tv Power Lunch CNBC January 30, 2014 1:00pm-2:01pm EST
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didn't make a difference. way to go, pete. >> the twitter politicking has got -- >> asterisk by that one. final trade. >> tempurpedic. >> josh. >> red hot. love it. >> murph. >> back to hertz. >> my man pete. >> citi's going higher. >> have a great rest of the day. "power lunch" is next. scott and i are still on cloud nine. joe theismann in the house. probably not on cloud nine you've been in the equity house. year to date, dow down 4.5%. 3.2% for the s&p. yes, a breather today. higher today, but talking about value plays in market. if you think we're about to rebound, we have names for pup this graph telling the whole story. one big theme this earnings season has been buy backs. buying back their own stock. is it making 3r50is prices go ?
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who might be more. and natural gas higher by 15% year to date raising heating costs across country including in my household. turning to down to 52, i think, at night. today we're heal from wall street's weather forecaster. a meteorologist who doesn't work for your local tv station. he's not about snowapocalypse. what's he saying about february and march? the temperatures. how you might be able to capitalize. find out in six minutes time. meanwhile to sue at the new york stock exchange. >> at the floor, a triple digit advance for a nice change in the dow jones industrial average. up 154 points, under a 1% gain. 15,892 87 on the dow. s&p up 23 points. 1 snishgs 1/3% gain at 1797.62. and up better than 2%, 81 points
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and change for nasdaq. look at transports. a triple digit gain now. after a very rough week. the transports last trade, tick down here, 134 points to the positive side. the ten-year note, we've seen yields drop, edging up a little this morning with the turn in the dow jones industrial average, but we're still at 2.7% and at 2.65% earlier this week. if this turnaround is longer standing, and it's real, and you want to make moves, perhaps, and buy in, sheila has just run a special values screen for us. she's naming some names right now. to give you some interesting investing ideas. hi. >> hey there, sue. a rough and tumble start for 2014, that's beating up a lot of stocks. what we did, looked for names that underporped the market this year but still could be good long-term value plays. number one on the list, young
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brand. stock taking a hit, information from china and avian flu's outbreak. china's gdp growth still grael for the unit growth in growing that footprint. look at the u.s. business of yum. cash flow machine, money that can be used to return to shareholders. number two on the list is mattel. an underperformer this year. bakaly off what's what we call a weak consumer season spending. analysts say the stock is overdone. rapidly growing outside companies of the u.s. companies product mix, talking products like monster high. apparently it's big these days. also american girl. really high margin products which are very good for mattel's bottom line. and rounding out the list, retail name, ralph lauren. underperformer because of the weak retail take but analysts say its brand name is strong and
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that's should play well in emerging markets in the long term. back to you. >> sheila, thanks. american girl, popular in my house. monster high, not so much. breaking news in the bond market. seven year note up for auction. what did demand look like, ricky? >> two auctions in one day. does life get bet jer $29 billion, seven years. at the auction, 2.1 nine9 er, a higher price, a good thing unlike the five year. 255, 2.55 auction average. higher, 2.65. close to 45% on indirects, higher, the ten auction average. close to 20 under racks. good thing. ends up in investors hands. b minus the grade. better demand and once again i normally say we've got to look for the next series. the nebs series is next week. 3s, 10s, 30s, on the back.
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see you then. sue, back to you. >> thanks. appreciate it. go to seema fo a quick market flash. >> good afternoon. check out con core technologies, second highs. provider of travel and expense management solutions posting better than expected quarterly earnings on higher sales and guided 2014 earnings above street forecast. a programming note. conquered chairman and ceo jim cramer the guest on "mad money," 6:00 and 11:00 right here on cnbc. >> thanks, seema. the market rallying after new data today showed the economy expanded rapidly at the end of 2013. will growth in the u.s. calm concerns about emerging markets and drive domestic stocks higher? joining us, mr. blackstein, manager of the morning star four-star rated dynamic u.s. growth fund up 38% over the year. mr. young co-manager of the morning star five star rated villery balanced fund up 16% over the last year.
