Multifaceted manufacturer. Bottom line there are not many options for folks like you and me. Stuart neil, i believe i have been ambushed. It is neil by the way, kiss your tax cut goodbye. Well have more on that. I just love doing that. The snap ipo apparently a huge deal here. And i know my teenage sons are into this and drawing little funny faces and awe, but do you put a multibilliondollar value for technology that can do that or glasses that can record video for 10 seconds . That is up to you. That is your call. This burgeoning audience what might be out there for young people like Nicole Petallides and her kids . It is what it is. A sensation today. Nicole on floor of the New York Stock Exchange. With the very latest. Hey, nicole. Neil, unbelievable. A great ipo. You cant deny the facts. The facts are the stock is up 47 . Despite the fact there was so much caution and snap doesnt turn a profit. It is hot with the kids. You had evan spiegel, bobby murphy, the cofounders, spiegel, came, rang the opening bell. They got in a car and sat there with a book runner, benny adler to watch the developments and finally opened just after 11 00. Big picture, there is a look from the spectacles, our producer Courtney Crawford put on the spectacles. They are saying they are a Camera Company. She got this with the spectacle glasses. That was right there, evan, bobby president of the New York Stock Exchange tom farley and his beautiful fiance, model miranda kerr. He is getting a big bonus. Spiegel owns 25 of the company. Billionaire at that. You had Pivotal Research a short time ago now putting out a cautionary note, saying analyst over at Pivotal Research saying sell, sell snapchat. Put 10 price target on it. Saying significantly overvalued. So there are the believers and there are those naysayers. Right now it has soared. I will leave you with the spectacles so you can get a look at them. Here they are. This is what the cool kids wear, neil. Neil i dont know, i dont relate. Im not sure if adele has a pair. She might snapchat you. Neil that might be north of her age bracket. Nicole, thank you very much. Larry kaplan, Digital Trends editor and chief and cheryl casone. Cheryl, the company itself, youre by the company, they are saying this is based on and sensation around feeding a trend, younger people. This is not the facebook crowd. This is the young, new, hip crowd, they are using this technology and spectacles and it is well worth all the fuss it is getting. That is basically their argument, right . Well their argument theyre a Camera Company. That is one of the things they announced in fallc frankly tooa lot of investors by surprise. Were not an app. Were a Camera Company. They want to get into drones. They invested a lot of capital into at that cycles nicole speck can tells that nicole show you. They lost 550 million. Out here in venice beach, california. Look at prospectus, evan spiegel, 26 years old cofounder, a billionaire now several times over, 680,000 a year, Million Dollars on just his personal security. As the book of the company open up, we care about financials, especially if you own the stock, neil, we need to know what theyre making, what theyre losing. Right now theyre losing a lot. And the culture here very secretive, very elusive. They didnt invite me to come in to use the bathroom. I have to say very secretive company. Been here for two days. Come on you know . Neil larry, when cheryl touched on this idea theyre a Camera Company, and you know, i dont know if i would be jumping for that comparison because the market record on Camera Companies is not great. For example, Eastman Kodak comes to mind but i understand what theyre trying to get here. Dont associate us as flybynight internet social media operation but essentially is a hightech hardware item i dont know know that sells buyers, what do you think . Last time i was not interested in investing in kodak. If it is a Camera Company im not sure. They added 3 plus trillion dollars of market cap, it is to be expected optimism is off the smarts and Everyone Wants to equate this with a sign of the top of the market. One of those bellwether moments. It is really expensive company. 20 plus times sales, twice the values facebook. It is crazy from that perspective. There is not a sign of any indication of froth in the trump trade. If anything this has nothing to do with the trump trade. The trump trade is about the old economy, industrials, financials. This is about the real economy. This is oneoff deal. Neil trump trade, market runup, has been the wind at the back of this company and these young guys who founded it. One thing im getting from this, jeremy, jeremy kaplan, from Digital Trends, the founders, as young as they are tried to do their level best to avoid what happened to facebook a strong launch, tumult, people bought later, facebook was off to the races. Quarter of the socalled float and shares available to the public is locked up for a year including for the founders themselves if i understand this correctly e they cant go cash in and cash out. Will that make a difference prevent potentially another initial offering like facebook any stress facebook bounced back from a rocky beginning but what do you make of that . Facebook a fascinating comparison. Im glad you brought it up. Lets talk about the two companies from a Technology Perspective. That is what i come at. You guys can debate the financial merits of this technology ipo. From a Technology Perspective there is nothing there. They dont have any special proprietary something that other people cant replicate. See a