san antonio's valero energy is the winner. stay with cramer. ♪ 'cause you make me feel so right ♪ ♪ even if it's so wrong ♪ i wanna scream out loud ♪ boy, but i just bite my tongue ♪ ♪ this one's for the girls messin' with boys ♪ ♪ like he's the melody and she's background noise ♪ [ volume decreases ] thanks, mom! have fun! you too. ♪ ♪ >>> it is time. it's time for the "lightning round" on cramer's "mad money." rapid-fire calls. you say the name of the stock, i tell you whether to buy or sell. my staff prepares the graphics. play until this sound and then the "lightning round" is over. are you ready? time for the "lightning round" on cramer's "mad money." elizabeth in florida. elizabeth. >> caller: hey, cramer. i've got a real question for you. >> fire away. >> caller: costco versus price mart. >> easy, costco would be the one. pull the trigger just today. cost. let's go to al in georgia. al? >> caller: boo-yah, jim. >> boo-yah, al. go ahead, al. >> caller: w.w.w. >> we have liked it ever since we did

, unlike last night's basketball game, valero wins. i like burger king too, but if i had to pick one stock here, i'd go with valero, no questions asked. >>> let's go to joe in missouri, please. joe? >> hi, jim, first-time caller. >> excellent. >> caller: my wife is from colombia so we bought some in the mid-50s. i believe it's the largest company in colombia and pays a high annual dividend. it's down from the mid-60s to the mid-40s and i guess i want to know, do i buy some more at this point? >> no, that's a dicey one. always reminds me of southern oil company, which is the oil company in wages of fear. i think it's in a very tough area. and i don't necessarily want that risk when i own an oil company. i would prefer total which i think is operating better. walter in texas, please, walter? >> caller: yeah, jim. boo-yahs from cowboy country. several months back, you gave a good presentation on national oil well, where are you at now? >> oh, i love them. i think this is a leading technology company, it is absolutely best of breed. they a

that should help valero. so i want long exposure. but i also heard that they've been sideways since the end of 2008. there's a great options strategy to do exactly what we want. that's a risk reversal. again in valero, i like buying the june 27 call for $1.10, financing it by selling the june 22 put for $1.10. i'm out no net money on this. but i have long exposure, long valero. if it's above $27 or below $22. but i like this because there's this huge margin of earning. if valero's not out of that range by june, then it's no harm, no foul. >> catch more "options action" on fridays on cnbc. next on "fast," the tratders answer your tweets. we'll also get the latest from the coinstar conference call. people with a machine. what ? customers didn't like it. so why do banks do it ? hello ? hello ?! if your bank doesn't let you talk to a real person 24/7, you need an ally. hello ? ally bank. no nonsense. just people sense. laces? really? slip-on's the way to go. more people do that, security would be like -- there's no charge for the bag. th

. >> i will disagree with guy because i don't know much about valero. i think we are in a market where you see the underlying commodity move the way it did and this stock move that way i don't know why you have to try to be a hero. >> two buys, one sell. he is really sad. go vote at cnbc fast money. we will reveal results later in the show. 78% so far say no. >>> the bit coin horror show continues as the crypto crashed below 5,000. can anything stop the bleeding more fast money still ahead. do you want the same tools and seamless experience across web and tablet? do you want $4.95 commissions for stocks, $0.50 options contracts? $1.50 futures contracts? what about a dedicated service team of trading specialists? did you say yes? good, then it's time for power e*trade. the platform, price and service that gives you the edge you need. looks like we have a couple seconds left. let's do some card twirling twirling cards e*trade. the original place to invest online. about medicare and 65, ysupplemental insurance. medicare is great, but it doesn't cover every

and you guys voted for valero. sorry, the winner's still rig. >> wait a second -- hold on -- >> they're the tie breaker. everybody's equal. you are equal to the viewers out there, guy. >> you know what, given the choice, i'd rather be equal with the viewers because that's how i roll, mel. >> buddy, you've got a little something on your nose right there. clean that up. >> to say the full bracket of all the stocks in play, log on to fastmoney@cnbc.com and you can get in on the action by tweeting us at cnbc.com/fastmoney. there'll never be a tie once again because you out there are the fifth trader. >> it's nice, mel. >> yeah, it is. >> you out there. you, by the way, a female deer. guy, how are you doing? >> trading your tweets, find out which ones made today's "fast money" cuts. ♪ [ cows moo ] [ sizzling ] more rain... [ thunder rumbles ] ♪ [ male announcer ] when the world moves... futures move first. learn futures from experienced pros with dedicated chats and daily live webinars. and trade with papermoney to