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good performances for both. gentlemen, welcome. thanks for joining us. noah, start with you. how much attention are you paying to the turmoil in the international markets, emerging markets specifically? because we have seen this over a number of past years. >> we have. i think it's a little different this time. i mean, you know, given facebook's result and you called it a comeback thursday. call it a throwback thursday as well to the 1990s emerging market currency crises. unlike the markets in greece and pigs in europe, these are countries that have their own independent fairly flowing currencies. for example, in turkey, corrected. in argentina, taken a hit. the adjustment process is much less one that will spread to contagion and much more focused in on individual currency and balance of payment adjustments. >> okay. >> turkish lira has fallen, since 2000, fallen 30% against the u.s. dollar five times.
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so i don't think these are going to spread to contagion. what people are more worried about the spread to china. the bigger question. >> yeah. and george, does that concern you as well? or have you kind of shut out the noise from the emerging markets and viewed the moves in the u.s. markets -- hang on one second, george. hold that thought. phil lebeau joins us. sue, breaking news from the faa in terms of slap hairs that were being divested from american airlines. they've awarded 27 slot pairs to love, that's south weft airlines out of d.c. reagan national. so southwest getting 27 slop pairs that used to be with american. they are now going over to southwest. they will increase daily departures from reagan national from 70 to 44. jetblue earlier, slot fares, part of that divestiture. >> and back to our guest, george, asking whether you were
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finding opportunity in this market that comes, of course, at the cost of the emerging markets? >> yes. it's interesting, because emerging markets are not quite our world and kind of laughable, all the am kcronyms, pigs and o and on. avoid a currency with four letters. we do that. we focus on domestic economy. we find plenty of stocks. ton honest, may sound strange, since beginning of the year, plenty of opportunities. we've been holding cash through the end of last year. we're looking forward to opportunities that are out there. we think this is a great opportunity. >> where are you looking for opportunity, quickly? >> bottom up investors. a couple stock wes like. one is cons, sort of a finance company disguised as a retailer. two-thirds of sales from people that are not cash and carry. they need financing to buy mattresses, to buy washs, dry purse, things to start a home. they charge 20% interest. therein lies the rub. that's why we think they're
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successful. sotheby's, back to the thought you mentioned early early about companies buying back their stock. sotheby's over 200 years, a great brand. all listeners know this name and interesting because a lot of the activist investors have gotten involved to get them to buy back stock and pay a bigger dividend. a great company. people deal with the art marketplace due to death, debt, discretion and divorce. that happens to people all the time. the markets is vibrant. >> we have to leave it there. gentlemen, thank you. noah and george as well. ty, up to you. >> it's been understatement of the day. a rough winter. not even february yet, folks. it is snowing big time in the rockies today. you expect it to snow in the rockies. the south thaws out from the snow and ice storm. debilitating down there. natural gas up 48% in three months, folks. there you see -- actually 39%. yesterday's big jump it is off those highs today, as you see
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there. down about 7%. dan leonard, meteorologist with wsi. doesn't do the news at 11:00. talks to wall street. why, dan, welcome. first, why did gas spike as much as it did yesterday and sell off today? >> tyler, i think you pretty much touched on it. a remarkable winter so far. just unbelievably cold. especially across the midwest and plains. look what we have coming. departures from normal for next week. look at the map. next week at least 5, 8, even 15 degrees below normal for the balance of the week. this is impressive stuff. next week, just another unbelievable arctic air mass coming through the plains and midwest. same areas hit all winter long with arctic air, going to be hit again. this is the prime area for natural gas usage. most of the midwest, this is where we use a lot of our natural gas. notice along the east coast, milder temps, due to the fact we'll have a couple big storms on the east coast. more snow and ice for the east and more just cold, dry weather
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for the central u.s. really no surprise, based on what we've had this winter and what's coming up. >> so what are traders asking you today, talking about today, and what is the long-range outlook for the month of february? >> well, that's the real key. next week they've all pretty much priced in the fact it's going to be cold. that's a given. it's really the week beyond mid-february through the end of february, do we persist this cold or sort of get a break? remember back in january, a january thaw during mid-month. it really eased off on the persistent cold, and there's some indication over the past couple of model rubs we could get some sort of at least a brief temporary respite in the cold during the middle of february, but we still think below normal. probably right through the end of the month for the midwest and northeast. you mentioned that there was quite a bit of a pullback today m my guess if we get that moderation during the mid-month period, the markets will sort of retract agents b little bit.
