Markets after the dow falls 300 points. Futures modestly higher. Dish going over the top. Streaming tv for 20 a month. No contract cable box, a few channels will it accelerate cordcutting . The 114th Congress Sworn in today at washington. Falling gas prices in focus. Futures on the rise the morning after the worst day for stocks at about three months. Losers in the Energy Sector. Oil prices fall below 50 since 2009. I guess its your sense there is more to go. I think theres big supply problem. Meaning we just dont have any place to put it. People dont understand in the last few months there was dramatic growth. Eagle ford in texas. There is a gigantic amount of oil to hit the gulf of mexico. Big wells drilled initially and were caused come on. What matters, youve got to look at this in perspective. Only 2 of the job growth was directly or indirectly related to oil. There are only 16 states that produce oil in this country. Roughly 10 of the population is possibly at risk in terms of consumer spends. 290 Million People directly benefit. Last i looked, thats a lot of people and 317 million country, yes north dakota is hurt. There are 700,000 people. Why the violent moves in the stock market primarily down of late. Certainly perhaps more than we might have anticipated if i told you in june oil was going to fall more than half in price. I think a lot of people were thinking what the demand side must be weak. There is demand but weakness in europe. You said supply glut. That is an important distinction. If its not demand as supply that would not imply as negative thoughts about the economies in the rest of the world. Iraq producing 900,000 more barrels than people thought, 2. 9. A record production. Russia more than you realized because they need the currency. And the United States. We are talking about we stopped picking nigerian oil. We are not going to need venezuelan oil. Keystone pipe is an issue. Youre talking about north american selfsufficiency. That wasnt supposed to happen until 2020. We have no place to put it. Oil did fall from 140 to 40 in a sixmonth period beginning 2008. Its historically the most volatile commodity. We can freak out about the decline or accept the fact oil increased 10 i would be telling everyone at home to sell their stocks. For those who have come back from vacation saw their 401 k , saw the dow down. Last night you issued ten lessons. One was dont sell too soon. Yes. Look at their 401 k how they did at the end of december. If you were in an index fund a la vanguard you were up 11 . Mid cap more than that. Small cap up a little bit less. Realize there were huge profits being taken. Be careful when you take profits. Take profits in starbucks. You heard the last three weeks may be bad. Is it time to sell . What im saying is these Great AmericanGrowth Companies that benefit from Lower Oil Prices are not the places to sell. Weve got a huge number of restaurants retailers that are terrific. Is this the time to bail from walmart when they have a good quarter because of weather and oil and natural gas down . Propane heats a lot of homes. We have a big spike . Weather. Terrible weather. Wait till you see your heating bill. It wont go up as much as you thought. Yesterdays Market Action exacerbated by fears in europe and terms of what the ecb will do whether there is a deflationary concern to be had there. Also about greece and potentially the party taking over and saying to austerity go away and trying to exit the euro. That didnt help us. I had a lot of people yesterday saying should i be looking at things differently with this move down . Am i perhaps, should i be thinking about the Domestic Companies i know are going to be beneficiaries differently because something is out there i dont know and is being reflected in this significant move downward on the s p. Take disney okay . I know in the Conference Call they didnt talk about how much they could benefit from gasoline. Its very clear parks are more crowded. Its clear disney benefited by espn doing the segue because youll be talking about that. What is the gist when the company is probably in there buying hand over fist . My thesis is im scared. I like more than im scared. Hyg not down that much. 18 of it is oil and gas. These are backed up by properties. Good note by bank of america, merrill talking about do i need to own oil . Can i really afford not to own retail in restaurant in 2015 . That hasnt stopped Credit Suisse cut ing cutting kors. The switch to natural gas is happening rapidly. Ge we had jeff unger. They pull beinged up infrastructure and energy. To that point, the Capital Goods Companies did suffer. For obvious reasons but there was pain there. If youre an International Company based here youre looking at the dollar and youre worried. Youre looking at europe 770 Million People and worried. If youre a domestic company, darden upgraded today. The former ceo did come on and say we are the big beneficiary of lower gasoline prices. 70 of our country is a spend country. China . They are a huge beneficiary of the decline in oil. Listen up china. Sell a trillion of our bonds, take a big profit. Me to china. It was on cnbc asia. Im sure he listens every morning. Ring the register on 2 trillion in bonds. Put that in infrastructure and solve your pollution problem. Its incredible. And solve the worlds problems. Everyone should ring the register treasuries when youre under 2 ten year. Take profits, china, yellen. A lot of people wonder how copper can be acting the way it acted albeit with a strong dollar if china is going to be building so much. They are not. The trade index is pathetic. Its the rate of growth not the actual growth rate. Its still what we want. United states is the only country actually growing. That scares people. We saw petrobras down. I was in mexico last week. Peso was 14. 