my question is about valero energy. with a healthy dividend, surprisingly it is trading at a 52-week low. investors are looking for yield wherever they can get it. what's your take on valero? >> if i want yield, i'll to go at&t or verizon. the reason i don't want to go to valero, i think the margins for refiners are coming down. we told a golden age and i think that age is over. martha in florida. martha. >> caller: many cramer, thank you for taking my call. >> of course. >> caller: several years ago, a friend recommended that i invest in the blackstone and i did. i'm not sure whether to stay with this investment and i would appreciate your thoughts. >> i think it is in a cyclical downturn. i think steve schwartzman will do a good job. they don't have a good ipo market. so right now the yield is not that good and i do think that the stock has been under a lot of pressure. i think that will pass and it is a good time to buy. not to sell. eric in montana. >> caller: hi, mr. kraim, he boo-ya. what are your thoughts on expe

you look at the move to valero, and valero within a whisper and reverse and we've seen that before. the wit spread works in the favor and there is gasoline in a weaker economy. the refiners generally speaking still work in this environment. >> i'll tell you something interesting. i'm not in depth refiners but one of the big data points we got with q 2 earnings is continental's call and pioneer, harold ham is plugged in continental said he expects the wti, the crude oil ban here, export ban to be lifted this fall and said there has never been this much momentum in congress. you'll get a vote in both sides, the house and senate this fall and that's lifted. if that happens, that spread gets decimated and refiners get absolutely smoked. >> if that spread, if that actually happens, though, that will alleviate the glut and be better for the names in your own coverage universal. are you recommending stocks based on that happening or too early? harold is a smart guy but a lot of people are saying this will be lifted for a long time. >> absolutely. no. it's a little early for us to make that

in twenty thirteen we got an order to deliver seven high speed valero type trains to do three hundred kilometers an hour between kanya discussion here. in april of this year we got a follow up order for ten more of these trains and they are under construction now what do you think is it it's a ball. it's not only big german corporations that have business ties to turkey so do medium sized companies entrepreneur blend was in there from braman installs business software for instance for parking garage operators he employs one hundred twenty i.t. specialists in braman and istanbul. apart from that we do a lot here in software development and software selection process is. we have various projects with which we ultimately help the company make its processes more efficient and save money. isn't there moved with his family to brain when he was a child he studied economics and worked for consulting companies before setting up his own business. he comes from a humble background his father was a welder in a shipyard his mother was a housewife. and i consider myself a northern german that's how

>>> another good day for valero. up 32% as we talk about refiners for a moment before we do final trades. joe, what do you do? >> rye finers, an interesting trade. i talked about going neutral from overweight. i've been a long-standing supporter of the refiner trade valero, i think you take profit right now. with that said, if we could, let's talk about dk, a name that's down over 8% on news, to shave off 8% to 12%. i want to buy that sell-off. i will buy that sell-off within the next 24 hours, the one refinery trade i would stay with. >> murph? >> i like the price action in valero. it has a pullback to support. another refinery name, mlp focussed on refining, northern tier, nti, and dividend analyzes about 16%. >> women eiss, a quick read on mlps. >> they're interesting, but rates run up. i still like clmy, i think the mortgage reads, which are sort of mrps are going to do well. >>> joe, final trade? >> we're trying to two stuff outside the box with mark near the highs. i time a position in vitamin shop, vsi. >>> i'

we've got them bank of america, amgen, valero, maybe more in two minutes. mmm... good. so i've spent my life developing technology to help the visually impaired. we are so good. we built a guide that uses ibm watson... to help the blind. it is already working in cities like tokyo. my dream is to help millions more people like me. it is already working in cities like tokyo. looking to get your business off to a fast start in the new year? it's go time! switch to comcast business and get fast internet on the nation's largest gig-speed network. plus, complete reliability with 4g lte backup. and, cloud-based security to help protect the devices on your network. greenlight your business in 2020 with fast internet and voice for $64.90 per month. switch now and get a $100 prepaid card when you add comcast business securityedge. call today. comcast business. beyond fast. >>> the dow transport it's are set to end the year above 18%. according to our partners at kens kensho that tends to bode well for stocks a year later. the s&p gains an average 10.10% trading 75% of the time. f

but look at what tesoro and valero did today. despite what people's arguments about, is it deflationary, is it a demand issue, we can have that conversation later. to me the way to play the energy space given the move in crude and given what i think will be the follow-through in crude, is to stay long the name as we talked about over the last couple weeks. tso and vlo. >> in addition to those names western refine hg a nice gain today, pete. >> you mentioned volatility and guy mentioned the lvx. you look at the lvx today that's one of the most incredible moves today of the entire year. 20% higher on this big spike. now, before we were talking about the lvx being in the 60s, now we're talking about the 40s. but nonetheless a very huge move, it shows you what people are thinking right now in oil and how they actually are probably mispricing it and having a difficult time pricing it. when you look at the bond market that tells you a lot about how these oil stocks are trading, how the energy space in general is trading. there is so mu