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my guess. >> dan leonard. meteorologist for wsi. we mentioned that gas. bob pisani, put him on the case. came back from the etf conference. a couple etfs going long and short? >> right, etf but be careful what you're doing. good news. look at the big one. ung. in theory tracks natural gas. you see the move on the upside? put up natural gas against the etf you see something. it diverges, underperforms. the green line? why? the contract actually owns future contracts, and the cost of buying those future contracts erodes the value of what you own. one of the problems. still, if you want it, the best way. you're right, sue, go long and short. several short and long natural gas etfs out there. look at the boil. two times long natural gas. if natural gaz goes up 2% in one day you go up 4%. the big problem. this resets every single day. because of the mantlematics, it
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doesn't track well. so, for example, you can't look at this after one week, say, uh-huh. it's up 3%. therefore, if i own it, natural gas is up 3%. should be up 6%. causing resets every day it doesn't do that. you can get days it's up, down, up, down and get significant error from what it might be on a weekly versus the daily basis. also true if you go short. short these as a kolv. down 2% natural gas,y make 4%. same problem exists on the down side. all of these leverage products essentially have this particular problem. that's why they're really for professionals who get in and out on a daily basis who want to make bets in these particular groups. >> all right. bob, thank you very much. bob pisani. seema modie back with a market flash. >> big companies are out with earnings after the bell, and all of moving higher ahead of reporting earnings. the street expecting google to earn $12.21 a share on 16.75 billion dollars in revenue. amazon expected to earn 66 cents
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on 26.06 billion dollars in revenues and analysts looking for chipotle to make $2.53 on sales of 826 million dollars. keep an eye on those three stocks. tyler? >> seema, thank you. volatile energy prices could cause volatile prices in the utility sector. if you fear emerging markets, utilities may be a solid domestic play for you. greg gourd sn managing director of utility research at isi group and joins us. welcome. do utilities generally profit in weather conditions like we're going through now? in the northeast and middle west? >> depends. if you're a regulated utility like coned, serving connecticut, massachusetts, you may make more money on volume on the short run. investors know returns are regulated and over time they don't capitalize the weather into valuations. however, if you're a merchant power generator like nrg or exelon that owns deregulated
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power plants in this region you have a potential to make a lot of money, seeing power price volatility on the back of the natural gas volatilityy. that's the margen's fuel for power. nrg in particular, a favorite idea. stock's down 4% year to date after a good year last year keeping up with the s&p. we their their ebitda to be better by $100 million based on how power prices have moved in the wake of the cold weather. >> interesting insights and names there. look to the deregulated power generators. asking greg a dumb question here. if natural gas is rising in price and these power generators lyhat as kind of the feed stock, doesn't that increase their costs for the raw materials that helps them generate power? >> the trick. nrg burns coal, and exelon burns uranium. the largest nuclear power
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generator in the region. so when natural gas spikes and setting the price power on the margin, you're burn aglower priced fuel, coal, uranium, you mike your spread and profit. >> oh. i thought you said they were using natural gas as -- you said at margins. i guess. >> correct. >> at the margins. greg, thank you. thank you for indulging my dumb question. >> no dumb questions. thank you. >> sue? >> exactly. ty. never a dumb question out there. mortgage rates slipped slightly and fewer americans signed contracts on homes in december. pending home sales falling to the lowest post since october of 2011. diana olick is live on the case in washington for us. hi. >> reporter: hi, sue. so is it cold weather or hot prices? i think it's a little of both. home sales slumping to the lowest in two years. the outlook for the next couple of months, not so great. look. signed contracts to buy existing homes fell 8.7% month to month from a revised down figure in
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november. also down 8.8% year over year. the realtors are blaming "unusually disruptive weather." look regionally, that theory doesn't entirely fly. regionally sales down across the nation, but worst in the northeast. second worst in the west. which has been warm, dry and lovely. down nearly 10% due to big price jumps. blame short supply all you want, but inventories are actually up in phoenix and vegas. so that one doesn't work so well either. rating out way report, hot, hot prices cannot be sustained given weak growth in employment. there's, of course, lots more analysis online on our newly redesigned real estate page. tyler? >> stay warm. looks chill any d.c. two big management successes stories coming up. both executives on the final 200 list of what will ultimately become cnbc's 25 most
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welcome back to "power lunch." seema modie. social media, a fast growing part of tech on fire getting a lift from facebook's strong earnings. linking in others posting gains. sue and tyler? >> seema, thanks. >> it's sue. oh, no. >> ty, we can both do it together. facebook on fire on the back of its earnings. the stock hitting a new record having its best day since last july. let's look what the stock is trading at now. up 14.2/3%. julia boorstin live in los angeles. hi. >> facebook past expectations for revenue, earnings, noble growth and user numbers. shares trading, all-time high. first time a majority if revenue, advertising revenue from mobil and first time it topped $1 coo saying it paid off and
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pushing for sophisticated measurement of impact of its ads and changes to make it easier for small and medium sized businesses to advertise on the site. with the stock up 61.5% or so since its ipo dodged questions whether it's losing popularity among young teens pointing to overall user and engagement growth. the ceo zuckerberg is looking beyond facebook working to launch a new number of mobile apps to allow users to share different kinds of content without leaving facebook's ecosystem. like today's announcement of a news reader app called paper. zuckerberg points the success of messager and instagram proof the model of these stand-alone apps is working. >> thank you, julia. starbucks ceo howard schultz, a proetian kind of guy, making a bigger bet on digital, expanding his role at the company. what's he up to, kayla? >> expanding the roll of allstead, the newly created coo.
