tv Street Signs CNBC November 26, 2013 2:00pm-3:01pm EST
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bigger movers to the upside. tiffany up 9% on the trading session. who doesn't like that little blue box, ty? >> very interesting day. the nasdaq above 4,000 and as sheila was pointing out this hour how different a 4,000 this is than the last time we were at it. that will do it for today's edition of "power lunch." thanks for watching. >> "street signs" begins now. ♪ yeah, time, time, time, see what's become of me. i'm probably stuck at an airport. the late e on the winter blast that couldn't come at a worse time for millions of soon-to-be very hungry travelers. happy thanksgiving eve eve on this freezing day here. housing remains hot all over the country. but is there one big reason to doubt the run? the weighty topic that could sink restaurant stocks next year an the potential winners and losers from new jersey. big on-line gambling play.
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everybody who watches "street signs" is a winner. >> we're all winners. the dow and the s&p are certainly winners today. they're on pace for record closers. the russell 2k in its small way is also a winner, hit new record highs earlier on and the nasdaq is hitting a fresh 13-year high. since there is not a huge deal of action otherwise going on apart from the weather. i'm going to do a quiz and brip, put you on the spot. what do you think is the best performance stock on the s&p 500 today? >> i don't have my facts set up yet. >> that would be cheating. >> jc penney? >> no. but i believe it is quite the winner over the past month. >> biogenic. >> no. >> tiffany. >> yes, tiffany. you cheated because we already put up the board for the players at home. >> but i was watching on the radio. >> third-quarter profit rose 50% thanks to sales in asia and up by over 50% year to date. so not just a winner today, but quite the winner over the course of the year. >> silver is golden today.
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>> it really is. >> okay. let's get down to mary thompson at the nyse. mary, hope i didn't steal any of your thunder there by talking about the top gainer on the s&p. give us something else that is a bit of thunder for today? >> well, the retailers -- a couple retailers in the news, home builders are leaders as well today. as you mentioned we have records -- we're looking at records for the dow and the s&p 500 and, of course, the russell 2,000 as well. basically what you see is there is an upwards historic bias to this week and the next week so some traders say why get in the way of the trend. the trend is your friend. this slow drift up to record levels for the markets. retailers as you mentioned strong today thanks in part to tiffany which beat estimates by 15 cents a share in the third quarter, raised its full year forecast. also we're seeing strength in jc penney. which brian mentioned earlier. the company's ceo mike alman giving the retailer a vote of confidence buying 112,000 shares
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of the company stock. as i mentioned home builders are strong as well, diana olick will have more on this, but essentially building permits hit a 5.5 year high, giving a lift not only to home builders but building material companies as well. back to you. >> all right. mary, thank you very much. well, the weather should not be a financial channel's top story, right? until it could disrupt your travel plans and potentially cost the economy millions of dollars and that is what is happening. a big storm set to smack the eastern half of the country and could make travel even less fun than it is already. you're looking right now at a time line, flight aware so-called misery map. the green part of the circles show on time flights, the red parts show delays, cancellations, et set terra. see as the lines become more red, listening on the radio, imagine green turning to red in new york, chicago, atlanta, dallas, colorado, some place called california. it's getting worse and worse as
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the weather does as well. we are covering the storm from all fronts from the travel delays to the impact on shopping. we'll get to that in a second. let's start right now with sara at chicago o'hare airport where the misery map is growing as time goes on. sara? >> it is so ominous, the misery map. let me show you the misery that people are experiencing right now. these are the longest lines we have seen for security all day and it is really filled up. i would say the last half hour. now flights still going pretty smoothly out of here, but as that weather moves into the east, we're bound to see more delays and cancellations. and that's going to be tricky because these flights they are already about 85 percent full as people head home and to their loved ones for the holiday. we're talking about 3 million airline travelers with this coming wednesday, the day before thanksgiving, and wednesday slated to be the biggest travel days of the year.