valero, tesoro, marathon petroleum all popping 1% or 2%. the u.s. oil rig count was up again for the second straight week. >> obviously a little bit of a hiccup during the week with the tape but look what they did today. tesoro today, all-time high, approaching their all-time high. i think valero will get there. tesoro breaking out on valuation, ridiculously inexpensive. and the crude sukt sets up really well for them. i think you own them. you've got to stay long these names that continue to work. >> trv's with you. he is indeed. >> tso's going to a buck 20. >> whoa. >> telling you, player. stay long. don't see it at 100 and be like i'm going to ring the register. trust me. >> i don't sound like that. that's not my shtick. >> not you personally. it actually sounded a little bit -- >> just a little bit. >> anybody else in refiners here? where's the oil trade right now? >> i think the important part was the rig count today. thain creased for the second week in a row. all that production that everybody thought was going to come offline, it looks like

in twenty thirteen we got an order to deliver seven high speed valero type trains to do three hundred kilometers an hour between. this keesha here. in april of this year we got a follow up order for ten more of these trains that by the end they're under construction now what do you think it's it it's about. it's not only big german corporations that have business ties to turkey so do medium sized companies entrepreneur blend was in there from braman installs business software for instance for parking garage operators he employs one hundred twenty i.t. specialists in braman and istanbul. apart from that we do a lot here in software development and software selection process is. we have various projects with which we ultimately help the company make its processes more efficient and save money. among his customers are high tech companies across germany they include braman based space company oh-h. b. which builds satellites it's just opened up an office in on korea. to lead was in there sees the economic crisis in turkey as a good opportunity for investment. you can invest and cyclically

if the market continues to move a name like valero i want to have exposure to. it's already had a nice move. but the stock can continue to move from these levels if supported by the overall market. so i like valero here. we're looking at getting long the name. we're not long currently. i think we will be getting long soon. >>> coming up next on "the halftime report," facebook coming off its best week ever. and if you had listened to one of our traders, you'd be rolling in the money. what do you do now? keep it here to find out. >>> stay tuned. oakmark's bill nygren is kbro outperforming the market. why we're playing michael jackson, i don't know. investing in the sector we love to hate. nygren is beginning to reveal it when we come back. tdd#: 1-800-345-2550 when i'm trading, i'm totally focused. tdd#: 1-800-345-2550 tdd#: 1-800-345-2550 and the streetsmart edge trading platform from charles schwab... tdd#: 1-800-345-2550 gives me tools that help me find opportunities more easily. tdd#: 1-800-345-2550 i can even access it from the cloud and trade on any computer

valero energy dropping hard near the lows of the session right now. valero telling cnbc at the cost of complying with new pollution studs for gasoline will cost hundreds of millions. the epa, remember, wants to reduce the amount of sulfur in gasoline. valero telling us it will cost them between $300 and $400 million. equipment upgrades. other refiners also falling. tyler, over to you. >>> the south korean foreign minister is in washington where he will meet with john kerry this afternoon, as both countries decide how to responsibility to the increasing bellicose rhetoric from north korea. senator, welcome. how worried should we about about north korea and its ability to disrupt commerce or obviously something worse than? >> we should be very concerned. at the moment there's a wide gap between their rhetoric and their actions. while they're declaring a state of war, they're not taking any obvious or overt actions to prepare for it, but i do think you have clearly a totalitarian regime dominated to an extraordinary degree by the military, and a young le

valero cracks it crack spreads are great right now. they'll get better you want to know why all nice turmoil in the middle east, venezuela, libya, russia, it favors big refiners like valero great place to be right now. >> thank you for your questions. coming up, the euro is hitting a new two-month low ahead of the ecb meeting tomorrow we'll give you your trades, straight ahead ng the future. so, every day, we put our latest technology and unrivaled network to work. the united states postal service makes more e-commerce deliveries to homes than anyone else in the country. e-commerce deliveries to homes - stand up if you are first stand up if you're a mother. if you are actively deployed, a veteran, or you're in a military family, please stand. i will tell you this, southern new hampshire university can change the whole trajectory of your life. i'm seema mody and this is futures now. the euro currency hitting a two-month low ahead of tomorrow's anticipated ecb meeting. our traders, bob, let's start with you plenty of speculation about a

valero, though a hold. make the distinction between the two calls on those two stocks. >> sure. so earlier this year we thought that it was pretty likely that earnings for refiners were way too high. unfortunately had to come down 50%. for that reason we haven't wanted to have as much exposure in refiners. having said that, refiners awful this year. underperformed in the market significantly. the concern i have, take those present in the curve and run through the earnings models for refiners, estimates to be too high next year as well. still on the sidelines with refiners as a whole. we are getting better valuations, though. valero close to a 5% dividend yield recently and when i started to get interested. >> i got to run. before i do i heard you say today and want to be clear, that even if exxon/mobil and chevron have another nasty quarter, in the current quarter, and three months from now we're talking about the same kind of story, you sound undeterred that you wouldn't change your rating on these stocks? >> i am undeterred. i think that these companies are probably likely to

