Over to europe. Worries in italy, that was leading the pack there. Take a look at continent. Largely red, though germany does seem to have had a reasonably little bit of a turn there. Road map, where do we start . Amgen buying onyx pharmaceutical for over 10 billion to reinvigorate product pipeline. Gold, pushing up to its highest level in three months, shy of entering now bull market territory. Dueling dollar stores, try to say that fast ten times. Deutsche bank upgrading dollar tree but downgrades Family Dollar. Tesla outselling, get this, porsche, land rover and even volvo in california. There you go. Onefifth of the country. Yeah. Over 30 Million People. Economy thats come back. And birthplace of me. So three things its got going for it. First 15 years of my life in california. A new Brian Sullivan fact i did not know. Thats why im frequently seen in a beret. Lets start off with a deal. Its been in the works for some time. A lot of ink spilled about it already. Decent amount of talk as well. Talking about amgen, it did strike a deal to buy onyx pharmaceutical. The Purchase Price 10. 4 billion, 125 a share. Looking to get a stronger footing in the market for cancer drugs. Expecting to close the deal by the start of the fourth quarter. Thats a quick close. Everything looks tight here in terms of those things that you look at, now that the deal is done. There was a bit of intrigue, as we got to the finish point. Right. 120 is where amgen privately said we wanted to buy you. Then a leak. Both sides aused the other of having been behind that look of it. But onyx came out and said were putting ourselves up for sale. Not clear anybody showed up in a robust way during a process that did take place. There was a merger agreement at 130, it dgot down to 125. A 10. 4 billion deal. The multiples are fairly high for anybody who wants to talk about the rest of the industry which can im looking at it here, 10. 4, 16 times this years earnings, 11 times next year. 47 premium over the unaffected stock price, 33 of the 30 day. Not bad. This is one of those situations, if you talk to people off the desk, everyone likes amgen, the people there, if you talk to them off the desk, biotech guys say hasnt had a winner in ages. No real pipeline. Now, im sure amgen says they have pipeline which is the perception, which is why theyre up. Think about these, david, amgen, gill add, genzyme, they kept invi invi innovating and then left behind. 125 million now in terms of sales. Could be 2 billion. Right. As it gets more that is their legacy drug, a few billion bucks. Thats a great drug for look, pancreatic, kidney, nothing for those. This is one of those things where amgen is back by paying the price. Amgen trades at discount to pfizer. They are supposed to be biotech, biotech should command higher premium than old school pharmaceutical companies. They should be described as biotech. Its a pharmaceutical company. Theyre trying to buy growth with the deal which is what were seeing. Cancer franchise, oncology franchises become more and more important and are growing part of the overall market for pharmaceuticals, i think behind one class of drugs, otherwise it is oncology. Theyve always had a franchise with the drugs that you take to combat the evil effects of chemotherapy. Everybody has to recognize, when you hear blockbuster, people think this could have multiple uses. Remember, celgene, they have revelment. It was but they kept being used for more and more and still is being used more and more. The drugs that are their own personal pipelines. We see that with allergen and botox. When you see it, you dont say, its a niche medication. It means i think you can go along many lines. I agree with them. These drugs ten to be powerful and are used for other labels. Remember, the diseases are fatal. Yeah. These are fatal diseases. These are not well, you know what, rheumatoid art rite where it sure does hurt, people are desperate to put trials along with drugs and its good. A smart move for amgen. The stocks, bats Global Markets and direct edge agree to merger. They agree . Yes. Agreed to a deal. That reduces the number of what exchanges from 13 now down to the manageable number of 12. Still Something Like 40 they were terrific as a backup to the nasdaq, werent they . Exactly helpful. Who knows how many things go wrong. A lot of the markets, exchanges, you know, they seem like theyre almost equivalent of usfl in a way. I like that. 30 for 30 was good. Baltimore stars, baby, never forget. Right here. Heres the thing california, a place youre not from, West Virginia, is there anywhere youre not from. You keep saying West Virginia to poke me, no offense to the great state, its almost heaven. Virginia. No, West Virginia. I cant keep track of where youve lived. Ive moved. Move around. I dont move around. I get chased out. A big difference. Keep an eye on the markets. Youre only as strong as your weakest link. We dont know what the connectivity was. Some guy with a jack hammer hit a fiberoptic line, somebody hit the wrong switch. I listen to nasdaq. Do you have a right to ask that . Do you have a right to find out . I understand your point. What is your right to find out. I sit next to jim cramer for this morning. I feel like its not really our job to find out. Its a good yes. Its a good question. Just a dash of sarcasm. Did you hear the ceo of ubs this morning . Snarky. Part of the show. Ten minutes in, youre already a little sarcasm. I was with you at desk begging someone from nasdaq to call us. Reading the web, cnbc feel likes it has a right to know. Only the worldwide leader in business news. They feel like they have a right to know, who are they . Were the press, we do that. Thats our job. Our jobs to find out. It is. By the way, weve got to go to the markets. I have something youre going to buy later today. Its a tease. Something you will bid on at least i presume. Blue suit to go with the great suit . Its like three middle age men in gray suits. Thank you for calling me middle age. Futures pointing to lower open as uncertainty surrounding the fed continues. Im not saying the