Win yesterday, what is going to happen . This is a love fest between companies that are using the cloud. They are cutting out the traditional way that Companies Get their software. Earnings tonight, they have totally redone the center, david and not only mc hammer, tony bennett, but green day. Jim, i assume youre going to go to all of those . I have to go to them. I am credentialed, carl. How about this tunnel behind me. This is the largest tunnel in north america. Its assembled at the uk, brought here by ship. You know how he likes to do things on a creative scale. Oh, yeah. In the meantime, jim, futures are pretty steady, as you know. Watch for what they are calling a hat trick. S p, 1800. Ten years under 2. 7. Up 3 in reaction to some of the reforms coming out of china. Our roadmap begins with major market downsizing to 16,000. S p shy and the nasdaq very close to 4k. Boeing hiring the premarket on 100 billion in orders for a revamped 777. And microsoft gets a downgrade from bank of america. Meanwhile, outgoing ceo calls himself an emblem of an old era. All right. Six consecutive weeks of gains. S p hasnt had six weeks up in a row since february. People were talking about the january effect being brought in a little bit closer to november. Whats the take on your term . I like the rotation. Lets see the jpmorgan news. Tech has been choppy. I guess what im saying is that the s p has been working because of a rotation from group to group to group. You mentioned china. I think china to see their market go up after the reforms that they announced, that could be just a total tailwind for the mineral stocks which have been horrendous for the last few weeks. You know, jim, were starting to get bubble talk wherever you go. Its the journal, barrons. Youre out there in what people would call bubble land right now, given what weve seen from ipos. But again, we use that term you and i have been through that couple of real bubbles, whether its housing or the dotcom. Where are you given all of the noise out there on this . Im reviewing all of these companies that im going to be speaking to, dave, and ive got to tell you, its a theme. Theres no earnings per share. Theres no p. E. Multiple. Every time i look i say, wow, this is only selling at 18. No, its 18 times sales. You and i had a parallel track in 1999 and in 2000 is switched. S p bottoms. What i fear is that right now we are in that period where theres a whole group of stocks that have lost the moorings of what we regard as being traditional valuation and thats never a good sign. Yeah. Meantime, what may bring us back to reality is these retail earnings. Jcpenney says its going to be the worst Holiday Season since 2008. Consumer sentiment had a bad day friday. Is that going to keep us grounded . Morgan stanley has a grinch thing that they are throwing at us. We have all systems go from the high end. Walmart was shattering. I defer to david. I still believe that walmart has execution issues, given the fact that costco is good. I think home depot is going to surprise the hardware kind of stores, the big boxes, very positive. So im not willing to say that christmas is going to be terrible. The Holiday Season to me is a little shotgunoriented. Its a week short. Were going to get a lot more fed speak this week. Bernanke actually tomorrow night some saying that hes beginning to fade into the background, jim, trying to say as little as possible, paving the way for his successor. A gentleman to the end. I bet he does disappear to the sunset. I dont think he does what tim geithner did. Disappear to private equity. Yeah. Where does bernanke go . Back to academia. Back to princeton. I dont even know how they did this weekendweekend. Who cares. Any day now they are going to be ready. Jim, usa today has a nice piece about dreamforce 2014, talking about the competition that they have at oracle and some of the platforms themselves. The stock is up 14 folds since their ipo in 2004. Gaining momentum or not . Yes, gaining momentum. Its a bit of a revolution. They have really lost their way which is so amazing because when you read the balmer comments. How can you feel bad for a guy who is a billionaire . At the same time, balmer wistful and benioff. Youre referring to the interview that he gave to the journal and then the down grade to the b of a, stocks liable for about 10 . The fact that malloli stock did not go up is how interesting because balmers comments basically said hes too old. If you want old, malloli will give you old. But apparently there are new ideas, jim, than perhaps ballmer. Its not really age. Its how many years you have on you compared to the company. The oldest coast in the nfl has been reinventing that p can. I think were too age centric and so is ballmer. Maybe you have someone come in who is senior and say, look, ive seen this happen before. We need to bring out value. And malloli has brought out value. Interesting story, though, from the journal in the way that the role that thompson played and getting to that decision. We speculated a lot on whether ballmer was pressured at all by value act. It pushes back his decision after, of course, the lead director is saying, come on, lets get some yeah. There was a little bit of heres your hat. 40 resignation letters . I mean, hey, thats a lot of resignation letters. Trying to find the right tone. Theres a little too much soul search. The search does bother me. Why . Yeah, because hes got his whole life ahead of him. Hes a young guy. We sat next to each other in what was a soulsearching treatus as to how young people dont take vacation. When did we take a vacation . Probably in 1979. He really wants to enjoy life. For some of us, that is kind of a dream. Its not a bad idea. Heres a look at what he did tell the journal. Maybe im an emblem of an old era and i have to move on. As much as i love everything about what im doing, the best way for microsoft to enter a new era is a new leader who will at the end of the day we need to break a pattern. Face it. Im a pattern. He increased his net worth by billions. Theres too much irony. I think he needs to lighten up. Lighten