Things around for that group. And anadarko withdrawing its offer to buy apache, but others could be in play. We have a special report coming up. The ipad pro has officially been launched today. I want to know about the keyboard. Kelly wants to know about the pencil. We have someone who says tablet is too big to fail. A loaded description. And Harry Connick jr. Will join us here at the New York Stock Exchange to talk about veterans day, his latest album and the changing Music Industry. Hell be ringing the closing bell shortly. Looking forward to that. Well start with macys and jcpenn jcpenney. Courtney reagan has the retail detail for us. Macys results dragging down most of the Retail Sector today. While its earnings beat it, you see shares plunge, down more than 14 . On squawk box this morning, macys Ceo Terry Lundgren said he was disappointed with the quarter sales. Some of macys highest volume and most profitable stores. And unseasonably warm weather. Lundgren says macys will focus on activities going forward, which includes cutting prices to lose merchandise. Good for shoppers. Less optimal for margins this holiday season. The company also putting a lot of effort into its off price concept, backstage with plans to open 53 of those stores in the next two years. Macys also announcing an agreement to open Lens Crafters in 500 Department Stores. Separately, jcpenneys sales improved a better than expected 6. 4 . Its pleased with the soontobe released Third Quarter results to come out on friday. Its a claim that alleges false advertisement in california. Jcpenney denies that claim. While it may be that jcpenney is taking a share back, its clear from the carnage across the retail space that the threepronged pitch fork has everybody concerned on the tourism front. Talking about how this could be a negative for tiffany. On the weather front, they could be an issue for them as well. On the major brands experiencing weakness, nikes performance in the dow today and wondering if theres a connection. Yeah, exactly. And we have the most important season coming up, which is the holiday season. So a lot of analysts and investors are going to want to look for clues in what macys is saying. This is the Second Quarter in a row that the Department Store has reported weakness. Some of these issues are big issues. The tourism and the weather. Things that are outside of macys control. But the issues with some of the weakness, with the items like accessories and handbags and jewelry, that can be an issue. Major brands are excluded in that. So it is a worry, and i think that worry has merit. But we know that consumers are buying. Theyre buying things like home goods. So those retailers are doing well. There is a lot of excitement about wearables and technology. So who knows how that could impact things going forward. Customers are being very careful with what they buy and very selective. Yeah, very price conscious. Thanks, courtney. See you later. Alibaba shares are also falling today, but this is despite blowout numbers from its online single sale that holiday in china. The company topping last years record sales in about half the time. Jack ma was on squawk earlier today. He talked about the companys impact on chinas economy. Because of ecommerce. We are getting all of that. I think today we see that its there. The opportunities. The potential is there. We just are lucky that we are the company. The first engine of that. She has a buy on this. Talking about 105. Good to see you and happy singles day, as a matter of fact. The stock doesnt get the respect here that it gets in china. Why do you think that is . I think the largest concern is about the economy. And the slowdown in gdp growth and how that might trickle down into domestic consumption. Can alibaba be coupled . Whats it going to take . I think the consumption and pattern in china is not immune to economic fluctuation. Still a consumption growth story. I think the key catalyst is an inflection in the mobile space. Theyve been subsidizing the tr transition to mobile. Thats heading higher. A follow through on that metric will probably lift the stock. Theres an awful lot of leverage on that. They did 14 billion to put that in perspective. Our black friday, our cyber monday typically does roughly 2 billion each. So even last year, they did 9 billion. Jack ma has said he wants to bring singles day to the uk and the u. S. You think it would have the same impact . I think theyll have a lot of work to do in term of growing the International Presence to be able to pull off that. I mean, thats many years in the future in terms of strategic agenda for alibaba. Going back to chinas growth rate. Are they priced for five . Independent of gdp, i think its priced for that consolidation. A way to go through a slower gdp growth environment. I think its priced at about a. 7 times ratio. I think thats telling us in the next couple years. All right. At least its not overly exuberant, you can say that for sure. Thank you, rob. Lets get to our closing bell exchange. Joining us, keith fitzgerald, johnny perina, and jack, another quiet day of decided lack of volatility. This is hardly a correction, if you will. The big games we saw in the month of october. Were not going to see a correction just yet. Clearfully october, we had a very profitable month there. Theyre very happy that theyre able to regain those positive returns. The beginning of november. Little small pullback here. Theres no reason for it to happen. Earnings season is getting through. Economic data is okay. Economic data hasnt really hurt the market overall. My big concern is were running out of time. Theres only 34 trading days left to go in this year. Some Portfolio Managers who are beating the indices for the year, theyre going to try to hold on to those things. Other ones are lagging. And they really start to have to start making that up right now. Theyve been waiting for opportunities. They probably missed some pretty good opportunities the last few months. The next 34 trading sessions are going to be interesting. A full week next week. Half