Selloff aftermath. What experts expect for 2016. Shares of eli lilly under a bit of pressure after new guidance announced for the year. And amazon saying more than 23 million items were ordered on cybermonday, thats a jump of over 40 from last year. Futures erasing yesterdays losses. Stocks looking to shrug off worries of Global Growth after mondays 7 slide. The shanghai a slight decline overnight. In addition there were reports that they might go easy on this restriction on Insider Selling once that ban lifts on the eighth. Well see. At 115 the Chinese Government came in make it clear again, they rule a country. Its not like theres you dont go to the Supreme Court and say we have to back them. They came in aggressively. They dont want the market go below 3,000. People can come on air and say thats ridiculous and say knob is bigger than the market. You are kidding me . Hundreds of people are killed, executed for white collar crimes in the last few years in china. If they decide to make short selling a capital crime, are we going to stop them . Look for that. Hundreds of people. Are executed. Hundreds. The chinese do not necessarily release its not Like Amnesty International gets in there and says thats a capital crime, thats not. Youre dealing with a country that doesnt want the stock market go below 3,000, the shanghai. You saw what happened in august of last year, the market went down, they came in under 3000 and bid it up. Theres trial and error going on in china. That gating thing that circuit breaker, that didnt work. Lets try criminal punishment. People think im joking. This is the communist government controlling prices. Have they they control the country. Is it so hard to control prices . Was some discussion this morning that our futures didnt take a dip until europe got started. Do you agree . I think europe is in a better place. I think europe is okay. I noticed that once again, when Oil Turned Around and went down yesterday, our market got hammered. Were back in the crazy town thing where we must want global tension to raise the price of oil. The market can be wrong. This market is wrong. Its wrong that the market that the dow took a header when oil reversed and went down. Counter intuitive nature. Im looking for clues from everywhere. Europe seems okay, not great. When two federal is reserve peo come out and say were fine, that narrative collides with a market that was closed yesterday down 7. And we saw they backed down last august and september. This time theyre saying these people who do come on air you mean williams and mester. Those guys who say its necessary to be independent of the data, but thats not encouraging. Its different from what used to happen. This four and done thing doesnt jive with the weakness were seeing. I get up at 3 30 because what the heck else is there do . All i see is people talking about the industrial recession. Isnt that a great time to raise rates . Which we talked about a good deal last year, certainly as the year was coming to an end, that Fourth Quarter of 2015. Im having a hard time completely aligning is this idea that we went down yesterday largely because china is slowing and that december manufacturing number was a big surprise. The people i spoke to were not particularly surprised by it. 2015 was the year of chain that slowing. Thats why the commodities complex collapsed to a certain extent. You look at things like the consumer demand in china, because yesterday i noticed people were saying auto stocks were down because of china. Im looking at november. Granted they did, very importantly, reduce tax on autos, gms registration grew 41 . Listen to that, 41 . Fords up 32 . Very low fwlas for ford. Stifwlas for ford. Very low base for ford. The Chinese Government is trying to get it to be a more service economy. They want it to be like our economy. Howard schultz wants to open starbucks as fast as possible in china. Why . Numbers are so good. Go over the nike conference call. China is the driver. Theyre buying expensive sneakers. We know tim cooks last comment was cell phones are still good. People hate apple now. Theres freeport, moran, apple. We have to keep in mind that the chinese economy is just as bad as it was, not worse. The idea that the stock market they made a mistake. They decided to put Circuit Breakers in. They didnt understand the psychology. Theyve been wrong so often about what their own people do with stocks, they were wrong again. Theyll arrest some people who sell short and put the word out that theyll knock on your door and thats what they do. Goldmans out with a note arguing that the statistical case for weighting chinese gdp to manufacturing is surprisingly weak. When you get down to it, it services a economy. Great call. I think thats a great call, carl. Heres something let me dazzle with you this or potentially dazzle you. Yes, please. Often hes wry. Does the eye roll. Im tough to dazzle. Okay. Give it a shot. Whats the average wage in Southern China per hour . Ill go with 7 bucks. 8 bucks. Whats the average wage of mexico . 4. 4. 5. I think i just dazzled you. You did. Coming up with that. Northern china is fine. So listen, theyre paying workers more. Sketchers says we cant make our shoes in Southern China, we have to make them in vietnam. The communists have given their people a raise. Which should result in consumer demand trying to grow, which shows from the auto numbers in november. Granted taxes came down on them and nike and starbucks and others. Can we stop worrying about china . Yes, i think we can. I want to worry about other things. I want to worry about Industrial America being shut down when you see a cummings so low, eaton so low. Only ge has been hanging in. Im worry about Industrial America. Are you worried about saudi and iran . I was going over it with rbn. The amount of oil ready for export in this company. You saw that we sold some oil to europe. They gave that away. Yes. That was a loss leader. Its like walmart. Every day lowprice oil. We cannot give our oil away. We want to get in there and