5 1. It was 12 1 three years ago. There are stressors in the system. You dont want to own the lowertier oil companies. Under 2 gasoline is coming. Last i looked that means ive got enough money to shop at kroger and go off high end at kroger. One of the top ten stories in the s p. The falling currency whether its mexico or euro should help their exports, which one might argue will help their economies, as well. Our exporters are hurt. I havent heard that much about it. Fox upgraded. Restoration hardware imports. Some of the great retailers imports. Weve got port problems in the west coast. They are not going to cut prices. We see beef rolling hear hear. Do you think they are going to cut prices in chipotle . Right. Are the Airlines Cutting prices . No. American doesnt have a hedge. They are making a lot of money. Thank you for saying that. That has a huge multiple. Southwest is the bestperforming stock. Im not crazy on southwest. Mcdonalds weaning itself from the dollar menu which will happen too. They could use food inflation. Im not going to disagree with that. When i looked at the upgrade about food it didnt even imply whats happening is they are getting the double whammy in their favor. There is real price deflation in agriculture. The downgrade for dupont which they said no catalyst sorry last time i looked you are a catalyst. Agriculture could be under pressure. The complex is coming down. When you go to the supermarket and you have more money left you are not a hedge fund you dont understand why its bad. Hedge funds say its bad. Wish there was more to it. There is concern one of those hedge funds, perhaps there is a surprise loser in all of this. We havent found out and it could happen. I dont believe that but thats the thing going around yesterday. What was oil up 140 because of natural demand . Was it at 40 because there was natural demand . No. Oil is incredibly volatile. The cutbacks in spend in capex are huge. You do get a Boone Pickens effect 18 months from now. You think boone was right . 1998 we had a quick shutdown of production. We cant shut down as fast these days. We have too many contracts held by production. Drill no matter what. Those are still the bakers hughes discount is dropping but not as much. 114th Congress Sworn. In president will face a republican controlled house and senate. Mitch mcconnell says legislation to approve the Keystone Pipeline will be the first item up for review. The white house says he believes the pipeline would have little impact on gas prices. What do you make of that argument . I dont think it will happen under this president. This is one of those issues frankly, where the canadian companies, where people dont understand. Canadian pipeline companies, you think they are waiting for keystone . Theyve taken direct action to get that oil into our country because they dont believe president obama is going to approve it. When they do come on mad money they are, can you believe we want to create 60,000 jobs do this and that . What matters is that the pipeline has been obviated by u. S. Companies. It is dirty oil. They spend billions upgrading refineries to take care of keystone. Only nigeria has cleaner oil than eagle ford. Depends where you are. I think continental suffered because people feel they are the bakan. Yesterday anadarko down 8 . Does this keep going . Is there a bottom to be found whether they are bakan or eagle ford related . Look at the ratings. Look at the numbers the analysts are using. They havent started cutting them yet. There are a lot of buys on these stocks. When they get downgrades of these stocks and anadarko was under pressure yesterday. When you get the number cuts realistic, youll get a u. S. Silica, the sand supercycle announced august 27th. We need to see everybody in the patch lose hope. Thats not the buy. A lot of buzz surrounding dish networks new slinging options, sling tv. Is it truly a game changer . Qualcomm ceo on whats next for the king of mobile chips. John fortt is in investigation. Another look at futures. The bulls trying to regroup, the s p finally down four days in a row on biggest volume here at nyse since december 19th. More squawk on the street in a minute. These ally bank ira cds really do sound like a sure thing but im a bit skeptical of sure things. Whys that . Look what daddys got. Ahhhhhhhhhh growth you can count on from the bank where no branches equals great rates. Dish network yesterday at the consumer electronic show introducing its longawaited over the top broadband screaming offering. About 11 channels 20 a month. That price point coming in below some expectations. Youve got a lot of analysts writing about it this morning. Differing takes. It does appear to be aimed at those people who simply dont take the cable bundle who are typically younger, 18 to 30 or so. Perhaps an underserved market we are talking about. Some people also seeing it as the first of what will be a number of different offerings that will start to attack the cable bundle. Weve been talking about this for a long time. Weve been waiting for this offering from dish for quite some time. They did that disney deal that gave them access to espn for this service. It finally is here espn being the key offering. Is this the beginning where i can select the 12 stations i want and forget the 490 i dont want . It may be. It may be a slow start here. If you think about this particular offering espn certainly is a key part of it. You dont have the broadcast networks here. You do get the disney channel. Youve got time warner offerings, disney and scripps, food network, hgtv travel channel. What i wonder is the price. 