week after that with thanksgiving. Theyre not really quality days left. You also have a handoff. People have been saying they need to take place moving for monetary policy. On that note, any clarity, any thoughts about the policy you heard from last nights gop debate or whats taking shape for next year . Theres a reason i actually took my gop badge off and didnt wear it today, okay . And that is because i didnt like what i heard at that debate. I did not hear anything that leads me to believe that there would be strong progrowth policy coming out. Im going to agree on him with one thing. Cheap money has helped this market quite a bit. Having said that, there is a lot of quality there. Its a question of really getting the full grown policy to pick up the pace. I want to hear about real tax plans. When youre talk about tax overhaul, youve got to make it so that its bipartisan. When you Start Talking about a packed holiday, youve got to make it digestible for both parties. Were not hearing that out of the republicans. Jeb bushs is plan is pretty detailed. You dont think either of those have a shot at winning bipartisan support . Unfortunately, the people are saying those things are unelectable, thats how i feel. But thats the problem. The strength of the dollar. 10 to 15 return, and john is absolutely right. A couple of points on the market against those enforced the next 30 to 50 days. Its going to be a real struggle. And you get another week where you spike up 5 . Just looking to the end of the year. Youre think about next year. Youre not happy with what youre hearing from some giants like mcdonalds. Even jack ma from alibaba. Theyre expecting tough times in 2016. What are you thinking about . I think theres a very interesting point. Its an important shift, because whats happening is people are coming to terms with those numbers. Theyre coming to terms with the earnings recession. More specifically, theyre finally coming to terms with the fact that the fed is on a torpedo course to raise rates and getting comfortable with that. Mcdonalds, alibaba. I think you need to have a dividing line. And those that dont, a la mcdonalds. Thats where the margins are for next year. Would you have said the same thing after we had amazon alphabet. Apple, even facebook. Turning in the gang buster numbers that we did. Its certainly there in other newer ones. Those are all companies that have key powers. Its not relatively a narrow swath of consumers they appeal to. Before we go, john, whats going to revive the market . What tablets are you looking for . Retail numbers coming out. Maybe something a little spicy there. We are going to continue to talk about the fed. Everyone there has a completely different opinion about whats going to happen and when. And that would include the feds. Right. Thanks, guys. 45 minutes to go here. Some weakness there in nike and walmart today. Also oil. Keep an eye on chevron oil prices. The s p down about four points. The nasdaq down nine. In fact, it did take over talks with apache. Just taken back without much conversation. Were going to talk about where other suitors may be waiting in the wings. Kate kelly has a special report for us next. Others not so much. Stay tuned. My name is erick varela. Im a substation electrician with pg e. When i was 17 years old, signed up for the United States army and i started serving and i now get to serve the customers of pg e. I get to help other families. And thats what its all about. When i came back from iraq, couldnt find work. Then i found pg es power pathway program. Here at pg e im Successful Living in eureka with our two beautiful kids with a brand new career all because of the power pathway program. If you are a veteran, go to pge. Com powerpathway and hopefully your life will change like mine did. Welcome back. Defensive plays. Up nearly 1 . Bond markets in play. Energy on the flip side. Down almost 2 as weve seen yet another leg lower. Im just surprised the ten sectors are positive today. Interesting to see. Lets look at a couple of movers. Keurig Green Mountain is lower after sun trust cut its price target from 50 a share to 60. And activision has gained ground. The company says the global sales of its call of duty black ops three video game topped 550 million in its opening weekend. Activision has been one of the best performers this year. Anadarko petroleum, both stocks down, apache 7 and anadarko 4 . Kate kelly has the details. Energy insiders are saying especially if these depressed stock prices as well as crude prices. A higher premium would have been warranted. Apache seemed fairly happy. A bigger question is are we on the verge of a takeoff in energy m a . There are two schools of thought. Well see much more deal activity, takeovers, restructuring, bankruptcies starting in the middle of 2016 after another round of bank credit talks that reduce Energy Company access to financing. We may have now hit the bottom of the cycle. If thats the case, well start to see more middle and large cap deals, especially as the better financed oil and Gas Companies pounce on the assets theyve long wanted, making the prices wont get too much cheaper. At the moment, some people are thinking this failed deal may simply have been an attempt to raise additional equity. What do you think, just holding up on a higher offer . I know the company a little bit. I interviewed their ceo earlier this year. And i havent gotten the sense that theyre interested in participating in a deal. The question is, does this become like the sales force deal where there was an overture . We didnt really know the details. The target company, sales force, had a defense banker. Maybe considering its options. Meanwhile, though, i did have one say, yeah, now that theyve put in the public situation recently, you have to think the people are going to be sharpening their pencils and looking at it. Whether it works, though, another story. Just looking at the reaction in shares, both apache and anadarko investors. If it is the case that that spurs consolidation across the energy space, does that make anadarko