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now, so far the biggest -- the busiest airplanes l.a.x. in terms of the number of passengers and also chicago, san francisco international and boston logan. so big airport for commuters. they're going to be joined by a lot of holiday travelers as they make their way home. now something interesting, the median spending here for a holiday traveler is going to be according to aaa about $465 per person. that's actually down a little from last year. the average person is also going to travel about 600 miles to get to that turkey and stuffing. mandy and brian, back to you. >> thank you so much for that. the deadly storm is headed east with some areas expecting up to 18 inches of snow so let's get to maria la rosa with its latest path. >> mandy, brian, this storm has everything. it is a mess. we have the heavy rain in the southeast but also concern for severe weathers especially in northern florida, straight through the evening hours. and, of course, the icing that we had earlier this morning in those higher elevations in the east. through the day tomorrow our
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storm ramps up bringing all that moisture, working with the cold air that is also diving off to the east and that gizzing to bring about some very gusty winds, cold winds here during the day on wednesday. for today, travel from the southeast to the mid-atlantic going to be very difficult, downright treacherous through the day on wednesday. not just for the wind and rain along the i-95 corridor but interior northeast, into the parts are of the ohio valley. heavy snowfall. we're talking maybe as much as a foot to foot and a half. those shades of dark purple from western pa to new york state reduced visibility. the good news, all of this, the rain, the snow, moves out in time for thanksgiving. mandy, brian, back to you. >> all right. thank you very much. so how might the storm impact the retailers heading into what some might consider relatively important time for retail in america. let's bring in evan and our own courtney reagan. courtney, i think this great
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thing for retailers. everyone says the weather is bad. it's been warm and beautiful. now you have to think about buying shovels, coats, pack mule, whatever one buys this time of year. >> i think it's pretty good. if you look at last year during december we had one of the warmest on record, that doesn't help to sell things like winter coats, hats, gloves and all those snow shovels. as long as it cont keep shoppers from shopping and getting to their families it could be a bit of a boost to retail and it's seasonal, right? it feels much more like christmas when it's snowing outside. get you in the mood. >> don't want to oversimplify this, but evan, who will win and lose do you think in terms of the retailers? >> sure, mandy. great to be back. so the winners are the department stores and the specialty apparel folks. we talked about maybe people having some trouble getting to grandma's house for thanksgiving, but frankly, once that system is gone by thanksgiving day you're looking at cold, looking at dry, looking at great conditions for foot traffic. people are going to be out at the malls and as courtney said they're going to feel that need
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to go buy those items. anybody selling cold weather apparel, sweaters, scarves, hats, gloves, fleece, jackets will be in great position especially considering that we have an early hanukkah this year, short number of shopping days so all that bodes well for a great weekend. >> and also, you know, listen, you're trapped inside tomorrow because the weather if you're on the east coast, trapped inside thursday because you're supposed to enjoy being with your family. by friday you will want to bust out, get to the mall, go shopping. this could be a great time for retailers. >> it could. anything like evan was saying, if it's dry and cold that's actually really what they want and a little snow on the ground isn't the end of the world as long as it's not blizzard conditions that are closing roadways. isn't that right? >> it's right. it's great for restaurants as well. folks that are selling hot food, hot beverages, people will be shopping all day friday and all weekend. the restaurants cap bode well too. >> i mean, not just friday, these days, we've got the options of having those stores like kmart open at 6:00 a.m. on a thanksgiving morning.
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it's supposed to be about family time, but hey, there's bargain to be had. back to my question we talked about the winners. who loses in this scenario? >> well, i think to a certain exit tent because people are going to be out and hitting the malls some of those entertainment centers where people, you know, when you're stuck inside you know either on demand or hit a movie theater, certainly there's some of that in play because it is a holiday weekend. but look, it's that time of year, people are going to want to get out, shop, a short number of days this year, so i think maybe the entertainment centers might lose out, but frankly, you know, it's really just that time of year where department stores, specialty apparel are going to do great. even the home centers. we talked about the snow that's happening. you're going out to home depot or lowe's or ace hardware picking up lights you may pick up a shovel or rock salt if you're impacted by that snow or threat of snow. >> and just quickly the proof is in the pudding, guys. can we throw up the retail holders index.