up, man, you did okay. Look how ibm has done, oracle. Look at cisco. If ballmer is having a crisis, chambers has to be thinking, wow, what have i done . Kind of like what have i done . Thats what chambers must feel like. Time to blow it up. But this has a personal element for you. Lets admit that, right, jim . Given your relationship with ballmer, same age, education. I love ballmer. Can i just tell you that we made so much money yet we were nonprofit. I told him, enough, you cant make any more money. Every time he played poker he brought a shoebox full of change. We called him shoebox steve. Lets move on to jpmorgan. That was over the sale of mortgagebacked securities covered by jpmorgan and bear stearns in 2005 and 2008. Jpmorgan bought bear stearns. It was march of 2008. It predated the heart of the crisis being that it was in march but bear stearns was 2 bucks and ended up being 10. The larger question here is are they moving through all of the various fines, penalties, fees, settlements that they need to, can investors see through to the other side . They have put aside 23 billion for socalled litigation expense. Jim, i start to wonder whether the continued i wouldnt call it an avalanche but the continued pressure from regulate are to regulators and all of the pressure points that they seem to be applying, one has to wonder whether well truly abate and get back to what we call real earnings power for these financial institutions. Look, if we had normalized earnings and this is not a normal time, then jpmorgan would probably be 6, 7 points higher. All of these settlements are at the behest of the u. S. Attorney. Hes not going to sit down and negotiate. Hes going to say, look, heres my deal. Take it or not. And for jamie dimon to take it may be too much. Are they back on twitter, david . No, i dont believe they have reengaged yet. On ask jpm . Back to the drawing board i think they said. Yeah. Youre not going to see the light of day on that for a while. No. We may not see we may not see a lot of like retweeting by jamie. Do you think he retweets, like why did i do this . Jim, stick around. Were going to come back to you after a break. When we return, boeing getting a blockbuster numbers. Thats coming up next. Also ahead, combining your credit cards into one device. Well talk to the ceo of a device that does just that. A lot more from squawk on the street in just a moment. The ocean gets warmer. The peruvian anchovy harvest suffers. It raises the price of fishmeal, cattle feed and beef. Bny mellon turns insights like these into powerful investment strategies. For a university endowment. It funds a marine biologist. Who studies the peruvian anchovy. Invested in the world. Bny mellon. Thats a good thing, but it doesnt cover everything. Only about 80 of your part b medical expenses. The rest is up to you. So consider an aarp Medicare Supplement insurance plan, insured by unitedhealthcare Insurance Company. Like all standardized Medicare Supplement insurance plans, they could save you in outofpocket medical costs. Call today to request a free decision guide. With these types of plans, youll be able to visit any doctor or hospital that accepts medicare patients. Plus, there are no networks, and virtually no referrals needed. Join the millions who have already enrolled in the only Medicare Supplement insurance plans endorsed by aarp. And provided by unitedhealthcare Insurance Company, which has over 30 years of experience behind it. With all the good years ahead, look for the experience and commitment to go the distance with you. Call now to request your free decision guide. Live shot of San Francisco where cramer is today. The dow component winning more than 100 billion in orders, over 250 for its revamped 777 trip at the dubai show. German and ceo jim mcmurray says boeing will decide where to build the new version of the 777 jet. Jim, this is a big deal. Not only for boeing but airbus is having so many problems that airbus is suggesting that they may have to cut production of that rival plane. Yep. Whats incredible here is that the fulcrum for all aerospace if you look at the orders coming from dubai, you finally realize how mcnurney has said that he has a tenyear plan. Plus, if hes able to get the labor costs under control, you could have a multiyear move. Its been the best performing stock in the dow. It is so not done, carl. These orders verify the fact that this company has a road map that easily could last for as long as, frankly, 10, 15 years of upside. Yeah. The 25year plan if hes got another plan on top of that. Wow, the 777 is a money plane. They are going to make a fortune on each plane that they make. Jim, youve had good winners in your charitable trust. At 140, as the best performing dow component of the year, when do you take some . Heres the problem. We know whenever there has been a new iteration of a plane, its almost biblical. Were in year two. Honeywell is along for the ride. They make the cockpit. Boeing was the worse you know, mcnerney is just a Great American executive. Think about a few months ago, even to the ethiopian fire and i said, you must have been so worried. And he said, not the least bit. This is a solvable problem. What it makes you feel like is, were going to get this done. Boeings americas greatest manufacturer. Thats interesting. Of course, so interesting as well, the look at where the demand comes from. Weve said many times but asian committees. That is the key market. Thats where the growth is, of course. We can talk about consolidation. Doing a good job and taking a look at it. Something that we did live at the time, looking at the two statements from the doj when they challenged that merger and then allowed it. Nonetheless, the demand is from there. It brings up one other story regarding boeing. At least 50 people were killed when a plane crashed in russia last night. The boeing 737 from moscow exploded after a failed attempt to land. Boeing is going to provide technical help as the accident is being investigated. Separately, jim, you were at this eagles yesterday afternoon. Youre in San Francisco today. How did you get