came in pretty well and people still see a drag. Productivity may be up but jobs are down. That still gets people nervous, but Consumer Confidence is at alltime highs, bill, and you have to think that 70 of the gdp is made up of the consumer spend, so it could be a very interesting second half. Im still invested. I have a little cash on the sidelines in case anything goes away, but im still invested in mostly the bigger names and dividend playing stocks. What about you . Where do you guys have money in this market, and do you worry about risks . I know i asked you about europe. Im going to list japan as well as a potential worry spot if were talking globally the second half. Year. Well, theres always risks and were always concerned about them and new ones that we havent even thought of will present themselves, but were generally positive on the equity markets. We think theres opportunity in manufacturing. We think health care is also a good sector to be in right now, and high dividend paying stocks, we think theres some real upside potential for for investors. Kelly, theres an interesting big picture number here, kind of the stat of the day here is because for the First Time Since november 2012 we actually saw inflows to bond and outflows from equities on a global basis so you can definitely see that flight to safety is still there, but also just i think a belief or pricing in the level of Economic Growth that investors are still feeling comfortable in fixed income, a very strange raid to me and its there and its prevalent. Just for the record, jeff, the final revision that we got, at least the last one i saw on the ism number was 55. 4, pulled it back a little bit. I said 56. Just want to make sure with a show of record wanted to make sure we had it right. Very quickly before we go. Where do you see value right now . Where are you investing . I like the publicly traded reits, especially the held care, Affordable Health care act is bringing 30 Million People that didnt have Health Insurance into the system so were going to need facilities to handle all the records and things. I also like mlps and like dividend paying stocks and i do think you like that yield . You have to have yield because you have no other place to go. Going to the bond market is just going like when youre playing tag its like getting on base. Investors are forced into the stock market because they have no other place to go, so the stock market is the path of least resistance right now. And thats 5 yield on junk bonds now, thats pretty good . Go online as well and read jeff coxes piece on the Market Correction that hasnt happened. It will happen but when . It will happen because it has to happen. We know. Weve heard it. Something about the laws of physics. Thank you all. Good to see you. See you later. Have a good rest of the day for this monday where, again, we remind you any positive close for the dow or s p will be a new alltime high for those averages. The dow is up 20 points right now and the s p up a fraction. Sticking with the yield, well be talking more coming up. Well talk a little apple at its closely watched Developers Conference. How people will weigh in on the conference. Is the programming language significant enough to take apple to highs and then a look forward to apples review. A Real Estate Investment trust was outperforming the faction a lot, but sixfold. The head of the national Real Estate Investment trusts will tell us how long the good times may roll in terms of longterm Interest Rates having to go up tiantly. A look at where hes seen the fastest growth. Stick around. That exclusive interview is still coming up. Peace of mind is important when youre running a business. Century link provides reliable it Services Like multilayered Security Solution to keep your Information Safe secure. Century link. Your link with whats next. Welcome back. A mixed day. One of the major averages is hovering into the afternoon session. The dow is up 17. Any positive close for that or the s p will be another new alltime high, and the s p has just dipped back into negative territory. The nasdaq is underperforming, down 12. 5 point. Among the underperformers it s apple which is in the midst of its technology conference. Its up 1 . Down 1 the last time i saw. Its down. Biggest name in the index. I know that were comparing apple to oranges, had, ha, ha, o coin a phrase, but back when they had the Developers Conference the stock would go up because people would be excited about the new products. And this is amid new language. Bob pisani, a new month, last month of the quarter. What are the big movers right now. First trading day of the month. Usually get a little more volume. Not seeing that today although we are in record territory. Want to show you the s p, little excitement in the middle of the day. Suddenly around 10 00 the ism numbers came out much weaker than expected 533. 2 and turned around around 11 00 and revised the numbers, made a mistake in the conclusion and said it was 56. That was above expectation and then it was revised another time. You think they would get the slayings right. Theres the little dip you see earlier in the day around the ism. It actually did move the markets. Back in high territory. The new rawls on theop emissions have been proposed by the white house and see the effect there. Gold stocks, still cant get traction. Gold was 1,300 and now 1,250, down 50 in the last week. Follow through gold stocks on the weak side. Some sectors are up. Publishing is up a little bit. Gwyneth was mentioned positively in barons over the weekend. People talk about these magazines dont move stocks. Barons mentions it and it does mention t. Zillow downgraded. Rbc and Pacific Crest and still having a pretty good time. Big momentum Stock Holding up pretty well. Guys, back to you. Bob, thank you. Speaks of Real Estate Investment trusts, they are lapping the s p 500 several times since january. With us now to talk about at the New York Post 9 is steve wechsler, the president and ceo of the national Real Estate Investment trusts who will be ringing the bell at the big board. Good to be here. Why now, why the outperformance now . Where what does that say about where we are in the Economic Cycle . What it says is that weve been in some slow steady growth, notwithstanding the quarter revisions and that growth on a clowe upward basis is good for real estate. The economy is growing slowly, increases demand for fundamentals and for real estate and the properties that they can offer tennants. How much different kinds of Investment Trusts are there . Theres about 250 publicly traded Real Estate Companies at reits in the United States. The world today, theres 30 nations with reits, so believe it or not, in the uk, france, japan, singapore, reits are operating in those countries as well, but in the United States, of the 250 stock exchangelisted reits, they cover different sectors, retail, regional malls, strip shopping centers, office, industrial. Health carerelated, selfstorage. Selfstorage. Apartments. Anything that has got land under it, right . Americans have a lot of things they would like to store somewhere. Im hip. And are they all built the same such that when rates start to rise they will underperform . Thats when well start to see them underperform the market. Is that whats going to happen . The issue of Interest Rates and the reits is complex. Its not a oneway street. Obviously rising Interest Rates are negative for all assets generally in asset pricing. With reits you get the potential benefit of in a rising Interest Rate environment oftentimes the economy is growing and that provides Pricing Power to the landlords to increase rents, to compensate for the rise in Interest Rates, so its a mixed picture and most time periods where Interest Rates have risen over the last 20 years, reits have done well as opposed to not. I would imagine the more the people pile into these products, which i imagine they will chasing the returns that they see, doesnt that mean youll get lower and lower quality issuers coming to market potentially . Weve had a limited number of ipos to date, though each year since the great financial crisis theres been some, but what you will have in the public real estate markets for the stock exchangelisted reits is youll get the liquidity of real estate so youll get the realtime pricing. Youre not getting in the private markets, and thats a signal. Yeah. For good or ill . For good or ill, and theres a bottom. We quickly saw last year when the tapering talks began, chairman bernanke roughly a year ago, reits cropped, but they bounced back once they found that bottom. Like a lot of issues at that time. Steve, good to see you. Well let you get going to ring the closing bell. Appreciate being here. Well take a break. The market with 40 minutes left in the trading session here. The dow up 17 points in