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rth is up half a percenten. the dow up 0.2. retailers outperforming. the market has spoken. >> it has. and remember, it's christmas no matter what it takes. mom and dad will make sure that stockings are stuffed and presents under the tree it doesn't happen this weekend it will happen when the snow clears. >> or possibly my house, the night before christmas. thank you very much. gas prices are on the move as well as millions of americans are gearing up for the busiest travel day of the year. let's get to bertha coombs for today's pump patrol. >> aaa is forecasting that holiday travel will be down 1.5% this thanksgiving. even as prices at the pump are down nearly 4% from a year ago to about $3.29 a gallon. if you are traveling to visit family, you will find the best prices in the rockies and the met. if you've got family in missouri, that's where you will find the cheapest gasoline in the country at $2.73 a gallon, you'll find prices below $3 a
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gallon in two states oklahoma averaging about $2.96, kansas averaging around $2.99. all that bad weather making its way across the country isn't likely to impact gasoline prices. according to gas buddy. it could put a bigger dent on demand this holiday weekend if folks decide to stay closer to home. that's today's pump patrol. back to you. >> bertha, thank you very much. the housing momentum is done. strong words made right here on cnbc from this year's nobel prize winner in economics, but noble or no nobell we'll debate if robert shiller is right. >> is now the time to double down on casino stocks and how spam is literally taking over the world. "street signs" is back in a flash. [ bagpipes and drums playing over ]
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i think it's really different now we can't trust momentum in the housing market anymore. >> that was nobel prize winning economist robert shiller on cnbc earlier today. let's bring in diana olick, some pretty dramatic statements there from schiller today, right? >> yeah, mandy, that was a shocker. what was more interesting is that he really pointed squarely at institutional investors as the reason behind that lack of trust in all these housing numbers. he was talking about the big jump in home prices and saying that it was really being juiced by investors and then he went on it to say that you can't trust
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that investors who say they're going to stay in this market and represent out all the houses he says they could as easily get out and thinks a lot will. >> i want to know, diana, what percentage of the housing market has been juiced by investors? if you break it down in term of first-time home buyers, investors, whatever, what are the facts ear? >> look, you can't put an exact number on it. we know that large-scale institutional irn aal investors all cash have bought about 100,000 homes in the last couple years. that's a drop in the bucket when we look at 5 million home sales but there other irngs investors, buying smaller amounts of property, 30% of the market to 20% of the market over the past couple years. they've been a major factor. we have not seen those first-time home buyer come back into the market. they are usually 40% of the market and barely a third now and dropping. that is because of tight credit. schiller said, buyers are not
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excited. that's a quote he said they're not excited about the housing market and he's talking about organic regular owner/occupier buyers. >> we appreciate it. let's continue the housing discussion. ken rosen, chairman of the fisher center for uc berkeley and aneika kahn, at wells fargo security. ken, you heard diana's report. i understand buyers may not be excited but doesn't appear sellers are either. i don't think we hit enough on the low inventory story on areas where you live like seattle an new york, not a lot of good homes to sell, why would we expect the housing numbers to go up? >> the key thing that's happening here is that price growth that happened in a lot of these markets was artificially boosted by people buying foreclosed properties in large numbers. i think bob schiller is right, that's over. so the price growth that we've seen is not going to continue. our best guess is this will be a 12 or 13% year and then next year will be 2 to 3%.
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but housing sales, while they soften some because of higher house prices, affordability comes down, take a look at the graph we have, affordability has come down substantially, two reasons, house prices going up 12, 13% and some markets like san francisco 25%, the second reason interest rates are up 100 b basis points over a year ago. it costs more to get into the housing market today. i would say the investor thrill in the market is over but there's still lot of individuals who would like to buy, again first-time home buyers not as many but seeing about 5.3, 5.4 million houses sell. tight inventory is not a problem in most markets but it is a problem in probably a quarter of the markets, no question about it. >> aneika, do you agree investor activity has peaked and what does it mean for the overall market? >> yeah, i do agree that investor activity has likely paek peaked probably somewhere around the 20% level and, of course, a
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lot of those investors were looking for distressed transactions. we've seen that number come down tremendously and so in a lot of those hard-hit markets we continue to see the greatest price increases. and i do agree that a lot of this increase is exaggerated, however the underlying fundamentals are still very positive,s especially in those markets that have strong household formation, strong population growth and strong job prospects. we'll continue to watch, but prices are exaggerated. however, we are seeing a recovery in the housing market. >> aneika, have we not exaggerated perhaps enough the importance of the housing wealth effect on the overall economy? if my house is under water, i'm going to be terrified to do anything, change jobs, spend money, but if i feel like i've got real equity it's a new ball game in terms of confidence. >> absolutely. we've seen some of that wealth effect happen.