say our crude tastes every bit as good as their crude, light and sweet. Like diet coke. You drank fracking fluid. Tasted great, like a mcflurry. Giving oil away at a big discount, because we have so much of it here. Oil should have been up 10 , but its just a Market Opportunity for texas. Unless you heard this morning that oil is correlated to nothing other than Global Growth. I think its correlated to supply. We cant find a place to put the stuff. Theyre sending it out of louisiana, sending it out of houston. Every grade we have. Please buy our oil. Well work for oil. People do not understand how badly we wanted to export and nobody wants our oil. We have some pretty good oil. Yeah. Lilly issuing current year guidance below forecast due to charges of a previously announced drug acquisition. The nongaap numbers will remain unchanged. Yeah. This is one of those the headlines come out. People react to the headlines. People should look at the 2016 pages in the key events which people never get to. Why . Thats page five. Way too far along. In it you will see alzheimers. Alzheimers. Well see results in alzheimers. When . This year . 2016. Yeah. Key event. What happens when you see alzheimers is that people recognize this would be once again, no one has a cure for alzheimers. But if they have a drug on the market or they can show you positive results in 2016, are you not going to take this drug . Im 60, give me this drug. Im going to add it to your l lipitor. I cant take lipitor. It freezes my hands, i cant type. Whatever youre taking then. Why does the stock go down 2 bucks on the headline then people dont look at actual presentation, if they did, they will see stronger u. S. Dollar, stronger generic, thats the shortterm but talking alzheimers. We should note the stock is not down as much as it was. The Foreign Exchange rates will be an impact here. Eur euro dollar at 1. 07 right now. We need 1. 09. Key events 2016, i need camera work here. Here it is. Number one, bace inhibitor for alzheimers disease. A this is the page. No one gets to this page because the headline says short fall who needs the facts . Well get to a break. Hopefully ford numbers on the other side of this commercial. Here at the Td Ameritrade trader group, they work all the time. Sup jj, working hard . Working 24 7 on mobile trader, rated 1 trading app on the app store. It lets you trade stocks, options, futures. Even advanced orders. And it offers more charts than a lot of other competitors do on desktop. You work so late. I guess you dont see your family very much . I see them all the time. Did you finish your derivatives pricing model, honey . Td ameritrade. [bassist] two late nights in blew an amp. But good nights. Sure,musics why we do this,but its still our business. We spend days booking gigs, then weve gotta put in the miles to get there. But its not without its perks. Like seeing our album sales go through the roof enough to finally start paying megs little brother i mean,our new tour managerwith real,actual money. We run on quickbooks. Thats how we own it. Big day in the car industry as we get auto sales for december. Looks like its fords turn. For that we go to phil lebeau in vegas. We have a rise of 8. 4 in december auto sales for ford. That is shy of the edmonds estimate of an increase of 11 . Combine that with chrysler coming in shy of estimates as well, it brings up the question as to whether or not december estimates were perhaps a little bit too optimistic in terms of what people were expecting. Again, ford an increase of 8. 4 for the month. Total 2015 sales up 5 to more than 2. 6 million vehicles. Guys, thats the strongest annual sales from ford since 2006. Coming up in a half hour we will talk with ford ceo, mark fields, hes here at ces, because ford making a number of new announcements including a Partnership Arrangement with amazon and greater exploration of autonomous driving vehicles. More in a half hour. Very g phiood, phil, thank y. Were still looking for the first four month streak over 18. This gm news yesterday has the big three thinking they are starting to smell the future. How can you not. Its interesting. People wait for someone to tie in with alphabet, chi thiwhich owns the technology. Youre talking about the internet, ces, Consumer Electronics show, the internet is one part of it, the car is the other. When you see mainstream outfits like gm get involved that announcement yesterday from gm with a 500 Million Investment in lyft was a seminal moment, especially talking about fleets of Autonomous Cars driving through urban areas. If theyre talking about it, they got to believe its not that far away. I didnt get to see the interview yesterday. My question was why would you invest in a company that would harm your longterm sales of new cars, he said it was outside urban centers and it would cannibalize them the least. I think the concept of 500 million verses what we were thinking about. All we hear about is criticism, shorttermism. They buy back stock. They raise dividend, provide nothing new. Heres 500 million from a company that many people beso f perceived being backwards. They could increase the dividend, but, no, theyre investing in this. Either way, this is real. Its not tesla selling 17,500 cars. No. No. What did you think of bara getting the chairman role . Interesting. It very much is representative of the fact that the board loves her and not the activist campaign that she was a bad allocator of capital. That activist campaign was flawed to certain extent. Why was that . Because i came back many t e times about the directors, how that might divide the board. No Research Says one way is better or not, split them or not. I dont knows there a definitive data set that shows stock prices do better when you split them. Corporate governance is to split them. You need to check on a ceo in an era where ceos have shown excess. If you have a lead director, it depends. More of an art than a science that upper tier management structure. When we come back, cramers mad dash and well count down to the