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allstead will effectively be the new ceo. all regional heads will report to him and run the day-to-day operations. schultz is expanding his focus to digital. talked about the amazon, a turning point, watershed moment for brick and mortar retailers and wants to spend time doing that so starbucks can stay ahead of the game. >> digital coffee? i don't get it. >> seems interesting. how far can starbucks go into this arena? can't get your coffee delivered to your doorstep, or can you? so much done on mobile devices. starbucks at the forefront. $4 billion loaded on to gift cards, one of the primary modes of payment. >> or loaded on to your phone. >> 5 million mobile transactions a week for starbucks. able to get out in front, want to stay there. he needs to devote more time to that. >> interesting. kayla, thanks. all right. sue, down to you. >> ty, while the markets are up and the bulls are happy today, an emerging threat remains. michelle caruso-cabrera in
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istanbul. more from her in a moment. and transmits up 133 points. following the markets for you when "power lunch" comes back in two minutes' time. welcome back. how is everything? there's nothing like being your own boss! and my customers are really liking your flat rate shipping. fedex one rate. really makes my life easier. maybe a promotion is in order.
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who have tried other medications but still experience the symptoms of moderate to severe crohn's disease. in clinical studies, the majority of patients on humira saw significant symptom relief, and many achieved remission. humira can lower your ability to fight infections, including tuberculosis. serious, sometimes fatal events, such as infections, lymphoma, or other types of cancer, have happened. blood, liver and nervous system problems, serious allergic reactions, and new or worsening heart failure have occurred. before starting humira, your doctor should test you for tb. ask your doctor if you live in or have been to a region where certain fungal infections are common. tell your doctor if you have had tb, hepatitis b, are prone to infections, or have symptoms such as fever, fatigue, cough, or sores. you should not start humira if you have any kind of infection. ask your gastroenterologist about humira today. remission is possible. all right. bob pisani joins me at post nine on the floor of the flchlt y se. a turnaround thursday earlier. it is. we're holding on to most of the
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gains, in triple digits. >> a slow melt up and across the board. show the dow. what's going on, the important thing, two things matter today. one, emerging markets are a lot calmer. two, key earnings. particularly facebook. i joked earlier, at 11:00, facebook helped save the world to a certain extent. huge volume. past 120 million shares. bringing up social media names and all high beta names. look at earnings. depends on the guidance. under armour, terrific for 2013. good beat. way up. >> 21%. wow. >> i know. sherwin-willia sherwin-williams, below. and big loser, citrix. down graded. and i like whirlpool. the ceo on at the 11:00 eastern time. light on earnings but 2014 guidance in the mid-range of
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estimates. disappointing down 5%. 9% growth in revenues in north america for q 4. a good number, i thought. exxon/mobil. a simple thing. higher oil prices but the margins squeezed here because of higher costs and expenses. sure, buy back $3 billion, again, this quarter. that's a lot of buyback. doing it for months and months and months on end and really still can't get their share price moving much. a tough one for exxon. what would matter? if they broke up the company. a lot of the big companies, the big integrateds are doing. marathon, but exxon says, no. >> the theme of the activist investors this and last year. break the companies up. >> if you broke them up, biggest expiration of company internationally and biggest exploration company domestically. the biggest refiner domestic aand probably number two chemical company in the world. how big exxon is. it it broke up, still the biggest. >> thanks, bob. appreciate the perspective. uptown once again to sheila
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at the nasdaq. hi sheila. >> sue, what a day here at nasdaq. roaring back to life up over 2 percent. best one-day gain since october of last year. really all about the earnings stories. earning haves and have nots. you guys were talking about facebook. that and alealeksion, all aboute earnings and have nots. citrix system falling after light revenue guidance. >> thanks, sheila. gold prices are closing now, and it's a down day over at the nymex where sharon epperson is. >> looking at gold prices closing down about $19 lower, around $12.42 an pounce. below that key psychological level of 12.50. the fact we're looking at a nice rally in the equities market. part of it. gold and equities trading in