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of course a lot of it is happening on the higher end. as we've also gotten increases in the stock market and home prices. so we continue to see a lot of that activity, but as we've discussed before, the first-time home buyer, however be does not have this wealth effect. the first-time home buyer is still renting and we still see a surge in apartment demand and we'll continue to see that. it's definitely not a sustainable market without the first-time home buyer. >> before we get doom and gloom about housing momentum being done, ken, where would you say around the country an investor or first-time home buyer can still get a good deal? >> i would say the california markets, los angeles, san diego, san francisco, still very strong, but the rate of price increase has stopped. we don't expect big price increase. but also places where strong job growth is happening, denver, seattle, dallas, a houston, nashville.
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the market is fine. it's just the extreme ek ubrans we had is over. it's going to be a more normal market. we need to get credit, though, to those first-time home buyers and it's a problem with the new regulations, make it more difficult for first-time home buyers to enter the market. that is exactly the issue. >> aneika and ken, very wise words. thank you very much for joining us. let's take a look at what the dow is up to. it's up about 25 points, nothing to write home about. the biggest gainer is disney, the biggest loser is merck. it's pretty light trading out there as it is a shortened holiday week. >> and isn't it incredible the best performing stock in the s&p 500 this month is jc penney. >> that's right. >> getting booted out of the s&p but it's going out on top, baby. i'm number one and now i'm gone. >> and it's going over it to the s&p mid caps. the middle mid caps. still ahead the mega bucks behind on-line gambling, they call it gaming, and the potential winners from new jersey's all-in investment.
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>> the slimmed down food trade. i don't want to hear about slimming down but nonetheless are americans really saying no thanks to big fatty meals? we're ordering up a old fashioned food fight when "street signs" returns. we went out and asked people a simple question: how old is the oldest person you've known? we gave people a sticker and had them show us. we learned a lot of us have known someone who's lived well into their 90s. and that's a great thing. but even though we're living longer, one thing that hasn't changed much is the official retirement age. ♪ the question is how do you make sure you have the money you need to enjoy all of these years. ♪ hmm. ♪ mm-hmm.
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gambling stock are higher as new jersey becomes the latest state to debut on-line gambling. nevada allows on-line betting on poker and delaware allows limited betting at the state's racetracks. should you bet on the gambling boom. dominic chu has been looking at hidden gambling plays. >> mandy, so we know that those six casinos in atlantic city will open up to on-line gambling including casino owned by publicly traded american companies but the expertise of those brick and mortar companies needs to lie mainly with running their physical casinos. they've got to partner with other companies that know about the on-line, the computerized gaming aspect of everything and there are a handful of big name partners in this mix but a catch here.