company like facebook which ownsc instagram, making e exact same moves snapchat is making. Instagram is just as successful, if not more than successful. What are you buying when you get the ipo, Getting Technology of this company, smarts of this company, honestly im not super convinced there is a lot behind it. To me that would be something that people should look at when looking investing in this company, what are you actually getting here . Neil larry, to that point, you mentioned sort of the trump trade effect going on and enormous runup weve seen and quick sprint over 21,000 yesterday and the markets are surprisingly holding their own, that in such an environment, froth is always i understand in the eyes of the beholder, but things like this are pa of the environment that you get in a marketrun up. Im not saying that doesnt mean the market runup is not justified or can go further but you see a lot of hysteria around a single issue or much attention to a single theme that reverses itself. What do you think . Look i think it does speak to the fact there is so much money tied up in these preipo Consumer Technology names struggling to go public and they dont make money. Investors are not excited about buying them. A lot of money went into the company because Interest Rates are so low. You could argue the money is there because of fed policy. If we had more normalized economy, maybe like we see today, confidence, people investing in plant and equipment, that kind of economy would prevent excess dollars going. Private deals into companies that will never make money. So i think the interesting thing investors should be more concerned about things like 20 trilliondollar that would weigh on the trump trade or perhaps european elections then a one off, megacap Unprofitable Company that could be a sign of froth in the consumer to space but says nothing about the real economy. Neil cheryl, if youre still with me out there in venice beach, i had heard, i read a story, maybe i actually heard it from you, so i apologize, that for a lot of workers who could participate in they too have to hang on to the stock for at least a year but the company is providing loans based on the value of the stock, if they want. In other words up front money to reflect whatever they got today. And to keep them happy and obviously to keep them there at the company. Is there any truth to that . Reporter yeah, i heard that as well but you are correct that a quarter of the shares are locked up. We should say in the filing we found out that evan spiegel and bobby murphy are planning to sell a few million shares each. That was, they were each selling 16 million shares. But that was in the ipo prospectus. Netted them each 272 million. Yeah, a quarter of stock is locked up. The lockup period is one year. That is to encourage, you dont want, they dont want volatility in the stock to stop that selling. Nicole mentioned Pivotal Research, 10 call. I ran into a trader from the New York Stock Exchange, believe it or not he is here in venice with his son. He is on vacation, came by, there is lot of interesting in this but a lot is flipping interest in the snap stock itself from his colleagues. He was on the phone to new york with me listening in frankly give me some idea what to expect today. I also want to touch on something with lance and technology ipo debut. I was looking the day facebookc opened back in 2012. It gained. 61 that day. Guess what twitter did the day it eye poeed . It gained 72 that day. You cant gauge what it will do tomorrow based on today. It is fun, excited. Spectacles are cute people are Walking Around with them here at venice beach. You have to question the longterm strategy of this company. Neil you never call the exact moment like you say, but you like to see how it sorts out beyond the euphoria, it will be hard to get shares anyway even in the aftermarket for the timebeing. Cheryl, thank you very much. Jeremy i want to thank you as well. Politicalevelopment could weigh on the dow, growing calls among two prominent Democratic Leaders for Jeff Sessions attorney general, to resign. A lot of you would say how would that possibly affect the markets . Because a lot of the momentum that weve seen for donald trump and his an aggressive stance to cut taxes, regulations all that, that could be stymied hire. This could be political scandal time whether you agree it is warranted or not, it could divide peoples attentions and slow that momentum. Wall street doesnt like that kind of stuff. Im not saying that stuff big sell orders are made but you cool it until you can sort it out. More after this. When you have 4. 95 online u. S. Equity trades. Lower than td ameritrade, schwab, and etrade. You realize the smartest investi idea, isnt just what you invest in, but who you invest with. Your insurance on time. Tap one little bumper, and up go your rates. What good is having insurance if you get punished for using it . News flash nobodys perfect. For drivers with accident forgiveness, Liberty Mutual wont raise your rates due to your first accident. And if you do have an accident, our claims centers are available to assist you 24 7. Call for a free quote today. Liberty stands with you™ Liberty Mutual insurance neil i think this is the real reason why dow is getting clobberedded. Caterpillar down 3 . News of a federal investigation. Apparently federal agents searched three caterpillar facilities and they went right to the companys headquarters in illinois. Agents from the irs and federal Deposit Insurance Corporation, u. S. Department of commerce, participating in this