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opposite directions for the better part of the year and looking at what's happened to the dollar and the strengthening dollar has also put pressure on gold. back to you. >> thanks, sharon. to the bond market now. interest rates and currencies, focus all week for this market. rick san tellsy back with an update at the cme. >> still a focus, 2s are wild. two auctions. second one, second year pretty good look a a chart of tens eased back a bit and 2s are wild. basically up two basis points's in 5s, 10s, 7s and 30s. the old guys, auctioned two of the maturity is. the dollar index. up close to 2/3 of a cent. big day. why? two currencies in europe. look at the pound versus the dollar and the euro versus the dollar. we continue to monitor what has been a very quiet dollar index. coming back to life. sue and tyler, back to you. >> rick, thank you. cnbc's million dollar homes. the super bowl edition. as super bowl cities face off and only one will be crowned to
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million dollar home glory. plus -- results of the sung sotheby's auction stolen by the nazis, later rescued by the monuments men. profiled in the best-selling book of the same name and in the current hollywood movie. amazing story, coming up on "power lunch." here's a word you should keep in mind "unbiased". some brokerage firms are but way too many aren't. why? because selling their funds makes them more money. which makes you wonder. isn't that a conflict? search "proprietary mutual funds". yikes!! then go to e*trade. we've got over 8,000 mutual funds and not one of them has our name on it. we're in the business of finding the right investments for you. e*trade. less for us, more for you. the fund's prospectus contains its investment objectives, risks, charges, expenses and other important information and should be read and considered carefully before investing. for a current prospectus visit www.etrade.com/mutualfunds. aflac! got 'em. ♪ yeah, he's clean, boss. now listen to me, duck.
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a turnaround day for the turkish market in respect is the etf. you can see it's still looking down. today up about 1%. in the last month, though, the etf, tur, down 12% as you see right there. actually, 13. there's the dollar versus the turkish lira today. dollar higher. well, i guess a little lower, actually. the lira strengthening. the dollar weaker. this story, of course, goes beyond the numbers. our international correspondent michelle caruso-cabrera in istanbul on the front lines of this emerging threat with the personal part of this story. >> reporter: volatility in the turkish leer la a big impact on the business community here. tried to get a closer look at the front lines of dealing with
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a currency crisis when you're knee deep in the economy. we spoke with a lot of business people today. examples. a man who runs an appliance store. he says ever since i started having real trouble with the economy, mid-december, the currency started to deline sharply. business dropped by 50%. to lay off five different people out of 23. and now he's going to have to raise prices as well. even though he thinks the economy will weaken, because with the currency weaker he has to pay more for his imports. it costs him more. has to pass that on to customers. we attend add group of mostly islamic business leaders today. they rahn group that came out with data showing they think the economy is weakening as a result of the crisis, and they're very upset about the interest rate hike. they don't agree with it thinking that that's going to hurt small and medium-sized businesses. not everybody is on the same page. other business people really welcome the massive interest rate hike they did here in the last 48 hours to stabilize the
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currency, because they want a stashl currency. we spoke with a real estate developer. you'd never think somebody in real estate would want higher interest rates, but he does. >> this is not something anybody would like in turkey, but the markets have demanded it, and the central bank had to give it. so this is -- this is, i think the rule of the game. >> reporter: so as you can see, a whole panoply of opinions. easy to say, tough to do business here right now. >> oh, i completely agree with you, michelle. great work. thank you so much. go inside and try to get warm. in what might be the greatest treasure hunt in history, robert edsel's best-selling book "the monuments men," a fascinating true story of a world war ii team of volunteers tanked with rescuing priceless artistic works that were stolen by the nazis. a big budget movie based on that book hits theaters next month
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starring george clooney, crate blanchett, bill murray and matt damon. here are the real monuments men. art historians and museum directors tasked by fdr to sneak behind enemy lines and hunt down cultural masterpieces and rescue them before the german army destroyed everything as the third reich fell. incredible how these brave men and women risked their lives to save a piece of history and a piece of art. in fact, there's a photo here of adolf hitler and hermann goering looking at one of those looted works selected for their personal collections. sotheby's just hours ago sold four paintings recovered by the monuments men, including g giovan giovannis, fetching an amount way above the estimated $300,000. and venice a view of the patze sold for $233,000 and a pair of
