Thursday. More on that in a while. One of the biggest banks in the country, citi sha rising in the premarket after beating analy analysts estimates on the top and bottom line. All of the next moves from the financial giant. Chinas Economic Growth slows, as expected but the Industrial Production numbers came short of expectations. Strong auto sales helping boost retail sales last month. As prices rise, what happens to consumer and the retail stocks. Leap wireless up 100 after at t inks a deal to buy the wireless provider. Banking giant reports Second Quarter earnings of 1. 25, that was ahead. Citi says results Capital Market revenue and demand from emerging markets. Trading up 18 . Equity trading up 68 . Not bad. No. Superb, actually. A lot of people getting against the quarter. Charles peabody. Quite a bit of brouhaha thought up to 5 billion to 7 billion of losses. The Foreign Exchange losses, off by 1. 3 billion. How do you stay short . The breakdown, north america, latin america, asia, europe, middle east, terrific. Michael corbat. Yeah. They are the most global of all banks. Headwinds and emerging markets give you pause . Should have happened already. I even this emerging markets, revenues terrific. You know, maybe theyre becoming more of a defact toe place to go to. They trim where they werent making money. Theyre no longer the state department. Theyre more of a bank. He did say, of course, in the second paragraph of the release or third, emerging markets, growth is being challenged. Right, right. Thats it. Beyond that reference, youre not going to see that many signs that the business suffered as much, certainly, as the markets seemed. No. I like the Citi Holdings coming down, the possibility, by the way, that one day we will not have legal, b is big, is important. Reserve wasnt as large. No. But the credit, the bad credit is down. I think whats interesting, wells fargo wasnt supposed to be so great on friday. It was magnificent. Expenses were down, jamie dimon, fantastic fixed income trading, right . Here, citi really good emerging growth, very strong u. S. We now have three banks that are reported all better than expected. This group was the group we were most worried about, second biggest up going into the quarter. Yes. Its verifying the run. Citis up 28 so far this year. Its ahead of the kbw index. Do any of the things weve learned over the past couple of days, that is from jpmorgan, from wells, from citi, lead you to buy a capital one from here . Lead you to guy goldman ahead of tomorrow. Tempted to guy goldman, do well in a turmoil market, theyre good, foreign currency. When those are up and down, theyre good. Know how to trade the yield curve. I did work there. Great source of income, the trading. Capital one a big move, theyve done a lot of good things with credit card. Theyre making a ton on credit cards. It had been one that people the two people are betting against, citi and capital one. They turned out to be horrendous shorts. Very good longs. North American Consumer banking at citi, though, was not particularly strong. No. A lot of that go back to mortgages. Theyre not a huge player. Theyre not a wells, certainly, or even a jpmorgan. But, but, you know, we did see weakness there, at least, versus a year ago. Yes. As you might expect, servicing revenue also down. Cards not great either. Reits down 4, surprising. I didnt care for the Retail Banking number. Its not an american bank, the a global bank. Where a lot of people thought they were going to disappoint, Foreign Exchange and overseas, turned out to be a positive surprise. Another story people will like as a way to play emerging markets. If the papers are right, people want to go back to emerging markets, citi goes to. The tangible book number, tangible book is scrub because the government had a big position. Tangible books right here. 53. 10. Right here. Stock had to trade above tangible book. More broad today. Pay attention to citi today. A big week for earnings, bank of america tomorrow, ibm intel later on, ge on friday, unh, verizon. Good. We are if we get near or part the may highs, jim, of 1687, do the bears have to reassess . I think what they have to do say, before money comes out of the bond mark, out of the bond funds, theres a lot of earnings momentum but oneoff things that are working. People bet against boeing friday. How do they feel today . Might have been a fire unrelated to the electric battery. Okay oh skeptics new can we replay that eye roll . Im not even it may not have something do with the battery but it still was a fire, again, in a dreamliner. Fire, bad. Fire, bad. Fire, bad. Not that many flames in service. Its not a campfire ala summer camp. Dont want to see it, electric battery initially thought of. I go back if you want to know where we are seeing surprise in the s p, your world, four guys this morn having to go from sell to hold leap wireless. Another eye roll . No, im not give you an eye roll. Im going to take you to on ophthalmologist. Theyre all upgraded because it got a huge takeover. I made a short list. The past few weeks, kroger, bilo, gannett, leap, yahoo tumbler, dell, heinz. Beginning to feel, david, like were back in the narrative . The great white whatever they used to make fun of. How about the lobla deal . I know its 12. 4 billion deal. The largest deal of the day in the canada, cash and stock, not to there is a pace of deal making but i would still argue it is not anywhere near what we might have anticipated early in the year. No ones saying that. But there is there is something going on. Theres a pulse. Ill give you that. Can i tell you about a little one i like . 