there so quickly . What have the last 12 hours been like for you . Well, first, you know i was fighting tears. I had been to 15 straight losses after two wins. I got out here, and chose not to sleep because thats a complete waste of time when youre trying to figure out how to interview all of these ceos. The elation of sports has transferred immediately to the elation of the cloud. There are a lot of companies doing this is an american this is a totally american phenomena. I know a lot of people get down our country and worried about health care and its another country out here. Its a country of hope. I think you guys would be elated if you were out here. Sounds like a road trip to me. I know it. People are saying, jim, its a good thing youre at dreamforce because youve got to be on cloud nine given what happened to the eagles yesterday. I find it tiresome that the giants put four wins together and suddenly the giants are ahead of the eagles. Its kind of arithmetic when you have six wins, thats more wins than the giants have. You might want to give it a little time. Yep. Give it a little time. When we come back, a special coast to coast cramers mad dash. And we just had jeff of i. C. E. Make his way to the floor here. The deal is now closed. Well get that when squawk on the street returns. Im a caref. When you do what i do, you think about risk. I dont like the ups and downs of the market, but i cant just sit on my cash. I want to be prepared for the long haul. Ishares minimum volatility etfs. Investments designed for a smoother ride. Find out why 9 out of 10 large professional investors choose ishares for their etfs. Ishares by blackrock. Call 1800ishares for a prospectus, which includes investment objectives, risks, charges and expenses. Read and consider it carefully before investing. Risk includes possible loss of principal. vo you are a business pro. Maestro of project management. Baron of the buildout. You need a permit. To be this awesome. And you. Rent from national. Because only national lets you choose any car in the aisle. And go. You can even take a fullsize or above, and still pay the midsize price. aaron purrrfect. vo meeeow, business pro. Meeeow. Go national. Go like a pro. All right. Weve got six minutes before the opening bell on a monday. Time for mad dash. Trans National Across the country. Is that right, jim . I was an english major but god forbid i should know the right terminology. I think weve become a National Show with this right here. All right. Well, youre 3,000 miles away but youre always close to my heart, as you know. Lets start off with the supervalu. You know what, this is the first time, david, i think theres a recognition that the whole group is going to be under pressure because its well capitalized. Supervalu held the sell. This has been one of the worst performers in the s p. Safeway has been up. Kroger is doing well. And then you talk about whole foods and competition and we know that sprouts market got a lot of value. Fairway has been going down. Ive got to tell you, this group is just too competitive and i want to know whether or not were at the lowering of the price multiple of the group because everyone has figured out you want Wholesome Foods and then lets layer on target and costco because those guys are bent on taking supermarket business and they are very successful at it. The largest supermarket in the country, which is walmart, correct . Look, i always defer to a man that has done not one but two documentaries and walmart is just beginning to get the ride kind of food in. The right kind of food meaning that they were very, lets say, not embracing of the Natural Organic up front. Its so strong, i had jack on friday, mad money, hes the cfo of chipotle, its to get rid of gmo. Monsanto is on the firing line, sugar is on the firing line. Jim, stand by. Of course, weve got the opening bell about four minutes away. A lot more squawk on the street on a monday coming back. In a world thats changing faster than ever, we believe outshining the competition tomorrow requires challenging your Business Inside and out today. At cognizant, we help forwardlooking Companies Run better and run different to give your customers every reason to keep looking for you. So if youre ready to see opportunities and see them through, we say lets get to work. Because the future belongs to those who challenge the present. 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. Youre watching cnbc squawk on the street. It does like we are going to get dow 16,000 and s p 1800 right at the opening. Weve had dow 14k, 15k, 16k. Three millenial marks. Thats a big deal. The whole conversation has been, well, when are we going to taper . Because of that weve missed the earning explosions that have driven the dow. The taper talk made you no money and kept you out. 16 trillion in market value after passing 15 trillion in july. Look at the top of the screen. Down here you have the intercontinental exchange. They are celebrating nyse over at the nasdaq, communication platforms. That comes on the back of a strong night in asia overnight. Dow 16k. A lot of discussion about how fearful investors are of large, round numbers. What do you think . Well, we usually have a selloff, like a kneejerk selloff. Frankly this whole rally is done without the individual investor until recently and a lot of the chatter is until we get Revenue Growth were not going to have stocks move higher. Guess what, if we get Revenue Growth, stocks go up substantially. This has been done on earnings. Yeah. Although, to be fair, the s p is going to close 15 times the estimates. We were trading around 12 time ts. So thats multiple expansion. And thats fine. In part because the earnings will be better than anticipated as well but, you know, jim, its not quite as cheap as it was when we started the year and many say it cant continue. The bull side is to say that it should have never been at 12 but the bear side says Interest Rates went up dramatically, very quickly. We didnt get the crunch. I come back to the fact that the International Companies are doing really, really well and they are t