valero in the red this afternoon. >>> thanks so much. pete, want to take a stab at valero? >> we've loved this names for a long times. psx is another one, but these names, as josh just pointed out, huge runs recently. after this big run, you needed something as a pull back. this is definitely a story line. i don't think it's a one-day event. i think you can jump back in, the stock near the 200-day moving average. >> we deliver on trades. four stock that is have lit up my twitter feed. first up, priceline what's the trade leer? >> 60% of their bookings are europe. though it's growing faster than the u.s. in terms of travel, it's only 5% to 6 pushes. the stock is not expensive, but one -- i would hold it and on weakness i would buy. >>> caterpillar? fridays 2013 lows? >> talk about unloved. this whole sector right now. obviously a lot of people play china off of caterpillar. i think it's not quite time yet. i know that stephanie has some opinions. i will be more bullish, but would like to see the stock closer to 80ivities you were talking cat versus deere, which one you would

valero energy beat burger king on monday. tonight san antonio takes it again with cullen frost trumping equity one. 2-0. can miami ever come back? don't move, "lightning round's" next. ♪ [ engine revs ] ♪ [ male announcer ] just when you thought you had experienced performance, a new ride comes along and changes everything. ♪ the 2013 lexus gs, with a dynamically tuned suspension and adjustable drive modes. because the ultimate expression of power is control. this is the pursuit of perfection. otherworldly things. but there are some things i've never seen before. this ge jet engine can understand 5,000 data samples per second. which is good for business. because planes use less fuel, spend less time on the ground and more time in the air. suddenly, faraway places don't seem so...far away. ♪ if you have high cholesterol, here's some information that may be worth looking into. in a clinical trial versus lipitor, crestor got more high-risk patients' bad cholesterol to a goal of under 100. getting to goal is important, es

i think te soro and valero traded up and we talked about pulling the rip cord. now is the opportunity to maybe start looking at these things. they might be sufficiently washed out. if you believe we put in a bottom in the s&p, they get bottomed very quickly. now is an opportunity and they are off the sellers. >> are you still in the integrated? >> i tend to want to stay in the names because of the fact. they have the spin off that is the some point adds to the value of this company and today on the halftime, dan dicker talked about valero and feels it's because of the run that guy was alluding to. it's too high and needs to be closer to 20. it's north of about 23. a little bit more of a pull back and you can look at the refining. >> should we be concerned at this point? we spoke to dan the other day and he said that gas prices would bounce higher meaning 2.50. that's not very high. that remains low. i would think that there would be a shift away and maybe volumes would be down on the rails. >> we talked about kansas city and the names. that stock had a tremendou

. >> you have particular ideas like eqt the net gas producer the refiner of valero. you still like exxon and chevron. you say the most underappreciated stock istia near, why? >> you think about the impact they've had globally europe was in a lot of trouble to start the year because they were going to run out of natural gas potentially. 85% of the exports have helped refill the europe natural gas story, which is going to help brace europe to get through next winter in regards to natural gas. fundamentally what i like about it and the market is not appreciating it is the company can generate a significant amount of cash flow year after year after year and the free cash flow yield is double digits and that type of double digit free cash flow yield for that duration should not just be priced at what the current price is >> there you go. it is in the green today so is valero rob, we'll leave it there for now. we'll check back soon. and a 10-year note top of the hour go up for auction this is a biggy. rick, how did it go? what are yields doing? >> it was a nasty auction. d

valero energy beat burger king on monday. tonight san antonio takes it again with cullen frost trumping equity one. 2-0. can miami ever come back? don't move, "lightning round's" next. >>> hold on. before we get to the "lightning round," i want to remind you that tomorrow we got a real special show for you. you know i'm a big family guy. you might even get a little tired hearing about my daughters, i don't care. i think investing should be a multigenerational activity. that's why tomorrow we're keeping it in the family with the "mad money" it's a family affair show. got a lot of special things coming up. be sure to tune in to learn why the family that invests together tries to stay together. and now, it is time, it is time for the "lightning round" on cramer's "mad money." what's that all about? rapid-fire calls, you say the name of the stock, i tell you whether to buy or sell. play until this sound -- and then the "lightning round" is over. are you ready, skee-daddy? robin in nebraska. robin? >> caller: mr. cramer, you're th

exxon, valero, chevron, all clinging to gain despite the steep decline in oil. what's going on? >> clinging to gains, a high at 52. trading for quite sometime. tim talking about being long, energy names with great balance sheets that's proven to be correct. my problem here and it's been that way a lot. these are rich stocks at $80 oil. so i think they are extraordinarily rich stocks at $50. exxon closed at 52 times forward earnings. i can't answer what's going on, why people are moving in. exacerbated downside, last couple days selloff is nothing to beware, crude going higher on the equity side. >> i think it's all about yield. i think if you look at chevron, you have a 4% yield exxon, same type of things valero, all yielders. if you look at ep space you don't get yielders there, they were all down today. to guy's point of valuation everyone reaching for yields, they bloated that multiple on them. >> relative valuation as guy was saying they are cheap, relative to themselves, you get a yield. again, you're taking a view on oil. we've seen rate counts increase. we're now through