word. Dont say it. China stocks outperforming other asian marks as the states Statistics Bureau says the economy is showing clear signs of stabilization by the seashore, she said. Helped by policy support and improvements in global demand. Gold close to bull market territory again. Pushed above the key 1400 level today to its highest level in three months. I guess goal is back. For how long, we shall see. Remember seasonal, india buyers of gold, also the essential whats go on in india . Dont you love the arguments. Indias the single biggest buy or of physical gold. Two minutes later, india ins in economic free fall. People get in married in india, thats what you do. India will save the gold market . They buy gold, its a wedding thing. Whatever but remember what happens happened Central Banks bang out the dollar position, what theyve been doing, they seem to hit bids every day, a lot buy gold. Yep. A story, a thesis there. In terms of the markets, im talking equity markets which are still it would seem taking cue from the fixed income markets. Last week, august, 3 down for the month, roughly. Still up 15 . Lets call it broadly speaking on the s p, the dow. Right. How do you play a like week this week, given a lot of people on vacation, volumes going to continue to be extraordinarily low. We listened to the chinese central bank, with their analysis, europe there was profit taking, europe. We have to in an absence of data or data that is horrendous as the date from durable goods take your cue from markets that are growing, and thats europe and china. Its the industrials i like. Everybody person in the Home Building industry comes on, it says its terrific. The Mortgage Applications are way down. Okay. Theyfantastic. Building is many or theres a glut. In the meantime, europe is making a comeback. Chinas making a comeback. That says look at the industrials. Right. They could have wind at their back with the dollar. Look at boeing. Goodrich, united technologies, unites technologies made the acquisition of goodrich. The airspace is on fire in the country. You default to that thats an International Market that must be based here. Like united technology, its a smart company. Street research, not too much this week. The Deutsche Bank upgrading dollar tree to buy to hold. Sales incrementally positive on the dollar stores. You not only follow the stores you manage to get into one or two every weekend. I do prefer dollar tree. If you ever bought candy the a cvs or walgreens, youre a sucker. Is that significant . If you buy readers, i cant see a thing, youre playing full praise. You go there, theyre a fraction. The stocks up so much. What could happen there . The board is all up, youve got a standstill expiring or expiring. Theres continued chatter, could you see, could you try to force a deal between Family Dollar and dollar tree. Dollar tree had good numbers last week. Dollar general. Dollar general, frankly a buyback king. They have they spin walmart have any interest . Walmart . Im not saying anything going on. Walmart, you throw out walmart and think im going to not pick up on that . I assumed you would. I know you listen. Walmart . You think walmart might buy a Dollar Store Chain . Im repeating idle chatter of those who follow. Those in montauk. No, those who i speak to on the phone with some regularity, put investment dollars to work. Too many dollar stores. Id like the five dollar niche, five below. But thats not a cold weather store. Its five below, you shop there. Its not recreational equipment. Ten pound back of mike and ikes for two. Mike and ike had a terrible falling out. Five below, fantastic store. Part of tjx . No. Yeah. I see five below next to home goods which is part of tjx. As is all of the when you have too much inventory eight Major Department store you tell to tjx. You dont mind buying Winter Clothes the wrong season, summer you can buy speedos there, david. I dont believe they have those. I wear the longer ones. I didnt want to embarrass anyone. You wear the baggy ones. The rumor i heard from people in the know is that fruit of the loom is coming out with a solid gold line of mens underwear, but yet to be confirmed. Could be. Do you know the run on powder blue sweaters from j. Crew . No. I cant wear j. Crew, xl is built for dudes that are 150. You didnt watch breaking bad . A cameo last night, a blue j. Crew sweater, looked fabulous. He was at the car wash. I dont know if he got the full chamois shine. He got a run. Spot on . Exactly as he was with you in northern italy buying fabric. So much fun. I have no idea what you are talking about. Next, california has a new favorite sports car. Well have the details on whos pulling ahead. Former hbco Carly Fiorina on the next ceo of microsoft. Another look at futures as we get started to roll it out on monday morning, despite an absolutely miserable durable goods number. Problems in italy, concerns all around about housing. Guess what . U. S. Stock futures are higher. Ill say it again. No bad news when you have the fed. Squawk on the street returns after this. Make it happen with the allnew fidelity active trader pro. Its one more innovative reason serious investors are choosing fidelity. Get 200 free trades when you start using active trader pro today. If you can believe it, theres more good news for elan must. Tesla outselling porsche, volvo and land rover. Capturing 12 of the luxury sports car market in the first half of the year, surpassing the audi a6 and the lexus gs. Tesla is a status symbol in california. I was at a conference, 20 sitting there all looking for a charger. A fantastic piece in the new york times, he was a guest on friday, he goes into a dealership, a gallery, okay, and basically, the guy says, listen, might not be for you. I mean, thats a reverse psychology thing. It might not be for you because you cant use it to go to your country house, cant use it in the city, yet it made it more compelling. Bringing up a good point because the biggest threat to tesla might be states that are pushing back against teslas sales model. Texas, North Carolina, other states, have