have to look for a target elsewhere . I mean, how many more companies does this put in play . Thats a really good question. I think its going to cause people to consider the options and look at other possible suitors as well as other possible targets. I think generally, the consensus i have heard in the Energy Banking and Energy Corporate community is that its still a little bit early yet. These talks that happened over the last month or two, they did reduce what we call the borrowing base. Thats where we might start to see real distress. Meanwhile, in the public markets, theyre just not as hospitable as they were in the Second Quarter. Theres a company im tracking right now, American Energy perm yum, trying to get the bond deal. They havent been able to do it yet. One weird thing ill just mention in closing, m a activity is actually quite robust. Thats including announced deals. We have continued to see deals happen here and offshore. And whether it does close will be key to watch. Keep in mind, every time we see crude taking another leg lower as it is today. Kate, thank you. Thank you. Its not just the energy sector. The rails. You know, reluctant to merge there as well. But for the very same reason that its happening in energy because of that lower price of oil. Exactly. Rails, you have the added issue. Especially if its canadian pacific. As we acquire a regulatory crossborder. But it gets back to the fundamental business. Weve got about 38 minutes left in the trading session. The dow is down just 43 points right now. Coming up, the pros and cons of apples new ipad proing pencil and all. And i want to know about the keyboard, too. Plus, Harry Connick jr. Is here, hes in the building. Hes got a new talk show coming out next fall. We talk about the Music Industry, and, of course, hes here to ring the bell with the members of the armed forces this veterans day. Thats coming up. Welcome back. Sun edison on its lowest point in about two and a half years. Wider than expected quarterly loss. Thats taking other solar stocks down with it. 15 on sun edison. He has sold more than 28 million albums. Independence day. Holy cow, that was harry. On this veterans day, we should note that Harry Connick jr. Has performed numerous tribute concerts and today hell be joined by members of the u. S. Armed services to ring the closing bell on this veterans day. We are very pleased to welcome mr. Harry connick jr. Thank you. Great to see you. Its great to be with you. And i have to say what an honor it is to be here on veterans day to honor all of those who served and continue to serve. When they come marching through here, you will hear a thunderous ovation. The traders on the floor, many of them are vets. And they appreciate the service on the veterans. Me, too. I just saw a bunch of them backstage, everythings backstage to me. Talk about being star truck and being in awe. Its a big deal. Meanwhile, youve got a lot of stuff going on yourself these days. Hearing les moonves talk about the way the Music Industry is changing. What are your thoughts . What excites you these days . How does it help you as an artist . Well, i love making music. How the music is distributed is something i dont have a whole lot of control over. So if i can do the best product that i can do, im happy about that. Im excited about making music. I have a new record out. A tv show coming next fall. Ive got a lot to be thankful for. That would be me. A couple of years. Very exciting. Its worth a couple of producers i had never worked with before. First time i experienced Something Like that. So im really happy about it. You let somebody else manage your money. Do you pay much attention on the business side of music and how its changed . Do you feel like artists are compensated enough through the streaming process and the way music is distributed today . I think when im sitting behind a piano with a microphone or im on television, thats what i do. And my management i remember when i was 18, he got his gpa with cornell and a harvard law degree. She explained to me a lot of that stuff. We have a great relationship. You can ask her that question. Very appropriate. Got to have some time. You mentioned some of the producers that you worked with on this album. Much different than what were used to seeing. Egg white . Egg white. Thats his name. And butch walker. Butch walker is a nashville guy. It was an amazing experience. Butch walker working with taylor swift and katy perry. Whats the album like . I think the cool thing about it is they knew that they were talking to somebody who didnt just fall off the back of a turnip truck. Ive done it for a while and they were respectful of that. We came up with music that near of us had done before. Ive always thought you were our generations frank sinatra. Thank you. Thats quite a compliment. Now youre going to do a talk show, though. What took so long . Youll be perfect for that. Its when you sit and interview people and have two or three guests come on and talk about what movies they have coming out. Well do a little bit of that, but primarily the show is entertainment. Its going to be me. Im going to have my band. A piano. Theres going to be music. Its going to be celebrating great people across the country. Its going to be comedy. A lot of variety. A little bit of what jimmy fallon is doing on late night, which is just taking the time to be musical and entertain people and do all sorts of creative and interesting things. Thats right. And jimmy is such a great talent. Ours will have probably a lot more of the host playing music because im a singer and a piano player and a band leader. So its going to be all of that stuff mixed up. What we try to do is take that excitement that happens in late night and bring it to people during the day. Before we go, kelly would like to sing a little song for you. No, no. Theres a no. Bills the one youve got to hear. Actually a very Musical Group out here. You can sing a little bit . Little bit. Do you . No. What kind of music . I wish we had a piano here. Here you are right now. Terrific. I wish w