The russell 2000 is now in correction territory down 10 from the july high down about 1. 1 on the trading session. That sent money down in the bond market but it is significant to note the yield is 2. 41 . Transportation average down almost 200 points to the down side. A bit of a bounce in the crude market perhaps not a surprise how it was crushed yesterday. Up about half a percent on brent. And if you were ahead of the drop today and you bought inverse etfs you are doing pretty darn well. Lets take a look at that board. Psq is inverse of the nasdaq 100 and shorting mid caps you buy myy. It sounds like morse code. It is another language for a lot of investors. When you talk about the inverse etfs these outperform because they give positive returns when the market goes down. It is a vehicle for traders. When you talk about right now if you look at the overall picture for stocks those etfs are on the upside. This trade today you noted about the dow industrials. We are at session lows down about 210 points. If you look at where the strength has been people have been buying the ten year note. They have been bidding up and forcing yields down about 2. 4 mark. We call gold and dollar. I threw crude oil in there because it was on a down trend. We call it a little bit of that certain assets may be perceived as safer. As you look at outperformance and under performance for the overall stock market it is the intuitive ones, utilities and consumer staples, the ones that pay heavy dividends. So utilities here are the only sector on the upside today and up by about 1. 25 . Staples still down by half a percent. Look at materials and industrials. The more economically sensitive ones with the prospects of the overall economy fairing the worst in todays trade. Talk about the volatility index. We did see a spike in that earlier this morning and volume. We have back a little bit. That volatility ooiissue is interesting. Some of the worst market drops and biggest market gains in the history of the s p 500 have come in the month of october. And if you have that kind of view going into the Fourth Quarter a lot of data coming up, big jobs number. Fed is tapering. Meets on Interest Rates and a lot of catalysts that could be out there thadicate send shock waves through the market. Up 4 today. Well see you in a few minutes. The nasdaq the biggest loser of the three major averages in september and down more than 1 today on the first trading day of october now down 1. 3 . Some of the stocks getting hit the hardest jet blue, pacific sun wear, agile therapeutics and netflix with significant losses. There are winners, however. Angies list, pharma, papa johns pizza and lakeland industries. Lakeland winner on the day ngeys list is up. Will this mean more volatility in q 4 . Chief Investment Officer of Atlantic Trust and doug sandler at riverfront investment group. Nice to have you here. Dave, i start with you. Obviously not a good way to start october for the bulls. On the other hand in talking to guys a short while ago this may be that pullback that allows individual investors or longer term investors who missed some of the run up to get in. How do you feel about that . I think that is right. Our operating assumption for a while is that we are in the mature phase of a bull market. Doesnt mean a bear market but means lower returns than what we have experienced and more volatility. We are seeing that today. So we believe we are in a bull market which means there are opportunities when we have setbacks in the market like this. So selectivity is extremely important now, paying attention to valuations is extremely important now. So we think there are opportunities created by these pullbacks. What are you watching right now . What tops your list of elements in this market that have you concerned or willing to step in and put money to work on a day like today . Sure. So we are sort of walking this 1 to 2 gdp growth rate. It doesnt feel so good because it is not a clear expansion territory. I think it is really important to remember that we have bumpers on either side of this. So if the market gets too excited we think we are going right back to regular recovery the market will take care of it and hold the returns down. On the other side we have Monetary Policy that tends to step in and act as a bumper. So we are watching things, valuation has been the big one. We have been overweight really for the last five years. This summer we took a significant amount of money out of the u. S. And into international markets. We thought we needed good news to justify valuations where overseas they were priced for bad news as long as news didnt get significantly worst markets were discounted appropriately. I will say the pullback we are talking about right now so we are only about 3 or 4 into it is making the u. S. Look more attractive than it would a couple of days ago. I think it is kind of an exciting time. I think it is really important to keep the big picture in your mind. The big picture is you have to be in productive assets. The penalty for owning safety stuff is huge. Inflation is running at 2 and you are getting about a 2. 40 on bonds. Dave, you know the reach for yield has been impacting this market for some time because Interest Rates have been so low. How dangerous is it in a market that is starting to get back to somewhat normal volatility to reach for yield . I think what has to be extra careful in that regard. There are a number of enhanced yield strategies out there. The opportunities of those attractively valued is narrowing. Things like emerging market debt and high yield corporate. There are areas that look attractive. High yield municipal area looks attractive. And higher dividend yielding high quality global accounts look attractive. Selectivity is the watch word. Dave, thank you very much. Appreciate it. To kate rogers for a market flash. Shares of alibaba falling to an alltime low. This is a far cry from the first day of trading when the stock nearly broke 100 a share. There is no need to worry. Alibabas market cap is 224 