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a lot aren't american companies nor publicly traded ear in the u.s. you know them, they're big names and place like the united kingdom, the isle of man and then i go brawl tar, like 888 holdings, poker stars, win, party poker, those guys, but there are some names that are based and/or publicly traded here in the u.s. now if on-line gaming gets more traction companies like igt could be beneficiaries. this company makes many of the slot games you see at regulars casinos as well electronic versions of games run by their partner companies around the world. then there's the one really a pioneer if you will of social gaming, zynga, it could make a meaningful bid or progress toward establishing it itself as a content provider for gaming partners all over the place if legalized gambling on-line starts to gain traction in the u.s. there are still lots of questions to be answered, but we'll get more insight in the 4:00 p.m. hour today when 888
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holdings ceo brian mattingly joins cnbc here for the "closing bell." stay tuned for that interview, of course. >> indeed. i'm sure you've got a lot of questions for him. thanks so much for that, dominic chu. >> you know, i was going to jump in. >> i'm sorry. i didn't realize. >> just look over this way. i'm right here. >> hi, how are you doing? >> if i can get in on the show. >> ben who is an author i would advise people to read the book "straight flush" a lot say he took liberties with the facts and stories and created one of the biggest on-line poker companies in the world, kids disappeared, some went to jail. you look at what's happening now, these kids got in trouble, some went to jail for something that is going to be legal. >> yeah. imagine how they feel. >> yeah. it's an interesting book. want to get my book recommendation for thanksgiving in there. >> on deck, am i allowed to go now? >> yes, ma'am. >> the biggest stock stories today are about some favorite named bands. "street signs" -- i think --
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"street signs" the household goods edition is next. >> that's why we say never read the teleprom ter after the break herb green burg will talk about a stock he had been raising a red flag on, not herbalife, we're throwing the stock chart up. does anybody know what this is? lesson in tv is never ever, ever, read the teleprom ter. we're back after this. [ male announcer ] what if a small company became big business overnight? ♪ like, really big... then expanded? ♪ or their new product tanked? ♪
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it is street talk it time. we hit the stock stories out there and also some investment recommendation that maybe you might have missed under the radar names. first of all this is not under the radar. this is stop number one and food company general mills. >> initiated outperform at rbc, may be helping the stock, up more than the market, up 1.5%. analysts saying this is one of
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the best long-term value creators in its segment and sentiment around the company is shaky, their word, that stock up 24% year to date, getting a pop today. >> we've got handbag maker accessory makers because they branched into things, coach getting a price target increase. >> yeah. the stock is up more than 4% right now to 56.94. citibank thinks it could go to 63 raised their target from 58 to 63 and reiterate their buy rating on coach and met with management and they have more conviction in the steps the company is taking with its full price channel than the factory stores. it was downgraded to hold today by stan point research. >> we've got one of the year's hottest restaurant stocks and is going let's see a little sour today called cracker barrel. >> have you had one of the opportunity to have one of these uniquely american experiences. >> i've seen these restaurants on the side of the road but never ventured inside. >> you go through a giant
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general store, liqucoricquorliq, nick ncaa -- knick knacknacks eat. >> rose 2.8%. the stock is down 6 %. guidance for this quarter was, quote, tepid but the stock is up 73% year to date. buy the rumor, sell the news. still a good name. >> and this is today's under the radar pick. dallas based retailer called tuesday morning. >> yeah. and we're going to talk about it on this tuesday afternoon. the stock is up 2.8% to $14.50. dallas, texas based home company. price target, 17 bucks. about 20% upside seen from here. >> okay. and finally, today we've got nuance communications getting slammed even though its earnings beat by a penny, its guidance wasn't as promising as hope, fiscal third-quarter profit of 30 cents per share, the estimate 29. as i say, the problem here is that the forecast was not strong. and also herb greenberg, i would
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like to bring you in, you talked about few once communication and you have this thing that you call the reset that's bugging this company. tell us what it is. >> when you a situation where a company is basically grown through acquisitions we call that a roll up, you hit this point and in the case of nuance it's been years, where you say what happens when the takeover stop or slow. you're seeing it in the case of nuance because not only, you know, do you say that the guidance isn't what they expected you take a look at the growth of this company. it's just tumbled, skreechds to a halt and look at the organic growth. the growth of the company without acquisitions, just going along with all the businesses they've acquired over the years. and that's negative for the company, negative for each of the four segments of the company, that's the first time they've all been negative. don't worry, because nuance says 2015, 2016, it will, not may, not could, not should, will improve.
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so, you know, this has been an interesting story because through the voice recognition company and we're talking about comodtization of a product. >> also one of carl icahn's recent investments which stirred some speculation that maybe apple may be interested in buying nuance. is that something you see as feasible? >> no. >> no. >> apple does -- >> i don't agree with you much, had herb, but there's no way in heck apple will buy this company. they have the technology they're alsoing. why would they take the company on with the rollups you're talking about. >> there's an untangling whatever goes on in this company. can he push for something? he has two members on the board right now. we'll see. this is clearly a company that we've -- you've seen this coming but they've been able to keep the story going so long. this is what happens when the story ends. >> yeah. you talked about it yesterday, you love it when you get pounded by people because more than not, herb, you are right my surly but sun tanned friend. thank you, buddy.