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jean-baptiste, 9: x 12, well above the $300,000 estimate. amazing story and happy ending in this case about the rescue and recovery of millions of works of displaced art during world war ii and the brave people behind their protection. ty, reading the book. a great book. >> looking forward -- >> very good read. >> i'm looking forward to the movie with clooney, damon and bill murray, of all people, playing in a, what i think is a serious role. thanks, sue. the million dollar home competition is back all day long. the homes have been battling it out to see who's turf is the best bang for your buck and since we have the big game coming up sunday, we sent our reporters, seven of them, to seven city, whose hometowns recently won the nfl championship. here's how it works. each show had two $1 million homes face-off with the winning home advancing through the playoffs.
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it's bracketology, folks. the teams playing in round four are -- the new england patriots. and the baltimore ravens, last year's super bowl champs. to make it more fun, reporters don't say which city they're in. we'll figure that out after we get a look at the houses themself. now, they asked me to say who would i root for between the ravens of baltimore and the patriots. i am going big time for the ravens. i grew up around d.c. i like baltimore. i don't like bill belichick. there. let's watch. >> reporter: this spachs colonial sits on 1.8 acres offering plenty of space for pickup games, 20 minutes from a major nfl venue. help keep you in playing shape dur the preseason, a pool. >> reporter: and a fully landscaped yard. it has a rhyme two-car garage and plenty of street parking. making this the perfect party house. >> reporter: this fully renovated homes offers almost
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3,500 square feet of living space and open floor plan, hardwood floors and two fireplaces. the kitchen, plenty of prep space to cook for your next tailgate party. >> reporter: inside a two story foyer welcomes game day guests to more than 6,000 square feet of living space. needless to say, this spacious gourmet kitchen is the perfect prep spot for your super feast. >> reporter: this sun-filled home, five bedrooms and 3 1/2 baths. second floor master suite, an on-suite bathroom. the rest of the cozy bedrooms offer space poor family and the visiting team. >> reporter: the main floor master suite one of the home's two gas fireplaces but the real draw is this stadium sized master bathroom. one of 4 1/2 in the home. upstairs are three more bedrooms, in case some of your tipsier guests need to crash. >> reporter: this sunroom, a great place to host your next party. watch the game by the fireplace
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additional dining area. >> reporter: the real entertainment value of this home is the lower level theater. just off the rec room with a wet bar and right by a very large mirrored exercise room where you're going to need to work off the wings. all for the asks price of $1 million. >> all right. there they are. joining us now, real estate broker to the super rich, dolly lynch. tell us where they were located and take us through some of the particulars. >> mary is in westwood, massachusetts. it's a terrific house. it has a lovely setting. just everything tab is nice. it's -- a little short on bedroom space. the bedrooms are all teeny. and i have to tell you, that's an issue. in diana's house, we have a big house. really -- >> 6,000 square feet. >> inlewding the finished basement with the theater. it's not oversized. it's a good size plus the
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basement, but it is a finished basement in a great location. driving, quick driving distance to hopkins and anything else in that area. employment in baltimore is doing very well. so everything for baltimore is looking up. 51,000 a year, average income. everything is looking up for baltimore. >> let's talk a little bit about which one you think is the better buy at the prices at which the they are offered. mary, by the way, looked comfortable in that house. didn't she? >> exactly. she could make a new england painting. >> it appeared that diana's house was not furnished. looked empty? >> part of it. >> yeah. >> but that's just because it was not staged. >> which one do you think is the better buy? which one moves forward? >> you know, the thing is, with mary's, again, it's very small bedrooms. there are five houses in competition with it. a lot of supply in that area, and it's just -- something difficult to overcome. those small, small bedrooms. you can't change that. unless you're knocking them through. >> baltimore?