billion. Back to you. Texas governor rick perry expected to speak about the first u. S. Diagnosed case of ebola recently arrived from liberia now receiving treatment in dallas. Dr. William shafner is known for his work researching and fighting infectious diseases. Welcome back to cnbc. Should america be worried about this . I dont think america should be worried but should be proud that our Health Care System can care for such patients and our Public Health system will track the contacts, work with them, keep them under surveillance and not permit ebola to spread. Ebola is not going to be spreading in the United States. That is a very declarative statement there. How do you know that and how does it spread . It is spread, of course, when people become sick and not before. And then only through contact with their blood and other body fluids. So in very specific ways. It wont spread here because we are very different than west africa. We have many more both Public Health and clinical facilities that can care for these patients safely and appropriately. I dont know how to ask this that was a very clear explanation. How would you know if you had ebola . Well, if you came from liberia and came here and then developed fever and feeling really badly and started to have diarrhea, perhaps nausea and vomiting, those symptoms ought to be suggestive of ebola. It could be other things but you would certainly put ebola at the top of the list. I dont know how this individual came back into the United States. I dont know that his identity has been released. But i assume that they would be looking at the individuals who might have come into contact with this person, i believe it has been identified as a male, who were either in the airport with that individual, on a plane with that individual, et cetera. Well, lets back off from that a little bit because while this person was traveling, he was healthy by all reports. And that doesnt concern us, really. I could have been sitting next to that person on the plane. I would not be concerned. He was not ill, not yet communicable of infection. So that is not hazardous. I would have not had contact with his blood or body fluids. Public health is going to concentrate on the people who had close contact with this individual when he became sick, starting with his family members and working out to others who had lesser contact with him. Thank you very much for taking down the anxiety level. We appreciate it. Hope to see you again soon. We just hit a new low in the Dow Jones Industrial average. We were down 215 points on the dow. That is 1. 25 . S p 500 is down 1 . We are down 1. 3 in the nasdaq. The dow looks like it may be challenging that. The transports down 19 points on the trading session. There is a lot of pressure in this market. I can tell you it still feels pretty orderly. The pressure is there. China is cracking down on protesters in hong kong using media blackouts. If you want to protest how do you stage an uprising when the government shuts down the internet. Josh has that part of the developing story. Reporter you can think of it as the new messaging app that is shaping the world. The fire chat app is surging in popularity in hong kong right now. We will talk to the man behind that app when power lunch continues. Your pocket right now . Y do you n i have 40, 21. Could something that small make an impact on something as big as your retirement . I dont think so. Well if you start putting that towards your retirement every week and let it grow over time, for twenty to thirty years, that retirement challenge might not seem so big after all. If energy could come from anything . Or if power could go anywhere . Or if light could seek out the dark . What would happen if that happens . Anything. Welcome back to power lunch. One of the best performing stocks in the s p 500 today is the chicago based Power Company expanding to texas. This comes at a time when power demand in the rest of the country remains stagnant. Shares trading up at around 3. 5 . Huge crowds taking over the streets of hong kong once again today. Today marks chinas national day. Typically it is a big celebration, big shopping day there. Chinese government has been cracking down on coverage of the protests by blocking media and the internet. So how do you stage an uprising in these modern times when the government shuts down the web . Josh lipton on the west coast with the answer. Reporter im here with the cofounder and cto of open garden, a Company Behind the fire chat app, a messaging app surging in popularity. 200,000 new users in hong kong and just in the last 48 hours. My first question about fire chat app is about the technology which is interesting because it doesnt depend on cellular or internet connection. Phones when they are nearby connect to each other directly and direct connections dont depend on cell towers or wifi infrastructure and pass messages over the connections. We are talking about the app launched. You have seen the surge in popularity in taiwan to iran. You said you have never seen anything like hong kong right now. The surge in hong kong is 20 times the size the surge in taiwan. And that surge you are seeing, what do you attribute the popularity of the app to . I think people saw it works and have come to rely on it more. Reporter do you think when you think about the app, are there potential pit falls . Im thinking about rumors, the spread of misinformation. How do you think about that . We are helping to use so that people can know that a person is legit and dont misrepresent themselves. Reporter how do you feel when your company is having this direct real time impact in hong kong right now . How does that make you feel . It feels exciting and great. I hope that we can help these people. The revolution happens on the ground. Thank you so much for your time. We appreciate it. I will send it back to you. So with the protests gaining momentum will there be a Market Impact felt in asia or here in the u. S. Joining us is Asia Focus Fund lead manager. Nice to have you with us. Pleasure