Europe, a couple hours left in the trading session. Mixed picture, pressure in spain and italy. Ireland, u. K. As well, and portugal in the green today. Road map begins now with markets setting up for a lower open after yesterdays bounce back. All major indexes logged the best day in two weeks. Target slips in the premarket after lowering the outlook and raised estimates of expenses related to the data breach. Cochairs hire ahead of the open after the company handedly beat expectations riding a wave of international sales. Cbs ahead of expectations raising guidance for the year. Futures point to the lower open. U. S. Stocks off the best day since july 18, volatility dropped more than 10 yesterday, and crude oil broke a fiveday losing streak, inching up a bit, jim. But the question is whether august continues the streak of under performing august or yesterday change something. Did yesterday change something for you . No. We still have the russians massing on the ukraine border. That should be front and center to everyone. That leads to cuts, what i care about. I care about loss of life if theres a war, but recognize russia is driving the bus. Thats not why target disappointed, but because they lost their way. Coach may have stopped losing their way. I mean, we have case by case stuff, but overall, i mean, yesterday was just kind of a, well, its been down a lot. Maybe shouldnt be this much. It was not a bad day, but the nasdaq had a strong performance. Groupon, by the way, yesterday, rallied ahead of the Earnings Report. After the bell, a nice line on the Market Performance yesterday, the stock market acts like the boy who cried wolf. In other words, we have a selloff, everybody says this is it, the big one, and it never happens. That does happen. You can round up bears and russian bears. Look casely case. Look what connected last night. They are smart. Just a brilliant move. They buy cars. Com, split the company, give you the spinoff of the digital and broadcast. Thats an example of what happens. You know what . Company survivor. They do the right thing. I wonder if that means one will be for sale being separate businesses in the media industry. We have tax issues there, but we know that time inc. Is out there to be bought, companies consolidated. We know the digital operation should get a zillowlike multiple. Cars. Com, Career Builder 1 the biggest. You have tv stations from the number one affiliate for cbs, number four for nbc, a nice combo. Tie into the news on aereo. That is what hurt them. I dont want to look, im saying they are not needles in the hay stack. Office depot, cbs not needles in the hay stack. You get negative, you realize, wow, that was an opportunity to buy some stocks, mgm. Why . They had good numbers in vegas. Overall, you see things like the division border, the division on the border of ukraine, you think, okay, well, its tuesday. Are they going to come in on friday and do something . You see gold higher a little bit. Thats ukraine. Raises the question whether its a stock pickerss market or not. We have the fed in the middle of september, jackson hole later, and its about earnings right now. Yes, it is. We have the wind down of earnings season, but, look, you get a target, and people say, well, you know what, thats what we focus on. Maybe targets not any good anymore, thats a good thing to say, by the way, target, walmart, maybe they are not good. Did i just say that . I said it. Moving on to target in a second, actually. Before we do, i want to talk about goldman next hour talking with david. He was negative on the friday night call. Friday night. Temporarily negative. I think three months of weakness. Okay. Now its two months and five weeks. What was that focus . I thought that was the Asset Management sign. Signed on with peter. The names are all on the report. Thats for the reits. We can create a Cottage Industry of just watching the fed, okay, do everything about the fed, but weve been doing that. Everyones been doing that now since the dow was about 10,000, and it has not made you any money. No, because basically, the ma crows, jim, you are negative, bearish thank you. Youve been wrong. What . Hold it . You used the word wrong. Hedge Fund Managers never admit that. Thats how money comes out of the coffers. Forecasting dramatic di ver jans between stock and bonds. Well hear what he has to say. Hell be on as well as the ceo. That guy sat there and figured out the way. They boosted the dividend hugely years ago. Everyone laughed well, wow. Not anymore. Lets talk about target right now. That is certainly a mover, down sharply in the premarket trading lowering the outlook in the recently completed quarter thanks to markdowns and softer sales in canada, a struggle in canada. The retailer expects expenses tied to the massive data breach of 148 million in the august quarter. Also, they have the announcement recently of the new ceo. An uphill battle. Clear the decks of the ahead of the new ceo. This is a bad release. I mean, when im tired of hearing challenging by the way. Chipolte didnt put challengiin in their release. Look at the way nordstroms did it. Only opening a couple in the next couple years, see how it goes. They power shooted into canada and shot down, not unlike a bridge too far. To the point whether target is an operational mess or not. People are concerned not because of the cost of data breach, but talking about in this area, as we know from the consumer companies, if youre target, you come out, the traffic is not there, et cetera, et cetera, youre not wrong, but the worlds problems fall in your lap. Mark downs, you dont want to hear that, right . Right. When other Companies Raise prices like nooik and under armour. Inflation. I like that. I like that. Immunization matters. Look, i think we go back to dollar tree. One of the favorite stores. A lot of slamming of dollar tree. They are a great company. They manage little sizes, great prices. Dollar tree is not talking about the challenging environment so target and walmart caught in the middle. Nobody