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>> baltimore -- >> you're saying baltimore. >> i'm saying baltimore. >> you're saying baltimore. >> a great house, great location. in a cul-de-sac off a grand area. and i think baltimore is just a winning house. >> we're going to baltimore. >> we are. let's go. >> let's go to baltimore. the million dollar house in baltimore wins round four. catch the playoffs in "street signs." later, dolly crowns the champion during "the closing bell." >> can't wait. stocks are one part of the emerging market threat. what about bonds, currencies, commodities? is the money coming out of emerging markets going back into bonds? back in two minutes' time to talk about that. she loves a lot of the same things you do. it's what you love about her. but your erectile dysfunction -
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coming up at the top of this hour -- right here in very unsunny and cold orlando, florida. we have a very special show. td ameritrade's conference is here, bigger and better than ever. a split show. brian back at mothership. i'm here talking all about the retail investor. what they're thinking, doing what keeps them up at night and makes them feel good about their investments. the ceo is over there, also the president of t.d. ameritrade and a host of other people. make sure you tune in. a really great show. back to you. >> fantastic, mandy. see you at 2:00. all right. currencies, commodities, bonds and chicago's finest. in the power rundown today. jim and jack set ready to go. all right, guy, the money's coming out of emerging markets. has it been going into bonds? the trade at the end of 2013 was to get out of the bond market, because we would see higher rates in 2014. that hasn't played out. jack, what do you think?
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>> it's a temporary parking spot. at's an aberration created by what happened in turkey, when money comes out of the market it goes to wherever capitalists treat it best. that's all it is. i look for the long rate to move higher, the ten-year higher and the cash redeploy over the covers the next couple months. >> hard to believe treat it best, 2 point, whatever -- i adegree with jack for the most part. one other thing, too, emerging markets may have helped contribute some weakness in the stock market. certainly wasn't the only thing. at least a casual relationship. that breakdown in the stock market is what forced money into the bond market, too. not necessarily as simple as leaving emerging markets into bonds. basically, that's what's happening, yes. >> talk to me about currency, jack. what do you like given the entirmt we find ourselves in? >> stay away from the turkish lira. >> obviously. >> their oh political, religious problems. one of the reasons they're not in the eu. a genocide issue cover in the next year. a big anniversary for that.
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all of that is playing into it. i would stick with the russian currency. it's going to be tied to oil. not afraid to be in the rugal. i like the canadian dollar, aussie dollar. currency tied to commodities do well. >> i was not, didn't have a turkish lira position going into this thing and never intended to. such volatility i wouldn't be in those at all. the one way if people are looking at it, there's a wisdom tree etf cew. interesting. i don't think it's bottomed yet. too volatile for me. be in the dollar, really, compared to those things. that's when i would do. >> jim, stick with you for commodities. your best commodity play right now? >> i think oil's the best play. just by the process of elimination. gold to me seems we're raising rates while japan might be adding more accommodations. i don't think gold is the place to be. net gas a huge run. oil to me, reacted nicely to today's good gdp numbers and doesn't seem the global turmoil
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is taking good feelings about oil away. goes up to the 100, 101 area. >> jack, quick? >> i like agreeing with jim. he's right. i think he's right on oil. gnat gas, keep an eye on that. maybe up to $6 or $7, surprising a lot of people. >> good to see you again, both. appreciate it. ty, to you. sue, famous agent, super bowler and former nfl-er and "power lunch" friend. talk football, the markets, investing and more. that's next. with fidelity's guaranteed one-second trade execution, we route your order to up to 75 market centers to look for the best possible price, maybe even better than you expected. it's all part of our goal to execute your trade in one second. i'm derrick chan of fidelity investments. our one-second trade execution is one more innovative reason serious investors are choosing fidelity. call or click to open your fidelity account today.