50 million bid in the rental car business by avis, buying the literally buying the six Largest Company in rental cars. Do you know mouch it costs when you go to about a rental car . When you rent one . Its like a million dollars. You dont check off i have a 79 day rental car in florida that cost me 260. And its just going to get even did. Thats taxes and state charges . A lot of stuff. Yeah. But you know what i see these deals, avis buys payless for consolidation, how about wireless spectrum . People saying at t has to buy dish. In fashion the leap deal may make that less likely, there are some analysts saying. But, yes, spectrum, without a doubt, is its land. And land is extremely valuable. You havent built on it yet. Its in a very good neighborhood. Yes. Always a need for that. By the way, Charlie Ergen has a lot of spectrum. Lightsquared, bankruptcy, reorganization plan, thats something, again, that deals with spectrum. And so, yeah. How about the fact that everyone says, t mobile could be involved with leap wireless. Youre probably on that more later. I mean the consolidation here is rather extraordinary. And i also think, by the way, the buying power against apple could be incredible given the huge backload. Talking leap, i mean theres a thought, jim, at t moved on leap to prevent tchblhmo, it bt pcs, there is a belief that perhaps they did that, its quite a multiple. Right. And the value of the spectrum as well, given the price, is quite high lp looking at notes this morning from the analysts that karl referenced coming out saying no longer sells, they do believe, as you might expect 100 premium that this was valued fairly well. Tmobile up in premarket. By the way, a lot in the last i want to ask, the amount of option activity in the last 15 minutes friday for leap, boy, people really isnt that amazing . Guys kind of just putting pen to paper and saying, im going to buy leap. You cant see an hour into the future . I think that you know if you pay a Certain Organization a little bit more you get the high that is one of the eamon javers . The coming up announced merger wire, no, no. How do those people know . People getting lucky like you couldnt believe. Odd to announce a deal at 5 00, 5 15 on friday in july, not sure about that announcement and i get not monday morning, but come on, guys. And the alexion deal. Reported by bloomberg, also reuters, confirming, very interesting, though people say, wow, what a multiple that would have to be. Roche does not pay those numbers in terms of multiples to earnings and revenues. For an orphan. Orphan drug youre paying 400,000 a year for, gets into other political right. Its not meant for that. Battles. The not meant to make 1. 5 billion. You know what . Me hearing myself talk about m a, im with you. There is a little bit going on. Are you rolling your eyes on yourself . Youve got mother sister, mother sister. Chinatown. News from around the world. China gdp did slow to 7. 5 on q2, down from 7. 7 in q1. The figure for q2 was in line, matches chinese governments growth target for the year. And as i was saying to kelly, she was saying to me, goldiloc goldilocks, not too strong, enough to get policy. When we first got bottom in europe it was hohum. Europe hasnt taken off. But you did get a bottom. I felt the number was like, wow, thats terrible. No, the aussie dollar went up around early morning. I think that it did get it back. I do believe that this is the beginning of the numbers where people say eh as opposed to look out, look out, the sky is falling the great wall will be there. There is a transition under way in the way the economy operates that they are trying to encourage, thanning more of a consumerdriven economy. Theyve failed to do that over the last few year but was trying much harder now. Right. That will change the nature of what they are doing in china, what youre selling to them in china. Not commodities as much as products. Finished goods. Bmw, happy 50th ach anniversary getting used to certain degrees of quote, bad news, bernanke gives hawkins in the middle of week, a, are we in limbo ahead of that and, is the market sort of like we said getting comfortable with a 2. 5, 2. 6 tenyear. Its getting comfortable the fact that utilities had a big run last year. The Real Estate Investment trusts havent come back. We went up but the Bank Earnings are okay, theyre saying that things will be weaker, bank stocks didnt go down. I also like if youre bernanke, you can say, hey, wait a second. Retail sales werent goo that good. Why we do have to end that tapering . Rick santelli quoted, very positive . But you run into the situation where the feds got a lot of cover to say we dont need to end. With that in mind, well talk more about the disappointing retail sales number and gas prices, up ten cents since thursday, as we said. Well talk about what that means for your money. A big delight for fans of twinkies. Today marks the official relaunch of the legendary snack. Even walmart got ahead of embargo. Well talk about it with one of the men behind the rerival of the brand. One more look at futures as we kick off another week. A lot of data. Bernanke, earnings, you name. Back from post 9 in a minute. Hey linda what are you guys doing . Having some fiber with new phillips fiber good gummies. Theyre fruity delicious just two gummies have 4 grams of fiber to help support regularity i want some. [ woman ] hop on over [ marge ] fiber the fun way, from phillips. If you have high cholesterol, heres some information that may be worth looking into. In a Clinical Trial versus lipitor, crestor got more highrisk patients bad cholesterol to a goal of under 100. 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The recent lundberg survey, the average price of u. S. Gasoline fell to 3. 