v valero also agreed to install pollution controls at its texas facility you are up to date ty, back to you. >>> thank you very much, sue stocks right now at session lows the dow and s&p and -- that would be all three of the major market that we follow, folks there you see them in the red, t the dow down by about 1%, s&p down by more than 1%, the nasdaq composite off. >>> the transports have been outperforming the broader markets over the past three months our next guest is bullish on the group, especially the railroad stocks is all this optimism a good sign for the economy? jason seidel is managing direct o director at cowan. welcome. >> thanks for having me. >> let's start with where we saw. is it trucking first and rails first or vice versa? we started seeing a pick up in the summer we were talking to steve leaseman earlier this hour on how economists are all over the map going into the year. what is the trucking volume telling you? >> you're right. we first started seeing the trucking volumes start edging up in late june and then july was unusually strong it was actually above ju

that's roughly double, according to valero. many refiners have done simple things to change their product mix, shell, marathon petroleum and also valero expanding their export terminals ald of and noting that the gulf coast refiners are benefitting from this trend over the east coast refiners. the shipping costs are preventing the east coast refiners from tapping into the domestic oil supplies which is cheaper. east coast has to rely more on international oil, the brent price and makes them less competitive. >> a lot of deese sell going over to europe, as that map showed. >> that's part of it, but you could also see we're looking at places like mexico city. >> and south america. >> south america as well. >> use a lot more diesel vehicles, of course, over in europe and those places as well. jackie, thank you very much. >>> for more on that story go to cnbc.com. our market editor has been way ahead on this and will fill you in on more details at cnbc.com. sue? >> ty, a question for you. how do you make a 14,000 foot sky dive a li

have been saying, the tight range is 2742 down here as far as energy, i don't like the ep plays i like valero. what they refine is going up the cost of what their input is going down for me is crude. >> it was for may 7th, he did what he got out of the iranian deal and it spiked and it hit a wall. oil is coming in and exxon are coming in and refiner? maybe okay >> if i look at the market and we start at the year and it was this global synchronized growth. that's done. so now if you're a global investor, look around the world and what's the best economy around the world it is the u.s. now, could we turn down and could a lot of things happen absolutely the u.s. economy is probably the brightest out there, therefore, i think until proven otherwise, you got to stay with u.s. stocks >> we talked about fang and we know that's done i have been two to conferences and this week, when luke at private companies, i heard lyft and uber a, the list goes on and on the bullishness of their business and the opportunity and the ability to disrupt a lot of these companies. >> i don't think so. i think a lot of

we talk to valero, and they have shut down to refineries. >> it's very much out of the ordinary for us to shut two refineries down because of the storm. as far as the company and earnings and things like that, it's not pa big deal. this can be absorbed into our overall operations. >>. >> the stock was up hitting on extremely heavy volume. today, they said that they would need weeks to a month of this kind of shut down for it to have a material impact on earnings and we're still waiting for the storm to hit. it's a wait and see moment from here, but they expect the weather to get progressively worse. >> thank you. >>> so aside from the threat of rising gas prices, hurricane izac and the republican conventi -- isaac, and the republican national convention. they want to give control to individual states to do what they wish with energy resources in their own borders. >> it could make a bad situation like hurricane isaac worse, and our other guest disagrees. why would this plan be so bad? why would it be so much worse if the romney plan were in place? >> first, my heart and prayer goes out

second, there is major transformation since it was spun off by valero. under vrksz aalero they were distributing the gasoline refined and cst is able to focus on of tim miezing fuel margins, opening stores and making existing ones more profitable. for example, cst is rolling out stores with a new formouth that to selling food. when the company reported last week management said they are accelerating the pace to between 45 and 55 locations a year. meanwhile, cst has been developing it's private label brands, something we can't get enough of. we love store brand private label merchandise because it carries higher merchandise and cst has a strong balance sheet and the opportunity to consolidate a highly fragmented place. speaking of acquisitions, back in august we learned cst is buying the general partner in a whole sale fuel distributor and supplies fuel to 1,100 gas stations and it's a tax friendly way to raise capitol. this combination creates a leading fuel distribution and retail platform and the move i think will boost cst's growth to come. i like cst

>> top pick is valero. and we also like marathon and holly frontier. valero and marathon are both very leveraged specifically to that lls discount. molly is more leveraged to the wti discount. but the fact of the matter is, we think there is upside relative to consensus in essentially across the board because, again, if we're right on those spreads -- >> right. >> -- there's going to be quite a bit of room for upward earnings revisions. >> got it. pavel, thanks. of raymond james. >>> parties at the pump may soon come to an end. let's get to sharon epperson for today's "pump patrol." >> reporter: gasoline futures that are traded here at the nymex have been climbing, up about 7% in the past four weeks. and those futures prices often indicate the price that you'll pay at the gas pump. higher prices could be ahead in this holiday season. we're looking at the national average for retail gasoline at $3.25 a gallon. now, that's down a penny from a month ago. but with demand usually picking up between christmas and december, it may be unlikely that we see the