to have you here. Hi there. Where do you think you will see the impact . Lets start with hong kong first. What types of companies or Financial Institutions do you think might be most impacted by this movement . I think we should emphasize that this at the moment is very much a local movement and impact should be measured in local terms. At the moment it is businesses that are directly impacted by the protests whether that is retail stocks, hotels, tourist arrivals. People who cant get around in hong kong because of the demonstrations. Does this type of movement threaten hong kongs reputation as a Financial Center because it has always been kind of the steady rock, if you will, of asia. I dont think it will, curiously enough. I can see that the stock market has fallen this month. We have seen the dip. The nature of the protests has been very restrained and very ordered. It has been government missteps on sunday and heavy handed Police Action that did damage but the protests themselves i think do hong kong great credit. I think we should also bear in mind that this is not necessarily just an uprising against china. There are pressing local issues that have caused major dissatisfaction. We have serious income inequality in hong kong. The richardsthere is a massive. The top 10 richest are 18 times richer than the youngest. There is a feeling that the present government kind of in the pockets of the tycoons and that is one of the elements why these protesters want to be able to choose a genuine candidate, somebody to address local issues. I guess the bigger question is does beijing care . Beijing cares enormously. Why . It is a difference of opinion. I have heard from other people that beijing basically has turned its head the other way and there is very little room for movement by the local government in hong kong. Why do you think beijing is paying such close attention to this . Beijing is paying close attention because clearly hong kong is the gateway to the world and it is a financial gateway to china. But what beijing does not want to do and individual members of the beijing government do not want to be seen to be dealing with this crisis in case it does go wrong and certainly dont want to bear responsibility. From a Leadership Perspective their attitude is it is a hong kong issue to deal with and they will take a back seat. They will not be leaving this to no interests. I suspect we are seeing some involvement from the mainland chinese representatives in hong kong and the way this plays out is that the current chief executive of hong kong will pay the price for this. He will probably retire early and it will be main land china that sorts out the problem. At the moment Hong Kong Government have little room for movement. Thank you so much. We are down 223 points on the Dow Jones Industrial average. New low. Very rocky start here. Triple digit losses on the dow. 16 s p 500 Companies Trading at new 52week lows. That has been the pattern for the week. The volume and the breadth as been strongly negative. There have been showing you about 50, i guess, 75 stocks in the green. That is all out of the 500. Discretionary financials leading the decline. Prices five year lows, gold about to close. We will give you a full update next. Your customers, our financing. Your aspirations, our analytics. Your goals, our technology. Introducing synchrony financial, bringing new meaning to the word partnership. Banking. Loyalty. Analytics. Synchrony financial. Enagage with us. Became big business overnight . Like, really big. Then expanded . Or their new product tanked . Or not . What if they embrace new technology instead . Imagine a companys future with the future of trading. Company profile. A Research Tool on thinkorswim. From td ameritrade. A Research Tool on thinkorswim. You just have to win 70 of your points at net. And keep unforced errors under 10 . On the ibm cloud, the us open analyzes 41 million data points from 8 years of competition to uncover key insights. Data can help show you how to win, no matter what business youre in. Today theres a new way to work. And its made with ibm. We are in for kind of a rocky session today. As you can see the Dow Jones Industrial average touching a new session low as we speak down 1. 3 . Very weak start to october and we do have decent volume on this selloff. Major averages down for a third down. Lowest level since mid august. We have the s p 500 down better than one point on the trading session. 16 hitting new 52week lows. Some include viacom and fossil. In the financials affleck also on the down side better than 1. 23 . Last traded down 2. 5 . And in terms of the transports we are down 200 points on the transports. We did see money flowing into the gold market although not as much as you would expect given the degree to which equities are selling off. The gold market up about 4. Copper market bouncing back as silver. Platinum is down about 0. 1 . Lets go to chicago where Rick Santelli is tracking action in that and currencies which have been Major Players and movers. Over to you, rick. You said a mouthful. Down here they dont think of it on a day like today as money flowing into treasuries. They think about it as money looking for a home because it wants out of equities. The natural hedge to weak equities. The treasury market, the boon marngt. We are getting close to double digits down close. Open the chart up to Early September havent been down this area on a closing day and the first time we slice through that significant 2. 45 this is what happens. You want to watch that level as you have resistance above the market. Why is it important . It was early in the month that created low yield and closed at 90 basis points. Influenced by what happened at 8 15 eastern here. You can talk about adp being better than expected. The response was clear in the fixed income markets. Yields dropped. Maybe it was the equity bias. Looking towards fridays number. Back to foreign exchange. 24 hour chart. All these big moves are going on. One of the reasons look at the dollaryen. Much