20 doesnt seem to be that expensive, but you have to access through broadband that youre paying 50 and add on netflix or hbo go. You are getting up to 70, 80, 90 a month and start to wonder where the price no longer is a benefit to that consumer versus the cable bundle . You could argue there is a generation if you give them cartoon network, espn and cnn, thats good enough. You agree . I dont know. I find it hard to believe. Other than espn i dvr everything. I dont have time to watch the stuff other than espn. What this is is a longawaited offering theyve been putting this together for some time. Remember when they did that disney deal i was wondering, what does this mean . Now we see it. Espn being available. Youll get a lot of commentary about it. From my perspective, dish is important in terms of the stock is whats going to happen when these auctions end which should be any day now. How much spectrum did Charlie Ergen buy . What does that mean for the future of the company . That is interesting in the part of the evolving world of content and how its being distributed. Disney said even though this is evolutionary it still supports the multichannel strategy that all distributors have. Its exciting. Excuse me. I believe we have a moment of silence. Well let them have it. About what happens when you turn sixtyfive. But, really, its what you do before that counts. Thats thinking time when you ask yourself, how do you want this to go . See, medicare doesnt cover everything. Only about eighty percent of part b medical costs. The rest is on you. So, get started on an informed decision. [ male announcer ] consider an aarp Medicare SupplementInsurance Plan insured by Unitedhealthcare Insurance Company. Like all standardized Medicare SupplementInsurance Plans these plans could help pay for some of what medicare doesnt. That could really save you in outofpocket medical costs. 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[ male announcer ] remember, medicare doesnt cover everything. The rest is up to you. So, call now request your free guide, and explore the range of aarp Medicare Supplement plans to choose from based on your needs and budget. Sixtyfive may get all the attention, but now is a good time to start thinking about how you want things to be. [ male announcer ] go long™. 6 1 2 minutes before our mad dash. Want to start with a new chapter involving gilead. We know that people dont want these pharmaceutical benefit managers dont want to pay the price of their hepc pill. Cvs does things differently. Just like they took cigarettes out and everyone thought they would be her. Cvs is okay with that formulation. It puts gilead in the drivers seat. I know the adv people was favored. This says you are wrong. They are going to reap big profits. Do you know if they are offering a price discount here . To refresh people if you call, abv and express scripps reached a deal to be the sole supplier of the hepc treatment. It is considered to be some what inferior to that offered by gilead which costs 80,000 a year. But its a cure. Now gilead signs an exclusive deal with cvs. What i like and was saying on the street gilead has enough cash to do what it wants. What does matter is everyone dumped this gilead soon as the adv news came out. If you get 30 of the market you didnt get from express scripps you are making a lot of money. I think gilead will be back as one of the Companies People talk about with celgene and regeneron. All these stocks suffered. There was a big selloff in biotech with this deal. Exactly. People felt this was the peak. These companies which had great Pricing Power are done. I heard that. Biotech is done. Biotech is not done. Its not that big a move given how much it lost. Yesterday was a tremendous day. Stock was up and came back. Gill yasead is bigger than a lot of companies. I dont want to leave biotech because it keeps inventing. I had isis on yesterday announcing what could be an 800 million deal with j j. I think gilead if it gets an 11 multiple will go back to its high. Opening bell after this. For over 60,000 california foster children nights can feel long and lonely. I miss my sister. I miss my old school. I miss my room. I dont want special treatment. I just wanna feel normal. To help, sleep train is collecting pajamas for foster children, big and small. Bring your gift to any sleep train and help make a Foster Childs night a little cozier. Not everyone can be a Foster Parent but anyone can help a foster child. So youre looking for a loan . Hows your credit . I know i have an 810 fico score, thanks to the tools and help on experian. Com. And your big idea is hot dogs shaped like hamburgers . Nope. Hamburgers shaped like hot dogs. Thats not really in our wheelhouse. You dont put it in a wheelhouse. You put it in your mouth. Get your credit swagger on. Become a member of experian credit tracker and find out your fico score powered by experian. Fico scores are used in 90 of credit decisions. You are watching cnbc squawk on the street. The moment of silence was for former governor mario cuomo. Our apologies for not stating that more eloquently. The ten year below two. Takes us back to that middle of october day we hit 186. Not there quite yet but not that far. Very disappointing. I have to wonder where we dont get some mortgage pickup. The banks have to loosen up credit. Its back. Theres the opening bell. The s p at the top of your screen down at the big board, only make believe, an organization performing interactive theater for ch