thought this. What happens is one of the things you have to do in retail is go to the stores, okay . None of the dollar tree analysts go to dollar tree, wouldnt be caught dead there. Can get a half dozen red balloons for a party, where do you think we went to get them . Dollar tree. Best stuff in the world. Thats your fourth of july party. Honestly. I go to party city. Wow. Thats in new york city. City . Okay. Now, one of the things when i look at whats going on with target. I say to myself, okay, they moved into food. I dont want to buy food at target. They had a really great displays with the clothes. I can get that at kohls if i want that. Theres an attractive alternative. In the end, im going to costco and dollar tree. Not walmart. Whens the last time youve been to walmart . When i was growing up. Cincinnati, midwest. That was awhile ago. I we want for cargo pants. I was going to olive garden to stuff it with rolls. No, i just wanted pants. Talk about 1990s. Cargo pants . Look. Okay. Jeans. Dont get me sidetracked. Do you have jeans . The woman there, its a giant store, sure, over here. She sends me to the refrigerators. She says its a big store, who knows where anything is. Not confident inspiring. Yeah. We talked to retail last week, speaking with a couple different people with Courtney Reagan about the future of retail. One of the guys said walmart is 5 name to watch. For what . The new ceo, okay. They are moving into ecommerce, trying to be the first brick and Mortar Retail store to bridge the gap, not an amazon. Com, but scooping up Companies Left and right. Look at williamssonoma and restoration hardware. Should they sell on the news or buy them . Look, i think target has problems. Look, they send retail down. Look i dont know how many, but target is troubled. You are not used to saying that. I remember when Dayton Hudson morphed into target. I dont know target. They over expanded. They dont know what to do. They had the cool collaborations, designers. Like coach, one day it bottoms, and take a look. Well look in a second. Looking at walmart as well. Great to know if they are under pressure on this point or if they are higher. Down about six targets a yield play. Dividend seems safe. Sounds strange. No, its important. Moving on to coach. Reporting earnings this morning. Highly awaited report. Yes. The luxury retailer saying the Fourth Quarter revenue better than expected, help by sales in markets like china. Came in at 59 cents a share, excludeing items six cents above the estimate. The trade looks like its working for a couple days. Cut numbers far enough, you beat them. Coach never jump up and down about a same store sales number thats very, very weak, but they have been talking that china story forever. Finally, it matters. Minus 17 u. S. Same store sales is nothing to write home about. Abercrombie stopped the bleeding. I like a story beyond stopping the bleeding. Whole foods stopped the bleeding when they get 3 comps. You know what . This does not drive me into a stock, but makes me want to cover my short. Im not short anything. Thats a theory. Not you know. They have a new creative director at coach. Yes. Some see catalysts coming. Right. It could happen. In september. I looked at the shoes. Its cheap, isnt it . The shoes . No, the stock. Shoes look cheap. Tell you that much. Do they have cargo pants . No, coach doesnt carry those. Thats strictly wow. Comparing this to kors. An angry call. A lot of congratulations, but in the end, they said, listen, were not who you think we are. It was kind of like that dennis green speech. We are not we know who they are. We are not who we think we are. I dont know. I read the release with the reality check, saying, what are they doing giving guidance for if they are so, we dont know what were doing . I know, growth story remains in tact. You have morgan stanley. Everyone loves it. They dont want to lose a really great retailer. You know, great growth story, but in the end, i quote the note that says when the ceo, john, says we are not here for a quarterbyquarter situation. No. I like quarterbyquarter situations. Yeah. I like the long term. Give them credit. They are saying to the analyst and invester community, stick with us. You need a longer term view on this. Is there a point in that . Low multiple, not for a high multiple. What about coach . Why do i need a minus 17 when i have a plus 17 with chipolte . The multiple is high. Costco is not expensive, but retails really, really hard right now, and id rather not own retailers than own them. Others are okay. Great stuff. Leaving it there for now. Coming up, other Media Companies spinning off the print business. Well talk to the ceo later in a cnbc interview, and futures are under pressure this morning. More squawk on the street live from post nine when we come back. We never thought wed be farming wind out here. Its not just building jobs here, its helping our community. Siemens location here has just received a major order of wind turbines. It puts a huge smile on my face. Cause im like, this is what we do. the fact that iowa is leading the way in wind energy, im so proud, like, its just amazing. Cbs care mark Beat Estimates by three cents Second Quarter profit of a 1. 13 a share, and the Company Raised the full year forecast on the basis of better sales and expanding profit mar gyps. You know, some worry about the fact they pulled tobacco off the shelves. They did 3. 3. The cfo out, against the inversion, who knows, but i think cvs is a complete stand out now for multiple years, wellmanaged, and this was a sign, again, that pulling fak was both a good thing and also not a thing to damage the earnings. Stocks higher. Points jumping out, one is that they had a negative impact on pharmacy same store sales from generic drug introduction. Significant one, they overcame it. Overcame it, well put. Another thing back to the retail conversation we had. We still think of cvs as a place to buy a candy bar and magazine. Not so much. Front store same store sales reversed that, negatively impacted by softer customer traffic, basket size, but the tobacco hit affected 110 basis points. There is a traffic story here that longer term could be a problem if they had not already reinvented themselves. Thats why they are shifting, yeah. This is another target competitor out of nowhere. Cvs. I go to the cvs, like my rite aid. Its pricey. Yes, it is pricey. You go there because youre pressed for sometime versus the giant target because im lost in a sea of, you know yeah, sure. Walgreens up. One of thee Great Success stories. I doubt if agree watson, owning at 28. 