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>> men's clothing is pretty boring until you get a battle royal between two big companies trying to buy each other. men's wear house turning the tables on joe fef a. bank offering to buy the company for 55 bucks a share. two months ago remember, joseph a. bank tried to buy men's wear house and was ignored. let's talk numbers. on the technicals andy bush, on the fundamentals john stevenson. john, do you care about this fight at all? any reason to buy joseph a. bank in the hope of some sort of arbitrage tie suit opportunity here? >> i don't think so until they give you one of the deals they've been offering to get you into the showroom, buy one get one free. i don't see any reason to buy joseph a. bank at this point. certainly it's trading beyond the deal price right now. i think the big problem with men's clothing stores as you say it's boring. nobody wears suits these days. goy to the doctor and the guy looks like he's working for a silicon valley start-up. that's typically it. they had a tail wind --
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>> all three of us are in ties right now. if you're on the radio, i'm wearing a suit, andy bush may be wearing cutoff pajama bottoms. >> probably got flip flop and the whole program. we are the minority. most people aren't doing it and it shows up in the numbers. >> a long way to say avoid joseph a. bank. >> i'm always wary of looking at technicals on a takeover opportunity. play some bizarre arbitrage here, any reason to get into this game? >> i mean there's a lot of reasons. joseph a. banks is a crazy momentum stock and really fun to trade. but if you take a look at the first chart i have out here, it's a year to date chart of joseph a. banks really simple analysis of a ten day and 30 day moving average. the ten day crossed above the 30 day back at the beginning of september and it hasn't looked back. it did that at 41. it broke above ands has stayed above. now you're soaring all the way up to like 56. i think the buyout is at 55 on this thing.
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so it's really crazy momentum and it's really fun to trade on the upside and downside. that's good news as far as trading. on a longer term basis, we put up the next chart which is a three-year chart on joseph a. bank. it did break above the downtrend line that came in, it broke at 53 and now trading at 56, 5. this is really tough to trade at this level. i wouldn't want to buy it here probably trading strategy would be to wait for it to come back to that trend line, buy it at 53 and leave a stop at 51. otherwise i would wait to see if this merger suits. >> all right. a stock you may not be able to take to the bank and i did get that pun at the end, andy bush, appreciate it. nice job. we always appreciate those on "street signs." thank you, everybody. be sure to check out the on-line edition of talking numbers in our partnership with yahoo! finance. >> roll our executive producer's favorite animation. yeah. the dow has hit an all-time high again. disney and boeing are powering the index higher.
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as we can see this is about evenly mixed red and group out there. >> exactly. >> but clearly disney is the winner along with the a and hd. >> good day for the dow, 0.3%. still ahead we're talking turkey and how to talk around shall we says those difficult topics, mandy, like money, when they pop up at the dinner table. how much you got in your will, grandma. >> just my own piece of advice is don't do it after a few drinks. plus, spam mania and restaurant wars. loosen the belt buckles because "street signs" is chock full of food, glorious food, bill are we makingsalivate? what's on the menu for "closing bell"? >> jim cramer called work day the most expensive stock on wall street, right here on "closing bell" yesterday. but somebody here says cramer is wrong and this stock is a bargain even though it is still rallying again today. we'll get to that story coming up. also on-line gambling is legal in the state of new jersey.