joint raid, search, whatever you want to call it, wasnt immediately clear what the agents were seeking or what they were looking for in general, but a spokesperson for the u. S. Attorneys office said the agents were at caterpillar offices in peoria, east peoria, and morton, illinois. No one was arrested in this. We have a quote from caterpillar that it is cooperating. Law enforcement are present at various peoria area facilities executing a search warrant. She wouldnt comment further. Ceo had on again, off again meeting with the president of the United States, talking about manufacturing interests in the United States, how to expand hiring in the United States and offering ideas to the president among many other bigname ceos, manufacturing ceos to help the president address that. This was the latest gathering of them, including the caterpillar ceo and a number of u. S. Multinationals. I believe that is ken frazier right to the left of the president , to the right of your screen of merck. Suffice it to say this comes at a time everything seemed to be firing on all cylinders for u. S. Multinational manufacturers. This could be anomaly, a standalone event. Were watching it though, but that would explain the drop in the dow and desproportional weighting of caterpillar. So well keep an eye on it. Meanwhile you heard back and forth how Chuck Schumer and nancy pelosi are calling for attorney general Jeff Sessions that they claim he lied when he said he was not meeting with russian officials prior to taking office. The fact of the matter he did a number of times, but many are arguing, then senators staff is arguing he did this in his capacity as a member of the United States senate and a member of the Intelligence Committee and no other way to hide anything from the investigators. Whatever it is, it is now caused a big hoopla. Senate Intelligence Committee member James Lankford of oklahoma joining us now. Senator, theyre already saying resign, attorney he yep. What did you make of that . Before he was ever active doing anything, it was recuse himself. Before he was put in place he is a racist, should never be there. There this is long string of arguments against Jeff Sessions. They accuse him being partial to the president , which every attorney general is selected by president. Of course is partial to the president. So this is all smoke and mirrors in the process of this. Were just trying to figure out what actually happened. Lets get facts out, deal with facts rather than random accusations. Neil what we do know is that Jeff Sessions met with the Russian Ambassador on at least two occasions in july, and in september. I believe in the september meeting, sir, it was a oneonone meeting in his office. Now, when he was asked about this he seemed to, no, didnt meet with them at all. Right. Neil now that is always in the eyes of the beholder. I seen and heard this tape back number of times, the implication was he was doing something nefarious at time people were raising a russian role in hacking into our election and even prior to the election. Should he have been more clear then . Do you think that he wouldnt remember, at least oneonone meeting with the Russian Ambassador in his office . So, take it in order there. The july meeting was in a meeting at the Republican National convention at Heritage Foundation event. Lots of ambassadors were there. For him to bump into ambassador of russia is very, very doubtful. Neil oneonone in his office. Correct the september meeting when he made the statement he made was asked in context if he had communications with russia . Context trying to reach out about campaign things, trying to reach out to that. He responded, his staff should have immediately picked up hey in your schedule you did have several months ago the Russian Ambassador dropped by. Yes, they should have corrected that. Is that area we should ask questions about . Absolutely ask questions about. Calling for resignation of attorney general over that, this would be something akin to all the conversation with Loretta Lynch when she met with president clinton on the tarmac as Hillary Clinton and all the investigations were going on there from the fbi. At that time Loretta Lynch didnt recuse herself or resign at that point. Clearly this is not rise to that level. This is something the information should come out on but seems to be dramatic overreaction in trying to paint every person in the Trump Administration as secret kgb out there and coordinate. The facts do not support that. Everybody needs to step back off the ledge and keep this in context. I met with the ambassadors this week. That is what you do as United States senator. You meet and you need to get the facts out there but dont overreact. Neil i know what you shea good for goose, good for gander, fair reverse political play is what is, one thing that concerns me about and youre closer and know the attorney general far better than i, you know this would come up at a confirmation hearing, any communications you would have had with the russians because that was a very big theme in his confirmation hearings among other matters. Right. Neil so you would have checked, hey, guice, did i ever meet with them, talk to them, call them, see them . And it would have come up, and just say was there a sense that it could have blown up in his face if he said right then and there, oh, yeah, i had the Russian Ambassador right in my office what do you think . Again i come back to staff should have prepared him. Not throwing staff under the bus. They should have gone back to it. He should have have loo