turkish economy and valero recover sooner or later and then very fast meant to pay off. of course and there is another reason why the waterside villa's a so popular especially with buyers from the middle east. many arabs are familiar with the journalists from turkish t.v. dramas but they've been on television over time in the arab countries because people are crazy about them. sometimes my clients call me and say i want to buy from my favorite series. the viewing is over for today the two realtors intend to continue bargaining. so it's likely that this mansion and its spectacular view of the bosphorus will soon change hands. bigger isn't always better especially when it comes to commuting take little. homespun arrive hailing service the two and a half year old company has ten thousand drivers operating in nairobi and over a million uses on its platform starting to be a hit in other african countries too. the kenyan right having apps little might be competing with global players like hoover and tax if i can get but it's only valued at around seventy two million dollars on

turkish economy and valero recover sooner or later and then very fast meant payoff. of course and there is another reason why the waterside villa's a so popular especially with bias from the middle east. many arabs are familiar with the galus from turkish t.v. dramas but they went on television over time in the arab countries because people are crazy about them. sometimes my clients call me and say i want to buy from my favorite series is. the viewing is over for today the two realtors intend to continue bargaining. so it's likely that this mansion and its spectacular view of the bosphorus will soon change hands. now if you've been wondering why your business partners or clients in germany are not available today here's a possible explanation. it's the call of the season germans especially of the island that's saying that have to be patient with the fact that serious. possibly. it's time. to take one step further. and face the costs of. the time to such thing i know and fund for the troops. it's hard to overcome downturns once cut the world. it's time for. a new wus

finally with le look at a refineer, valero. the refiners have been sort of best in class. admittedly, it's like fourth period if gym. you see the 150-day moving average. that's where that rising trend line creates that big support here. so once again, counter trend move, a key support. i think this is a name that can bounce off that support. i think i was screaming when i said to buy them. but there are three names in this base that can work. >> i think rich comes over. >> he is coming over. >> come over, rich. >> in philadelphia, it's $50 bucks. i'm giving you $50 bucks. >> i wish i had the knowledge to answer that question followed by -- >> that was joe diddly by the way in a pond shop in a movie trade. my man is getting it done right there. >> i have a question for rich ross this is a question we asked for a particular stock. it's not just crude oil, all of them basically five month lows, should equities follow in your view. >> i think you make a great point here, in theory, in this world we have lived in, yes, they should t. fact that they did not. the fact that volati

i would probably be with valero for the long term. for the short term i might wait for a pullback before i jump in head first. >> interesting time they get this report. they had a conference today with all the refiners reporting. i know we're conspiracy desk. but it seemed a little bit -- >> a positive note because they're having a conference in which -- >> i don't want to accuse anybody of anything. >> you're just putting it out there. >> and the conference is today. you guys do the math. >> all right. >> i think if i'm going to be in the space, i'd rather go e and p. exxon mobil is not going to move. look at epx, the index. >> up next, costco and kroger getting a hit. kroger is down 7% after it reported weaker than expected sales. both stores pointing to the warmer weather as a factor during the quarter. dan? >> listen, costco has been a massive outperformer. they've been killing walmart and target, who kind of cater to a slightly different consumer. but what's happened here is these -- this was really bad. i don't mean really, real

>> caller: i was just wondering, should i sell the stock valero energy? >> no, valero's fine, west texas versus brent, you are in terrific shape. not yet, fellow spartan. let's go to doug in wisconsin, doug? >> caller: yeah, jim. i have a question on magnum hunter resources. i understand that they missed their 10k filing. >> yeah. >> and i was wondering what your opinion was on magnum hunter since you missed it. >> well, i thought that was an unimpressive, unimpressive thing they came on the show and then missed it. so i'm trying to keep my temper here because i do take anger management now and then and this is requiring every bit of my anger management. al in pennsylvania, al? >> caller: hi, jim. >> what's up there, partner? >> caller: yeah, boo-yah from huntington valley, pennsylvania. >> i used to take women to the dinner theater. i'm not kidding. just a little -- what's up? >> my stock is whz. >> why don't you stump the chump here, man. i don't know that one, i know whiting petroleum, i don't know whiting usa. i'll have to do a little work on that one

a valero facility, that shut down. another 200,000. 93% of oil production, 67% of gas in the entire gulf right now is offline. there are some rigs and platforms running off the texas coast, but they don't produce nearly as much. when it comes to stocks and investments, i want to give you a quick nugget here. we talked with valero today. they have two refineries shut down. they say it could take weeks or months to have a material impact on the bottom line. the stock closed down 1% and at a 52-week high. but as you know, things are fluid and ever changing. we expect to have updates on the refineries and other elements at 10:00 p.m. eastern time. back to you. >> back to you in tampa. >> republicans talking about reform to grow the economy. is wall street buying it? the later on, fin weber, here's the economic adviser. we are. >> going to get into the nitty-gritty of romney's plans to grow jobs and the economy. is it real? is it believable? don't forget, free market capitalism, it's the best path to prosperity. i just want