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financial planner to help you deal with them. sharon, it's not so much ta boo as just awkward and the kind of topics you really don't want to bring up. >> it is a tough time to haves these kfrgs but when it comes to talking about money it may be uncomfortable but important to have the talk with close interest family and friend and thanksgiving could be the perfect opportunity. don't want to avoid these topics even though they're tough to talk about. if your parents are growing older, talk about their health. it's important to discuss plans for their physical and their financial care. number two, if you've talked to family members for months about planning a vacation, you should at least spend a few minutes
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together discussing your retirement plan, open and honest about your preparations. if you're remarried and getting together for the holidays, the light time to discuss how blending your families is impacting your finances. these aren't the easiest topics we know that but they're important and being together this thanksgiving holiday could be the best time to get that conversation going, mandy. >> all right. let's continue this conversation. get this thing going. bring in laura from morgan stanley, also the author of the new book called "the m word" on how to deal with tough money issues. you know how it works. sitting around the take and having a good time, like mandy, three, four, ten glasses of wine, and the issue of grandpa's will comes up and you look around. how do we handle this? >> i'm going to go out on a limb and say emphatically that thanksgiving may not be the best time to haves this talk. there's too many family dynamics going on. people are starting to act up
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and there's a lot of holiday stress on top of that. i will say, that i think it's a great opportunity to begin to plan for the kfrg. get on board with the topics, engage with your family members and get in the agreement on what you want to talk about and when is the best time. >> drunken cousin chester comes out of left field as you're trying to pour grave yes for your second helping. these things come up more accidentally probably than on purpose? >> i agree. i will say if you've try to do it when somebody's had too much alcohol there's not going to be a lot of structure and control of the issues shus and not going to have the opportunity to plan and prepare what i call in my book physically logistically and psychologically. it's important how you plan for it and execute it. >> fair to say there is no good time to broach some of these topics, right? >> well it's -- >> you say to your mom as nice as you could, i love you, you're looking great but we need to talk about you going into home. >> you have to find some opportunity to talk about it and
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while thanksgiving is stressful this is a time that everyone is together so it's an opportunity to bring up the topic. you're in the going to plan out the whole thing and not going to come with each point of your will and figure out how you're going to handle that but talk about some of the things and steps, mention the names, talk about your financial adviser the person you're going to talk to, when you're all going to get together and start the conversation that way, do it early in the meal before the drinking starts. >> aging parents. this is a tough topic but we're going to be there some day. none of us except for benjamin button is getting younger. >> mom has been in charge for her life for a long time and she's starting to decline and what you want to consider is the factors, interfering, having the conversation. and with elderly people, who have a difficult time relinquishing control, it's difficult to -- for them to give you control and also to trust you at the same time. you want to think about how best to approach mom. >> what would you advise is the best opening line for mom on that topic? mom or dad on that topic?
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what's the best opening line that isn't going to raise a few eyebrows around the table. >> i think that you preface it by the fact you've had a conversation with the kids. a lot of conversation up front and how you're going to approach her and maybe mom is the kind of person that says, you know, i feel like i'm not the best that i have been, but i'm not quite ready and so the family can say look, we understand where you're coming from but maybe it's time to get the right people on board, the right financial adviser, the accountant and attorney to talk about the issues and maybe begin to think about a plan for you down the road. >> and that's what financial advisors it tell me too. they start the conversation and encourage their clients to start talking about themselves. this is what i've done and started to do with my adviser and i know you don't have anybody but they're closer to needing that help but you're starting it by saying this what is i'm doing and opening it up that way. >> it's great advice and i hate tears in my gravy so i'm going
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to be careful this thanksgiving. thank you, laurie, and thanks as always sharon epperson. >> that bad brings people to tears. >> you know, awkward topics. >> i warned you against this many times. >> if my 10-year-old says mom i'm putting you in a home this thanksgiving, there's going to be a lot of tears and not my tears. >> can i just mention one thing? >> yeah. >> i would ask people to go to my website the m word.com five step plan providing work sheets after the first of the year, specifically designed for people to actually help them have these conversations and to get through these it tough money conversations. i recommend after the first of the year. >> thank you so much, laurie. for more tips from our roster of financial advisors, head over to faplaybook.cnbc.com. >> still ahead -- >> spam, bacon, sausage and spam. spam eggs, spam bacon and spam. spam spam spam eggs and spam. spam spam spam spam spam baked
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spam is very popular in many countries, okinawa, philippines, guam, we're working on mainland japan and we introduced spam to china three years ago. >> pork shoulder and peanut butter. that was the president of hormel food. the company reported solid fourth quarter results thanks in part to strong exports of, yes, spam. so hormel up 6.4%. skippy peanut butter is doing well. dinty moore stew is doing well. >> i don't know why people are so frightened by it. it's delicious. it comes in a can. i find it delicious. i was brought up on spam. hello, mom and dad, thank you -- >> you were brought up on spam?