said, listen, youre not a dealer. So therefore you cant sell cars. Teslas saying we dont have a car dealership. We have a gallery. Martin lawrence tesla. Thats something tesla investors are need to watch. You have to move the product. Look, you have to more charging stations. We have a charging station at the inn that we own. They urge you to give them the information on the charging station because there isnt enough to crisscross the country. However, there is, without a doubt, a love for the car that concedes. Isnt california 21,000, i dont know if thats yo versus delorian or others james mentioned, the tucker, thinking 5,000 in asia, 10,000 in europe. The price of gasoline in europe is twice what it is here. The market in europe could be gigantic. Thank you. Socialized spending on infrastructure product. France could build up the charging stations rather than lying by state by state decisions. You want to drive your car between new york and pennsylvania. We might have it this area, you go to allentown, where am i going to charge up . The. Tesla will take europe by storm, one of the reasons the stock its a cold stock. Its overvalued, 20 billion. If you value it per car. 850,000 per car. Frunk, the front trunk. Like a porsche. I dont know. Or engine. Tucker. Tucker. Outselling sucker. Also, tesla, by the way, a gorgeous car, too. So gorgeous. You buy it because its an emotional response. Its a chick magnet, may i say that . Say it. I dont like to hang around small chickens. Its the beginning of a new trading week. Where should you be putting your money . Jims got ideas. Mad dash next. As we count you down to the open, first one on the new week, futures indicating perhaps a mixed open, slightly higher for the s p. Slightly lower for the dow. Focus on housing, squawk on the street straight from the nyc, always a chick magnet, straight ahead. Buildi ng a nimatronics buildi is all about getting things to work together. The timing. The actions. The reactions. Everything has to sync up. My expenses are no different. Membership streamlines your business expenses. With receiptmatch from American Express just shoot your Business Card receipts and theyre automatically matched up with the charges on your online statement. Im john kaplan, and im a member of a synchronized world. This is what membership is. This is what membership does. To appreciate our powerful, easytouse platform. No, thank you. We know youre always looking for the best fill price. And walk limit automatically tries to find it for you. Just set your start and end price. And let it do its thing. Wow, more fan mail. Hey ray, my uncle wanted to say thanks for idea hub. O well tell him i said youre welcome. He loves how he can click on it and get specific actionable trade ideas with their probabilities throughout the day. Yea, and these ideas are across the board bullish, bearish and neutral. I think you need a bigger desk, pal. Another one . Traders love our trading patterns, now with options patterns. Whats not to love . They see what others are trading like the days top 10 options trades by volume and get ideas yea i have an idea how about trading that in for a salad . [ male announcer ] so come trade at the place thats all about options and futures. Optionsxpress. Open an account today and get a 150 amazon. Com gift card when you call 18882800154 now. Optionsxpress by charles schwab. Time to have new experiences with a familiar keyboard. To update our status without opening an app. To have all our messages in one place. To browse. And share. Faster than ever. Its time to do everything better than before. The new blackberry q10. Its time. 6 30 before the opening bell. Time for mad dash ahead of the market open on this monday. Lets talk oil and mozambique. Anadarko, one of the great explorers, okay, they are considered to be maybe the finest finder of oil around the globe, big company, selling one of its just a piece of they own some of it. 2. 64 billion. Whats most important, that ognc, this moneys going back into the United States. Its going into the permian, its going into the eagleford. A couple of these special shale plays. Permian is an oil field. Because of new technology theyre finding oil in it. Incredible. For how hani years did we think theres no oil in this country . You have to go over the place, its mozambique, its not exactly texas. No, no, its not texas but more stable than many countries in the middle east. Yes. Which also so much of this has a geopolitical bent to it. Yes. Theres i mean all of these things are less important than they might have been in the past, because of what youre talking about, back here in the good old us of a, whatever it is. Ubs, wells, i think they thought it would be up more. My travel trust owns this. They still own 26 . But it was a nice number, 2. 64 billion in cash. And gives a nice value to overall mozambique assets. Right. A very good article about transferring oil by rail because theres again, when you look at where this eagleford is located, its just impossible to get eog. Eog is the play in eagleford and theyve developed rail to get to the gulf. These areas are such boomtown areas we dont talk about them enough. Whether it be eagleford. Eog has Delaware Basin in the permian, may be more oil than any other place. I agree. Transformation until so many ba ways. Opening bell about, well, beginning of the week here, right . Monday. Straight ahead. Squawk on the street right back. [ marco ] im a student at Devry University. And this is my home team. This is my large lecture hall. This is my professor. And also my coach. This is my booster club. This is the guy whos graduating ready for a great career in technology. [ male announcer ] in 2012, 90 of Devry University grads actively seeking employment had careers in their field in 6 months. Join the 90 . Learn how at devry. Edu. [ indistinct shouting ] [ male announcer ] time and sales data. Splitsecond stats. [ indistinct shouting ] its so close to the options floor. [ indistinct shouting, bell dinging ]. Youll bust your brain box. All on thinkorswim from td ameritrade. Welcome back, everybody. Y