30. He got it right, coming back on the show and not lecture me about what an idiot i am. Oh, cramer said he was an idiot. Retweet that a million times. The Success Stories and target and walmart are the failures. Do they invert . If they do, what happens to cvs . Well, i mean, like, cvs in terms of kpestiveness . Engineer something . Well, no look. Everybody feels under pressure. I talk to st. Jude, a good company, they feel under pressure because medtronic is inverting. I know edward life science, a great company, not worried because they feel they have a better mouse trap. It is case by case. Do we have time to play what eaton told you last night . We dont have it, but well get it. Pressure is building on the tax inversions. Yes. One of the things that sandy cut cut cutler, it was a tough interview, but thats what happens. We can play it quick. This is what the ceo of eaton said. In every public setting since may of 2012 announcing the cooper transaction, we emphasized it was not the plan or strategic intent to divest the vehicle business. What i call in inversion mania, theres a number of investors who indicated they thought it would make sense for us to lay the ground for someone else to invert their business. Thats not. Our intent. Not their intent. Companies got the same nail drop of other dublin companies. Ive been there, i never saw the eaton plant. Theres not one. Its a mail drop. Put people in there, and you is a mail drop. Notes were going out saying they were going to invert or spin off their vehicle division, and the thoughts were dead wrong. Took it off the table. Maybe he should have said that ahead of time. Thats why we have to watch executives now, same rhetoric, if they got to get ahead of it. Good point. Up next, jim cramers mad dash, counting down to the opening bell in ten minutes time, futures under pressure after a late day rally yesterday. Dow off 55, more squawk on the street straight ahead. During the cadillac summers best event, lease this 2014 ats for around 299 a month and make this the summer of style. In todays market, a lot can happen in a second. With fidelitys guaranteed onesecond trade execution, we route your order to up to 75 Market Centers to look for the best possible price, maybe even better than you expected. Its all part of our goal to execute your trade in one second. Im derrick chan of fidelity investments. Our onesecond trade execution is one more innovative reason serious investors are choosing fidelity. Call or click to open your fidelity account today. Just about seven minutes to go here before the opening bell. Time for cramers mad dash ahead of the opening. Did anyone think he would not deliver an up believable quarter in aig . They do not understand how the 70yearold guy came back five years, saving the company, good combined ratio, could be an Inflection Point who has been the right. Hes been so right. People lost faith here, lost faith here. Stop losing faith. Its a good story. Book value 75. People say, well, its phoney. Its struck clean. He left the company in fabulous shape. Against the backdrop of the difficult quarter. Hig not great, travelers, fantastic. Yes, the charts for most look horrible. I see this being pulled down by the futures just the way i see ones you circle back to, a remarkable quarter. Up 3 on the news after the bell yesterday. Right now, less than two. They are used to the condition that if the futures are down, i shouldnt buy anything. Its been the opposite. Futures down, thats when you use the futures to be able to buy the good ones, not im not going to speculate on target. No, right. You said earlier, thats exactly it. People are nervous saying yesterday was an aberration, and we look at the map and say to myself, will they invade . If they invade, you know, bets are off, but if they dont invade, you get a solution, and why didnt i buy something . Its russia. Aig a name to watch as opening bell approaches in five minutes time. Well be right back. Today, life and death battles, terminal patients willing to take risks. Drug makers with heart wrenching in a world thats changing faster than ever, we believe outshining the competition tomorrow quires 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. We stathat the kid on thehought back of the bus might have a song that he has in his head but he just cant get out. With the technology of cloud, we change all that. I can sing something into my device, up to the cloud it goes, back down it comes, sounding better. We break down the walls of creation and we give music creation for the masses. Unlock the creativity in anyone. With the ibm cloud. The ibm cloud is the cloud for business. [b ll rings] time and sales data. Splitsecond stats. Its so close to the options floor, youll bust your brainbox. All on thinkorswim, from td ameritrade. Youre watching cnbcs squawk on the street, live from the Financial Capital of the world, and the opening bell set to ring in 90 seconds. Jim . When companies ring the bell, we dont talk about it like we should. Washington prime is run by a serial creator of value. Flipped the event on, and before that, people remember, and i remember seeing him behind the deli counter, flip to whole foods, hired me at Goldman Sachs. Its a realty spinoff, federal realty. Don wood, dont take offense. All the reit guys are friends. Its a winner. Thats exactly i like realties very much. Yeah. Even after the rally . I like yield. I like yield. I like ben very much, i Like Washington prime because mark i