and we're just shy of that right now and about a third of a percent decline and the nasdaq down 0.75 valero and deafon up about 7% and marathon up about four the cruise stocks are some of the worst performers, royal, norwegian and carnival down 1% the nasdaq more than 28% off the major averages are coming off a sharp bounce the dow is up about 6% since its intraday june 17th low the s&p has gained 8%, and june 16th intra-day low well now to the market it's got more to prove than this is just a fleeting snapback and our next guest says he expects a 10% rally this summer led mostly by tech sector barry manster from stifel. on what are you bearing your prediction >> sentiment was very washed out. we wrote a report last week calling for this 10% bounce to 41.50 in the s&p i could see something closer to the mid 4,000 range and that would be close to 14,000 nasdaq and we're 5% below the street's estimates and it's a sentiment bounceback as people feel like peak fed, peak tightening was already priced into the real yields of the treasurys and that's what compresses the price-earnings ratio is tho

valero only thing hanging in. my favorite, my go-to valero and not as damaging when you look at exxon and chevron and connick oh and names beat up today. we talked about last week. technical and xle. i own the xle calls in january and josh does as well, maybe in the actual xle itself. it broke down, either case, one it broke down harks s to find support and could move to the down side in a rapid pace. ovx, moving up. still in the range. breaks through 48, you have to pay attention. >> josh, xle? >> look at rsi. 37, 38 right now. say oversold to 30. more work to the downside to be done. possibly move in crude below 40. not the end of the world. you may not get as oversold in february. scott, these stocks on a year-to-date basis down as much as 15% rallied up as much as 15%. the truth, like always, somewhere probably in the middle. look for rsi down in the low 30s for a broad bounce in the sector and then pick your favorites. i would err to the side of better balance sheets, larger companies, more financial flexibil

>> you heard bob talking about valero reporting this morning. the loss was apparently two cents narrower than expectation, even though revenues were above. but it was a quarterly loss. and then the company attributed this loss to what bob was talking about, profit margins. in both diesel and jet fuel. and you figure that you get $150 boil, you figure energy company, they must do really, really well, but it all depends on the crack spread. >> i knew you were going there. >> it's what a barrel of oil costs and what you can sell the refined product for. it just depends, you can't just assume with oil prices high that other refiners are going to do really well. >> seal, a bit of a different story. shares of x. second quarter loss. expects all sectors to report a loss in 3q due to continued low operating rates. i would carrying costs. there's spn stein signs that destocking is coming to andy, but they say the overall demand outlook remains uncertain. that's after they cut the dividend and raised $1.5 billion in capital. >> i saw the revenue number fo

valero. when you look at the pain this thing has been under i think a lot of that is now done and far more up upside than downside. when you look at the level, i think they are to the point where you can own valero going upside. >> other names. pe less than 10. ford. >> love ford. i'm long the name. got back in it here. we're out in the high 17s. down here you get a great dividend. ford put in a bottom and can move higher here. >> pete, hp. >> you know what i think about that. stock goes nothing but higher. to the 40s and i think megan and the gang have figured it out. and when we see the split with the 3-d sprinting and the hybrid cloudy. a lot of reasons to still like this company. >> any reason to like ibm. >> only reason is because it's so cheap. but nouz it is a consulting company. and to me that is not an exciting space. >> coming up the best traders with us each day but sometimes they make a move they can't shake off. they are halftime's haunted trades and they are not pretty. sorry gu

valero. cf industries has the lowest pe on a trailing basis as of two hours ago. >> any of these names that you like. >> this is the only stock in the s 500 up mid-june from the end of august, and -- >> the fertilizer? >> yeah. >> a lot of fertilizer, and right now it's still marginally up. >> the only s&p 500 stock. >> every summer for how long? >> you had 2007. so all the 500 stocks, little old cf with the dubose distinction. what about joy global. ppg. a little surprised to see that on there given the housing recovery. >> a name we actually like. >> refiners have been hit hart by the collapsing of the spread and that may be an opportunity. >> joy trouble. don't know enough about it to comment on it. >> thanks very much. >> ceo confidence at a high. the highest in a year and according to the latest young president's global pulse survey. with moderate growth expectations let's bring in the chairman and ceo of customers bring. now that we got that out of the way. here's what i want to ask you

>> how about the valero pick? that's surprising. >> no interest in valero, as well. mid continent. those names i talked about. westin refining. >> why not the refining? the spread that you don't like. >> it's the spread and the spread, again, you know, it remains somewhere around 12 bucks and that's a pricing level favorable for -- >> talk okay research in motion. coming off a 14% rise this year. contributor steve weiss is long the stock. no more, though. let's get a trade update. he joins us. weiss, you bailed, huh? >> hey, judge. yes, i did. very, very good trade. got in twice the market rush so far this year on it and decided it was time to leave. the important thing of trading is sitting on the desk knows you don't turn trades in to investments because you fall in love with them. it was time to go. >> you don't have a conviction to make a difference to turn around the lumbering ship that fast or what? >> no. that's not it. i bought it because the -- just hit the crescendo and i did the same thing with hewlett-packard and very profitable trade and when the hate is so palpable an