59 compared with three weeks ago. Lundberg says prices expected to spike once retailers pass on the higher cost of wholesale gasoline to consumers. We know what happened to wholesale gas, ten days. I know obviously its a variable number, weve been there before. It maybes it more paladino latable. Its a tax on the consumer. The numbers high. I think that maybe were at the high. Id like i dont believe that oils going to trade much more above 105. Thats a Political Risk that i thinks dying down. Supplies are plentiful. A strong number, inventory number wednesday, a higher inventory, gasoline will have peaked. Thats a theory by a few, the gulf oil ceo talking about 50 a barrel. And this sort of the last push, the last mile push by traders to get all they can. Technical breakout. People using oil as a way as a financial hedge for inflation because none of the other commodities are working. I dont think oil goes higher. A couple of calls on retail names. Gap cut by piper to a hold. I dont get that at all. A lot of people do valuations, valuation downgrades. Gaps got tremendous momentum. Stevele ups tiffny. Something you were talking about a year ago, wealth effect. Gatsby. Tiffanys a rare gem, we dont until david yermen goes public we dont have a jewelry play. We dont have highend restoration harbor, an interesting article. Private equity has done well with secondaried taken place. Interesting numbers. But theyve done a great job, restoration hardware. They have. 40 comps. Nordstr nordstrom, bounced back, well above where it reported. The high end is we dont have enough plays, lets take them up if neimanmarcus were to go public today it would be a hot deal. I think so. I think so. Not a big week for retail earning, more industrial, big peck tech, banks, right . Yes. Picture on the consumer per se is not going to get fleshed out in the next five sessions. Unless we see by the way, the consumers very liquid. We dont see the defaults. Every time a new number comes out theyre paying off the debt. Talk retail i cant help but think about best buy at 30 a share now, just to mention. My god. Turns out people just when they sold it down must have thought there was liquidity event. Watch radioshack. Radioshack another one. But it gives us a previous chance to say nice job with jamie dimon friday, talking about liquidification of the consumer. I great sitdown. Covered a lot of ground. Thank you. Hes not going to be the Federal Reserve chairman because he wouldnt be good enough. You know what . These are the offcamera, what do you say to yourself . Listen, i gave him everything i got and he is just very adept at answering things because the bank, as people like to call it on wall street, is very good. And the whale i think is behind it. Interesting there was a momentary ground swell Elizabeth Warren and glasssteagall back and in the ether. Its goldmans turn to be in the spotlight, well talk more about in a minute. Cramers put you ahead of the curve as we go into a new week. Well get the mad dash next. Futures tepid. Moderate green arrows on the dow. We see what happens when the opening bell kicks off. Are you sure we should take this billboard down . People find out state farm does car loans as well as they do insurance, our bank is through. Good point. Grab an edge. Look theres two guys on the state farm borrow Better Banking sign. Nope for real theres two dudes on the state farm borrow Better Banking sign. [ reporter ] breaking news from the state farm borrow Better Banking sign. Were seeing two men that have climbed the borrow Better Banking sign gentlemen please get down from the state farm borrow Better Banking sign. Phil get the hose. Okay hes getting the hose. Alright, lets go. [ male announcer ] talk to a state farm agent about car loans that can save you hundreds. Thats borrowing better. The most Free Research reports, customizable charts, powerful screening tools, and guaranteed 1second trades. And at the center of it all is a surprisingly low price just 7. 95. In fact, fidelity gives you lower trade commissions than schwab, td ameritrade, and etrade. Im monica santiago of fidelity investments, and low fees and commissions are another reason serious investors are choosing fidelity. Now get 200 free trades when you open an account. All right. Time for the mad dash ahead of mondays open here with mr. Cramer. Talk a little hewlettpackard. Yes. No one knows meg whitman better than you and the press. Bennett liberty media. Bennett used to run liberty media, reporting to john malone. And jim skinner, first time weve heard from him in a while from mcdonalds this feels look a board in turmoil is going to be a supportive board of meg whitman. This stock remains a hot stock versus last year. A board thats 9 going to 12. Adding three members. Not replace anybody, theyre getting bigger. They may get bigger from here. Maybe 12 to 15. Sounds like too many in the boardroom. The bore has always had so many leaks, im not sure how many Board Members you want to have. Anything that indicates shes getting her own people these are not house people. You do not put these people on and get a vote from her. You want a strong board. We should mention, wit worth is the interim, interim claire. Looking for a full time chairman there. All of the news about hewlettpackard this year is good. Down 44 last year. All of the news on delicates to me the industrys not that good but that could be michael dell talking it down. But another letter from karl icahn, he likes to send letters. Likes to send letters. Were in the end game here. Vote is thursday. Its very, very close, as ive said, many times and continues to be. Hard to get a complete read because not everybodys put in their votes. Pull them back until last minute. Fuls, though fundamental. Levered deal versus unlevered hewlettpackard. High think this is hewlettpackards time. I think its their time. You do . Like best buy. Though i dont think you like best bias much as the market indicates. I wonder whether the trends have changed that significantly for best buy that you ca