opening bell as futures continue to recover after being down more than 100 points earlier this morning on the dow. Checking out the listing on zillow i sent you . Yeah, i like it. This place has a great backyard. I cant believe were finally doing this. All of this. Stacey, benjamin. This is daniel. Youre not just looking for a house. Youre looking for a place for your life to happen. Zillow. Welcome back to squawk on the street. Mad dash for this tuesday. Eight minutes before the opening bell. At 11 40 well hear from the president , introducing some new potential advancements on gun control. Very unclear. Executive order. Executive orders in terms of background checks. One of the lead stories on the today show this morning. Theres a paragraph, one inch long. Smith wesson updates financial expectations, and theyre talking about a reduced inventories indicating the quart ser sharp quarter is better than expected. Any time theres the suggestion of Gun Legislation any time theres a mass shooting, sales go up. Yes, because people feel this may be the last opportunity to buy a gun. Interesting, by the way. Colt coming out of bankruptcy doing some work on the bankruptcy. That may be another offering. Theres a scarcity. Ruger, smith wesson, not that many gun plays. When you get good news, the group goes up. Among the best performers weve seen. Smith wesson up 165 . Great growth market, scarcity. Not a lot of ways to play it. People know the sales it sells at a multiple equal to almost equal to a highgrowth biotech. Investing in irony . I dont know. Just pointing out this is a stock on mad money this is called about constantly. People put together two and two and recognize as the government tries to legislate, people go in and rush to buy guns. Its a winning investment. Not completely clear what exactly the president will be able to accomplish through executive order, given the legislature seems not poised to do a thing when it comes to always been threats of the president is the constitutional lawyer, tries to go as close as he can on this. Feels like its something he should do in his final year this will probably go higher. David, if they can earn 1. 50, which is possible, you know, give it a 20 multiple. 20 multiple on guns, david. All right. More on squawk on the street, a lot of stocks to keep an eye on this morning. Five minutes until the opening bell. Uh right now you can get 15 gigs for 100 bucks plus 15 per line that is perfect because we are about to start the whole Long Distance thing yeah and lots of data will mean lots of video chatting how much is that . 15 gigs, thats over 40 hours of video chatting wow whoa 40 hours, thats a lot of communication yeah yay love get 15 gigs for 100 bucks, plus 15 per line youre watching cnbc squawk on the street, live from the Financial Capital of the world. Opening bell in two minutes time. After stocks stumbled out of the block for 2016 yesterday, we managed to close down only 276 points. Last close below 17,000, back to october 14th. Thats how much damage has been done over the past few months. I think people have to go back to very limited group of stocks that created the whatever performance was generated by the s p it comes down once again to netflix, amazon, activision blizzard. Another brilliant acquisition. That stock had a heck of a year last year. Up 90 . Why not. Like when babe ruth said about hoover, he had a better year than hoover. The most undervalued major ceo in that gaming and entertainment industry. 17 times earnings. Call of duty black ops iii, david, dont know if you played it. I have not. What do you did with your spare time . I know you dont shop. Its true, i dont. Its big. Its big. Its incredible. Now, i happen to be a big fan of tank 2 and what that has done with what about ea . You like that at all . Like ea, but disappointed by the star wars game. My son plays madden mobile. Its complicated. Its about buying players, a whole economy on madden mobile. Reallife coaches could use some practice in that arena. Totally true. I know some people who destroyed a team for couple years. I want to point out winners of last year that i think will the ones that have won in the top five s p, activision. That king that king entertainment. 30 created immediately and a cross multiple. Lets get to the opening bell. S p at the bottom of your screen. A bit better than this time yesterday. At the big board, Trinity Place holdings, a Real Estate Investment and asset company. At the nasdaq, nutrisystem. Keep your eye on f. I. T. Today, reiterating a buy. I heard it was a Fitbit Christmas for many retailers. People keep confusing the notion of the apple watch with the fitbit. The fitbit is a lowpriced health and wellness device that will become a dominant player in Corporate America in order to be able to lower healthcare bills. James park has been on mad money many times and talked over and over again about the idea if you want to lower your healthcare bill you have to show youre doing your best to be able to keep your people in shape. This is going to lead to price discounts for companies that give fitbit. Thats a good market. Thats not some market for fossil. Fossil, fitbit, the sun king has done a good job again, bob peck. Gopro trying to find a floor here. Up 8 . Back above 20. Jpmorgan with some positives. All the oversold stocks yesterday whether its sunedison, chesapeake, console energy, these were january effect stocks. A lot of tax law selling and then the bounce. Every dog can have its day or multiple days if selling was really bad. Other research out today, citi raises jcp to neutral saying its fairly priced after being cut by a third in recent days. They cut jwn to neutral. Jwn is painful, that downgrade. The stock was at 74 a few months ago. Now 50, off the list. Hello, is that value added or tfn . Thanks for nothing. Exactly. Is. Jcpenney is a call, weather is cooperating with we trail. Nothing like this cold weather to clear out inventory. I deal with a mail order shop that gives me numbers. Its amazing, yes, indeed, down clothing,