valero has had a big move up as has holly. there was a moment where that was the right trade and we are no longer in that moment. we have to wait for a pullback. i want to go to don in new york. don? >> hey, jim. the symbol avax and it's gone down 35% over the past two quarters, i'd like to get some insight, basically it's short term and long-term outlook and at the current price which was told to accumulate. >> people did not like the revenue games there. they were pretty slight actually. we can do more work, but remember what we do say is that these small companies in that particular segment, we think and it's the test analyzer, we think may be under some pressure, we can do more work, but that quarter was not what people liked. what we loved, we hate. when we hated we now love, sister, mother, sister, mother, diversification, once again, is our only free lunch. "mad money" will be right back. >>> coming up, fire extinguisher? palo alto networks had a red hot ipo but this firewall operator has cooled off since its initial sp

that impacts other refiners more than valero but generally speaking they want discounted crude. the differential narrows it negatively impabltss the group. >> when you look at energy high yield debt so hit about a high of 10% yield in december, has since backed down a bit, 8.8 let's say, is that enough of a discount in the credit side to get interested in any of the companies on either the equity or debt side given that let's say the rest of the junk bond market is more like 6.5, 6.6. are we accurately reflecting the damage that's happened yet or can it get worse? >> i think particularly on the exploration production i mentioned before many of those credits trade close to par, 7, 8% yields at par. to me that's not a reward for the risk you're taking. given the capital intensity of that busins you need that capital to put in the ground to hold your production base. $50 oil is to either continue to spend and increase debt in your balance sheet or cut off your spending and see the natural production decline take place. if you're looking out further reserves will start to contract.

my question is about valero. >> i didn't think there was more to it, but the spread going valero's way. it's motivated to make you money. kenny in oregon. kenny? >> caller: this is kenny in oregon. you got it, buddy. plug power. >> plug power, when we were on a rig in the gulf of mexico. and i said it should be sold. it's now come down, they did a big equity offering, it is just a sloppy stock. this is part of the speculation coming out of the market. i don't like plug. let's go to nathan in texas. nathan? >> hey, jim, thank you for taking my call. >> my pleasure. >> boo-yah! >> how do we feel about ori. buy, sell, hold? >> old republic is a good company. it's got my name on it. let's go to shawn in new york, shawn? >> caller: hey, jim, this is shawn from new york. they beat on earnings but conservative guidance. >> this group is so out of favor, but you've got to pick -- you've got to make your stand. and right now, i'm willing to make a stand. it has been crushed. i think it's okay. let's go to chris from rhode island, chris? >> thanks for taking my call. >> okay. >> caller: my quest

so we're getting rid of the refiner name is valero. >> out of valero. why? because as jeff curry pointed out last year, last week, a very accurately, we're about to start swimming in product. the spread between brent and t.i. is coming in. and right now, it's better to own a name like an eog, which i'm putting back into the portfolio. >> back in love with eog? >> yup. >> concho. >> i call concho and the other two the three survivors and lastly, range resources, a name that i know steven follows as well. going after beta in the energy space right now. as i believe oil is about to break out and surprise a lot of people. >> so there's range up 4%, joe adding it to his portfolio what do you think? >> what's interesting is that's in direct opposition to what retail investors at least maybe some institutional investors are doing with crude it sl. we've seen the first two weeks' data in april, of the $6 billion in aum that the oil etfs have, not oil stocks, but crude-related. we saw about $400 million in outflows, it's the first two-week period for outflows since l

valero, a hate to lead on it. it made a big run based upon the storm and gas move over the last since july. i think it can go higher and hess has been hanging around at 50. i think they benefit from an spr release and that would be my value plate for that move. >> uso, dan, saw a big trade today, saw big put activity at the 34 strike and we saw simultaneous print in the stock or the etf, buying puts, buying stock, creates a v-shaped graph like that and back spread as you and i know it, dan. >> right. >> so in other words, they're looking for some sort of move out of crude. i would be very curious, though, to see if anybody out there thinks it will affect the price of gasoline because, quite frankly, it can't. not with the fire in san francisco and not with the shutting of those refineries in the gulf. >> you're exactly right, doc. the idea of an spr release will affect gas prices psychologically. if you're going to play this the right way, you play futures by buying gas actually and selling crude oil, playing that

. >> someone buys dell or hewlett-packard because valero is going up. today, the stock market went up because there was optimism about ben bernanke, no doubt about it. at the end of the day, you look at valero after the close, it did not drop. >> they are spreading out. they are not specking a stock and saying, i'm going to do this, i'm going to do that. >> that may be the case. yes, i think clearly over time we're seeing an increase in what i'll call passitivity of the market. >> are your clients risk averse right now or putting money into the market? what are you seeing? >> listen, the knock on hedge funds right now is that they are underperforming the stock market. our clients are risk on. they have been risk on. maybe they are picking the wrong stocks, maybe they are picking the right stocks. at the end of the day, the analysis, which is the economy is et going better, jobs are growing and the fed is providing this huge tailwind, maybe people haven't bought into it to the degree they should have. >> as powerful as we're making ben bernanke out to be