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>> i would have spam sandwiches when i went to school. they would alternate between spam sandwiches and vegamight. i'm the person i am. >> you had spam sandwiches growing up? >> i had spam sandwiches growing up. >> the butler make them? >> no comment. americans -- >> james, bring me more spam! >> finally, more concerned about their own waist lines, according to a new study. it says that u.s. designers are going to stop going out to eat quite as much not because of the money because it's unhealthy. alex, molly and also joining us is restaurant analyst will. molly, thank you for joining us. i find this hard to believe. you can go to applebee's. you can get a very healthy menu for like a 550 calories or less. you can get a steak, some sides.
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honestly, are people eating out less because it's unhealthy? >> absolutely. we've done the study for the past five year. this is the first time we've seen a reason why -- consumers are interested in eating out less is because of health reasons is the number one reason. it doesn't necessarily mean that's the only reason why they're cutting back on their visits. obviously, financial constraints, that's the number two reason. health is now becoming more prominent than it has in the past. >> well, i think, you know -- that's hard to believe. if you look at outperformance of shares of wendy's that has its pretzel bacon double cheeseburger compared to mcdonald's, people go where they can get full for a cheap calorie. >> there's a lot of truth to that. a lot of full service diners have adapted to that. we have lighter mean yous, fueler calories, smaller portion
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sizes, egg white delights at mcdonald's. when you go out to eat, a lot of the reason there is to indulge. when you might have good intention beforehand, when you get to the dinner table, that indulgence takes over. >> we've certainly seen mcdonald's have not been success at mcdonald's they were hoping for which suggests to me that people aren't necessarily wanting to eat healthier. >> i think that's right. the idea sounds good and when you get to mcdonald's, does a salad sound better or a big mac? it's important from a veto vote standpoint to have those on the menu to people feel good about going into the restaurant. i'm able to get that if i want to. but what are they ultimately going to order? whatever tastes better to them at the time. >> molly, jump in here up. put up calorie counts in new york and every restaurant is like, listen, i haven't had any adjustment in how anybody eats.
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>> i think it's the first time we're starting to see that trend. that's a fair point. for the past several years we've seen companies come out with under 500 calorie menu options. there's been little traction in the beginning but i think we're seeing more traction, at least an intent and desire for consumers to go to places that have these options. whether once they're in the door they actually order that or they order something else is, you know, a separate point of conversation but something consumers are absolutely coming forward -- coming more strongly over years for these options to be there. >> taking all this information and putting it into what you would buy and sell, i believe you have some overweights within this sector. tell us what they are. >> a couple we like is sonic. they've done a fantastic job of menu innovation. what's working for them right now, we just saw the pretzel bacon hot dog work well. a very indulgent item. half price milk shakes work well. again, it's cheap calories are working well. if we want to go to the other
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side of that to a cheesecake factory. very high quality up. get a slightly higher end consumer. we're seeing with tiffany's today, one good example of that. the higher end consumer is holding up much better. the cheesecake factory where they've worked in the skinnylicious well and more of a destination look. that's one where you can work both of these themes in to make it a really good stop. >> will and molly, it was a good discussion. your 17% price target above mcdonald's makes that one of your picks. must see video of the day. comes to us from down under. >> we bleeped out some of the words as well. clients are always learning more
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now get the best offers of the season. current lessees with an expiring lease get this 2014 ats for around $299 a month. ♪ this absolutely must see video of the day comes to us from my native land, australia. two men were driving their car when they noticed a poisonous snake on their windshield. they pulled over and debated exactly what to do in some fairly colorful language which we have bleeped out for you. but let's take a listen. >> oh, my god! oh, my [ bleep ]! holy [ bleep ]! hole. >> they came around just to say hello.
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it eventually gave up and slithered away. don't know what the big old fuss was about. actually, i'd probably freak out, too. i hate snakes. >> there you go. good video. hey, thanks for watching, everybody. i'm off tomorrow but, mandy, a whole crew. fantastic show tomorrow. please tune in. >> yep. "closing bell" is coming up next. enjoy your time off, brian. happy thanksgiving. >> thank you. you, too. hello and welcome to the "closing bell." i'm kelly evans down here at the new york stock exchange today. >> welcome aboard. >> thank you. >> she's so humble. i'm bill griffeth. i guess the nasdaq waited for me to come back today to close above 4,000 for the first time since september of 2000. >> she says we haven't closed yet. >> she says ominously. we're up 30 points. do you think it could shell off? >> we've actually rallied all
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