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and that is a live picture of super bowl boulevard in times square. the whole area is closed down for nfl fan fun. quite something. i was walking through the other night. talk football, investments and more with investment manager and former nfl player jack brewer. allegedly nfl agent leigh steinberg back in the business of resting players out with a new book call the "what else." and seattle seahawks wide receiver sydney rice. welcome to all of you today. get to football in a minute. jack, quick thoughts where you think the markets's headed now
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and why? >> obviously a lot of volatility. remaining patient. our portfolios performed well. certain sectors we continue to be bullish on, like the medical sectors some health care stocks we have in our portfolio. overall it's an patience. if you believe in the american economy, we do now, we think over the long-term, over the course of this year we'll see growth. >> fantastic. leigh steinberg, welcome and welcome back. good to see you doing well. >> thank you. >> what are your impressions and reaction to the news earlier this week that football players at northwestern university have floated the idea of becoming unionized. is this a good idea? will it happen? fanned they're unionized, then -- making an income, shouldn't they then be taxed on the value of their scholarships? >> this system has always been dysfunctional, because it takes athletes, forces them to go to college, when they might not really want to go, to be able to get to the pros, and then it
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keeps them on scholarship, sometimes at lower levels than that of their non-athletic peers, and so you get agents giving them money, which risks all sorts of ncaa sanctions. you also get alumnus giving them money. the system needs restructuring. at the very least, we need to be giving a stipend to those athletes who show economic need at the -- i'm not sure -- unionization -- >> can unionization be a part of that, a constructive part of this, do you think? >> it could be. it's -- now, trying to get -- if it's a closed shop or an open shop is an interesting question. >> right. >> but the point is that, these athletes go to the student store, see their jerseys being sold. they understand when michigan makes $60 million in profit from football, texas makes $70
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million in profit from football, that's all great, but -- >> but they're not making any profit from football. other than the value of their scholarship. sydney rice, welcome. i just want to ask you, before we get to some investing questions, how has the week of practice gone for your team? i gather -- are you on the i.r. for this weekend's game? >> i am on the i.r. >> how's the week of practice gone? >> really well. the guys got in sunday. started practice on wednesday. so regular week of practice going through the same routine. hopefully we'll come out way victory sunday and get that w. >> i wish you the best of luck. your reaction to the richard sherman kerfuffle, he talked a lot at the end of the last game. my reaction was, he was a guy still amped up after having made the play of the bloody year in the nfl! you know? he's a competitive guy. >> of course he is. richard sherman is a great guy, friendly person, loves the game
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of football. one of the greatest competitives i've been around my whole life. he likes to talk. one thing about him, he goes out on the field every week and backs it up. >> 45 seconds, sydney. you live in seattle. does being in a tech hot bed change or influence what you invest in? are you a tech investors? >> definitely. i am now. i recently start add company and got into that side of the business and it's going really well at this point. it's crazy, the technology that's crazy around there and being on the seattle seahawks with paul allen, the crazy things you see a lot the facility, it's amazing. i'm grateful for the opportunity to have something else to invest in. >> we have to leave it there. jack, lee, sydney, thanks very much. two airlines flying high. details after this break. we asked people a question,
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how much money do you think you'll need when you retire? then we gave each person a ribbon to show how many years that amount might last. i was trying to, like, pull it a little further. [ woman ] got me to 70 years old. i'm going to have to rethink this thing. it's hard to imagine how much we'll need for a retirement that could last 30 years or more. so maybe we need to approach things differently, if we want to be ready for a longer retirement. ♪ if we want to be ready for a longer retirement. that it's given me time toabout reflect on some of life'seen biggest questions. like, if you could save hundreds on car insurance by making one simple call,
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day, ty, for the dow. s&p up better than 1% and the nasdaq was up better than 2%. still up close to that on the trading session. >> all right. sue, hurry home nap will do it for the day's edition of "power lunch." >> a special edition of "street signs" begins right now. as usual, sue and tyler were right. it is a special edition of "street signs." hello, everybody. the markets are higher today. the dow up more nan 100 points. but so is something else that's probably really important to you right now. that coming up. otherwise today, we are tackling the big question -- where should you put your money right now? mandy is down in orlando, florida. one of the biggest financial advisers conferences of the year. the td ameritrade event. ready to go, advice? >> i do. hey there,
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